SB 73 - This act establishes provisions relating to gaming.ATTORNEY GENERAL ILLEGAL GAMBLING JURISDICTION
This act provides that the Attorney General shall have concurrent duty, authority, and jurisdiction to investigate, charge, and prosecute violations of Missouri law relating to illegal gambling. The Attorney General may coordinate with the State Lottery Commission for such enforcement efforts. The act also establishes the "Illegal Gaming Enforcement Fund", consisting of moneys collected pursuant to the act for the purpose of investigating violations of gambling laws. (Section 27.105)
CHILD PROTECTION AND GAMING REGULATION ACT
This act establishes the Child Protection and Gaming Regulation Act.
This act allows the State Lottery Commission to implement a system of video lottery game terminals and to issue licenses to video lottery game manufacturers, distributors, operators, handlers, and retailers. The Commission shall not allow a single vendor or licensee to be responsible for implementing the program. (313.429.1)
Video lottery game terminals may be placed in any video lottery game retailer's location, as such term is defined in the act. (Section 313.427)
Video lottery game terminals shall be connected to a centralized computer system developed or procured by the Commission. No video lottery game terminal shall be placed in operation without first being connected to such centralized computer system. Video lottery game terminals shall meet the standards provided for in the act. (Section 313.429.2(2))
The Commission may impose a non-refundable application fee, as described in the act. The initial license shall be for a period of one year. Thereafter, the license renewal period shall be four years with the applicable license renewal fee paid for each year such license is renewed, as described in the act. In addition to such license fees, video lottery game operators shall pay the Commission an annual administrative fee of $1,000 for each video lottery game terminal placed in service. No license shall be issued to any person who has been convicted of a felony or crime involving illegal gambling. (Section 313.429.5)
Video lottery game operators shall pay winning tickets using a video lottery game ticket redemption terminal, which shall be located within the video lottery game retailer's establishment in direct proximity of where such video lottery games are offered. Unredeemed video lottery game tickets shall expire after 180 days of issue.
Video lottery game operators and video lottery game retailers shall enter into a use agreement for the placement of video lottery game terminals, as described in the act. The agreement shall specify an equal division of net terminal income after adjustments for taxes and administrative fees are made. Video lottery game operators and video lottery game retailers are prohibited from offering anything of value other than the percentage of adjusted gross receipts for the placement of video lottery terminals, except that video lottery game operators may pay for construction of a video lottery terminal area inside the premises of a video lottery game retailer, not to exceed $10,000. (Section 313.429.3 and .4)
The price of video lottery game terminal credits shall be determined by the Commission, and the maximum wager played per video lottery game shall not exceed $4.00. No cash award for the maximum wager played on any individual lottery game shall exceed $1,199 or one dollar less than the maximum amount allowable by federal law before tax withholding is required. (Section 313.429.9(1))
Operators shall not operate more than twelve terminals at any one video lottery game retailer location. (Section 313.429.9(2))
A person under the age of twenty-one shall not play video lottery games, and such video lottery game terminals shall be under the supervision of a person that is at least twenty-one years of age. Video lottery game terminals shall be under observation at all times during operating hours. Such observation may be done direct visual observation or by closed captioned video. (Section 313.429.10(1))
Video lottery game operators shall pay to the Commission thirty-four percent of the video lottery game adjusted gross gaming revenue. The Commission shall transfer four percent of the adjusted gross gaming revenue tax to the state lottery fund for administrative expenses, and shall transfer ten percent of the adjusted gross gaming revenue tax to the cities and counties in which video lottery gaming terminals are located. (Section 313.429.11)
All revenues collected by the Commission from license renewal fees and any reimbursements associated with the enforcement of the act shall be appropriated for administrative expenses associated with supervising and enforcing the provisions of the act. (Section 313.429.12)
The Commission shall contract with a state law enforcement entity to assist in conducting background investigations of applicants for licenses and for the enforcement of the provisions of the act. (Section 313.429.13)
The Commission shall procure a centralized computer system no latter than 180 days following the effective date of the act, and shall establish start and operational dates as described in the act. (Section 313.431)
Participation in the state lottery under this act shall not be construed to be a lottery or gift enterprise in violation of Article III, Section 39 of the Constitution of Missouri. (Section 313.433)
This act prohibits municipalities and counties from adopting ordinances prohibiting video lottery game terminals for a period of one year for municipalities, and two years for counties. Following such period, municipalities and counties may adopt an ordinance prohibiting video lottery game terminals within the municipality or the unincorporated area of the county. (Section 313.435)
This act allows the continuation of "no chance" game machines, provided that the owner or operator registers such machines with the Commission and pays a $25 registration fee within thirty days of the effective date of this act. This act prohibits the placement of video lottery game terminals within family entertainment centers, as defined in the act. (Section 313.437)
These provisions are substantially similar to SB 192 (2023), SB 557 (2023), SB 574 (2023), HB 699 (2023), SB 642 (2022), SB 686 (2022), SB 19 (2021), SB 319 (2021), HB 1014 (2021), SB 566 (2020), SB 43 (2019), and SB 452 (2017), and to provisions in SB 824 (2024), SB 1083 (2024), SB 1021 (2024), HB 2921 (2024), SB 1 (2023), SB 906 (2022), SS/HCS/HBs 2502 & 2556 (2022), HB 2080 (2022), SCS/SB 98 (2021), HB 915 (2021), SS#3/SCS/SB 44 (2019), and SS/SCS/SB 767 (2018), and are similar to HB 990 (2017).
ILLEGAL GAMBLING
This act modifies the definitions of "advancing gambling activity" and "gambling" to provide that such terms do not include activities licensed pursuant to the act. The act also modifies the definition of "slot machine". (Section 572.010)
Current law provides that the offense of gambling ranges from a class C misdemeanor to a class A misdemeanor. This act changes such offense to a class E felony. (Section 572.020)
Current law provides that the offense of possession of a gambling device is a class A misdemeanor. This act changes such offense to a class E felony. (Section 572.070)
This act also provides that the Commission shall have concurrent authority and jurisdiction to investigate and enforce violations of state law relating to illegal gambling and to seek prosecution of such violations by the Attorney General. (Section 572.100)
JOSH NORBERG