SB 862

SENATE BILL 862
     C7, J1  6lr3489
     SB 706/25 – B&T  CF 6lr3499
     By: Senator Zucker
     Introduced and read first time: February 6, 2026
     Assigned to: Budget and Taxation
  A BILL ENTITLED
1 AN ACT concerning
2Gaming – Problem Gambling – Prevalence Study and Fund Revenue
3 FOR the purpose of requiring the Maryland Department of Health to conduct certain
4      prevalence studies concerning problem and pathological mobile gambling; altering
5      the distribution of certain fantasy competition and sports wagering proceeds; and
6      generally relating to problem gambling and the Problem Gambling Fund.
7 BY repealing and reenacting, with amendments,
8Article – Health – General
9Section 19–804
10Annotated Code of Maryland
11(2023 Replacement Volume and 2025 Supplement)
12 BY adding to
13      Article – State Government
14      Section 9–1A–33(b)(7)
15      Annotated Code of Maryland
16      (2021 Replacement Volume and 2025 Supplement)
17 BY repealing and reenacting, with amendments,
18Article – State Government
19Section 9–1D–04 and 9–1E–12(b)
20Annotated Code of Maryland
21(2021 Replacement Volume and 2025 Supplement)
22 BY repealing and reenacting, without amendments,
23Article – State Government
24Section 9–1E–12(a)
25Annotated Code of Maryland
26(2021 Replacement Volume and 2025 Supplement)
     EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
  [Brackets] indicate matter deleted from existing law.
  *sb0862*
2SENATE BILL 862
1SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
2 That the Laws of Maryland read as follows:
3Article – Health – General
4 19–804.
5(a)    (1)   The Secretary shall make grants from or agreements for the use of State
6 funds, including the funds provided under § 9–1A–33 of the State Government Article, and
7 federal funds to help public agencies or nonprofit organizations operate the network of
8 clinically appropriate services for problem gamblers who reside in the State to provide the
9 following:
10(i)     Inpatient and residential services;
11(ii)    Outpatient services;
12(iii)   Intensive outpatient services;
13(iv)    Continuing care services;
14(v)     Educational services;
15(vi)    Services for victims of domestic violence; and
16(vii)   Other preventive or rehabilitative services or treatment.
17(2)    Research and training that are designed to improve or extend these
18 services are proper items of expense.
19(b)    The Secretary shall conduct [a]:
20(1)   A prevalence study and replication prevalence studies to measure the
21 rate of problem and pathological IN–PERSON gambling in the State; AND
22(2)   A PREVALENCE STUDY AND REPLICATION PREVALENCE STUDIES
23 TO MEASURE THE RATE OF PROBLEM AND PATHOLOGICAL MOBILE GAMBLING IN
24 THE STATE.
25(c)   (1)   Subject to paragraph (2) of this subsection, the Secretary shall contract
26 with an independent researcher to conduct the prevalence studies.
27(2)   The Secretary shall utilize the most current psychiatric or diagnostic
28 criteria for problem and pathological gambling as the basis for the prevalence studies.
  SENATE BILL 862  3
1(d)    (1)
  The initial prevalence study ON PROBLEM AND PATHOLOGICAL
2 IN–PERSON GAMBLING IN THE STATE shall be completed on or before July 1, 2009.
3(2)   THE
  INITIAL PREVALENCE  STUDY   ON  PROBLEM   AND
4 PATHOLOGICAL MOBILE GAMBLING IN THE STATE SHALL BE COMPLETED ON OR
5 BEFORE JULY 1, 2031.
6(e)   Replication prevalence studies shall be conducted no less than every 5 years
7 with measures taken to permit comparisons between the initial prevalence study and
8 subsequent replication prevalence studies.
9(f)    Services under this subtitle shall be provided by public agencies or, under
10 contract, by nonprofit organizations.
11Article – State Government
12 9–1A–33.
13(b)(7) ON OR BEFORE NOVEMBER 1, 2027, AND EACH NOVEMBER 1
14 THEREAFTER, THE SECRETARY OF HEALTH SHALL SUBMIT A REPORT TO THE
15 GENERAL ASSEMBLY, IN ACCORDANCE WITH § 2–1257 OF THIS ARTICLE, ON HOW
16 THE FUNDS IN THE PROBLEM GAMBLING FUND HAVE BEEN EXPENDED ON
17 PROBLEM GAMBLING TREATMENT AND PREVENTION PROGRAMS UNDER THIS
18 SUBSECTION.
19 9–1D–04.
20(a)   A fantasy competition operator shall retain [85%] 84% of the proceeds and
21 pay the remainder to the Commission.
22(b)(1) [The] EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS
23 SUBSECTION, THE Commission shall distribute the proceeds paid under subsection (a) of
24 this section to the Blueprint for Maryland’s Future Fund established under § 5–206 of the
25 Education Article.
26(2) THE COMMISSION SHALL DISTRIBUTE 1% OF THE PROCEEDS
27 FROM FANTASY COMPETITIONS TO THE PROBLEM GAMBLING FUND ESTABLISHED
28 UNDER § 9–1A–33 OF THIS TITLE.
29 9–1E–12.
30(a)    (1)     The Commission shall account to the Comptroller for all of the revenue
31 under this subtitle.
4SENATE BILL 862
1(2)   The proceeds from sports wagering, less the amount retained by the
2 licensee under subsection (b)(1) of this section, shall be under the control of the Comptroller
3 and distributed as provided under subsection (b) of this section.
4(b)   (1)    (i)   Except as provided in subparagraphs (ii), (iii), and (iv) of this
5 paragraph, all proceeds from sports wagering shall be electronically transferred monthly
6 into the State Lottery Fund established under Subtitle 1 of this title.
7(ii)  A Class A–1 and A–2 sports wagering facility licensee shall
8 retain [85%] 84% of the proceeds from sports wagering conducted at the locations described
9 in § 9–1E–09(a) of this subtitle.
10(iii) A Class B–1 and B–2 sports wagering facility licensee shall
11 retain [85%] 84% of the proceeds from sports wagering conducted at the location described
12 in the licensee’s application.
13(iv) A mobile sports wagering licensee shall retain [80%] 79% of the
14 proceeds from online sports wagering received by the licensee.
15(2)    (i)    Except as provided in subparagraph (ii) of this paragraph, all
16 proceeds from sports wagering in the State Lottery Fund established under Subtitle 1 of
17 this title shall be distributed on a monthly basis, on a properly approved transmittal
18 prepared by the Commission to the Blueprint for Maryland’s Future Fund established
19 under § 5–206 of the Education Article.
20(ii)   1.
  THE COMMISSION SHALL DISTRIBUTE 1% OF ALL
21 SPORTS WAGERING PROCEEDS TO THE PROBLEM GAMBLING FUND ESTABLISHED
22 UNDER § 9–1A–33 OF THIS TITLE.
232.   For fiscal year 2026 and each fiscal year thereafter, 5% of
24 the proceeds [attributable to mobile] FROM ONLINE sports wagering shall be deposited in
25 the General Fund.
26SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July
27 1, 2026.