Alaska 2023-2024 Regular Session

Alaska House Bill HB200 Compare Versions

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2-HB0200b -1- CSHB 200(L&C)
2+HB0200a -1- HB 200
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5+33-GH1054\A
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10-CS FOR HOUSE BILL NO. 200(L&C)
10+
11+ HOUSE BILL NO. 200
1112
1213 IN THE LEGISLATURE OF THE STATE OF ALASKA
1314
14-THIRTY-THIRD LEGISLATURE - SECOND SESSION
15+THIRTY-THIRD LEGISLATURE - FIRST SESSION
1516
16-BY THE HOUSE LABOR AND COMMERCE COMMITTEE
17+BY THE HOUSE RULES COMMITTEE BY REQUEST OF THE GOVERNOR
1718
18-Offered: 4/1/24
19-Referred: Finance
19+Introduced: 5/10/23
20+Referred: Labor and Commerce, Finance
2021
21-Sponsor(s): HOUSE RULES COMMITTEE BY REQUEST OF THE GOVERNOR
22+
2223 A BILL
2324
2425 FOR AN ACT ENTITLED
2526
26-"An Act relating to charitable gaming; and relating to pull-tabs and electronic pull-tab 1
27-systems." 2
27+"An Act relating to pull-tabs; relating to persons prohibited from involvement in 1
28+gaming; and relating to the duties of the Department of Revenue." 2
2829 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 3
2930 * Section 1. AS 05.15.070 is amended to read: 4
3031 Sec. 05.15.070. Examination of books and records. The department may 5
3132 examine or have examined the books and records of a permittee, an operator, a 6
3233 registered vendor, or a person licensed to manufacture or to distribute pull-tab games 7
3334 or electronic pull-tab systems in the state. The department may issue subpoenas for
3435 8
3536 the attendance of witnesses and the production of books, records, and other 9
3637 documents. 10
37- * Sec. 2. AS 05.15.083 is amended by adding a new subsection to read: 11
38-(c) For a report required by this section, an operator may file one report for not 12
39-more than 10 authorizing permittees who conduct activities at the same location. The 13
40-operator may allocate taxes, prizes, and expenses in the same proportion that it 14 33-GH1054\U
41-CSHB 200(L&C) -2- HB0200b
38+ * Sec. 2. AS 05.15.180(a) is amended to read: 11
39+(a) Unless expressly authorized by the department, this [THIS] chapter 12
40+does not authorize the use of playing cards, dice, roulette wheels, coin-operated 13
41+instruments or machines, or other objects or instruments used, designed, or intended 14 33-GH1054\A
42+HB 200 -2- HB0200a
4243 New Text Underlined [DELETED TEXT BRACKETED]
4344
44-allocates gross receipts among the authorizing permittees. An operator may not 1
45-allocate to an authorizing permittee more than the annual prize limit for the 2
46-authorizing permittee under AS 05.15.180(g). 3
47- * Sec. 3. AS 05.15.115(b) is amended to read: 4
48-(b) The contract between an authorizing permittee and an operator must 5
49-include the amount and form of compensation to be paid to the operator, the term of 6
50-the contract, the activities to be conducted by the operator on behalf of the permittee, 7
51-the location where the activities are to be conducted, the name and address of the 8
52-member in charge, and other provisions the department may require. A contract 9
53-between an authorizing permittee and an operator may allow the operator to 10
54-pool permittees and divide the gaming income and payouts among permittees on 11
55-a percentage basis. A contract for paper pull-tabs must require the operator to 12
56-pay an authorizing permittee a minimum of 30 percent of the adjusted gross 13
57-income. A contract for electronic pull-tabs must require the operator to pay an 14
58-authorizing permittee a minimum of 30 percent of the adjusted gross income. 15
59- * Sec. 4. AS 05.15.115(c) is amended to read: 16
60-(c) A permittee may not contract with more than one operator at a time to 17
61-conduct the same type of activity. For the purposes of this subsection, bingo games, 18
62-raffles, lotteries, pull-tab games, electronic pull-tab systems, freeze-up classics, ice 19
63-classics, race classics, rain classics, goose classics, mercury classics, deep freeze 20
64-classics, canned salmon classics, salmon classics, king salmon classics, dog mushers' 21
65-contests, snow classics, snow machine classics, fish derbies, animal classics, crane 22
66-classics, cabbage classics, big bull moose derbies, and contests of skill are each a 23
