Indiana 2025 Regular Session

Indiana House Bill HB1672 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2	Introduced Version
3	3	HOUSE BILL No. 1672
4	4	_____
5	5	DIGEST OF INTRODUCED BILL
6	6	Citations Affected: IC 4-32.3-1-1; IC 4-39.5; IC 6-8.1-1-1;
7	7	IC 35-45-5-15; IC 35-52-4.
8	8	Synopsis: Video gaming terminals. Authorizes wagering on video
9	9	gaming terminals in certain establishments. Establishes a licensing
10	10	structure for participants in video gaming. Imposes a video gaming
11	11	wagering tax of 30% of adjusted gross receipts.
12	12	Effective: July 1, 2025.
13	13	Judy
14	14	January 21, 2025, read first time and referred to Committee on Public Policy.
15	15	2025 IN 1672—LS 6296/DI 125 Introduced
16	16	First Regular Session of the 124th General Assembly (2025)
17	17	PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
18	18	Constitution) is being amended, the text of the existing provision will appear in this style type,
19	19	additions will appear in this style type, and deletions will appear in this style type.
20	20	Additions: Whenever a new statutory provision is being enacted (or a new constitutional
21	21	provision adopted), the text of the new provision will appear in this style type. Also, the
22	22	word NEW will appear in that style type in the introductory clause of each SECTION that adds
23	23	a new provision to the Indiana Code or the Indiana Constitution.
24	24	Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
25	25	between statutes enacted by the 2024 Regular Session of the General Assembly.
26	26	HOUSE BILL No. 1672
27	27	A BILL FOR AN ACT to amend the Indiana Code concerning
28	28	gaming.
29	29	Be it enacted by the General Assembly of the State of Indiana:
30	30	1 SECTION 1. IC 4-32.3-1-1, AS ADDED BY P.L.58-2019,
31	31	2 SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
32	32	3 JULY 1, 2025]: Sec. 1. (a) This article applies only to a qualified
33	33	4 organization.
34	34	5 (b) This article applies only to the following approved gambling
35	35	6 activities conducted as fundraising activities by qualified organizations:
36	36	7 (1) Bingo events, casino game nights, raffles, festivals, and other
37	37	8 gaming activities approved by the commission.
38	38	9 (2) The sale of pull tabs, punchboards, and tip boards:
39	39	10 (A) at bingo events, casino game nights, raffles, and festivals
40	40	11 conducted by qualified organizations; or
41	41	12 (B) at any time on the premises owned or leased by qualified
42	42	13 organizations and regularly used for the activities of qualified
43	43	14 organizations.
44	44	15 This article does not apply to any other sale of pull tabs,
45	45	16 punchboards, and tip boards.
46	46	17 (c) This article does not apply to a promotion offer subject to
47	47	2025 IN 1672—LS 6296/DI 125 2
48	48	1 IC 24-8.
49	49	2 (d) This article does not apply to the following:
50	50	3 (1) A type II gambling game authorized by IC 4-36.
51	51	4 (2) A raffle or other gambling game authorized by IC 4-36-5-1(b).
52	52	5 (3) Video gaming authorized by IC 4-39.5.
53	53	6 (e) This article does not apply to a prize linked savings program
54	54	7 that:
55	55	8 (1) is offered or conducted by an eligible financial institution
56	56	9 under IC 28-1-23.2;
57	57	10 (2) is:
58	58	11 (A) offered or conducted by a credit union organized or
59	59	12 reorganized under United States law; and
60	60	13 (B) conducted in the same manner as a prize linked savings
61	61	14 program under IC 28-1-23.2; or
62	62	15 (3) is:
63	63	16 (A) offered or conducted by an insured depository institution
64	64	17 (as defined in 12 U.S.C. 1813) that is:
65	65	18 (i) a national bank formed under 12 U.S.C. 21;
66	66	19 (ii) a state member bank (as defined in 12 U.S.C. 1813);
67	67	20 (iii) a state nonmember bank (as defined in 12 U.S.C. 1813);
68	68	21 or
69	69	22 (iv) a savings association (as defined in 12 U.S.C. 1813);
70	70	23 and
71	71	24 (B) conducted in the same manner as a prize linked savings
72	72	25 program under IC 28-1-23.2.
73	73	26 SECTION 2. IC 4-39.5 IS ADDED TO THE INDIANA CODE AS
74	74	27 A NEW ARTICLE TO READ AS FOLLOWS [EFFECTIVE JULY 1,
75	75	28 2025]:
76	76	29 ARTICLE 39.5. VIDEO GAMING TERMINALS IN
77	77	30 ESTABLISHMENTS
78	78	31 Chapter 1. General Provisions
79	79	32 Sec. 1. This article applies only to wagering on video gaming
80	80	33 terminals located in licensed establishments under a video gaming
81	81	34 terminal installation contract described in IC 4-39.5-8.
82	82	35 Sec. 2. All shipments of video gaming terminals to a
83	83	36 manufacturer, distributor, supplier, operator, or establishment in
84	84	37 Indiana, the registering, recording, and labeling of which have
85	85	38 been completed by the manufacturer or dealer in accordance with
86	86	39 15 U.S.C. 1171 through 15 U.S.C. 1178, are legal shipments of
87	87	40 gambling devices into Indiana.
88	88	41 Sec. 3. Under 15 U.S.C. 1172, approved January 2, 1951, the
89	89	42 state of Indiana, acting by and through elected and qualified
90	90	2025 IN 1672—LS 6296/DI 125 3
91	91	1 members of the general assembly, declares that the state is exempt
92	92	2 from 15 U.S.C. 1172.
93	93	3 Sec. 4. (a) This section does not apply to real or personal
94	94	4 property taxes imposed by a local taxing unit.
95	95	5 (b) Except as provided in subsection (e), local governmental
96	96	6 authority concerning all matters relating to video gaming
97	97	7 conducted under this article is preempted by the state.
98	98	8 (c) No tax or fee, except as provided in this article, may be
99	99	9 assessed or collected from a licensee by a political subdivision
100	100	10 having the power to assess or collect a tax or fee. This section does
101	101	11 not prohibit the assessment and levying of property taxes otherwise
102	102	12 authorized by law or the imposing of a special assessment
103	103	13 (including a ditch or drainage assessment, Barrett Law assessment,
104	104	14 improvement assessment, sewer assessment, or sewage assessment)
105	105	15 otherwise authorized by law to be imposed on property to be
106	106	16 benefitted by an improvement.
107	107	17 (d) A political subdivision may not enter into an agreement with
108	108	18 a licensee that requires any financial commitments from the
109	109	19 licensee that are in addition to the fees and taxes imposed under
110	110	20 this article.
111	111	21 (e) An ordinance prohibiting video gaming in existence on June
112	112	22 30, 2025, is preempted by this article. However, the legislative body
113	113	23 of:
114	114	24 (1) a city or town may pass an ordinance to prohibit video
115	115	25 gaming within the corporate limits of the city or town; or
116	116	26 (2) a county may pass an ordinance to prohibit video gaming
117	117	27 in the unincorporated area of the county;
118	118	28 after June 30, 2025.
119	119	29 Sec. 5. This article will maintain the public's confidence and
120	120	30 trust through:
121	121	31 (1) comprehensive law enforcement supervision; and
122	122	32 (2) the strict regulation of facilities, persons, associations, and
123	123	33 video gaming at establishments.
124	124	34 Chapter 2. Definitions
125	125	35 Sec. 1. The definitions in this chapter apply throughout this
126	126	36 article.
127	127	37 Sec. 2. "Adjusted gross receipts" means the difference between:
128	128	38 (1) a person's gross receipts; minus
129	129	39 (2) prizes paid out to patrons by the person.
130	130	40 Sec. 3. "Commission" refers to the Indiana gaming commission
131	131	41 established by IC 4-33-3-1.
132	132	42 Sec. 4. "Convenience store" refers to a store or food mart that
133	133	2025 IN 1672—LS 6296/DI 125 4
134	134	1 is primarily engaged in:
135	135	2 (1) the retail sale of a line of goods that may include milk,
136	136	3 bread, soda, and snacks; or
137	137	4 (2) the retail sale of automotive fuels and the retail sale of a
138	138	5 line of goods that may include milk, bread, soda, and snacks.
139	139	6 Sec. 5. "Department" refers to the department of state revenue.
