For anxious DFS players, it was almost feeling like it might never happen, but on Wednesday Governor Andrew Cuomo finally signed the New York daily fantasy sports bill, officially legalizing the game in the state. The signing of the bill comes some two and a half months since passing the legislature and over nine months since a battle began between the state and top DFS sites. With the signing by the governor, New York becomes the eighth state to officially regulate DFS.
With operators required temporary permits needed to offer DFS, New York DFS players could be playing daily fantasy sports as soon as this weekend.
Fandeul CEO Nigel Eccles did not understate the importance of DFS coming back to the third largest state with its 19 million plus residents. “This is a momentous day for the fantasy industry, and I can say on behalf of every FanDuel employee that we owe this moment to you — our New York users — who supported us throughout this entire time. ”
Despite the delay in signing the bill, Governor Cuomo seemed to indicate the time was right. “Daily fantasy sports have proven to be popular in New York, but until now have operated with no supervision and no protections for players. This legislation strikes the right balance that allows this activity to continue with oversight from state regulators, new consumer protections, and more funding for education.”
New York Daily Fantasy Should be Able to Play Soon
FanDuel and DraftKings last left New York in March voluntarily as part of negotiations with New York Attorney General Eric Schneiderman. New York is currently listed as one of the restricted states on the two largest DFS sites, DraftKings and FanDuel and it is not known precisely how long it will be for New York daily fantasy players to begin filling in their real money lineups.
The all-important start of the NFL season kicks off on Thursday, September 8th when the Carolina Panthers meet the Denver Broncos. Eccles promised that FanDuel users will be quickly informed. “We will continue to work hard to give you the best fantasy experience and will send updates as soon as our contests are live again.”
Players can monitor progress on a Rotogrinders thread discussing the DFS bill.
At the time of this writing, FanDuel, DraftKings and Fantasy Draft have all submitted “temporary permits” to operate in the state. Some have suggested that the sites could be operational in New York by the weekend of August 5th, in time for preseason daily fantasy football. Whether it happens today or tomorrow, this much is known — New York players should be able to submit lineups very soon.
What’s in the New York DFS Bill?
Daily fantasy sports is back in New York but that doesn’t mean everything is going to be exactly like it was when it left – notably for operators. First of all, it’s going to be difficult for DFS sites to enter the New York market unless they have a large player base. That’s because New York State Gaming Commission is charging a yearly fee of $50,000 plus a fee of 15% of gross revenue on New York play. The state hopes to raise more than $5 million in annual revenue.
Like other states that have regulated DFS, the bill also includes a comprehensive list of consumer protections including:
- Segregation of player funds
- Experienced DFS players must clearly be identified
- Player accounts must be secure and private
- Require that players have reached the age of 18 years or order
- Operators barred from offering of college fantasy contests
- Limits to the number of contests a player can enter
You can also read the full details of the bill that was signed by the governor.