Bill Text - SB75 (2013)

Relative to games of chance.


Revision: Jan. 23, 2013, midnight

SB 75 – AS INTRODUCED

2013 SESSION

13-0987

08/09

SENATE BILL 75

AN ACT relative to games of chance.

SPONSORS: Sen. Hosmer, Dist 7

COMMITTEE: Ways and Means

ANALYSIS

This bill makes various changes to the statutes governing games of chance.

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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

13-0987

08/09

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Thirteen

AN ACT relative to games of chance.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Definition; Charitable Organizations. Amend the introductory paragraph of RSA 287-D:1, III(a) to read as follows:

(a) “Charitable organization” means any bona fide religious, charitable, civic, veterans’, or fraternal or church organization, including police and firemen’s organizations which shall have been registered with the secretary of state [for at least 2 years] and in [existence for at least 2 years in] a town or city in this state, provided that the primary activities conducted by the organization were for the purpose for which the organization was established and have not included charitable gambling operations; which is organized under the laws of this state; and to which contributions are exempt from federal income tax. To be eligible for licensure under this chapter, a charitable organization shall do all of the following:

2 License Applications. Amend RSA 287-D:2-a, V(c) to read as follows:

(c) That neither the applicant nor any person who will be participating in the operation of the games of chance has, in any jurisdiction, been convicted of a felony or class A misdemeanor within the previous 10 years which has not been annulled by a court, or a class B misdemeanor except for motor vehicle offenses within the previous 5 years which has not been annulled by a court, or has violated any statutes or rules governing charitable gambling.

3 License Applications. Amend RSA 287-D:2-a, VI to read as follows:

VI. If a charitable organization intends to lease or rent premises for the conduct of any game of chance from an entity other than a charitable organization or governmental subdivision, the entity leasing or renting out or otherwise allowing a charitable organization to use the premises shall be licensed by the racing and charitable gaming commission. Any entity other than a charitable organization or governmental subdivision with a facility at which games of chance are held for no more than 4 game dates per calendar year shall be exempt from the licensing requirement of this paragraph and need only notify the commission of the dates not to exceed 4 game dates on which games of chance shall be held. The license shall be applied for by filing an application supplied by the racing and charitable gaming commission. The racing and charitable gaming commission may issue a license for a period of one year which shall expire on June 30 of each year unless sooner revoked or suspended for just cause by the racing and charitable gaming commission.

4 Operation of Games of Chance. Amend RSA 287-D:2-b, III-VI to read as follows:

III. No one under the age of 18 years shall be admitted to the area of the premises [on which] where games of chance are being conducted, except when the games are being conducted at a carnival. Proof of age shall be produced upon request of the racing and charitable gaming commission. When games of chance are conducted at a carnival, persons under the age of 18 years may be admitted to the premises on which the games are being conducted when accompanied and supervised by a parent or legal guardian; but persons under the age of 18 shall not be permitted to play games of chance at a carnival.

IV. No games of chance shall be conducted prior to 11:00 a.m. on a weekday or a Saturday, prior to noon on a Sunday, or after 1:00 a.m. on any day.

V. No [person operating a] game of chance employer and no person who has leased out a facility or sold or leased game of chance paraphernalia or related equipment to a charitable organization for use during games of chance shall participate or play in any game conducted at that location on that date.

VI. Subject to the provisions of RSA 287-D:8, II, no person who has in any jurisdiction, been convicted of a felony or class A misdemeanor within the previous 10 years which has not been annulled by a court, or a class B misdemeanor, other than motor vehicle offenses, within the past 5 years which has not been annulled by a court, or who has violated any of the statutes or rules governing charitable gambling in the past shall operate a game of chance licensed under this chapter, or rent, lease, sublease, or otherwise provide any hall or game of chance paraphernalia for the conduct of games of chance licensed under this chapter.

5 Licensing of Game Operators. Amend RSA 287-D:2-c, IV-V to read as follows:

IV. Applications shall be received by the racing and charitable gaming commission at least 60 days before the first game date of the year. The requirement may be waived by the racing and charitable gaming commission for good cause shown. Upon completion and submission of an application, a secondary game operator may begin to work pending license approval. In the event the criminal background check uncovers any issue of concern to the commission, the commission shall notify the game operator employer and the secondary game operator shall cease working until a license is issued by the commission.

