Bill Text: MN SF1975 | 2011-2012 | 87th Legislature | Engrossed
Bill Title: Racing commission, gambling control board, and state lottery continuing operations upon government shutdown
Sponsorship: Partisan Bill (Republican 23)
Status: (Engrossed - Dead) 2012-03-26 - Motion to recall and re-refer, motion prevailed Ways and Means [SF1975 Detail]
Download: Minnesota-2011-SF1975-Engrossed.html
1.2relating to state government; appropriating money to the Racing Commission,
1.3the Gambling Control Board, and the State Lottery for operations on an ongoing
1.4basis; appropriating money to management and budget for functions that
1.5support ongoing operations of the Racing Commission, the Gambling Control
1.6Board and the State Lottery; amending Minnesota Statutes 2010, sections
1.7240.15, subdivision 6; 240.155, subdivision 1; 240.30, subdivision 9; 349.151,
1.8subdivision 4, by adding a subdivision; 349A.10, by adding subdivisions;
1.9proposing coding for new law in Minnesota Statutes, chapter 240.
1.10BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.11 Section 1. Minnesota Statutes 2010, section 240.15, subdivision 6, is amended to read:
1.12 Subd. 6. Disposition of proceeds; account. The commission shall distribute all
1.13money received under this section, and all money received from license fees and fines it
1.14collects, according to this subdivision. All money designated for deposit in the Minnesota
1.15breeders fund must be paid into that fund for distribution under section240.18 except that
1.16all money generated by full racing card simulcasts must be distributed as provided in
1.17section240.18, subdivisions 2, paragraph (d) , clauses (1), (2), and (3); and 3. Revenue
1.18from an admissions tax imposed under subdivision 1 must be paid to the local unit of
1.19government at whose request it was imposed, at times and in a manner the commission
1.20determines. Taxes received under this section and fines collected under section240.22
1.21must be paid to the commissioner of management and budget for deposit in the general
1.22fund. All revenues from licenses and other fees imposed by the commission must be
1.23deposited in the state treasury and credited to a racing and card playing regulation account
1.24in the special revenue fund. Receipts in this account are available for the operations of the
1.25commission up to the amount authorized in biennial appropriations from the legislature. If
1.26a fiscal biennium ends without the enactment of an appropriation to the commission for the
2.1following biennium, receipts in this account are annually appropriated to the commission
2.2for the operations of the commission up to the amount authorized in the second year of the
2.3most recently enacted biennial appropriation, until a biennial appropriation is enacted.
2.4 Sec. 2. Minnesota Statutes 2010, section 240.155, subdivision 1, is amended to read:
2.5 Subdivision 1. Reimbursement account credit. Money received by the commission
2.6as reimbursement for the costs of services provided by veterinarians, stewards,and
2.7medical testing of horses, and fees received by the commission in the form of fees for
2.8regulatory services must be deposited in the state treasury and credited to a racing
2.9reimbursement account in the special revenue fund, except as provided under subdivision
2.102. Receipts are appropriated, within the meaning of Article XI, section 1, of the Minnesota
2.11Constitution, to the commission to pay the costs of providing the services and all other
2.12costs necessary to allow the commission to fulfill its regulatory oversight duties required
2.13by chapter 240 and commission rule. If the major appropriation bills needed to finance
2.14state government are not enacted by the beginning of a fiscal biennium, the commission
2.15shall continue operations as required by chapter 240 and commission rule.
2.16 Sec. 3. [240.156] APPROPRIATION FOR FUNCTIONS SUPPORTING THE
2.17ONGOING OPERATION OF THE RACING COMMISSION.
2.18If, by July 1 of an odd-numbered year, legislation has not been enacted to appropriate
2.19money for the next biennium to the commissioner of management and budget for central
2.20accounting, procurement, payroll, and human resources functions, amounts necessary to
2.21operate those functions associated with operation of the Racing Commission under chapter
2.22240 are appropriated for the next biennium from the general fund to the commissioner
2.23of management and budget. As necessary, the commissioner may transfer a portion of
2.24this appropriation to other state agencies to support carrying out these functions. Any
2.25subsequent appropriation to the commissioner of management and budget for a biennium
2.26in which this section has been applied shall supersede and replace the funding authorized
2.27in this section.
