| 12 | 13 | | A BILL TO BE ENTITLED 1 |
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| 13 | 14 | | AN ACT TO ELIMINATE THE AUTHORITY OF THE LOTTERY COMMISSION TO 2 |
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| 14 | 15 | | EXPEND LOTTERY REVENUES ON ADVERTISING EXPENSES AND TO REDIRECT 3 |
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| 15 | 16 | | MONIES INTENDED FOR ADVERTISING TOWARD FOSTER CARE PROGRAMS 4 |
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| 16 | 17 | | WITH THE DEPARTMENT OF HEALTH AND HUMAN SERVICES . 5 |
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| 17 | 18 | | The General Assembly of North Carolina enacts: 6 |
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| 18 | 19 | | SECTION 1.(a) G.S. 18C-114 reads as rewritten: 7 |
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| 19 | 20 | | "§ 18C-114. Powers and duties of the Commission. 8 |
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| 20 | 21 | | (a) The Commission shall have the following powers and duties: 9 |
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| 21 | 22 | | … 10 |
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| 22 | 23 | | (2) To prescribe the nature of lottery advertising to be conducted by lottery game 11 |
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| 23 | 24 | | retailers, which shall comply with the following: 12 |
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| 24 | 25 | | a. All advertising shall include resources for responsible gaming 13 |
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| 25 | 26 | | information. 14 |
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| 26 | 27 | | b. No advertising may intentionally target specific groups or economic 15 |
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| 27 | 28 | | classes. 16 |
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| 28 | 29 | | c. No advertising may be misleading, deceptive, or present any lottery 17 |
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| 29 | 30 | | game as a means of relieving any person's financial or personal 18 |
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| 30 | 31 | | difficulties. 19 |
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| 31 | 32 | | d. No advertising may have the primary purpose of inducing persons to 20 |
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| 32 | 33 | | participate in the Lottery. 21 |
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| 33 | 34 | | …." 22 |
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| 34 | 35 | | SECTION 1.(b) G.S. 18C-130 reads as rewritten: 23 |
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| 35 | 36 | | "§ 18C-130. Types of lottery games; lottery games and lottery advertising; certain 24 |
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| 36 | 37 | | disclosures and information to be provided. 25 |
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| 37 | 38 | | (a) The Commission shall determine the types of lottery games that may be used in the 26 |
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| 38 | 39 | | Lottery, which may include instant lottery games, online lottery games, lottery games played on 27 |
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| 39 | 40 | | computer terminals or other devices, and other lottery games traditional to a lottery or that have 28 |
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| 40 | 41 | | been conducted by any other state government-operated lottery. 29 |
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| 41 | 42 | | (b) In lottery games using tickets, each ticket in a particular game shall have printed on 30 |
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| 42 | 43 | | it a unique number distinguishing it from every other ticket in that lottery game and an 31 |
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| 43 | 44 | | abbreviated form of the game-play rules, including resources for responsible gaming information. 32 |
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| 44 | 45 | | In lottery games using tickets, each ticket may have printed on it a depiction of one or more 33 |
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| 45 | 46 | | cartoon characters, whose primary appeal is not to minors. In lottery games using tickets with 34 |
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| 48 | 53 | | No name or photograph of a current or former elected official shall appear on the tickets of any 1 |
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| 49 | 54 | | lottery game. 2 |
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| 50 | 55 | | (c) In lottery games using electronic computer terminals or other devices to play the 3 |
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| 51 | 56 | | lottery games, no coins, currency, or redemption ticket shall be dispensed to players from those 4 |
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| 52 | 57 | | electronic computer terminals or devices. 5 |
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| 53 | 58 | | (d) No lottery games shall be based on the outcome of a particular sporting event or on 6 |
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| 54 | 59 | | the results of a series of sporting events. Sports wagers shall be governed by Article 9 of this 7 |
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| 55 | 60 | | Chapter. 8 |
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| 56 | 61 | | (e) Lottery The Commission shall ensure that advertising shall be by lottery game 9 |
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| 57 | 62 | | retailers is tastefully designed and presented in a manner to minimize the appeal of lottery games 10 |
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| 58 | 63 | | to minors. The use of cartoon characters or of false, misleading, or deceptive information in 11 |
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| 59 | 64 | | lottery advertising is prohibited. All advertising promoting the sale of lottery tickets or shares for 12 |
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| 60 | 65 | | a particular game shall include the actual or estimated overall odds of winning the game. Nothing 13 |
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| 61 | 66 | | in this subsection shall be deemed to authorize the Commission to expend public funds on lottery 14 |
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| 62 | 67 | | advertising. 15 |
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| 63 | 68 | | (f) The Commission shall make available a detailed tabulation of the estimated number 16 |
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| 64 | 69 | | of prizes of each particular prize denomination that are expected to be awarded in each lottery 17 |
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| 65 | 70 | | game or the estimated odds of winning these prizes at the time that lottery game is offered for 18 |
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| 66 | 71 | | sale to the public. 19 |
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| 67 | 72 | | (g) The Commission shall, in consultation with the Department of Health and Human 20 |
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| 68 | 73 | | Services, develop and provide information to the public about gambling addiction and treatment." 21 |
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| 69 | 74 | | SECTION 1.(c) G.S. 18C-163 reads as rewritten: 22 |
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| 70 | 75 | | "§ 18C-163. Expenses of the Lottery. 23 |
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| 71 | 76 | | (a) Expenses of the Lottery may include any of the following: 24 |
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| 72 | 77 | | (1) The costs incurred in operating and administering the Commission, including 25 |
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| 73 | 78 | | initial start-up costs. 26 |
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| 74 | 79 | | (2) The costs resulting from any contracts entered into for the purchase or lease 27 |
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| 75 | 80 | | of goods or services required by the Commission. 28 |
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| 76 | 81 | | (3) A transfer of one thirty-one million dollars ($1,000,000) ($31,000,000) 29 |
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| 77 | 82 | | annually to the Department of Health and Human Services for to be used as 30 |
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| 78 | 83 | | follows: 31 |
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| 79 | 84 | | a. One million dollars ($1,000,000) for gambling addiction education 32 |
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| 80 | 85 | | and treatment programs. 33 |
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| 81 | 86 | | b. Thirty million dollars ($30,000,000) for foster care programs. 34 |
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| 82 | 87 | | (4) The costs of supplies, materials, tickets, independent studies and audits, data 35 |
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| 83 | 88 | | transmission, advertising, promotion, incentives, public relations, 36 |
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| 84 | 89 | | communications, bonding for lottery game retailers, printing, and distribution 37 |
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| 85 | 90 | | of tickets and shares. 38 |
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| 86 | 91 | | (5) The costs of reimbursing other governmental entities for services provided to 39 |
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| 87 | 92 | | the Commission. 40 |
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| 88 | 93 | | (6) The costs for any other goods and services needed to accomplish the purposes 41 |
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| 89 | 94 | | of this Chapter. 42 |
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| 90 | 95 | | (b) Expenses of the lottery shall also include all of the following: 43 |
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| 91 | 96 | | (1) A a transfer of two million one hundred thousand dollars ($2,100,000) 44 |
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| 92 | 97 | | annually to the Department of Public Safety, Alcohol Law Enforcement 45 |
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| 93 | 98 | | Division, for gambling enforcement activities. 46 |
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| 94 | 99 | | (2) Advertising costs." 47 |
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| 95 | 100 | | SECTION 2. This act becomes effective July 1, 2025. 48 |
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