Bill Text: NJ S4021 | 2022-2023 | Regular Session | Introduced


Bill Title: Restricts advertising for casino games and sports pools under certain circumstances.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2023-06-26 - Introduced in the Senate, Referred to Senate State Government, Wagering, Tourism & Historic Preservation Committee [S4021 Detail]

Download: New_Jersey-2022-S4021-Introduced.html

SENATE, No. 4021

STATE OF NEW JERSEY

220th LEGISLATURE

 

INTRODUCED JUNE 26, 2023

 


 

Sponsored by:

Senator  JOSEPH P. CRYAN

District 20 (Union)

 

 

 

 

SYNOPSIS

     Restricts advertising for casino games and sports pools under certain circumstances.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act concerning the advertisement of casino games and sports wagering and amending P.L.1977, c.110 and P.L.2018, c.33.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    Section 70 of P.L.1977, c.110 (C.5:12-70) is amended to read as follows:

     70.  Required Regulations. a. The division shall, without limitation include the following specific provisions in its regulations in accordance with the provisions of this act:

     (1)   Prescribing the methods and forms of application and registration which any applicant or registrant shall follow and complete;

     (2)   Prescribing the methods, procedures and form for delivery of information concerning any person's family, habits, character, associates, criminal record, business activities and financial affairs;

     (3)   Prescribing such procedures for the fingerprinting of an applicant, employee of a licensee, or registrant, and methods of identification which may be necessary to accomplish effective enforcement of restrictions on access to the casino floor, the simulcasting facility, and other restricted areas of the casino hotel complex;

     (4)   Prescribing the method of notice to an applicant, registrant or licensee concerning the release of any information or data provided to the commission or division by such applicant, registrant or licensee;

     (5)   Prescribing the manner and procedure of all hearings conducted by the division or any hearing examiner, including special rules of evidence applicable thereto and notices thereof;

     (6)   Prescribing the manner and method of collection of payments of taxes, fees, and penalties;

     (7)   Defining and limiting the areas of operation, the rules of authorized games, including games played upon and wagered through the Internet, odds, and devices permitted, and the method of operation of such games and devices;

     (8)   Regulating the practice and procedures for negotiable transactions involving patrons, including limitations on the circumstances and amounts of such transactions, and the establishment of forms and procedures for negotiable instrument transactions, redemptions, and consolidations;

     (9)   Prescribing grounds and procedures for the revocation or suspension of operating certificates, licenses and registrations;

     (10) Governing the manufacture, distribution, sale, deployment, and servicing of gaming devices and equipment;

     (11) Prescribing for gaming operations the procedures, forms and methods of management controls, including employee and supervisory tables of organization and responsibility, and minimum security and surveillance standards, including security personnel structure, alarm and other electrical or visual security measures; provided, however, that the division shall grant an applicant for a casino license or a casino licensee broad discretion concerning the organization and responsibilities of management personnel who are not directly involved in the supervision of gaming or simulcast wagering operations;

     (12) Prescribing the qualifications of, and the conditions pursuant to which, engineers, accountants, and others shall be permitted to practice before the division or to submit materials on behalf of any applicant or licensee; provided, however, that no member of the Legislature, nor any firm with which said member is associated, shall be permitted to appear or practice or act in any capacity whatsoever before the commission or division regarding any matter whatsoever, nor shall any member of the family of the Governor or of a member of the Legislature be permitted to so practice or appear in any capacity whatsoever before the commission or division regarding any matter whatsoever;

     (13) Prescribing minimum procedures for the exercise of effective control over the internal fiscal affairs of a licensee, including provisions for the safeguarding of assets and revenues, the recording of cash and evidence of indebtedness, and the maintenance of reliable records, accounts, and reports of transactions, operations and events, including reports to the division;

     (14) Providing for a minimum uniform standard of accountancy methods, procedures and forms; a uniform code of accounts and accounting classifications; and such other standard operating procedures, including those controls listed in subsection a. of section 99 of P.L.1977, c.110 (C.5:12-99), as may be necessary to assure consistency, comparability, and effective disclosure of all financial information, including calculations of percentages of profit by games, tables, gaming devices and slot machines;

     (15) Requiring quarterly financial reports and the form thereof, and an annual audit prepared by a certified public accountant licensed to do business in this State, attesting to the financial condition of a licensee and disclosing whether the accounts, records and control procedures examined are maintained by the licensee as required by this act and the regulations promulgated hereunder;

     (16) Governing the gaming-related advertising of casino licensees, their employees and agents, with the view toward assuring that such advertisements are in no way deceptive or fraudulent; provided, however, that such regulations shall require the words "Bet with your head, not over it," or some comparable language approved by the division, to appear on all billboards, signs, and other on-site advertising of a casino operation and shall require the words "If you or someone you know has a gambling problem and wants help, call 1-800 GAMBLER," or some comparable language approved by the division, which language shall include the words "gambling problem" and "call 1-800 GAMBLER," to appear legibly on all print, billboard, and sign advertising of a casino operation; [and]

     (17) (Deleted by amendment, P.L.1991, c.182).

     (18) Concerning the distribution and consumption of alcoholic beverages on the premises of the licensee, which regulations shall be insofar as possible consistent with Title 33 of the Revised Statutes, and shall deviate only insofar as necessary because of the unique character of the hotel casino premises and operations; and

     (19) (Deleted by amendment, P.L.1991, c.182)

     (20) Governing the gaming-related advertising of casino licensees, and their contracted operators, to ensure their advertisements are not deceptive or fraudulent, do not direct unsolicited advertisements toward individuals on the list of self-excluded persons established pursuant to section 1 of P.L.2001, c.39 (C.5:12-71.2), and do not appeal directly to individuals under the legal age to gamble.

     b.    The commission shall, in its regulations, prescribe the manner and procedure of all hearings conducted by the commission, including special rules of evidence applicable thereto and notices thereof.