140	140	7 Sec. 6. "Distributor" means a person licensed under this article
141	141	8 to:
142	142	9 (1) buy a video gaming terminal from a manufacturer; and
143	143	10 (2) sell, lease, or otherwise distribute a video gaming terminal
144	144	11 or major components or parts of a video gaming terminal to
145	145	12 an operator.
146	146	13 Sec. 7. "Establishment" means any of the following locations
147	147	14 licensed to have video gaming terminals on the premises:
148	148	15 (1) A veterans organization establishment.
149	149	16 (2) A fraternal organization establishment.
150	150	17 (3) Except as provided in IC 4-39.5-5-13(b)(5), an
151	151	18 establishment licensed under IC 7.1-3 to sell alcoholic
152	152	19 beverages to customers for consumption on the premises of
153	153	20 the establishment.
154	154	21 (4) A truck stop establishment.
155	155	22 Sec. 8. "Fraternal organization establishment" means an
156	156	23 organization or institution that:
157	157	24 (1) is organized and conducted on a nonprofit basis;
158	158	25 (2) is exempt from federal income taxation under Section
159	159	26 501(c) of the Internal Revenue Code;
160	160	27 (3) is a branch, lodge, or chapter of a national organization;
161	161	28 and
162	162	29 (4) exists for the common charitable purposes, brotherhood,
163	163	30 and other interests of its members.
164	164	31 Sec. 9. "Gambling game" means a game played on a video
165	165	32 gaming terminal approved for wagering under this article by the
166	166	33 commission.
167	167	34 Sec. 10. "Gross receipts" means the total amount of money
168	168	35 wagered, either by cash or ticket, by patrons on a video gaming
169	169	36 terminal in an establishment.
170	170	37 Sec. 11. "Licensee" means a person holding a license issued
171	171	38 under this article.
172	172	39 Sec. 12. "Manufacturer" means a person that is licensed under
173	173	40 this article to:
174	174	41 (1) manufacture or assemble video gaming terminals; and
175	175	42 (2) sell video gaming terminals to a distributor.
176	176	2025 IN 1672—LS 6296/DI 125 5
177	177	1 Sec. 13. "Operator" means a person that is licensed under this
178	178	2 article to own or lease, install, maintain, and operate video gaming
179	179	3 terminals at an establishment located in Indiana.
180	180	4 Sec. 14. "Patron" means an individual who wagers on gambling
181	181	5 games played on a video gaming terminal.
182	182	6 Sec. 15. "Payment ticket" means a ticket dispensed by a video
183	183	7 gaming terminal in exchange for credits accumulated on a video
184	184	8 gaming terminal.
185	185	9 Sec. 16. "Payout device" means a device that redeems a
186	186	10 payment ticket with cash.
187	187	11 Sec. 17. "Person" means an individual, a sole proprietorship, a
188	188	12 partnership, an association, a fiduciary, a corporation, a limited
189	189	13 liability company, or any other business entity.
190	190	14 Sec. 18. "Supplier" means a person that is licensed under this
191	191	15 article to supply major components or parts for video gaming
192	192	16 terminals and payout devices.
193	193	17 Sec. 19. "Truck stop establishment" means a premises that:
194	194	18 (1) is equipped with diesel islands designated for fueling
195	195	19 commercial motor vehicles (as defined in IC 9-13-2-31);
196	196	20 (2) has sold at retail on average more than fifty thousand
197	197	21 (50,000) gallons of diesel or biodiesel fuel each month over the
198	198	22 previous twelve (12) months, or, in the case of an
199	199	23 establishment that has been open for less than twelve (12)
200	200	24 months, is expected to average more than fifty thousand
201	201	25 (50,000) gallons in retail sales of diesel or biodiesel fuel each
202	202	26 month;
203	203	27 (3) has parking spaces designated for commercial motor
204	204	28 vehicles (as defined in IC 9-13-2-31); and
205	205	29 (4) has a convenience store.
206	206	30 Sec. 20. "Vendor" means a person that provides or proposes to
207	207	31 provide goods or services to the commission. The term does not
208	208	32 include an employee of the commission, a licensed establishment,
209	209	33 a licensee, or a state agency.
210	210	34 Sec. 21. "Veterans organization establishment" means an
211	211	35 organization or institution that is:
212	212	36 (1) organized and conducted on a nonprofit basis;
213	213	37 (2) exempt from federal income taxation under Section 501(c)
214	214	38 of the Internal Revenue Code; and
215	215	39 (3) a branch or chapter of a national veterans organization.
216	216	40 Sec. 22. "Video gaming terminal" means an electronic video
217	217	41 gaming machine that:
218	218	42 (1) is available for consideration in the form of cash or a ticket
219	219	2025 IN 1672—LS 6296/DI 125 6
220	220	1 to play or simulate the play of a gambling game, including
221	221	2 poker, line up, and blackjack, using a video display and
222	222	3 microprocessors; and
223	223	4 (2) awards winning players with free games or credits that
224	224	5 may be redeemed for cash.
225	225	6 The term does not include a machine that directly dispenses coins,
226	226	7 cash, or tokens or is for amusement purposes only.
227	227	8 Sec. 23. "Video gaming terminal installation contract" means
228	228	9 a contractual agreement between:
229	229	10 (1) an operator or a person eligible to apply for an operator's
230	230	11 license; and
231	231	12 (2) an establishment or a person eligible to apply for an
232	232	13 establishment license;
233	233	14 that sets forth the terms and conditions for the placement,
234	234	15 installation, and operation of video gaming terminals on the
235	235	16 premises of the establishment.
236	236	17 Chapter 3. Powers and Duties of the Indiana Gaming
237	237	18 Commission
238	238	19 Sec. 1. The commission has jurisdiction and supervision over the
239	239	20 following:
240	240	21 (1) All video gaming operations in Indiana.
241	241	22 (2) All patrons in establishments.
242	242	23 Sec. 2. (a) The commission has the following powers for the
243	243	24 purpose of administering, regulating, and enforcing the system of
244	244	25 video gaming established under this article:
245	245	26 (1) All powers and duties specified in this article.
246	246	27 (2) All powers necessary and proper to fully and effectively
247	247	28 execute this article.
248	248	29 (3) The power to conduct hearings and to issue subpoenas for
249	249	30 the attendance of witnesses and subpoenas duces tecum for
250	250	31 the production of books, records, and other relevant
251	251	32 documents.
252	252	33 (4) The power to administer oaths and affirmations to
253	253	34 witnesses.
254	254	35 (5) The power to revoke, suspend, or renew licenses issued
255	255	36 under this article.
256	256	37 (6) The power to hire employees, gather information, conduct
257	257	38 investigations, and carry out other tasks under this article.
258	258	39 (b) The commission has the following duties for the purpose of
259	259	40 administering, regulating, and enforcing the system of video
260	260	41 gaming established under this article:
261	261	42 (1) To investigate and reinvestigate applicants, vendors,
262	262	2025 IN 1672—LS 6296/DI 125 7
263	263	1 suppliers, establishments, and licensees.
264	264	2 (2) To take appropriate administrative enforcement or
265	265	3 disciplinary action against a person regulated under this
266	266	4 article.
267	267	5 (3) To investigate alleged violations of this article.
268	268	6 (4) To take any reasonable or appropriate action to enforce
269	269	7 this article.
270	270	8 Sec. 3. (a) The commission shall adopt rules under IC 4-22-2 for
271	271	9 the following purposes:
272	272	10 (1) Administering this article.
273	273	11 (2) Establishing the conditions under which video gaming in
274	274	12 Indiana may be conducted.
275	275	13 (3) Providing for the prevention of practices detrimental to
276	276	14 the public interest and providing for the best interests of video
277	277	15 gaming in Indiana.
278	278	16 (4) Imposing penalties for noncriminal violations of this
279	279	17 article.
280	280	18 (b) The commission shall adopt rules in the manner provided
281	281	19 under IC 4-22-2 for the purposes described in subsection (a) to
282	282	20 enable video gaming in Indiana to commence as soon as possible
283	283	21 after June 30, 2025.
284	284	22 Sec. 4. The commission shall do the following:
285	285	23 (1) Conduct all hearings concerning civil violations of this
286	286	24 article.
287	287	25 (2) Levy and collect penalties for noncriminal violations of
288	288	26 this article.
289	289	27 (3) Deposit the penalties in the state general fund.