67-different type of activity. 24
68- * Sec. 5. AS 05.15.122 is amended by adding a new subsection to read: 25
69-(e) An operator licensed under this section may conduct electronic pull-tab 26
70-activities on behalf of a municipality or a qualified organization only if the department 27
71-has issued a separate electronic pull-tab endorsement to the operator's license for 28
72-electronic pull-tab systems. The department may issue an electronic pull-tab 29
73-endorsement if 30
74-(1) the operator has filed all reports required under AS 05.15.087; 31 33-GH1054\U
75-HB0200b -3- CSHB 200(L&C)
45+primarily for gaming or gambling, or any other method or implement [NOT 1
46+EXPRESSLY AUTHORIZED BY THE DEPARTMENT]. 2
47+ * Sec. 3. AS 05.15.180(b) is amended to read: 3
48+(b) With the exception of raffles, lotteries, bingo games, pull-tab games, 4
49+electronic pull-tab systems, freeze-up classics, race classics, rain classics, goose 5
50+classics, mercury classics, deep freeze classics, dog mushers' contests, snow classics, 6
51+snow machine classics, canned salmon classics, salmon classics, animal classics, crane 7
52+classics, cabbage classics, Calcutta pools, big bull moose derbies, and king salmon 8
53+classics, a permit may not be issued for an activity under this chapter unless it existed 9
54+in the state in substantially the same form and was conducted in substantially the same 10
55+manner before January 1, 1959. A permit may not be issued for a snow machine 11
56+classic under this chapter unless it has been in existence for at least five years before 12
57+the permit is issued. A permit may not be issued for an animal classic under this 13
58+chapter unless it was in existence before November 1, 2002. 14
59+ * Sec. 4. AS 05.15.180(g) is amended to read: 15
60+(g) A municipality or a qualified organization may award a maximum of 16
61+$2,000,000 in prizes each year in activities authorized under this chapter; however, if a 17
62+municipality or a qualified organization contracts with an operator to conduct on its 18
63+behalf activities authorized under this chapter, the municipality or qualified 19
64+organization may award a maximum of $2,000,000 [$500,000] in prizes each year in 20
65+electronic pull-tab activities and a maximum of $1,000,000 in prizes each year in 21
66+all other activities authorized under this chapter. A municipality or a qualified 22
67+organization that conducts a contest of skill and awards more than $1,000,000 in 23
68+prizes to the participants in that contest of skill may exclude $1,000,000 in prizes 24
69+awarded to those participants from the $2,000,000 maximum allowed in this 25
70+subsection. The holders of a multiple-beneficiary permit under AS 05.15.100(d) may 26
71+award a maximum in prizes each year of $2,000,000 times the number of holders of 27
72+the permit for activities authorized under this chapter. In this subsection, "activities 28
73+authorized under this chapter" means all activities subject to this chapter other than 29
74+bingo. 30
75+ * Sec. 5. AS 05.15.181(a) is amended to read: 31 33-GH1054\A
76+HB0200a -3- HB 200
7677 New Text Underlined [DELETED TEXT BRACKETED]
7778
78-(2) the operator's license has not been revoked by the department in the 1
79-immediately preceding five years; and 2
80-(3) the operator has conducted pull-tab games on behalf of a 3
81-municipality or a qualified organization for at least the preceding three years. 4
82- * Sec. 6. AS 05.15.180(a) is amended to read: 5
83-(a) Unless expressly authorized by the department, this [THIS] chapter 6
84-does not authorize the use of playing cards, dice, roulette wheels, coin-operated 7
85-instruments or machines, or other objects or instruments used, designed, or intended 8
86-primarily for gaming or gambling, or any other method or implement [NOT 9
87-EXPRESSLY AUTHORIZED BY THE DEPARTMENT]. 10
88- * Sec. 7. AS 05.15.180(b) is amended to read: 11
89-(b) With the exception of raffles, lotteries, bingo games, pull-tab games, 12
90-electronic pull-tab systems, freeze-up classics, race classics, rain classics, goose 13
91-classics, mercury classics, deep freeze classics, dog mushers' contests, snow classics, 14
92-snow machine classics, canned salmon classics, salmon classics, animal classics, crane 15
