Texas 2019 86th Regular

Texas House Bill HB914 Comm Sub / Bill

Filed 04/15/2019

                    86R22373 BEE-D
 By: Thompson of Harris H.B. No. 914
 Substitute the following for H.B. No. 914:
 By:  Thompson of Harris C.S.H.B. No. 914


 A BILL TO BE ENTITLED
 AN ACT
 relating to the regulation of bingo games.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Sections 2001.305(b) and (c), Occupations Code,
 are amended to read as follows:
 (b)  Immediately after issuing [receiving] a license, the
 commission [a license holder] shall send a copy of the license to
 the appropriate governing body. The governing body shall file the
 copy of the license in a central file containing licenses issued
 under this chapter.
 (c)  Not later than the 10th day after the date a license is
 issued, the commission [license holder] shall give written notice
 of the issuance of the license to:
 (1)  the police department of the municipality in which
 bingo will be conducted, if bingo is to be conducted in a
 municipality; or
 (2)  the sheriff of the county in which bingo will be
 conducted, if bingo is to be conducted outside a municipality.
 SECTION 2.  Section 2001.313(h), Occupations Code, is
 amended to read as follows:
 (h)  A licensed authorized organization may employ an
 individual who is not on the registry established by this section as
 an operator, manager, cashier, usher, caller, or salesperson on a
 provisional basis if the individual is awaiting the results of a
 background check by the commission:
 (1)  for a period not to exceed 30 [14] days if the
 individual is a resident of this state; or
 (2)  for a period to be established by commission rule
 if the individual is not a resident of this state.
 SECTION 3.  Section 2001.419, Occupations Code, is amended
 by amending Subsections (c), (d), and (e) and adding Subsections
 (c-1) and (f) to read as follows:
 (c)  Except as provided by Subsection (c-1), no [No] more
 than two bingo occasions may be conducted at the same premises
 during one day except that a third bingo occasion may be conducted
 under a temporary license held by a licensed authorized
 organization at that premises.
 (c-1)  In addition to the bingo occasions authorized at the
 same premises during one day under Subsection (c), on not more than
 three days of a calendar week, one or two additional bingo occasions
 may be held at the same premises at which bingo occasions are
 conducted under that subsection under the annual license of one or
 more licensed authorized organizations.
 (d)  If more than one bingo occasion is conducted at the same
 premises on the same day:
 (1)  the bingo occasions must be announced separately;
 (2)  the licensed times may not overlap; and
 (3)  notwithstanding Subsection (e), bingo cards may be
 sold during a bingo occasion for play during a subsequent bingo
 occasion that is scheduled to begin at the same premises in not more
 than eight hours after the sale of cards for the subsequent occasion
 begins.
 (e)  Bingo cards, pull-tab bingo tickets, and the use of
 card-minding devices [paper] for a bingo occasion may be sold at the
 licensed premises at any time beginning one hour before the bingo
 occasion and ending at the conclusion of the bingo occasion
 [begins].
 (f)  If pull-tab bingo tickets are sold by one licensed
 authorized organization that conducts consecutive bingo occasions
 during one day, the organization may account for and report all of
 the pull-tab bingo ticket sales for the occasions as sales for the
 final occasion.
 SECTION 4.  Section 2001.451, Occupations Code, is amended
 by amending Subsections (b) and (g) and adding Subsection (g-1) to
 read as follows:
 (b)  Except as provided by Section 2001.502(a), a [A]
 licensed authorized organization shall deposit in the bingo account
 all funds derived from the conduct of bingo, less the amount awarded
 as cash prizes under Sections 2001.420(a) and (b). Except as
 provided by Subsection (b-1), a deposit must be made not later than
 the third [second] business day after the day of the bingo occasion
 on which the receipts were obtained.
 (g)  Except as provided by Subsection (g-1), the [The] bingo
 operations of a licensed authorized organization must[:
 [(1)     result in net proceeds over the organization's
 license period; or
 [(2)  if the organization has a two-year license,]
 result in net proceeds for the organization's bingo operations over
 each 18-month [12-month] period beginning on the first [that ends
 on an] anniversary of the date the initial [two-year] license was
 issued to the organization.
 (g-1)  The bingo operations of a unit as defined by Section
 2001.431 must result in net proceeds for the unit's bingo
 operations over each 18-month period beginning on the first
 anniversary of the date the unit is formed.
 SECTION 5.  Section 2001.502, Occupations Code, is amended
 to read as follows:
 Sec. 2001.502.  PRIZE FEE. (a) A licensed authorized
 organization or unit as defined by Section 2001.431 shall[:
 [(1)]  collect from a person who wins a cash bingo prize
 of more than $5 a fee in the amount of five percent of the amount [or
 value] of the prize. Each quarter, the licensed authorized
 organization or unit shall remit 50 percent of the amount collected
 as the prize fee to the commission and:
 (1)  if a county or municipality in which the bingo game
 is conducted voted before November 1, 2019, to impose the prize fee,
 remit 50[; and
 [(2)     remit to the commission a fee in the amount of
 five] percent of the amount collected as the prize fee to:
 (A)  the county in which the bingo game is
 conducted, if the county voted to impose the fee by that date and
 the location at which bingo is conducted is not within the
 boundaries of a municipality;
