Revision: March 21, 2011, midnight
HB 348-FN – AS AMENDED BY THE HOUSE
16Mar2011… 0538h
2011 SESSION
10/04
HOUSE BILL 348-FN
AN ACT transferring the duties of the racing and charitable gaming commission to the lottery commission and abolishing the racing and charitable gaming commission, and prohibiting new electronic gaming devices without statutory authorization.
SPONSORS: Rep. Kurk, Hills 7; Rep. Hess, Merr 9
COMMITTEE: Executive Departments and Administration
This bill eliminates the racing and charitable gaming commission and transfers all of its duties, personnel, rules, and budget to the state lottery commission. The bill also prohibits the use of new electronic gaming devices in the state without specific statutory authorization.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
16Mar2011… 0538h
11-0141
10/04
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Eleven
AN ACT transferring the duties of the racing and charitable gaming commission to the lottery commission and abolishing the racing and charitable gaming commission, and prohibiting new electronic gaming devices without statutory authorization.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Agency Reports; Racing and Charitable Gaming Deleted. Amend RSA 20:7 to read as follows:
20:7 Issuance of Reports. The following agency reports shall be issued annually: secretary of state, state treasurer, bank commissioner, insurance commissioner, division of personnel, commissioner of revenue administration, lottery commission, [racing and charitable gaming commission,] liquor commission, department of transportation, department of environmental services, department of safety, adult parole board, and the board of trustees of the state colleges and university. All other reports shall be issued biennially. All reports shall cover periods ending on June 30, and be submitted to the governor and council, the speaker of the house of representatives, and the senate president by October 1. Biennial reports shall cover periods ending in odd-numbered years.
2 Terms of Appointment. Amend RSA 21:33-a, III(a) to read as follows:
III.(a) That any commissioner or agency head of a department, as defined in RSA 21-G:5, VI, who is an unclassified employee of the state, and appointed to such position, shall serve for the appropriate term or unexpired portion thereof. The commissioner or agency head may serve beyond the appointed term or unexpired portion thereof with the written authorization of the governor. This subparagraph shall also apply to the adjutant general and the attorney general, and to appointees to the liquor commission, the lottery commission, [the racing and charitable gaming commission,] and the public utilities commission.
3 Taxation of Gambling Winnings; Definitions. Amend RSA 77:38, IV to read as follows:
IV. “New Hampshire entities” means establishments the purpose of which is to engage in any gaming regulated by the [racing and charitable gaming] lottery commission and the sale of lottery tickets as permitted by the lottery commission.
4 Taxation of Gambling Winnings. Amend RSA 77:39, II to read as follows:
II. The lottery commission [and the charitable gaming and racing commission] shall withhold all tax due and payable to the state from any payout of gambling winnings.
5 Taxation of Gambling Winnings; Returns. Amend RSA 77:42, II to read as follows:
II. The taxes collected by the lottery commission [and the racing and charitable gaming commission] shall be paid over to the state treasurer on or before the fifteenth day of the month following collection of said tax.
6 State Employees; Terms Defined. Amend RSA 98-A:1, III to read as follows:
III. “The equivalent of 6 months or more” shall mean the equivalent of 130 or more regularly scheduled work days, not necessarily consecutive, provided that whenever an employee of the [racing commission or greyhound racing] lottery commission is employed on any day on a per diem basis he or she shall be deemed to have worked one day.
7 Salaries Deleted. Amend RSA 94:1-a, II and III to read as follows:
II. The salary wages for the positions set forth below shall be as follows commencing January 2, 2009:
Minimum Maximum
Governor’s councilors $15,169
[Racing and charitable gaming commissioners $11,765]
Sweepstakes commission, chairman $17,111
Sweepstakes commission, members $ 9,632
III. Officials named in this section shall be placed in the corresponding steps in the new salary ranges as their length of service justifies and in accordance with RSA 94:3. Lottery commissioners who are members of a multi-state lottery commission and who are authorized to be compensated for such services shall be compensated in addition to their salary under RSA 94:1-a, II, provided, that such additional salary equals no more than $50 per actual day worked plus reasonable expenses for duties performed as a multi-state lottery commissioner. [Racing commissioners,] Lottery commissioners[,] and the state entomologist only excepted, any official whose salary upon placement in the new salary range is less than that of a subordinate classified employee shall be placed at the next higher step in range above said classified employee and shall be entitled to any increase provided for herein until the maximum provided herein is reached. However, in the event that the maximum of the unclassified position is less than the salary of said subordinate classified employee, the governor and council is authorized to increase the maximum of the unclassified position in an amount to provide a differential of not more than $1,000.
