All Roll Calls
Yes: 260 • No: 59
KentuckyHB 9042026 Regular SessionHouseWALLET
AN ACT relating to gaming.
Sponsored By: Michael Meredith (Republican)
Became Law
Administrative Regulations And ProceedingsAmusements And RecreationsBusiness Entities And OrganizationsCharitable And Nonprofit OrganizationsCorrections ImpactGaming And WageringHorses And Horse RacingLicensingPublic SafetyRetroactive LegislationState AgenciesTaxation
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Bill Overview
Analyzed Economic Effects
47 provisions identified: 13 benefits, 16 costs, 18 mixed.
Child support debt blocks online gaming
Covered online gaming operators must deny accounts to people listed as owing at least $500 in child support per Title IV-D case. The debt must come from a Kentucky order or an out-of-state order registered and enforceable in Kentucky. The state must maintain the registry and send it to the gaming regulator. Operators must suspend listed accounts within five business days of receiving an update, and restore accounts within five business days after removal. Operators must give notice; knowing violations can bring license penalties. Charitable-gaming licensees are exempt.
Gaming investigators lose hazardous-duty retirement coverage
Horse racing and gaming investigators are excluded from hazardous-duty retirement coverage under the Kentucky Employees Retirement System. Investigators in these roles do not qualify for that coverage.
Certain convictions block charitable gaming licenses
Charitable-gaming applicants and license holders cannot obtain or keep a license after covered disqualifying convictions. The rule also covers associated people subject to background checks. Convictions must fall within the 10 years before the application. Covered crimes include dishonesty, moral turpitude, and the specified felony, gambling, fraud, forgery, theft, and business-record offenses.
Self-excluded fantasy players lose contest prizes
Kentucky’s gaming regulator must create and publicize a self-exclusion list for people who identify as problem or compulsive gamblers. Covered licensees must send collected self-exclusion information to the regulator. Residents and eligible nonresidents can block themselves from opening fantasy contest accounts, and existing self-exclusion programs must include fantasy contests. Providers must report self-excluded participation, withhold prizes, and donate forfeited prizes to designated problem-gambling programs by the 25th day after each quarter. Fantasy providers must also display help information on their platforms and in ads, and maintain programs to reduce compulsive play.
Higher ticket prizes allowed in charitable gaming
The law raises the maximum individual charity game ticket prize from $599 to $1,499. Individual prizes cannot exceed this new ceiling. Cumulative or carryover prizes in seal card games are excluded from the limit. The higher limit allows larger prizes but does not guarantee anyone a win.
Authorized gaming gains criminal law protections
Kentucky's gambling-crime chapter does not cover authorized pari-mutuel, fantasy, fixed-odds, live or historical horse-race, and sports wagering. Definitions of advancing or profiting from gambling now cover only unauthorized activity; bookmaking means unauthorized business betting. Regulated fantasy contests and defined fixed-odds wagering are excluded from the gambling definition, and fixed-odds devices are excluded from gambling-device rules. Live-race devices at licensed tracks and corporation-authorized historical-race devices at licensed regular tracks are also excluded. The specified loitering rule does not cover defined charitable gaming or the listed licensed sports, fantasy, fixed-odds, and horse-race wagering.
Charitable gaming licensees gain suspension safeguards
The regulator can issue an immediate suspension, notice, or stop order only for specified risks. Those risks are imminent danger to public health or safety, or misuse of charitable-gaming revenue. A license holder can appeal an immediate suspension, and the corporation must decide within 20 days. A further appeal requires an administrative hearing under state law.
Gaming investigators gain powers and hiring flexibility
Investigators appointed by the corporation's president can exercise peace officer powers within specified gaming-law enforcement areas. Their work includes covered racing and wagering laws and protecting people or property at licensed premises. Their powers remain limited to the enforcement areas listed in state law. Investigators hired after July 1, 2025, do not need Department of Criminal Justice Training certification.
Gaming supply sellers gain legal defense
Sellers charged with selling charitable gaming supplies to minors gain a defense when false, fraudulent, or altered documents induced the sale. They must also show the buyer’s appearance and character strongly suggested legal age and made age unascertainable by other means. The same evidence can support a reduced penalty.