 (B)  the municipality in which the bingo game is
 conducted, if the municipality voted to impose the fee by that date
 and the county in which the bingo game is conducted did not vote to
 impose the fee by that date; or
 (C)  in equal shares, the county and the
 municipality in which the bingo game is conducted, if the county and
 municipality each voted to impose the fee before that date; or
 (2)  if a county or municipality is not entitled to a
 percentage of the amount of fees collected under Subdivision (1),
 deposit 50 percent of the amount collected as the prize fee in the
 general charitable fund of the organization or on a pro rata basis
 to the general funds of the organizations comprising the unit, as
 applicable, to be used for the charitable purposes of the
 organization or organizations [or value of all bingo prizes of more
 than $5 awarded].
 (b)  The governing body of a county or municipality that
 voted to impose a prize fee under Subsection (a) may at any time
 vote to discontinue the imposition of the fee. If a county or
 municipality votes after November 1, 2019, to discontinue the fee,
 the fees shall be collected by the licensed authorized organization
 or unit as defined by Section 2001.431 and deposited as provided by
 Subsection (a)(2).
 (c)  A fee collected under Subsection (a) does not apply to:
 (1)  a merchandise prize awarded as a prize for winning
 a bingo game, including a bingo card, a pull-tab bingo ticket, a
 bingo dauber, or other bingo merchandise; or
 (2)  the use of a card-minding device awarded as a prize
 for winning a bingo game.
 SECTION 6.  Section 2001.504(a), Occupations Code, is
 amended to read as follows:
 (a)  A fee on prizes authorized or imposed under this
 subchapter is due and is payable by the license holder or a person
 conducting bingo without a license to the commission and county or
 municipality, as applicable, quarterly on or before the 25th day of
 the month succeeding each calendar quarter.
 SECTION 7.  The heading to Section 2001.507, Occupations
 Code, is amended to read as follows:
 Sec. 2001.507.  COLLECTION AND DEPOSIT [DISBURSEMENT] OF
 PRIZE FEE.
 SECTION 8.  Section 2001.507, Occupations Code, is amended
 by amending Subsection (a) and adding Subsection (a-1) to read as
 follows:
 (a)  The commission shall deposit the revenue collected from
 the fee on prizes imposed by Section 2001.502 to the credit of [a
 special account in] the general revenue fund.
 (a-1)  The revenue collected by the commission from the fee
 on prizes imposed by Section 2001.502 is considered miscellaneous
 revenue for purposes of appropriations made to the commission under
 the General Appropriations Act for the administration of this
 chapter.
 SECTION 9.  Section 404.073(c), Government Code, is amended
 to read as follows:
 (c)  Interest that has been and that will be accrued or
 earned from deposits made under a law to which this subsection
 applies is state funds not subject to allocation or distribution to
 taxing units, cities, or transportation authorities under that law.
 This subsection applies to:
 (1)  Section 205.02, Alcoholic Beverage Code;
 (2)  [Section 2001.507, Occupations Code;
 [(3)] Section 403.105(d) of this code;
 (3) [(4)]  Sections 321.501 and 321.504, Tax Code;
 (4) [(5)]  Sections 322.301 and 322.304, Tax Code; and
 (5) [(6)]  Sections 323.501 and 323.504, Tax Code.
 SECTION 10.  The following provisions of the Occupations
 Code are repealed:
 (1)  Section 2001.103(a-1);
 (2)  Section 2001.104;
 (3)  Section 2001.313(b-3);
 (4)  Section 2001.437(i);
 (5)  Section 2001.503; and
 (6)  Sections 2001.507(b), (c), (d), (e), (f), (g),
 (h), and (i).
 SECTION 11.  (a) A county or municipality may receive a
 portion of the prize fee collected under Section 2001.502,
 Occupations Code, as amended by this Act, after the effective date
 of this Act only if:
 (1)  the county or municipality was entitled to receive
 a portion of a bingo prize fee as of January 1, 2019; and
 (2)  the governing body of the county or municipality:
 (A)  by majority vote of the members of the
 governing body approves the continued receipt of funds under that
 section and notifies the Texas Lottery Commission of that decision
 not later than November 1, 2019; and
 (B)  notifies each licensed authorized
 organization within the county's or municipality's jurisdiction, as
 applicable, of the continued imposition of the fee.
 (b)  Not later than October 1, 2019, the Texas Lottery
 Commission shall notify the governing body of a county or
 municipality that was entitled to receive a portion of the prize fee
 collected under Section 2001.502, Occupations Code, as that section
 existed immediately before the effective date of this Act, of the
 requirements for continued receipt of the prize fee under that
 section as provided in Subsection (a) of this section.
 SECTION 12.  Section 2001.305, Occupations Code, as amended
 by this Act, applies only to an authorized organization license or a
 commercial lessor license that is issued under Chapter 2001,
 Occupations Code, on or after the effective date of this Act. An
 authorized organization license or a commercial lessor license
 issued before the effective date of this Act is governed by the law
 as it existed immediately before the effective date of this Act, and
 that law is continued in effect for that purpose.
 SECTION 13.  (a) Except as otherwise provided by Subsection
 (b) of this section, this Act takes effect January 1, 2020.
 (b)  The following provisions take effect September 1, 2019:
 (1)  Section 2001.502(c), Occupations Code, as added by
 this Act;
 (2)  Section 2001.507(a), Occupations Code, as amended
 by this Act; and
 (3)  Section 2001.507(a-1), Occupations Code, as added
 by this Act.