Vermont Limits Mobile Sports Betting to Six Operators

Section 1302 of Title 31 gives the Department of Liquor and Lottery exclusive authority to run sports wagering in Vermont: "The Department is authorized to operate sports wagering within the State," and under § 1302(b)(1) "The Commissioner shall negotiate and contract to authorize a minimum of two but not more than six operators to operate a sportsbook in Vermont through a mobile sports wagering platform." The State selected DraftKings, FanDuel, and Fanatics Sportsbook through the competitive bidding process required by § 1320, and mobile wagering went live statewide at midnight on January 11, 2024, the chapter contains no retail or in-person sportsbook license at all.

Each contracted operator pays a $550,000.00 operator fee under § 1320(c), renewable no more often than every three years, plus a revenue share the Department sets through bidding that "shall not be less than 20 percent of adjusted gross sports wagering revenue" under § 1320(d). Adjusted gross revenue is gross receipts minus voided bets, winnings paid to bettors, and federal excise tax; the three current operators bid revenue shares of 31 to 33 percent. Bettors must be at least 21, § 1301(9)(H) defines "any person under 21 years of age" as a prohibited sports bettor, and mobile platforms must block a person from holding more than one account or funding wagers with a credit card. Covered wagering includes sporting events, athlete performance statistics, single-game bets, parlays, in-game bets, and proposition bets under § 1301(15).

Running unauthorized sports wagering in Vermont is a crime under § 1325: a first offense draws a fine up to $50,000 or up to six months in jail, a second offense up to $150,000 or one year, and a third or later offense up to $300,000 or two years. A licensed operator that violates the chapter instead faces escalating civil penalties of up to $25,000, $75,000, then $150,000, plus contract termination and loss of its Vermont authorization.