Texas 2013 - 83rd Regular

Texas Senate Bill SJR64 Latest Draft

Bill / Introduced Version

Download
.pdf .doc .html
                            By: Carona S.J.R. No. 64


 SENATE JOINT RESOLUTION
 proposing a constitutional amendment providing immediate
 additional revenue for the state budget by creating the Texas
 Gaming Commission, and authorizing and regulating the operation of
 casino games and slot machines by a limited number of licensed
 operators and certain Indian tribes.
 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Section 47(a), Article III, Texas Constitution,
 is amended to read as follows:
 (a)  The Legislature shall pass laws prohibiting lotteries
 and gift enterprises in this State other than those authorized by
 Subsections (b), (d), and (e) of this section and Sections 47a and
 47b of this article.
 SECTION 2.  Article III, Texas Constitution, is amended by
 adding Section 47a to read as follows:
 Sec. 47a.  (a) Casino gaming and slot gaming are authorized
 in this state in accordance with this section to provide additional
 money for the property tax relief fund and additional financial aid
 for higher education students.
 (b)  The Texas Gaming Commission is established. The
 commission is composed of five members appointed by the governor
 with the advice and consent of the senate. Commission members serve
 staggered six-year terms, with one or two members' terms, as
 applicable, expiring February 1 of each odd-numbered year. The
 governor shall fill a vacancy in a position on the commission for
 the remainder of the unexpired term. The governor shall designate a
 commission member as presiding officer of the commission to serve
 in that capacity at the pleasure of the governor.
 (c)  To be eligible for appointment to the commission, a
 person:
 (1)  must be a citizen of the United States;
 (2)  must have resided in this state for the two years
 preceding the date of the person's appointment;
 (3)  may not own a financial or other interest in an
 entity engaged in the conduct of casino or slot gaming or the
 provision of casino or slot services, or in a security issued by
 such an entity, or be related within the second degree by affinity
 or the third degree by consanguinity as determined by general law to
 an individual who owns such a financial or other interest or
 security;
 (4)  may not be an applicant for or holder of a license
 or other affirmative regulatory approval under a law administered
 by the commission; and
 (5)  may not be a member of the governing body of a
 political subdivision of this state.
 (d)  The Texas Gaming Commission has broad authority and
 shall exercise strict control and close supervision over all
 activities related to casino and slot gaming authorized and
 conducted in this state under this section or another law
 administered by the commission.
 (e)  The Texas Gaming Commission shall appoint an executive
 director and other necessary personnel and adopt rules the
 commission considers necessary or desirable for the public interest
 in carrying out the policy and provisions of this section and the
 other laws administered by the commission, including rules on:
 (1)  licensing and regulating casino owners, slot
 establishment owners, gaming managers, gaming employees, and
 manufacturers and distributors of gaming equipment, including the
 qualifications, definitions, terms, and fees for licenses;
 (2)  criteria for awarding, denying, revoking, and
 suspending licenses;
 (3)  exclusion of persons and age requirements;
 (4)  procedures for conducting investigations,
 inspections, criminal background investigations, audits, complaint
 investigations, and disciplinary hearings;
 (5)  reporting and internal control requirements for
 license holders;
 (6)  consequences of criminal convictions of license
 holders or applicants;
 (7)  enforcement provisions, including disciplinary
 actions and penalties, and security requirements;
 (8)  prize payment and redemption;
 (9)  regulating the operations of casinos and slot
 establishments;
 (10)   standards for gaming equipment; and
 (11)  certifying independents testing laboratories to
 scientifically test and technically evaluate slot machines,
 electronic tables games, slot accounting systems and other
 electronic gaming equipment as determined by the commission for
 compliance with the laws of the State of Texas and the rules of the
 commission. The gaming equipment manufacturers shall be
 responsible for the payment of all costs related to testing and
 technical evaluations. The independent testing laboratory must be
 accredited by an international accreditation body approved by the
 commission to demonstrate that it is competent and qualified to
 scientifically test and evaluate electronic gaming equipment. An
 independent testing laboratory shall not be owned or controlled by
 an electronic gaming equipment vendor, manufacturer or retailer.
