America. New York Calls On Mobile Platform Suppliers For Sports
According to rfp, published on friday, a commission on gambling, the staff wants to cooperate at least two platform suppliers and have at least four operators. Those candidates who agree with 50% tax on gross income from gambling or higher and concluded a deal about the division of income with the tribe operator will receive more points. The regulator plans to choose finalists by december 6 and give them a week for filing a final application.
New york gambling commission on friday released requests for submission of applications (rfp) for mobile sports betting suppliers.
According to the application posted on the commission’s website, new york is looking for providers, ready to be taxed in the amount of 50% or higher from their gross income from gambling, in addition to a licensed collection of $ 25 million. These candidates will be rewarded with a 10-year license.
The state seeks to cooperate at least two platform suppliers and wants for players to at least four operators, reports the center square. Platform suppliers will be responsible for entering into agreements with operators within their application.
After two rounds of questions and answers this month, applications will be filed on august 9. After consideration and oral presentations, the commission for gambling plans to choose finalists by december 6 and give these candidates a week to file a final application. Then the awards will be made at the next meeting of the commission, the date of which has not yet been appointed.
Acceptance of applications was supposed to take place until july 1, according to adopted budget legislators in april. New york game commission did not give explanations to the delay. Senator joseph addabbo, d-queens, chairman of the senate committee for racing, games and rates, said that i would like to see applications for sports betting, launched on the super cup in february.
Candidates must undergo a technical review for reviewing a license. Proposals will be assessed by several factors, including their experience in sports rates, as well as the experience of their operators partners. Candidates will also receive bonus points if they have an agreement on the division of income with the operator of tribal games in the state.
Those suppliers of platforms that agree with 50% tax on gross income from games will receive 20 points to their application. If they go higher, they will get a bonus score for every percentage point above 50. Those who offer a lower rate will get fewer points.
If candidates agree at a rate of 50%, it will be one of the highest rates in the country for sports betting. New hampshire income taxes are 51%, and pennsylvania taxes – 36%. In indian, the income from the bookmaker is taxed in the amount of 9.5%, and in new jersey – 13% from the income from online sports rates.
50% tax threshold was a key point for the governor andrew komoo, which only a few months ago was not a supporter of the proposal of mobile games in the state. However, after the covid-19 pandemic has jeopardized the state finance, he began to look for new sources of income. He wanted to work directly with the bookmakers by analogy with the lottery and receive a large proportion of revenues from operators. In the last stages of the budget negotiations, the commoi administration and legislators reached an agreement, which used the framework of the governor plan, but access to it was provided to more operators.
In estimates of the january study, published by spectrum gaming group for the commission, the new york digital market can bring operators to 856 million dollars of gross revenue. But according to plan kuomo, the staff can get $ 49 million tax revenues in the 2022 fiscal year and $ 357 million next year. In his opinion, the mature market can bring 500 million dollars to the state.
Once the states will run licensed mobile applications for sports rates, new york will become the largest online marketing market in the usa.