Authorizes up to two percent of mobile sports tax revenue, but not more than twenty-three million dollars, be used for youth team sports funding to be distributed by county youth bureaus, city of New York's department of youth and community development, and an organization which supports and invests in programs that use sports as a vehicle for youth development and social change.
This bill amends New York’s racing, pari-mutuel wagering and breeding law to redirect a portion of mobile sports wagering tax revenue to youth sports. Under current law, mobile sports wagering tax revenue is generally deposited into the state lottery fund for education aid, with a separate one percent allocation for problem gambling education and treatment. The bill adds a new allocation for a statewide youth sports activities and education grant program administered by the Office of Children and Family Services.
The new program would provide annual grants to sports teams and programs serving underserved youth under age 18 for programming, improvements, and equipment. In the first fiscal year of mobile sports wagering operations, one percent of the tax would be directed to this purpose; thereafter, the bill sets the amount at two percent of mobile sports tax revenue, with a floor of $20 million annually. The bill also specifies that half of the funding must be used for capital expenditures and half for programming, with distribution through county youth bureaus, and in New York City through the Department of Youth and Community Development and Laureus Sport for Good Foundation USA for the programming share.
The bill also requires reporting and accountability measures. County youth bureaus, NYC’s youth agency, and Laureus Sport for Good Foundation USA must report to the commissioner on recipients, fund use, and impact within six months after each grant period. In addition, the bill reinforces monthly deposit and reporting requirements for platform providers and the commission regarding mobile sports wagering revenue.
The bill’s impact on state law is to create a dedicated statutory use of mobile sports wagering tax revenue for youth sports, while preserving existing allocations for education aid and problem gambling services. It would amend section 1367 of the racing, pari-mutuel wagering and breeding law and interact with the state finance law’s commercial gaming and problem gambling funding provisions. The measure would expand the state’s use of gambling-derived revenue beyond education and treatment to include youth development and sports access.
Overall, the bill appears to have favorable committee support, as reflected by a unanimous 7-0 Senate Racing, Gaming and Wagering Committee vote. The available materials do not show recorded opposition or detailed debate, but the structure of the bill suggests its main policy rationale is to use sports betting revenue to support underserved youth. Any likely points of contention would center on diverting revenue from existing state uses, the size and guaranteed minimum of the allocation, and the distribution framework involving county youth bureaus and New York City-specific entities.
The bill would amend the racing, pari-mutuel wagering and breeding law to create a new earmark for mobile sports wagering tax revenue, directing up to two percent, and no less than $20 million annually after the first year, to a statewide youth sports grant program. It would also require the Office of Children and Family Services, county youth bureaus, New York City’s Department of Youth and Community Development, and Laureus Sport for Good Foundation USA to administer and report on the use of these funds. Existing allocations for education aid and problem gambling treatment would remain in place, but the bill would add a new statutory use of gaming revenue for youth sports programming and capital improvements.
The available voting history indicates strong support, with the Senate Racing, Gaming and Wagering Committee approving the bill 7-0. No committee transcript is provided, so there is no recorded floor debate or detailed public testimony in the materials. Based on the bill’s structure and caption, the measure is framed as a youth development and community investment proposal, and the sentiment in the available record is generally favorable.
No explicit opposition is documented in the provided materials, but the most likely areas of contention are the diversion of mobile sports wagering tax revenue from the state lottery fund for education aid, the guaranteed minimum annual funding level, and the choice of administering entities. Questions could also arise about the split between capital and programming uses, the role of Laureus Sport for Good Foundation USA in New York City, and whether the bill’s revenue dedication should be prioritized over other state budget needs.