 (f)  The Texas Gaming Commission shall:
 (1)  issue nine licenses to operate casinos or slot
 establishments to persons who are licensed to conduct pari-mutuel
 wagering on horse or greyhound races in the county for which the
 applicants were licensed to conduct pari-mutuel wagering on horse
 or greyhound races as of January 1, 2013 and who comply with
 requirements of this section and commission rule;
 (2)  issue three licenses to conduct casino gaming in
 this state to persons who are licensed to conduct pari-mutuel
 wagering at a class 1 racetrack as defined by Article 179e, Vernon's
 Texas Civil Statutes, at the location licensed for conducting
 pari-mutuel wagering on horse races and who comply with
 requirements of this section and commission rule;
 (3)  issue three licenses to conduct casino gaming to
 casino-anchored destination attraction development projects in
 counties with a population greater than 1.5 million that comply
 with requirements of this section and commission rule;
 (4)  issue three licenses to conduct casino gaming to
 casino-anchored destination attraction development projects
 located on islands in the Gulf of Mexico that comply with
 requirements of this section and commission rule; and
 (5)  allow an Indian tribe that is recognized by the
 United States government under federal law to operate slot machines
 or casino gaming on its Indian land held in trust by the United
 States on January 1, 1998, in accordance with federal law and:
 (A)  an effective gaming agreement that includes a
 provision requiring the Indian tribe to remit to this state a
 portion of its casino gaming or slot gaming revenue in an amount
 equal to the rate provided in the agreement; or
 (B)  general state law that includes a provision
 requiring the Indian tribe to remit to this state a portion of its
 casino gaming or slot gaming revenue in an amount equal to the rate
 provided by the general law.
 (g)  In determining whether or, in the case of multiple
 applicants competing for a limited number of casino owner's
 licenses or slot establishment owner's licenses within a geographic
 area, to whom to grant a license, the Texas Gaming Commission shall
 consider the following factors:
 (1)  the relative prospective revenue to be collected
 by this state from the conduct of casino gaming at the casino or of
 slot gaming at the slot establishment and the overall economic
 impact of each competing applicant's proposed gaming and associated
 facilities;
 (2)  the relative number of residents of this state who
 would be employed in an applicant's proposed casino or slot
 establishment and any proposed associated hotel and nongaming
 businesses and the relative extent of the applicant's good faith
 plan to recruit, train, and promote a workforce that reflects the
 diverse populations of this state in all employment
 classifications;
 (3)  the relative extent to which an applicant's
 proposed casino or slot establishment and any proposed associated
 hotel and nongaming businesses could be reasonably expected to
 encourage interstate tourism to this state;
 (4)  the relative extent to which the scope, design,
 location, and construction of the applicant's casino or slot
 establishment and any associated hotel and nongaming businesses
 could be reasonably expected to contribute to developing a
 first-class gaming industry in this state;
 (5)  the applicant's experience in conducting licensed
 gaming operations and the applicant's financial ability to promptly
 construct and adequately maintain the casino or slot establishment
 sought to be licensed, including the experience of partners of the
 applicant, of affiliated companies of the applicant or its
 partners, of key personnel of the applicant or its partners, and of
 operating companies under contract with the applicant; and
 (6)  the percentage of equity interest in the applicant
 owned or to be owned by residents of this state.
 (h)  To ensure that a requisite level of economic development
 benefiting the people of this state accompanies each casino for
 which an owner's license is granted, the Texas Gaming Commission
 shall require an applicant, as a condition to receiving and holding
 an owner's license, to commit to building a casino-anchored
 destination attraction development project that includes total
 land and development costs of at least:
 (1)  $1 billion for a project described in Subsection
 (f)(3) of this section; or
 (2)  $250 million for a project described in Subsection
 (f)(4) of this section..
