HLS 25RS-814 ORIGINAL 2025 Regular Session HOUSE BILL NO. 540 BY REPRESENTATIVE FONTENOT Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana. GAMBLING/VIDEO POKER: Provides relative to video poker 1 AN ACT 2To amend and reenact R.S. 27:412(B)(1) and (2), 413(A) and (B), 414(introductory 3 paragraph), 416(A), (C)(2)(a) through (c) and (3)(b) and 435(D)(4) and to enact R.S. 4 27:415(C) through (G), relative to video draw poker machines; to change the number 5 of video draw poker machines permissible in certain businesses; to provide for 6 criteria to qualify for additional video draw poker machines; to provide definitions; 7 to provide for areas in which video draw poker machines shall be prohibited; to 8 provide for an effective date; and to provide for related matters. 9Be it enacted by the Legislature of Louisiana: 10 Section 1. R.S. 27:412(B)(1) and (2), 413(A) and (B), 414(introductory paragraph), 11416(A), (C)(2)(a) through (c) and (3)(b) and 435(D)(4) are hereby amended and reenacted 12and R.S. 27:415(C) through (G) are hereby enacted to read as follows: 13 §412. State license qualifications; types of licenses 14 * * * 15 B. The three categories of licenses which may be issued to qualified 16 establishments for the operation of video draw poker devices are as follows: 17 (1) A license to operate a maximum of three four video draw poker devices 18 at establishments licensed to sell alcoholic beverages for consumption on the 19 premises of the establishment as provided for in R.S. 27:413. Page 1 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 25RS-814 ORIGINAL HB NO. 540 1 (2) A license to operate a maximum of fifty sixty video draw poker devices 2 at qualified truck stop facilities as provided for in R.S. 27:416. 3 * * * 4 §413. Licenses to operate video draw poker devices at certain alcoholic beverage 5 facilities; multiple facilities 6 A. A person who has been granted a Class A-General retail permit or a Class 7 A-Restaurant permit, as defined in Part II of Chapter 1 or Part II of Chapter 2 of Title 8 26 of the Louisiana Revised Statutes of 1950, to sell alcoholic beverages for 9 consumption on the premises of a restaurant, bar, tavern, cocktail lounge, or club 10 only, or such an establishment located within a motel or hotel may be granted a 11 license for the placement of not more than three four video draw poker devices in his 12 licensed establishment. To qualify to receive a fourth video draw poker device, the 13 licensee shall maintain a net device revenue of at least fifty thousand dollars for the 14 location for the calendar quarter. If that licensee fails to maintain a net device 15 revenue of fifty thousand dollars for four consecutive quarters, the office of state 16 police, gaming enforcement section shall remove the fourth video draw poker device 17 from that licensed location. 18 B. A person who is the owner of more than one restaurant, bar, tavern, 19 cocktail lounge, or club which is located within a single building or structure, and 20 who has been granted a Class A-General retail permit or a Class A-Restaurant 21 permit, as defined in Part II of Chapter 1 or Part II of Chapter 2 of Title 26 of the 22 Louisiana Revised Statutes of 1950, to sell alcoholic beverages for consumption on 23 the premises of each such facility, may make available for play not more than three 24 four video draw poker devices at each separate facility, not to exceed a total of nine 25 video draw poker devices for the single building or structure, if that person and each 26 facility complies with all other requirements of this Chapter and of the administrative 27 rules that are applicable to the operation of video draw poker devices. The limitation 28 on the number of facilities contained in this Subsection shall not apply to any person 29 or entity who owns and operates multiple facilities which are located in a publicly Page 2 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 25RS-814 ORIGINAL HB NO. 540 1 owned and operated transportation facility offering any transportation to interstate 2 and international destinations. 3 * * * 4 §414. Hotel and motel facilities; criteria 5 A licensee owning or leasing a licensed establishment which is a hotel or 6 motel which has more than one lounge or facility and which has a Class A-General 7 retail permit or a Class A-Restaurant permit, as defined in Part II of Chapter 1 or Part 8 II of Chapter 2 of Title 26 of the Louisiana Revised Statutes of 1950, to sell alcoholic 9 beverages for on-premises consumption on a single licensed premises may make 10 available for play not more than three four video draw poker devices at each lounge 11 or separate facility, not to exceed a total of twelve thirteen video draw poker devices 12 for the hotel or motel, if all other requirements of this Chapter are met. Each 13 separate lounge or facility shall meet the following criteria: 14 * * * 15 §415. Pari-mutuel wagering facility or offtrack wagering facility; no minimum 16 wager; location 17 * * * 18 C. No license shall be granted to any offtrack wagering facility located, at 19 the time application is made for a license to operate video draw poker devices, within 20 one mile from any property on the National Register of Historic Places, any public 21 playground, any residential property, or a building used primarily as a church, 22 synagogue, public library, or school. The measurement of the distance shall be a 23 straight line from the nearest point of the offtrack wagering facility to the nearest 24 point of the property on the National Register of Historic Places, the public 25 playground, residential property, or building used primarily as a church, synagogue, 26 public library, or school. 27 D. After an application is filed with the division, the subsequent 28 construction, erection, development, or movement of a property identified in 29 Subsection C of this Section which causes the location of an offtrack wagering Page 3 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 25RS-814 ORIGINAL HB NO. 540 1 facility to be within the prohibited distance shall not be cause for denial of an initial 2 or renewal application or revocation of a license. 3 E. If a parish or municipality does not have a zoning ordinance which 4 designates certain property within their jurisdiction as residential property, the 5 governing authority of the parish or municipality shall have the authority to 6 designate certain areas of their jurisdiction as residential districts for the purposes of 7 this Section. 