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MCC18856 S.L.C.
115TH CONGRESS 2D SESSION S. ll
To acknowledge the rights of States with respect to sports wagering and
to maintain a distinct Federal interest in the integrity and character
of professional and amateur sporting contests, and for other purposes.
IN THE SENATE OF THE UNITED STATES
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Mr. HATCH (for himself and Mr. SCHUMER) introduced the following bill;
which was read twice and referred to the Committee on
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A BILL To acknowledge the rights of States with respect to sports
wagering and to maintain a distinct Federal interest
in the integrity and character of professional and ama-
teur sporting contests, and for other purposes.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 3
(a) SHORT TITLE.—This Act may be cited as the 4
‘‘Sports Wagering Market Integrity Act of 2018’’. 5
(b) TABLE OF CONTENTS.—The table of contents for 6
this Act is as follows: 7
Sec. 1. Short title; table of contents.
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MCC18856 S.L.C.
Sec. 2. Findings.
Sec. 3. Definitions.
TITLE I—SPORTS WAGERING
Sec. 101. General prohibition on sports wagering.
Sec. 102. State sports wagering program.
Sec. 103. State sports wagering program standards.
Sec. 104. Anti-money laundering provisions.
Sec. 105. Interstate sports wagering compacts.
Sec. 106. National Sports Wagering Clearinghouse.
Sec. 107. Law enforcement coordination.
TITLE II—WAGERING TRUST FUND
Sec. 201. Findings.
Sec. 202. Wagering Trust Fund.
TITLE III—WIRE ACT AND SPORTS BRIBERY ACT AMENDMENTS
Sec. 301. Wire Act clarification and authorization of civil enforcement.
Sec. 302. Sports Bribery Act improvements.
TITLE IV—GAMBLING ADDICTION PREVENTION AND TREATMENT
Sec. 401. Authority to address gambling in department of health and human
services authorities.
Sec. 402. Advisory committee.
Sec. 403. Surveillance of gambling addiction.
TITLE V—GENERAL PROVISIONS
Sec. 501. State and Tribal authority.
Sec. 502. Severability.
SEC. 2. FINDINGS. 1
Congress makes the following findings: 2
(1) In 1992, Congress enacted the Professional 3
and Amateur Sports Protection Act (Public Law 4
102–559; 106 Stat. 4227) to ban sports wagering in 5
most States, finding that ‘‘sports gambling con-6
ducted pursuant to State law threatens the integrity 7
and character of, and public confidence in, profes-8
sional and amateur sports, instills inappropriate val-9
ues in the Nation’s youth, misappropriates the good-10
will and popularity of professional and amateur 11
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MCC18856 S.L.C.
sports organizations, and dilutes and tarnishes the 1
service marks of such organizations.’’. 2
(2) On May 14, 2018, the Supreme Court of 3
the United States held in Murphy v. NCAA, 138 S. 4
Ct. 1461 (2018), that the prohibition of State au-5
thorization and licensing of sports wagering schemes 6
under the Professional and Amateur Sports Protec-7
tion Act (Public Law 102–559; 106 Stat. 4227) vio-8
lates the 10th Amendment to the Constitution of the 9
United States. 10
(3) After the decision in Murphy v. NCAA, 138 11
S. Ct. 1461 (2018), any State may legalize and reg-12
ulate sports wagering, as determined by the State, 13
consistent with section 1084 of title 18, United 14
States Code (commonly known as the ‘‘Wire Act’’), 15
section 1955 of that title (commonly known as the 16
‘‘Illegal Gambling Business Act’’), subchapter IV of 17
title 31, United States Code (commonly known as 18
the ‘‘Unlawful Internet Gambling Enforcement Act 19
of 2006’’), and other Federal law. 20
(4) Since the decision in Murphy v. NCAA, 138 21
S. Ct. 1461 (2018), the States of Delaware, Mis-22
sissippi, New Jersey, New Mexico, Pennsylvania, 23
Rhode Island, and West Virginia have joined the 24
State of Nevada in accepting sports wagers, and 25
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MCC18856 S.L.C.
more than 2 dozen other States are considering leg-1
islation to legalize sports wagering. 2
(5) Even before the decision in Murphy v. 3
NCAA, 138 S. Ct. 1461 (2018), there was a signifi-4
cant legal sports wagering market in the United 5
States, with $4,870,000,000 wagered on sports in 6
the State of Nevada in 2017. The legal sports wa-7
gering market will continue to grow as legal sports 8
wagering becomes more widely available. 9
(6) Overshadowing the legal sports wagering 10
market is a much larger illegal sports wagering mar-11
ket that circumvents the taxation, anti-money laun-12
dering controls, and other regulations of the legal 13
sports wagering market. The American Gaming As-14
sociation estimates that people of the United States 15
illegally bet over $150,000,000,000 annually on 16
United States sporting events. 17
(7) The estimated size of the illegal sports wa-18
gering market suggests that the laws and enforce-19
ment efforts that for decades have sought to curtail 20
illegal sports wagering have come up short. 21
(8) The expansion of legal sports wagering after 22
the decision in Murphy v. NCAA, 138 S. Ct. 1461 23
(2018), presents an opportunity to significantly re-24
duce the illegal sports wagering market by pairing 25
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MCC18856 S.L.C.
enhanced authority for law enforcement to shut 1
down the illegal sports wagering market with policies 2
that incentivize participants in the illegal sports wa-3
gering market to shift their activity into the legal 4
sports wagering market, as available, so that such 5
activity can be appropriately regulated and taxed. 6
(9) All forms of gaming have historically been 7
regulated predominantly at the State level, but 8
sports wagering, which often involves individuals 9
across numerous States placing sports wagers on a 10
sporting event that takes place in yet another State, 11
affects interstate commerce more than other forms 12
of gaming that are generally contained within the 13
walls of a gaming establishment. 14
(10) While each State may decide whether to 15
permit sports wagering and how to regulate sports 16
wagering, there is an important role for Congress to 17
set standards for sports wagering and provide law 18
enforcement with additional authority to target the 19
illegal sports wagering market and bad actors in the 20
growing legal sports wagering market. 21
SEC. 3. DEFINITIONS. 22
In this Act: 23
(1) AMATEUR ATHLETIC COMPETITION.—The 24
term ‘‘amateur athletic competition’’ has the mean-25
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MCC18856 S.L.C.
ing given the term in section 220501 of title 36, 1
United States Code. 2
(2) ANONYMIZED SPORTS WAGERING DATA.— 3
With respect to a sports wager accepted by a sports 4
wagering operator, the term ‘‘anonymized sports wa-5
gering data’’ means— 6
(A) a unique identifier for the transaction 7
and, if available, the individual who placed the 8
sports wager, except that such identifier shall 9
not include any personally identifiable informa-10
tion of such individual; 11
(B) the amount and type of sports wager; 12
(C) the date and time at which the sports 13
wager was accepted; 14
(D) the location at which the sports wager 15
was placed, including the internet protocol ad-16
dress, if applicable; and 17
(E) the outcome of the sports wager. 18
(3) GAMBLING DISORDER.—The term ‘‘gam-19
bling disorder’’ means— 20
(A) gambling disorder, as the term is used 21
by the American Psychiatric Association in the 22
publication entitled ‘‘Diagnostic and Statistical 23
Manual of Mental Disorders, 5th Edition’’ (or 24
a successor edition); 25
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(B) pathological gambling; 1
(C) gambling addiction; and 2
(D) compulsive gambling. 3
(4) GOVERNMENTAL ENTITY.—The term ‘‘gov-4
ernmental entity’’ means— 5
(A) a State; 6
(B) a political subdivision of a State; and 7
(C) an entity or organization, including an 8
Indian Tribe, that has governmental authority 9
within the territorial boundaries of the United 10
States, including Indian lands (as defined in 11
section 4 of the Indian Gaming Regulatory Act 12
(25 U.S.C. 2703)). 13
(5) INDIAN TRIBE.—The term ‘‘Indian Tribe’’ 14
has the meaning given the term ‘‘Indian tribe’’ in 15
section 4 of the Indian Gaming Regulatory Act (25 16
U.S.C. 2703). 17
(6) INTERACTIVE SPORTS WAGERING PLAT-18
FORM.—The term ‘‘interactive sports wagering plat-19
form’’ means a person or entity that offers licensed 20
sports wagering over the internet, including through 21
an internet website and mobile devices, on behalf of 22
a licensed gaming facility. 23
(7) INTERNATIONAL REGULATORY ENTITY.— 24
The term ‘‘international regulatory entity’’ means 25
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MCC18856 S.L.C.
any entity responsible for the regulation of sports 1
wagering outside the United States. 2
(8) INTERNATIONAL SPORTS WAGERING OPER-3
ATOR.— 4
(A) IN GENERAL.—Except as provided in 5
subparagraph (B), the term ‘‘international 6
sports wagering operator’’ means any person 7
that— 8
(i) accepts sports wagers; and 9
(ii) is located outside the United 10
States. 11
(B) EXCEPTION.—The term ‘‘international 12
sports wagering operator’’ does not include a 13
sports wagering operator. 14
(9) INTERSTATE SPORTS WAGERING COM-15
PACT.—The term ‘‘interstate sports wagering com-16
pact’’ means a compact to offer sports wagering in 17
accordance with this Act between— 18
(A) 2 or more States with a State sports 19
wagering program; 20
(B) 1 or more States with a State sports 21
wagering program and 1 or more Indian Tribes; 22
or 23
(C) 2 or more Indian Tribes. 24
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MCC18856 S.L.C.
(10) LICENSED GAMING FACILITY.—The term 1
‘‘licensed gaming facility’’ means a person licensed 2
by a State regulatory entity or an Indian Tribe li-3
censed by a State regulatory agency. 4
(11) NATIONAL EXCLUSION LIST.—The term 5
‘‘national exclusion list’’ means the list maintained 6
by the National Sports Wagering Clearinghouse, in 7
cooperation with State regulatory entities and sports 8
organizations, under section 106(c)(13). 9
(12) NATIONAL SELF-EXCLUSION LIST.—The 10
term ‘‘national self-exclusion list’’ means the list 11
maintained and administered by the National Sports 12
Wagering Clearinghouse, in cooperation with State 13
regulatory entities, under sections 103(b)(6)(A)(ii) 14
and 106(c)(12). 15
(13) NATIONAL SPORTS WAGERING CLEARING-16
HOUSE.—The term ‘‘National Sports Wagering 17
Clearinghouse’’ means the entity designated by the 18
Attorney General under section 106(b). 19
(14) OFFICIAL.—The term ‘‘official’’ means a 20
referee, umpire, judge, reviewer, or any other indi-21
vidual authorized to administer the rules of a sport-22
ing event. 23
(15) SPORTING EVENT.—The term ‘‘sporting 24
event’’ means any athletic competition. 25
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MCC18856 S.L.C.
(16) SPORTS ORGANIZATION.—The term 1
‘‘sports organization’’ means— 2
(A) a person or governmental entity that— 3
(i) sponsors, organizes, schedules, or 4
conducts a sporting event; and 5
(ii) with respect to the sporting event 6
and the participants in the sporting 7
event— 8
(I) prescribes final rules; and 9
(II) enforces a code of conduct; 10
and 11
(B) a league or association of 1 or more 12
persons or governmental entities described in 13
subparagraph (A). 14
(17) SPORTS WAGER.— 15
(A) IN GENERAL.—Except as provided in 16
subparagraph (C), the term ‘‘sports wager’’ 17
means the staking or risking by any person of 18
something of value upon the outcome of a 19
sporting event, including the outcome of any 20
portion or aspect thereof, upon an agreement or 21
understanding that the person or another per-22
son will receive something of value in the event 23
of a certain outcome. 24
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MCC18856 S.L.C.
(B) INCLUSION.—With respect to an ama-1
teur or professional sporting event, the term 2
‘‘sports wager’’ includes— 3
(i) a straight bet; 4
(ii) a teaser; 5
(iii) a variation of a teaser; 6
(iv) a parlay; 7
(v) a total or over-under; 8
(vi) a moneyline; 9
(vii) a betting pool; 10
(viii) exchange wagering; 11
(ix) in-game wagering, including in- 12
game wagering on— 13
(I) a final or interim game score; 14
(II) statistics; or 15
(III) a discrete in-game event; 16
(x) a sports lottery; and 17
(xi) a proposition bet. 18
(C) EXCEPTIONS.—The term ‘‘sports 19
wager’’ does not include— 20
(i) any activity excluded from the defi-21
nition of the term bet or wager under sec-22
tion 5362 of title 31, United States Code; 23
or 24
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MCC18856 S.L.C.
(ii) any activity that does not violate 1
a provision of the Interstate Horseracing 2
Act of 1978 (15 U.S.C. 3001 et seq.). 3
(18) SPORTS WAGERING.—The term ‘‘sports 4
wagering’’ means the acceptance of a sports wager 5
by a sports wagering operator. 6
(19) SPORTS WAGERING OPERATOR.—The term 7
‘‘sports wagering operator’’ means— 8
(A) a licensed gaming facility that offers 9
sports wagering; and 10
(B) an interactive sports wagering plat-11
form. 12
(20) SPORTS WAGERING OPT-IN STATE.—The 13
term ‘‘sports wagering opt-in State’’ means a State 14
that administers a State sports wagering program. 15
(21) STATE.—The term ‘‘State’’ means— 16
(A) a State; 17
(B) the District of Columbia; and 18
(C) any commonwealth, territory, or pos-19
session of the United States. 20
(22) STATE REGULATORY ENTITY.—The term 21
‘‘State regulatory entity’’ means the governmental 22
entity— 23
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MCC18856 S.L.C.
