Time to Define Daily Fantasy Sports in Florida

A few years ago, legislation was passed that currently allows Florida residents to participate in Daily Fantasy Sports (DFS) contests. The legislation actually went so far as to allow DFS participants to place prop bets on players as long as the prop bets are placed in the form of parlays that include at least two (2) propositions in the same wager.

This same legislation allowed for commercial interests to offer DFS services because DFS was not considered a form of sports betting. This position was held under the guise of DFS requiring skill as opposed to being a gambling form of chance. This definition also served to deny Florida's Indian Tribes exclusive rights to DFS.

This matter has again become relevant as the Seminole Tribe begins accepting legal retail and mobile sports. It becomes relevant because it's forcing legislators to do a better job of distinguishing the difference between DFS and sports betting.

New DFS Bill Submitted

Knowing there needs to be clarification about what constitutes DFS, Rep. Jason Shoaf has decided to run with the ball. He has submitted HB679, which is specifically designed to create legal boundaries for DFS operators like Prize Picks, DraftKings, Fanduel, and Sleeper.

It's noteworthy that Seminole Tribe officials are not happy about what is transpiring with this DFS bill. They were elated to get the exclusive rights to control Florida's sports betting market, rights that were awarded by a new compact signed with Florida Governor Ron DeSantis. However, they are not happy about this DFS legislation because it authorizes competition for sports betting dollars.

Setting aside concerns about the Seminole's sports betting rights, there are legislators, including Shoaf, who feel DFS operators are entitled to some protection. After all, they are already losing revenue as the Seminole's Hard Rock Bet platform opened for limited business in November.

Details of HB679

With the devil in the details, it's important to look at exactly what HB679 proposes. Here are some of the bill's key details:

- Daily contests involving many sports markets will be allowed

- Player props will be allowed as long as they involve statistical outcomes

- Player props will be allowed as long as two or more player outcomes are included on the same betting slip (parlay)

- Winning outcomes will not be allowed involving team outcomes (scores or point spreads), single-player outcomes, or anything involving amateur (college, high school, youth leagues) sports.

How HB679 Will Affect Sports Betting in Florida

It's noteworthy that the sports betting question has not been officially resolved in Florida. Right now, the Seminoles are only accepting sports bets from customers who originally registered with Hard Rock in November 2021. Furthermore, the Tribe's officials have stated they won't go into full launch until the last legal challenge from Western Flagler (commercial gambling interests) is resolved.

HB679 will not have much influence over the sports betting outcome. If it gets passed, it might draw some revenue related to player prop parlay, but not enough to hurt the Seminoles. It just gives other parties a chance to participate in Florida's sports entertainment market.