290	290	28 Sec. 5. The commission shall adopt standards for the licensing
291	291	29 of the following:
292	292	30 (1) Persons regulated under this article.
293	293	31 (2) Equipment necessary to conduct video gaming.
294	294	32 Sec. 6. The commission shall issue a request for proposals for a
295	295	33 central communications system vendor and enter into a contract
296	296	34 with a central communications system vendor.
297	297	35 Sec. 7. The commission shall issue a request for proposals for an
298	298	36 independent outside testing laboratory for the examination of video
299	299	37 gaming terminals and associated equipment as required by this
300	300	38 article. The commission shall enter into contracts with at least two
301	301	39 (2) independent outside testing laboratories.
302	302	40 Sec. 8. If a licensee or an employee of a licensee violates this
303	303	41 article or engages in a fraudulent act, the commission may do any
304	304	42 combination of the following:
305	305	2025 IN 1672—LS 6296/DI 125 8
306	306	1 (1) Suspend, revoke, or restrict the license of the licensee.
307	307	2 (2) Require the removal of the licensee or employee of a
308	308	3 licensee.
309	309	4 (3) Impose a civil penalty or fine upon the licensee or
310	310	5 employee.
311	311	6 Sec. 9. (a) The commission shall employ investigators.
312	312	7 (b) An investigator employed by the commission is vested with
313	313	8 full police powers and duties to enforce this article.
314	314	9 (c) An investigator may issue a summons for an infraction or a
315	315	10 misdemeanor violation if the defendant promises to appear by
316	316	11 signing the summons. A defendant who signs a summons issued
317	317	12 under this subsection but fails to appear is subject to the penalties
318	318	13 provided by IC 35-44.1-2-10. Upon the defendant's failure to
319	319	14 appear, the court shall issue a warrant for the arrest of the
320	320	15 defendant.
321	321	16 (d) In addition to the powers and duties vested under subsection
322	322	17 (b), an investigator may act as an officer for the arrest of offenders
323	323	18 who violate the laws of Indiana if the investigator reasonably
324	324	19 believes that a crime has been, is being, or is about to be committed
325	325	20 or attempted in the investigator's presence.
326	326	21 Sec. 10. The commission shall establish the minimum amount of
327	327	22 insurance that must be maintained by an operator or an
328	328	23 establishment.
329	329	24 Chapter 4. Applicant Information
330	330	25 Sec. 1. This chapter applies to an applicant for any of the
331	331	26 following:
332	332	27 (1) A manufacturer license.
333	333	28 (2) A distributor license.
334	334	29 (3) A supplier license.
335	335	30 (4) An operator license.
336	336	31 (5) An establishment license.
337	337	32 Sec. 2. (a) Except as provided in subsection (b), an applicant for
338	338	33 a manufacturer license, distributor license, supplier license,
339	339	34 operator license, or establishment license must provide the
340	340	35 following information:
341	341	36 (1) The name, business address, and business telephone
342	342	37 number of the applicant.
343	343	38 (2) The following information for an applicant that is not an
344	344	39 individual:
345	345	40 (A) The state of the applicant's incorporation or
346	346	41 registration.
347	347	42 (B) The names of all directors and officers.
348	348	2025 IN 1672—LS 6296/DI 125 9
349	349	1 (3) The identity of the following:
350	350	2 (A) Any person in which the applicant has an equity
351	351	3 interest of at least one percent (1%) of all shares. The
352	352	4 identification must include the state of incorporation or
353	353	5 registration, if applicable. However, an applicant that has
354	354	6 a pending registration statement filed with the Securities
355	355	7 and Exchange Commission is not required to provide
356	356	8 information under this clause.
357	357	9 (B) The shareholders or participants in the applicant. An
358	358	10 applicant whose interests are publicly traded is required to
359	359	11 provide only the names of the persons holding an equity
360	360	12 interest of more than five percent (5%).
361	361	13 (4) An identification of any business, including the state of
362	362	14 incorporation or registration, if applicable, in which an
363	363	15 applicant, the spouse of the applicant, or a child of the
364	364	16 applicant has an equity interest of more than five percent
365	365	17 (5%).
366	366	18 (5) If the applicant has been indicted or convicted, has
367	367	19 pleaded guilty or nolo contendere, or has forfeited bail
368	368	20 concerning a criminal offense under the laws of any
369	369	21 jurisdiction, the applicant must include the following
370	370	22 information:
371	371	23 (A) The name and location of the following:
372	372	24 (i) The court.
373	373	25 (ii) The arresting law enforcement agency.
374	374	26 (iii) The prosecuting attorney.
375	375	27 (B) The case number.
376	376	28 (C) The date and type of the criminal offense.
377	377	29 (D) The disposition of the case.
378	378	30 (E) The location and duration of any periods of
379	379	31 incarceration served by the applicant.
380	380	32 (6) If the applicant has had a license or a certificate issued by
381	381	33 a licensing authority in Indiana or any other jurisdiction
382	382	34 denied, restricted, suspended, revoked, or not renewed, the
383	383	35 applicant must provide the following information:
384	384	36 (A) A statement describing the facts and circumstances
385	385	37 concerning the authority's actions concerning the
386	386	38 applicant's license or certificate.
387	387	39 (B) The date of the authority's action concerning the
388	388	40 applicant's license or certificate.
389	389	41 (C) The reason for the authority's action concerning the
390	390	42 applicant's license or certificate.
391	391	2025 IN 1672—LS 6296/DI 125 10
392	392	1 (7) If the applicant:
393	393	2 (A) has filed or has had filed against the applicant a
394	394	3 proceeding in bankruptcy; or
395	395	4 (B) has been involved in a formal process to adjust, defer,
396	396	5 suspend, or work out the payment of a debt;
397	397	6 the applicant must provide the date of filing, the name and
398	398	7 location of the court, the case number of the proceeding, and
399	399	8 the disposition of the proceeding.
400	400	9 (8) If the applicant has filed or been served with a complaint
401	401	10 or notice filed with a public body concerning:
402	402	11 (A) a delinquency in the payment of; or
403	403	12 (B) a dispute over the filing of;
404	404	13 a return or the payment of a tax under federal, state, or local
405	405	14 law, the applicant must include the amount of the disputed
406	406	15 tax, the type of the disputed tax, the name of the taxing agency
407	407	16 involved, and the time involved in the tax dispute.
408	408	17 (9) A statement listing the names and positions of public
409	409	18 officials, public officers, and the relatives of public officials
410	410	19 and public officers who directly or indirectly:
411	411	20 (A) have a financial interest in;
412	412	21 (B) have a beneficial interest in;
413	413	22 (C) are the creditors of;
414	414	23 (D) hold a debt instrument issued by; or
415	415	24 (E) have an interest in a contractual or service relationship
416	416	25 with;
417	417	26 the applicant.
418	418	27 (10) Except as provided in subsection (b), if the applicant has
419	419	28 directly or indirectly made a political contribution, loan,
420	420	29 donation, or other payment to a candidate or an officeholder
421	421	30 in Indiana in the five (5) years before the date of the
422	422	31 application, the applicant must provide the amount and
423	423	32 method of the payment.
424	424	33 (11) The name and business telephone number of the attorney
425	425	34 who will represent the applicant in matters before the
426	426	35 commission.
427	427	36 (12) A description of the product or service to be
428	428	37 manufactured, distributed, or supplied by the applicant if the
429	429	38 applicant is applying for a manufacturer, distributor, or
430	430	39 supplier license.
431	431	40 (b) Subsection (a)(10) does not apply to an applicant for an
432	432	41 establishment license.
433	433	42 Sec. 3. (a) The following information that may be submitted,
434	434	2025 IN 1672—LS 6296/DI 125 11
435	435	1 collected, or gathered as part of an application for a license under
436	436	2 this article is confidential for purposes of IC 5-14-3-4:
437	437	3 (1) Any information concerning a minor child of the
438	438	4 applicant.
439	439	5 (2) The Social Security number of the applicant or the
440	440	6 applicant's spouse.
441	441	7 (3) The home telephone number of the applicant, the
442	442	8 applicant's spouse, or the children of the applicant.
443	443	9 (4) The applicant's birth certificate.
444	444	10 (5) The driver's license number of the applicant or the
445	445	11 applicant's spouse.
446	446	12 (6) The name or address of any former spouse of the
447	447	13 applicant.