2.28 Sec. 4. Minnesota Statutes 2010, section 240.30, subdivision 9, is amended to read:
2.29 Subd. 9. Reimbursement to commission. The commission shall require that the
2.30licensee reimburse it for the commission's actual costs, including personnel costs, of
2.31regulating the card club. Amounts received under this subdivision must be deposited as
2.32provided in section240.155, subdivision 1 , and are appropriated to the commission.
3.1 Sec. 5. Minnesota Statutes 2010, section 349.151, subdivision 4, is amended to read:
3.2 Subd. 4. Powers and duties. (a) The board has the following powers and duties:
3.3(1) to regulate lawful gambling to ensure it is conducted in the public interest;
3.4(2) to issue licenses to organizations and gambling managers, and to issue licenses
3.5and renewals to distributors, distributor salespersons, manufacturers, and linked bingo
3.6game providers;
3.7(3) to collect and deposit fees due under this chapter;
3.8(4) to receive reports required by this chapter and inspect all premises, records,
3.9books, and other documents of organizations, distributors, manufacturers, and linked
3.10bingo game providers to insure compliance with all applicable laws and rules;
3.11(5) to make rules authorized by this chapter;
3.12(6) to register gambling equipment and issue registration stamps;
3.13(7) to provide by rule for the mandatory posting by organizations conducting lawful
3.14gambling of rules of play and the odds and/or house percentage on each form of lawful
3.15gambling;
3.16(8) to report annually to the governor and legislature on its activities and on
3.17recommended changes in the laws governing gambling;
3.18(9) to report annually to the governor and legislature a financial summary for each
3.19licensed organization identifying the gross receipts, prizes paid, allowable expenses,
3.20lawful purpose expenditures including charitable contributions and all taxes and fees as
3.21per section349.12, subdivision 25 , paragraph (a), clauses (8) and (18), and the percentage
3.22of annual gross profit used for lawful purposes;
3.23(10) to impose civil penalties of not more than $1,000 per violation on organizations,
3.24distributors, distributor salespersons, manufacturers, linked bingo game providers, and
3.25gambling managers for violating or failing to comply with any provision of this chapter,
3.26chapter 297E, or any rule or order of the board;
3.27(11) to issue premises permits to organizations licensed to conduct lawful gambling;
3.28(12) to delegate to the director the authority to issue or deny license and premises
3.29permit applications and renewals under criteria established by the board;
3.30(13) to delegate to the director the authority to approve or deny fund loss requests,
3.31contribution of gambling funds to another licensed organization, and property expenditure
3.32requests under criteria established by the board;
3.33(14) to suspend or revoke licenses and premises permits of organizations,
3.34distributors, distributor salespersons, manufacturers, linked bingo game providers, or
3.35gambling managers as provided in this chapter;
3.36(15) to approve or deny requests from licensees for:
4.1(i) waivers from fee requirements as provided in section349.16, subdivision 6 ; and
4.2(ii) variances from Gambling Control Board rules under section14.055 ; and
4.3(16) to register employees of organizations licensed to conduct lawful gambling;
4.4(17) to require fingerprints from persons determined by board rule to be subject to
4.5fingerprinting;
4.6(18) to delegate to a compliance review group of the board the authority to investigate
4.7alleged violations, issue consent orders, and initiate contested cases on behalf of the board;
4.8(19) to order organizations, distributors, distributor salespersons, manufacturers,
4.9linked bingo game providers, and gambling managers to take corrective actions; and
4.10(20) to take all necessary steps to ensure the integrity of and public confidence
4.11in lawful gambling.
4.12(b) The board, or director if authorized to act on behalf of the board, may by
4.13citation assess any organization, distributor, distributor salesperson, manufacturer, linked
4.14bingo game provider, or gambling manager a civil penalty of not more than $1,000 per
4.15violation for a failure to comply with any provision of this chapter, chapter 297E, or
4.16any rule adopted or order issued by the board. Any organization, distributor, distributor
4.17salesperson, gambling manager, linked bingo game provider, or manufacturer assessed
4.18a civil penalty under this paragraph may request a hearing before the board. Appeals of
4.19citations imposing a civil penalty are not subject to the provisions of the Administrative
4.20Procedure Act.
4.21(c) All penalties received by the board must be deposited in the general fund.
