Bill Text: TX HB3575 | 2011-2012 | 82nd Legislature | Introduced
Bill Title: Relating to the operation of casino gaming in this state by federally recognized Indian tribes on certain land; providing penalties.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2011-03-29 - Left pending in committee [HB3575 Detail]
Download: Texas-2011-HB3575-Introduced.html
82R12497 YDB-F | ||
By: Thompson | H.B. No. 3575 |
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relating to the operation of casino gaming in this state by | ||
federally recognized Indian tribes on certain land; providing | ||
penalties. | ||
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 BY | ||
FEDERALLY RECOGNIZED INDIAN TRIBES | ||
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. The term does not include: | ||
(A) conduct authorized under Chapters 2001 and | ||
2002; | ||
(B) wagering on a horse or greyhound race | ||
authorized under the Texas Racing Act (Article 179e, Vernon's Texas | ||
Civil Statutes); | ||
(C) gambling permitted under Chapter 47, Penal | ||
Code; or | ||
(D) conduct authorized under Chapter 466, | ||
Government 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. | ||
(7) "Indian lands" means lands on which a federally | ||
recognized Indian tribe may be authorized to conduct casino gaming | ||
under Section 47a, Article III, Texas Constitution. | ||
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. | ||
[Sections 2004.003-2004.050 reserved for expansion] | ||
SUBCHAPTER B. ADMINISTRATION | ||
Sec. 2004.051. POWERS AND DUTIES OF COMMISSION AND | ||
EXECUTIVE DIRECTOR. (a) The commission and executive director, | ||
consistent with the applicable gaming compact entered into under | ||
Subchapter D, 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. | ||
(d) The commission may demand access to and inspect, | ||
examine, and audit all records regarding gross revenue of casino | ||
gaming operations of an Indian tribe authorized to conduct casino | ||
gaming under this chapter. | ||
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 | ||
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. (a) The commission may | ||
investigate a violation or alleged violation of this chapter by any | ||
person. | ||
(b) The Department of Public Safety may investigate a | ||
violation or alleged violation of 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. | ||
[Sections 2004.056-2004.100 reserved for expansion] | ||
SUBCHAPTER C. CASINO GAMING | ||
Sec. 2004.101. AUTHORIZATION OF CASINO GAMING. Casino | ||
gaming may be conducted in this state only: | ||
(1) by a federally recognized Indian tribe that may be | ||
authorized to operate casino games under Section 47a, Article III, | ||
Texas Constitution; and | ||
(2) on the tribe's Indian lands in this state. | ||
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 | ||
license, 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. (a) 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. | ||
(b) The Department of Public Safety may enter into an | ||
agreement with an Indian tribe to conduct background investigations | ||
for the tribe related to casino gaming. | ||
[Sections 2004.107-2004.150 reserved for expansion] | ||
SUBCHAPTER D. COMPACT | ||
Sec. 2004.151. COMPACT WITH FEDERALLY RECOGNIZED INDIAN | ||
TRIBE. (a) As authorized by Section 47a, Article III, Texas | ||
Constitution, notwithstanding any other law, the chairman of a | ||
federally recognized Indian tribe may execute a gaming compact | ||
containing the terms set forth in Subsection (b) on receipt of a | ||
duly enacted resolution of the governing body of the tribe | ||
authorizing the chairman to execute the compact and on submission | ||
of a copy of the resolution to the secretary of state. The | ||
secretary of state is not required to take any further action before | ||
the gaming compact becomes effective. The executed gaming compact | ||
between the state and the tribe is intended to fulfill tribal-state | ||
compact requirements under the Indian Gaming Regulatory Act (25 | ||
U.S.C. Section 2710(d)). The tribe is responsible for submitting a | ||
copy of the executed agreement to: | ||
(1) the Texas secretary of state; and | ||
(2) the United States secretary of the interior for | ||
approval and publication in the Federal Register. | ||
(b) The gaming compact described by Subsection (a) must be | ||
in substantially the following form: | ||
GAMING COMPACT BETWEEN [Insert name of TRIBE] | ||