448	448	14 (7) The date of birth of the applicant's spouse.
449	449	15 (8) The place of birth of the applicant's spouse.
450	450	16 (9) The personal financial records of the applicant, the
451	451	17 applicant's spouse, or a minor child of the applicant.
452	452	18 (10) Any information concerning the applicant being a victim
453	453	19 of domestic violence, sexual assault, or stalking.
454	454	20 (11) The electronic mail address of the applicant, the spouse
455	455	21 of an applicant, or a family member of an applicant.
456	456	22 (b) In addition to information that is confidential under
457	457	23 subsection (a), all information maintained by the commission
458	458	24 concerning an applicant who holds, has held, or has applied for a
459	459	25 license under this article:
460	460	26 (1) is confidential for purposes of IC 5-14-3; and
461	461	27 (2) may be released by the commission only for law
462	462	28 enforcement purposes or to a state agency.
463	463	29 Sec. 4. Notwithstanding any other law, the commission shall
464	464	30 provide upon written request the following information:
465	465	31 (1) The information provided under section 2 of this chapter
466	466	32 concerning a licensee or an applicant.
467	467	33 (2) The aggregate amount of tax paid to the state by all of the
468	468	34 establishments located in each municipality or county.
469	469	35 (3) A copy of any documentation from the commission
470	470	36 providing the reasons for the denial, revocation, suspension,
471	471	37 or nonrenewal of a license.
472	472	38 (4) A copy of any documentation from the commission
473	473	39 providing the reasons for the commission's refusal to allow an
474	474	40 applicant to withdraw the applicant's application.
475	475	41 Chapter 5. Licensing of Persons
476	476	42 Sec. 1. (a) The commission may issue the following licenses
477	477	2025 IN 1672—LS 6296/DI 125 12
478	478	1 under this chapter to qualified applicants:
479	479	2 (1) A manufacturer license.
480	480	3 (2) A distributor license.
481	481	4 (3) A supplier license.
482	482	5 (4) An operator license.
483	483	6 (5) An establishment license.
484	484	7 (b) To obtain a license, a person must submit an application
485	485	8 form, an application fee, and any information requested by the
486	486	9 commission under this article.
487	487	10 (c) The commission shall, promptly and in reasonable order,
488	488	11 approve or reject all license applications received under this
489	489	12 article.
490	490	13 Sec. 2. The burden is on each applicant to demonstrate the
491	491	14 applicant's suitability for a license issued under this article. The
492	492	15 commission may issue or deny a license as provided by this article.
493	493	16 Sec. 3. An applicant for a license under this article must submit
494	494	17 to a background investigation conducted by the commission with
495	495	18 the assistance of the state police department or another law
496	496	19 enforcement agency.
497	497	20 Sec. 4. A person may not be licensed under this article if any of
498	498	21 the following apply:
499	499	22 (1) The applicant has knowingly made a false statement of
500	500	23 material fact to the commission.
501	501	24 (2) The applicant is found by the commission to lack the
502	502	25 necessary financial stability or responsibility to hold an
503	503	26 establishment license issued under this article.
504	504	27 (3) The applicant, if an individual, is less than twenty-one (21)
505	505	28 years of age on the date on which the application is received
506	506	29 by the commission.
507	507	30 (4) The applicant is on the most recent tax warrant list.
508	508	31 (5) The applicant, if an individual, has been convicted of or
509	509	32 entered a plea of guilty or nolo contendere to a crime set forth
510	510	33 in IC 35-45-5 or a crime of moral turpitude.
511	511	34 (6) The applicant, if an individual, has been convicted of or
512	512	35 entered a plea of guilty or nolo contendere to a felony under
513	513	36 Indiana law, the laws of any other state, or the laws of the
514	514	37 United States within the ten (10) years preceding the date of
515	515	38 the license application.
516	516	39 (7) The applicant, if an individual, has been convicted of or
517	517	40 entered a plea of guilty or nolo contendere to a felony under
518	518	41 Indiana law, the laws of any other state, or the laws of the
519	519	42 United States more than ten (10) years preceding the date of
520	520	2025 IN 1672—LS 6296/DI 125 13
521	521	1 the license application, unless the commission determines
522	522	2 that:
523	523	3 (A) the individual has been pardoned or the individual's
524	524	4 civil rights have been restored;
525	525	5 (B) after the conviction or entry of the plea, the individual
526	526	6 has engaged in the kind of law abiding commerce and good
527	527	7 citizenship that would reflect well upon the integrity of the
528	528	8 commission; or
529	529	9 (C) the individual has terminated a relationship with a
530	530	10 person whose actions directly contributed to the conviction
531	531	11 or entry of the plea.
532	532	12 (8) The applicant fails to provide all materials requested by
533	533	13 the commission.
534	534	14 (9) The applicant has a background, including a criminal
535	535	15 record, reputation, habits, social or business associations, or
536	536	16 prior activities, that poses a threat to the public interests of
537	537	17 the state or to the security and integrity of video gaming.
538	538	18 (10) The applicant may create or enhance the dangers of
539	539	19 unsuitable, unfair, or illegal practices, methods, and activities
540	540	20 in the conduct of video gaming.
541	541	21 (11) The applicant presents questionable business practices
542	542	22 and financial arrangements incidental to the conduct of video
543	543	23 gaming operations.
544	544	24 Sec. 5. The fact that an applicant:
545	545	25 (1) has faced charges of a crime described in section 4(5) or
546	546	26 4(6) of this chapter that were ultimately dismissed; or
547	547	27 (2) has been charged with a crime described in section 4(5) or
548	548	28 4(6) of this chapter, but not convicted of the crime;
549	549	29 is not sufficient grounds to disqualify the applicant for a license
550	550	30 under this article in the absence of other facts determined by the
551	551	31 commission to support a finding of unsuitability under section 4(9)
552	552	32 through 4(11) of this chapter.
553	553	33 Sec. 6. The costs of investigating an applicant for a license under
554	554	34 this chapter must be paid from the initial license fee paid by the
555	555	35 applicant under IC 4-39.5-13.
556	556	36 Sec. 7. The commission shall conduct or cause to be conducted
557	557	37 a background investigation of each applicant for a license issued
558	558	38 under this chapter.
559	559	39 Sec. 8. Criminal history record information obtained during the
560	560	40 investigation of an individual must be maintained by the
561	561	41 commission for the term of the license and for any subsequent
562	562	42 license term.
563	563	2025 IN 1672—LS 6296/DI 125 14
564	564	1 Sec. 9. The commission may require that an application or other
565	565	2 document submitted by an applicant or a licensee must be sworn
566	566	3 to or affirmed before a notary public.
567	567	4 Sec. 10. An applicant must furnish all information requested by
568	568	5 the commission, including financial data and documents,
569	569	6 certifications, consents, waivers, and individual histories.
570	570	7 Sec. 11. (a) An initial license issued under this chapter is valid
571	571	8 for one (1) year. A person holding a manufacturer license, a
572	572	9 distributor license, a supplier license, or an operator license may
573	573	10 annually renew the license if:
574	574	11 (1) the commission determines that the person satisfies the
575	575	12 conditions of this article; and
576	576	13 (2) the person pays the annual license renewal fee under
577	577	14 IC 4-39.5-13.
578	578	15 (b) A person holding a manufacturer license, a distributor
579	579	16 license, a supplier license, or an operator license is subject to a
580	580	17 complete investigation every three (3) years to determine that the
581	581	18 person is in compliance with this article. The costs of the
582	582	19 investigation must be paid from the license renewal fee paid under
583	583	20 IC 4-39.5-13.
584	584	21 (c) Notwithstanding subsection (b), the commission may
585	585	22 investigate a person holding a manufacturer license, a distributor
586	586	23 license, a supplier license, or an operator license at any time the
587	587	24 commission determines that an investigation is necessary to ensure
588	588	25 that the person remains in compliance with this article.
589	589	26 Sec. 12. (a) The commission may issue an establishment license
590	590	27 to an applicant that satisfies the requirements of this article.
591	591	28 (b) An establishment license allows the licensee to conduct video
592	592	29 gaming under a video gaming terminal installation contract at the
593	593	30 street address specified in the licensee's application for the
594	594	31 establishment license. A person must obtain a separate
595	595	32 establishment license for each premises at which the person wishes
596	596	33 to conduct video gaming under a video gaming terminal
597	597	34 installation contract.
