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Arizona Opens Application Process for Sports Betting Operators

Lou Monaco for Bookies.com

Lou Monaco  | 3 mins

Arizona Opens Application Process for Sports Betting Operators

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The sports betting application process has begun in Arizona.

The Arizona Department of Gaming (ADG) sent its final set of AZ sports betting rules to the Secretary of State’s office on Monday and posted the new rules, applications forms/fee amounts with a timeline for rollout on its website.

The state is still on track to meet the targeted “go-live” date of Sept. 9 for event wagering in time for the start of NFL betting. There is a “go-live” date of Aug. 28 for daily fantasy sports contests.

The Arizona Cardinals open the 2021 season in Nashville against the Tennessee Titans on Sept. 12. The hope is that Arizona bettors will have a host of sports betting apps to choose from ahead of kickoff.

The complete 14-page final rules document is posted on the ADG website. The operator application is also on the site.

The law, signed April 15 by Gov. Doug Ducey, calls for a maximum of 20 event wagering licenses in the state, with 10 reserved for Arizona Tribes and 10 reserved for professional sports teams, facilities and events.

Those include a sports facility that hosts an annual tournament on the PGA Tour, the promoter of a NASCAR race in the state or the owner’s, operator’s or promoter’s designee contracted to operate both retail event wagering at a sports facility or complex and mobile event wagering within the state.

Additionally, there are 10 limited event wagering licenses available reserved for racetrack enclosures or additional OTBs.

AZ Rollout Timeline

With the ADG accepting applications starting Monday, the deadline for the initial application period is Aug. 9 with the initial qualification evaluation period starting on Aug. 10.

The ADG will have up to five days to evaluate and will announce applicants who qualify for licensure on Aug. 16. If necessary, an allocation evaluation period will start on Aug. 17 with the ADG having eight days to review with any of those license allocations announced on Aug. 27.

On Aug. 28, marketing for online sports betting will be allowed from platforms that are approved with account creation and net/mobile apps available for event wagering. On Aug. 30, if necessary, additional licensing period for allocated applicants will be allowed.

Breakdown of AZ Fees

The fee breakdown for each applicant is as follows:

  • Event Wagering Operator: Application fee is $100,000; Initial license fee is $750,000; annual license fee is $150,000.
  • Designee: Application is $100,000; initial license: is $750,000; annual license is $150,000.
  • Limited Event Wagering Operator: Application is $5,000; initial license is $25,000; annual license is $5,000.
  • Management Services Provider: Application is $1,000; initial license: $10,000; annual license is $5,000.
  • Supplier: Initial license is $1,500; renewal is $500.
  • Ancillary Supplier: Initial license is $1,500; renewal is $500.

How AZ Got to This Point

It’s been a rapid process since signed legislation into law on April 15.

When Arizona started the rules process, it had a one-day delay before posting draft rules on June 15. The ADG then hosted four open session virtual meetings for stakeholders and the general public to provide a forum for discussion starting on June 18.

The ADG released a final draft of proposed rules on July 21 before a public comment period.

And now the operator application process begins.

About the Author

Lou Monaco for Bookies.com
Lou Monaco
Lou Monaco had been East Coast Scene columnist for Gaming Today in Las Vegas since June 2019, covering the East Coast sportsbook scene with emphasis on NJ and PA.