(A) established or designated by a sports 1
wagering opt-in State under section 2
102(a)(2)(A)(ii); and 3
(B) responsible, solely or in coordination 4
with 1 or more other governmental entities, for 5
the regulation of sports wagering in the applica-6
ble sports wagering opt-in State. 7
(23) STATE SOCIAL GAMBLING LAW.—The term 8
‘‘State social gambling law’’ means a State law that 9
allows sports wagering that— 10
(A) is not conducted as a business; 11
(B) involves 2 or more players who com-12
pete on equal terms; and 13
(C) does not provide a benefit to— 14
(i) a player, other than the winnings 15
of the player; or 16
(ii) a person who is not involved in a 17
sports wager. 18
(24) STATE SPORTS WAGERING PROGRAM.— 19
The term ‘‘State sports wagering program’’ means a 20
program administered and overseen by a State pur-21
suant to an application approved by the Attorney 22
General under subsection (b) or (e) of section 102. 23
(25) SUSPICIOUS TRANSACTION.—The term 24
‘‘suspicious transaction’’ means a transaction or an 25
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MCC18856 S.L.C.
arrangement that a sports wagering operator or the 1
National Sports Wagering Clearinghouse, as applica-2
ble, knows or has reason to know, as determined by 3
a director, officer, employee, or agent of the sports 4
wagering operator or National Sports Wagering 5
Clearinghouse, is or would be if completed— 6
(A) a violation of, or part of a plan to vio-7
late or evade, any Federal, State, or local law 8
(including regulations); or 9
(B) sports wagering by or on behalf of an 10
individual described in clause (iii), (iv), or (v) of 11
section 103(b)(4)(A). 12
(26) SUSPICIOUS TRANSACTION REPORT.—The 13
term ‘‘suspicious transaction report’’ means a report 14
submitted to a State regulatory entity, the National 15
Sports Wagering Clearinghouse, or a sports organi-16
zation under section 103(b)(13). 17
(27) TRIBAL-STATE COMPACT.—The term 18
‘‘Tribal-State compact’’ has the meaning given the 19
term in section 11(d) of the Indian Gaming Regu-20
latory Act (25 U.S.C. 2710(d)). 21
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MCC18856 S.L.C.
TITLE I—SPORTS WAGERING 1
SEC. 101. GENERAL PROHIBITION ON SPORTS WAGERING. 2
(a) IN GENERAL.—Except as provided in subsection 3
(b), it shall be unlawful for any person to knowingly accept 4
a sports wager. 5
(b) EXCEPTIONS.—It shall not be a violation of sub-6
section (a) for— 7
(1) a sports wagering operator located in a 8
sports wagering opt-in State to accept a sports 9
wager in accordance with State law; or 10
(2) a person to accept a sports wager in accord-11
ance with an applicable State social gambling law. 12
(c) INJUNCTIONS.— 13
(1) IN GENERAL.—If the Attorney General be-14
lieves a person has violated, is violating, or will vio-15
late subsection (a), the Attorney General may bring 16
a civil action in the appropriate district court of the 17
United States or the appropriate United States 18
court of a territory or possession of the United 19
States, which shall have jurisdiction in proceedings 20
in accordance with the Federal Rules of Civil Proce-21
dure to enjoin a violation of subsection (a). 22
(2) JURY TRIAL.—In the case of an alleged vio-23
lation of an injunction or restraining order issued 24
under paragraph (1), trial shall be, on demand of 25
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MCC18856 S.L.C.
the accused, by a jury in accordance with the Fed-1
eral Rules of Civil Procedure. 2
(d) CIVIL PENALTIES.— 3
(1) IN GENERAL.—Any person who violates this 4
subsection (a) shall be, with respect to any such vio-5
lation, subject to a civil penalty of not more than the 6
greater of $10,000 or 3 times the amount of the ap-7
plicable sports wager. 8
(2) SEPARATE VIOLATIONS.—A separate viola-9
tion occurs for each sports wager accepted in viola-10
tion of subsection (a). 11
(3) JURISDICTION.—The district courts of the 12
United States and appropriate United States courts 13
of the territories and possessions of the United 14
States shall have jurisdiction to enforce this sub-15
section in accordance with section 1355 of title 28, 16
United States Code. 17
(4) EFFECT OF LAW.—A violation of subsection 18
(a) shall not constitute a crime, and a judgment for 19
the United States and imposition of a civil penalty 20
pursuant to paragraph (1) shall not give rise to any 21
disability or legal disadvantage based on conviction 22
for a criminal offense. 23
(e) CIVIL PENALTY NOT EXCLUSIVE OF CRIMINAL 24
PENALTY.—A civil penalty, injunction, or temporary re-25
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MCC18856 S.L.C.
straining order imposed under this section shall be inde-1
pendent of, and not in lieu of, criminal prosecutions or 2
any other proceedings under any other law of the United 3
States, including sections 1084 and 1955 of title 18, 4
United States Code. 5
(f) EFFECTIVE DATE.—Subsection (a) shall take ef-6
fect on the date that is 18 months after the date of enact-7
ment of this Act. 8
SEC. 102. STATE SPORTS WAGERING PROGRAM. 9
(a) INITIAL APPLICATION.— 10
(1) IN GENERAL.—To request approval to ad-11
minister a State sports wagering program, a State 12
shall submit an application to the Attorney General 13
at such time, in such manner, and accompanied by 14
such information as the Attorney General may re-15
quire. 16
(2) CONTENTS.—An application under para-17
graph (1) shall include— 18
(A) a full and complete description of the 19
State sports wagering program the State pro-20
poses to administer under State law, includ-21
ing— 22
(i) each applicable State law relating 23
to sports wagering; and 24
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MCC18856 S.L.C.
(ii) an identification of the State regu-1
latory entity; and 2
(B) an assurance from the attorney gen-3
eral or chief legal officer of the State that the 4
laws of the State provide adequate authority to 5
carry out the proposed State sports wagering 6
program. 7
(b) APPROVAL BY ATTORNEY GENERAL.— 8
(1) IN GENERAL.—Not later than 180 days 9
after the date on which the Attorney General re-10
ceives a complete application under this section, the 11
Attorney General shall approve the application un-12
less the Attorney General determines that the pro-13
posed State sports wagering program does not meet 14
the standards set forth in section 103. 15
(2) DENIAL OF APPLICATION.—A decision of 16
the Attorney General to deny an application sub-17
mitted under this section shall— 18
(A) be made in writing; and 19
(B) specify the 1 or more standards under 20
section 103 that are not satisfied by the pro-21
posed State sports wagering program. 22
(c) NOTICE OF MATERIAL CHANGES.—In the case of 23
a material change to a State law relating to sports wager-24
ing, the State regulatory entity, or other information in-25
19
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cluded in an application submitted pursuant to subsection 1
(a) or (e), not later than 30 days after the date on which 2
the change is made, the State shall submit to the Attorney 3
General a notice of such change. 4
(d) DURATION.—A State sports wagering program 5
shall be valid for a fixed 3-year period beginning on the 6
date on which the Attorney General approves the applica-7
tion of the applicable State under subsection (a) or (e). 8
(e) RENEWAL APPLICATION AND APPROVAL.—Not 9
later than the date on which the 3-year period referred 10
to in subsection (d) ends, a State seeking to renew the 11
approval of the State sports wagering program may sub-12
mit to the Attorney General a renewal application that— 13
(1) includes the information described in sub-14
section (a); and 15
(2) shall be subject to the approval process 16
under subsection (b). 17
(f) REVOCATION AND REVIEW.— 18
(1) EMERGENCY REVOCATION OF APPROVAL.— 19
The Attorney General shall promulgate regulations 20
that provide procedures by which the Attorney Gen-21
eral may revoke the approval of a State to admin-22
ister a State sports wagering program before the 23
date on which the 3-year term described in sub-24
section (d) expires if the Attorney General finds that 25
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MCC18856 S.L.C.
the sports wagering program does not meet 1 or 1
more standards set forth in section 103. 2
(2) ADMINISTRATIVE REVIEW.—The Attorney 3
General shall promulgate regulations that provide 4
procedures by which a State may seek administra-5
tive review of any decision by the Attorney Gen-6
eral— 7
(A) to deny an application under sub-8
section (b); 9
(B) to deny a renewal application under 10
subsection (e); or 11
(C) to revoke an approval under paragraph 12
(1). 13
SEC. 103. STATE SPORTS WAGERING PROGRAM STAND-14
ARDS. 15
(a) IN GENERAL.—The Attorney General shall ap-16
prove an application under section 102 unless the Attor-17
ney General determines that the proposed State sports wa-18
gering program does not meet the standards set forth in 19
subsection (b). 20
(b) STANDARDS FOR STATE SPORTS WAGERING PRO-21
GRAMS.—A State sports wagering program shall meet 22
each of the following standards: 23
(1) STATE REGULATORY ENTITY.—Establish or 24
designate a public entity in the applicable State as 25
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MCC18856 S.L.C.
the State regulatory entity for the purposes of regu-1
lating sports wagering operators and enforcing 2
sports wagering laws in the State. 3
(2) PERMISSIBLE SPORTS WAGERING.— 4
(A) IN-PERSON SPORTS WAGERING.—Pro-5
vide that in-person sports wagering may be of-6
fered only by a sports wagering operator. 7
(B) INTERNET SPORTS WAGERING.— 8
(i) IN GENERAL.—With respect to any 9
authorization of sports wagering on an 10
interactive sports wagering platform, pro-11
vide that such sports wagering, as avail-12
able, is available only to— 13
(I) individuals located in the 14
State; or 15
(II) in the case of an interstate 16
sports wagering compact approved by 17
the Attorney General pursuant to sec-18
tion 105, individuals located in States 19
and on Indian lands (as defined in 20
section 4 of the Indian Gaming Regu-21
latory Act (25 U.S.C. 2703)) of In-22
dian Tribes that are party to the com-23
pact. 24
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(ii) LOCATION VERIFICATION.—In-1
clude location verification requirements 2
reasonably designed to prevent an indi-3
vidual from placing a sports wager on an 4
interactive sports wagering platform from 5
a location other than a location described 6
in clause (i). 7
(C) SPORTS WAGER APPROVAL.— 8
(i) IN GENERAL.—Provide that a 9
sports wagering operator shall not accept a 10
sports wager unless such sports wager or 11
class of sports wagers is expressly ap-12
proved by the State regulatory entity. 13
(ii) APPROVAL CRITERIA.—Direct the 14
State regulatory entity to establish criteria 15
for decisions with respect to the approval 16
of a sports wager or a class of sports wa-17
gers, such as whether the outcome of the 18
event or contingency on which the sports 19
wager is placed is— 20
(I) verifiable; 21
(II) generated by a reliable and 22
independent process; and 23
(III) unlikely to be affected by 24
any sports wager placed. 25
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(D) PROHIBITION OF SPORTS WAGERING 1
ON CERTAIN AMATEUR SPORTS.— 2
(i) IN GENERAL.—Except as provided 3
in clause (ii), prohibit the State regulatory 4
entity from approving or a sports wagering 5
operator from accepting a sports wager on 6
any amateur athletic competition. 7
(ii) EXCEPTIONS.—A State regulatory 8
entity may approve, and a sports wagering 9
operator may accept, a sports wager, as 10
approved by the applicable State regu-11
latory entity, on— 12
(I) the Olympic Games; 13
(II) the Paralympic Games; 14
(III) the Pan-American Games; 15
or 16
(IV) any intercollegiate sport (as 17
defined in the Sports Agent Responsi-18
bility and Trust Act (15 U.S.C. 19
7801). 20
(3) RESTRICTIONS ON SPORTS WAGERING TO 21
PROTECT CONTEST INTEGRITY.— 22
(A) DEFINITION OF NECESSARY TO MAIN-23
TAIN CONTEST INTEGRITY.—In this paragraph, 24
the term ‘‘necessary to maintain contest integ-25
24
MCC18856 S.L.C.
rity’’ means that, in the absence of a restric-1
tion, there is a reasonably foreseeable risk that 2
the outcome of the sporting event or contin-3
gency on which the wager is placed would be af-4
fected by the wager. 5
(B) CONTEST INTEGRITY.—Prohibit a 6
sports wagering operator from accepting a 7
sports wager in violation of a notice of restric-8
tion received by the sports wagering operator 9
under subparagraph (E)(i). 10
(C) REQUEST TO RESTRICT SPORTS WA-11
GERING.— 12
(i) IN GENERAL.—With respect to a 13
sporting events sponsored, organized, or 14
conducted by a sports organization, permit 15
the sports organization to submit to the 16
State regulatory entity a request to re-17
strict, limit, or exclude wagers on 1 or 18
more sporting events, including by restrict-19
ing, limiting, and excluding sports wagers 20
on 1 or more performances of an athlete in 21
1 or more sporting events in which such 22
athlete participates, if the applicable sports 23
organization determines that such restric-24
25
MCC18856 S.L.C.
tion is necessary to maintain contest integ-1
rity. 2
(ii) DEADLINES FOR SUBMISSION.— 3
Provide that the State regulatory entity 4
shall establish reasonable deadlines for the 5
submission of a request under clause (i) in 6
advance of the applicable sporting event. 7
(D) DETERMINATION BY THE STATE REG-8
ULATORY ENTITY.—Provide that the State reg-9
ulatory entity shall promptly— 10
(i) approve a request described in sub-11
paragraph (C)(i) unless the State regu-12
latory entity determines, considering any 13
information provided by the sports organi-14
zation and any other relevant information, 15
that a restriction is not necessary to main-16
tain contest integrity; 17
(ii) provide a written explanation of a 18
determination under clause (i) to approve 19
or deny a request; 20
(iii) make such written explanation 21
available to the public; and 22
(iv) provide a process by which the 23
sports organization that submitted the re-24
26
MCC18856 S.L.C.
quest may seek review of such determina-1
tion. 2
(E) NOTICE OF RESTRICTION.—Provide 3
that the State regulatory entity shall establish 4
a process— 5
(i) to provide to sports wagering oper-6
ators prompt notice of any restriction ap-7
proved by the State regulatory entity; and 8
(ii) to make such notice publicly avail-9
able. 10
(4) PREVENTION OF SPORTS WAGERING BY 11
PROHIBITED INDIVIDUALS.— 12
(A) PROHIBITED INDIVIDUALS.—Prohibit 13
a sports wagering operator from accepting 14
sports wagers from any— 15
(i) individual younger than 21 years 16
of age; 17
(ii) individual on the national self-ex-18
clusion list; 19
(iii) athlete, coach, official, or em-20
ployee of a sports organization or any club 21
or team of a sports organization, with re-22
spect to a sporting event sponsored, orga-23
nized, or conducted by the sports organiza-24
tion; 25
27
MCC18856 S.L.C.