598	598	35 (c) An establishment license issued under this chapter is valid
599	599	36 for one (1) year. An establishment may annually renew the license
600	600	37 if:
601	601	38 (1) the commission determines that the establishment satisfies
602	602	39 the conditions of this article; and
603	603	40 (2) the establishment pays the annual license renewal fee
604	604	41 under IC 4-39.5-13.
605	605	42 Sec. 13. (a) To qualify for an establishment license, a person
606	606	2025 IN 1672—LS 6296/DI 125 15
607	607	1 must operate:
608	608	2 (1) a fraternal organization establishment, as defined by
609	609	3 IC 4-39.5-2-8;
610	610	4 (2) a veterans organization establishment, as defined by
611	611	5 IC 4-39.5-2-21;
612	612	6 (3) except as provided in subsection (b)(5), an establishment
613	613	7 licensed under IC 7.1-3 to sell alcoholic beverages to
614	614	8 customers for consumption on the premises of the
615	615	9 establishment; or
616	616	10 (4) a truck stop establishment, as defined by IC 4-39.5-2-19.
617	617	11 (b) The following may not apply for an establishment license
618	618	12 under this article:
619	619	13 (1) A person holding a horse track permit under IC 7.1-3-17.7.
620	620	14 (2) A licensed owner of a riverboat licensed under IC 4-33.
621	621	15 (3) An operating agent who operates a riverboat in a historic
622	622	16 hotel district under IC 4-33-6.5.
623	623	17 (4) A person holding a gambling game license issued under
624	624	18 IC 4-35-5.
625	625	19 (5) A person holding a permit issued under IC 7.1-3 for any of
626	626	20 the following:
627	627	21 (A) A boat permit.
628	628	22 (B) A hotel permit.
629	629	23 (C) A resort hotel permit.
630	630	24 (D) An airport permit.
631	631	25 (E) A satellite facility permit.
632	632	26 (F) A microbrewery permit.
633	633	27 (G) A social club permit.
634	634	28 (H) A civic center permit.
635	635	29 (I) A catering hall permit.
636	636	30 (J) A dining car permit.
637	637	31 (K) A temporary event permit.
638	638	32 (L) A permit for any of the following facilities:
639	639	33 (i) A stadium.
640	640	34 (ii) An automobile race track.
641	641	35 (iii) A concert hall.
642	642	36 (6) A person (other than a truck stop establishment) operating
643	643	37 a convenience store.
644	644	38 Sec. 14. If the commission proposes to revoke a license issued
645	645	39 under this chapter, the licensee may continue to operate under the
646	646	40 license until the commission has made a decision and all
647	647	41 administrative appeals have been exhausted by the licensee.
648	648	42 Chapter 6. Restrictions on Licensees and Other Persons
649	649	2025 IN 1672—LS 6296/DI 125 16
650	650	1 Sec. 1. A person holding a manufacturer license or a person
651	651	2 holding an interest in a person holding a manufacturer license may
652	652	3 not:
653	653	4 (1) hold an operator license;
654	654	5 (2) hold an establishment license; or
655	655	6 (3) own an equity interest in a person holding an operator
656	656	7 license or establishment license.
657	657	8 Sec. 2. A person holding a distributor license or a person
658	658	9 holding an interest in a person holding a distributor license may
659	659	10 not:
660	660	11 (1) hold an operator license;
661	661	12 (2) hold an establishment license; or
662	662	13 (3) own an equity interest in a person holding an operator
663	663	14 license or establishment license.
664	664	15 Sec. 3. A person holding a supplier license or a person holding
665	665	16 an interest in a person holding a supplier license may not:
666	666	17 (1) hold an establishment license; or
667	667	18 (2) own an equity interest in a person holding an
668	668	19 establishment license.
669	669	20 Sec. 4. A person holding an operator license or a person holding
670	670	21 an interest in a person holding an operator license may not:
671	671	22 (1) hold a manufacturer license;
672	672	23 (2) hold a distributor license;
673	673	24 (3) hold an establishment license; or
674	674	25 (4) own an equity interest in a person holding a manufacturer
675	675	26 license, a distributor license, or an establishment license.
676	676	27 Sec. 5. A person holding an establishment license or an owner or
677	677	28 a manager of a person holding an establishment license may not:
678	678	29 (1) hold a manufacturer license;
679	679	30 (2) hold a distributor license;
680	680	31 (3) hold a supplier license;
681	681	32 (4) hold an operator license; or
682	682	33 (5) own an equity interest in a person holding a manufacturer
683	683	34 license, a distributor license, a supplier license, or an operator
684	684	35 license.
685	685	36 Sec. 6. Notwithstanding sections 1 through 5 of this chapter, a
686	686	37 licensee may hold an otherwise prohibited equity interest of not
687	687	38 more than five percent (5%) in another person holding a license
688	688	39 under this article if the other person is registered with the
689	689	40 Securities and Exchange Commission.
690	690	41 Sec. 7. A person may not assemble, sell, lease, or contract to sell
691	691	42 or lease a video gaming terminal to a distributor unless the person
692	692	2025 IN 1672—LS 6296/DI 125 17
693	693	1 holds a valid manufacturer license.
694	694	2 Sec. 8. A person may not sell, lease, or contract to sell or lease
695	695	3 a video gaming terminal to an operator unless the person holds a
696	696	4 valid distributor license.
697	697	5 Sec. 9. A person may not place, install, or manage the operations
698	698	6 of a video gaming terminal or the major components or parts of a
699	699	7 video gaming terminal in an establishment unless the person holds
700	700	8 a valid operator license. A person may not own or lease a video
701	701	9 gaming terminal or major components or parts of a video gaming
702	702	10 terminal unless the person holds a valid operator license.
703	703	11 Sec. 10. A person may not service, maintain, repair, possess,
704	704	12 control, or have access to a video gaming terminal or major
705	705	13 components or parts of a video gaming terminal unless the person
706	706	14 holds a valid operator license under this article.
707	707	15 Sec. 11. (a) A manufacturer may not:
708	708	16 (1) be licensed as an operator; or
709	709	17 (2) own, control, or manage an establishment.
710	710	18 (b) A distributor may not:
711	711	19 (1) be licensed as an operator; or
712	712	20 (2) own, control, or manage an establishment.
713	713	21 (c) An operator may not:
714	714	22 (1) be licensed as a manufacturer or distributor; or
715	715	23 (2) own, control, or manage an establishment.
716	716	24 (d) An operator may contract only with other licensees under
717	717	25 this article.
718	718	26 Sec. 12. (a) An operator may not give anything of value,
719	719	27 including a loan or a financing arrangement, to any establishment
720	720	28 as an incentive or inducement to locate video gaming terminals in
721	721	29 that establishment.
722	722	30 (b) An establishment may not accept anything of value,
723	723	31 including a loan or a financing arrangement, from any person as
724	724	32 an incentive or inducement to locate video gaming terminals in that
725	725	33 establishment.
726	726	34 Chapter 7. Video Gaming Terminal Standards
727	727	35 Sec. 1. A licensee may not install a video gaming terminal in a
728	728	36 licensed establishment under a video gaming terminal installation
729	729	37 contract unless the video gaming terminal has been approved by
730	730	38 the commission.
731	731	39 Sec. 2. The commission may use the services of an independent
732	732	40 testing laboratory to test video gaming terminals for compliance
733	733	41 with this chapter.
734	734	42 Sec. 3. A video gaming terminal must do the following to satisfy
735	735	2025 IN 1672—LS 6296/DI 125 18
736	736	1 the requirements for approval under this chapter:
737	737	2 (1) Conform to all requirements of federal law, including
738	738	3 Class A Emissions Standards imposed under 47 CFR 15.
739	739	4 (2) Pay out a mathematically demonstrable percentage during
740	740	5 the service life of the terminal of at least eighty percent
741	741	6 (80%), but not more than ninety-five percent (95%).
742	742	7 (3) Use a random selection process to determine the outcome
743	743	8 of each play of a game.
744	744	9 (4) Use a random selection process that meets ninety-nine
745	745	10 percent (99%) confidence limits using a standard chi-square
746	746	11 test for goodness of fit.
747	747	12 (5) Display an accurate representation of the game outcome.
748	748	13 (6) Be capable of detecting and displaying the following
749	749	14 conditions during an idle state or on demand:
750	750	15 (A) Power reset.