AND THE STATE OF TEXAS | ||
This Compact is entered into between [insert name of Tribe], | ||
a federally recognized Indian Tribe, and the State of Texas, | ||
authorizing the operation of casino games (as defined herein) on | ||
the Tribe's Indian lands as defined in Part III of this Compact. | ||
PART I. TITLE | ||
This document shall be referred to as the "[Insert name of | ||
Tribe] and State of Texas Gaming Compact." | ||
PART II. RECITALS | ||
1. The Tribe is a federally recognized tribal government | ||
with sovereign powers and rights of self-government. | ||
2. The State is a state of the United States possessing the | ||
sovereign powers and rights of a state. | ||
3. The State and the Tribe maintain a | ||
government-to-government relationship, and this Compact will | ||
foster mutual respect and understanding between those governments. | ||
4. The Tribe and the State jointly intend to protect the | ||
integrity of gaming regulated under this Compact. | ||
5. The gaming under this Compact will further the purposes | ||
of promoting tribal economic development, self-sufficiency, and | ||
strong tribal government. | ||
PART III. DEFINITIONS | ||
In this Compact: | ||
A. "Commission" means the Texas Lottery Commission, which | ||
is the state governmental agency authorized to carry out the | ||
State's regulatory responsibilities under this Compact, or another | ||
state agency the State authorizes to carry out the State's | ||
regulatory responsibilities under this Compact. | ||
B. "Compact" means this gaming compact between the Tribe | ||
and the State. | ||
C. "Casino Game" or "Casino Gaming Activity" means any game | ||
that involves the making of a bet, as defined by Section 47.01, | ||
Penal Code, for consideration, including a banking or percentage | ||
game played with cards, dice, or a mechanical, electromechanical, | ||
or electronic device or machine for money, property, checks, | ||
credit, or a representative of value. The term includes roulette, | ||
blackjack, craps, poker, slot machines, any other electronic games | ||
of chance, and any other casino game permitted by State law for any | ||
person. | ||
D. "Covered Gaming Employee" means an individual employed | ||
and licensed by the Tribe whose responsibilities include providing | ||
services related to the operation, maintenance, or management of | ||
Casino Games. The term includes: | ||
1. managers and assistant managers; | ||
2. accounting personnel; | ||
3. surveillance and security personnel; | ||
4. cashiers, supervisors, and floor personnel; | ||
5. cage personnel; and | ||
6. any other employee whose employment duties require | ||
or authorize access to restricted areas of a facility. | ||
E. "Covered Gaming Vendor" means a person who provides, | ||
maintains, manufactures, distributes, sells, or leases casino | ||
gaming equipment and services to a Casino Gaming Operation. | ||
F. "Document" means a book, a record, an electronic, | ||
magnetic, or computer media document, or other written material. | ||
G. "Effective Date" means the date on which the Compact | ||
becomes effective under Part XIII.A. of this Compact. | ||
H. "Casino Gaming Facility" means a building or buildings of | ||
the Tribe in which a Casino Game authorized by this Compact is | ||
conducted on the Tribe's Indian lands. | ||
I. "Casino Gaming Manager" means a person licensed pursuant | ||
to this Compact to manage a Casino Gaming Operation at a location | ||
authorized to conduct Casino Gaming in the State. | ||
J. "Casino Gaming Operation" means the tribal business | ||
enterprise that offers and operates Casino Games. | ||
K. "Department" means the Department of Public Safety of the | ||
State of Texas. | ||
L. "Gross Gaming Revenue" means the total receipts from the | ||
play of all Casino Games less all prize payouts and participation | ||
fees. | ||
M. "IGRA" means the Indian Gaming Regulatory Act (Pub. L. | ||
No. 100-497). | ||
N. "Independent Certified Public Accountant" means an | ||
accountant licensed by the State to practice as an independent | ||
certified public accountant. | ||
O. "Indian lands" means: | ||
1. land that was held in trust by the United States on | ||
January 1, 2011, for the benefit of the Tribe or an individual | ||
member of the Tribe and over which the Tribe exercises governmental | ||
power; and | ||
2. land that is acquired by the Tribe that is not more | ||
than five miles from the border of land described in Part III.O.1. | ||
