Bill Text: TX HB2329 | 2015-2016 | 84th Legislature | Introduced

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Bill Title: Relating to the operation of casino gaming in this state by licensed persons in counties that have approved casino gaming; requiring occupational licenses or certifications; creating criminal offenses and providing other penalties; authorizing fees.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2015-03-16 - Referred to Licensing & Administrative Procedures [HB2329 Detail]

Download: Texas-2015-HB2329-Introduced.html

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84R9178 YDB-D
By: Gutierrez H.B. No. 2329

A BILL TO BE ENTITLED
AN ACT
relating to the operation of casino gaming in this state by licensed
persons in counties that have approved casino gaming; requiring
occupational licenses or certifications; creating criminal
offenses and providing other penalties; authorizing fees.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle A, Title 13, Occupations Code, is
amended by adding Chapter 2004 to read as follows:
CHAPTER 2004. CASINO GAMING
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 2004.001. DEFINITIONS. In this chapter:
(1) "Casino game" means any game of chance, including
a game of chance in which the outcome may be partially determined by
skill or ability, that involves the making of a bet, as defined by
Section 47.01, Penal Code.
(2) "Casino gaming" means the conduct of casino games
authorized under this chapter.
(3) "Casino gaming manager" means a person certified
under this chapter to manage casino gaming operations at a location
authorized under this chapter to conduct casino gaming in this
state.
(4) "Commission" means the Texas Lottery Commission.
(5) "Executive director" means the executive director
of the commission.
(6) "Gaming vendor" means a person licensed under this
chapter to provide, maintain, manufacture, distribute, sell, or
lease casino gaming equipment and services to a person authorized
to operate casino gaming in this state.
Sec. 2004.002. APPLICABILITY OF FEDERAL LAW. All shipments
of casino gaming equipment and devices into, out of, or within this
state in connection with casino gaming 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.
SUBCHAPTER B. ADMINISTRATION
Sec. 2004.051. POWERS AND DUTIES OF COMMISSION AND
EXECUTIVE DIRECTOR. (a) The commission and executive director
have broad authority and shall exercise strict control over and
closely monitor casino gaming in this state to protect the public
health, welfare, and safety and ensure integrity, security,
honesty, and fairness in the conduct and administration of casino
gaming.
(b) The executive director may contract with or employ a
person to perform a function, activity, or service in connection
with casino gaming as prescribed by the executive director.
(c) The commission shall as necessary to protect the public
health and safety:
(1) monitor casino gaming operations on a continuing
basis;
(2) establish standards for:
(A) the operation of casino gaming;
(B) the provision of casino gaming equipment and
services; and
(C) the establishment and maintenance of casino
gaming facilities; and
(3) inspect and examine all gaming facilities,
equipment, services, records, and operations to ensure compliance
with the standards established by the commission.
Sec. 2004.052. RULES AND PROCEDURES. (a) The commission
shall adopt all rules necessary to supervise casino gaming in this
state, administer this chapter, and ensure the security of casino
gaming operations in this state.
(b) The commission shall establish procedures for the
approval, monitoring, and inspection of casino gaming operations as
necessary to protect the public health, welfare, and safety and the
integrity of this state and to prevent financial loss to this state.
Sec. 2004.053. FEES. The commission shall establish the
application, certification, and certification renewal fees for
each type of certification issued under this chapter in amounts
reasonable and necessary to cover the state's costs incurred in the
administration of this chapter and the regulation of casino gaming.
Sec. 2004.054. ANNUAL REPORT. The commission shall make an
annual report to the governor, the comptroller, and the legislature
that provides a summary of casino gaming revenues and expenses for
the state fiscal year preceding the report. The report must be in
the form and reported at the time provided by the General
Appropriations Act.
Sec. 2004.055. INVESTIGATIONS. The commission may
investigate a violation or alleged violation of:
(1) this chapter by any person; or
(2) the penal laws of this state in connection with the
administration of this chapter, the regulation of casino gaming, or
the conduct of casino gaming by a person authorized to operate
casino gaming under this chapter.
