Maryland 2022 Regular Session

Maryland Senate Bill SB796 Compare Versions

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33 EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
44 [Brackets] indicate matter deleted from existing law.
5- Underlining indicates amendments to bill.
6- Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7-amendment.
85 *sb0796*
96
107 SENATE BILL 796
118 C7 2lr1415
12- CF HB 1315
9+
1310 By: Senator Guzzone
1411 Introduced and read first time: February 7, 2022
1512 Assigned to: Budget and Taxation
16-Committee Report: Favorable
17-Senate action: Adopted
18-Read second time: March 11, 2022
1913
20-CHAPTER ______
14+A BILL ENTITLED
2115
2216 AN ACT concerning 1
2317
2418 Instant Ticket Lottery Machines – Veterans’ Organizations – Repeal of the 2
2519 Pre–Printed Ticket Requirement 3
2620
2721 FOR the purpose of altering a requirement that the State Lottery and Gaming Control 4
2822 Agency ensure that certain instant ticket lottery machines operate in a certain 5
2923 manner; and generally relating to instant ticket lottery machines. 6
3024
3125 BY repealing and reenacting, with amendments, 7
3226 Article – State Government 8
3327 Section 9–112 9
3428 Annotated Code of Maryland 10
3529 (2021 Replacement Volume) 11
3630
3731 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 12
3832 That the Laws of Maryland read as follows: 13
3933
4034 Article – State Government 14
4135
4236 9–112. 15
4337
4438 (a) In this section, “veterans’ organization” means an organization that is tax 16
4539 exempt and organized as a veterans’ organization under § 501(c)(19) or § 501(c)(4) of the 17
4640 Internal Revenue Code. 18
47- 2 SENATE BILL 796
41+
42+ (b) Except as provided in subsection (d) of this section, in accordance with the 19
43+regulations of the Agency and this subtitle, the Director shall issue licenses to the persons 20
44+and governmental units that will best serve the public convenience and promote the sale of 21
45+State lottery tickets or shares. 22
46+
47+ (c) Before issuing a license to an applicant, the Director shall consider such 23
48+factors as: 24 2 SENATE BILL 796
4849
4950
50- (b) Except as provided in subsection (d) of this section, in accordance with the 1
51-regulations of the Agency and this subtitle, the Director shall issue licenses to the persons 2
52-and governmental units that will best serve the public convenience and promote the sale of 3
53-State lottery tickets or shares. 4
5451
55- (c) Before issuing a license to an applicant, the Director shall consider such 5
56-factors as: 6
52+ (1) the financial responsibility and security of the applicant and the 1
53+business or activity of the applicant; 2
5754
58- (1) the financial responsibility and security of the applicant and the 7
59-business or activity of the applicant; 8
55+ (2) the accessibility of the place of business or activity to the public; 3
6056
61- (2) the accessibility of the place of business or activity to the public; 9
57+ (3) the sufficiency of existing licenses to serve the public convenience; and 4
6258
63- (3) the sufficiency of existing licenses to serve the public convenience; and 10
59+ (4) the volume of expected sales. 5
6460
65- (4) the volume of expected sales. 11
61+ (d) (1) This subsection does not apply in: 6
6662
67- (d) (1) This subsection does not apply in: 12
63+ (i) Caroline County; 7
6864
69- (i) Caroline County; 13
65+ (ii) Cecil County; 8
7066
71- (ii) Cecil County; 14
67+ (iii) Dorchester County; 9
7268
73- (iii) Dorchester County; 15
69+ (iv) Kent County; 10
7470
75- (iv) Kent County; 16
71+ (v) Queen Anne’s County; 11
7672
77- (v) Queen Anne’s County; 17
73+ (vi) Somerset County; 12
7874
79- (vi) Somerset County; 18
75+ (vii) Talbot County; 13
8076
81- (vii) Talbot County; 19
77+ (viii) Wicomico County; and 14
8278
83- (viii) Wicomico County; and 20
79+ (ix) Worcester County. 15
8480
85- (ix) Worcester County. 21
81+ (2) (i) Subject to subparagraph (ii) of this paragraph, the Director may 16
82+issue a license under this subtitle for not more than five instant ticket lottery machines to 17
83+an applicant that is a veterans’ organization. 18
8684
87- (2) (i) Subject to subparagraph (ii) of this paragraph, the Director may 22
88-issue a license under this subtitle for not more than five instant ticket lottery machines to 23
89-an applicant that is a veterans’ organization. 24
85+ (ii) A veterans’ organization that is issued a license under this 19
86+subsection shall locate and operate its instant ticket lottery machines at its principal 20
87+meeting hall in the county in which the veterans’ organization is located. 21
9088
91- (ii) A veterans’ organization that is issued a license under this 25
92-subsection shall locate and operate its instant ticket lottery machines at its principal 26