(iv) employee of a player or an official 1
union of a sports organization, with re-2
spect to a sporting event sponsored, orga-3
nized, or conducted by the sports organiza-4
tion; 5
(v) individual who, with respect to a 6
sporting event sponsored, organized, or 7
conducted by a sports organization, is— 8
(I) credentialed or accredited by 9
the sports organization; and 10
(II) prohibited from placing a 11
sports wager by the terms of such cre-12
dential or accreditation; or 13
(vi) individual convicted of an offense 14
under subsection (a) or (b) of section 224 15
of title 18, United States Code. 16
(B) NATIONAL EXCLUSION LIST.— 17
(i) IN GENERAL.—Provide that sports 18
wagering operators shall have access to the 19
national exclusion list maintained by the 20
National Sports Wagering Clearinghouse. 21
(ii) REVIEW.—Establish procedures 22
by which a resident of the State may seek 23
review by the State regulatory entity of a 24
28
MCC18856 S.L.C.
decision to include the individual on the 1
national exclusion list. 2
(iii) REASONABLE STEPS RE-3
QUIRED.—Provide that a sports wagering 4
operator shall take reasonable steps to pre-5
vent the sports wagering operator from ac-6
cepting a sports wager from an individual 7
on the national exclusion list. 8
(5) AUTHORIZED DATA.— 9
(A) RESULT OF A SPORTS WAGER.— 10
(i) MARKET TRANSITION PERIOD.— 11
With respect to any sports wager accepted 12
on or before December 31, 2024, provide 13
that a sports wagering operator shall de-14
termine the result of a sports wager only 15
with data that is licensed and provided 16
by— 17
(I) the applicable sports organi-18
zation; or 19
(II) an entity expressly author-20
ized by the applicable sports organiza-21
tion to provide such information. 22
(ii) POST-TRANSITION PERIOD.—With 23
respect to any sports wager accepted after 24
December 31, 2024, provide that a sports 25
29
MCC18856 S.L.C.
wagering operator shall determine the re-1
sult of a sports wager only with data that 2
is obtained from a source that the State 3
regulatory entity has— 4
(I) found to provide— 5
(aa) data of substantially 6
similar speed, accuracy, and con-7
sistency to the data available 8
under clause (i); and 9
(bb) only data that is— 10
(AA) legally obtained; 11
and 12
(BB) in full compliance 13
with the terms of any appli-14
cable contract or license; 15
(II) expressly authorized to pro-16
vide such data to sports wagering op-17
erators; and 18
(III) identified in the application 19
of the State regulatory entity under 20
section 102. 21
(B) OTHER PURPOSES.—Provide that the 22
statistics, result, outcome, or other data used 23
by a sports wagering operator for a purpose 24
other than to determine the result of a sports 25
30
MCC18856 S.L.C.
wager shall be in the public domain or other-1
wise legally obtained. 2
(6) CONSUMER PROTECTIONS.— 3
(A) SELF-EXCLUSION.— 4
(i) STATE SELF-EXCLUSION LIST.— 5
Provide a process by which an individual 6
may restrict himself or herself from plac-7
ing a sports wager with a sports wagering 8
operator located in the State, including by 9
imposing sports wager limits. 10
(ii) NATIONAL SELF-EXCLUSION 11
LIST.—Provide, through the State regu-12
latory entity acting in cooperation with the 13
National Sports Wagering Clearinghouse, a 14
process by which an individual may restrict 15
himself or herself from placing a sports 16
wager with a sports wagering operator lo-17
cated in any sports wagering opt-in State, 18
including by imposing sports wager limits, 19
and placing himself or herself on the na-20
tional self-exclusion list. 21
(iii) REASONABLE STEPS RE-22
QUIRED.—Provide that a sports wagering 23
operator shall take reasonable steps to pre-24
31
MCC18856 S.L.C.
vent from placing a sports wager an indi-1
vidual who is— 2
(I) described in clause (i); or 3
(II) included on the national self- 4
exclusion list. 5
(B) WITHDRAWAL RESTRICTIONS.—Pro-6
hibit a sports wagering operator from— 7
(i) requiring an individual engaged in 8
sports wagering to participate in a pub-9
licity or an advertising activity of the 10
sports wagering operator as a condition of 11
withdrawal of the winnings of the indi-12
vidual; and 13
(ii) imposing on any individual en-14
gaged in sports wagering— 15
(I) a minimum or maximum 16
withdrawal limit for the account of 17
the individual; 18
(II) any restriction on the right 19
of the individual to make a with-20
drawal from the account of the indi-21
vidual based on the extent of the 22
sports wagering by the individual; 23
(III) an unreasonable deadline 24
for the provision of information relat-25
32
MCC18856 S.L.C.
ing to the identity of the individual as 1
a condition of withdrawal from the ac-2
count of the individual; or 3
(IV) a dormancy charge for an 4
account of the individual that is not 5
used to place a sports wager. 6
(C) DISCLOSURE.— 7
(i) RESTRICTIONS OR CONDITIONS.— 8
Provide that a sports wagering operator 9
shall provide an individual with adequate 10
and clear information relating to any appli-11
cable restriction or condition before the in-12
dividual opens an account with the sports 13
wagering operator. 14
(ii) BONUSES OFFERED.—Provide 15
that a sports wagering operator shall pro-16
vide to an individual engaged in sports wa-17
gering clear information relating to any 18
bonus offered, including the terms of with-19
drawal of the bonus. 20
(iii) PUBLIC AVAILABILITY.—Provide 21
that the information described in clauses 22
(i) and (ii) be available to the public. 23
(D) TREATMENT AND EDUCATION FUND-24
ING.—Provide that a sports wagering operator 25
33
MCC18856 S.L.C.
shall allocate an appropriate percentage of the 1
revenue from sports wagering to— 2
(i) treatment for gambling disorder; 3
and 4
(ii) education on responsible gaming. 5
(E) RESERVE REQUIREMENT.—Provide 6
that a sports wagering operator shall maintain 7
a reserve in an amount not less than the sum 8
of— 9
(i) the amounts held by the sports wa-10
gering operator for the account of patrons; 11
(ii) the amounts accepted by the 12
sports wagering operator as sports wagers 13
on contingencies the outcomes of which 14
have not been determined; and 15
(iii) the amounts owed but unpaid by 16
the sports wagering operator on winning 17
wagers during the period for honoring win-18
ning wagers established by State law or 19
the sports wagering operator. 20
(7) ADVERTISING.—Provide that advertise-21
ments for a sports wagering operator— 22
(A) shall— 23
(i) disclose the identity of the sports 24
wagering operator; and 25
34
MCC18856 S.L.C.
(ii) provide information about how to 1
access resources relating to gambling ad-2
diction; and 3
(B) shall not recklessly or purposefully tar-4
get— 5
(i) problem gamblers; 6
(ii) individuals suffering from gam-7
bling disorder; or 8
(iii) individuals who are ineligible to 9
place a sports wager, including individuals 10
younger than 21 years of age. 11
(8) LICENSING REQUIREMENT.— 12
(A) IN GENERAL.—Provide that a sports 13
wagering operator located in the State shall be 14
licensed by the State regulatory entity. 15
(B) SUITABILITY FOR LICENSING.— 16
(i) IN GENERAL.—Provide that before 17
granting a license to a prospective sports 18
wagering operator, the State regulatory en-19
tity shall, make a determination, based on 20
a completed background check and inves-21
tigation, with respect to whether the pro-22
spective sports wagering operator and any 23
person considered to be in control of the 24
prospective sports wagering operator is 25
35
MCC18856 S.L.C.
suitable for license in accordance with suit-1
ability standards established by the State 2
regulatory entity. 3
(ii) ASSOCIATES OF APPLICANTS.— 4
Provide that if a prospective sports wager-5
ing operator is a corporation, partnership, 6
or other business entity, a background 7
check and investigation shall occur with re-8
spect to— 9
(I) the president or other chief 10
executive of the corporation, partner-11
ship, or other business entity; and 12
(II) any other partner or senior 13
executive and director of the corpora-14
tion, partnership, or other business 15
entity, as determined by the State 16
regulatory entity. 17
(iii) BACKGROUND CHECK AND INVES-18
TIGATION.—Establish standards and pro-19
cedures for conducting the background 20
checks and investigations described in this 21
subparagraph. 22
(C) UNSUITABILITY FOR LICENSING.— 23
With respect to the suitability standards under 24
in subparagraph (B)(1), provide that a prospec-25
36
MCC18856 S.L.C.
tive sports wagering operator shall not be deter-1
mined to be suitable for licensing as a sports 2
wagering operator if the prospective sports wa-3
gering operator— 4
(i) has failed to provide information 5
and documentary material for a determina-6
tion of suitability for licensing as a sports 7
wagering operator; 8
(ii) has supplied information which is 9
untrue or misleading as to a material fact 10
pertaining to any such determination; 11
(iii) has been convicted of an offense 12
punishable by imprisonment of more than 13
1 year; 14
(iv) is delinquent in— 15
(I) filing any applicable Federal 16
or State tax returns; or 17
(II) the payment of any taxes, 18
penalties, additions to tax, or interest 19
owed to the United States or a State; 20
(v) on or after October 13, 2006— 21
(I) has knowingly participated in, 22
or should have known the prospective 23
sports wagering operator was partici-24
37
MCC18856 S.L.C.
pating in, an illegal internet gambling 1
activity, including— 2
(aa) taking an illegal inter-3
net wager; 4
(bb) payment of winnings on 5
an illegal internet wager; 6
(cc) promotion through ad-7
vertising of an illegal internet 8
gambling website or service; or 9
(dd) collection of any pay-10
ment on behalf of an entity oper-11
ating an illegal internet gambling 12
website; or 13
(II) has knowingly been owned, 14
operated, managed, or employed by, 15
or should have known the prospective 16
sports wagering operator was owned, 17
operated, managed, or employed by, 18
any person who was knowingly par-19
ticipating in, or should have known 20
the person was participating in, an il-21
legal internet gambling activity, in-22
cluding an activity described in items 23
(aa) through (dd) of subclause (I); 24
(vi) has— 25
38
MCC18856 S.L.C.
(I) received any assistance, finan-1
cial or otherwise, from a person who 2
has, before the date of enactment of 3
this Act, knowingly accepted bets or 4
wagers from any other person who is 5
physically present in the United 6
States in violation of Federal or State 7
law; or 8
(II) provided any assistance, fi-9
nancial or otherwise, to a person who 10
has, before the date of enactment of 11
this Act, knowingly accepted bets or 12
wagers from any other person who is 13
physically present in the United 14
States in violation of Federal or State 15
law; 16
(vii) with respect to any other entity 17
that has accepted a bet or wager from any 18
individual in violation of United States 19
law, has purchased or otherwise obtained— 20
(I) such entity; 21
(II) a list of the customers of 22
such entity; or 23
(III) any other part of the equip-24
ment or operations of such entity; or 25
39
MCC18856 S.L.C.
