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1 | 1 | ||
2 | 2 | ||
3 | 3 | EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. | |
4 | 4 | [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. | |
8 | 5 | *sb0796* | |
9 | 6 | ||
10 | 7 | SENATE BILL 796 | |
11 | 8 | C7 2lr1415 | |
12 | - | | |
9 | + | ||
13 | 10 | By: Senator Guzzone | |
14 | 11 | Introduced and read first time: February 7, 2022 | |
15 | 12 | Assigned to: Budget and Taxation | |
16 | - | Committee Report: Favorable | |
17 | - | Senate action: Adopted | |
18 | - | Read second time: March 11, 2022 | |
19 | 13 | ||
20 | - | ||
14 | + | A BILL ENTITLED | |
21 | 15 | ||
22 | 16 | AN ACT concerning 1 | |
23 | 17 | ||
24 | 18 | Instant Ticket Lottery Machines – Veterans’ Organizations – Repeal of the 2 | |
25 | 19 | Pre–Printed Ticket Requirement 3 | |
26 | 20 | ||
27 | 21 | FOR the purpose of altering a requirement that the State Lottery and Gaming Control 4 | |
28 | 22 | Agency ensure that certain instant ticket lottery machines operate in a certain 5 | |
29 | 23 | manner; and generally relating to instant ticket lottery machines. 6 | |
30 | 24 | ||
31 | 25 | BY repealing and reenacting, with amendments, 7 | |
32 | 26 | Article – State Government 8 | |
33 | 27 | Section 9–112 9 | |
34 | 28 | Annotated Code of Maryland 10 | |
35 | 29 | (2021 Replacement Volume) 11 | |
36 | 30 | ||
37 | 31 | SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 12 | |
38 | 32 | That the Laws of Maryland read as follows: 13 | |
39 | 33 | ||
40 | 34 | Article – State Government 14 | |
41 | 35 | ||
42 | 36 | 9–112. 15 | |
43 | 37 | ||
44 | 38 | (a) In this section, “veterans’ organization” means an organization that is tax 16 | |
45 | 39 | exempt and organized as a veterans’ organization under § 501(c)(19) or § 501(c)(4) of the 17 | |
46 | 40 | 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 | |
48 | 49 | ||
49 | 50 | ||
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 | |
54 | 51 | ||
55 | - | ( | |
56 | - | ||
52 | + | (1) the financial responsibility and security of the applicant and the 1 | |
53 | + | business or activity of the applicant; 2 | |
57 | 54 | ||
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 | |
60 | 56 | ||
61 | - | ( | |
57 | + | (3) the sufficiency of existing licenses to serve the public convenience; and 4 | |
62 | 58 | ||
63 | - | ( | |
59 | + | (4) the volume of expected sales. 5 | |
64 | 60 | ||
65 | - | ( | |
61 | + | (d) (1) This subsection does not apply in: 6 | |
66 | 62 | ||
67 | - | ( | |
63 | + | (i) Caroline County; 7 | |
68 | 64 | ||
69 | - | ( | |
65 | + | (ii) Cecil County; 8 | |
70 | 66 | ||
71 | - | ( | |
67 | + | (iii) Dorchester County; 9 | |
72 | 68 | ||
73 | - | ( | |
69 | + | (iv) Kent County; 10 | |
74 | 70 | ||
75 | - | ( | |
71 | + | (v) Queen Anne’s County; 11 | |
76 | 72 | ||
77 | - | ( | |
73 | + | (vi) Somerset County; 12 | |
78 | 74 | ||
79 | - | ( | |
75 | + | (vii) Talbot County; 13 | |
80 | 76 | ||
81 | - | ( | |
77 | + | (viii) Wicomico County; and 14 | |
82 | 78 | ||
83 | - | ( | |
79 | + | (ix) Worcester County. 15 | |
84 | 80 | ||
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 | |
86 | 84 | ||
87 | - | ||
88 | - | ||
89 | - | ||
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 | |
90 | 88 | ||
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 | |
94 | 93 | ||
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 | |
97 | 98 | ||
98 | 99 | ||
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 | |
101 | 103 | ||
102 | - | ( | |
103 | - | ||
104 | - | ||
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 | |
105 | 107 | ||
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 | |
109 | 114 | ||
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 | |
113 | 119 | ||
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 | |
120 | 121 | ||
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 | |
125 | 124 | ||
126 | - | ( | |
125 | + | (2) an individual who is under the age of 21 years. 20 | |
127 | 126 | ||
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 | |
130 | 128 | ||
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 |