4.22(d) All fees imposed by the board under sections349.16 to
349.167 must be
4.23deposited in the state treasury and credited to a lawful gambling regulation account in the
4.24special revenue fund. Receipts in this account are available for the operations of the board
4.25up to the amount authorized in biennial appropriations from the legislature. If a fiscal
4.26biennium ends without the enactment of an appropriation to the board for the following
4.27biennium, receipts in this account are annually appropriated to the board for the operations
4.28of the board up to the amount authorized in the second year of the most recently enacted
4.29biennial appropriation, until a biennial appropriation is enacted.
4.30 Sec. 6. Minnesota Statutes 2010, section 349.151, is amended by adding a subdivision
4.31to read:
4.32 Subd. 14. Appropriation for functions supporting the ongoing operation of the
4.33Gambling Control Board. If, by July 1 of an odd-numbered year, legislation has not been
4.34enacted to appropriate money for the next biennium to the commissioner of management
4.35and budget for central accounting, procurement, payroll, and human resources functions,
5.1amounts necessary to operate those functions associated with operation of the Gambling
5.2Control Board under chapter 349 are appropriated for the next biennium from the general
5.3fund to the commissioner of management and budget. As necessary, the commissioner
5.4may transfer a portion of this appropriation to other state agencies to support carrying out
5.5these functions. Any subsequent appropriation to the commissioner of management and
5.6budget for a biennium in which this section has been applied shall supersede and replace
5.7the funding authorized in this section.
5.8 Sec. 7. Minnesota Statutes 2010, section 349A.10, is amended by adding a subdivision
5.9to read:
5.10 Subd. 8. Ongoing operations. The Minnesota Lottery shall conduct ongoing
5.11operations, and all funds available to the lottery under chapter 349A are appropriated to
5.12the lottery on a permanent and ongoing basis.
5.13EFFECTIVE DATE.This section is effective the day following final enactment.
5.14 Sec. 8. Minnesota Statutes 2010, section 349A.10, is amended by adding a subdivision
5.15to read:
5.16 Subd. 9. Appropriation for functions supporting the ongoing operations of the
5.17State Lottery. If, by July 1 of an odd-numbered year, legislation has not been enacted
5.18to appropriate money for the next biennium to the commissioner of management and
5.19budget for central accounting, procurement, payroll, and human resources functions,
5.20amounts necessary to operate those functions associated with operation of the State
5.21Lottery under chapter 349A are appropriated for the next biennium from the general fund
5.22to the commissioner of management and budget. As necessary, the commissioner may
5.23transfer a portion of this appropriation to other state agencies to support carrying out these
5.24functions. Any subsequent appropriation to the commissioner of management and budget
5.25for a biennium in which this section has been applied shall supersede and replace the
5.26funding authorized in this section.
1.3the Gambling Control Board, and the State Lottery for operations on an ongoing
1.4basis; appropriating money to management and budget for functions that
1.5support ongoing operations of the Racing Commission, the Gambling Control
1.6Board and the State Lottery; amending Minnesota Statutes 2010, sections
1.7240.15, subdivision 6; 240.155, subdivision 1; 240.30, subdivision 9; 349.151,
1.8subdivision 4, by adding a subdivision; 349A.10, by adding subdivisions;
1.9proposing coding for new law in Minnesota Statutes, chapter 240.
1.10BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.11 Section 1. Minnesota Statutes 2010, section 240.15, subdivision 6, is amended to read:
1.12 Subd. 6. Disposition of proceeds; account. The commission shall distribute all
1.13money received under this section, and all money received from license fees and fines it
1.14collects, according to this subdivision. All money designated for deposit in the Minnesota
1.15breeders fund must be paid into that fund for distribution under section
1.16all money generated by full racing card simulcasts must be distributed as provided in
1.17section
1.18from an admissions tax imposed under subdivision 1 must be paid to the local unit of
1.19government at whose request it was imposed, at times and in a manner the commission
1.20determines. Taxes received under this section and fines collected under section
1.21must be paid to the commissioner of management and budget for deposit in the general
1.22fund. All revenues from licenses and other fees imposed by the commission must be
1.23deposited in the state treasury and credited to a racing and card playing regulation account
1.24in the special revenue fund. Receipts in this account are available for the operations of the
1.25commission up to the amount authorized in biennial appropriations from the legislature. If
1.26a fiscal biennium ends without the enactment of an appropriation to the commission for the
2.1following biennium, receipts in this account are annually appropriated to the commission
2.2for the operations of the commission up to the amount authorized in the second year of the
2.3most recently enacted biennial appropriation, until a biennial appropriation is enacted.