 (i)  Notwithstanding Subsection (f) of this section:
 (1)  a license under Subsection (f)(1), (2), (3) or (4)
 may not be issued in a county unless:
 (A)  a majority of the voters of the county voted
 for the proposition that added this section to this constitution;
 or
 (B)  the voters of the county have approved a
 proposition legalizing casino gaming at a local option election
 held under this section;
 (2)  not more than two casino or slot establishment
 licenses may be issued for projects to be located in the same
 county;
 (3)  the commission may not issue more than three
 licenses for casinos and slot establishments located in any single
 Metropolitan Statistical Area, as that term is defined by the
 United States Office of Management and Budget;
 (4)  a casino owner's license may not be issued for a
 location in an area in which casino gaming or slot gaming is
 prohibited under a gaming agreement between an Indian tribe and
 this state;
 (5)  the commission shall issue licenses provided for
 in Subsection (f)(4) prior to accepting applications for licenses
 under Subsection (f)(3); and
 (6)  a casino owner's license may not be issued for a
 location within five miles of property which the General Land
 Office is required to preserve and protect pursuant to Section
 31.0515, Natural Resources Code.
 (j)  The Texas casino and slot gaming fund is a special fund
 in the state treasury. All application fees, investigation fees,
 and license fees collected by the Texas Gaming Commission or on the
 commission's behalf related to casino and slot gaming shall be
 deposited to the credit of the Texas casino and slot gaming fund.
 Except as provided by this section, the Texas casino and slot gaming
 fund may only be used for the operation of the commission and the
 administration of this section. If the money in the fund exceeds
 the amount necessary for the operation of the commission and the
 administration of this section, the legislature shall transfer any
 excess amount to the dedicated account known as the property tax
 relief fund in the general revenue fund. Money from the property
 tax relief fund may only be appropriated for a purpose that results
 in a reduction of the average school district maintenance and
 operations tax rate or as otherwise provided by general law.
 (k)  An applicant applying for an owner's license for a slot
 establishment as set forth in Subsection (f)(1) must submit to the
 Texas Gaming Commission a $15 million application fee. An
 applicant applying for an owner's license for a casino as set forth
 in Subsection (f)(1) must submit to the Texas Gaming Commission a
 $25 million application fee. An applicant applying for an owner's
 license as set forth in Subsection (f)(2) must submit to the Texas
 Gaming Commission a $50 million application fee. An applicant
 applying for an owner's license as set forth in Subsection (f)(3)
 must submit to the Texas Gaming Commission a $50 million
 application fee. An applicant applying for an owner's license as
 set forth in Subsection (f)(4) must submit to the Texas Gaming
 Commission a $25 million application fee. If an applicant is not
 awarded an owner's license, the commission shall refund the
 application fee less the costs incurred by the commission in
 reviewing the application and conducting a criminal background
 investigation on the applicant.
 (l)  A casino gaming tax in an amount equal to 20 percent of
 the gross gaming revenue is imposed on each holder of a casino
 owner's license for facilities determined by the commission to have
 invested less than $1 billion in the casino facility. The tax shall
 be computed and paid on a monthly basis in accordance with the
 procedures established by rule of the Texas Gaming Commission.
 (m)  A slot gaming tax in an amount equal to 20 percent of the
 gross slot income of the slot establishment operated under the
 license is imposed on each holder of a slot establishment owner's
 license. The tax shall be computed and paid on a monthly basis in
 accordance with the procedures established by rule of the Texas
 Gaming Commission.
 (n)  The casino gaming tax imposed under Subsection (l) shall
 be reduced to an amount equal to 15 percent of the gross gaming
 revenue for facilities determined by the commission to have
 invested $1 billion or more in the casino facility.
 (o)  Of the revenue from the taxes imposed by Subsections (l)
 and (m) of this section:
 (1)  one-twentieth of the revenue is allocated to the
 municipality in which the casino to which the license relates is
 located and one-twentieth of the revenue is allocated to the county
 in which the casino to which the license relates is located; or
 (2)  if the casino is located in an unincorporated
 area, one-tenth of the revenue is allocated to the county in which
 the casino to which the license relates is located.
 (p)  The comptroller of public accounts shall transfer the
 appropriate amount allocated under Subsection (o) of this section
 to the appropriate municipalities and counties not less than
 monthly in the manner the comptroller considers appropriate.
