Arizona Department of Gaming
Arizona Moves Closer to Consolidating Gambling Regulators
The Arizona House Rules Committee voted 8-0 Monday to advance a bill that would consolidate the commissions that oversee racing, gaming, boxing, and mixed martial arts. The bill is now headed to a Senate Appropriations Committee hearing, scheduled for this week.
House Bill 2509, introduced by Republican Leo Biasiucci, would establish a new state gaming commission to regulate and promote activities that currently fall under three separate commissions: the Arizona Racing Commission, the Arizona State Boxing and Mixed Martial Arts Commission, and the Department of Gaming. If passed, the law will come into effect on 30 June 2023.
The legislation includes provisions for determining six members of the new Arizona Gaming Commission, four of whom would be gubernatorial appointees. The latter would include a director of the commission with at least five years’ experience in public or business administration, a certified public accountant, a member experienced in law enforcement, and another gubernatorial public appointee. In addition, the Senate president and House speaker would each have a public appointee.
If passed, the bill would make Arizona the second state after Tennessee to remove regulation of the gaming industry from the original regulator. Tennessee legislators voted last year to take responsibility for regulating the new sports betting industry away from the Tennessee Lottery and hand it to the Sports Wagering Advisory Council.
Arizona has had regulated online sports betting since September. The state allowed for up to 20 sports betting licenses, 10 of which were dedicated for professional sports teams and 10 to be allocated to federally recognized tribes located in the state. As it turns out, however, not all of the sports team licenses have been claimed and there are more tribes than licenses available for them.
The Arizona Department of Gaming was created in 1995 and assumed responsibility from the Arizona Department of Racing to monitor Indian gaming operations. The duties of the department expanded in 2015 to include regulating commercial horse and dog racing, parimutuel wagering, boxing and mixed martial arts. Arizona outlawed dog racing in 2016.
The Arizona Department of Gaming (ADG) announced that it has allocated an event wagering operator license to Plannatech as the designee for the San Carlos Apache Tribal Gaming Enterprise, as well as allocated an event wagering operator license to Sporttrade as the designee for the Quechan Indian Tribe of the Fort Yuma Indian Reservation, pursuant to A.R.S. § 5-1304 and A.A.C. R19-4-105 and 106.
On June 7, 2024, ADG announced that it would begin accepting applications for available event wagering licenses, which included no less than one event wagering license reserved for Arizona Tribes and no less than one event wagering license reserved for Arizona Sports Franchises, as defined in A.R.S. § 5-1301(7).
The application window for event wagering licenses opened on July 8, 2024, and closed on July 19, 2024. Applicants were required to submit their completed applications within this timeframe in order to have been considered for an event wagering license.
Bettors in Arizona wagered approximately $568.5 million on sports in May of 2024, according to a new report by the Arizona Department of Gaming. This represents an approximate 25.9% increase when compared to May of 2023.
The state collected approximately $4.3 million in privilege fees in the month.
ADG
Arizona Department of Gaming Reports $43.6 Million in Tribal Gaming Contributions for the Fourth Quarter of Fiscal Year 2024
The Arizona Department of Gaming (ADG) announced today $43,586,004 in tribal gaming contributions to the Arizona Benefits Fund for the fourth quarter of Fiscal Year (FY) 2024. This amount represents an approximate 3.3 percent increase when compared to the same quarter of FY 2023.
“Celebrating yet another remarkable milestone in tribal gaming, we are thrilled to announce that Arizona has witnessed yet another record-breaking year,” said Jackie Johnson, Cabinet Executive Officer, ADG. “With a record contribution of $157.2 million to the Arizona Benefits Fund, our tribal partners have once again demonstrated their unwavering commitment to the prosperity of our state and local communities. We extend our heartfelt gratitude to our tribal partners for their continued dedication and collaboration.”
The Arizona Benefits Fund receives 88 percent of tribal gaming contributions, providing significant dollars to support instructional improvement in schools, trauma and emergency care, tourism, and wildlife conservation throughout the state.
Tribal gaming contributions to the Arizona Benefits Fund for the 4th quarter of the State’s FY 2024 are as follows:
| Instructional Improvement Fund/Education ………………………………………………….. | $22,474,451 |
| Trauma and Emergency Services Fund ………………………………………………………….. | $10,861,632 |
| Arizona Department of Gaming operating costs ………………………………………………. | $3,308,133 |
| Arizona Wildlife Conservation Fund ……………………………………………………………….. | $3,103,324 |
| Tourism Fund ………………………………………………………………………………………………. | $3,103,324 |
| Problem Gambling Education, Treatment and Prevention …………………………………… | $735,140 |
FY 2024 Qtr 4 Total: Tribal Gaming Contributions to the Arizona Benefits Fund….. $43,586,004
Per the Arizona Tribal-State Gaming Compacts, tribes with casinos also contribute a percentage of their Class III gross gaming revenue to cities, towns, and counties. Total tribal contributions to the Arizona Benefits Fund in addition to cities, towns, and counties in the state has amounted to over $2.2 billion since FY 2004. Currently, there are 25 Class III casinos in Arizona, which ADG regulates in partnership with Arizona tribes.
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