Bill > HB490

This bill establishes the Alabama Gaming Commission to regulate sports wagering and name, image, and likeness (NIL) compensation for student-athletes. The bill creates a comprehensive framework for sports betting, including licensing requirements, tax structures, and oversight mechanisms. The Alabama Gaming Commission will be composed of nine members appointed by various state officials, with strict qualifications to ensure independence and integrity. The commission will be responsible for issuing sports wagering licenses, both for in-person and online platforms, and will impose a 10% tax on net gaming revenues. A significant innovative aspect of the bill is the establishment of an NIL Oversight Committee to monitor and regulate compensation for high school and collegiate student-athletes. The bill mandates that 50% of NIL compensation be placed in a trust fund, accessible only after the student graduates high school or turns 21, and requires mandatory financial literacy training. Additionally, the bill provides a state income tax exemption for student-athletes' NIL earnings from 2025 to 2027, subject to specific conditions such as registration with the NIL Oversight Committee and adherence to state rules. The legislation aims to generate state revenue, protect student-athletes, ensure financial literacy, and create a regulated environment for sports wagering and NIL compensation.

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