Bill Text: IN SB0429 | 2011 | Regular Session | Engrossed
Bill Title: Type II gaming.
Spectrum: Slight Partisan Bill (Democrat 3-1)
Status: (Passed) 2011-05-18 - Effective 07/01/2011 [SB0429 Detail]
Download: Indiana-2011-SB0429-Engrossed.html
Citations Affected: IC 4-36.
Synopsis: Type II gaming. Allows type II gaming retailers to profit
from qualified drawings. Includes sales of the tickets in the retailer's
gross receipts. Limits the size of a qualified drawing conducted for
profit by limiting the amount wagered to $500. Prohibits awarding
cash, alcohol, and tobacco as prizes in qualified drawings conducted
for profit. Requires retailers to report the amounts retained. Requires
retailers to obtain tickets for qualified drawings from licensed
distributors. Includes tickets for qualified drawings in the preference
for Indiana manufacturers.
Effective: July 1, 2011.
(HOUSE SPONSORS _ DAVIS, TYLER)
January 12, 2011, read first time and referred to Committee on Public Policy.
January 27, 2011, amended, reported favorably _ Do Pass.
January 31, 2011, read second time, ordered engrossed.
February 3, 2011, engrossed. Read third time, passed. Yeas 27, nays 21.
March 28, 2011, read first time and referred to Committee on Public Policy.
March 31, 2011, reported _ Do Pass.
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or
A BILL FOR AN ACT to amend the Indiana Code concerning
gaming.
(1) pull tabs;
(2) punchboards;
(3) tip boards; and
(4) raffle tickets purchased in a qualified drawing in which the retailer retains the profits of the qualified drawing;
by the patrons of a type II gaming
(b) The term does not include any amount wagered on
(1) the total amount of money exchanged for the purchase of a raffle ticket in a qualified drawing; minus
(2) the total cost of the prizes awarded in the qualified drawing.
(b) A retailer's endorsement also authorizes a retailer to conduct qualified drawings on the premises of the retailer's tavern. A qualified drawing must be conducted in the manner required by this section.
(c) A qualified drawing is subject to the following rules and limitations:
(1) The purchase price for a chance to win a prize in a qualified drawing may not exceed five dollars ($5).
(2) This subdivision does not apply to a qualified drawing conducted under subdivision (12). The total value of all prizes that may be won in a particular qualified drawing may not exceed three hundred dollars ($300) for any of the following:
(A) A daily drawing.
(B) A weekly drawing.
(C) A monthly drawing.
(3) A qualified drawing must be conducted in accordance with the following limitations:
(A) Not more than one (1) daily drawing may be conducted each day.
(B) Not more than one (1) weekly drawing may be conducted each week.
(C) Not more than one (1) monthly drawing may be conducted each month.
(D) Weekly drawings must be held on regular seven (7) day intervals posted in the information required by subdivision
(E) Monthly drawings must be held on regular monthly intervals posted in the information required by subdivision
A weekly or monthly drawing may be conducted on the same day that a daily drawing is conducted.
(4) Except as otherwise provided in this section, a patron must be present to claim a prize awarded in a qualified drawing.
(5) A retailer may
to a retailer's patrons in the form of prizes.
(7) (6) A retailer may not conduct a qualified drawing or any
other event in which the winner of the prize is determined, in
whole or in part, by a sporting event.
(8) (7) If no winning ticket is drawn in a qualified drawing, a
retailer may:
(A) carry the prize over to a later drawing in accordance with
this section; or
(B) continue drawing tickets until a winner is drawn.
(9) (8) If a patron who purchased a winning ticket is not present
to claim a prize at the time of the qualified drawing, a retailer
shall hold the prize for the winning patron in accordance with the
rules of the retailer.
(10) (9) In order to comply with subdivision (9), (8), a retailer
shall obtain the name, address, and telephone number of each
patron who purchases a ticket for a qualified drawing.
(11) (10) A retailer must conspicuously display the following
information concerning each qualified drawing conducted by the
retailer:
(A) The price of a ticket.
(B) The time of the drawing.
(C) The description and value of the prizes awarded in the
drawing.
(D) The manner in which a prize may be claimed.
(E) The rules of the retailer concerning the following:
(i) Qualified drawings in which no winning ticket is drawn.
(ii) The period that the retailer will hold a prize for a
winning patron who was not present to claim the prize at the
time of the qualified drawing.