93-classics, cabbage classics, Calcutta pools, big bull moose derbies, and king salmon 16
94-classics, a permit may not be issued for an activity under this chapter unless it existed 17
95-in the state in substantially the same form and was conducted in substantially the same 18
96-manner before January 1, 1959. A permit may not be issued for a snow machine 19
97-classic under this chapter unless it has been in existence for at least five years before 20
98-the permit is issued. A permit may not be issued for an animal classic under this 21
99-chapter unless it was in existence before November 1, 2002. 22
100- * Sec. 8. AS 05.15.180(g) is amended to read: 23
101-(g) A municipality or a qualified organization may award a maximum of 24
102-$2,000,000 in prizes each year in activities, other than electronic pull-tab activities, 25
103-authorized under this chapter. If a municipality or a qualified organization 26
104-conducts electronic pull-tabs activities, the municipality or qualified organization 27
105-may award a maximum of $3,000,000 in prizes each year for electronic pull-tab 28
106-activities. If [; HOWEVER, IF] a municipality or a qualified organization contracts 29
107-with an operator to conduct on its behalf activities authorized under this chapter, the 30
108-municipality or qualified organization may award a maximum of $3,000,000 31 33-GH1054\U
109-CSHB 200(L&C) -4- HB0200b
79+(a) A person may not manufacture pull-tabs or electronic pull-tab systems in 1
80+the state, and may not sell or distribute a pull-tab or electronic pull-tab system that 2
81+the person has manufactured outside of the state to persons in the state, unless the 3
82+person has received a pull-tab manufacturer's license issued by the department. 4
83+ * Sec. 6. AS 05.15.181(c) is amended to read: 5
84+(c) Each series of pull-tabs manufactured in the state must have a serial 6
85+number and be sealed or encrypted in a manner [AND HAVE A SERIAL 7
86+NUMBER LABEL ISSUED BY THE NATIONAL ASSOCIATION OF 8
87+FUNDRAISING TICKET MANUFACTURERS OR OTHER SERIAL NUMBER 9
88+LABEL] approved by the department. 10
89+ * Sec. 7. AS 05.15.181(d) is amended to read: 11
90+(d) A pull-tab manufacturer may distribute pull-tabs and electronic pull-tab 12
91+systems only to a licensed pull-tab distributor unless the pull-tab manufacturer is also 13
92+a licensed pull-tab distributor. 14
93+ * Sec. 8. AS 05.15.181 is amended by adding a new subsection to read: 15
94+(f) A licensed pull-tab manufacturer may not manufacture an electronic pull-16
95+tab system unless the department has issued a separate electronic pull-tab endorsement 17
96+to the manufacture's license. A pull-tab manufacturer licensed in the state who 18
97+manufactures electronic pull-tab systems for distribution in the state shall 19
98+(1) submit, at the manufacturer's expense, the electronic pull-tab 20
99+systems to an independent gaming testing laboratory for testing and certification 21
100+before distribution; 22
101+(2) install a central server for the electronic pull-tab systems in a 23
102+secure location in the state that is accessible by the department; in this paragraph, 24
103+"central server" means a pull-tab manufacturer's computer equipment that houses the 25
104+operating system, supporting hardware, electronic gaming application software, 26
105+communications network system, and databases for electronic pull-tab operations and 27
106+stores and manages electronic pull-tab data between electronic gaming locations. 28
107+(g) A pull-tab manufacturer may not distribute an electronic pull-tab system in 29
108+the state unless 30
109+(1) the system is certified by an independent gaming testing laboratory 31 33-GH1054\A
110+HB 200 -4- HB0200a
110111 New Text Underlined [DELETED TEXT BRACKETED]
111112
112-[$500,000] in prizes each year for electronic pull-tab activities and a maximum of 1
113-$2,000,000 in prizes each year in all activities, other than electronic pull-tab 2
114-activities, authorized under this chapter. A municipality or a qualified organization 3
115-that conducts a contest of skill and awards more than $1,000,000 in prizes to the 4
116-participants in that contest of skill may exclude $1,000,000 in prizes awarded to those 5