Small noncash games avoid licensing limits
Wheel games and other games of chance avoid the special-license requirement and age restrictions when prizes are only noncash. The noncash prizes must be worth no more than $100. Cash prizes and noncash prizes above $100 do not qualify.
Horse racing gets purse support funds
Kentucky creates a restricted purse stabilization fund from horse-racing wagering excise receipts, including fixed-odds receipts. Money must remain in the fund for at least one and one-half years after the law’s effective date. After that, the regulator can supplement live-meet purses, with a meet’s payout capped at 10% of the fund. Unspent money carries forward. The official registrar can also seal certificates for qualified, registered Kentucky-bred Thoroughbreds; certificates no longer must be Jockey Club certificates.
Legal gaming protects covered alcohol licenses
Authorized fantasy contests, fixed-odds betting, and live or historical horse-race wagering are exceptions to the specified gambling-related alcohol-license penalty. Covered license holders also cannot lose their licenses solely for operating lawful pari-mutuel betting, sports wagering, fantasy contests, or fixed-odds wagering. Other grounds for license suspension or revocation remain. These protections do not authorize otherwise unlawful wagering.
Racing associations gain scheduling flexibility
After November 1, the gaming corporation can add or adjust awarded racing dates at a licensed association's request. The applicable horsemen's group must support the change, and the corporation must find it serves racing's best interest. Another association whose dates are affected must give express written consent.
Stronger oversight of Kentucky Thoroughbred registration
A Thoroughbred registrar must agree to Kentucky’s legal authority. If the registrar fails to follow the chapter’s requirements, the Kentucky Horse Racing and Gaming Corporation must choose a replacement. That replacement serves as the registrar for Kentucky Thoroughbreds.
Thoroughbred breeders gain registration protections
Thoroughbred registrars generally cannot cap the number of mares bred to a stallion or reject a foal for that reason. A cap requires unanimous adoption and implementation by representatives of the International Stud Book Committee's members. Without that cap, registrars also cannot deny otherwise qualifying foals whose mares are or seek to be bred, reside, or foal in Kentucky. Those foals must otherwise meet Jockey Club requirements. Violations are unlawful trade practices, and injured parties can seek legal remedies, including treble damages plus actual damages.
Tracks can offer fixed-odds horse betting
Licensed Kentucky tracks can offer fixed-odds horse betting, with or without a service provider, after receiving a supplemental license. The host track chooses which bets are offered. Bookmakers must accept bets with a potential win limit of at least $1,000 per race. That limit is not the stake, total collection, or a guaranteed win. Covered providers and licensees can also offer advance deposit account wagering, but are not required to do so.
Horse bettors get odds and cutoff protections
Licensed wagering-system companies, tracks, and racing associations must speed technology upgrades at the earliest opportunity consistent with existing contracts. They must give retail bettors commercially reasonable access to live horse-racing betting odds by April 1, 2027. Wagering technology must be updated at least annually. Tracks and associations must stop accepting wagers when the starting gate opens, and no later. Pools and odds can still update afterward to reflect bets accepted before that cutoff.
Sports bettors must be at least 21
The law raises Kentucky’s minimum sports betting age from 18 to 21. People ages 18 through 20 can no longer place sports bets. Sports betting companies must use commercially and technologically reasonable methods to block underage access at licensed facilities, websites, and mobile apps.
Charitable gaming operators face stronger enforcement
The gaming regulator can inspect licensees' offices, businesses, gaming locations, and facilities under its authority with free access. For violations, it can deny, refuse to renew, suspend, or revoke charitable-gaming licenses. It can also impose probation, fines, warnings, reprimands, and stop orders. These powers cover applicable laws, regulations, and gaming-office directives, rulings, or orders.
Charities face gaming and spending limits
Charitable gaming can operate only in forms authorized by Kentucky's charitable-gaming and racing laws. Licensed charities cannot use gaming receipts or incur expenses to form, maintain, or operate as a labor organization.
Fantasy contest violations bring criminal penalties
Participation in a fantasy contest that violates Section 9 of the law is a Class A misdemeanor. Tampering with a fantasy contest outcome in violation of that section is a Class C felony. Kentucky’s Attorney General can also enforce and prosecute offenses under the racing and charitable-gaming chapters, alongside local prosecutors.