8 Investigators; Police Standards and training Council Certification. Amend RSA 188-F:27, VI to read as follows:
VI. Any investigator who has the power to enforce the criminal laws under RSA 106-A and RSA 287-E and rules of the lottery commission[,] or the department of safety[, or the racing and charitable gaming commission] and who was serving under a permanent appointment prior to July 1, 1986, shall not be required to meet the requirements of paragraphs I and III; however, any investigator referred to in this paragraph shall complete such limited programs as may be prescribed by the police standards and training council under this section within one year of the date the programs are required. Should any investigator exempted from the requirements of paragraphs I and III of this section by this paragraph terminate employment with the department of safety and be hired as a police officer by another police department of the state or a political subdivision thereof, the inspector’s certification shall lapse and may be reinstated upon completion of such necessary additional training courses as the police standards and training council may prescribe.
9 Subdivision Heading Changed. Amend the subdivision heading preceding RSA 284:6 to read as follows:
Racing and Charitable Gaming [Commission]
10 Racing and Charitable Gaming; Lottery Commission Authorized. Amend RSA 284:6-a to read as follows:
284:6-a Racing and Charitable Gaming; Lottery Commission.
I. [There shall be a state] The regulation of racing and charitable gaming [commission consisting of 6 members appointed by the governor with the advice and consent of the council. Each member shall hold office for a term of 3 years. Any vacancy shall be filled for the unexpired term. Annually, one member shall be chosen chairperson by the commission, and one shall be chosen as secretary.] shall be under the authority of the lottery commission established in RSA 284:21-a
II. The [racing and charitable gaming] lottery commission shall assume the powers, rights, duties, and responsibilities granted to the racing and charitable gaming commission, the state racing commission, and the state greyhound racing commission [under RSA 284, and any reference to the state racing commission or the state greyhound racing commission in RSA 284 or any other statutory cites shall be deemed to refer to the New Hampshire racing and charitable gaming commission]. The [New Hampshire racing and charitable gaming] lottery commission shall, in carrying out the purpose of this chapter, use the applicable provisions for horse racing independent of the applicable provisions for simulcast dog racing.
III. The [racing and charitable gaming] lottery commission shall have all the powers, duties, and rights conferred upon state commissions under the United States Interstate Horseracing Act of 1978 as it currently exists and as it may be amended from time to time.
IV. The [racing and charitable gaming] lottery commission shall administer RSA 287-E relating to bingo and lucky 7.
V. The [racing and charitable gaming] lottery commission shall administer RSA 287-D, relating to games of chance conducted by charitable organizations.
VI. Notwithstanding any law, rule or current practice to the contrary, the commission shall not authorize:
(a) Any game, lottery or other offering which was not in use by the public on or before October 1, 2010, including but not limited to any game, lottery or other offering by video slot machine and other gambling machines, devices which function or are designed to emulate a video slot machine or other gambling machine, an historical racing machine, electronic lucky 7 ticket units and computer technology to reveal instant ticket winners, whether in physical presence or through the Internet; or
(b) A reduction in the length of time between placing a wager, purchasing a lottery ticket or otherwise engaging in gambling and the announcement of the result of the wager, lottery or gamble for any game, lottery or other offering which was in use by the public on or before October 1, 2010.
11 Licensees; Restriction on Gambling. Amend RSA 284:17-c to read as follows:
284:17-c Restriction on Gambling. Notwithstanding any other provision of law, except as provided in RSA 284:22-a and in the introductory paragraph of RSA 284:22, no licensee who holds running horse races shall at the same facility hold any other kinds of races or permit any other type of gambling except harness horse races and activities licensed by the lottery commission [or the racing and charitable gaming commission].
12 Stewards. Amend RSA 284:20 to read as follows:
284:20 Stewards. There shall be at least 3 stewards to supervise each running or harness horse race or meet, conducted under the provisions of this chapter, at which pari-mutuel pools are sold. One of such stewards shall be the official steward of the state [racing] lottery commission, and the remaining stewards shall be appointed by the person, association, corporation, or any other type of entity conducting the race or meet, subject to the approval of the commission. Said stewards shall be authorized to assess fines and suspend licenses and shall exercise such other powers and perform such duties at each race meet as may be prescribed by the rules [and regulations] of the commission. Any person who has been assessed a fine or whose license has been suspended may appeal any fine or suspension imposed by the stewards under this section to the commission.
13 Rights Protected; Liability Limited. Amend RSA 284:20-a to read as follows:
284:20-a Rights Protected. No licensee conducting a race or meet under this chapter, no member of the state [racing] lottery commission, no steward, judge, or assistant official appointed to act as such pursuant to the provisions of this chapter, shall be liable for damages to any person, association or corporation for any cause whatsoever arising out of or from the performance by such licensee, commissioner, steward, judge or assistant official of such person’s duties and exercise of discretion with respect to such duties, so long as such person acted in good faith, without malice or improper motive.