117-participants from the $2,000,000 maximum allowed in this subsection for activities 6
118-other than electronic pull-tab activities. The holders of a multiple-beneficiary 7
119-permit under AS 05.15.100(d) may award a maximum in prizes each year of 8
120-$2,000,000 times the number of holders of the permit for activities, other than 9
121-electronic pull-tab activities, authorized under this chapter. If a holder of a 10
122-multiple-beneficiary permit under AS 05.15.100(d) conducts electronic pull-tab 11
123-activities, the holder of a multiple-beneficiary permit may award a maximum in 12
124-prizes each year of $3,000,000 times the number of holders of the permit. In this 13
125-subsection, "activities authorized under this chapter" means all activities subject to this 14
126-chapter other than bingo. 15
127- * Sec. 9. AS 05.15.181(a) is amended to read: 16
128-(a) A person may not manufacture pull-tabs or electronic pull-tab systems in 17
129-the state, and may not sell or distribute a pull-tab or electronic pull-tab system that 18
130-the person has manufactured outside of the state to persons in the state, unless the 19
131-person has received a pull-tab manufacturer's license issued by the department. 20
132- * Sec. 10. AS 05.15.181(c) is amended to read: 21
133-(c) Each series of pull-tabs manufactured in the state must have a serial 22
134-number and be sealed or encrypted in a manner [AND HAVE A SERIAL 23
135-NUMBER LABEL ISSUED BY THE NATIONAL ASSOCIATION OF 24
136-FUNDRAISING TICKET MANUFACTURERS OR OTHER SERIAL NUMBER 25
137-LABEL] approved by the department. 26
138- * Sec. 11. AS 05.15.181(d) is amended to read: 27
139-(d) A pull-tab manufacturer may distribute pull-tabs and electronic pull-tab 28
140-systems only to a licensed pull-tab distributor unless the pull-tab manufacturer is also 29
141-a licensed pull-tab distributor. A pull-tab manufacturer may distribute an 30
142-electronic pull-tab system only to a distributor that holds a separate electronic 31 33-GH1054\U
143-HB0200b -5- CSHB 200(L&C)
113+under (f)(1) of this section as meeting the technical specifications adopted by the 1
114+department; and 2
115+(2) the system is approved by the department. 3
116+(h) A device used to play electronic pull-tabs must be incorporated into an 4
117+electronic pull-tab system and cannot be used for personal communication or 5
118+connected to an unsecured or publically accessible communication network. 6
119+(i) The department may not issue a pull-tab manufacturer license to a person 7
120+who is otherwise barred from involvement under AS 05.15.105. 8
121+(j) For the purposes of this section, "manufacture" includes the development, 9
122+creation, and programing of any electronic device, hardware, software, or computer 10
123+systems used in the operation of a pull-tab or electronic pull-tab system. 11
124+ * Sec. 9. AS 05.15.183(a) is amended to read: 12
125+(a) A person may not distribute pull-tab games or electronic pull-tab systems 13
126+unless the person has received a pull-tab distributor's license issued by the department. 14
127+ * Sec. 10. AS 05.15.183(c) is amended to read: 15
128+(c) Pull-tabs or electronic pull-tab systems may be distributed only from a 16
129+location in the state. A person may not distribute pull-tabs or electronic pull-tab 17
130+systems directly to another person in the state from a location outside of this state. 18
131+ * Sec. 11. AS 05.15.183(e) is amended to read: 19
132+(e) A distributor may not 20
133+(1) take an order for the purchase of a pull-tab series from a vendor; 21
134+(2) sell a pull-tab series to a vendor; or 22
135+(3) deliver a pull-tab series to a vendor, except that an electronic 23
136+pull-tab series may be delivered to a computer server at a vendor's location on 24
137+behalf of a permittee authorized to conduct pull-tab sales at the vendor's 25
138+location. 26
139+ * Sec. 12. AS 05.15.183 is amended by adding new subsections to read: 27
140+(f) A licensed distributor may not distribute an electronic pull-tab system in 28
141+the state unless the department has issued a separate electronic pull-tab endorsement to 29
142+the distributor's license. 30
143+(g) The department may not issue a pull-tab distributor license to a person 31 33-GH1054\A
144+HB0200a -5- HB 200