V. Prior to conducting any games of chance, the game operator or the game operator employer shall submit a bond [for each location where the game operator is conducting games of chance,] conditioned upon the game operator running games of chance in conformity with this chapter and with the rules and regulations prescribed by the racing and charitable gaming commission, in the amount of up to $500,000 but not less than $25,000 to the racing and charitable gaming commission with the application form. The amount of the bond in excess of $25,000 established for each licensee shall be based on that licensee’s normal outstanding obligations of charity payments and state taxes. Bonds submitted to the commission in the form of cash shall be returned to the game operator upon surrender of the license and upon proof that all taxes and charity payments owed by the game operator have been paid.

6 License Fees. Amend RSA 287-D:2-d, II-III to read as follows:

II. An applicant for a game of chance facility license under RSA 287-D:2-a, VI shall apply to the racing and charitable gaming commission, and upon payment of a fee of $250 per year and if the applicant meets all other requirements of this chapter, a license shall be issued. [Only one license shall be issued to each applicant per year.] A license issued under RSA 287-D:2-a, VI shall expire on June 30.

III. An applicant for a primary game operator license under RSA 287-D:2-c shall apply to the racing and charitable gaming commission, and if the applicant meets all other requirements of this chapter and pays the fee established by the racing and charitable gaming commission in rules adopted pursuant to RSA 541-A, a license shall be issued. A primary game operator license issued under RSA 287-D:2-c shall expire [on December 31] 5 years after the date of issue. The racing and charitable gaming commission shall notify the attorney general and police chief of any city or town where games of chance are held of any applications approved. RSA 7:28-c shall not apply to game operator licensees subject to this chapter. An applicant for a secondary game operator license under RSA 287-D:2-c shall apply to the racing and charitable gaming commission, and if the applicant meets all other requirements of this chapter and pays the fee established by the racing and charitable gaming commission in rules adopted pursuant to RSA 541-A, which shall not exceed $45, a license shall be issued. A secondary game operator license issued under RSA 284-D:2-c shall expire [on the last day of the month of the licensee’s birthday] 5 years after the date of issue.

7 Surveillance Requirements. Amend RSA 287-D:2-e, I(a) to read as follows:

(a) A game operator employer conducting games of chance at a facility that is required to be licensed pursuant to RSA 287-D:2-a, VI shall conduct and record, at the expense of the game operator employer, video surveillance that allows clear, unobstructed views of cashier transactions, table games where cash wagers are accepted, and the counting of money from storage boxes removed from a gaming table. A game operator employer which is authorized to conduct games of chance for no more than [50] 25 calendar days in a calendar year at a particular location may petition the commission to adopt an alternate method of oversight of cash transactions in lieu of the surveillance requirements in this section. Upon approval of any such alternative method of oversight of cash transactions by the commission, the game operator employer may conduct games of chance at such location for not more than [50] 25 calendar days at the particular location in a calendar year. The game operator employer shall be responsible for all costs and expenses associated with implementation of the alternative method of oversight as approved by the commission.

8 Surveillance Requirements. Amend RSA 287-D:2-e, III(f) to read as follows:

(f) All recordings may be destroyed after a period of 45 days, provided prior written notice is given to the commission by the game operator employer [and the game operator employer receives written approval from the commission] or the primary game operator.

9 Equipment. Amend RSA 287-D:3, II-III to read as follows:

II. All devices and equipment used to conduct said games of chance shall be subject to inspection by duly authorized law enforcement or[ pari-mutuel] commission officials.

III. No mechanism or device, which can be used to regulate odds, will be permitted to operate said games of chance [and no progression in any form shall be permitted in the operation of any such game].

10 Payments. Amend RSA 287-D:3, VIII-X to read as follows:

VIII. The charitable organization shall retain no less than 35 percent of the gross revenues from any game of chance minus any prizes and taxes paid on any game date in which game operators licensed under RSA 287-D:2-c are involved in any capacity. Such revenues shall be used by the organization to advance its charitable purpose. No fee for any service which is required by or provided by the game operator employer or primary game operator shall be allowed unless such fee is agreed to in writing and disclosed to the commission as part of the agreement between the game operator employer or primary game operator and the charity.

