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<regulation prefix="Regulation" num=".02" citation="COMAR 36.10.06.02" title_num="36" subtitle_num="10" chapter_num="06" heading="Online Sports Wagering Operator License.">
  <paragraph num="A.">
    <text>Unless a person holds a valid online sports wagering operator license issued by the Commission, the person may not conduct, offer, or operate online sports wagering on behalf of a mobile sports wagering licensee.</text>
  </paragraph>
  <paragraph num="B.">
    <text>The Commission may issue an online sports wagering operator license to an applicant that meets all applicable licensing requirements for a mobile sports wagering licensee under State Government Article, Title 9, Subtitle 1E, Annotated Code of Maryland, and the Commissions regulations.</text>
  </paragraph>
  <paragraph num="C.">
    <text>An online sports wagering operator license authorizes a licensee to contract with a mobile sports wagering licensee to conduct online sports wagering on behalf of the mobile sports wagering licensee.</text>
  </paragraph>
  <paragraph num="D.">
    <text>An applicant for an online sports wagering operator license shall:</text>
    <paragraph num="(1)">
      <text>Pay a nonrefundable application fee of $25,000;</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Provide evidence of a performance bond in the amount of $1,500,000;</text>
    </paragraph>
    <paragraph num="(3)">
      <text>If not covered under the online sports wagering licensee’s performance bond for which the sports wagering facility operator licensee is conducting sports wagering, obtain the same performance bond amount that is required for that sports wagering facility license class as provided in COMAR 36.10.05;</text>
    </paragraph>
    <paragraph num="(4)">
      <text>Meet all license application requirements under COMAR 36.10.02; and</text>
    </paragraph>
    <paragraph num="(5)">
      <text>Meet all qualification requirements under COMAR 36.10.03.</text>
    </paragraph>
  </paragraph>
  <paragraph num="E.">
    <text>In this regulation, license, licensee and applicant refers to the online sports wagering operator licensee or applicant.</text>
  </paragraph>
  <paragraph num="F.">
    <text>Agency staff shall determine whether the applicant has met applicable technical and operational requirements for a license, and determine whether it meets the Commission’s requirements for:</text>
    <paragraph num="(1)">
      <text>Payment of the application fee as set forth in §D of this regulation;</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Evidence of a performance bond in the amount as set forth in §D of this regulation;</text>
    </paragraph>
    <paragraph num="(3)">
      <text>Fees and qualification requirements under COMAR 36.10.02 and 36.10.03;</text>
    </paragraph>
    <paragraph num="(4)">
      <text>Hours of operation;</text>
    </paragraph>
    <paragraph num="(5)">
      <text>Technical specifications;</text>
    </paragraph>
    <paragraph num="(6)">
      <text>Internal controls under COMAR 36.10.13;</text>
    </paragraph>
    <paragraph num="(7)">
      <text>Sports wagering platform;</text>
    </paragraph>
    <paragraph num="(8)">
      <text>Sports wagering equipment;</text>
    </paragraph>
    <paragraph num="(9)">
      <text>Sports wagering data information center;</text>
    </paragraph>
    <paragraph num="(10)">
      <text>Types of sporting event wagers to be offered;</text>
    </paragraph>
    <paragraph num="(11)">
      <text>Testing and controlled demonstrations;</text>
    </paragraph>
    <paragraph num="(12)">
      <text>Applicants employees are:</text>
      <paragraph num="(a)">
        <text>Licensed as sports wagering employees; and</text>
      </paragraph>
      <paragraph num="(b)">
        <text>Trained in the performance of their responsibilities;</text>
      </paragraph>
    </paragraph>
    <paragraph num="(13)">
      <text>Applicants preparations to conduct secure sports wagering; and</text>
    </paragraph>
    <paragraph num="(14)">
      <text>Applicant has complied with any additional pre-commencement conditions imposed by the Commission.</text>
    </paragraph>
  </paragraph>
  <paragraph num="G.">
    <text>Commission staff may issue a license to an applicant it has determined is qualified under §F of this regulation.</text>
  </paragraph>
  <paragraph num="H.">
    <text>Application for an Additional Online Sports Wagering Operator License.</text>
    <paragraph num="(1)">
      <text>An online sports wagering operator may conduct online sports wagering on behalf of more than one mobile sports wagering licensees.</text>
    </paragraph>
    <paragraph num="(2)">
      <text>For an online sports wagering operator licensee that applies for a second, or successive, license with a different mobile sports wagering licensee within the term of an existing license that is in good standing, the applicant shall:</text>
      <paragraph num="(a)">
        <text>Submit an application to the Commission; and</text>
      </paragraph>
      <paragraph num="(b)">
        <text>Meet the requirements of §D of this regulation.</text>
      </paragraph>
    </paragraph>
    <paragraph num="(3)">
      <text>The Commission’s approval of online sports wagering operator’s qualifications is valid for 5 years from the date that the Agency issues the online sports wagering operator license.</text>
    </paragraph>
    <paragraph num="(4)">
      <text>Staff may issue additional online sports wagering operator licenses to a qualified licensee.</text>
    </paragraph>
    <paragraph num="(5)">
      <text>If the existing term of an online sports wagering operator license is not expired, Agency staff may:</text>
      <paragraph num="(a)">
        <text>Allow the online sports wagering operator to submit an abbreviated license application for an additional location in a form specified by the Commission;</text>
      </paragraph>
      <paragraph num="(b)">
        <text>Qualify the online sports wagering operator for an additional operator license; and</text>
      </paragraph>
      <paragraph num="(c)">
        <text>If no problems are identified, issue an additional license without necessity of a qualification hearing.</text>
      </paragraph>
    </paragraph>
  </paragraph>
  <paragraph num="I.">
    <text>Renewal. An online sports wagering operator license may be renewed by the Commission if the licensee:</text>
    <paragraph num="(1)">
      <text>Submits an application for renewal to the Commission at least 1 year before the license expires;</text>
    </paragraph>
    <paragraph num="(2)">
      <text>Continues to comply with all licensing requirements, including obtaining a performance bond for the renewal term;</text>
    </paragraph>
    <paragraph num="(3)">
      <text>Submits to a background investigation under COMAR 36.10.02, and pays all associated fees; and</text>
    </paragraph>
    <paragraph num="(4)">
      <text>Pays a license renewal fee of $25,000 for each online sports wagering operator license for which it seeks renewal.</text>
    </paragraph>
  </paragraph>
</regulation>