‘An Act To Increase Gaming Opportunities for Charitable Fraternal and Veterans' Organizations’
| HP1078 LD 1469 |
Second Regular Session - 125th Maine Legislature C "A", Filing Number H-887, Sponsored by
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LR 1684 Item 2 |
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| Bill Tracking, Additional Documents | Chamber Status | ||
Amend the bill by striking out the title and substituting the following:
‘An Act To Increase Gaming Opportunities for Charitable Fraternal and Veterans' Organizations’
Amend the bill by striking out everything after the enacting clause and before the summary and inserting the following:
‘Sec. 1. 8 MRSA §1001, sub-§5-C is enacted to read:
Sec. 2. 8 MRSA §1011, sub-§2-B is enacted to read:
(1) Be able to demonstrate that a majority of the revenue, after deductions for reasonable expenses, generated from gaming conducted under Title 17, chapter 13-A or 62 has been used for the charitable purpose of the organization;
(2) Be able to demonstrate that the building in which the slot machine will be operated is located in a municipality that has approved, either by the voters of the municipality or the municipal officers, the operation of slot machines;
(3) Be able to demonstrate that it has at least $2,000 in cash reserved in a segregated account for each slot machine the organization intends to operate if issued a license; and
(4) Meet other criteria established by the board pursuant to rule regarding the licensing and operation of slot machines, including, but not limited to, a requirement that the organization identify and submit to the board a list of the charitable purposes for which the revenue from the operation of the slot machine will be used.
(1) The name and address of the treasurer of the charitable nonprofit organization and the name of at least one official on the governing board of the charitable nonprofit organization who will submit the application to the board;
(2) The deed, rental agreement or lease agreement for the premises where the charitable nonprofit organization intends to operate the slot machine;
(3) State and federal tax returns of the charitable nonprofit organization for the immediately prior 2 calendar years; and
(4) Copies of disposition of funds reports from the operation of games of chance or beano conducted by the charitable nonprofit organization for the immediately prior 2 calendar years.
This paragraph is repealed October 1, 2013.
Sec. 3. 8 MRSA §1011, sub-§4, as amended by PL 2005, c. 663, §6, is further amended to read:
Sec. 4. 8 MRSA §1016, sub-§1, ¶D, as amended by IB 2009, c. 2, §33, is further amended to read:
Sec. 5. 8 MRSA §1016, sub-§3, as enacted by PL 2003, c. 687, Pt. A, §5 and affected by Pt. B, §11, is amended to read:
Sec. 6. 8 MRSA §1017, sub-§1-A is enacted to read:
Sec. 7. 8 MRSA §1018, sub-§1, as amended by PL 2011, c. 417, §4, is further amended to read:
In addition to the application fee for a license or annual fee for a registered slot machine or table game, the board may charge a one-time application fee for a license or registration listed in paragraphs A to C-1, D and E in an amount equal to the projected cost of processing the application and performing any background investigations. If the actual cost exceeds the projected cost, an additional fee may be charged to meet the actual cost. If the projected cost exceeds the actual cost, the difference may be refunded to the applicant. All fees collected pursuant to this section must be deposited directly to the General Fund, except that $25,000 of the annual renewal fee for a slot machine operator or casino operator must be deposited to the Gross Slot Income Other Special Revenue Fund account within the Gambling Control Board to be transferred to the municipality in which the slot machine facility or casino is operated, in accordance with subsection 2. All application and registration fees are nonrefundable and are due upon submission of the application.
Sec. 8. 8 MRSA §1019, sub-§6, as amended by PL 2011, c. 417, §5, is further amended to read:
Sec. 9. 8 MRSA §1019, sub-§7, as amended by PL 2011, c. 417, §6, is further amended to read:
Sec. 10. 8 MRSA §1019, sub-§§8 and 9 are enacted to read:
Sec. 11. 8 MRSA §1020, sub-§2, ¶G, as enacted by PL 2003, c. 687, Pt. A, §5 and affected by Pt. B, §11, is amended to read:
Sec. 12. 8 MRSA §1020, sub-§3, as amended by IB 2009, c. 2, §37, is further amended to read:
Sec. 13. 8 MRSA §1031-A is enacted to read:
§ 1031-A. Charitable nonprofit organizations; age limit on slot machine use; play limited to members and guests; access by minors; credit prohibited
Notwithstanding the provisions of section 1031, the following provisions apply to slot machines operated by a charitable nonprofit organization.
Sec. 14. 8 MRSA §1035-B is enacted to read:
§ 1035-B. Location of slot machines operated by charitable nonprofit organizations
Notwithstanding section 1035, a slot machine operated by a charitable nonprofit organization may be located only on the premises of that charitable nonprofit organization licensed in accordance with this chapter.
Sec. 15. 8 MRSA §1036, sub-§2-D is enacted to read:
Net revenue from the operation of slot machines by charitable nonprofit organizations must be used to support the charitable purposes identified to the board except the net revenue may be used to pay compensation and defray expenses in the same manner as prescribed for revenue from games of chance by Title 17, section 1838.’
summary
This amendment replaces the bill and is the majority report of the committee. This amendment permits the Gambling Control Board, after October 1, 2013, to issue a license to a charitable nonprofit organization that is a fraternal organization or a veterans' organization that is tax-exempt under the federal Internal Revenue Code to operate up to 5 slot machines at a facility that is owned or leased by the organization and serves as its primary headquarters for fulfilling its charitable mission. The organization must be able to demonstrate that it has a cash reserve of $2,000 for each machine the organization intends to operate. An organization that wishes to apply prior to October 1, 2013 may file a declaration of intent to apply with the Gambling Control Board. An application must include a refundable $5,000 deposit. The initial application fee for a slot machine operator license under this amendment is $1,000, and the annual renewal fee is $350. A slot machine operated by a charitable nonprofit organization is subject to the same central site monitoring that applies to casinos and slot machine facilities at harness racing tracks. The total number of slot machines available to be operated by nonprofit organizations statewide is 250. Ten percent of the net slot machine income is required to be deposited directly with the Gambling Control Board for administrative expenses and 8% goes directly to the General Fund. Another 10% goes to the host municipality and 2% is dedicated to gambling addiction prevention and treatment. The board may require a charitable nonprofit organization that is licensed to operate slot machines to establish a separate account, from which the board may withdraw funds, to distribute the net revenue percentages. The remaining revenue generated from the slot machines must be used to support the charitable purposes of the fraternal organization or veterans' service organization.