751	751	16 (B) Door open.
752	752	17 (C) Door just closed.
753	753	18 (7) Be capable of displaying complete play history, including
754	754	19 outcome, intermediate play steps, credits available, bets
755	755	20 placed, credits paid, and credits cashed out, for the eleven (11)
756	756	21 games most recently played on the terminal.
757	757	22 (8) Allow for the replacement of parts or modules required
758	758	23 for normal maintenance without requiring the replacement of
759	759	24 the electromechanical meters.
760	760	25 (9) House in a locked area of the terminal meters that:
761	761	26 (A) are incapable of being reset; and
762	762	27 (B) keep a permanent record of the value of any electronic
763	763	28 card inserted into the terminal, all winnings made by the
764	764	29 terminal printer, credits played, and credits won by video
765	765	30 gaming players.
766	766	31 (10) Allow on demand display of the information recorded in
767	767	32 compliance with subdivision (9)(B).
768	768	33 (11) Use accounting software that keeps an electronic record
769	769	34 of at least the following information:
770	770	35 (A) The total value of all electronic cards inserted into the
771	771	36 terminal.
772	772	37 (B) The value of winning tickets claimed by players.
773	773	38 (C) The total credits played.
774	774	39 (D) The total credits awarded by the terminal.
775	775	40 (E) The payback percentage credited to the players of each
776	776	41 game.
777	777	42 (12) Link to a central communications system to provide
778	778	2025 IN 1672—LS 6296/DI 125 19
779	779	1 auditing program information required by the commission.
780	780	2 Sec. 4. The commission may not approve a video gaming
781	781	3 terminal:
782	782	4 (1) on which an automatic alteration of pay tables or any
783	783	5 function of the video gaming terminal through an internal
784	784	6 computation of hold percentage is possible;
785	785	7 (2) that is subject to any means of manipulation that affects
786	786	8 the random selection process or the probabilities of winning
787	787	9 a game; or
788	788	10 (3) that may be adversely affected by a static discharge or
789	789	11 other electromagnetic interference.
790	790	12 Sec. 5. The theoretical payback percentage of a video gaming
791	791	13 terminal may not be altered except by changing the hardware or
792	792	14 software of the video gaming terminal on site or through the
793	793	15 central communications system required by IC 4-39.5-9-5.
794	794	16 Sec. 6. The operator shall retain any electronically stored meter
795	795	17 information recorded in accordance with this chapter for at least
796	796	18 one hundred eighty (180) days after a loss of electric power to a
797	797	19 video gaming terminal in service at a licensed establishment.
798	798	20 Chapter 8. Video Gaming Terminal Installation Contract
799	799	21 Sec. 1. A video gaming terminal installation contract must
800	800	22 include the following terms and conditions:
801	801	23 (1) An affirmative statement that no inducement was offered
802	802	24 by the operator, the agent of the operator, or any other person
803	803	25 regarding the placement and operation of video gaming
804	804	26 terminals on the premises of the establishment.
805	805	27 (2) A provision prohibiting the operator from assigning the
806	806	28 contract to an unlicensed entity.
807	807	29 (3) A provision releasing the establishment from all
808	808	30 contractual obligations to the operator if the operator
809	809	31 surrenders its license, the license of the operator is revoked,
810	810	32 or the commission declines to renew the license of the
811	811	33 operator.
812	812	34 (4) A provision that indemnifies and holds harmless the state,
813	813	35 the commission, and any agent of the commission with respect
814	814	36 to a cause of action arising from the contract.
815	815	37 (5) A statement that the operator's obligation to place video
816	816	38 gaming terminals and the establishment's obligation to allow
817	817	39 the placement of video gaming terminals are both conditioned
818	818	40 upon the parties obtaining the necessary licenses to conduct
819	819	41 video gaming under this article.
820	820	42 Sec. 2. A video gaming terminal installation contract entered
821	821	2025 IN 1672—LS 6296/DI 125 20
822	822	1 into under this article must require the adjusted gross receipts
823	823	2 derived from video gaming to be allocated as follows:
824	824	3 (1) Thirty percent (30%) to the state in the form of taxes
825	825	4 remitted under IC 4-39.5-12.
826	826	5 (2) Thirty-five percent (35%) to the operator.
827	827	6 (3) Thirty-five percent (35%) to the establishment.
828	828	7 Chapter 9. Conduct of Video Gaming
829	829	8 Sec. 1. (a) In the case of an establishment licensed for the
830	830	9 consumption of alcoholic beverages on the premises of the
831	831	10 establishment, a video gaming terminal may be played only during
832	832	11 the period beginning one (1) hour before the lawful consumption
833	833	12 of alcoholic beverages begins in the establishment and ending one
834	834	13 (1) hour after the lawful consumption of alcoholic beverages ends
835	835	14 in the establishment.
836	836	15 (b) An establishment that violates this section is subject to:
837	837	16 (1) the suspension, termination, or revocation of the
838	838	17 establishment's license; or
839	839	18 (2) other disciplinary action as determined by the commission.
840	840	19 Sec. 2. An operator must own or lease each video gaming
841	841	20 terminal installed under this article. An operator is responsible for
842	842	21 maintaining each video gaming terminal owned or leased by the
843	843	22 operator. An operator shall ensure that each video gaming
844	844	23 terminal owned or leased by the operator is in compliance with this
845	845	24 article and the requirements of the commission.
846	846	25 Sec. 3. (a) An operator must maintain liability insurance on any
847	847	26 video gaming terminal or equipment placed or installed in an
848	848	27 establishment by the operator.
849	849	28 (b) An establishment must maintain liability insurance on any
850	850	29 video gaming terminal or equipment placed or installed in the
851	851	30 establishment under a video gaming terminal installation contract
852	852	31 under IC 4-39.5-8.
853	853	32 (c) The commission shall determine the minimum amount of
854	854	33 insurance required by this section.
855	855	34 Sec. 4. An establishment shall conspicuously display the
856	856	35 following information on a poster or placard in the public area of
857	857	36 the establishment in which video gaming is conducted:
858	858	37 (1) The telephone number of the toll free telephone line
859	859	38 described in IC 4-33-12-9(c).
860	860	39 (2) That the area is restricted to individuals who are at least
861	861	40 twenty-one (21) years of age.
862	862	41 (3) The telephone number of the operator.
863	863	42 Sec. 5. (a) An operator must ensure that each video gaming
864	864	2025 IN 1672—LS 6296/DI 125 21
865	865	1 terminal in Indiana is linked to a central communications system.
866	866	2 (b) The central communications system required by this section
867	867	3 must:
868	868	4 (1) have a game to system communication protocol;
869	869	5 (2) use a standard industry protocol approved by the
870	870	6 commission; and
871	871	7 (3) allow the commission or the operator to activate or
872	872	8 deactivate a particular video gaming terminal from a remote
873	873	9 location.
874	874	10 Sec. 6. An operator is liable for the video gaming wagering tax
875	875	11 imposed under IC 4-39.5-12.
876	876	12 Sec. 7. An operator shall display the odds of winning each game
877	877	13 on or near each video gaming terminal, including the manner in
878	878	14 which the odds are calculated.
879	879	15 Sec. 8. Each video gaming terminal in an establishment must be
880	880	16 installed in an area separated from the public spaces of the
881	881	17 establishment in which a minor may be present. The entrance to
882	882	18 the area must be within the view at all times of at least one (1)
883	883	19 employee who is at least twenty-one (21) years of age. An
884	884	20 establishment may comply with this section by erecting a physical
885	885	21 barrier to the video gaming area, including a partition, gate, or
886	886	22 rope that is secured to the floor or walls.
887	887	23 Sec. 9. A maximum of five (5) video gaming terminals may be
888	888	24 installed in a particular licensed establishment.
889	889	25 Sec. 10. The cost of a credit must be one (1) of the following
890	890	26 amounts:
891	891	27 (1) One cent ($0.01).
892	892	28 (2) Five cents ($0.05).
893	893	29 (3) Ten cents ($0.10).
894	894	30 (4) Twenty-five cents ($0.25).
895	895	31 Sec. 11. The maximum amount that a patron may wager on a
896	896	32 particular game on any individual hand on a video gaming
897	897	33 terminal is two dollars ($2).