2.4 Sec. 2. Minnesota Statutes 2010, section 240.155, subdivision 1, is amended to read:
2.5 Subdivision 1. Reimbursement account credit. Money received by the commission
2.6as reimbursement for the costs of services provided by veterinarians, stewards,
2.7medical testing of horses, and fees received by the commission in the form of fees for
2.8regulatory services must be deposited in the state treasury and credited to a racing
2.9reimbursement account in the special revenue fund, except as provided under subdivision
2.102. Receipts are appropriated, within the meaning of Article XI, section 1, of the Minnesota
2.11Constitution, to the commission to pay the costs of providing the services and all other
2.12costs necessary to allow the commission to fulfill its regulatory oversight duties required
2.13by chapter 240 and commission rule. If the major appropriation bills needed to finance
2.14state government are not enacted by the beginning of a fiscal biennium, the commission
2.15shall continue operations as required by chapter 240 and commission rule.
2.16 Sec. 3. [240.156] APPROPRIATION FOR FUNCTIONS SUPPORTING THE
2.17ONGOING OPERATION OF THE RACING COMMISSION.
2.18If, by July 1 of an odd-numbered year, legislation has not been enacted to appropriate
2.19money for the next biennium to the commissioner of management and budget for central
2.20accounting, procurement, payroll, and human resources functions, amounts necessary to
2.21operate those functions associated with operation of the Racing Commission under chapter
2.22240 are appropriated for the next biennium from the general fund to the commissioner
2.23of management and budget. As necessary, the commissioner may transfer a portion of
2.24this appropriation to other state agencies to support carrying out these functions. Any
2.25subsequent appropriation to the commissioner of management and budget for a biennium
2.26in which this section has been applied shall supersede and replace the funding authorized
2.27in this section.
2.28 Sec. 4. Minnesota Statutes 2010, section 240.30, subdivision 9, is amended to read:
2.29 Subd. 9. Reimbursement to commission. The commission shall require that the
2.30licensee reimburse it for the commission's actual costs, including personnel costs, of
2.31regulating the card club. Amounts received under this subdivision must be deposited as
2.32provided in section
3.1 Sec. 5. Minnesota Statutes 2010, section 349.151, subdivision 4, is amended to read:
3.2 Subd. 4. Powers and duties. (a) The board has the following powers and duties:
3.3(1) to regulate lawful gambling to ensure it is conducted in the public interest;
3.4(2) to issue licenses to organizations and gambling managers, and to issue licenses
3.5and renewals to distributors, distributor salespersons, manufacturers, and linked bingo
3.6game providers;
3.7(3) to collect and deposit fees due under this chapter;
3.8(4) to receive reports required by this chapter and inspect all premises, records,
3.9books, and other documents of organizations, distributors, manufacturers, and linked
3.10bingo game providers to insure compliance with all applicable laws and rules;
3.11(5) to make rules authorized by this chapter;
3.12(6) to register gambling equipment and issue registration stamps;
3.13(7) to provide by rule for the mandatory posting by organizations conducting lawful
3.14gambling of rules of play and the odds and/or house percentage on each form of lawful
3.15gambling;
3.16(8) to report annually to the governor and legislature on its activities and on
3.17recommended changes in the laws governing gambling;
3.18(9) to report annually to the governor and legislature a financial summary for each
3.19licensed organization identifying the gross receipts, prizes paid, allowable expenses,
3.20lawful purpose expenditures including charitable contributions and all taxes and fees as
3.21per section
3.22of annual gross profit used for lawful purposes;
3.23(10) to impose civil penalties of not more than $1,000 per violation on organizations,
3.24distributors, distributor salespersons, manufacturers, linked bingo game providers, and
3.25gambling managers for violating or failing to comply with any provision of this chapter,
3.26chapter 297E, or any rule or order of the board;
3.27(11) to issue premises permits to organizations licensed to conduct lawful gambling;
3.28(12) to delegate to the director the authority to issue or deny license and premises
3.29permit applications and renewals under criteria established by the board;
3.30(13) to delegate to the director the authority to approve or deny fund loss requests,
3.31contribution of gambling funds to another licensed organization, and property expenditure
3.32requests under criteria established by the board;
3.33(14) to suspend or revoke licenses and premises permits of organizations,
3.34distributors, distributor salespersons, manufacturers, linked bingo game providers, or
3.35gambling managers as provided in this chapter;
3.36(15) to approve or deny requests from licensees for:
4.1(i) waivers from fee requirements as provided in section
4.2(ii) variances from Gambling Control Board rules under section
4.3(16) to register employees of organizations licensed to conduct lawful gambling;
4.4(17) to require fingerprints from persons determined by board rule to be subject to
4.5fingerprinting;
4.6(18) to delegate to a compliance review group of the board the authority to investigate
4.7alleged violations, issue consent orders, and initiate contested cases on behalf of the board;
4.8(19) to order organizations, distributors, distributor salespersons, manufacturers,
4.9linked bingo game providers, and gambling managers to take corrective actions; and
4.10(20) to take all necessary steps to ensure the integrity of and public confidence
4.11in lawful gambling.
