Sports Gaming Vendor Registration and Renewal Fees

Tenn. Code Ann. § 4-49-133(d) provides:

”An applicant for registration as a vendor shall pay a registration fee:  (1) For the first three-year period after registration, if the registration is approved, of one hundred fifty thousand dollars ($150,000). Fifty thousand dollars ($50,000) of the fee is due at registration, fifty thousand dollars ($50,000) of the fee is due on the first anniversary of registration, and fifty thousand dollars ($50,000) of the fee is due on the second anniversary of registration; and (2) For the second or subsequent period of registration, a registration fee in an amount prescribed by rule of the council sufficient to defray the operating and administrative expenses incurred in administering and enforcing this chapter. The council shall promulgate rules to set the registration fee structure by July 1, 2023, and shall adjust the fee structure no more often than biennially.”

SWAC Rule 1350-01-.04(2)(g) provides: “An Applicant for Registration as a Vendor shall pay a Registration fee:

1.         For the first three-year period after registration, if the registration is approved, of one hundred fifty thousand dollars ($150,000). Fifty thousand dollars ($50,000) of the fee is       due at registration, fifty thousand dollars ($50,000) of the fee is due on the first       anniversary of registration, and fifty thousand dollars ($50,000) of the fee is due on the second anniversary of registration; and

2.         For the second or subsequent period of registration if the registration is approved, the registration fee as follows:

(i)         For Vendors providing Geolocation Services, Online Sports Wagering Platform Software, or Player Account Management Services, a registration fee in the amount of one hundred fifty-thousand dollars ($150,000). Fifty thousand dollars ($50,000) of the fee is due at registration, fifty thousand dollars ($50,000) of the fee is due on the first anniversary of registration, and fifty thousand dollars ($50,000) of the fee is due on the second anniversary of registration;

(ii)        For Vendors providing Risk Management Services, Oddsmaking Services, or Sports Data Feeds or Software, a registration fee in the amount of seventy-five thousand dollars ($75,000). Twenty-five thousand dollars ($25,000) of the fee is due at registration, twenty-five thousand dollars ($25,000) of the fee is due on the first anniversary of registration, and twenty-five thousand dollars ($25,000) of the fee is due on the second anniversary of registration;

(iii)       For Vendors providing Independent Testing Laboratory services, a registration fee in the amount of forty-five thousand dollars ($45,000). Fifteen thousand dollars ($15,000) of the fee is due at registration, fifteen thousand dollars ($15,000) of the fee is due on the first anniversary of registration, and fifteen thousand dollars ($15,000) of the fee is due on the second anniversary of registration; and

(iv)       For Vendors providing KYC or Payment Processing services, services in which the Vendor has direct interface or interaction with Patron accounts or Interactive Sports Wagering Platforms, as determined by the Council, services in which the Vendor receives payment or compensation based on a revenue sharing agreement (in which the Vendor receives a percentage of the adjusted gross income of the Licensee), or similar services that are material to conducting Interactive Sports Wagering, as determined by the Council, a registration fee in the amount of thirty thousand dollars ($30,000). Ten thousand dollars ($10,000) of the fee is due at registration, ten thousand dollars ($10,000) of the fee is due on the first anniversary of registration, and ten thousand dollars ($10,000) of the fee is due on the second anniversary of registration.”

FAQ:

Is the registration fee refundable? No. SWC Rule 1350-01-.05(6) provides: “Application fees, license fees, registration fees, background or investigative fees or costs, or any other fees or costs related to an application or renewal will not be refunded if an application for a License or Registration is withdrawn after submission.

For additional information on payment of Sports Gaming Vendor registration fee please contact:

Grant Crosthwaite
SWC CFO
615-906-1563
Grant.L.Crosthwaite@tn.gov