HB 1260-FN – AS AMENDED BY THE HOUSE
29Mar2012… 1357h
2012 SESSION
08/10
HOUSE BILL 1260-FN
AN ACT relative to certain contributions to pari-mutuel pools by race simulcasters in Cheshire county, compensation of charitable organizations by gaming operators, and unauthorized gambling machines and sweepstakes.
SPONSORS: Rep. Lambert, Hills 27; Rep. Bowers, Sull 3
COMMITTEE: Executive Departments and Administration
This bill:
I. Requires the racing and charitable gaming commission to hold certain contributions to the pari-mutuel pools from race simulcasters in escrow in Cheshire county.
II. Prohibits game operators from charging charitable organizations certain fees.
III. Creates a felony and a violation for promotion or conduction of unauthorized sweepstakes with an unauthorized gambling machine.
IV. Allows the playing of poker in private residences.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
29Mar2012… 1357h
12-2113
08/10
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twelve
AN ACT relative to certain contributions to pari-mutuel pools by race simulcasters in Cheshire county, compensation of charitable organizations by gaming operators, and unauthorized gambling machines and sweepstakes.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Cheshire County; Simulcast Pari-Mutuel Contributions. Amend RSA 284:23, I-III to read as follows:
I.(a) Each person, association or corporation licensed to conduct a running horse race or running horse meet under this chapter shall pay to the state treasurer a sum of money equal to one percent of the total contributions to all pari-mutuel pools conducted, made, or sold at any such race or meet licensed under this chapter. The amounts so paid to the state treasurer shall be for the use of the state.
(b) Each person, association, or corporation licensed to simulcast a running horse race or running horse meet under this chapter shall pay to the state treasurer a sum of money equal to 1 1/4 percent of the total contributions to all such pari-mutuel pools conducted, made, or sold at such simulcast race or simulcast race meet by such person, association, or corporation licensed to simulcast such races. The amount so paid to the state treasurer shall be for the use of the state.
(c) Any amounts so paid to the state treasurer by any person, association, or corporation licensed to simulcast a running horse race or running horse meet under this chapter collected in Cheshire county shall be held in escrow for a period of not more than 36 months by the state treasurer. If any person, association, or corporation licensed under this chapter has commenced to hold a live race meet within the 36-month period the escrowed amounts shall be paid to the racing and charitable gaming commission to offset any expenses incurred for the services required to hold such meet. If there is no live race meet within the 36-month period all sums so escrowed shall be for the use of the state.
II.(a) Each person, association, or corporation licensed to conduct a harness horse race or harness horse race meet under this chapter shall pay to the state treasurer a sum of money equal to one percent of all total contributions to all pari-mutuel pools in a calendar day. The amount so paid to the state treasurer shall be for the use of the state.
(b) Each person, association, or corporation licensed to simulcast a harness horse race or simulcast a harness horse race meet under this chapter shall pay to the state treasurer a sum of money equal to 1 1/4 percent of the total contributions to all such pari-mutuel pools conducted, made, or sold at such simulcast race or race meet by such person, association, or corporation licensed to simulcast such races. The amount so paid to the state treasurer shall be for the use of the state.
(c) Any amounts so paid to the state treasurer by any person, association, or corporation licensed to simulcast a harness horse race or harness horse race meet under this chapter collected in Cheshire county shall be held in escrow for a period of not more than 36 months by the state treasurer. If any person, association, or corporation licensed under this chapter has commenced to hold a live race meet within the 36-month period the escrowed amounts shall be paid to the racing and charitable gaming commission to offset any expenses incurred for the services required to hold such meet. If there is no live race meet within the 36-month period all sums so escrowed shall be for the use of the state.
III.(a) [Repealed.]
(b) Each person, association or corporation licensed to simulcast a dog race or simulcast a dog race meet under this chapter shall pay to the state treasurer a sum of money equal to 1 1/2 percent of all pari-mutuel pools conducted, made, or sold at such simulcast race or simulcast race meet by such person, association, or corporation licensed under this chapter. The amount so paid to the state treasurer shall be for the use of the state.