8 F. The prohibition provided for in Subsection C of this Section shall not 9 apply to any offtrack wagering facility that is both licensed and operating on January 10 1, 2025. If application for licensing is made after January 1, 2025, the prohibition 11 in Subsection C of this Section shall apply. 12 G. For the purposes of this Section, "residential property" means any 13 property which is wholly or partly used for or intended to be used for living or 14 sleeping by human occupants and which includes one or more rooms, including a 15 bathroom and complete kitchen facilities. Residential property shall include a 16 mobile home or manufactured housing, provided that it shall have been in its present 17 location for at least sixty days. Residential property shall not include any hotel or 18 motel. 19 §416. Qualified truck stop facilities; number of devices; fuel sales 20 A. A person owning or leasing a qualified truck stop facility may be granted 21 a license for the placement of not more than fifty sixty video draw poker devices in 22 his facility based on the fuel sales as provided in Subsection C of this Section, in an 23 area separated for adult patronage only, if all other requirements of this Chapter are 24 met. There shall be only one license granted for the operation of video draw poker 25 devices at each qualified truck stop facility. 26 * * * 27 C. 28 * * * Page 4 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 25RS-814 ORIGINAL HB NO. 540 1 (2) Except as provided in R.S. 27:421 and Paragraph (3) of this Subsection, 2 the number of video draw poker devices placed at a qualified truck stop facility shall 3 be based on the average monthly fuel sales calculated quarterly, using four sets of 4 three calendar months, for the first year of operation and thereafter shall be based 5 upon the average monthly fuel sales calculated annually, using a calendar year, as 6 follows: 7 (a) One hundred thousand gallons of fuel - not more than fifty sixty devices. 8 (b) Seventy-five thousand gallons of fuel - not more than forty forty-eight 9 devices. 10 (c) Fifty thousand gallons of fuel - not more than thirty-five forty-two 11 devices. 12 * * * 13 (3) 14 * * * 15 (b) After ten years of operation as a qualified truck stop facility, the facility 16 shall thereafter be permitted to retain the number of devices for which the facility 17 qualified in the prior calendar year of operation, not to exceed forty forty-eight 18 devices, if the facility meets a minimum fuel sales requirement of not less than thirty 19 thousand gallons per month. However, such qualified truck stop facility shall be 20 required to comply with the provisions of Paragraph (1) of this Subsection. Any 21 qualified truck stop facility that has met the provisions of this Paragraph on 22 December 1, 2025, and has been granted the right to operate up to forty devices shall 23 now qualify for the additional number of devices authorized by this Paragraph. 24 * * * 25 §435. Licensing by division; fees; franchise payments; enforcement activities 26 * * * 27 D.(1) Each device owner shall remit to the division a franchise payment, in 28 an amount equal to a percentage of the net device revenue derived from the operation 29 of each video draw poker device owned by him. The amount of the percentage shall Page 5 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 25RS-814 ORIGINAL HB NO. 540 1 be based on the type of licensed establishment authorized by the division for the 2 placement of video draw poker devices, as follows: 3 * * * 4 (4)(a) Of the amount attributable to the payment of franchise fees as required 5 in this Section, an amount equal to the avails of one-half of one percent of the 6 franchise fee rate shall be allocated as provided in R.S. 27:437 and appropriated by 7 the legislature as provided in R.S. 27:439. 8 (b) Of the amount attributable to payment of franchise fees as required in this 9 Section, for additional video draw poker devices authorized pursuant to the 10 provisions of this Act an amount equal to the avails of one-half of one percent of the 11 franchise fee rate shall be allocated as provided in R.S. 27:437 and appropriated by 12 the legislature as provided in R.S. 27:439. 13 Section 2. This Act shall become effective upon signature by the governor or, if not 14signed by the governor, upon expiration of the time for bills to become law without signature 15by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If 16vetoed by the governor and subsequently approved by the legislature, this Act shall become 17effective on the day following such approval. DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] HB 540 Original 2025 Regular Session Fontenot Abstract: Provides relative to the number of video draw poker devices certain businesses may operate and to areas where video draw poker devices may not be granted. Proposed law increases the number of video draw poker devices permitted at certain alcoholic beverage facilities from three to four and provides criteria to qualify for additional video draw poker devices. Proposed law increases the number of video draw poker devices permitted at truck stops from 50 to 60. Proposed law increases the number of video draw poker devices permitted at hotels and motels from three to four for individual lounges and from 12 to 13 for the hotel or motel. Proposed law provides that offtrack wagering facilities shall not be granted a license to operate video draw poker devices within one mile of any property on the National Register Page 6 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 25RS-814 ORIGINAL HB NO. 540 of Historic Places, any public playground, any residential property, or a building used primarily as a church, synagogue, public library, or school. Proposed law provides for the designation of residential districts for the purposes of proposed law. Proposed law provides relative to franchise fee rates and appropriation for revenue generated by video draw poker devices. Effective upon signature of governor or lapse of time for gubernatorial action. (Amends R.S. 27:412(B)(1) and (2), 413(A) and (B), 414(intro. para.), 416(A), (C)(2)(a)- (c) and (3)(b) and 435(D)(4); Adds R.S. 27:415(C)-(G)) Page 7 of 7 CODING: Words in struck through type are deletions from existing law; words underscored are additions.