Property controllers must stop unlicensed gambling
People possessing or controlling property commit an offense if they knowingly let unlicensed gambling continue there. They must halt or attempt to halt the activity within a reasonable time. This rule does not cover gambling licensed under Kentucky's lottery, racing and wagering, or charitable-gaming chapters.
Charitable gaming applicants face licensing standards
Charitable gaming applicants must meet state licensing standards. The regulator reviews financial responsibility, age, experience, reputation, competence, and overall fitness to protect gaming integrity. Facility applicants must also explain their ability to run the facility and follow required standards. Applicants and license holders must pay licensing and renewal fees, within the applicable state-law caps.
Charity venues face tighter operating rules
Charitable-gaming facilities need a license unless they host only charity fundraising events. Use by two or fewer charities no longer creates an exemption. Covered facility owners, officers, workers, contractors, affiliates, and family members cannot solicit licensed charities to play there for profit. Licensed and unlicensed facilities must charge fixed rent, not rent based on gross receipts, net proceeds, or attendance.
Gaming companies face prediction market limits
Kentucky racing, sports betting, and fantasy contest licensees cannot participate in Kentucky prediction markets or share their proceeds. The ban covers their affiliates and businesses in which they hold a beneficial interest. Covered companies also cannot supply, advertise, host, or partner with businesses offering these event contracts. Kentucky’s gaming regulator and revenue department retain authority to regulate prediction markets, consistent with federal law.
Higher license fee caps for charitable gaming
The maximum fee for each charitable organization’s gaming license, issued or renewed, rises from $300 to $1,000. The facility license fee cap rises from $2,500 to $5,000. The manufacturer or distributor license fee cap rises from $1,000 to $5,000. Actual fees can be lower; facility fees must follow a graduated schedule based on weekly sessions or other applicable factors. Organization fees can vary by license type, game type, gross receipts, or other applicable factors.
Unpaid state obligations block gaming licenses
The gaming corporation cannot issue or renew covered licenses when applicants or licensees have unpaid required state obligations. These include applicable taxes, license fees, required payments, and other debts owed to Kentucky or its agencies. Covered obligations include those tied to pari-mutuel and advance-deposit wagering, sports betting, fantasy contests, event contracts, and charitable gaming.
Fantasy providers pay tiered license fees
Fantasy providers with annual adjusted gross receipts below $50,000 pay $5,000 initially and $1,000 for annual renewal. Outside that tier, licensed sports wagering service providers pay $7,500 initially and $5,000 annually. Other providers pay $15,000 initially and $10,000 annually. Providers exceeding $50,000 in a year must reapply within 90 days. They owe only the difference between the applicable initial fee and the initial fee already paid.
Fixed-odds operators pay license fees and taxes
Tracks and associations must obtain a supplemental license before offering fixed-odds wagering in Kentucky. The initial fee and each annual renewal cost $2,500. Licensed operators pay tax on fixed-odds live horse-racing revenue: 9.75% for track bets and 14.25% through approved online or off-site technology. Taxable revenue equals wagers collected minus winnings paid and federal excise taxes paid. Tax receipts go to the purse stabilization fund; the law specifies no resulting change to bettors’ prices or payouts.
Racetrack extensions can face local fees
Specified Kentucky counties and cities can apply occupational license fees to qualifying racetrack extensions offering historical horse-race wagering. Extensions must be owned, leased, or purchased by licensed associations, meet the legal track definition, and use approved terminals. Property used for horse training or regulated live racing for stakes, purses, or prizes is excluded. The law states no fee amount.
Thoroughbred bettors face new payout rounding
The law changes payout rounding for covered Thoroughbred pari-mutuel races, replacing the direction to calculate breaks to the penny. The change also applies to races already run. The supplied text does not explain the replacement calculation or show whether a bettor gains or loses money.
Bettors gain horse races but face limits
Horse races now count as sporting events under Kentucky's sports wagering law. Local, state, and federal election outcomes do not. Operators cannot offer individual-statistic bets that win when an athlete on a Kentucky college team misses a threshold or has a negative performance. This restriction does not ban all college sports betting.