(cf: P.L.2013, c.27, s.7)

 

     2.    Section 4 of P.L.2018, c.33 (C.5:12A-13) is amended to read as follows:

     4. a. Except as otherwise provided by this act, the division shall have the authority to regulate sports pools, online sports pools, and the conduct of sports wagering under this act to the same extent that the division regulates casino games.  No casino or racetrack shall be authorized to operate a sports pool or online sports pool unless it has produced, to the satisfaction of the agency issuing the sports wagering license, information, documentation, and assurances concerning its financial background and resources, including cash reserves, that are sufficient to demonstrate that it has the financial stability, integrity, and responsibility to operate a sports pool or online sports pool.  In developing rules and regulations applicable to sports wagering, the division may examine the regulations implemented in other states where sports wagering is conducted and may, as far as practicable, adopt a similar regulatory framework.  The division, in consultation with the commission, shall promulgate regulations necessary to carry out the provisions of this act, including, but not limited to, regulations governing the:

     (1)   amount of cash reserves to be maintained by operators to cover winning wagers;

     (2)   acceptance of wagers on a series of sports events;

     (3)   maximum wagers which may be accepted by an operator from any one patron on any one sports event;

     (4)   type of wagering tickets which may be used;

     (5)   method of issuing tickets;

     (6)   method of accounting to be used by operators;

     (7)   types of records which shall be kept;

     (8)   use of credit and checks by patrons;

     (9)   type of system for wagering;

     (10) protections for a person placing a wager; [and]

     (11) display of the words, "If you or someone you know has a gambling problem and wants help, call 1-800 GAMBLER," or some comparable language approved by the division, which language shall include the words "gambling problem" and "call 1-800 GAMBLER," in all print, billboard, sign, online, or broadcast advertisements of a sports pool and online sports pool and in every sports wagering lounge; and

     (12) sports pool related advertising of sports wagering licensees, and their contracted operators, to ensure their advertisements are not deceptive or fraudulent, do not direct unsolicited advertisements toward individuals on the list of self-excluded persons established pursuant to section 1 of P.L.2001, c.39 (C.5:12-71.2), and do not appeal directly to individuals under the legal age to wager.

     b.    Notwithstanding any other provision of P.L.2018, c.33 (C.5:12A-10 et al.) or of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), to the contrary, during the 90-day period following the effective date of this act, the division and the racing commission may, after notice provided in accordance with this subsection, summarily adopt, amend, or repeal any order, rule, or regulation for a period not to exceed 270 days for the purpose of ensuring the expeditious and effective implementation of sports wagering at casinos or racetracks in accordance with this act.  Any summary rulemaking authorized by this subsection shall be subject to such terms and conditions as the division and the racing commission may deem appropriate.  Such rules shall be effective when published by the division and the racing commission on their respective websites and shall allow for the immediate application of any racetrack licensed by the racing commission, or casino licensed by the division, to the respective agency by which they are licensed or permitted, for a transactional waiver to immediately commence sports wagering.  Upon the filing of such application, these rules shall further provide that, upon a showing therein that the applicant is licensed or permitted by the appropriate agency, a sports wagering license shall immediately be issued to the respective applicant allowing for its immediate commencement of sports wagering subject to the condition that it conform to the entity and individual or other licensing, facility and any other requirements set forth in the respective rules of each within 270 days. In the event such rules are not complied with within such time period, the non-complying racetrack or casino will not thereafter be eligible to conduct sports wagering until such compliance is achieved. Notice of any emergency rulemaking action taken by the division or the racing commission pursuant to this subsection shall be published in the New Jersey Register, and provided to the newspapers designated by the division and racing commission pursuant to subsection d. of section 3 of P.L.1975, c.231 (C.10:4-8), not later than 30 days subsequent to the implementation of the emergency rules. The text of any emergency rule adopted by the division and the racing commission pursuant to this section shall be available in each racetrack, casino, sports wagering lounge, and simulcasting facility implementing the provisions of emergency rulemaking.

     c.     Any person employed on the effective date of this act, P.L.2018, c.33 (C.5:12A-10 et al.), by a permitholder in the admissions department or parimutuel clerk department of a racetrack operated by the permitholder shall be given a one-time right of first refusal offer of employment at the sports pool, including an online sports pool, that opens at that racetrack, for the then available positions of similar employment in that sports pool, or with any vendor contracting with the licensee to operate the sports pool.

(cf: P.L.2018, c.33, s.4)

 

     3.    This act shall take effect immediately.

 

 

STATEMENT

 

     Gambling on casino games or sporting events is a potentially addictive behavior that can result in mental, social, and financial stresses to an individual, their family, and their community.  While gambling in various forms and through various mediums is legal in this State, it is necessary to take steps to protect vulnerable populations in this State from the adverse effects associated with gambling.  This bill narrowly targets gambling advertisements that are fraudulent, or designed to entice individuals on the self-exclusion list, or who are under the legal age to gamble, while leaving available all other means and methods of advertising.

     This bill requires the Division of Gaming Enforcement to promulgate rules to restrict advertisements made by casino licensees and sports wagering licensees, and their contracted operators, that relate to casino games or sports wagering, only if those advertisements (1) are fraudulent or deceptive, (2) are directed at individuals on the lawfully established self-exclusion list, or (3) directly appeal to individuals under the legal age to gamble or wager.  

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