 (q)  Except as otherwise provided by this section, the
 revenue from the taxes imposed by Subsections (l) and (m) of this
 section is allocated as follows:
 (1)  one-fortieth to the general revenue fund for
 appropriation only to fund a compulsive gambling program
 established by the Texas Gaming Commission;
 (2)  one-fortieth to the general revenue fund for
 appropriation only to the Texas Gaming Commission to provide grants
 to prosecuting attorneys in this state for the investigation and
 prosecution of offenses related to the possession of gambling
 devices and illegal gambling operations; and
 (3)  the remainder to the property tax relief fund in
 the general revenue fund.
 (r)  The comptroller of public accounts quarterly shall
 determine the net amount of receipts collected from a casino or slot
 establishment from the sales and use taxes, hotel occupancy taxes,
 alcoholic beverage taxes, and franchise taxes imposed under general
 law, or from other taxes imposed under general law as provided by
 the legislature in general law, and shall deposit that amount in the
 general revenue fund. The net amount deposited may only be
 appropriated to fund the TEXAS grant program established under
 Subchapter M, Chapter 56, Education Code, or a similar program
 established by the legislature to provide grants to higher
 education students in this state.
 (s)  Of the revenue from the taxes imposed under Subsection
 (l) and (m) for a casino or slot establishment located at a
 greyhound racetrack, nine-twentieths is allocated to a Texas
 canine development fund to be established and administered by the
 Texas Racing Commission.
 (t)  Of the revenue from the taxes imposed under Subsection
 (l) and (m) for a casino or slot establishment located at a horse
 racetrack, two-fifths is allocated to a Texas equine development
 fund to be established and administered by the Texas Racing
 Commission, and one-twentieth is allocated to a performance horse
 development fund to be established and administered by the Texas
 Racing Commission.
 (u)  For a casino at a racetrack that qualifies for the
 reduced tax rate under subsection (n), the allocations under
 subsections (s) and (t) shall be adjusted proportionally so that
 the total minimum allocation under those provisions does not exceed
 nine percent of the total gross gaming revenue for the casino.
 (v)  A casino or slot establishment located at a horse
 racetrack shall provide at least $1 million, or the minimum
 coverage amount required by the Texas Racing Commission, in
 accident insurance coverage for jockeys participating in a race
 meeting at its racetrack. The Texas Racing Commission:
 (1)  may review and approve the adequacy of the
 coverage;
 (2)  shall annually adjust for inflation the minimum
 coverage amount; and
 (3)  shall annually publish in the Texas Register the
 revised minimum coverage amount.
 (w)  Of the revenue allocated to the Texas equine development
 fund under Subsection (t), 0.5 percent is allocated to the equine
 research account of the Texas Agricultural Experiment Station for
 use in equine research, including facilities development under
 Subchapter F, Chapter 88, Education Code. The money transferred
 under this subsection shall supplement, and may not replace,
 funding provided under the Texas Racing Act (Article 179e, Vernon's
 Texas Civil Statutes).
 (x) The remainder of the money deposited in the Texas equine
 development fund pursuant to Subsection (t) must:
 (1)  be used for purses and the Texas-bred incentive
 programs and may be used for other programs considered beneficial
 to the equine industry, including:
 (A)  equine retirement, adoption, and retraining
 programs;
 (B)  programs to test for banned
 performance-enhancing equine drugs, performance-enhancing drug
 testing research, and equipment and facilities of laboratories
 providing those services in this state; and
 (C)  other programs to improve the working
 environment in stable areas of racetracks; and
 (2)  be allocated as follows:
 (A)  40 percent shall be provided to the
 horsemen's organization to supplement Thoroughbred racing purses;
 (B)  24.75 percent shall be provided to the
 horsemen's organization to supplement quarter horse racing purses;
 (C)  24.75 percent shall be provided to the
 Thoroughbred state horse breed registry; and
 (D)  10 percent shall be provided to the quarter
 horse state horse breed registry.