(c) Any amounts so paid to the state treasurer by any person, association, or corporation licensed to simulcast a dog race or meet under this chapter collected in Cheshire county shall be held in escrow for a period of not more than 36 months by the state treasurer. If any person, association, or corporation licensed under this chapter has commenced to hold a live race meet within the 36-month period the escrowed amounts shall be paid to the racing and charitable gaming commission to offset any expenses incurred for the services required to hold such meet. If there is no live race meet within the 36-month period all sums so escrowed shall be for the use of the state.
2 New Subparagraph; Revocation; Simulcast Wagers. Amend RSA 284:22-a, II by inserting after subparagraph (c) the following new subparagraph:
(d) Notwithstanding subparagraph II(a), an individual, association, partnership, joint venture, corporation, or other organization or entity may be issued a license to conduct simulcasting without conducting live horse racing at a location in Cheshire county, provided such person or entity applies for, and is issued, a license to conduct live horse racing at such location in Cheshire county, complies with other provisions of this chapter with regard to application and issuance of such license, makes such election with the approval of the commission and such person or entity has submitted an economic development plan to the commission to conduct a live horse racing meet in Cheshire county within 36 months of the granting of a license. If no live horse racing is conducted within the 36-month period the license to receive simulcast wagers shall be revoked. The commission shall adopt regulations regarding the criteria of the proposed economic development plan prior to issuance of any approval.
3 New Paragraph; Operation of Games of Chance; Fees. Amend RSA 287-D:2-b by inserting after paragraph II-a the following new paragraph:
II-b. No operator shall require additional fees not specifically allowed under this chapter as a condition of contracting with the operator for game dates.
4 Wagering; Single Player. Amend RSA 287-D:3, V to read as follows:
V. No single wager by a player, on any game of chance, shall exceed the amount of [$4] $6.
5 Operation of Games of Chance; Fees. Amend RSA 287-D:3, VII to read as follows:
VII. Unless a charitable organization rents a facility from a game operator employer or a primary game operator licensed under RSA 287-D:2-c, the charitable organization shall only rent a facility by means of a fixed rental payment. The fixed rental payment shall not be based on a percentage of what the charitable organization receives from the game of chance and it shall reflect fair rental value of the property for any use not just as a place to hold a game of chance. If a charitable organization rents a facility from a licensed game operator under RSA 287-D:2-c, the charitable organization shall retain no less than 35 percent of the gross revenues from any games of chance minus any prizes paid in accordance with RSA 287-D:3, VIII. Any rental agreement entered into by the charitable organization shall be submitted with the charitable organization’s license application for review by the racing and charitable gaming commission. Under no circumstances shall a charitable organization sustain any loss from games of chance, such that its share of the gross revenues minus any prizes paid is less than zero dollars, during a license period with a single game operator. All contracts between a game operator employer and a charitable organization to conduct games of chance under this chapter shall contain the following language: “This agreement represents the entire agreement between the parties hereto. No charge or fee of any kind that is not contained in this agreement shall be required to be paid by the charity.”
6 Operation of Games of Chance; Fees. Amend RSA 287-D:3, VIII to read as follows:
VIII. The charitable organization shall retain no less than 35 percent of the gross revenues from any game of chance minus any prizes paid on any game date in which game operators licensed under RSA 287-D:2-c are involved in any capacity. Such revenues shall be used by the organization to advance its charitable purpose. No fee for any service provided by the game operator employer or primary game operator shall be allowed unless such fee is agreed to in writing and disclosed to the commission as part of the agreement between the game operator employer or primary game operator and the charity.
7 Financial Reports and Inspections. Amend RSA 287-D:5, I to read as follows:
I.(a) A charitable organization[, a licensed game operator employer, or a primary game operator under contract to conduct games of chance on behalf of a charitable organization and designated by the charitable organization to be responsible for submitting financial reports] shall submit a complete financial report for all game dates licensed under RSA 287-D:2 and RSA 287-D:2-a to the racing and charitable gaming commission on forms approved by the racing and charitable gaming commission within 15 days of the end of each month during which a game of chance was held.
(b) A licensed game operator or a primary game operator under contract to conduct games of chance on behalf of a charitable organization shall submit the financial reports required under subparagraph (a). In such case the charitable organization shall not be required to submit such report.
