Kentucky lawmakers proposed Bill HB 904 on March 4th, aiming to make several significant adjustments to the state's gambling framework, including raising the minimum age for sports betting from 18 to 21, and prohibiting individual performance bets on state college athletes. Since the legalization of sports betting in 2023, the state's market has grown rapidly, with betting amounts exceeding $2.8 billion in fiscal year 2025, contributing approximately $41 million in state consumption taxes. In essence, it's about protecting the purity of youth and college sports while potentially sidelining players aged 18 to 20.
Raising the Age Threshold: 18-20 Year Olds Facing Exclusion
Kentucky is one of the few states in the US that allows 18-year-olds to participate in sports betting, with most states requiring 21. The new bill not only raises the age for sports betting but also applies to fantasy sports and certain charitable gambling activities, although the betting age for horse racing remains unchanged, with 18-year-olds still able to bet on live and historical horse racing. The chairman of the Problem Gambling Committee emphasized that young people face greater gambling risks, and debt pressure can lead to extreme consequences. Meanwhile, a 19-year-old student from the University of Kentucky expressed concerns about losing the enjoyment of watching games due to the inability to bet. If passed, this provision would align Kentucky with the majority of jurisdictions across the US.
College Sports Protection: Prohibiting Player Option Bets
Another core provision of the bill is to prohibit sports betting platforms from offering bets related to the individual performance of players on Kentucky state college teams, such as scoring or passing yards, but the outcomes of games and team wins or losses are unaffected. Supporters believe this helps maintain the integrity of college sports, noting that professional leagues have seen cases of players being suspended due to gambling involvement, and college athletes face different economic pressures, making them more susceptible to temptation. This provision follows the trend of states like Maryland and Ohio, which prohibit bets on college player options.
Regulatory Upgrade: Including Fantasy Sports in the Framework, Servers Must Be Located Within the State
The bill also formally incorporates fantasy sports into the state's sports betting framework, regulated by the Kentucky Horse Racing and Gambling Commission. The proposer stated that this move aims to protect consumers and meet market demands. The new bill imposes several technical requirements on operators: they must verify customer identities, use geolocation tools to ensure bets originate from within the state, and the servers processing bets must be physically located in Kentucky. Licensed racetracks may partner with up to three service providers to operate sports betting, including mobile and online platforms. Local governments will have the authority to levy professional license fees on racetrack extension facilities. Interested in the latest developments in gambling legislation across the US? PASA's official website keeps track.
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