(viii) fails to certify in writing, under 1
penalty of perjury, that the applicant or 2
other such person, and all affiliated busi-3
ness entities (including all entities under 4
common control), during the entire history 5
of such applicant or other such person and 6
all affiliated business entities— 7
(I) have not committed an inten-8
tional felony violation of Federal or 9
State sports wagering law; and 10
(II) have used diligence to pre-11
vent any United States person from 12
placing a sports wager on an internet 13
site in violation of Federal or State 14
sports wagering laws. 15
(D) REVOCATION AND SUSPENSION.—Es-16
tablish standards and procedures for sus-17
pending or revoking the license of a sports wa-18
gering operator. 19
(9) EMPLOYEE BACKGROUND CHECKS.—Pro-20
vide that a sports wagering operator— 21
(A) shall ensure that each existing and 22
newly-hired employee or contractor of the sports 23
wagering operator undergo an annual criminal 24
history background check; and 25
40
MCC18856 S.L.C.
(B) shall not employ or enter into a con-1
tract with any individual who has been con-2
victed of a Federal or State crime relating to 3
sports wagering. 4
(10) RECORDKEEPING REQUIREMENTS.— 5
(A) IN GENERAL.—Except as provided in 6
subparagraph (B), with respect to each sports 7
wager accepted by a sports wagering operator 8
or attempted to be placed by an individual with 9
a sports wagering operator, provide that the 10
sports wagering operator shall secure and main-11
tain a record of the following: 12
(i) The name, permanent address, 13
date of birth, and social security number 14
or passport number of the individual who 15
placed, or attempted to place, the sports 16
wager, which the sports wagering operator 17
shall verify in accordance with the require-18
ments for verification of identity in parts 19
1010.312 and 1021.312 of title 31, Code 20
of Federal Regulations (or successor regu-21
lations). 22
(ii) The amount and type of the 23
sports wager. 24
41
MCC18856 S.L.C.
(iii) The date and time at which the 1
sports wager was placed or attempted to 2
be placed. 3
(iv) The location at which the sports 4
wager was placed or attempted to be 5
placed, including the internet protocol ad-6
dress, if applicable. 7
(v) The outcome of the sports wager. 8
(B) EXCEPTION.—Provide that a sports 9
wagering operator shall not be required to 10
maintain a record of the information described 11
in subparagraph (A) if— 12
(i) the sports wager is not placed by 13
an individual through an account with the 14
sports wagering operator; 15
(ii) the amount of the sports wager 16
does not exceed $10,000; 17
(iii) the sports wagering operator and 18
any officer, employee, or agent of the 19
sports wagering operator does not have 20
knowledge, or would not in the ordinary 21
course of business have reason to have 22
knowledge, that the sports wager is one of 23
multiple sports wagers placed by an indi-24
vidual or on behalf of an individual during 25
42
MCC18856 S.L.C.
one day that are, in the aggregate, in ex-1
cess of $10,000; and 2
(iv) the sports wagering operator is 3
not required, pursuant to section 4
31.3402(q)-1 of title 26, Code of Federal 5
Regulations (or a successor regulation), to 6
furnish a Form W-2G to the individual 7
who placed the sports wager with respect 8
to winnings from the sports wager. 9
(C) RECORDS RELATING TO SUSPICIOUS 10
TRANSACTIONS.—Provide that, in addition to 11
the records required to be maintained pursuant 12
paragraph (A), a sports wagering operator shall 13
be required to maintain any other records relat-14
ing to a suspicious transaction, including video 15
recordings, in the possession, custody, or con-16
trol of the sports wagering operator. 17
(D) DURATION OF RECORDKEEPING OBLI-18
GATION.—Provide that a sports wagering oper-19
ator shall be required to maintain each record 20
required under this paragraph for not less than 21
5 years after the date on which the record is 22
created. 23
(11) DATA SECURITY.—Provide that a sports 24
wagering operator and the State regulatory entity 25
43
MCC18856 S.L.C.
shall take reasonable steps to prevent unauthorized 1
access to, or dissemination of, sports wagering and 2
customer data. 3
(12) REAL-TIME INFORMATION SHARING.—Pro-4
vide that a sports wagering operator shall provide to 5
the National Sports Wagering Clearinghouse 6
anonymized sports wagering data in real-time or as 7
soon as practicable, but not later than 24 hours, 8
after the time at which a sports wager is accepted 9
by the sports wagering operator. 10
(13) SUSPICIOUS TRANSACTION REPORTING.— 11
(A) REPORTING TO STATE REGULATORY 12
ENTITY.—Provide that each sports wagering 13
operator located in the State shall promptly re-14
port the information described in paragraph 15
(10)(A) for any suspicious transaction to the 16
State regulatory entity, in such manner and ac-17
companied by such additional information as 18
the State regulatory entity may require. 19
(B) REPORTING TO THE NATIONAL SPORTS 20
WAGERING CLEARINGHOUSE AND SPORTS ORGA-21
NIZATIONS.— 22
(i) IN GENERAL.—Subject to clause 23
(ii), provide that a sports wagering oper-24
ator shall simultaneously transmit to the 25
44
MCC18856 S.L.C.
National Sports Wagering Clearinghouse, 1
applicable sports organization, and any 2
component of the Department of Justice or 3
other Federal law enforcement entity des-4
ignated by the Attorney General to receive 5
such reports, any suspicious transaction 6
report submitted to a State regulatory en-7
tity under subparagraph (A). 8
(ii) PERSONALLY IDENTIFIABLE IN-9
FORMATION.— 10
(I) IN GENERAL.—Except as pro-11
vided in subclause (II), a suspicious 12
transaction report submitted to the 13
National Sports Wagering Clearing-14
house or a sports organization shall 15
not contain any personally identifiable 16
information relating to any individual 17
who placed, or attempted to place, a 18
sports wager. 19
(II) EXCEPTION.—A suspicious 20
transaction report submitted to the 21
National Sports Wagering Clearing-22
house or a sports organization shall 23
include any available personally identi-24
fiable information relating to an indi-25
45
MCC18856 S.L.C.
vidual described in clause (iii), (iv), or 1
(v) of paragraph (4)(A). 2
(14) MONITORING AND ENFORCEMENT.— 3
(A) IN GENERAL.—Provide that the State 4
regulatory entity, in consultation with law en-5
forcement, shall develop and implement a strat-6
egy to enforce the sports wagering laws of the 7
State. 8
(B) AUTHORITY TO MONITOR AND EN-9
FORCEMENT.—Provide adequate authority to 10
the State regulatory entity and law enforce-11
ment, as appropriate, to monitor compliance 12
with and enforce the sports wagering laws of 13
the State, including— 14
(i) the authority and responsibility to 15
conduct periodic audits and inspect the 16
books and records of each sports wagering 17
operator located or operating in the State; 18
and 19
(ii) a requirement that the State regu-20
latory entity shall refer evidence of poten-21
tial criminal violations to the appropriate 22
law enforcement entity. 23
(15) COOPERATION WITH INVESTIGATIONS.— 24
46
MCC18856 S.L.C.
(A) SPORTS WAGERING OPERATORS.—Pro-1
vide that any sports wagering operator located 2
or operating in the State shall cooperate with 3
any lawful investigation conducted by— 4
(i) the State regulatory entity; 5
(ii) Federal or State law enforcement; 6
or 7
(iii) a sports organization, with re-8
spect to a sports wager— 9
(I) on a sporting event spon-10
sored, organized, or conducted by the 11
sports organization; 12
(II) placed by or on behalf of an 13
individual described in clause (iii), 14
(iv), or (v) of paragraph (4)(A); and 15
(III) accepted by the sports wa-16
gering operator. 17
(B) STATE REGULATORY ENTITY.—Pro-18
vide that the State regulatory entity shall co-19
operate with any lawful investigation conducted 20
by— 21
(i) Federal or State law enforcement; 22
or 23
(ii) a sports organization, with respect 24
to a sports wager— 25
47
MCC18856 S.L.C.
(I) on a sporting event spon-1
sored, organized, or conducted by the 2
sports organization; and 3
(II) accepted by a sports wager-4
ing operator located or operating in 5
the State. 6
(16) INTERNAL CONTROLS.— 7
(A) IN GENERAL.—Provide that each 8
sports wagering operator shall devise and main-9
tain a system of internal controls sufficient to 10
provide reasonable assurances that sports wa-11
gers are accepted in accordance with all appli-12
cable laws, regulations, and policies. 13
(B) MINIMUM STANDARDS.—Provide that 14
the State regulatory entity shall adopt and pub-15
lish minimum standards for internal control 16
procedures. 17
(C) REPORT.—Provide that each sports 18
wagering operator shall submit to the State reg-19
ulatory entity not less frequently than annually 20
the written system of internal controls of the 21
sports wagering operator. 22
(D) AUDIT.—Provide that system of inter-23
nal controls of a sports wagering operator shall 24
be evaluated on a periodic basis, but not less 25
48
MCC18856 S.L.C.
frequently than every 3 years, by the State reg-1
ulatory entity or an independent third party 2
auditor. 3
SEC. 104. ANTI-MONEY LAUNDERING PROVISIONS. 4
(a) BANK SECRECY ACT.—Section 5312(a)(2)(X) of 5
title 31, United States Code, is amended— 6
(1) in the matter preceding clause (i), by insert-7
ing ‘‘sports wagering operator (as defined in section 8
3 of the Sports Wagering Market Integrity Act of 9
2018),’’ after ‘‘gambling casino,’’; and 10
(2) in clause (i), by inserting ‘‘sports wagering 11
operator,’’ after ‘‘gambling casino,’’. 12
(b) RULES FOR SPORTS WAGERING OPERATORS.— 13
Not later than 180 days after the date of enactment of 14
this Act, the Secretary of the Treasury shall amend— 15
(1) part 1021 of title 31, Code of Federal Reg-16
ulations, to provide that sports wagering operators 17
shall be treated the same as casinos with respect to 18
any requirement under that part; and 19
(2) sections 1010.312, 1021.311, and 1021.312 20
of title 31, Code of Federal Regulations, to specifi-21
cally address the means by which a sports wagering 22
operator shall, under each such section, verify the 23
identity of an individual who conducts a transaction 24
described in that section over the internet. 25
49
MCC18856 S.L.C.
(c) APPLICATION.— 1
(1) DEFINITION.—In this subsection, the term 2
‘‘Bank Secrecy Act’’ means subchapter II of chapter 3
53 of title 31, United States Code. 4
(2) EFFECT OF COMPLIANCE WITH STATE RE-5
QUIREMENTS.—The submission of a suspicious 6
transaction report to a State regulatory entity, the 7
National Sports Wagering Clearinghouse, or a sports 8
organization shall not be considered to violate— 9
(A) any provision of the Bank Secrecy Act; 10
or 11
(B) any regulation promulgated under the 12
Bank Secrecy Act that limits the disclosure of 13
information that would reveal the existence of a 14
suspicious activity report filed with the Finan-15
cial Crimes Enforcement Network under chap-16
ter X of title 31, Code of Federal Regulations. 17
SEC. 105. INTERSTATE SPORTS WAGERING COMPACTS. 18
(a) IN GENERAL.—Each sports wagering opt-in State 19
may enter into such interstate sports wagering compact 20
as may be necessary to provide for sports wagering on an 21
interactive sports wagering platform between and among 22
individuals located in any State that is party to such com-23
pact. 24
50
MCC18856 S.L.C.
(b) EFFECTIVE DATE.—The effective date of an 1
interstate sports wagering compact entered into under 2
subsection (a), or any amendment of such interstate 3
sports wagering compact, shall be not earlier than 90 days 4
after the date on which such interstate sports wagering 5
compact or amendment is approved by the Attorney Gen-6
eral under subsection (c). 7
(c) ATTORNEY GENERAL REVIEW.— 8
(1) IN GENERAL.—The parties to an interstate 9
sports wagering compact shall submit to the Attor-10
ney General a copy of the interstate sports wagering 11
compact at such time, in such manner, and accom-12
panied by such information as the Attorney General 13
may require. 14
(2) EFFECT ON STATE SPORTS WAGERING PRO-15
GRAMS.—In addition to any other information re-16
quired by the Attorney General, each party to an 17
interstate sports wagering compact submitted to the 18
Attorney General under paragraph (1) shall provide 19
to the Attorney General a full and complete descrip-20
tion of any changes or proposed changes to be made 21
to the sports wagering program of the State to com-22
ply with the terms of the interstate sports wagering 23
compact. 24
51
MCC18856 S.L.C.
(3) APPROVAL BY ATTORNEY GENERAL.—Not 1
later than 180 days after the Attorney General re-2
ceives an interstate sports wagering compact and 3
any other information required under this sub-4
section, the Attorney General shall approve the 5
interstate sports wagering compact unless the Attor-6
ney General determines that— 7
(A) the terms of such interstate sports wa-8
gering compact conflict with this Act or any 9
other Federal law; 10
(B) any change to a State sports wagering 11
program submitted to the Attorney General 12
under paragraph (2) does not meet the stand-13
ards set forth in section 103; or 14
(C) such interstate sports wagering com-15
pact would permit a sports wagering operator 16
or an individual located in any State party to 17
the compact to accept or place a sports wager 18
from or in another State through an interactive 19
sports wagering platform that the sports wager-20
ing operator or individual would have been pro-21
hibited from accepting or placing in the State 22
in which the individual is located, but for the 23
interstate sports wagering compact. 24
52
MCC18856 S.L.C.