SUBCHAPTER C. CASINO GAMING
Sec. 2004.101. CASINO GAMING OPERATOR LICENSE. A person
may not conduct casino gaming in this state unless:
(1) the person holds a casino gaming operator license
issued under this chapter; and
(2) the casino is in a county in which a majority of
the voters of the county voted in favor of authorizing casino gaming
in that county in accordance with Subchapter F or Section 47a(b),
Article III, Texas Constitution.
Sec. 2004.102. CERTIFICATES REQUIRED. (a) A person may not
provide, maintain, manufacture, distribute, sell, or lease casino
games or casino gaming equipment or services for use in this state
unless the person holds a gaming vendor certificate issued under
this chapter.
(b) A person may not act as a casino gaming manager for a
gaming facility in this state unless the person holds a casino
gaming manager certificate issued under this chapter.
(c) Unless the person holds the required gaming employee
certificate, a person may not act as a gaming employee in any gaming
employee position for which the commission by rule requires a
person to hold a certificate issued under this chapter.
Sec. 2004.103. GAMING VENDOR CERTIFICATE. (a) The
commission shall issue a gaming vendor certificate to an eligible
person with the resources and experience required to provide casino
games or casino gaming equipment and services for casino gaming
operations authorized under this chapter.
(b) The commission by rule shall establish the minimum
qualifications for a gaming vendor certificate to ensure a
competitive market for casino gaming equipment and services and the
availability of reliable casino gaming equipment and services,
consistent with the health and safety of the public.
Sec. 2004.104. CASINO GAMING MANAGER CERTIFICATE. (a) The
commission shall issue a casino gaming manager certificate to an
eligible person with the qualifications and experience required to
manage casino gaming operations under this chapter.
(b) The commission by rule shall establish the minimum
qualifications for a casino gaming manager certificate necessary to
protect the health and safety of the public.
Sec. 2004.105. GAMING EMPLOYEE CERTIFICATE. The commission
by rule and as necessary to protect the health and safety of the
public may establish other gaming employee positions that require a
certificate issued under this chapter to act in those positions.
Sec. 2004.106. BACKGROUND INVESTIGATIONS. Before issuing a
certificate to a person under this chapter, the commission shall
conduct a background investigation that includes obtaining
criminal history record information of the person seeking the
certificate to assist the commission in determining the person's
eligibility or suitability for the certificate.
SUBCHAPTER D. REVENUE
Sec. 2004.151. STATE CASINO GAMING ACCOUNT. The state
casino gaming account is a special account in the general revenue
fund. The account consists of all revenue received by the
commission from casino gaming, fees received under this chapter,
and all money credited to the account from any other fund or source
under law.
SUBCHAPTER E. OFFENSES; PENALTIES
Sec. 2004.201. MANIPULATION OR TAMPERING. (a) A person
commits an offense if the person intentionally or knowingly
manipulates the outcome of a casino game, the amount of a casino
game prize, or the operation of a casino gaming device by physical,
electronic, or other means, other than in accordance with
commission rules.
(b) An offense under this section is a felony of the third
degree.
Sec. 2004.202. SALE OF CASINO GAME TO PERSON YOUNGER THAN 18
YEARS OF AGE. (a) A casino gaming manager or an employee or agent
of a casino gaming manager commits an offense if the person
intentionally or knowingly:
(1) sells or offers to sell a play of a casino game to
an individual the person knows is younger than 18 years of age or
permits the individual to purchase a play of a casino game; or
(2) pays money or issues a credit slip or other
winnings for a play of a casino game to an individual the person
knows is younger than 18 years of age.
(b) An individual who is younger than 18 years of age
commits an offense if the individual:
(1) purchases a play of a casino game;
(2) accepts money, a credit slip, or other payment of
winnings for play of a casino game; or
(3) falsely represents the individual to be 18 years
of age or older by displaying evidence of age that is false or
fraudulent or misrepresents in any way the individual's age in
order to purchase a play of a casino game.
(c) An offense under Subsection (a) is a Class B
misdemeanor.
(d) An offense under Subsection (b) is a misdemeanor
punishable by a fine not to exceed $250.
