Bill Text: AZ SCR1031 | 2020 | Fifty-fourth Legislature 2nd Regular | Introduced


Bill Title: Statewide gaming

Spectrum: Partisan Bill (Republican 17-0)

Status: (Introduced - Dead) 2020-02-05 - Senate read second time [SCR1031 Detail]

Download: Arizona-2020-SCR1031-Introduced.html

 

 

 

REFERENCE TITLE: statewide gaming

 

 

 

 

State of Arizona

Senate

Fifty-fourth Legislature

Second Regular Session

2020

 

 

 

SCR 1031

 

Introduced by

Senators Borrelli: Allen S, Fann, Kerr, Livingston; Representatives Biasiucci, Bolick, Campbell, Carroll, Finchem, Nutt, Payne, Pierce, Roberts, Thorpe, Toma, Weninger

 

 

A CONCURRENT RESOLUTION

 

enacting and ordering the submission to the people of a measure relating to gaming.

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


Be it resolved by the Senate of the State of Arizona, the House of Representatives concurring:

1.  Under the power of the referendum, as vested in the Legislature, the following measure, relating to gaming, is enacted to become valid as a law if approved by the voters and on proclamation of the Governor:

AN ACT

AMENDING title 5, Arizona Revised Statutes, by adding chapter 6.1; AMENDING SECTION 13-3302, ARIZONA REVISED STATUTES; RELATING TO GAMING.

Be it enacted by the Legislature of the State of Arizona:

Section 1.  Title 5, Arizona Revised Statutes, is amended by adding chapter 6.1, to read:

CHAPTER 6.1

GAMBLING OFF INDIAN RESERVATIONS

ARTICLE 1.  GENERAL PROVISIONS

START_STATUTE5-651.  Gambling off Indian reservations; revenue distribution; definition

A.  If this state authorizes class III gaming that was not authorized in this state on the effective date of this section in bars, beer and wine bars, casinos and racetracks that are located outside the boundaries of Indian reservations, this state's entire share of revenue from class III gaming that was not authorized in this state on the effective date of this section in bars, beer and wine bars, casinos and racetracks that are located outside the boundaries of Indian reservations shall be allocated as follows:

1.  The legislature shall annually appropriate:

(a)  Forty percent of these monies to the department of public safety to be used for any purpose specified by the director of the department of public safety.

(b)  Forty percent of these monies to provide funding for kindergarten programs and grades one through twelve in public schools.

(c)  Two and one‑half percent of these monies to the attorney general for deposit in the internet crimes against children enforcement fund established by section 41‑199.

(d)  Two and one‑half percent of these monies to the Arizona health care cost containment system for opioid addiction treatment programs.

(e)  Five percent of these monies to the counties in this state, with each county that opts in pursuant to section 13‑3302, subsection A, paragraph 3 receiving an equal amount.

2.  The remaining ten percent of these monies shall be retained in the state general fund and may be used for any purposes prescribed by law.

B.  If this state authorizes class III gaming that was not authorized in this state on the effective date of this section in bars and beer and wine bars, the class III gaming in those establishments shall be limited to slot machines that operate on bar tops.

C.  If this state authorizes class III gaming that was not authorized in this state on the effective date of this section at racetracks, the class III gaming at racetracks shall be limited to slot machines.

D.  If this state authorizes class III gaming that was not authorized in this state on the effective date of this section in bars, beer and wine bars, casinos and racetracks that are located outside the boundaries of Indian reservations, the city or town council where a bar, beer and wine bar, casino or racetrack is located may prohibit class III gaming in that bar, beer and wine bar, casino or racetrack.

E.  If this state authorizes class III gaming that was not authorized in this state on the effective date of this section in bars, beer and wine bars, casinos and racetracks that are located outside the boundaries of Indian reservations, and if a bar, beer and wine bar, casino or racetrack is not located in a city or town, the county board of supervisors of the county where the bar, beer and wine bar, casino or racetrack is located may prohibit class III gaming in that bar, beer and wine bar, casino or racetrack.

F.  If this state authorizes class III gaming that was not authorized in this state on the effective date of this section in bars, beer and wine bars, casinos and racetracks that are located outside the boundaries of Indian reservations, the department of gaming shall assess and collect license fees for bars, beer and wine bars, casinos and racetracks that submit applications to the department of gaming to conduct class III gaming.

G.  This section does not authorize class III gaming that was not authorized in this state on the effective date of this section in bars, beer and wine bars, casinos and racetracks that are located outside the boundaries of Indian reservations.