 (y)  From the money allocated under Subsection (x)(2)(A),
 under an agreement between the Texas Arabian Breeders Association
 and the horsemen's organization, the horsemen's organization shall
 allocate a portion of the money for purses for the Arabian horse
 racing industry. If an agreement is not made, the horsemen's
 organization shall provide 4.5 percent of the money allocated under
 Subsection (x)(2)(A) to the Texas Arabian horse racing industry for
 Arabian horse racing purses.
 (z)  From the money allocated under Subsection (x)(2)(B),
 under an agreement between the Texas Paint Horse Breeders'
 Association and the horsemen's organization, the horsemen's
 organization shall allocate a portion of the money for purses for
 the paint horse racing industry. If an agreement is not made, the
 horsemen's organization shall provide three percent of the money
 allocated under Subsection (x)(2)(B) to the paint horse racing
 industry for paint horse racing purses.
 (aa) From the money allocated under Subsection (x)(2)(C),
 under an agreement between the Texas Arabian Breeders Association
 and the Thoroughbred state horse breed registry, the registry shall
 allocate a portion of the money for the Arabian horse racing
 industry state-breed programs. If an agreement is not made, the
 Thoroughbred state horse breed registry shall provide 4.5 percent
 of the money allocated under Subsection (x)(2)(C) to the Texas
 Arabian horse racing industry for state-breed programs.
 (bb) From the money allocated under Subsection (x)(2)(D),
 under an agreement between the Texas Paint Horse Breeders'
 Association and the quarter horse state horse breed registry, the
 registry shall allocate a portion of the money for state-breed
 programs for the paint horse racing industry. If an agreement is
 not made, the registry shall provide three percent of the money
 allocated under Subsection (x)(2)(D) to the paint horse racing
 industry for paint horse state-breed programs.
 (cc) Of the revenues deposited in the Texas canine
 development fund pursuant to Subsection (s):
 (1)  forty percent shall be used to supplement
 greyhound racing purses;
 (2)  forty percent shall be used to supplement
 accredited Texas-bred greyhound purses; and
 (3)  twenty percent shall be provided to the Texas
 Greyhound Association as the state greyhound breed registry.
 (dd) The Texas Racing Commission may adopt rules to
 administer this section.
 (ee) Money in the performance horse development fund may be
 used only for:
 (1)  the development of the horse agricultural industry
 in this state through efforts intended to attract, retain, promote,
 and encourage the breeding, raising, training, and exhibition of
 performance and recreational horses in this state; and
 (2)  events and programs conducted in this state.
 (ff) Money from the performance horse development fund is
 allocated as follows:
 (1)  forty percent to the American Quarter Horse
 Association for its sanctioned events and programs;
 (2)  twenty percent to the National Cutting Horse
 Association for its sanctioned events and programs;
 (3)  twenty percent to the American Paint Horse
 Association for its sanctioned events and programs; and
 (4)  twenty percent to the Department of Agriculture to
 promote the equine agricultural industry in this state.
 (gg) Subject to Subsection (hh), money provided to an
 association or agency from the performance horse development fund
 may be used for:
 (1)  purse supplements or additional money for
 performance and recreational horses events conducted in this state;
 (2)  the establishment of an accredited Texas Bred
 Program for breeding of performance and recreational horses;
 (3)  the marketing and promotion of performance and
 recreational horses activities and events in this state; and
 (4)  scholarship programs.
 (hh) Money may be provided under Subsection (ff)(4) only to
 organizations of the equine industry in this state that are not
 receiving money for events and programs under Subsection (ff)(1),
 (2), or (3).
 (ii)  Except as otherwise provided by law, all money paid to
 the Department of Agriculture is subject to Subchapter F, Chapter
 404.
 (jj) Casinos and slot establishments are subject to all
 applicable state laws and local ordinances related to health and
 building codes, including rules adopted by the Texas Gaming
 Commission. A local ordinance or zoning law may not prohibit the
 development of a casino or slot establishment authorized by this
 section, except that a casino or slot establishment may not be
 located in an area that is zoned exclusively residential, unless
 otherwise provided by commission rule.
 (kk)  The commissioners court of a county may at any time
 order an election to legalize casino gaming under this section in
 that county. The commissioners court shall order and hold an
 election to legalize casino gaming under this section in the county
 if the commissioners court is presented with a petition that meets
 the requirements of this section and is certified as valid under
 this section.
