The North Carolina State Lottery Commission approved the opening of applications for sports betting licensure on Wednesday. Companies that wish to be a part of the sports betting market in the US’ ninth largest state can submit an application starting next week and have until December 27 to do so.
The approval allows for the commission to begin accepting applications for interactive sports wagering operators as well as the associated sports betting suppliers and providers. The Lottery Commission’s staff has forecast that updates will be posted online in the coming days and emails issued to parties that registered and requested updates.
However, in the latest meeting, officials agreed that the market will not launch in time for the Super Bowl in February. The Commission cited the vast amount of licensing and vetting work that needs to be undertaken. The Sports Betting Committee’s Deputy Executive Director of Gaming Compliance Sterl Carpenter noted that there was very little chance of an early launch because of the amount of documentation to dissect.
“We know North Carolinians are wondering when the first bets can be made,” said Ripley Rand, Chair of the Commission. “Lots of work still needs to be completed. The commission is going to be thoughtful and thorough in its rulemaking. We are committed to being open and transparent in what we do. And we are committed to ensuring fairness for everyone involved.”
As commissioners approved the application forms, they reviewed what steps are yet to be completed. The steps include:
- Know exactly how many applicants there will be for licenses.
- Complete the initial rulemaking process for sports betting.
- Complete background checks on applicants and their key individuals.
- Approve provisional licenses for suppliers.
- Make sure that licensed operators’ proposed internal controls are robust and compliant, and that their key equipment and software have been certified by an independent laboratory.
Rand advised the Commission that some key parts of the timetable are not in its control, but that of sports betting operators and others who will play a major role in how quickly sports betting can begin. Applicants need to:
- Submit their complete applications as soon as possible. The commission’s staff anticipates that it will need applications in and complete by Dec. 27 so that a fair “go live date” for operators can be set.
- Obtain a “written designation agreement” that will accompany operators’ applications. These agreements are a unique requirement in North Carolina’s sports betting law. They are private business agreements that must be established between an operator applicant and a sports team, a sports league, or venue.
- Be ready to show full compliance with rules and show internal control systems are in place to protect bettors.
- Demonstrate a responsible gaming program has been established and is ready to go.
“We see questions about whether sports betting will be up and running in time for the Super Bowl,” Rand said. “It’s clear, however, with all the work remaining to be done and the timetable set out in state law that unfortunately won’t be the case.”
“Approving applications is a major step forward. With all the progress we’ve made, we expect to be in a position early in the New Year to announce when sports betting can begin in North Carolina.”