Fantasy contests add limits and protections
Fantasy contest players must be at least 18. Restricted participants cannot enter contests tied to their profession, relationship, or access to nonpublic information. They can enter contests outside that scope. The law also bans attempts to persuade players, coaches, officials, or restricted participants to change event outcomes or fantasy scores.
Charitable gaming enforcement adds appeal protections
Licensed and unlicensed charitable gaming participants can face warnings, probation, cease-and-desist orders, and fines up to $5,000 per offense. A person appealing a violation can request a pause in writing within 10 calendar days, giving identifying details, reasons, and the requested duration. The regulator can grant a pause for good cause and must decide within five calendar days; no timely written decision means approval. Denials or rescissions can be challenged before the corporation, with further circuit court review. The regulator retains authority to temporarily suspend individual electronic devices after technical breaches or during emergencies, and must provide a toll-free phone or electronic complaint channel.
More employees can chair charitable gaming
An employee of charitable gaming premises can serve as a chairperson if at least 21 and named in the charity’s license application. The employee must complete required background checks and training. The training and federal background check requirements begin July 1, 2027. Kentucky’s gaming regulator must create online chairperson training before that date.
Charities face pulltab checks and fines
Charities must check identification and keep people under 21 from playing electronic pulltabs or entering their cordoned-off areas. These areas must be visible to the chairperson. At mixed-age sites, five or more devices require full-time entrance monitoring by an organization-employed chairperson; four or fewer require a chairperson on staff to monitor. A first offense costs $1,000, a second costs $2,500, and a third within one year bars charitable gaming at that site. Charities may reasonably pay chairpersons for time spent in required training or checking identification at restricted areas.
Fantasy contests gain safeguards and location checks
Kentucky’s gaming regulator must issue fantasy contest rules within 180 days after the law’s effective date and create integrity programs. Providers must verify that players are physically in Kentucky when entering, unless the regulator authorizes an exception. A lawful fantasy contest cannot be restricted merely by calling it sports betting. The regulator can classify a contest as sports betting based on how it actually works and state and federal law. Providers and the regulator must help law enforcement access account-level entry and participation records during investigations.
State oversight expands across gaming activities
The Kentucky Horse Racing and Gaming Corporation has exclusive oversight of fantasy contests and fixed-odds betting. It can set rules and subpoena related records. Beginning July 1, 2025, it also oversees charitable gaming. It can exclude people whose conduct or reputation harms gaming integrity or orderly play, but not solely on legally protected grounds.
Charitable gaming applicants face background checks
Background checks cover applicants, chief executives, chief financial officers or directors, designated chairpersons, and people with at least 10% financial interests. The regulator can require checks of other associated people when needed to assess fitness. Applicants under KRS 238.530, KRS 238.555, and Section 28 must undergo state and national checks. Applicants under KRS 238.535 need state checks; national checks and natural-person fingerprints can be required when reasonably necessary. Fingerprinting is mandatory under KRS 238.530 and KRS 238.555, and any fingerprinting and records-search fee cannot exceed actual cost.
Charitable gaming locations gain temporary limits
Within 90 days after the Act's effective date, a charitable-gaming facility can transfer up to three licenses. Transfers must move from locations admitting people age 21 or younger to locations admitting only people 21 or older. From April 15, 2026, until April 15, 2027, new electronic charity ticket sites are limited to organization offices, licensed bingo sites, and pre-approved fundraising event sites. Sites operating before April 15, 2026, can still receive supplies and updates. The temporary limit does not apply if the corporation adopts regulations governing electronic charity game tickets under the state's rulemaking law.
Charities face electronic gaming location limits
Charities generally can offer electronic game tickets and pulltabs at one approved main location and one approved additional location. The main site must be the charity’s office, licensed bingo site, or authorized fundraising event; the additional site must be in the office’s county or a bordering county. Charities operating at more than one additional site on July 1, 2025, can keep those sites. Ownership changes, permanent cessation, invalid leases, compliance or age-21 access failures, and late or missing location information can end permission; specified suspensions or revocations can end games at all additional sites. Qualifying charities can relocate to an age-21-only site after a property or business sale or transfer, or closure of at least 90 days, and rebuild at the same site after an act-of-God closure.