(4) DENIAL BY ATTORNEY GENERAL.—A deci-1
sion of the Attorney General not to approve an 2
interstate sports wagering compact submitted under 3
paragraph (3) shall— 4
(A) be made in writing; and 5
(B) specify the reason that the interstate 6
sports wagering compact was not approved. 7
(5) MODIFICATION.—Any proposed amendment 8
to an interstate sports wagering compact shall be 9
submitted by the parties and reviewed by the Attor-10
ney General in the same manner as an interstate 11
sports wagering compact under this subsection. 12
(6) ADMINISTRATIVE REVIEW.—The Attorney 13
General shall promulgate regulations that provide 14
procedures by which a party to an interstate sports 15
wagering compact may seek administrative review of 16
any decision by the Attorney General not to approve 17
an interstate sports wagering compact or amend-18
ment under this subsection. 19
SEC. 106. NATIONAL SPORTS WAGERING CLEARINGHOUSE. 20
(a) IN GENERAL.—An entity designated as the Na-21
tional Sports Wagering Clearinghouse shall— 22
(1) be a nonprofit organization that— 23
(A) is not owned by any other entity; and 24
53
MCC18856 S.L.C.
(B) is established for the purpose of car-1
rying out the activities described in subsection 2
(c); 3
(2) have articles of incorporation, a constitu-4
tion, bylaws, or any other governing document that 5
establishes and maintains provisions with respect to 6
the governance and conduct of the affairs of the Na-7
tional Sports Wagering Clearinghouse for reasonable 8
representation of— 9
(A) sports wagering operators; 10
(B) sports organizations; 11
(C) State regulatory entities; 12
(D) Federal and State law enforcement; 13
and 14
(E) 1 or more individuals not affiliated or 15
associated with an entity described in subpara-16
graphs (A) through (D) who, in the judgment 17
of the Attorney General, represent the interests 18
of the United States public in the activities of 19
the National Sports Wagering Clearinghouse; 20
(3) demonstrate to the Attorney General that 21
the National Sports Wagering Clearinghouse has or 22
will have the administrative and technological capa-23
bilities to carry out the activities described in sub-24
section (c); and 25
54
MCC18856 S.L.C.
(4) be designated by the Attorney General in 1
accordance with subsection (b). 2
(b) DESIGNATION OF NATIONAL SPORTS WAGERING 3
CLEARINGHOUSE.— 4
(1) INITIAL DESIGNATION.— 5
(A) SOLICITATION OF INFORMATION.—Not 6
later than 90 days after the date of enactment 7
of this Act, the Attorney General shall publish 8
in the Federal Register a notice soliciting infor-9
mation to assist in identifying an appropriate 10
entity to serve as the National Sports Wagering 11
Clearinghouse. 12
(B) DESIGNATION.—Not later than 270 13
days after the date of enactment of this Act 14
and after reviewing the information requested 15
under subparagraph (A), the Attorney General 16
shall make an initial designation of the Na-17
tional Sports Wagering Clearinghouse. 18
(C) PUBLICATION.—Not later than 300 19
days after the date of enactment of this Act, 20
the Attorney General shall publish in the Fed-21
eral Register a notice setting forth the identity 22
of, and contact information for, the National 23
Sports Wagering Clearinghouse designated 24
under subparagraph (B). 25
55
MCC18856 S.L.C.
(2) PERIODIC REVIEW OF DESIGNATION.— 1
(A) IN GENERAL.—Not less frequently 2
than every fifth January beginning in the fifth 3
calendar year after the initial designation under 4
paragraph (1)(B), the Attorney General shall 5
publish in the Federal Register a notice solic-6
iting information relating to whether— 7
(i) the existing designation should be 8
continued; or 9
(ii) a different entity meeting the cri-10
teria described in paragraphs (1) through 11
(3) of subsection (a) should be designated 12
as the National Sports Wagering Clearing-13
house. 14
(B) PUBLICATION.—After the publication 15
of the notice under subparagraph (A), a review 16
of the information submitted pursuant to the 17
notice, and any additional proceedings as the 18
Attorney General considers appropriate, the At-19
torney General shall publish in the Federal 20
Register a notice— 21
(i) continuing the existing designation; 22
or 23
(ii) designating another entity as the 24
National Sports Wagering Clearinghouse. 25
56
MCC18856 S.L.C.
(C) EFFECTIVE DATE OF NEW DESIGNA-1
TION.—A new designation under subparagraph 2
(B)(ii) shall be effective as of the first day of 3
the month that is not less than 180 days and 4
not more than 270 days after the date of publi-5
cation of the notice under subparagraph (B), as 6
specified by the Attorney General. 7
(c) AUTHORITIES AND FUNCTIONS.—The National 8
Sports Wagering Clearinghouse shall— 9
(1) operate the official national resource center 10
and information clearinghouse for sports wagering 11
integrity; 12
(2) coordinate public and private programs and 13
resources relating to— 14
(A) sports wagering integrity; 15
(B) practices for responsible betting; and 16
(C) addressing gambling disorder; 17
(3) contribute to and disseminate, on a national 18
basis, information relating to best practices and 19
model programs and resources that benefit— 20
(A) sports wagering integrity; 21
(B) responsible betting; and 22
(C) responses to gambling disorder; 23
57
MCC18856 S.L.C.
(4) operate a national repository of anonymized 1
sports wagering data and suspicious transaction re-2
ports; 3
(5) receive from sports wagering operators 4
anonymized sports wagering data and suspicious 5
transaction reports; 6
(6) promptly make available to State regulatory 7
entities anonymized sports wagering data and sus-8
picious transaction reports received from sports wa-9
gering operators; 10
(7) with respect to sporting events sponsored, 11
organized, or conducted by a sports organization, 12
promptly make available to the applicable sports or-13
ganization anonymized sports wagering data and 14
suspicious transaction reports received from sports 15
wagering operators; 16
(8) enter into memoranda of understanding or 17
such other agreements with public or private third 18
parties as may be necessary to provide for the shar-19
ing of anonymized sports wagering data and sus-20
picious transaction reports under paragraphs (5) 21
through (7) and other information between the Na-22
tional Sports Wagering Clearinghouse and— 23
(A) sports wagering operators; 24
(B) sports organizations; 25
58
MCC18856 S.L.C.
(C) State regulatory entities; 1
(D) Federal and State law enforcement; 2
and 3
(E) an international regulatory entity or 4
international law enforcement, with respect to 5
anonymized sports wagering data and sus-6
picious transaction reports relating to sporting 7
events that occur— 8
(i) outside the United States; and 9
(ii) within the jurisdiction of the inter-10
national regulatory entity or international 11
law enforcement; 12
(9) receive from international sports wagering 13
operators, international regulatory entities, or inter-14
national law enforcement any information such enti-15
ties make available to the National Sports Wagering 16
Clearinghouse; 17
(10) analyze anonymized sports wagering data 18
received under paragraph (5) for the purpose of 19
identifying patterns, trends, and irregularities that 20
may indicate potential violations of Federal or State 21
law, which shall be referred to the appropriate sports 22
organization, State regulatory entity, and Federal or 23
State law enforcement; 24
59
MCC18856 S.L.C.
(11) provide technical assistance and consulta-1
tion to sports wagering operators, sports organiza-2
tions, State regulatory entities, and Federal and 3
State law enforcement to assist in— 4
(A) the identification of suspicious sports 5
wagering activity; and 6
(B) the prevention, investigation, and pros-7
ecution of cases relating to unlawful sports wa-8
gering or any other activity relating to sports 9
wagering that may threaten the integrity of 10
sporting events; 11
(12) in cooperation with State regulatory enti-12
ties, maintain and administer— 13
(A) the national self-exclusion list; and 14
(B) the process by which an individual 15
may add or remove himself or herself from the 16
national self-exclusion list; 17
(13) in cooperation with State regulatory enti-18
ties and sports organizations, maintain and make 19
available to sports wagering operators the national 20
exclusion list, which shall include any individual— 21
(A) identified to the National Sports Wa-22
gering Clearinghouse by an appropriate sports 23
organization as an individual described in 24
clause (iii), (iv), or (v) of section 103(b)(4)(A); 25
60
MCC18856 S.L.C.
(B) included on the national self-exclusion 1
list; or 2
(C) identified to the National Sports Wa-3
gering Clearinghouse by the Attorney General 4
as having been convicted of any offense under 5
section 224(a) or (b) of title 18, United States 6
Code; 7
(14) establish procedures by which any indi-8
vidual may determine— 9
(A) whether the individual is included on 10
the national exclusion list; and 11
(B) the reason the individual is included 12
on the national exclusion, including, as applica-13
ble, the sports organization or State regulatory 14
entity that provided the name of the individual 15
for inclusion on the national exclusion list; 16
(15) coordinate with the National Council on 17
Problem Gambling and other organizations, as ap-18
propriate, to develop and disseminate information 19
relating to best practices and model programs and 20
resources for— 21
(A) ensuring appropriate consumer protec-22
tions; and 23
61
MCC18856 S.L.C.
(B) the prevention of, intervention and 1
treatment for, and recovery from gambling dis-2
order; and 3
(16) any other activity considered by the Na-4
tional Sports Wagering Clearinghouse to be nec-5
essary to carry out an activity described in this sub-6
section. 7
(d) PERMITTED DISCLOSURES BY THE NATIONAL 8
SPORTS WAGERING CLEARINGHOUSE.—The National 9
Sports Wagering Clearinghouse may only disclose infor-10
mation received under subsection (c)(5) to— 11
(1) a State regulatory entity; 12
(2) a Federal or State law enforcement agency; 13
(3) with respect to sporting events sponsored, 14
organized, or conducted by a sports organization, 15
the sports organization; and 16
(4) an international regulatory entity or inter-17
national law enforcement, with respect to 18
anonymized sports wagering data and suspicious 19
transaction reports relating to sporting events that 20
occur— 21
(A) outside the United States; and 22
(B) within the jurisdiction of the inter-23
national regulatory entity or international law 24
enforcement. 25
62
MCC18856 S.L.C.
(e) ANNUAL REPORT.— 1
(1) IN GENERAL.—Not less frequently than an-2
nually, the National Sports Wagering Clearinghouse 3
shall submit to the Attorney General, the Committee 4
on the Judiciary and the Committee on Commerce, 5
Science, and Transportation of the Senate, and the 6
Committee on the Judiciary and the Committee on 7
Energy and Commerce of the House of Representa-8
tives a report on the operations of the National 9
Sports Wagering Clearinghouse that includes a de-10
scription of the activities of the National Sports Wa-11
gering Clearinghouse with respect to each function 12
and authority under subsection (c). 13
(2) PUBLIC AVAILABILITY.—The reports re-14
quired under paragraph (1) shall be made available 15
to the public. 16
(f) ANNUAL GRANT TO NATIONAL SPORTS WAGER-17
ING CLEARINGHOUSE.— 18
(1) IN GENERAL.—Not less frequently than an-19
nually, the Attorney General shall make a grant to 20
the National Sports Wagering Clearinghouse for the 21
purposes described in this section. 22
(2) FUNDS.—The grants required under para-23
graph (1) shall be made with amounts made avail-24
63
MCC18856 S.L.C.
able under section 9511(c)(3)(A) of the Internal 1
Revenue Code of 1986. 2
(g) AUTHORIZATION OF APPROPRIATIONS.— 3
(1) IN GENERAL.—There are authorized to be 4
appropriated for each of fiscal years 2019 through 5
2021, such sums as may be necessary to carry out 6
this section, but not more than the amount that is 7
the lesser of— 8
(A) $3,000,000; and 9
(B) the revenue collected during the pre-10
ceding fiscal year pursuant to the Federal ex-11
cise tax on sports wagering under sections 4401 12
and 4411 of the Internal Revenue Code of 13
1986. 14
(2) SENSE OF CONGRESS.—It is the sense of 15
Congress that— 16
(A) any funds appropriated to carry out 17
this section shall not be the sole or primary 18
source of funding to operate the National 19
Sports Wagering Clearinghouse; and 20
(B) the National Sports Wagering Clear-21
inghouse should primarily be funded through 22
voluntary contributions by, or reasonable fees 23
assessed by the National Sports Wagering 24
Clearinghouse to participating entities, such as 25
64
MCC18856 S.L.C.
sports wagering operators, sports organizations, 1
and State regulatory entities. 2
SEC. 107. LAW ENFORCEMENT COORDINATION. 3
The Attorney General, in coordination with the Sec-4
retary of the Treasury and appropriate Federal law en-5
forcement agencies, shall establish procedures to ensure 6
coordination among Federal law enforcement, State law 7
enforcement, State regulatory entities, and the National 8
Sports Wagering Clearinghouse to identify and respond to 9
illegal or suspicious activity in the sports wagering market 10
nationwide. 11
TITLE II—WAGERING TRUST 12
FUND 13
SEC. 201. FINDINGS. 14
Congress makes the following findings: 15
(1) A Federal excise tax on sports wagering 16
was established in 1951. 17
(2) Over time, the Federal excise tax has 18
ranged from a high of 10 percent of total handle for 19
State-authorized wagers to a low of 0.25 percent, at 20
which level the Federal excise tax has remained 21
since 1982. 22
(3) Revenue from the Federal excise tax— 23
65
MCC18856 S.L.C.