144145 New Text Underlined [DELETED TEXT BRACKETED]
145146
146-pull-tab endorsement under AS 05.15.183. 1
147- * Sec. 12. AS 05.15.181 is amended by adding new subsections to read: 2
148-(f) A pull-tab manufacturer may distribute to a person in this state an 3
149-electronic pull-tab system for use in the state only if the department has issued a 4
150-separate electronic pull-tab endorsement to the manufacturer's license. A pull-tab 5
151-manufacturer licensed in the state who manufactures electronic pull-tab systems for 6
152-use in the state shall 7
153-(1) submit, at the manufacturer's expense, the electronic pull-tab 8
154-system to an independent gaming testing laboratory for testing and certification before 9
155-distribution; 10
156-(2) install a central server for the electronic pull-tab system in a secure 11
157-location in the state that is accessible by the department; in this paragraph, "central 12
158-server" means a pull-tab manufacturer's computer equipment that houses the operating 13
159-system, supporting hardware, electronic gaming application software, communications 14
160-network system, and databases for electronic pull-tab operations and stores and 15
161-manages electronic pull-tab data between electronic gaming locations. 16
162-(g) An electronic pull-tab system distributed in the state 17
163-(1) must be certified by an independent gaming testing laboratory 18
164-under (f)(1) of this section as meeting the technical specifications adopted by the 19
165-department; 20
166-(2) must be approved by the department; 21
167-(3) may not include a game designed to pay out more than 90 percent; 22
168-(4) may only accept United States currency in paper form, purchased 23
169-credits, or a credit voucher; 24
170-(5) must reveal the numbers or symbols of the pull-tab on the device 25
171-similar to a paper pull-tab; 26
172-(6) may not display on the device spinning reels that mimic a slot 27
173-machine; 28
174-(7) may incorporate animation as part of the pull-tab game, but may 29
175-not require any additional consideration for that feature or award a prize other than the 30
176-predetermined prize for the ticket; and 31 33-GH1054\U
177-CSHB 200(L&C) -6- HB0200b
147+who is otherwise barred from involvement under AS 05.15.105. 1
148+ * Sec. 13. AS 05.15.185 is amended to read: 2
149+Sec. 05.15.185. Distribution of pull-tab games. Each series of pull-tabs 3
150+distributed in the state must have a serial number and be sealed or encrypted in a 4
151+manner [AND HAVE A SERIAL NUMBER LABEL ISSUED BY THE 5
152+NATIONAL ASSOCIATION OF FUNDRAISING TICKET MANUFACTURERS 6
153+OR OTHER SERIAL NUMBER LABEL] approved by the department and may be 7
154+distributed only to 8
155+(1) a municipality or a qualified organization that has obtained a 9
156+permit issued under this chapter; 10
157+(2) an operator on behalf of an authorizing permittee; or 11
158+(3) a distributor licensed under this chapter. 12
159+ * Sec. 14. AS 05.15.185 is amended by adding new subsections to read: 13
160+(b) An electronic pull-tab series distributed in the state must 14
161+(1) have a predetermined and finite number of winning and non-15
162+winning tickets; 16
163+(2) have a predetermined prize amount and structure; and 17
164+(3) have a unique serial number that is not regenerated. 18
165+(c) An electronic pull-tab series distributed in the state may not 19
166+(1) exceed 15,000 tickets; 20
167+(2) require additional consideration or award a prize associated with an 21
168+extended play feature. 22
169+ * Sec. 15. AS 05.15.187(e) is amended to read: 23
170+(e) Pull-tabs may not be sold to or accessed by a person under the age of 21 24
171+years. A person under the age of 21 years may not purchase or redeem a pull-tab. 25
172+ * Sec. 16. AS 05.15.187 is amended by adding new subsections to read: 26
173+(j) A vendor may not have more than five electronic pull-tab devices on the 27
174+premises. 28
175+(k) An operator may not have more than 10 electronic pull-tab devices at a 29
176+location. 30
177+(l) An electronic pull-tab device used to sell an electronic pull-tab series in the 31 33-GH1054\A
178+HB 200 -6- HB0200a
178179 New Text Underlined [DELETED TEXT BRACKETED]
179180
180-(8) may not dispense anything of value other than a credit voucher. 1