8 Definitions; Gambling and Gambling Machines. Amend RSA 647:2, II(d)-(e) to read as follows:
(d) “Gambling” means to risk something of value upon a future contingent event not under one’s control or influence, upon an agreement or understanding that something of value will be received in the event of a certain outcome, and includes the activity of conducting or playing sweepstakes or games of chance on a gambling machine.
(e) “Gambling machine” means any device or equipment which is capable of being used to play sweepstakes or games of chance and which [discharge] discharges money, or anything that may be exchanged for money or cash equivalent or opportunities to enter sweepstakes or play games of chance, or [to display] displays any symbol entitling a person to receive money or cash equivalent or opportunities to enter sweepstakes or play games of chance. This definition shall apply to an electronic device or equipment whether or not:
(1) It is server-based.
(2) It uses a simulated game terminal as a representation of the prizes associated with the results of the sweepstakes entries.
(3) It utilizes software such that the simulated game influences or determines the winning or value of the prize.
(4) It selects prizes from a predetermined, finite pool of entries.
(5) It utilizes a mechanism that reveals the content of a predetermined sweepstakes entry.
(6) It predetermines the prize results and stores those results for delivery at the time the sweepstakes entry results are revealed.
(7) It utilizes software to create a game result.
(8) It requires deposit of any money, coin, or token, or the use of any credit card, debit card, prepaid card, or any other method of payment to activate the electronic machine or device.
(9) It requires direct payment into the electronic machine or device, or remote activation of the electronic machine or device.
(10) It requires purchase of a product.
(11) The product, if any, has legitimate value.
(12) It reveals the prize incrementally, even though it may not influence if a prize is awarded or the value of any prize awarded.
(13) It determines and associates the prize with an entry or entries at the time the sweepstakes is entered.
(14) It is a slot machine or other form of electrical, mechanical, or computer game.
9 New Paragraph; Gambling; Promotional Sweepstakes. Amend RSA 647:2 by inserting after paragraph I-a the following new paragraph:
I-b. A person is guilty of a class B felony if a person knowingly and unlawfully promotes or conducts or offers a sweepstakes that is executed through the use of the visual display of an electronic machine. If the offense continues over consecutive days, the person shall be charged with a single continuing offense and notwithstanding RSA 651:2, IV, fined not less than $1,000 for each day that the violation occurs.
10 New Subparagraphs; Definitions; Sweepstakes; Visual Display. Amend RSA 647:2, II by inserting after subparagraph (g) the following new subparagraphs:
(h) “Sweepstakes” means any game, advertising scheme or plan or other promotion, which, with or without payment of any consideration, a person may enter to win or become eligible to receive any prize, the determination of which is based upon chance.
(i) “Visual display” means any visual information, capable of being seen by a person entering a sweepstakes that takes the form of an actual game play, or simulated game play, such as video poker, or any other video game not dependent on skill or dexterity that is played while revealing a prize as the result of an entry into a sweepstakes.
11 New Subparagraph; Poker in Private Residences. Amend RSA 647:2, V by inserting after subparagraph (c) the following new subparagraph:
(d) Poker games held in a private residence so long as the house takes no rake or compensation from the prize pool. The house in a poker game held in a private residence may take a fee from the players for dealing.
12 Effective Date. This act shall take effect upon its passage.
LBAO
12-2113
11/09/11
HB 1260-FN - FISCAL NOTE
AN ACT relative to certain contributions to pari-mutuel pools by race simulcasters in Cheshire county, compensation of charitable organizations by gaming operators, and unauthorized gambling machines and sweepstakes.
FISCAL IMPACT:
The Racing and Charitable Gaming Commission states this bill will have an indeterminable fiscal impact on education trust fund revenue in FY 2012 and each year thereafter. There will be no fiscal impact on state, county and local expenditures or county and local revenue.
METHODOLOGY:
The Racing and Charitable Gaming Commission states this bill allows for the offering of pay-by-the hour charitable games; removes limits on by-ins and re-buys; removes limits on wagers; and allows the playing of poker in private residences. The Commission states the offering of pay-by-the hour charitable games; removing limits on by-ins and re-buys; and removing limits on wagers may increase revenue to the education trust fund by an indeterminable amount. The Commission states allowing poker games in private residences will have an indeterminable fiscal impact on state revenue.