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May 27, 2016

Senate to study fantasy sports regulation

Courtesy Draft Kings Boston-based Draft Kings is among the online fantasy sports gambling sites that could be impacted by changes in regulations.

The Senate on Thursday approved of an amendment that would create a special commission to study the regulation of daily fantasy sports and online gaming in Massachusetts.

The amendment filed by Lowell Sen. Eileen Donoghue calls for nine people to be appointed to review all aspects of fantasy gaming, including "economic development, consumer protection, taxation, legal and regulatory structures, implications for the Massachusetts gaming community, burdens and benefits to the commonwealth and any other factors the commission deems relevant."

Daily fantasy sports (DFS) burst into the public consciousness at the beginning of the last NFL football season. Legislative leaders in Massachusetts quickly expressed interest in regulating and possibly taxing fantasy sports wagering, but Donoghue's amendment appears to be the first legislative measure to address the industry.

"It is clear that DFS is here to stay, but there are also other new online gaming possibilities coming to the fore," Donoghue said. "On the whole, there remains a great deal of haziness around online and fantasy gaming, and everyone involved would benefit from some additional clarity."

The governor, Gaming Commission, attorney general, Senate president, House speaker and the minority leaders of each branch would appoint members to the nine-person commission, and Donoghue's amendment calls for the commission to report back with its findings and recommendations by March 2017.

Donoghue's amendment directs the commission to "not include in its study a comprehensive review of the state lottery or its ability to provide lottery products online or over the internet."

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