181-(h) A device used to play electronic pull-tabs must be incorporated into an 2
182-electronic pull-tab system and may not be a personal communication or computing 3
183-device. 4
184-(i) A pull-tab manufacturer or an agent of a manufacturer may not provide to a 5
185-vendor, operator, permittee, distributor, municipality, or qualified organization 6
186-compensation or a gift, gratuity, premium, or other thing of value in an amount greater 7
187-than $25 annually, including the value of a gift, gratuity, premium or other thing of 8
188-value provided to an individual employee or agent of the vendor, operator, permittee, 9
189-distributor, municipality, or qualified organization. 10
190-(j) The department may not issue a pull-tab manufacturer's license to a person 11
191-who is otherwise prohibited from involvement under AS 05.15.105. 12
192-(k) In this section, "manufacture" includes the development, creation, and 13
193-programing of any electronic device, hardware, software, or computer systems used in 14
194-the operation of a pull-tab or electronic pull-tab system. 15
195- * Sec. 13. AS 05.15.183(a) is amended to read: 16
196-(a) A person may not distribute pull-tab games or electronic pull-tab systems 17
197-unless the person has received a pull-tab distributor's license issued by the department. 18
198-The department may not issue a pull-tab distributor's license to a person licensed 19
199-as an operator or who otherwise participates in the conduct of an activity 20
200-authorized under this chapter on behalf of a municipality or a qualified 21
201-organization. 22
202- * Sec. 14. AS 05.15.183(c) is amended to read: 23
203-(c) Pull-tabs or electronic pull-tab systems may be distributed only from a 24
204-location in the state. A person may not distribute pull-tabs or electronic pull-tab 25
205-systems directly to another person in the state from a location outside of this state. 26
206- * Sec. 15. AS 05.15.183(e) is amended to read: 27
207-(e) A distributor may deliver an electronic pull-tab series to a computer 28
208-server at a vendor's location on behalf of a permittee authorized to conduct pull-29
209-tab sales at the vendor's location. A distributor may not 30
210-(1) take an order for the purchase of a pull-tab series from a vendor; 31 33-GH1054\U
211-HB0200b -7- CSHB 200(L&C)
181+state 1
182+(1) may only accept United States currency in paper form, purchased 2
183+credits, or a credit voucher; 3
184+(2) must reveal the numbers or series of the pull-tab on the device 4
185+similar to a paper pull-tab. 5
186+(3) may not display on the device spinning reels that mimic a slot 6
187+machine; and 7
188+(4) may not dispense anything of value other than a credit voucher. 8
189+(m) Within one electronic pull-tab series, each electronic pull-tab must be sold 9
190+for the same price. 10
191+ * Sec. 17. AS 05.15.188(i) is amended to read: 11
192+(i) An amount equal to the ideal net less the compensation owed to the vendor 12
193+shall be paid by the vendor to the member-in-charge upon delivery of a pull-tab series 13
194+to the vendor for sale. The amount required to be paid by the vendor shall be paid by 14
195+check or electronic fund transfer and [THE CHECK MAY NOT BE DRAWN IN A 15
196+MANNER THAT] the payee must be [IS NOT] identified. 16
197+ * Sec. 18. AS 05.15.188 is amended by adding a new subsection to read: 17
198+(l) The department may not register as a vendor a person who is otherwise 18
199+barred from involvement under AS 05.15.105. 19
200+ * Sec. 19. AS 05.15.690(39) is amended to read: 20
201+(39) "pull-tab or pull-tab game" means a game of chance where a 21
202+card, or electronic representation of a card, the face of which is covered to conceal 22
203+a number, symbol, or set of symbols, is purchased by the participant and where a prize 23
204+is awarded for a card, or electronic representation of a card, containing certain 24
205+numbers or symbols designated in advance and at random; 25
206+ * Sec. 20. AS 05.15.690(46) is amended to read: 26
207+(46) "series" means a unit of pull-tabs with the same serial number or 27
208+electronic pull-tabs that have a unique serial number; 28
209+ * Sec. 21. AS 05.15.690 is amended by adding a new paragraph to read: 29