898	898	34 Sec. 12. The maximum amount that a patron may win on any
899	899	35 individual hand on a video gaming terminal is five hundred
900	900	36 ninety-nine dollars ($599).
901	901	37 Sec. 13. A video gaming terminal may not directly dispense cash,
902	902	38 coins, or any article of exchange or value other than a payment
903	903	39 ticket.
904	904	40 Sec. 14. A patron must be able to obtain a payment ticket at the
905	905	41 end of the patron's play by pressing a ticket dispensing button on
906	906	42 the video gaming terminal.
907	907	2025 IN 1672—LS 6296/DI 125 22
908	908	1 Sec. 15. A payment ticket must include the following
909	909	2 information:
910	910	3 (1) The total amount of credits and the amount of the cash
911	911	4 award, if any, won by the patron.
912	912	5 (2) The date and time that the payment ticket is dispensed.
913	913	6 (3) The serial number of the video gaming terminal.
914	914	7 (4) The sequential number of the payment ticket.
915	915	8 (5) An encrypted validation number from which the validity
916	916	9 of the cash award, if any, may be determined.
917	917	10 (6) The one (1) year expiration date of the payment ticket.
918	918	11 Sec. 16. A patron may collect any cash award won on a video
919	919	12 gaming terminal by submitting the payment ticket into a payout
920	920	13 device located in the establishment.
921	921	14 Sec. 17. The following persons may not wager on a video gaming
922	922	15 terminal:
923	923	16 (1) An employee of the commission.
924	924	17 (2) A person less than twenty-one (21) years of age.
925	925	18 Sec. 18. (a) Except as provided in subsection (c), video gaming
926	926	19 may not be conducted at an establishment located within one
927	927	20 hundred (100) feet of a school or place of worship.
928	928	21 (b) Except as provided in subsection (c), video gaming may not
929	929	22 be conducted at an establishment located within one thousand
930	930	23 (1,000) feet of a riverboat regulated under IC 4-33 or a gambling
931	931	24 game facility regulated under IC 4-35.
932	932	25 (c) The prohibitions on video gaming near facilities described in
933	933	26 subsections (a) and (b) do not apply if a facility described in
934	934	27 subsection (a) or (b) is opened within the minimum distance of an
935	935	28 establishment after video gaming has commenced at the
936	936	29 establishment.
937	937	30 Chapter 10. Crimes and Penalties
938	938	31 Sec. 1. A person who knowingly or intentionally:
939	939	32 (1) makes a false statement on an application submitted under
940	940	33 this article;
941	941	34 (2) conducts video gaming in a manner other than the manner
942	942	35 required by this article; or
943	943	36 (3) permits a person less than twenty-one (21) years of age to
944	944	37 make a wager on a video gaming terminal;
945	945	38 commits a Class A misdemeanor.
946	946	39 Sec. 2. A licensee who knowingly or intentionally violates
947	947	40 IC 4-39.5-6-12 commits a Level 6 felony.
948	948	41 Sec. 3. The commission may impose a civil penalty of not more
949	949	42 than five thousand dollars ($5,000) upon a licensee that permits a
950	950	2025 IN 1672—LS 6296/DI 125 23
951	951	1 person barred from wagering under IC 4-39.5-9-17 to place a
952	952	2 wager on a video gaming terminal.
953	953	3 Chapter 11. Judicial Review
954	954	4 Sec. 1. Except as provided in this article, IC 4-21.5 applies to
955	955	5 actions of the commission.
956	956	6 Sec. 2. An appeal of a final rule or order of the commission
957	957	7 issued under this article may be commenced under IC 4-21.5 in the
958	958	8 circuit court of the county containing an affected licensed
959	959	9 establishment.
960	960	10 Sec. 3. (a) The commission may require a licensee to suspend
961	961	11 video gaming operations without notice or hearing if the
962	962	12 commission determines that the safety or health of patrons or
963	963	13 employees would be threatened by the continued operation of video
964	964	14 gaming in the licensed establishment.
965	965	15 (b) The suspension of video gaming operations under this
966	966	16 section may remain in effect until the commission determines that
967	967	17 the cause for suspension has been abated. The commission may
968	968	18 revoke a license issued under this article if the commission
969	969	19 determines that the licensee has not made satisfactory progress
970	970	20 toward abating the hazard.
971	971	21 Chapter 12. Video Gaming Wagering Tax
972	972	22 Sec. 1. A tax is imposed on the adjusted gross receipts from
973	973	23 video gaming authorized under this article at the rate of thirty
974	974	24 percent (30%). Each operator owning or leasing a video gaming
975	975	25 terminal on which video gaming is conducted is liable for the tax
976	976	26 imposed by this section.
977	977	27 Sec. 2. An operator shall remit an amount equal to the thirty
978	978	28 percent (30%) tax imposed by section 1 of this chapter to the
979	979	29 department before the fifteenth day of the calendar month
980	980	30 following the calendar month in which the adjusted gross receipts
981	981	31 are received by the operator. The operator shall divide the
982	982	32 remaining seventy percent (70%) of the adjusted gross receipts as
983	983	33 provided in IC 4-39.5-8-2(2) and IC 4-39.5-8-2(3).
984	984	34 Sec. 3. The operator shall submit the following information to
985	985	35 the department on a form prescribed by the department before the
986	986	36 fifteenth day of each month:
987	987	37 (1) The total amount of adjusted gross receipts received from
988	988	38 video gaming in the previous month.
989	989	39 (2) The total amount of gross receipts received from video
990	990	40 gaming in the previous month.
991	991	41 (3) The total amount of taxes remitted under section 2 of this
992	992	42 chapter.
993	993	2025 IN 1672—LS 6296/DI 125 24
994	994	1 (4) The information required by subdivisions (1) through (3)
995	995	2 for each licensed establishment conducting video gaming on
996	996	3 video gaming terminals owned or leased by the operator in
997	997	4 the previous month.
998	998	5 (5) The location of each establishment conducting video
999	999	6 gaming on video gaming terminals owned or leased by the
1000	1000	7 operator in the previous month, including whether the
1001	1001	8 establishment is located in an unincorporated area of a
1002	1002	9 county.
1003	1003	10 Sec. 4. The department shall require payment under this
1004	1004	11 chapter to be made by electronic funds transfer (as defined by
1005	1005	12 IC 4-8.1-2-7(f)).
1006	1006	13 Sec. 5. (a) Except as provided in subsection (b), the department
1007	1007	14 shall do the following with the tax revenue remitted to the
1008	1008	15 department each month under section 2 of this chapter:
1009	1009	16 (1) Set aside thirty-five percent (35%) of the tax revenue for
1010	1010	17 a quarterly allocation to the municipality where the licensed
1011	1011	18 establishment conducting video gaming on video gaming
1012	1012	19 terminals owned or leased by the operator that submitted the
1013	1013	20 taxes is located.
1014	1014	21 (2) Set aside thirty-five percent (35%) of the tax revenue for
1015	1015	22 a quarterly allocation to the county where the licensed
1016	1016	23 establishment conducting video gaming on video gaming
1017	1017	24 terminals owned or leased by the operator that submitted the
1018	1018	25 taxes is located.
1019	1019	26 (3) Deposit thirty percent (30%) of the tax revenue in the state
1020	1020	27 general fund.
1021	1021	28 (b) If tax revenue is collected from an operator that operates in
1022	1022	29 an unincorporated area of a county, the department shall do the
1023	1023	30 following with the tax revenue remitted to the department each
1024	1024	31 month under section 2 of this chapter:
1025	1025	32 (1) Set aside seventy percent (70%) of the tax revenue for a
1026	1026	33 quarterly allocation to the county where the licensed
1027	1027	34 establishment conducting video gaming on video gaming
1028	1028	35 terminals owned or leased by the operator that submitted the
1029	1029	36 taxes is located.
1030	1030	37 (2) Deposit thirty percent (30%) of the tax revenue in the state
1031	1031	38 general fund.
1032	1032	39 (c) A county may use the tax revenue received under this section
1033	1033	40 only for the following purposes:
1034	1034	41 (1) Mental health treatment for jail inmates.
1035	1035	42 (2) Addiction interventions for jail inmates.
1036	1036	2025 IN 1672—LS 6296/DI 125 25
1037	1037	1 (3) Contributions to the pension fund of the county's sheriff's
1038	1038	2 department.