(A) is estimated to be $12,000,000 annu-1
ally and is expected to increase as legal sports 2
wagering becomes more widely available; and 3
(B) on sports wagering should be dedicated 4
to purposes relating to sports wagering, specifi-5
cally to— 6
(i) the enforcement of Federal law re-7
lating to sports wagering; and 8
(ii) programs for the prevention and 9
treatment of gambling disorder. 10
SEC. 202. WAGERING TRUST FUND. 11
(a) IN GENERAL.—Subchapter A of chapter 98 of the 12
Internal Revenue Code of 1986 is amended by adding at 13
the end the following new section: 14
‘‘SEC. 9511. WAGERING TRUST FUND. 15
‘‘(a) CREATION OF TRUST FUND.—There is estab-16
lished in the Treasury of the United States a trust fund 17
to be known as the ‘Wagering Trust Fund’, consisting of 18
such amounts as may be apportioned or credited to such 19
Trust Fund as provided in this section or section 9602(b). 20
‘‘(b) TRANSFERS TO TRUST FUND.—There are here-21
by appropriated to the Wagering Trust Fund amounts 22
equivalent to the taxes received in the Treasury under sec-23
tions 4401 and 4411 for taxable years beginning after De-24
cember 31, 2017. 25
66
MCC18856 S.L.C.
‘‘(c) EXPENDITURES.— 1
‘‘(1) SURVEILLANCE OF GAMBLING ADDIC-2
TION.—There shall be available without further ap-3
propriation an amount not to exceed $5,000,000 for 4
each of fiscal years 2019 through 2029 to the Sec-5
retary of Health and Human Services to carry out 6
section 317U of the Public Health Service Act, to 7
remain available until expended. 8
‘‘(2) DEPARTMENT OF JUSTICE.— 9
‘‘(A) NATIONAL SPORTS WAGERING CLEAR-10
INGHOUSE.—There shall be available without 11
further appropriation an amount not to exceed 12
$3,000,000 for each of fiscal years 2019 13
through 2021 to the Attorney General for the 14
purpose of making grants to the National 15
Sports Wagering Clearinghouse established 16
under section 106(b) of the Sports Wagering 17
Market Integrity Act of 2018, to remain avail-18
able until expended. 19
‘‘(B) OTHER PURPOSES.—Amounts in the 20
Wagering Trust Fund not appropriated under 21
paragraph (1) or (2) or subparagraph (A) shall 22
be available, as provided in appropriation Acts, 23
only for use by the Attorney General for the in-24
vestigation or prosecution of— 25
67
MCC18856 S.L.C.
‘‘(i) violations of the standards for the 1
acceptance of sports wagers under section 2
101 of the Sports Wagering Market Integ-3
rity Act of 2018, 4
‘‘(ii) bribery to which section 224 of 5
title 18, United States Code, applies, 6
‘‘(iii) illegal transmission of wagering 7
information to which section 1084 of such 8
title applies, 9
‘‘(iv) activities to which section 1955 10
of such title applies, 11
‘‘(v) violation of any provision of sub-12
chapter IV of chapter 53 of title 31, 13
United States Code, 14
‘‘(vi) violations under the Bank Se-15
crecy Act (Public Law 91–508; 84 Stat. 16
1114) which involve sports wagering, and 17
‘‘(vii) any other crime which is com-18
mitted incident to or is part of a scheme 19
involving any crime or violation described 20
in the preceding clauses.’’. 21
(b) CLERICAL AMENDMENT.—The table of sections 22
for subchapter A of chapter 98 of the Internal Revenue 23
Code of 1986 is amended by adding at the end the fol-24
lowing new item: 25
‘‘Sec. 9511. Wagering Trust Fund.’’.
68
MCC18856 S.L.C.
TITLE III—WIRE ACT AND 1
SPORTS BRIBERY ACT 2
AMENDMENTS 3
SEC. 301. WIRE ACT CLARIFICATION AND AUTHORIZATION 4
OF CIVIL ENFORCEMENT. 5
Section 1084 of title 18, United States Code, is 6
amended— 7
(1) in subsection (b)— 8
(A) by striking ‘‘for the transmission of in-9
formation assisting’’ and inserting ‘‘for the 10
transmission of a sports wager accepted pursu-11
ant to an interstate sports wagering compact 12
(as defined in section 3 of the Sports Wagering 13
Market Integrity Act of 2018), layoff bet or 14
wager, or information assisting’’; and 15
(B) by adding at the end the following: 16
‘‘For purposes of this section, the intermediate 17
routing of electronic data shall not determine 18
the location or locations in which a bet or 19
wager, or information assisting in the placing of 20
a bet or wager, is initiated, received, or other-21
wise made.’’; 22
(2) by redesignating subsection (e) as sub-23
section (g); 24
69
MCC18856 S.L.C.
(3) by inserting after subsection (d) the fol-1
lowing: 2
‘‘(e) STATE CAUSE OF ACTION.— 3
‘‘(1) IN GENERAL.—In any case in which a 4
State has reason to believe that an interest of the 5
residents of the State has been or is being threat-6
ened or adversely affected by the conduct of a per-7
son that violates this section, the State may bring a 8
civil action on behalf of those residents in an appro-9
priate district court of the United States to enjoin 10
the conduct. 11
‘‘(2) SERVICE, INTERVENTION.— 12
‘‘(A) SERVICE.— 13
‘‘(i) PRIOR SERVICE.—Before filing a 14
complaint under paragraph (1), the State 15
shall serve a copy of the complaint upon 16
the Attorney General and the United 17
States Attorney for the judicial district in 18
which the complaint is to be filed. 19
‘‘(ii) CONCURRENT SERVICE.—If prior 20
service under clause (i) is not feasible, the 21
State shall serve the complaint on the At-22
torney General and the appropriate United 23
States Attorney on the day on which the 24
70
MCC18856 S.L.C.
State files the complaint in an appropriate 1
district court of the United States. 2
‘‘(iii) RELATION TO CRIMINAL PRO-3
CEEDINGS.—A proceeding under para-4
graph (1) shall be independent of, and not 5
in lieu of, a criminal prosecution or any 6
other proceeding under this section or any 7
other law of the United States. 8
‘‘(B) INTERVENTION.—The United States 9
may— 10
‘‘(i) intervene in a civil action brought 11
by a State under paragraph (1); and 12
‘‘(ii) upon intervening— 13
‘‘(I) be heard on all matters aris-14
ing in the civil action; and 15
‘‘(II) file petitions for appeal of a 16
decision in the civil action. 17
‘‘(C) FEDERAL RULES OF CIVIL PROCE-18
DURE.—The Federal Rules of Civil Procedure 19
shall apply to service of a complaint on the 20
United States under this paragraph. 21
‘‘(3) POWERS CONFERRED BY STATE LAW.— 22
For purposes of a civil action brought under para-23
graph (1), nothing in this chapter shall prevent an 24
attorney general of a State from exercising the pow-25
71
MCC18856 S.L.C.
ers conferred on the attorney general by the laws of 1
the State to— 2
‘‘(A) conduct investigations; 3
‘‘(B) administer oaths or affirmations; or 4
‘‘(C) compel— 5
‘‘(i) the attendance of witnesses; or 6
‘‘(ii) the production of documentary or 7
other evidence. 8
‘‘(4) VENUE; SERVICE OF PROCESS.— 9
‘‘(A) VENUE.—A civil action brought 10
under paragraph (1) may be brought in— 11
‘‘(i) the district court of the United 12
States for the judicial district in which the 13
defendant— 14
‘‘(I) is found; 15
‘‘(II) is an inhabitant; or 16
‘‘(III) transacts business; or 17
‘‘(ii) any judicial district in which 18
venue is proper under section 1391 of title 19
28. 20
‘‘(B) SERVICE OF PROCESS.—In an action 21
brought under paragraph (1), process may be 22
served in any judicial district in which the de-23
fendant— 24
‘‘(i) is an inhabitant; or 25
72
MCC18856 S.L.C.
‘‘(ii) may be found. 1
‘‘(5) NO PRIVATE RIGHT OF ACTION.—Nothing 2
in this subsection shall be construed to create any 3
private right of action. 4
‘‘(6) LIMITATION.—A civil action may not be 5
brought under paragraph (1) against— 6
‘‘(A) the United States; or 7
‘‘(B) any employee or agent of the United 8
States if the employee or agent is acting— 9
‘‘(i) in the usual course of business or 10
employment; and 11
‘‘(ii) within the scope of the official 12
duties of the employee or agent. 13
‘‘(f) ENHANCING ENFORCEMENT AGAINST UNLI-14
CENSED, OFFSHORE SPORTS WAGERING WEBSITES.— 15
‘‘(1) COMMENCEMENT OF AN ACTION.— 16
‘‘(A) IN PERSONAM.—The Attorney Gen-17
eral may bring an action against— 18
‘‘(i) a registrant of a nondomestic do-19
main name used by an internet site dedi-20
cated to unlicensed sports wagering; or 21
‘‘(ii) an owner or operator of an inter-22
net site dedicated to unlicensed sports wa-23
gering accessed through a nondomestic do-24
main name. 25
73
MCC18856 S.L.C.
‘‘(B) IN REM.—If through due diligence 1
the Attorney General is unable to find a person 2
described in clause (i) or (ii) of subparagraph 3
(A), or no such person found has an address 4
within a judicial district of the United States, 5
the Attorney General may bring an in rem ac-6
tion against a nondomestic domain name used 7
by an internet site dedicated to unlicensed 8
sports wagering. 9
‘‘(C) IDENTIFICATION OF ENTITIES.—In 10
an action brought under this paragraph, the At-11
torney General shall, in the complaint or an 12
amendment thereto, identify the entities that 13
may be required to take actions under para-14
graph (4) if an order issues under paragraph 15
(2). 16
‘‘(2) ORDERS OF THE COURT.— 17
‘‘(A) IN GENERAL.—On application of the 18
Attorney General following the commencement 19
of an action under paragraph (1), the court 20
may issue a temporary restraining order, a pre-21
liminary injunction, or an injunction, in accord-22
ance with rule 65 of the Federal Rules of Civil 23
Procedure, against the nondomestic domain 24
name used by an internet site dedicated to unli-25
74
MCC18856 S.L.C.
censed sports wagering, or against a registrant 1
of that domain name, or the owner or operator 2
of the internet site dedicated to unlicensed 3
sports wagering, to cease and desist from un-4
dertaking any further activity as an internet 5
site dedicated to unlicensed sports wagering, 6
if— 7
‘‘(i) the domain name is used within 8
the United States to access the internet 9
site; and 10
‘‘(ii) the internet site— 11
‘‘(I) conducts business directed to 12
residents of the United States; and 13
‘‘(II) violates this section. 14
‘‘(B) DETERMINATION BY THE COURT.— 15
For purposes of determining whether an inter-16
net site conducts business directed to residents 17
of the United States under subparagraph 18
(A)(ii)(I), a court may consider, among other 19
indicia, whether— 20
‘‘(i) there is evidence that the internet 21
site is not intended to provide unlicensed 22
sports wagering to users located in the 23
United States; 24
75
MCC18856 S.L.C.
‘‘(ii) the internet site has reasonable 1
measures in place to prevent unlicensed 2
sports wagering from being accessed from 3
the United States; and 4
‘‘(iii) the internet site offers unli-5
censed sports wagering on sporting events 6
that take place in the United States. 7
‘‘(3) NOTICE AND SERVICE OF PROCESS.— 8
‘‘(A) IN GENERAL.—Upon commencing an 9
action under paragraph (1), the Attorney Gen-10
eral shall send a notice of the alleged violation 11
and intent to proceed under this subsection to 12
the registrant of the domain name of the inter-13
net site— 14
‘‘(i) at the postal and e-mail address 15
appearing in the applicable publicly acces-16
sible database of registrations, if any and 17
to the extent those addresses are reason-18
ably available; 19
‘‘(ii) via the postal and e-mail address 20
of the registrar, registry, or other domain 21
name registration authority that registered 22
or assigned the domain name, to the extent 23
those addresses are reasonably available; 24
and 25
76
MCC18856 S.L.C.
‘‘(iii) in any other such form as the 1
court finds necessary, including as may be 2
required by rule 4(f) of the Federal Rules 3
of Civil Procedure. 4
‘‘(B) RULE OF CONSTRUCTION.—For pur-5
poses of this subsection, the actions described 6
in subparagraph (A) shall constitute service of 7
process. 8
‘‘(C) OTHER NOTICE.—Upon commencing 9
an action under paragraph (1), the Attorney 10
General shall also provide notice to entities 11
identified in the complaint, or any amendments 12
thereto, that may be required to take action 13
under paragraph (4). 14
‘‘(4) REQUIRED ACTIONS BASED ON COURT OR-15
DERS.— 16
‘‘(A) SERVICE.— 17
‘‘(i) IN GENERAL.—A Federal law en-18
forcement officer, with the prior approval 19
of the court, may serve a copy of a court 20
order issued under paragraph (2) on simi-21
larly situated entities within each class de-22
scribed in that paragraph, that have been 23
identified in the complaint, or any amend-24
ments thereto, filed under paragraph (1). 25
77
MCC18856 S.L.C.