 (ll)  A petition for a legalization election must include a
 statement substantially as follows before the space reserved for
 signatures on each page: "This petition is to require that an
 election be held in (name of county) to legalize casino gaming in
 (name of county)."  A petition is valid only if it is signed by
 registered voters of the county in a number that is not less than
 three percent of the total number of votes cast for governor by
 qualified voters of the county in the most recent gubernatorial
 general election. Each voter must enter beside the voter's
 signature the date the voter signs the petition. A signature may
 not be counted as valid if the date of signing is earlier than the
 90th day before the date the petition is submitted to the
 commissioners court. Each voter must provide on the petition the
 voter's current voter registration number, printed name, and
 residence address, including zip code.
 (mm)  Not later than the fifth day after the date a petition
 for an election under this section is received in the office of the
 commissioners court, the commissioners court shall submit the
 petition for verification to the county clerk. The county clerk
 shall determine whether the petition is signed by the number of
 registered voters of the county required under Subsection (ll) of
 this section. Not later than the 30th day after the date the
 petition is submitted to the county clerk for verification, the
 clerk shall certify in writing to the commissioners court whether
 the petition is valid or invalid. If the county clerk determines
 that the petition is invalid, the clerk shall state the reasons for
 that determination.
 (nn)  If the county clerk certifies that a petition for an
 election under this section is valid, not later than the 30th day
 after the date of certification, the commissioners court shall
 order that an election be held in the county on the next uniform
 election date provided under general law that allows sufficient
 time to comply with applicable provisions of general law. The
 commissioners court shall state in the order the issue to be voted
 on. The county clerk shall notify the Texas Gaming Commission by
 certified mail, return receipt requested, that an election has been
 ordered. The ballot in a legalization election shall be printed to
 provide for voting for or against the proposition: "Legalizing
 casino gaming within (name of county)."
 (oo)  The commissioners court shall give written notice of
 the results of the election to the Texas Gaming Commission not later
 than the third day after the date the election is canvassed. If the
 majority of votes cast in a legalization election under this
 section favor the legalization of casino gaming, casino gaming
 authorized under this section is permitted within the county
 holding the election effective on the 10th day after the date the
 election is canvassed. If less than a majority of the votes cast in
 the election favor the legalization of casino gaming, casino gaming
 is not permitted in the county, and a subsequent election on the
 issue may not be held in the county before the corresponding uniform
 election date one year after the date of the election. If in each of
 two consecutive elections within any county less than a majority of
 the votes cast favor the legalization of casino gaming, casino
 gaming is not permitted in the county, and a subsequent election on
 the issue may not be held in the county before the corresponding
 uniform election date five years after the date of the second
 election.
 (pp)  It is a defense to prosecution for a gambling offense
 under general law that the action was authorized under this section
 or Texas Gaming Commission rule.
 (qq)  All shipments of slot machines or gaming devices into,
 out of, or within this state authorized under this section or a rule
 adopted by the Texas Gaming Commission are legal shipments of the
 devices and are exempt from the provisions of 15 U.S.C. Sections
 1171-1178, prohibiting the transportation of gambling devices.
 (rr)  Each state agency, including the attorney general and
 the comptroller of public accounts, and each state or local law
 enforcement agency shall cooperate with the Texas Gaming Commission
 as necessary to implement this section.
 (ss)  The legislature by general law may impose additional
 restrictions or requirements for the conduct of casino and slot
 gaming.
 (tt) Unless specifically authorized by general law, a
 political subdivision of this state may not impose:
 (1)  a tax on the payment of a casino or slot prize;
 (2)  a tax, fee, or other assessment on consideration
 paid to play a casino or slot game authorized by this section; or
 (3)  a tax or fee on attendance at or admission to a
 casino or slot establishment authorized by this section.
 (uu)  In this section, unless modified by general law:
 (1)  "Casino" means a facility at which casino gaming
 is conducted by a licensed casino owner as authorized by this
 section.
