INDIANAPOLIS -- Small fantasy sports operators are crying foul over legislation awaiting the governor’s signature that regulates paid fantasy sports.
The legislation’s focus centers on daily fantasy sports operators FanDuel and DraftKings.
The bill requires operators to pay a$50,000 licensing fee, with a $5,000 yearly renewal.
Sites such as the Fantasy Football Players Championship (FFPC), FanTrax, and RealTime Fantasy Sports say they can’t afford those costs.
While FanDuel and DraftKings are daily fantasy sites, operators such as FFPC’s Dave Gerczak say they run season-long, traditional fantasy games. And he says they shouldn’t have to pay the same fees.
“Maybe one or two could try and pony up the dough. But when you think about all the states we’re talking about, what they’re trying to do is create this duopoly.”
Sen. Jon Ford, R-Terre Haute, the bill’s author, says he never heard those complaints. And he notes the legislature will study paid fantasy sports further this summer:
“I think this is the first bite at the apple and we’re trying to do as much as we can and compromise the most and get a good piece of legislation.”
The bill creates a study committee to examine issues that include withholding taxes from players’ winnings.