93-meeting hall in the county in which the veterans’ organization is located. 27
89+ (3) After deduction of any commission and validation prize payout as 22
90+provided under § 9–117 of this subtitle, a veterans’ organization issued a license under this 23
91+subsection shall credit the remaining receipts from the sale of tickets from instant ticket 24
92+lottery machines to the State Lottery Fund established under § 9–118 of this subtitle. 25
9493
95- (3) After deduction of any commission and validation prize payout as 28
96-provided under § 9–117 of this subtitle, a veterans’ organization issued a license under this 29 SENATE BILL 796 3
94+ (4) (i) Subject to subparagraph (ii) of this paragraph, a veterans’ 26
95+organization issued a license under this subsection shall purchase or lease the instant 27
96+ticket lottery machines to be used by the veterans’ organization. 28
97+ SENATE BILL 796 3
9798
9899
99-subsection shall credit the remaining receipts from the sale of tickets from instant ticket 1
100-lottery machines to the State Lottery Fund established under § 9–118 of this subtitle. 2
100+ (ii) An organization may not use receipts from the sale of tickets 1
101+from instant ticket lottery machines that would otherwise be credited to the State Lottery 2
102+Fund for the costs of purchasing or leasing instant ticket lottery machines. 3
101103
102- (4) (i) Subject to subparagraph (ii) of this paragraph, a veterans’ 3
103-organization issued a license under this subsection shall purchase or lease the instant 4
104-ticket lottery machines to be used by the veterans’ organization. 5
104+ (5) The Director may adopt regulations to implement the provisions of this 4
105+subsection that include restricting the location of instant ticket lottery machines in areas 5
106+of a veterans’ organization’s public meeting hall that is accessible to the public. 6
105107
106- (ii) An organization may not use receipts from the sale of tickets 6
107-from instant ticket lottery machines that would otherwise be credited to the State Lottery 7
108-Fund for the costs of purchasing or leasing instant ticket lottery machines. 8
108+ [(6) The Agency shall ensure that the element of chance in the conduct of 7
109+the gaming through the instant ticket lottery machines established under this subsection 8
110+is consistent with the holding in the case of Chesapeake Amusements Inc. v. Riddle, 363 9
111+Md. 16 (2001), in that the element of chance must be wholly within the pre–printed instant 10
112+lottery ticket, and that player enhancements in an instant ticket lottery machine may not 11
113+affect the element of chance being wholly within the pre–printed instant lottery ticket.] 12
109114
110- (5) The Director may adopt regulations to implement the provisions of this 9
111-subsection that include restricting the location of instant ticket lottery machines in areas 10
112-of a veterans’ organization’s public meeting hall that is accessible to the public. 11
115+ (6) THE AGENCY SHALL ENSURE T HAT THE INSTANT TICK ET 13
116+LOTTERY MACHINES AUTHORIZED UNDER THI S SUBSECTION OPERATE IN THE SAME 14
117+MANNER AS THE ELECTRONIC INSTA NT BINGO MACHINES AL LOWED UNDER § 12–308 15
118+OF THE CRIMINAL LAW ARTICLE. 16
113119
114- [(6) The Agency shall ensure that the element of chance in the conduct of 12
115-the gaming through the instant ticket lottery machines established under this subsection 13
116-is consistent with the holding in the case of Chesapeake Amusements Inc. v. Riddle, 363 14
117-Md. 16 (2001), in that the element of chance must be wholly within the pre–printed instant 15
118-lottery ticket, and that player enhancements in an instant ticket lottery machine may not 16
119-affect the element of chance being wholly within the pre–printed instant lottery ticket.] 17
120+ (e) The Director may not issue a license to: 17
120121
121- (6) THE AGENCY SHALL ENSURE T HAT THE INSTANT TICK ET 18
122-LOTTERY MACHINES AUTHORIZED UNDER THI S SUBSECTION OPERATE IN THE SAME 19
123-MANNER AS THE ELECTRONIC INSTA NT BINGO MACHINES AL LOWED UNDER § 12–308 20
124-OF THE CRIMINAL LAW ARTICLE. 21
122+ (1) a person or governmental unit to engage in business primarily as a 18
123+licensed agent; or 19
125124
126- (e) The Director may not issue a license to: 22
125+ (2) an individual who is under the age of 21 years. 20
127126
128- (1) a person or governmental unit to engage in business primarily as a 23
129-licensed agent; or 24
127+ (f) The Commission may hear and decide an appeal of a denial of a license. 21
130128
131- (2) an individual who is under the age of 21 years. 25
132-
133- (f) The Commission may hear and decide an appeal of a denial of a license. 26
134-
135- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 27
136-1, 2022. 28
129+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 22
130+1, 2022. 23