4.12(b) The board, or director if authorized to act on behalf of the board, may by
4.13citation assess any organization, distributor, distributor salesperson, manufacturer, linked
4.14bingo game provider, or gambling manager a civil penalty of not more than $1,000 per
4.15violation for a failure to comply with any provision of this chapter, chapter 297E, or
4.16any rule adopted or order issued by the board. Any organization, distributor, distributor
4.17salesperson, gambling manager, linked bingo game provider, or manufacturer assessed
4.18a civil penalty under this paragraph may request a hearing before the board. Appeals of
4.19citations imposing a civil penalty are not subject to the provisions of the Administrative
4.20Procedure Act.
4.21(c) All penalties received by the board must be deposited in the general fund.
4.22(d) All fees imposed by the board under sections
4.23deposited in the state treasury and credited to a lawful gambling regulation account in the
4.24special revenue fund. Receipts in this account are available for the operations of the board
4.25up to the amount authorized in biennial appropriations from the legislature. If a fiscal
4.26biennium ends without the enactment of an appropriation to the board for the following
4.27biennium, receipts in this account are annually appropriated to the board for the operations
4.28of the board up to the amount authorized in the second year of the most recently enacted
4.29biennial appropriation, until a biennial appropriation is enacted.
4.30 Sec. 6. Minnesota Statutes 2010, section 349.151, is amended by adding a subdivision
4.31to read:
4.32 Subd. 14. Appropriation for functions supporting the ongoing operation of the
4.33Gambling Control Board. If, by July 1 of an odd-numbered year, legislation has not been
4.34enacted to appropriate money for the next biennium to the commissioner of management
4.35and budget for central accounting, procurement, payroll, and human resources functions,
5.1amounts necessary to operate those functions associated with operation of the Gambling
5.2Control Board under chapter 349 are appropriated for the next biennium from the general
5.3fund to the commissioner of management and budget. As necessary, the commissioner
5.4may transfer a portion of this appropriation to other state agencies to support carrying out
5.5these functions. Any subsequent appropriation to the commissioner of management and
5.6budget for a biennium in which this section has been applied shall supersede and replace
5.7the funding authorized in this section.
5.8 Sec. 7. Minnesota Statutes 2010, section 349A.10, is amended by adding a subdivision
5.9to read:
5.10 Subd. 8. Ongoing operations. The Minnesota Lottery shall conduct ongoing
5.11operations, and all funds available to the lottery under chapter 349A are appropriated to
5.12the lottery on a permanent and ongoing basis.
5.13EFFECTIVE DATE.This section is effective the day following final enactment.
5.14 Sec. 8. Minnesota Statutes 2010, section 349A.10, is amended by adding a subdivision
5.15to read:
5.16 Subd. 9. Appropriation for functions supporting the ongoing operations of the
5.17State Lottery. If, by July 1 of an odd-numbered year, legislation has not been enacted
5.18to appropriate money for the next biennium to the commissioner of management and
5.19budget for central accounting, procurement, payroll, and human resources functions,
5.20amounts necessary to operate those functions associated with operation of the State
5.21Lottery under chapter 349A are appropriated for the next biennium from the general fund
5.22to the commissioner of management and budget. As necessary, the commissioner may
5.23transfer a portion of this appropriation to other state agencies to support carrying out these
5.24functions. Any subsequent appropriation to the commissioner of management and budget
5.25for a biennium in which this section has been applied shall supersede and replace the
5.26funding authorized in this section.