‘‘(ii) PROOF OF SERVICE.—Proof of 1
service made under clause (i) shall be filed 2
with the court. 3
‘‘(B) REASONABLE MEASURES.— 4
‘‘(i) OPERATORS.— 5
‘‘(I) IN GENERAL.—After being 6
served with a copy of an order under 7
this paragraph, an operator of a non-8
authoritative domain name system 9
server shall take the least burdensome 10
technically feasible and reasonable 11
measures designed to prevent the do-12
main name described in the order 13
from resolving to that domain name’s 14
internet protocol address, except 15
that— 16
‘‘(aa) the operator shall not 17
be required— 18
‘‘(AA) other than as di-19
rected under this subclause, 20
to modify its network, soft-21
ware, systems, or facilities; 22
‘‘(BB) to take any 23
measures with respect to do-24
main name lookups not per-25
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formed by its own domain 1
name server or domain 2
name system servers located 3
outside the United States; or 4
‘‘(CC) to continue to 5
prevent access to a domain 6
name to which access has 7
been effectively disabled by 8
other means; and 9
‘‘(bb) nothing in this sub-10
clause shall affect the limitation 11
on the liability of such an oper-12
ator under section 512 of title 13
17. 14
‘‘(II) TEXT OF NOTICE.— 15
‘‘(aa) IN GENERAL.—The 16
Attorney General shall prescribe 17
the text of the notice displayed to 18
users or customers of an operator 19
taking an action under this para-20
graph. 21
‘‘(bb) REQUIREMENT.—The 22
text prescribed under item (aa) 23
shall specify that the action is 24
being taken pursuant to a court 25
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MCC18856 S.L.C.
order obtained by the Attorney 1
General. 2
‘‘(ii) FINANCIAL TRANSACTION PRO-3
VIDERS.—After being served with a copy of 4
an order under this paragraph, a financial 5
transaction provider shall take reasonable 6
measures, as expeditiously as possible, de-7
signed to prevent, prohibit, or suspend its 8
service from completing payment trans-9
actions involving customers located within 10
the United States and the internet site as-11
sociated with the domain name set forth in 12
the order. 13
‘‘(iii) INTERNET ADVERTISING SERV-14
ICES.—After being served with a copy of 15
an order under this paragraph, an internet 16
advertising service that contracts with the 17
internet site associated with the domain 18
name set forth in the order to provide ad-19
vertising to or for that site, or that know-20
ingly serves advertising to or for that site, 21
shall take technically feasible and reason-22
able measures, as expeditiously as possible, 23
designed to— 24
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MCC18856 S.L.C.
‘‘(I) prevent its service from pro-1
viding advertisements to the internet 2
site associated with the domain name; 3
or 4
‘‘(II) cease making available ad-5
vertisements for that site, or paid or 6
sponsored search results, links or 7
other placements that provide access 8
to the domain name. 9
‘‘(iv) INFORMATION LOCATION 10
TOOLS.—After being served with a copy of 11
an order under this paragraph, a service 12
provider of an information location tool 13
shall take technically feasible and reason-14
able measures, as expeditiously as possible, 15
to— 16
‘‘(I) remove or disable access to 17
the internet site associated with the 18
domain name set forth in the order; 19
or 20
‘‘(II) not serve a hyptertext link 21
to the internet site described in sub-22
clause (I). 23
‘‘(C) COMMUNICATION WITH USERS.—Ex-24
cept as provided under subparagraph (B)(i)(II), 25
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MCC18856 S.L.C.
an entity taking an action described in this 1
paragraph shall determine whether and how to 2
communicate the action to the entity’s users or 3
customers. 4
‘‘(D) RULE OF CONSTRUCTION.—For pur-5
poses of an action brought under paragraph 6
(1)— 7
‘‘(i) the obligations of an entity de-8
scribed in this paragraph shall be limited 9
to the actions set out in each clause of 10
subparagraph (B) of this paragraph that 11
applies to the entity; and 12
‘‘(ii) an order issued under paragraph 13
(2) may not impose any additional obliga-14
tion on, or require any additional action 15
by, the entity. 16
‘‘(E) ACTIONS PURSUANT TO COURT 17
ORDER.— 18
‘‘(i) IMMUNITY FROM SUIT.—No cause 19
of action shall lie in any Federal or State 20
court or administrative agency against any 21
entity served with a copy of an order under 22
this paragraph, or against any director, of-23
ficer, employee, or agent thereof, for any 24
act reasonably designed to comply with 25
82
MCC18856 S.L.C.
this subsection or reasonably arising from 1
the order, other than in an action under 2
paragraph (5). 3
‘‘(ii) IMMUNITY FROM LIABILITY.— 4
Any entity served with a copy of an order 5
under this paragraph, and any director, of-6
ficer, employee, or agent thereof, shall not 7
be liable to any party for any acts reason-8
ably designed to comply with this sub-9
section or reasonably arising from the 10
order, other than in an action under para-11
graph (5), and any actions taken by cus-12
tomers of the entity to circumvent any re-13
striction on access to the internet domain 14
instituted pursuant to this subsection or 15
any act, failure, or inability to restrict ac-16
cess to an internet domain that is the sub-17
ject of a court order issued under para-18
graph (2) despite good faith efforts to do 19
so by the entity shall not be used by any 20
person in any claim or cause of action 21
against the entity, other than in an action 22
under paragraph (5). 23
‘‘(5) ENFORCEMENT OF ORDERS.— 24
83
MCC18856 S.L.C.
‘‘(A) IN GENERAL.—In order to compel 1
compliance with this subsection, the Attorney 2
General may bring an action for injunctive re-3
lief against any party served with a copy of a 4
court order under paragraph (4) that knowingly 5
fails to comply with the order. 6
‘‘(B) RULE OF CONSTRUCTION.—The au-7
thority granted the Attorney General under 8
subparagraph (A) shall be the sole legal remedy 9
for enforcing the obligations under this sub-10
section of any entity described in paragraph 11
(4). 12
‘‘(C) DEFENSE.— 13
‘‘(i) IN GENERAL.—It shall be an af-14
firmative defense in an action under sub-15
paragraph (A) that— 16
‘‘(I) the defendant does not have 17
the technical means to comply with 18
the order without incurring an unrea-19
sonable economic burden; or 20
‘‘(II) the order is inconsistent 21
with this section. 22
‘‘(ii) SCOPE.—A showing under sub-23
clause (I) or (II) of clause (i) shall serve 24
as a defense only to the extent of such in-25
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MCC18856 S.L.C.
ability to comply or inconsistency, respec-1
tively. 2
‘‘(6) MODIFICATION OR VACATION OF OR-3
DERS.— 4
‘‘(A) IN GENERAL.—At any time after the 5
issuance of an order under paragraph (2), a 6
motion to modify, suspend, or vacate the order 7
may be filed by— 8
‘‘(i) any person, or owner or operator 9
of property, bound by the order; 10
‘‘(ii) any registrant of the domain 11
name, or the owner or operator of the 12
internet site subject to the order; 13
‘‘(iii) any domain name registrar or 14
registry that has registered or assigned the 15
domain name of the internet site subject to 16
the order; or 17
‘‘(iv) any entity that has received a 18
copy of an order under paragraph (4) re-19
quiring the entity to take action prescribed 20
under that paragraph. 21
‘‘(B) RELIEF.—Relief under this para-22
graph shall be proper if the court finds that— 23
‘‘(i) the internet site associated with 24
the domain name subject to the order is no 25
85
MCC18856 S.L.C.
longer, or never was, an internet site dedi-1
cated to unlicensed sports wagering; or 2
‘‘(ii) the interests of justice require 3
that the order be modified, suspended, or 4
vacated. 5
‘‘(C) CONSIDERATION.—In making a relief 6
determination under subparagraph (B), a court 7
may consider whether the domain name has ex-8
pired or has been reregistered by a different 9
party. 10
‘‘(D) INTERVENTION.— 11
‘‘(i) IN GENERAL.—An entity identi-12
fied under paragraph (1) as an entity that 13
may be required to take action under para-14
graph (4) if an order issues under para-15
graph (2) may intervene at any time in 16
any action brought under paragraph (1), 17
or in any action to modify, suspend, or va-18
cate an order under this paragraph. 19
‘‘(ii) PRESERVATION OF RIGHTS.— 20
Failure to intervene in an action shall not 21
prohibit an entity notified of the action 22
from subsequently seeking an order to 23
modify, suspend, or terminate an order 24
issued by the court under paragraph (2). 25
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MCC18856 S.L.C.
‘‘(7) RELATED ACTIONS.—The Attorney Gen-1
eral, if alleging that an internet site previously adju-2
dicated to be an internet site dedicated to unlicensed 3
sports wagering is accessible or has been reconsti-4
tuted at a different domain name, may bring a re-5
lated action under paragraph (1) against the addi-6
tional domain name in the same judicial district as 7
the previous action.’’; and 8
(4) in subsection (g), as so redesignated— 9
(A) by striking ‘‘as used in this section, 10
the term ‘State’ means’’ and inserting the fol-11
lowing: ‘‘DEFINITIONS.—As used in this sec-12
tion— 13
‘‘(11) the term ‘State’ means’’; and 14
(B) by inserting before paragraph (11), as 15
so designated, the following: 16
‘‘(1) the term ‘domain name’ has the meaning 17
given the term in section 45 of the Trademark Act 18
of 1946 (15 U.S.C. 1127); 19
‘‘(2) the term ‘domain name system server’ 20
means a server or other mechanism used to provide 21
the internet protocol address associated with a do-22
main name; 23
87
MCC18856 S.L.C.
‘‘(3) the term ‘financial transaction provider’ 1
has the meaning given the term in section 5362 of 2
title 31, United States Code; 3
‘‘(4) the term ‘internet information location 4
tool’ has the meaning given the term in section 5
231(e) of the Communications Act of 1934 (47 6
U.S.C. 231(e)); 7
‘‘(5) the term ‘internet advertising service’ 8
means a service that for compensation sells, pur-9
chases, brokers, serves, inserts, verifies, or clears the 10
placement of an advertisement, including a paid or 11
sponsored search result, link, or placement that is 12
rendered in viewable form for any period of time on 13
an internet site; 14
‘‘(6) the term ‘internet site’ means the collec-15
tion of digital assets, including links, indexes, or 16
pointers to digital assets, accessible through the 17
internet that are addressed relative to a common do-18
main name; 19
‘‘(7) the term ‘internet site dedicated to unli-20
censed sports wagering’ means an internet site that, 21
with respect to its business directed toward residents 22
of the United States— 23
88
MCC18856 S.L.C.
‘‘(A) has no significant use other than en-1
gaging in, enabling, or facilitating sports wager-2
ing in violation of this section; or 3
‘‘(B) is designed, operated, or marketed by 4
its operator or persons operating in concert 5
with the operator, and facts or circumstances 6
suggest is used, primarily as a means for en-7
gaging in, enabling, or facilitating sports wager-8
ing in violation of this section; 9
‘‘(8) the term ‘layoff bet or wager’ means a 10
sports wager (as defined in section 3 of the Sports 11
Wagering Market Integrity Act of 2018) placed by 12
a sports wagering operator (as defined in such sec-13
tion) with another sports wagering operator. 14
‘‘(9) the term ‘nondomestic domain name’ 15
means a domain name for which the domain name 16
registry that issued the domain name and operates 17
the relevant top level domain, and the domain name 18
registrar for the domain name, are not located in the 19
United States; 20
‘‘(10) the term ‘owner’ or ‘operator’, when used 21
in connection with an internet site, include, respec-22
tively, any owner of a majority interest in, or any 23
person with authority to operate, the internet site; 24
and’’. 25
89
MCC18856 S.L.C.
SEC. 302. SPORTS BRIBERY ACT IMPROVEMENTS. 1
(a) IN GENERAL.—Section 224 of title 18, United 2
States Code, is amended— 3
(1) in the section heading, by striking ‘‘Brib-4
ery in sporting contests’’ and inserting 5
‘‘Bribery, extortion, and blackmail in 6
sporting contests; sports wagers based on 7
nonpublic information’’; 8
(2) in subsection (a)— 9
(A) by striking ‘‘Whoever’’ and inserting 10
‘‘BRIBERY, EXTORTION, AND BLACKMAIL IN 11
SPORTING CONTESTS.—Whoever’’; and 12
(B) by inserting ‘‘, extortion, or blackmail’’ 13
after ‘‘bribery’’ each places it appears; 14
(3) by redesignating subsections (b) and (c) as 15
subsections (c) and (g), respectively; 16
(4) by inserting after subsection (a) the fol-17
lowing: 18
‘‘(b) SPORTS WAGERS BASED ON NONPUBLIC INFOR-19
MATION.— 20
‘‘(1) IN GENERAL.—It shall be unlawful for any 21
person, directly or indirectly, to place or accept, at-22
tempt to place or accept, or conspire with any other 23
person to place or accept through any scheme in 24
commerce a sports wager if the person— 25
90
MCC18856 S.L.C.
‘‘(A) is in possession of material nonpublic 1
information relating to the sports wager or the 2
market for the sports wager; and 3
‘‘(B) knows, or recklessly disregards, 4
that— 5
‘‘(i) the material nonpublic informa-6
tion has been obtained wrongfully; or 7
‘‘(ii) the placement or acceptance 8
would constitute a wrongful use of the ma-9
terial nonpublic information. 10
‘‘(2) PENALTY.—Any person who violates para-11
graph (1) shall be fined under this title, imprisoned 12
for not more than 5 years, or both. 13
‘‘(3) OBTAINED WRONGFULLY OR WRONGFUL 14
USE.—For purposes of this subsection, material non-15
public information is obtained wrongfully or wrong-16
fully used only if the information has been obtained 17
by, or its use would constitute, directly or indi-18
rectly— 19
‘‘(A) theft, bribery, misrepresentation, or 20
espionage; 21
‘‘(B) a violation of any Federal law pro-22
tecting computer data or the intellectual prop-23
erty or privacy of computer users; 24
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MCC18856 S.L.C.
