House Study Bill 630 - Introduced HOUSE FILE _____ BY (PROPOSED COMMITTEE ON STATE GOVERNMENT BILL BY CHAIRPERSON BLOOMINGDALE) A BILL FOR An Act relating to fantasy sports contests and internet fantasy 1 sports contest players. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5731YC (2) 90 nls/ns

H.F. _____ Section 1. Section 99E.1, subsection 3, Code 2024, is 1 amended by striking the subsection and inserting in lieu 2 thereof the following: 3 3. a. “Fantasy sports contest” means any internet fantasy 4 or simulated game or contest of skill for which all of the 5 following are true: 6 (1) All players are required to pay an entry fee in order 7 to participate. 8 (2) The values of all prizes and awards offered to winning 9 players are established and made known to the players in 10 advance of the contest. 11 (3) All winning outcomes reflect the relative knowledge and 12 skill of the players. 13 (4) All players assemble, own, or manage a fictional entry 14 or roster of actual professional or amateur athletes in any of 15 the following: 16 (a) A real-world sporting event. 17 (b) An organized video game competition that is regulated by 18 a governing body and that is held between professional athletes 19 who play individually or as teams. 20 (5) Players compete for prizes awarded by a fantasy sports 21 contest operator based on terms and conditions published by the 22 fantasy sports contest operator and made known to all players 23 prior to the contest. 24 (6) All winning outcomes are determined solely by clearly 25 established scoring criteria based on one or more statistical 26 results of the performance of an individual athlete, including 27 but not limited to a fantasy score, and are not solely based 28 on the score, point spread, or performance or performances of 29 any single actual team or combination of teams, or solely on 30 any single performance of an individual athlete in any single 31 actual event. 32 b. “Fantasy sports contest” includes but is not limited to 33 contests in which multiple players compete against each other 34 and contests in which a single player competes against a target 35 -1- LSB 5731YC (2) 90 nls/ns 1/ 3

H.F. _____ score set by the fantasy sports contest operator. 1 Sec. 2. Section 99E.1, subsection 6, Code 2024, is amended 2 to read as follows: 3 6. a. “Internet fantasy sports contest player” or “player” 4 means a natural person who is at least twenty-one years of age 5 and participates in an internet fantasy sports contest operated 6 by an internet fantasy sports contest service provider. 7 b. “Internet fantasy sports contest player” or “player” does 8 not include an internet fantasy sports contest service provider 9 by virtue of the provider doing any of the following: 10 (1) Setting house rules for a fantasy sports contest. 11 (2) Assigning a salary or target score to an eligible 12 athlete. 13 (3) Accepting an entry fee from an internet fantasy sports 14 contest player. 15 (4) Awarding or disbursing prizes to a winning internet 16 fantasy sports contest player. 17 EXPLANATION 18 The inclusion of this explanation does not constitute agreement with 19 the explanation’s substance by the members of the general assembly. 20 This bill relates to the definitions of “fantasy sports 21 contest” and “internet fantasy sports contest player”. 22 Under current law, “fantasy sports contest” (contest) 23 is defined as any fantasy or simulated contest in which 24 the fantasy sports contest operator is not a participant in 25 the contest, the values of all prizes and awards offered to 26 winning participants are established and made known to the 27 participants in advance of the contest, all winning outcomes 28 reflect the relative knowledge and skill of the participants 29 and are determined by accumulated statistical results of the 30 performance of individuals, including athletes, and no winning 31 outcome is solely based on the score, point spread, or any 32 performance or performances of any single actual team or solely 33 on any single performance of an individual athlete or player 34 in any single actual event. Under the bill, the definition 35 -2- LSB 5731YC (2) 90 nls/ns 2/ 3

H.F. _____ of “fantasy sports contest” also requires that players pay 1 an entry fee to participate in the contest, and that all 2 players assemble, own, or manage a fictional entry or roster of 3 athletes in real-world sporting events or a regulated organized 4 video game competition held between professional athletes. The 5 bill provides that “fantasy sports contest” includes a contest 6 in which multiple players compete against each other and a 7 contest in which a single player competes against a target 8 score set by the fantasy sports contest operator. 9 Under current law, “internet fantasy sports contest player” 10 (player) is defined as a person who is at least 21 years of age 11 and participates in a contest operated by an internet fantasy 12 sports contest service provider (provider). Under the bill, a 13 player is a natural person who is at least 21 years of age and 14 participates in a contest operated by provider. A player does 15 not include a provider by virtue of the provider setting house 16 rules for a contest, assigning a salary or target score for 17 an athlete, accepting an entry fee from a player, or awarding 18 prizes to a winning player. 19 -3- LSB 5731YC (2) 90 nls/ns 3/ 3