IX. In games where chips have no monetary value, 3 percent of all funds collected from players, less moneys used by the racing and charitable gaming commission to fund authorized personnel expenses and related costs, shall be paid to the state treasurer to be deposited into the general fund. Such payments shall be made within 5 business days of the game date on which the funds were collected. In the event a single charity organization is scheduled to run consecutive game dates with the same game operator such payments shall be made no later than 5 business days after the last consecutive game date. Tax payments required under this section may be made in the form of one check combining multiple game dates where games were conducted by the operator on behalf of the same charity when said game dates are conducted on consecutive days.

X. In games where chips have monetary value, 10 percent of the rake or house winnings and other moneys collected by the game operator that are not paid out as prizes to players, less moneys used by the racing and charitable gaming commission to fund authorized personnel expenses and related costs, shall be paid to the state treasurer for deposit into the general fund. Such payments shall be made within 5 business days of the game date on which the funds were collected. In the event a single charity organization is scheduled to run consecutive game dates with the same game operator such payments shall be made no later than 5 days after the last consecutive game date. Tax payments required under this section may be made in the form of one check combining multiple game dates where games were conducted by the operator on behalf of the same charity when said game dates are conducted on consecutive days.

11 Operation of Bingo Games. Amend RSA 287-E:7, II(a) to read as follows:

(a) [No compensation shall be paid to bona fide members of a charitable organization or others who operate or assist in the operation of a bingo game. Compensation shall include, but is not necessarily limited to, money or any other thing of value.] Bona fide members of a charitable organization who operate or assist in the operation of bingo games may be reimbursed for their out-of-pocket expenses in an amount not to exceed $25 per game date, provided that such expenses are itemized and submitted in writing to the charitable organization.

12 Operation of Bingo Games. Amend RSA 287-E:7, III-IV to read as follows:

III. No one under the age of 18 years shall be admitted to the area of the premises on which bingo games are being conducted, except when the bingo games are being conducted at a carnival. Proof of age shall be produced upon request of the commission. When bingo games are conducted at a carnival, persons under the age of 18 years may be admitted to the premises on which the bingo games are being conducted when accompanied and supervised by a parent or legal guardian; but persons under the age of 18 shall not be permitted to play bingo at a carnival.

IV. No bingo games shall be conducted prior to 11:00 a.m. on a weekday, prior to noon on a Sunday, or after [11:00 p.m.] 1:00 a.m. on any day.

13 Operation of Bingo Games. Amend RSA 287-E:7, VI to read as follows:

VI. No person who has been convicted of a felony or class A misdemeanor within the previous 10 years which has not been annulled by a court, or a class B misdemeanor except for motor vehicle violations within the past 5 years which has not been annulled by a court, or who has violated any of the statutes or rules governing charitable gambling in the past in this or any other state shall operate a bingo game or participate in the sale of lucky 7 tickets licensed under this chapter, or rent, lease, sublease, or otherwise provide any hall or bingo paraphernalia for the conduct of bingo licensed under this chapter.

14 Sale of Lucky 7 Tickets. Amend RSA 287-E:21, III-a to read as follows:

III-a. Lucky 7 tickets may be sold by [dispenser] dispensers that meet the criteria set forth in this section or devices approved by the commission and located at the regular meeting place of, or at a facility owned, leased, or utilized by, the licensee for its activities, provided that the commission shall not authorize the use of any lucky 7 dispenser device which was not in use on or before January 1, 2011, unless such device dispenses a paper or cardboard ticket which has a manual break-open feature [and specifications for such dispenser device are contained in the rules of the commission]. Any [permitted] lucky 7 device shall dispense or print tickets with predetermined winners and shall not be in the nature of a slot machine and the outcome of any wager involving a permitted lucky 7 device shall be [determined solely by and] predetermined and printed on the cardboard or paper ticket.

15 Sale of Lucky 7 Tickets. Amend RSA 287-E:21, V to read as follows:

V. No lucky 7 tickets shall be sold by or to any person under 18 years of age.

16 Repeal. RSA 287-D:2-c, II(b), relative to disclosure of the name, address, and telephone number of game operator employees, is repealed.

17 Effective Date. This act shall take effect 60 days after its passage.