210+(51) "electronic pull-tab system" includes individual electronic pull-30
211+tabs, electronic pull-tab devices, cabinet-style devices, and a computer or device, 31 33-GH1054\A
212+HB0200a -7- HB 200
212213 New Text Underlined [DELETED TEXT BRACKETED]
213214
214-(2) sell a pull-tab series to a vendor; or 1
215-(3) deliver a pull-tab series to a vendor, except an electronic pull-tab 2
216-series as expressly authorized in this subsection. 3
217- * Sec. 16. AS 05.15.183 is amended by adding new subsections to read: 4
218-(f) A licensed distributor may distribute an electronic pull-tab system in the 5
219-state only if 6
220-(1) the department has issued a separate electronic pull-tab 7
221-endorsement to the distributor's license; and 8
222-(2) the electronic pull-tab system meets the requirements of 9
223-AS 05.15.181(g). 10
224-(g) A distributor may not provide to an employee or agent of a licensed 11
225-vendor, operator, permittee, municipality, or qualified organization compensation or a 12
226-gift, gratuity, premium, or other thing of value in an amount greater than $25 annually, 13
227-including the value of a gift, gratuity, premium, or other thing of value provided to an 14
228-individual employee or agent of the vendor, operator, permittee, municipality, or 15
229-qualified organization. 16
230-(h) The department may not issue a pull-tab distributor's license to a person 17
231-who is otherwise prohibited from involvement under AS 05.15.105. 18
232- * Sec. 17. AS 05.15.185 is amended to read: 19
233-Sec. 05.15.185. Distribution of pull-tab games. Each series of pull-tabs 20
234-distributed in the state must have a serial number and be sealed or encrypted in a 21
235-manner [AND HAVE A SERIAL NUMBER LABEL ISSUED BY THE 22
236-NATIONAL ASSOCIATION OF FUNDRAISING TICKET MANUFACTURERS 23
237-OR OTHER SERIAL NUMBER LABEL] approved by the department and may be 24
238-distributed only to 25
239-(1) a municipality or a qualified organization that has obtained a 26
240-permit issued under this chapter; 27
241-(2) an operator on behalf of an authorizing permittee; [OR] 28
242-(3) a distributor licensed under this chapter; or 29
243-(4) a vendor by a distributor as authorized under AS 05.15.183(e). 30
244- * Sec. 18. AS 05.15.185 is amended by adding new subsections to read: 31 33-GH1054\U
245-CSHB 200(L&C) -8- HB0200b
246- New Text Underlined [DELETED TEXT BRACKETED]
247-
248-(b) An electronic pull-tab series distributed in the state must 1
249-(1) have a predetermined and finite number of winning and 2
250-nonwinning tickets; 3
251-(2) have a predetermined prize amount and structure; 4
252-(3) have a unique serial number that is not regenerated; and 5
253-(4) maintain a record of accumulated win credits that may be applied 6
254-to games in play or redeemed upon cessation of play. 7
255-(c) An electronic pull-tab series distributed in the state may not 8
256-(1) exceed 15,000 tickets; 9
257-(2) require additional consideration or award a prize associated with an 10
258-extended play feature included in the game. 11
259- * Sec. 19. AS 05.15.187(e) is amended to read: 12
260-(e) Pull-tabs may not be sold to or accessed by a person under the age of 21 13
261-years. A person under the age of 21 years may not purchase or redeem a pull-tab. 14
262- * Sec. 20. AS 05.15.187(i) is amended to read: 15
263-(i) A permittee, operator, or registered vendor may not turn over a prize of $50 16
264-or more to a person with a pull-tab card or credit voucher entitling the person to that 17
265-prize unless the person signs a receipt for the prize and returns the receipt to the 18
266-permittee, operator, or vendor. The receipt must be in a form approved by the 19
267-department. 20
268- * Sec. 21. AS 05.15.187 is amended by adding new subsections to read: 21
269-(j) A vendor may not have more than five electronic pull-tab devices on the 22
270-premises. 23
271-(k) An operator may not have more than 10 electronic pull-tab devices at a 24
272-location. 25
273-(l) A municipality, qualified organization, or multiple-beneficiary permittee 26
274-may not have more than 10 electronic pull-tab devices at a location. 27
275-(m) Within one electronic pull-tab series, each electronic pull-tab must be sold 28
276-for the same price. 29
277- * Sec. 22. AS 05.15.188(g) is amended to read: 30