1039	1039	3 (4) Training and equipment for the county's sheriff's
1040	1040	4 department.
1041	1041	5 (d) A municipality may use the tax revenue received under this
1042	1042	6 section only for the following purposes:
1043	1043	7 (1) Mental health treatment for jail inmates.
1044	1044	8 (2) Addiction interventions for jail inmates.
1045	1045	9 (3) Contributions to the 1977 police officers' and firefighters'
1046	1046	10 pension and disability fund established by IC 36-8-8-4.
1047	1047	11 (4) Training and equipment for the police department of the
1048	1048	12 municipality.
1049	1049	13 Chapter 13. License Fees
1050	1050	14 Sec. 1. The commission shall charge the following initial license
1051	1051	15 fees:
1052	1052	16 (1) Twenty-five thousand dollars ($25,000) for an initial
1053	1053	17 manufacturer license, an initial distributor license, or an
1054	1054	18 initial supplier license issued to a person residing or domiciled
1055	1055	19 in Indiana.
1056	1056	20 (2) Thirty-five thousand dollars ($35,000) for an initial
1057	1057	21 manufacturer license, an initial distributor license, or an
1058	1058	22 initial supplier license issued to a person residing or domiciled
1059	1059	23 in a state other than Indiana or a country other than the
1060	1060	24 United States.
1061	1061	25 (3) Fifteen thousand dollars ($15,000) for an initial operator
1062	1062	26 license issued to a person residing or domiciled in Indiana.
1063	1063	27 (4) Twenty-five thousand dollars ($25,000) for an initial
1064	1064	28 operator license issued to a person residing or domiciled in a
1065	1065	29 state other than Indiana or a country other than the United
1066	1066	30 States.
1067	1067	31 (5) Five hundred dollars ($500) for an initial establishment
1068	1068	32 license.
1069	1069	33 Sec. 2. (a) A person holding a distributor license, a
1070	1070	34 manufacturer license, or a supplier license shall pay an annual
1071	1071	35 license renewal fee of ten thousand dollars ($10,000).
1072	1072	36 (b) A person holding an operator license shall pay an annual
1073	1073	37 license renewal fee of five thousand dollars ($5,000).
1074	1074	38 (c) The commission shall charge each person holding an
1075	1075	39 establishment license the following annual license renewal fees:
1076	1076	40 (1) One hundred dollars ($100) for a licensed establishment
1077	1077	41 that had adjusted gross receipts of less than twenty-five
1078	1078	42 thousand dollars ($25,000) in the previous twelve (12)
1079	1079	2025 IN 1672—LS 6296/DI 125 26
1080	1080	1 calendar months.
1081	1081	2 (2) Two hundred fifty dollars ($250) for a licensed
1082	1082	3 establishment that had adjusted gross receipts of at least
1083	1083	4 twenty-five thousand dollars ($25,000) but less than fifty
1084	1084	5 thousand dollars ($50,000) in the previous twelve (12)
1085	1085	6 calendar months.
1086	1086	7 (3) Five hundred dollars ($500) for a licensed establishment
1087	1087	8 that had adjusted gross receipts of at least fifty thousand
1088	1088	9 dollars ($50,000) but less than one hundred thousand dollars
1089	1089	10 ($100,000) in the previous twelve (12) calendar months.
1090	1090	11 (4) One thousand dollars ($1,000) for a licensed establishment
1091	1091	12 that had adjusted gross receipts of at least one hundred
1092	1092	13 thousand dollars ($100,000) in the previous twelve (12)
1093	1093	14 calendar months.
1094	1094	15 Sec. 3. A licensee shall pay the annual license renewal fee due
1095	1095	16 under section 2 of this chapter on the first day of the calendar
1096	1096	17 month containing the anniversary date of the issuance of the
1097	1097	18 licensee's establishment license.
1098	1098	19 Sec. 4. The commission shall deposit the following into the state
1099	1099	20 general fund:
1100	1100	21 (1) All fees collected under this chapter.
1101	1101	22 (2) All application fees received under IC 4-39.5-5.
1102	1102	23 SECTION 3. IC 6-8.1-1-1, AS AMENDED BY P.L.1-2023,
1103	1103	24 SECTION 19, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
1104	1104	25 JULY 1, 2025]: Sec. 1. "Listed taxes" or "taxes" includes only the
1105	1105	26 pari-mutuel taxes (IC 4-31-9-3 through IC 4-31-9-5); the supplemental
1106	1106	27 wagering tax (IC 4-33-12); the riverboat wagering tax (IC 4-33-13); the
1107	1107	28 slot machine wagering tax (IC 4-35-8); the type II gambling game
1108	1108	29 excise tax (IC 4-36-9); the video gaming wagering tax (IC
1109	1109	30 4-39.5-12); the gross income tax (IC 6-2.1) (repealed); the utility
1110	1110	31 receipts and utility services use taxes (IC 6-2.3) (repealed); the state
1111	1111	32 gross retail and use taxes (IC 6-2.5); the adjusted gross income tax (IC
1112	1112	33 6-3); the pass through entity tax (IC 6-3-2.1); the supplemental net
1113	1113	34 income tax (IC 6-3-8) (repealed); the county adjusted gross income tax
1114	1114	35 (IC 6-3.5-1.1) (repealed); the county option income tax (IC 6-3.5-6)
1115	1115	36 (repealed); the county economic development income tax (IC 6-3.5-7)
1116	1116	37 (repealed); the local income tax (IC 6-3.6); the auto rental excise tax
1117	1117	38 (IC 6-6-9); the financial institutions tax (IC 6-5.5); the gasoline tax (IC
1118	1118	39 6-6-1.1); the special fuel tax (IC 6-6-2.5); the motor carrier fuel tax (IC
1119	1119	40 6-6-4.1); a motor fuel tax collected under a reciprocal agreement under
1120	1120	41 IC 6-8.1-3; the vehicle excise tax (IC 6-6-5); the aviation fuel excise
1121	1121	42 tax (IC 6-6-13); the commercial vehicle excise tax (IC 6-6-5.5); the
1122	1122	2025 IN 1672—LS 6296/DI 125 27
1123	1123	1 excise tax imposed on recreational vehicles and truck campers (IC
1124	1124	2 6-6-5.1); the hazardous waste disposal tax (IC 6-6-6.6) (repealed); the
1125	1125	3 heavy equipment rental excise tax (IC 6-6-15); the vehicle sharing
1126	1126	4 excise tax (IC 6-6-16); the cigarette tax (IC 6-7-1); the closed system
1127	1127	5 cartridge tax (IC 6-7-2-7.5); the electronic cigarette tax (IC 6-7-4); the
1128	1128	6 beer excise tax (IC 7.1-4-2); the liquor excise tax (IC 7.1-4-3); the wine
1129	1129	7 excise tax (IC 7.1-4-4); the hard cider excise tax (IC 7.1-4-4.5); the
1130	1130	8 petroleum severance tax (IC 6-8-1); the various innkeeper's taxes (IC
1131	1131	9 6-9); the various food and beverage taxes (IC 6-9); the county
1132	1132	10 admissions tax (IC 6-9-13 and IC 6-9-28); the oil inspection fee (IC
1133	1133	11 16-44-2); the penalties assessed for oversize vehicles (IC 9-20-3 and
1134	1134	12 IC 9-20-18); the fees and penalties assessed for overweight vehicles (IC
1135	1135	13 9-20-4 and IC 9-20-18); and any other tax or fee that the department is
1136	1136	14 required to collect or administer.
1137	1137	15 SECTION 4. IC 35-45-5-15 IS ADDED TO THE INDIANA CODE
1138	1138	16 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1139	1139	17 1, 2025]: Sec. 15. This chapter does not apply to video gaming
1140	1140	18 authorized by IC 4-39.5.
1141	1141	19 SECTION 5. IC 35-52-4-36 IS ADDED TO THE INDIANA CODE
1142	1142	20 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1143	1143	21 1, 2025]: Sec. 36. IC 4-39.5-10-1 defines a crime concerning video
1144	1144	22 gaming.
1145	1145	23 SECTION 6. IC 35-52-4-37 IS ADDED TO THE INDIANA CODE
1146	1146	24 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
1147	1147	25 1, 2025]: Sec. 37. IC 4-39.5-10-2 defines a crime concerning video
1148	1148	26 gaming.
1149	1149	2025 IN 1672—LS 6296/DI 125