By Austin Fisher
TOPEKA — Rep. Brett Hildabrand (R-Shawnee) reiterated his support on Tuesday to define fantasy sports contests as games of skill rather than lotteries.
Identical bills in House and Senate committees would define playing in fantasy sports as games of skill rather than gambling. Last August the Kansas Racing and Gaming Commission wrote on its website that private fantasy sports are illegal because they meet the criteria of gambling.
“If a fantasy sports league has a buy in and gives a prize, then all three elements of an illegal lottery are satisfied,” the commission wrote.
Illegal gambling, including any lottery that is not regulated by the commission, is a class B misdemeanor in Kansas that can result in up to six months in jail and a $1,000 fine.
Fantasy league players select a team of real athletes and gain points for how the players perform in actual games. Some fantasy league players pay for advice, research, and analysis to inform their choices while others win through their own knowledge and individual commitment to the league.
Fantasy sports providers can offer cash prizes to league winners based on entry fees. The legislation focuses on leagues that award cash prizes whether or not the prize is based on entry fees.
Hildabrand said the vast majority of players do not know that they’re on the wrong side of the law.
“The commission has said that they do not have any intent to prosecute those participating, however, I consider myself a rule of law person,” Hildabrand said. “I believe that if we have rules and laws in statute that they should count for something. They should either be enforced or they should not be a policy to begin with.”
Sen. Tom Holland (D-Baldwin City) said he considers Texas Hold ‘em to be a game of skill, and asked Hildabrand if the bill would pave the way for similar games to slip out of the definition of gambling.
“I suppose that is a possibility,” Hildabrand said. “But this legislation specifically calls out fantasy sports. So any other activity would still be classified as gambling.”
Jeremy Kudon, a lawyer for the Fantasy Sports Trade Association (FSTA), said almost 40 million Americans including nearly 500,000 Kansans play some form of fantasy sports.
“They do so because fantasy sports are a form of entertainment that allows players to have a deeper appreciation for the sports that they love,” Kudon said.
The FSTA estimates that players in the United States and Canada spent $1.7 billion on league fees in 2014.
Derek Hein, a lobbyist for the FSTA, said the bill clarifies state law to match the federal Unlawful Internet Gambling Enforcement Act of 2006 that defines fantasy sports as a “game of skill.”
“We believe that the Kansans who are currently participating in fantasy sports should be permitted to do so without concern about legality of the contests that they enjoy,” Hein said.
The committee took no action on the bill but it might be up for more work next Thursday.
Austin Fisher is a University of Kansas senior from Lawrence majoring in journalism.