The groundwork is set for the North Carolina Lottery Commission to begin the painstaking process of drafting rules to regulate online and expanded retail sports betting in the state.
This week, the NCLC’s Sports Betting Committee met to announce an outline for rulemaking that adheres to the newly enacted North Carolina sports betting and pari-mutuel wagering law.
The sports betting and pari-mutuel wagering rulemaking process
During Tuesday’s meeting, Sterl Carpenter, the deputy executive director for sports betting, stated that the mandate of the NCLC is to create “a comprehensive regulatory program to open the North Carolina market” focusing on the following:
– Public interest.
– Clear expectations from “regulated actors,” meaning operators, suppliers, and service providers.
– Responsible gaming initiatives and consumer protection.
The NCLC will publish the sports betting and pari-mutuel regulations in a stand-alone manual. The outline of the manual that Carpenter presented Tuesday also included 48 proposed rules.
The 62-page document is online for public viewing with a working title of “North Carolina State Lottery Commission Rules Manual For Sports Wagering and Pari-Mutuel Wagering.”
Currently, the draft manual consists of two sections.
Chapter 1 will detail the commission’s duties, the licensing process, compliance rules and the renewal process. Chapter 2 specifically addresses sports wagering and betting system standards. It will include specific rules for sports betting operators, service providers and suppliers.
Carpenter indicated that the final draft of the manual will have three chapters. The third, forthcoming chapter, will address pari-mutuel wagering and advanced deposit wagering.
Public participation in NC sports betting rules
With a deadline of June 14, 2024, to launch sports betting, the commission not only has the task of solidifying rules but also making modifications based on public comment. Carpenter reiterated the NCLC’s mandate for a “transparent deliberate rulemaking process” that gives the public the chance to provide feedback.
The first chance for residents to provide comments occurs this month via a public hearing and online submissions.
The hearing on the proposed rulemaking process takes place Oct. 27 at 9:00 a.m. at the commission’s headquarters: 2728 Capital Boulevard, Suite 144, in Raleigh. If you want to speak at the hearing, you must register ahead of time, no later than 9:00 a.m. on Oct. 26 via the commission’s web portal. Oral presentations will be limited to three minutes.
Next Steps for NC sports betting rules
The sports betting committee will collect and share all public comments with the commission. A follow-up presentation, incorporating the public feedback and progress on the rules, is set for Nov. 14. Before that date, sometime in early November, the commission will release an updated draft of the proposed rules. According to the NCLC, “there will be some overlap during these processes.”
The effective date for rules approved by the commission is Jan. 8, 2024. This does not mean that all rules will be set by then as the manual will be a live document subject to modification and updates.