Charities gain deposit flexibility with spending limits
Licensed charities cannot pay above market rates for gaming supplies, rent, utilities, insurance, advertising, accounting, or security. Some charities can deposit gaming receipts weekly instead of after each event or session. This option covers only charity game tickets outside fundraising events. Gross and adjusted gross gaming deposits must total less than $2,500 in the week before the deposit.
Charities get deadlines but uncertain license reinstatement
Charitable gaming applicants must file complete applications at least 60 days before license expiration or planned operations. The regulator must identify deficiencies within 30 days and decide complete applications within 60 days. Applicants generally have 30 days to fix deficiencies or their applications are withdrawn; unfixable deficiencies require denial. Temporary licenses are available at the regulator’s discretion for complete, accurate applications meeting other licensing requirements. Restoring an escrowed license is also discretionary, even when the charity still qualifies, stopped gaming during escrow, and pays the reinstatement fee.
Fantasy providers gain conditional operating flexibility
Fantasy contest licenses last one year, with renewal procedures set by regulation. Existing Kentucky providers can continue during application review if they apply within 90 days after implementing rules are issued. Initial and renewal applicants can operate during review, but the regulator can require suspension for reasonable cause to suspect violations. A license cannot end early solely because licensing qualifications change. Providers can request more time to renew; a lapse without an extension request requires an initial application.
Gaming facilities must transfer existing licenses
Owners or lessees hosting at least two other licensed charities within one year count as charitable gaming facilities. Facilities licensed before the law’s effective date must start a license transfer within 90 days after that date. They must first seek a transfer to a licensed charity affiliated as of January 1, 2026, consistent with state law. If that charity declines or is not approved, the facility can seek another licensed charity. The recipient must apply; the regulator has 90 days to decide and cannot unreasonably withhold approval.
Gaming reports carry risks and safeguards
Licensees filing required racing or charitable gaming reports must attest under penalty of perjury that reports are true, correct, and complete. The attestation is based on their best knowledge and belief. Substantially misleading or materially false reports can lead to license refusal, suspension, or revocation. For tracks or associations holding multiple licenses, penalties apply only to the license or licensee tied to the violation. Other licenses are not penalized solely because of that violation.
Racing entities face charitable gaming limits
Licensed racing associations, tracks, and their affiliates cannot hold charitable-gaming licenses or have a beneficial interest in gaming proceeds. They can lease space to charities or nonprofits at commercially reasonable rates. They can also conduct corporation-authorized raffles and other special limited charity fundraising events.
Sponsors & Cosponsors
Sponsor
Michael Meredith
Republican • House
Cosponsors
Matthew Koch
Republican • House
Roll Call Votes
House vote • 4/14/2026
passed
Yes: 67 • No: 7
Senate vote • 4/14/2026
passed
Yes: 26 • No: 5
Senate vote • 4/1/2026
3rd reading, passed
Yes: 24 • No: 13
House vote • 4/1/2026
passed
Yes: 64 • No: 19
House vote • 3/19/2026
3rd reading, passed
Yes: 79 • No: 15
Actions Timeline
delivered to Secretary of State (Acts Ch. 184)
4/14/2026enrolled, signed by President of the Senate
4/14/2026Houseenrolled, signed by Speaker of the House
4/14/2026Housereceived in House
4/14/2026Houseto Rules (H)
4/14/2026Housepassed 26-5
4/14/2026Senateveto overridden
4/14/2026Senateposted for consideration of Governor's veto
4/14/2026to Rules (S)
4/14/2026Senatereceived in Senate
4/14/2026Senatepassed 67-7
4/14/2026Houseveto overridden
4/14/2026Houseposted for consideration of Governor's veto
4/14/2026taken from Rules
4/14/2026Housereceived in House
4/14/2026HouseVetoed
4/13/2026delivered to Governor
4/2/2026enrolled, signed by President of the Senate
4/2/2026Houseenrolled, signed by Speaker of the House
4/2/2026Housepassed 64-19
4/1/2026HouseHouse concurred in Committee Substitute (1)
4/1/2026Houseposted for passage for concurrence in Senate Committee Substitute (1)
4/1/2026Senatetaken from Rules
4/1/2026Houseto Rules (H)
4/1/2026Housereceived in House
4/1/2026House
Bill Text
Current
4/14/2026
Introduced
3/4/2026
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