 (2)  "Casino gaming" means any game of chance or
 similar activity that involves the making of a bet for
 consideration. The term includes any type of slot machine or table
 game wagering using money, casino credit, or any representation of
 value. The term does not include bingo, charitable raffles, or the
 state lottery authorized under Section 47 of this article.
 (3)  "Casino owner" means a person, trust, corporation,
 partnership, limited partnership, association, limited liability
 company, or other business enterprise that directly holds an
 ownership or leasehold interest in a casino licensed as provided by
 this section.
 (4)  "Gross gaming revenue" means the total amount of
 consideration paid to engage in casino gaming less winnings paid to
 players of the casino games.
 (5)  "Gross slot income" means the total amount of
 consideration paid to play slot machines less winnings paid to
 players of the slot machines.
 (6)  "Performance and recreational horses" means
 horses bred or trained for public competition and exhibition or
 recreational use in all legally permitted equine activities other
 than horse racing at racetracks.
 (7)  "Slot establishment" means a facility at which
 slot gaming is conducted by a licensed slot establishment owner as
 authorized by this section.
 (8)  "Slot establishment owner" means a person, trust,
 corporation, partnership, limited partnership, association,
 limited liability company, or other business enterprise that
 directly holds an ownership or leasehold interest in a slot
 establishment.
 (9)  "Slot gaming" means any game of chance that for
 consideration is played on a slot machine. The term does not
 include bingo, charitable raffles, or the state lottery authorized
 under Section 47 of this article.
 (10)  "Slot machine" means a mechanical, electrical, or
 other device or machine that, on insertion of a coin, token, or
 similar object or on payment of consideration, is available to play
 or operate a game, the play or operation of which, wholly or partly
 by the element of chance, may deliver or entitle the person playing
 or operating the device or machine to receive cash, premiums,
 merchandise, tokens, or any other thing of value, whether the
 payoff is made automatically from the device or machine or is made
 in another manner.
 SECTION 3.  Article III, Texas Constitution, is amended by
 adding Section 47b to read as follows:
 Sec. 47b.  (a) Any tribe of Indians that is federally
 recognized and has a reservation in Texas on or before January 1,
 1998 may, without application of state time, place and manner
 restrictions, conduct on its reservation class II gaming regulated
 by the National Indian Gaming Commission consistent with NIGC's
 regulation of gaming conducted by Indian tribes in other states and
 any other gaming activity that may be conducted by any other
 individual, organization, group or entity with the state.
 (b)  Class II gaming shall have the same meaning as in 25
 U.S.C. Section 2703 of the Indian Gaming Regulatory Act.
 SECTION 4.  The following temporary provision is added to
 the Texas Constitution:
 TEMPORARY PROVISION. (a) This temporary provision applies
 to the constitutional amendment proposed by the 83rd Legislature,
 Regular Session, 2013, creating the Texas Gaming Commission and
 authorizing and regulating the operation of casino games and slot
 machines by licensed operators and certain Indian tribes to provide
 money for the property tax relief fund and additional financial aid
 for higher education students.
 (b)  Not later than January 1, 2014, the governor shall
 appoint the initial members of the Texas Gaming Commission in
 accordance with Section 47a, Article III, of this constitution. In
 making the initial appointments, the governor shall designate one
 member to a term expiring February 1, 2015, two members to terms
 expiring February 1, 2017, and two members to terms expiring
 February 1, 2019.
 (c)  Not later than March 1, 2014, the Texas Gaming
 Commission shall adopt the rules, including any emergency rules,
 necessary to implement Section 47a, Article III, of this
 constitution.
 (d)  This temporary provision expires January 1, 2015.
 SECTION 5.  (a) The constitutional amendment proposed by
 Sections 1, 2, 3 and 4 of this resolution shall be submitted to the
 voters at an election to be held November 5, 2013. The ballot shall
 be printed to permit voting for or against the proposition: "The
 constitutional amendment creating the Texas Gaming Commission and
 authorizing and regulating the operation of casino games and slot
 machines by a limited number of licensed operators and certain
 Indian tribes to provide money for the property tax relief fund and
 additional financial aid for higher education students."