Sec. 2004.203. DISCIPLINARY ACTION. (a) The commission
may refuse to issue a license or certificate or may revoke, suspend,
or refuse to renew a license or certificate or may reprimand a
license or certificate holder for a violation of this chapter,
other state law, or a rule of the commission.
(b) If the commission proposes to take action against a
license or certificate holder or applicant under Subsection (a),
the license or certificate holder or applicant is entitled to
notice and a hearing.
(c) The commission may place on probation subject to
reasonable conditions a person whose license or certificate is
suspended under this section.
(d) The commission may summarily suspend a license or
certificate issued under this chapter in the same manner as the
commission is authorized to suspend a license under Section
466.160, Government Code, if the commission determines that the
action is necessary to maintain the integrity, security, or
fairness of casino gaming.
(e) The commission by rule shall develop a system for
monitoring a license or certificate holder's compliance with this
chapter.
Sec. 2004.204. ADMINISTRATIVE PENALTY. (a) The commission
may impose an administrative penalty against a person who violates
this chapter or a rule or order adopted by the commission under this
chapter in the same manner as the commission is authorized to impose
an administrative penalty under Subchapter M, Chapter 2001.
(b) The amount of the administrative penalty may not exceed
$1,000 for each violation. Each day a violation continues or occurs
may be considered a separate violation for purposes of imposing a
penalty.
(c) In determining the amount of the penalty, the executive
director shall consider:
(1) the seriousness of the violation, including the
nature, circumstances, extent, and gravity of the violation;
(2) the history of previous violations;
(3) the amount necessary to deter future violations;
(4) efforts to correct the violation; and
(5) any other matter that justice may require.
(d) The notice, hearing, and appeal for an administrative
penalty assessed under this section shall be provided or conducted
in the same manner as notice, hearing, and appeals are provided or
conducted under Subchapter M, Chapter 2001.
Sec. 2004.205. CIVIL PENALTY. (a) A person who violates
this chapter or a rule adopted by the commission under this chapter
is liable to the state for a civil penalty not to exceed $5,000 for
each day of violation.
(b) At the request of the commission, the attorney general
shall bring an action to recover a civil penalty authorized by this
section. The attorney general may recover reasonable expenses,
including attorney's fees, incurred in recovering the civil
penalty.
SUBCHAPTER F. LOCAL OPTION ELECTIONS
Sec. 2004.251. ORDERING LOCAL OPTION ELECTION. The
commissioners court of a county may at any time order an election to
legalize casino gaming under this chapter in that county. The
commissioners court shall order and hold an election to legalize
casino gaming under this chapter in the county if the commissioners
court is presented with a petition that meets the requirements of
Section 2004.252 and is certified as valid under Section 2004.253.
Sec. 2004.252. PETITION REQUIREMENTS. (a) 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)."
(b) 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.
(c) 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.
(d) Each voter must provide on the petition the voter's
current voter registration number, printed name, and residence
address, including zip code.
Sec. 2004.253. VERIFICATION. (a) Not later than the fifth
day after the date a petition for an election under this chapter is
received in the office of the commissioners court, the
commissioners court shall submit the petition for verification to
the county clerk.
(b) The county clerk shall determine whether the petition is
signed by the required number of registered voters of the county.
Not later than the 30th day after the date the petition is submitted
to the clerk for verification, the clerk shall certify in writing to
the commissioners court whether the petition is valid or invalid.
If the clerk determines that the petition is invalid, the clerk
shall state the reasons for that determination.
Sec. 2004.254. ORDERING ELECTION. If the county clerk
certifies that a petition 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 under Section 41.001, Election Code, that allows
sufficient time to comply with applicable provisions of law,
including Section 3.005, Election Code. The commissioners court
shall state in the order the issue to be voted on. The county clerk
shall notify the commission by certified mail, return receipt
requested, that an election has been ordered.
Sec. 2004.255. BALLOT PROPOSITION. 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)."
Sec. 2004.256. ELECTION RESULTS. (a) If the majority of
the votes cast in a legalization election favor the legalization of
casino gaming, casino gaming authorized under this chapter is
permitted within the county holding the election effective on the
10th day after the date of the election.