H.  For purposes of this section, "class III gaming" has the same meaning prescribed in 25 United States Code section 2703. END_STATUTE

Sec. 2.  Section 13-3302, Arizona Revised Statutes, is amended to read:

START_STATUTE13-3302.  Exclusions

A.  The following conduct is not unlawful under this chapter:

1.  Amusement gambling.

2.  Social gambling.

3.  Regulated gambling if the gambling is conducted in accordance with the statutes, rules or orders governing the gambling.  THE DEPARTMENT OF GAMING SHALL ADOPT RULES TO ALLOW CLASS III GAMING, AS DEFINED IN 25 UNITED STATES CODE SECTION 2703, TO BE CONDUCTED AS REGULATED GAMBLING IN ANY LOCATION IN THIS STATE BY ANY PERSON THAT IS LICENSED BY THE DEPARTMENT OF GAMING TO CONDUCT THAT ACTIVITY.  THE RULES SHALL INCLUDE LICENSE APPLICATION PROCEDURES AND LICENSE APPROVAL, ISSUANCE, RENEWAL AND REVOCATION CRITERIA.  THE DIRECTOR OF THE DEPARTMENT OF GAMING SHALL ESTABLISH FEES FOR THE APPLICATION, ISSUANCE AND RENEWAL OF CLASS III GAMING LICENSES. a county may elect to opt in or opt out of these rules.

4.  Gambling that is conducted at state, county or district fairs and that complies with section 13‑3301, paragraph 1, subdivision (d).

B.  An organization that has qualified for an exemption from taxation of income under section 501 of the internal revenue code may conduct a raffle that is subject to the following restrictions:

1.  The nonprofit organization shall maintain this status and no member, director, officer, employee or agent of the nonprofit organization may receive any direct or indirect pecuniary benefit other than being able to participate in the raffle on a basis equal to all other participants.

2.  The nonprofit organization has been in existence continuously in this state for a five-year period immediately before conducting the raffle.

3.  No A person, except for a bona fide local member of the sponsoring organization, may not participate directly or indirectly in the management, sales or operation of the raffle.

4.  Paragraph 1 or 3 of this subsection does not prohibit:

(a)  A licensed general hospital, a licensed special hospital or a foundation established to support cardiovascular medical research that is exempt from taxation of income under section 501(c)(3) of the internal revenue code from contracting with an outside agent who participates in the management, sales or operation of the raffle if the proceeds of the raffle are used to fund medical research, graduate medical education or indigent care and the raffles are conducted no more than three times per calendar year.  The maximum fee for an outside agent shall not exceed fifteen percent of the net proceeds of the raffle.

(b)  An entity that is exempt from taxation of income under section 501(c)(3) of the internal revenue code and that has at least a twenty‑year history of providing comprehensive services to prevent child abuse and to provide services and advocacy for victims of child abuse from contracting with an outside agent who participates in the management, sales or operation of the raffle if the proceeds of the raffle are used to provide comprehensive services to prevent child abuse and to provide services and advocacy for victims of child abuse and the raffles are conducted no more than three times per calendar year.  The maximum fee for an outside agent shall not exceed fifteen percent of the net proceeds of the raffle.

C.  A state, county or local historical society designated by this state or a county, city or town to conduct a raffle may conduct the raffle subject to the following conditions:

1.  A member, director, officer, employee or agent of the historical society may not receive any direct or indirect pecuniary benefit other than being able to participate in the raffle on a basis equal to all other participants.

2.  The historical society must have been in existence continuously in this state for a five-year period immediately before conducting the raffle.

3.  A person, except for a bona fide local member of the sponsoring historical society, may not participate directly or indirectly in the management, sales or operation of the raffle.

D.  A nonprofit organization that is a booster club, a civic club or a political club or political organization that is formally affiliated with and recognized by a political party in this state may conduct a raffle that is subject to the following restrictions:

1.  A member, director, officer, employee or agent of the club or organization may not receive any direct or indirect pecuniary benefit other than being able to participate in the raffle on a basis equal to all other participants.

2.  A person, except for a bona fide local member of the sponsoring club or organization, may not participate directly or indirectly in the management, sales or operation of the raffle.

3.  The maximum annual benefit that the club or organization receives for all raffles is ten thousand dollars.

4.  The club or organization is organized and operated exclusively for pleasure, recreation or other nonprofit purposes and no part of the club's or organization's net earnings inures to the personal benefit of any member, director, officer, employee or agent of the club or organization. END_STATUTE

2.  The Secretary of State shall submit this proposition to the voters at the next general election as provided by article IV, part 1, section 1, Constitution of Arizona.

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