‘‘(C) conversion, misappropriation, or other 1
unauthorized or deceptive taking or use of such 2
information; or 3
‘‘(D) a breach of any fiduciary duty or any 4
other personal or other relationship of trust and 5
confidence.’’; 6
(5) in subsection (c), as so redesignated, by 7
striking ‘‘This section’’ and inserting ‘‘RULE OF 8
CONSTRUCTION.—This section’’; 9
(6) by inserting after subsection (c), as so re-10
designated, the following: 11
‘‘(d) EXTRATERRITORIAL JURISDICTION.—There is 12
extraterritorial Federal jurisdiction over an offense under 13
this section. 14
‘‘(e) VENUE.—A prosecution under this section may 15
be brought in the judicial district in which the sporting 16
contest (including the sporting contest to which a sports 17
wager relates) occurred or was scheduled to occur, or in 18
which the conduct constituting the alleged offense oc-19
curred. 20
‘‘(f) CIVIL ACTION TO PROTECT AGAINST RETALIA-21
TION.— 22
‘‘(1) WHISTLEBLOWER PROTECTION.—A sports 23
wagering operator or sports organization may not 24
discharge, demote, suspend, threaten, harass, or in 25
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MCC18856 S.L.C.
any other manner discriminate against an employee 1
because of any lawful act done by the employee to 2
provide information, cause information to be pro-3
vided, or otherwise assist in an investigation regard-4
ing any conduct which the individual reasonably be-5
lieves constitutes a violation of this section, if the in-6
formation or assistance is provided to or the inves-7
tigation is conducted by— 8
‘‘(A) a Federal law enforcement agency; 9
‘‘(B) any Member of Congress or any com-10
mittee of Congress; or 11
‘‘(C) a person with supervisory authority 12
over the employee, or such other person work-13
ing for the sports wagering operator or sports 14
organization, as applicable, who has the author-15
ity to investigate, discover, or terminate mis-16
conduct. 17
‘‘(2) ENFORCEMENT ACTION.— 18
‘‘(A) IN GENERAL.—A person who alleges 19
action or conduct by any person in violation of 20
paragraph (1) may seek relief under paragraph 21
(3), by bringing an action at law or equity in 22
the appropriate district court of the United 23
States, which shall have jurisdiction over such 24
93
MCC18856 S.L.C.
an action without regard to the amount in con-1
troversy. 2
‘‘(B) PROCEDURE.— 3
‘‘(i) BURDENS OF PROOF.—In an ac-4
tion under subparagraph (A), a district 5
court may find that a violation of para-6
graph (1) occurred and award judgment 7
for the plaintiff only if— 8
‘‘(I) the employee demonstrates 9
by a preponderance of the evidence 10
that the actions of the employee to 11
provide information or assist in an in-12
vestigation were a contributing factor 13
to the discharge or other discrimina-14
tion; and 15
‘‘(II) the employer does not dem-16
onstrate, by clear and convincing evi-17
dence, that the employer would have 18
taken the same unfavorable personnel 19
action in the absence of behavior. 20
‘‘(ii) STATUTE OF LIMITATIONS.—An 21
action under subparagraph (A) shall be 22
commenced not later than 180 days after 23
the later of— 24
94
MCC18856 S.L.C.
‘‘(I) the date on which the viola-1
tion occurs; or 2
‘‘(II) the date on which the em-3
ployee became aware of the violation. 4
‘‘(iii) JURY TRIAL.—A party to an ac-5
tion brought under subparagraph (A) shall 6
be entitled to trial by jury. 7
‘‘(3) REMEDIES.— 8
‘‘(A) IN GENERAL.—An employee pre-9
vailing in an action under paragraph (2) shall 10
be entitled to all relief necessary to make the 11
employee whole. 12
‘‘(B) COMPENSATORY DAMAGES.—Relief 13
for any action under paragraph (2) shall in-14
clude— 15
‘‘(i) reinstatement with the same se-16
niority status that the employee would 17
have had, but for the discrimination; 18
‘‘(ii) the amount of back pay, with in-19
terest; and 20
‘‘(iii) compensation for any special 21
damages sustained as a result of the dis-22
crimination, including litigation costs, ex-23
pert witness fees, and reasonable attorney 24
fees. 25
95
MCC18856 S.L.C.
‘‘(4) RIGHTS RETAINED BY EMPLOYEE.—Noth-1
ing in this subsection shall be deemed to diminish 2
the rights, privileges, or remedies of any employee 3
under any Federal or State law, or under any collec-4
tive bargaining agreement. 5
‘‘(5) NONENFORCEABILITY OF CERTAIN PROVI-6
SIONS WAIVING RIGHTS AND REMEDIES OR REQUIR-7
ING ARBITRATION OF DISPUTES.— 8
‘‘(A) WAIVER OF RIGHTS AND REM-9
EDIES.—The rights and remedies provided for 10
in this subsection may not be waived by any 11
agreement, policy form, or condition of employ-12
ment, including by a predispute arbitration 13
agreement. 14
‘‘(B) PREDISPUTE ARBITRATION AGREE-15
MENTS.—No predispute arbitration agreement 16
shall be valid or enforceable, if the agreement 17
requires arbitration of a dispute arising under 18
this subsection.’’; and 19
(7) in subsection (g), as so redesignated— 20
(A) in the matter preceding paragraph (1), 21
by striking ‘‘As used in this section—’’ and in-22
serting ‘‘DEFINITIONS.—As used in this sec-23
tion:’’; 24
96
MCC18856 S.L.C.
(B) by redesignating paragraphs (1), (2), 1
and (3) as paragraphs (3), (4), and (2), respec-2
tively; 3
(C) by transferring paragraph (2), as so 4
redesignated, to appear before paragraph (3), 5
as so redesignated; 6
(D) by inserting before paragraph (2), as 7
redesignated and transferred, the following: 8
‘‘(1) The term ‘employee’ includes— 9
‘‘(A) an employee of a sports wagering op-10
erator or sports organization; and 11
‘‘(B) an athlete, coach, or official of a 12
sports organization.’’; and 13
(E) by adding at the end the following: 14
‘‘(5) The terms ‘sports organization’, ‘sports 15
wager’, and ‘sports wagering operator’ have the 16
meaning given those terms in section 3 of the Sports 17
Wagering Market Integrity Act of 2018.’’. 18
(b) TECHNICAL AND CONFORMING AMENDMENTS.— 19
(1) Section 1961(1) of title 18, United States 20
Code, is amended by striking ‘‘sports bribery’’ and 21
inserting ‘‘bribery, extortion, and blackmail in sport-22
ing contests and sports wagers based on nonpublic 23
information’’. 24
97
MCC18856 S.L.C.
(2) Section 2516(1)(c) of title 18, United 1
States Code, is amended by striking ‘‘bribery in 2
sporting contests’’ and inserting ‘‘bribery, extortion, 3
and blackmail in sporting contests and sports wagers 4
based on nonpublic information’’. 5
(3) The table of sections for chapter 11 of title 6
18, United States Code, is amended by striking the 7
item relating to section 224 and inserting the fol-8
lowing: 9
‘‘224. Bribery, extortion, and blackmail in sporting contests; sports wagers
based on nonpublic information.’’.
TITLE IV—GAMBLING ADDIC-10
TION PREVENTION AND 11
TREATMENT 12
SEC. 401. AUTHORITY TO ADDRESS GAMBLING IN DEPART-13
MENT OF HEALTH AND HUMAN SERVICES AU-14
THORITIES. 15
Section 501(d) of the Public Health Services Act (42 16
U.S.C. 290aa(d)) is amended— 17
(a) by striking ‘‘and’’ at the end of paragraph (24); 18
(b) by striking the period at the end of paragraph 19
(25) and inserting ‘‘; and’’; and 20
(c) by adding at the end the following: 21
‘‘(26) establish and implement programs for 22
prevention and treatment of gambling addiction.’’. 23
98
MCC18856 S.L.C.
SEC. 402. ADVISORY COMMITTEE. 1
(a) ESTABLISHMENT.—The Secretary of Health and 2
Human Services may establish a Gambling Research Advi-3
sory Committee (in this section referred to as the ‘‘Com-4
mittee’’) within the National Institutes of Health to co-5
ordinate research conducted or supported by the Depart-6
ment of Health and Human Services on gambling addic-7
tion. 8
(b) MEMBERSHIP.—The Committee shall include rep-9
resentatives of the National Institute on Drug Abuse, the 10
National Institute of Mental Health, the National Insti-11
tute on Alcohol Abuse and Alcoholism, the Indian Health 12
Service, the Substance Abuse and Mental Health Services 13
Administration, and the Centers for Disease Control and 14
Prevention. 15
(c) ANNUAL REPORT.—The Committee shall prepare, 16
make available to the public, and submit to the Secretary 17
of Health and Human Services an annual report on the 18
research described in subsection (a). 19
SEC. 403. SURVEILLANCE OF GAMBLING ADDICTION. 20
Title III of the Public Health Service Act is amended 21
by inserting after section 317T (42 U.S.C. 247b-22) the 22
following: 23
‘‘SEC. 317U. SURVEILLANCE OF GAMBLING ADDICTION. 24
‘‘(a) IN GENERAL.—The Secretary, acting through 25
the Director of the Centers for Disease Control and Pre-26
99
MCC18856 S.L.C.
vention and in coordination with other appropriate agen-1
cies, shall, as appropriate— 2
‘‘(1) enhance and expand infrastructure and ac-3
tivities to track the epidemiology of gambling addic-4
tion; and 5
‘‘(2) incorporate information obtained through 6
such infrastructure and activities into an integrated 7
surveillance system, which may consist of or include 8
a registry, to be known as the National Gambling 9
Addiction Surveillance System. 10
‘‘(b) RESEARCH.—The Secretary shall ensure that 11
the National Gambling Addiction Surveillance System, if 12
established, is designed in a manner that facilitates fur-13
ther research on gambling addiction. 14
‘‘(c) PUBLIC ACCESS.—Subject to subsection (d), the 15
Secretary shall ensure that information and analysis in the 16
National Gambling Addiction Surveillance System, if es-17
tablished, are available, as appropriate, to the public, in-18
cluding researchers. 19
‘‘(d) PRIVACY.—The Secretary shall ensure that in-20
formation and analysis in the National Gambling Addic-21
tion Surveillance System, if established, are made avail-22
able only to the extent permitted by applicable Federal 23
and State law, and in a manner that protects personal 24
100
MCC18856 S.L.C.
privacy, to the extent required by applicable Federal and 1
State privacy law, at a minimum.’’. 2
TITLE V—GENERAL PROVISIONS 3
SEC. 501. STATE AND TRIBAL AUTHORITY. 4
(a) RELATION TO INDIAN GAMING REGULATORY 5
ACT.— 6
(1) IN GENERAL.—For purposes of the Indian 7
Gaming Regulatory Act (25 U.S.C. 2701 et seq.) 8
only, a sports wager made through an interactive 9
sports wagering platform shall be deemed to be 10
made at the physical location of the server or other 11
equipment used to accept the sports wager. 12
(2) SERVER ON INDIAN LANDS.—With respect 13
to a sports wager described in paragraph (1) accept-14
ed through a server or other equipment located on 15
Indian lands (as defined in section 4 of the Indian 16
Gaming Regulatory Act (25 U.S.C. 2703)), the 17
sports wager shall be considered to be exclusively oc-18
curring on Indian lands if— 19
(A) the sports wager and the server are in 20
the same State; and 21
(B) the applicable State and Indian Tribe 22
have entered into a Tribal-State compact au-23
thorizing the placing of sports wagers through 24
interactive sports wagering platforms. 25
101
MCC18856 S.L.C.
(b) NO PREEMPTION.—Nothing in this Act preempts 1
or limits the authority of a State or an Indian Tribe to 2
enact, adopt, promulgate, or enforce any law, rule, regula-3
tion, or other measure with respect to sports wagering 4
that is in addition to, or more stringent than, the require-5
ments of this Act. 6
(c) TAXATION OF SPORTS WAGERING.—Nothing in 7
this Act limits or otherwise affects the taxation of sports 8
wagering by a State, an Indian Tribe, or a locality. 9
SEC. 502. SEVERABILITY. 10
If a provision of this Act, an amendment made by 11
this Act, a regulation promulgated under this Act or under 12
an amendment made by this Act, or the application of any 13
such provision, amendment, or regulation to any person 14
or circumstance, is held to be invalid, the remaining provi-15
sions of this Act, amendments made by this Act, regula-16
tions promulgated under this Act or under an amendment 17
made by this Act, or the application of such provisions, 18
amendments, and regulations to any person or cir-19
cumstance— 20
(1) shall not be affected by the invalidity; and 21
(2) shall continue to be enforced to the max-22
imum extent practicable. 23