278-(g) A person, other than a permittee's member-in-charge or a distributor 31 33-GH1054\U
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280- New Text Underlined [DELETED TEXT BRACKETED]
281-
282-distributing an electronic pull-tab series as authorized under AS 05.15.183(e), 1
283-may not directly supply a pull-tab series to a registered vendor for sale by that vendor 2
284-on behalf of the permittee. 3
285- * Sec. 23. AS 05.15.188(i) is amended to read: 4
286-(i) An amount equal to the ideal net less the compensation owed to the vendor 5
287-shall be paid by the vendor to the member-in-charge upon delivery of a pull-tab series 6
288-to the vendor for sale. For an electronic pull-tab series, an amount equal to the 7
289-adjusted gross receipts less the compensation owed to the vendor shall be paid by 8
290-the vendor to the member-in-charge within seven days after the delivery of the 9
291-electronic pull-tab series. The amount required to be paid by the vendor shall be paid 10
292-by check or electronic funds transfer and [THE CHECK MAY NOT BE DRAWN 11
293-IN A MANNER THAT] the payee must be [IS NOT] identified. 12
294- * Sec. 24. AS 05.15.188 is amended by adding a new subsection to read: 13
295-(l) The department may not register as a vendor a person who is otherwise 14
296-prohibited from involvement under AS 05.15.105. 15
297- * Sec. 25. AS 05.15.680 is amended by adding new subsections to read: 16
298-(c) In addition to any other penalty, a person who conducts, finances, 17
299-manages, supervises, directs, or owns a gambling device intended for use in this state, 18
300-or leases or owns a premises where gambling devices are operated, in violation of this 19
301-chapter shall be subject to a civil penalty not less than $5,000, but not more than 20
302-$25,000, for each device payable to the municipality in which the device was 21
303-operated. The state or municipality may bring an action to 22
304-(1) enjoin the operation of a gambling device in violation of this 23
305-chapter; 24
306-(2) request an attachment against all devices in violation of this chapter 25
307-and any money within those devices; and 26
308-(3) recover the civil penalty. 27
309-(d) A person who is employed, volunteers, receives compensation of any kind, 28
310-or participates in the operation of a gambling device in violation of this chapter shall 29
311-be subject to a civil penalty not to exceed $5,000. 30
312- * Sec. 26. AS 05.15.690(39) is amended to read: 31 33-GH1054\U
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314- New Text Underlined [DELETED TEXT BRACKETED]
315-
316-(39) "pull-tab or pull-tab game" means a game of chance where a 1
317-card, or electronic representation of a card, the face of which is covered to conceal 2
318-a number, symbol, or set of symbols, is purchased by the participant and where a prize 3
319-is awarded for a card, or electronic representation of a card, containing certain 4
320-numbers or symbols designated in advance and at random; 5
321- * Sec. 27. AS 05.15.690(46) is amended to read: 6
322-(46) "series" means a unit of pull-tabs with the same serial number or 7
323-a unit of electronic pull-tabs that have a unique serial number; 8
324- * Sec. 28. AS 05.15.690 is amended by adding new paragraphs to read: 9
325-(51) "credit voucher" means a paper issued by an electronic pull-tab 10
326-device that shows 11
327-(A) the amount of credit available for redemption; 12
328-(B) the serial number of the device; 13
329-(C) the date and time of issuance; and 14
330-(D) a unique validation number or other identifier; 15
331-(52) "electronic pull-tab device" means a cabinet-style device, portable 16
332-tablet device, or other device approved by the department that is part of an approved 17
333-electronic pull-tab system and that electronically displays electronic pull-tab tickets 18
334-and accumulates credits; 19
335-(53) "electronic pull-tab system" means individual electronic pull-tabs, 20
336-electronic cabinet-style pull-tab devices, and related hardware and software used to 21
337-play or facilitate the play of an electronic pull-tab series. 22
215+including all related hardware and software, used to play or facilitate the play of an 1
216+electronic pull-tab series. 2