NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A9636
SPONSOR: Woerner
 
TITLE OF BILL:
An act to amend the racing, pari-mutuel wagering and breeding law, in
relation to prohibiting proposition bets on all sporting events
 
PURPOSE OF BILL:
This bill would amend New York's racing, pari-mutuel wagering and breed-
ing law to prohibit all proposition bets ("prop bets") in authorized
sports wagering in New York State. Prop bets are wagers on discrete
aspects of a sporting event rather than the final outcome. This legis-
lation is designed to protect the integrity of athletic competition,
reduce opportunities for gambling-related corruption and manipulation,
and protect vulnerable athletes and fans from predatory wagering prac-
tices.
 
SUMMARY OF PROVISIONS:
Section 1 sets forth the legislative findings and intent.
Section 2 adds the definition of proposition bets to subdivision 1 of
section 1367 of the racing, pari-mutuel wagering and breeding law. This
section also amends the definition of sports wagering set forth in para-
graph (x) of subdivision 1 of section 1367 of the racing, pari-mutuel
wagering and breeding law to remove proposition bets, in-game wagering
and in-play bets.
Section 3 adds a new paragraph to subdivision 2 of section 1367 that
bans proposition bets and establishes penalties for operators who accept
such bets.
Section 4 sets forth the effective date.
 
JUSTIFICATION:
The proliferation of proposition bets ("prop bets") tied to the rapid
expansion of legal sports betting has fundamentally altered the sports
landscape, creating a direct and dangerous link between a bettor's
financial outcome and an individual athlete's performance. Unlike
traditional wagers on a game's final score, prop bets hinge on in-game
occurrences, such as a single player's total rebounds or a specific
pitch outcome, making them uniquely vulnerable to abuse and manipu-
lation.
Recent high-profile scandals underscore these risks. In 2024, the NBA
issued a lifetime ban to Jontay Porter after determining he disclosed
confidential information and altered his own participation to benefit
prop bets on his performance. In late 2025, federal prosecutors charged
professional baseball players in schemes involving manipulation of
micro-betting markets, And at the collegiate level, a January 2026
federal indictment in Philadelphia charged more than 20 individuals,
including a dozen collegiate basketball athletes, with participating in
a conspiracy to bribe and manipulate college basketball games involving
then-active college athletes,
These wagers and the resulting scandals have raised significant concerns
from sports governing bodies, such as the NCAA and NFL, athletes, and
regulators. Following the most recent collegiate basketball scandal, the
NCAA President, Charlie Baker, again formally urged states to eliminate
prop bets to protect athletes and the integrity of sport. He stated that
the NCAA "has opened investigations into potential game manipulation by
approximately 40 student-athletes across 20 schools over the past year."
As of early 2026, Louisiana, Maryland, Ohio, and Vermont have enacted
full bans on college player prop bets.
New York already prohibits betting on in-state college and high school
sports or athletic events, reflecting longstanding integrity concerns.
This legislation builds on that principle by eliminating prop bets alto-
gether for all sports, and positions New York as a national leader in
responsible, integrity-focused sports wagering oversight.
 
PRIOR LEGISLATIVE HISTORY:
New bill.
 
FISCAL IMPLICATIONS:
None.
 
EFFECTIVE DATE:
This Act shall take effect immediately.
STATE OF NEW YORK
________________________________________________________________________
9636
IN ASSEMBLY
January 21, 2026
___________
Introduced by M. of A. WOERNER -- read once and referred to the Commit-
tee on Racing and Wagering
AN ACT to amend the racing, pari-mutuel wagering and breeding law, in
relation to prohibiting proposition bets on all sporting events
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Legislative findings and intent. The legislature finds that
2 proposition bets, commonly known as "prop bets", which wager on discrete
3 events or occurrences within a sporting event rather than the final
4 outcome of a contest, present heightened risks to the integrity of
5 sports, increase the potential for insider information misuse, increase
6 the harassment and abuse of athletes and coaches, and exacerbate risks
7 of problem gambling due to their rapid and repetitive nature. The legis-
8 lature further finds that banning proposition bets will promote consumer
9 protection, safeguard the integrity of sporting events, and align sports
10 wagering with responsible gambling principles. It is therefore the
11 intent of the legislature to prohibit proposition bets in all forms of
12 authorized sports wagering in New York state.
13 § 2. Paragraphs (x), (bb) and (cc) of subdivision 1 of section 1367 of
14 the racing, pari-mutuel wagering and breeding law, as amended by section
15 3 of part Y of chapter 59 of the laws of 2021, are amended and a new
16 paragraph (dd) is added to read as follows:
17 (x) "Sports wagering" means wagering on the final outcome, score or
18 winner of a sporting [events or any portion thereof, or on the individ-
19 ual performance statistics of athletes participating in a sporting
20 event, or combination of sporting events,] event or contest by any
21 system or method of wagering, including, but not limited to, in-person
22 communication and electronic communication through internet websites
23 accessed via a mobile device or computer, and mobile device applica-
24 tions; provided however that sports wagers shall include, but are not
25 limited to, single-game bets, teaser bets, parlays, over-under bets,
26 money line, pools, [in-game wagering, in-play bets, proposition bets,]
27 and straight bets;
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD14510-02-6
A. 9636 2
1 (bb) "Suspicious wagering activity" means unusual wagering activity
2 that cannot be explained and is indicative of match fixing, the manipu-
3 lation of an event, misuse of inside information, or other prohibited
4 activity; [and]
5 (cc) "Independent integrity monitor" means an independent individual
6 or entity approved by the commission to receive reports of unusual
7 wagering activity from a casino, mobile sports wagering licensee, or
8 commission for the purpose of assisting in identifying suspicious wager-
9 ing activity[.]; and
10 (dd) "Proposition bet" or "prop bet" means any wager on the individual
11 performance statistics of athletes participating in a sporting event, or
12 combination of sporting events, placed on the occurrence or non-occur-
13 rence of a specific act, statistic, performance, event, or circumstance
14 within a sporting event or series of sporting events, including but not
15 limited to wagers on individual player performance, officiating deci-
16 sions, penalties, injuries, timing of events, or any outcome other than
17 the final result or score of a sporting contest. This term shall include
18 both pre-event and in-game wagers.
19 § 3. Subdivision 2 of section 1367 of the racing, pari-mutuel wagering
20 and breeding law is amended by adding a new paragraph (d-1) to read as
21 follows:
22 (d-1)(i) No mobile sports wagering operator, platform provider, or
23 sports wagering operator licensed or authorized under this article shall
24 offer, accept, promote, facilitate, or settle any proposition bet.
25 Sports wagering shall be limited to wagers on the final outcome, score,
26 or winner of a sporting event or contest.
27 (ii) Any operator that knowingly or negligently offers or accepts a
28 proposition bet in violation of subparagraph (i) of this paragraph shall
29 be subject to civil penalties imposed by the gaming commission, includ-
30 ing fines of up to one hundred thousand dollars per violation, suspen-
31 sion or revocation of licensure.
32 (iii) Each proposition bet offered or accepted in violation of this
33 section shall constitute a separate violation.
34 (iv) The commission shall promulgate regulations establishing proce-
35 dures for compliance reviews, audits, and enforcement actions related to
36 this prohibition.
37 (v) Any wager accepted in violation of this subdivision shall be void.
38 § 4. This act shall take effect immediately.