VirginiaHB1452026 Regular SessionHouseWALLET

Fantasy contests; regulation and taxation, civil penalty, repeals Fantasy Contests Act.

Sponsored By: Paul E. Krizek (Democratic)

Became Law

Summary

Fantasy contests; regulation and taxation. Imposes (i) a 10 percent tax on a fantasy contest operator's fantasy contest revenue, with 2.5 percent of the tax revenue being allocated to the Problem Gambling Treatment and Support Fund and the remaining 97.5 percent being allocated to the general fund, and (ii) a 2.6 percent fee on a fantasy contests operator's fantasy contest revenue to be utilized by the Virginia Lottery to cover the costs of administration and regulation of fantasy contests in the Commonwealth. The bill also limits the definition of "fantasy contest" and requires fantasy contest operators to apply to the Virginia Lottery for a permit before offering any fantasy contest in the Commonwealth. This bill is identical to SB 129.

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Bill Overview

Analyzed Economic Effects

8 provisions identified: 3 benefits, 3 costs, 2 mixed.

Stronger penalties and suspensions

If an operator breaks the rules, the Department can suspend or revoke the permit after at least 15 days’ notice and a hearing. It can fine up to $1,000 per day per violation, capped at $50,000 total. In an emergency, it can suspend a permit for up to seven days before a hearing. Anyone who knowingly breaks required procedures can face a civil penalty up to $1,000 per violation.

High application and renewal fees

An initial permit application costs $50,000 and is nonrefundable. Renewal costs $25,000 and is nonrefundable. Operators must file renewal at least 60 days before the permit expires. The state deposits initial application fees into the Problem Gambling Treatment Fund.

Monthly tax and admin fee

Operators pay a 10% tax on fantasy contest revenue each month. They also pay a 2.6% administrative fee. Both are due by the 20th of the next month. Extra fee collections beyond costs go to the state’s general fund.

Self‑exclusion covers fantasy contests

You can choose to block yourself from fantasy contests for 2 years, 5 years, or life. Your name stays confidential and off public records. Operators must stop direct marketing to people on the list.

Funding help for problem gambling

Starting July 1, 2026, Virginia runs a Problem Gambling Treatment and Support Fund. The Fund pays for counseling, prevention, and grants to help people with gambling problems. Each month, 2.5% of fantasy contest tax receipts go into this Fund. The other 97.5% goes to the state’s general fund.

Fantasy contests legal and defined

The law defines what counts as a fantasy contest. Games that follow these rules are not treated as illegal gambling, and their prize awards are not gaming contracts. Virginia repeals the old Fantasy Contests Act and moves regulation into the new chapter.

Audits, testing, and privacy rules

Each year, operators must pay for an independent CPA audit and a recognized lab test, and send both reports to the Department. Application and audit records with financial or character details are confidential. Some investigation and licensing records can be withheld from public release. Permit files are open to inspect, but copies can cost up to $1 per page.

Permits and rollout timeline

Fantasy contest operators must have a state permit to run games. Permits last three years. The Lottery Board must adopt rules by January 1, 2029. The Lottery starts taking applications only after those rules are adopted. Operators already registered with Agriculture may keep operating until their Lottery permit is approved or denied.

Sponsors & Cosponsors

Sponsor

  • Paul E. Krizek

    Democratic • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 394 • No: 138

Senate vote 3/14/2026

Conference report agreed to by Senate

Yes: 26 • No: 13

House vote 3/14/2026

Conference report agreed to by House

Yes: 87 • No: 8

Senate vote 3/4/2026

Finance and Appropriations Substitute agreed to

Yes: 0 • No: 0

Senate vote 3/4/2026

Senate insisted on substitute Block Vote

Yes: 39 • No: 0

House vote 3/4/2026

Senate substitute rejected by House

Yes: 0 • No: 93

Senate vote 3/4/2026

Passed Senate with substitute

Yes: 27 • No: 13

Senate vote 3/3/2026

Constitutional reading dispensed Block Vote (on 2nd reading)

Yes: 40 • No: 0

Senate vote 3/3/2026

Reported from Finance and Appropriations with substitute

Yes: 12 • No: 3

Senate vote 3/3/2026

Passed by for the day Block Vote (Voice Vote)

Yes: 0 • No: 0

Senate vote 2/25/2026

Reported from General Laws and Technology and rereferred to Finance and Appropriations

Yes: 15 • No: 0

House vote 2/17/2026

Read third time and passed House

Yes: 89 • No: 8

House vote 2/11/2026

Reported from Appropriations

Yes: 22 • No: 0

House vote 2/11/2026

Subcommittee recommends reporting

Yes: 7 • No: 0 • Other: 1

House vote 1/29/2026

Reported from General Laws and referred to Appropriations

Yes: 21 • No: 0

House vote 1/27/2026

Subcommittee recommends reporting and referring to Appropriations

Yes: 9 • No: 0 • Other: 1

Actions Timeline

  1. Acts of Assembly Chapter text (CHAP0565)

    4/13/2026Governor
  2. Approved by Governor-Chapter 565 (effective 7/1/2026)

    4/13/2026Governor
  3. Fiscal Impact Statement from Department of Planning and Budget (HB145)

    4/2/2026House
  4. Governor's Action Deadline 11:59 p.m., April 13, 2026

    3/31/2026Governor
  5. Enrolled Bill communicated to Governor on March 31, 2026

    3/31/2026House
  6. Signed by Speaker

    3/31/2026House
  7. Bill text as passed House and Senate (HB145ER)

    3/30/2026House
  8. Enrolled

    3/30/2026House
  9. Signed by President

    3/30/2026Senate
  10. Fiscal Impact Statement from Department of Planning and Budget (HB145)

    3/27/2026House
  11. Conference report agreed to by Senate (26-Y 13-N 0-A)

    3/14/2026Senate
  12. Conference report agreed to by House (87-Y 8-N 0-A)

    3/14/2026House
  13. Conference Report released

    3/13/2026
  14. Fiscal Impact Statement from Department of Planning and Budget (HB145)

    3/9/2026House
  15. House Conferees: Krizek, McClure, Wiley

    3/4/2026House
  16. Conferees appointed by House

    3/4/2026House
  17. House acceded to request

    3/4/2026House
  18. Senate insisted on substitute Block Vote (39-Y 0-N 0-A)

    3/4/2026Senate
  19. Senate substitute rejected by House (0-Y 93-N 0-A)

    3/4/2026House
  20. Passed Senate with substitute (27-Y 13-N 0-A)

    3/4/2026Senate
  21. Finance and Appropriations Substitute agreed to

    3/4/2026Senate
  22. Committee substitute printed 26109028D-S1

    3/4/2026Senate
  23. Senate Conferees: McPike, Carroll Foy, Reeves

    3/4/2026Senate
  24. Conferees appointed by Senate

    3/4/2026Senate
  25. Senate requested conference committee

    3/4/2026Senate

Bill Text

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