14 Lottery Commission Revenues. Amend RSA 284:21-j, I to read as follows:
I. The state treasurer shall credit all moneys received from the lottery commission [and all moneys received from the racing and charitable gaming commission under RSA 287-D and RSA 287-E,] and interest received on such moneys, to a special fund from which the treasurer shall pay all expenses of the commission incident to the administration of this subdivision and all administration and enforcement expenses of [the] racing and charitable gaming [commission] under RSA 287-D and RSA 287-E. Any balance left in such fund after such expenses are paid shall be deposited in the education trust fund established under RSA 198:39.
15 Change from Racing and Charitable Gaming to Lottery. Amend the following RSA provisions by replacing “racing and charitable gaming commission” with “lottery commission”: 21-I:18, I(n); the introductory paragraph of 21-P:4, VI; 175:1, LVI; 273-C:2, VI; the introductory paragraph of 284:12; 284:20-d; 284:20-f, I; 284:22; 284:23, VII; 284:32-b; 284:38-a; 287-A:8; 287-D:1-a; the introductory paragraph of 287-D:1-b; 287-D:2, II; 287-D:2-a; 287-D:2-b; 287-D:2-c; 287-D:2-d; 287-D:3; 287-D:5; 287-D:6; 287-D:7; 287-D:8; 287-D:9; 287-E:1, VI; 287-E:2; 287-E:16; and 647:2, V(a).
16 Repeal. The following are repealed:
I. RSA 6:12-d, II(l), relative to the racing and charitable gaming escrow account.
II. RSA 284:7, relative to the office for the racing and charitable gaming commission.
III. RSA 284:9, relative to expenses of the racing and charitable gaming commission.
IV. RSA 284:11, relative to the report of the racing and charitable gaming commission.
17 Transfer of Functions, Positions, Equipment, Records, and Accounts; Rules Continued.
I. All of the functions, positions, powers, duties, and responsibilities of the racing and charitable gaming commission shall be transferred to the lottery commission. The transfer shall include all of the equipment, books, papers, and records of the racing and charitable gaming commission related to the above functions.
II. All existing rules, statutory responsibilities, regulations, and procedures in effect, in operation, or adopted in or by the racing and charitable gaming commission are transferred to the lottery commission, and are declared in effect and shall continue in effect until rescinded, revised, or amended in accordance with applicable law.
18 Effective Date. This act shall take effect July 1, 2011.
LBAO
11-0141
12/21/10
HB 348-FN - FISCAL NOTE
AN ACT transferring the duties of the racing and charitable gaming commission to the lottery commission and abolishing the racing and charitable gaming commission, and prohibiting new electronic gaming devices without statutory authorization.
FISCAL IMPACT:
The Racing and Charitable Gaming Commission (RCGC) states this bill would decrease state expenditures by $22,715 in FY 2012, by $49,474 in FY 2013, by $78,362 in FY 2014, and by $83,210 in FY 2015. The Lottery Commission states this bill will reduce State expenditures by $70,590 in FY 2012 and each year thereafter. This bill will have no fiscal impact on county and local expenditures, or state, county, and local revenue.
METHODOLOGY:
The RCGC and Lottery Commission state this bill would transfer its duties to the Lottery Commission and eliminate six RCGC Commissioners. Enforcement of racing and charitable gaming would still be performed by enforcement employees transferred from the RCGC to the Lottery Commission. The RCGC, also states the six Commissioners may be contractual in nature and may require continued payment of salaries and benefits until the end of their respective terms. Based on the six Commissioners’ budgeted salaries for FYs 2012 and 2013 and assuming no change in FYs 2014 and 2015, the RCGC estimates savings to be as follows.
Salaries And Benefits |
FY 12 |
FY 13 |
FY 14 |
FY 15 |
Budgeted Salaries |
$86,133 |
$83,210 |
$83,210 |
$83,210 |
Payments To Be Made |
($63,418) |
($33,736) |
($4,848) |
($0.00) |
Net Savings |
$22,715 |
$49,474 |
$78,362 |
$83,210 |
Salaries and benefits are based on: 1) Three Commissioners for a full year and two for a partial year during FY 2012. 2) One Commissioner for a full year and two for a partial year during FY 2013. 3) One Commissioner for a partial year during FY 2014. | ||||
The RCGC assumes its abolition would not change its physical location; therefore, expenditures associated with its current location, including leases, utilities, etc., are not included. The Lottery Commission states without a full understanding of the operation or costs of the RCGC, it is unable to determine the fiscal impact beyond elimination of the salaries of the six Commissioners.