Proposed new Arizona sports betting regulations could offer flexibility for the Coyotes’ arena situation.

Arizona sports betting announced on Monday a new set of draft rules that would allow the state’s NHL team to retain its betting license while a new arena is being built.

The Arizona Department of Gaming has released updated rules for sports wagering and daily fantasy sports after announcing a public commentary period. These rules must be finalized by April 15.

When HB 2772 was signed into law on April 15, 2021, legalizing sports betting in the state, the ADG was initially given an exemption from certain rulemaking guidelines as outlined in Title 41 of the Arizona Revised Statutes.

The temporary exemption allowing mobile sports betting to commence will end on April 15. Arizona sports betting apps went live on September 9, 2021.

The ADG is currently reviewing and making adjustments to specific wagering and DFS regulations in preparation for the end of the exemption period.

The Arizona Coyotes of the NHL are at the center of the biggest change in the rules draft on Monday.

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Negotiations Finalized for Coyotes’ Temporary Arena Situation

The Coyotes will continue to play in a professional sports venue by relocating their games to Arizona State University’s new multipurpose arena next year, following the city of Glendale’s decision to end their lease with the team for use of Gila River Arena in August.

The newly constructed Tempe arena, which can accommodate 5,000 spectators, does not conform to the traditional criteria for a professional sports venue, which typically requires a larger seating capacity.

As per the state’s initial regulations, a “sports facility” is described as a venue owned by a commercial, state, or local government organization that holds professional sports competitions with a seating capacity exceeding ten thousand individuals at its primary site. Additionally, the definition includes a site within the state that hosts an annual PGA tour golf tournament and another site that hosts a national touring race for stock car auto racing at an outdoor motorsports facility.

According to the proposed rules from the ADG, professional sports teams do not need a venue with a minimum number of seats as long as the department approves it as a temporary home for the team.

This suggests that the Coyotes, working with SAHARA Las Vegas and Grand Sierra Resort’s SaharaBets platform, likely have no worries about losing their license while they await the completion of their new stadium.

The ADG’s new regulations require that retail event wagering under A.R.S. § 5-1304(D)(1) must take place at a Sports Facility as defined in A.R.S. § 5-1301(18). However, the Department may approve the use of a temporary facility with fewer than 10,000 seats for up to three years during the construction or remodeling of a Sports Facility.

Nevertheless, it is crucial to mention that the Coyotes’ plan for a new arena in the Tempe Town Lake vicinity is still in the early stages.

The public comment period will close at the end of this week.

The ADG’s decision to make its rulebook available to the public enables anyone to give feedback, enhancing transparency for operators and customers alike.

Those wishing to share their thoughts on the sports betting regulations in Arizona have until 11:59 p.m. on April 3 to submit feedback through the department’s website.

Last week, Aiden Fleming, Assistant Director of ADG, mentioned that while Section 7 permits the Department to bypass public comment, they have discovered that embracing transparency and working closely with stakeholders has resulted in the most favorable outcomes and fostered a constructive working partnership.

To learn more about the state’s regulations for sports betting and daily fantasy sports, please visit the ADG website for further information.