(b) The commissioners court of a county in which a
legalization election has been held shall give written notice of
the results of the election to the commission not later than the
third day after the date the election is canvassed.
(c) If less than a majority of the votes cast in a
legalization election in any county are cast in favor of the
legalization of casino gaming, casino gaming is not authorized 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.
(d) If less than a majority of the votes cast in two
consecutive legalization elections within any county are cast in
favor of the legalization of casino gaming, casino gaming is not
authorized 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.
SECTION 2. Section 411.108(a-1), Government Code, is
amended to read as follows:
(a-1) The Texas Lottery Commission is entitled to obtain
from the department criminal history record information maintained
by the department that relates to:
(1) a person licensed under Chapter 2001, Occupations
Code, or described by Section 2001.3025, Occupations Code; or
(2) a person holding or applying for a license or
certificate under Chapter 2004, Occupations Code.
SECTION 3. Section 466.024(b), Government Code, is amended
to read as follows:
(b) The commission shall adopt rules prohibiting the
operation of any game using a video lottery machine or video gaming
machine, except in accordance with Chapter 2004, Occupations Code.
SECTION 4. Section 47.02(c), Penal Code, is amended to read
as follows:
(c) It is a defense to prosecution under this section that
the actor reasonably believed that the conduct:
(1) was permitted under Chapter 2001, Occupations
Code;
(2) was permitted under Chapter 2002, Occupations
Code;
(3) was permitted under Chapter 2004, Occupations
Code;
(4) consisted entirely of participation in the state
lottery authorized by [the State Lottery Act (]Chapter 466,
Government Code[)];
(5) [(4)] was permitted under the Texas Racing Act
(Article 179e, Vernon's Texas Civil Statutes); or
(6) [(5)] consisted entirely of participation in a
drawing for the opportunity to participate in a hunting, fishing,
or other recreational event conducted by the Parks and Wildlife
Department.
SECTION 5. Section 47.09, Penal Code, is amended by
amending Subsection (a) and adding Subsection (c) to read as
follows:
(a) It is a defense to prosecution under this chapter that
the conduct:
(1) was authorized under:
(A) Chapter 2001, Occupations Code;
(B) Chapter 2002, Occupations Code; [or]
(C) Chapter 2004, Occupations Code; or
(D) the Texas Racing Act (Article 179e, Vernon's
Texas Civil Statutes);
(2) consisted entirely of participation in the state
lottery authorized by Chapter 466, Government Code; or
(3) was a necessary incident to the operation of the
state lottery and was directly or indirectly authorized by:
(A) Chapter 466, Government Code;
(B) the lottery division of the Texas Lottery
Commission;
(C) the Texas Lottery Commission; or
(D) the director of the lottery division of the
Texas Lottery Commission.
(c) Subsection (a)(1)(C) applies to a person manufacturing,
possessing, or operating a gambling device under a license or
certificate under Chapter 2004, Occupations Code.
SECTION 6. Chapter 47, Penal Code, is amended by adding
Section 47.095 to read as follows:
Sec. 47.095. INTERSTATE OR FOREIGN COMMERCE DEFENSE. It is
a defense to prosecution under this chapter that a person sells,
leases, transports, possesses, stores, or manufactures a gambling
device with the authorization of the Texas Lottery Commission under
Chapter 2004, Occupations Code, for transportation in interstate or
foreign commerce.
SECTION 7. (a) As soon as practicable after the effective
date of this Act, the Texas Lottery Commission shall adopt the rules
necessary to implement casino gaming in accordance with Chapter
2004, Occupations Code, as added by this Act.
(b) The Texas Lottery Commission may adopt initial rules for
purposes of implementing casino gaming in accordance with Chapter
2004, Occupations Code, as added by this Act, that expire not later
than May 1, 2016. Chapter 2001, Government Code, does not apply to
the adoption of those rules. This subsection expires June 1, 2016.
SECTION 8. This Act takes effect December 1, 2015, but only
if the constitutional amendment authorizing the legislature to
authorize the operation of casino games in this state by licensed
persons in counties that have approved casino gaming is approved by
the voters. If that amendment is not approved by the voters, this
Act has no effect.