Social gambling is an activity in which social games are played between individuals with a social relationship beyond that apparent in the gambling situation, for any sum of money or other property of any value. Social gambling takes place in bars and other public venues and includes activities like:
- Sports betting pools, which is only allowed in bars; and
- Small-stakes wagering by patrons on nonstructured card and parlor games. The games may include poker, pinochle, pitch, gin rummy, bridge, euchre, hearts, cribbage, dominoes, checkers, chess, backgammon, pool, and darts. Casino games aren’t allowed, except for poker.
Summary
Code Citations:
- Iowa Administrative Code
- Iowa Code
Requirements:
- The licensee or any agent or employee of the licensee must not participate in, sponsor, conduct or promote, or act as cashier or banker for any gambling activities, except as a participant while playing on the same basis as every other participant.
- All social gambling participants must be 21 years of age or older and must not be required to pay a cover charge to participate in or observe gambling.
- The social gambling license must be prominently displayed in the establishment.
- No one can win or lose more than $200 in a 24-hour period.
- All players must have a real social relationship outside of the game.
Cost:
- Social Gambling License for Beer and Liquor Establishments
$150 for a two-year license - Social Gambling License for Public Place, No Alcohol Allowed
$100 for a two-year license
Processing Time: 30 days
Additional Information:
- Application fees are nonrefundable. Please make sure to complete all required fields and attach any required documentation.
- DIAL must issue a license before any distribution begins. Please be aware that DIAL has a 30-day processing time for gambling applications. DIAL cannot guarantee on time processing for missed deadlines or incomplete applications.
List items for Sports Betting Pools
A two-year Social Gambling License for Liquor and Beer Establishments allows the licensee to conduct a sports betting pool, provided certain conditions exist. There is no additional cost to conduct a sports betting pool.
A sports betting pool is a grid with squares where each one matches two numbers. A winner is picked based on how these numbers match the results of a sports game, following the posted rules.
- If hidden numbers are used, they must be chosen randomly, and no one can know them before placing a bet.
- No one can bet more than five dollars.
- All the money wagered goes to the winners.
- The game and its rules—including how much it costs to play and how much you can win—must be clearly shown.
NASCARâ„¢ Sports Betting Pools
Because the most you can win in a sports betting pool is $500, each square can't cost more than $500 divided by the total number of squares.
For example, if 43 cars are in the race and the operator of the pool plots all 43 pole positions, there would be 1,849 squares (43 starting spots × 43 finishing spots). That means 43 squares would be winners, and the highest cost per square would be 27 cents ($500 divided by 1,849).
Possible Variations
- Instead of paying all 43 winners, the pool could award the prize to the person with the most winning squares.
- The operator can use fewer starting or finishing spots to reduce the number of squares and raise the cost per square.
- The payout could also be split—some during the race and the rest at the end.
- Rules can say which positions win money or have random spots chosen during the race.
NCAA® Tournament Sports Betting Pools
- Filling out NCAA® Tournament brackets is not allowed in bars or other establishments that serve alcohol.
- Sports betting pools are allowed for individual games, if they follow the rules and are for one game only.
- The rules, cost to play, and prize amount must be clearly posted.
- No one can bet more than $5 total, even if they buy more than one square and total prizes from the pool can’t be more than $500.
- The business must post a valid two-year Social Gambling License for Liquor and Beer Establishments, and submit a copy of the grid and rules with their application.
- All players must be 21 or older and must be there for something other than gambling.
- No one can place bets for someone else.