(F) Whether:
(i) the retailer will retain the profits realized from
conducting the qualified drawing; or
(ii) the amount wagered on the qualified drawing will be
returned to the retailer's patrons in the form of prizes.
(12) (11) Notwithstanding any other provision of this chapter, a
retailer must continue drawing tickets in a monthly drawing until
the retailer draws a ticket purchased by a patron who is present to
claim the prize.
(12) The following rules apply only to a qualified drawing
from which the retailer retains the profits:
(A) Cash may not be awarded to the winner of the
qualified drawing.
(B) All prizes must be in the form of merchandise other
than alcohol or tobacco.
(C) The maximum amount of wagers that a retailer may
accept in the course of conducting the qualified drawing is
five hundred dollars ($500).
(d) When the winning patron is not present at the time of the
qualified drawing to claim a prize, the retailer shall award the prize in
the following manner:
(1) The retailer shall immediately notify the winning patron by
telephone that the patron's name was drawn in a qualified drawing
and that the patron has the time permitted by the rules of the
retailer, which must be at least seventy-two (72) hours, to claim
the prize.
(2) The winning patron must appear at the retailer's premises
within the time permitted by the rules of the retailer to claim the
prize in person.
(3) The retailer shall verify the identity of the winning patron and
award the prize.
(e) This subsection applies when the rules of a retailer require the
retailer to carry over a prize when no winning ticket is drawn and when
a winning patron fails to claim a prize in the manner required by
subsection (d). The retailer shall carry the prize over to a later qualified
drawing as follows:
(1) An unclaimed prize from a daily drawing must be carried over
to the next daily drawing.
(2) Subject to the prize limits set forth in subsection (c)(2), a
retailer may carry over a prize under subdivision (1) not more
than fourteen (14) times. On the fourteenth calendar day to which
a prize has been carried over, the retailer must continue drawing
tickets until the retailer draws a ticket purchased by a patron who
is present to claim the prize.
(3) An unclaimed prize from a weekly drawing must be carried
over to the next weekly drawing.
(4) Subject to the prize limits set forth in subsection (c)(2), a
retailer may carry over a prize under subdivision (3) not more
than one (1) time. On the day that the retailer conducts a weekly
drawing for the carried over prize, the retailer must continue
drawing tickets until the retailer draws a ticket purchased by a
patron who is present to claim the prize.
(f) The following apply to a retailer that carries over a prize under
subsection (e):
(1) A retailer may conduct the daily drawing regularly scheduled
for a calendar day occurring during the time that the retailer holds
a prize for a winning patron who was not present at the time of a
qualified drawing.
(2) If an unclaimed prize from a daily drawing is carried over to
a particular date, the retailer may not conduct the regular daily
drawing that would otherwise be permitted under this section on
that date.
(3) If an unclaimed prize from a weekly drawing is carried over
to a particular date, the retailer may not conduct the regular
weekly drawing that would otherwise be permitted under this
section on that date.
(4) Subject to the prize limits set forth in subsection (c)(2), a
retailer may accept additional entries to a drawing for a carried
over prize.
(b) Type II gambling games
(b) Except as provided in subsection (c), a distributor must obtain at least twenty-five percent (25%) of the type II gambling games and tickets for qualified drawings purchased by the distributor from a manufacturer that is domiciled in Indiana.
(c) The commission may excuse a distributor from the requirement set forth in subsection (b) if the commission finds that at least one (1) of the following conditions exists:
(1) No manufacturer domiciled in Indiana is licensed under this article.
(2) No manufacturer domiciled in Indiana is in good standing with the requirements of this article.
(3) All of the licensed manufacturers domiciled in Indiana also hold distributor's licenses.
2011]: Sec. 4. (a) A retailer shall maintain accurate records of all
financial aspects of the retailer's type II gambling operation. A retailer
shall make accurate reports of all financial aspects of the type II
gambling operation to the commission within the time established by
the commission. The commission shall prescribe forms for this
purpose. The forms prescribed under this subsection must enable
a retailer to report the amount of qualified drawing profits
retained by the retailer during the reporting period.
(b) As long as a retailer's receipts from the retailer's type II gambling
operation remain on the premises of the retailer's tavern, the receipts
may not be commingled with the receipts of the retailer's alcoholic
beverage sales, food sales, and other related nongambling activities.