of this Compact. | ||
P. "Participation Fee" means a payment made to a supplier on | ||
a periodic basis by the Tribe for the right to lease or otherwise | ||
offer for play a gaming device that the Tribe does not own for | ||
authorized Casino Gaming Activity. | ||
Q. "Patron" means a person who is on the premises of a Casino | ||
Gaming Facility or who is entering the Tribe's Indian lands for the | ||
purpose of playing a Casino Game authorized by this Compact. | ||
R. "Rules" means rules adopted by the Commission or the | ||
Tribal Regulatory Agency to implement this Compact. | ||
S. "State" means the State of Texas. | ||
T. "Tribal Regulatory Agency" ("TRA") means the agency | ||
designated by the Tribe to exercise regulatory authority pursuant | ||
to this Compact. | ||
U. "Tribe" means the [insert name of Tribe], a federally | ||
recognized Indian tribe. | ||
PART IV. AUTHORIZATION AND LOCATION OF CASINO GAMES | ||
The Tribe and State agree that the Tribe is authorized to | ||
operate Casino Games in a Casino Gaming Facility on the Tribe's | ||
Indian lands in accordance with the provisions of this Compact. | ||
PART V. RULES; MINIMUM REQUIREMENTS | ||
A. The Tribe is responsible for all duties assigned to the | ||
Tribe and the TRA under this Compact. The TRA shall adopt any rules | ||
necessary to implement this Compact. The rules must: | ||
1. require licensing of Casino Gaming Facilities, | ||
Casino Gaming Managers, Covered Gaming Employees, and Covered | ||
Gaming Vendors; | ||
2. establish minimum Internal Control Standards and | ||
require the Tribe to engage an Independent Certified Public | ||
Accountant to perform agreed procedures and to report on the Gaming | ||
Operation's compliance with those standards; | ||
3. establish safeguards against problem gambling; | ||
4. require annual audits, including an audit of the | ||
Financial Statements of the Casino Gaming Operation by an | ||
Independent Certified Public Accountant; | ||
5. require the posting of rules for all Casino Games; | ||
6. prohibit underage gambling; | ||
7. require investigation of all suspected violations | ||
of the Compact; | ||
8. include procedures for resolving Patron disputes; | ||
9. include public health and safety standards that are | ||
at least as stringent as applicable federal law; and | ||
10. include building codes that are at least as | ||
stringent as a building code of the State or a local government in | ||
the area of the casino. | ||
B. The Commission may adopt the additional rules necessary | ||
to ensure proper implementation of this Compact, protect the public | ||
health, welfare, and safety, preserve the integrity of the State, | ||
the Indian tribe, and any Casino Gaming Operations on Indian lands, | ||
and prevent financial loss to the State and the Indian tribe. | ||
PART VI. TORT CLAIMS; LIMITED CONSENT TO SUIT | ||
A. The Tribe shall ensure that a Patron of a Casino Gaming | ||
Facility is afforded due process in seeking just compensation for a | ||
tort claim for personal injury or property damage against a Casino | ||
Gaming Facility arising out of an incident occurring at a Casino | ||
Gaming Facility. | ||
B. The Tribe shall maintain public liability insurance in | ||
the amount of $5 million for the express purposes of providing | ||
coverage for a tort claim. | ||
C. Nothing in this section requires the Tribe to waive its | ||
immunity from suit except to the extent of the policy limits | ||
required by this part. | ||
PART VII. STATE REGULATION AND ENFORCEMENT | ||
A. The Commission may audit all records regarding Gross | ||
Gaming Revenue of the Casino Gaming Operation, the conduct of any | ||
Casino Game, and the Casino Gaming Operation to determine | ||
compliance with this Compact. | ||
B. An agent of the Commission or the Department may have, | ||
without prior notice, unfettered access to all public areas of the | ||
Casino Gaming Facility. A Commission or Department agent may also | ||
have access to nonpublic areas of the Casino Gaming Facility | ||
immediately on giving the TRA notice of the agent's arrival and | ||
providing proper photographic identification. | ||
C. Subject to this Compact, a Commission agent has the right | ||
to review and request a copy of any Document of the Casino Gaming | ||
Facility related to the conduct of a Casino Game, including the | ||
required annual financial audit, agreed procedures report, and the | ||
workpapers of the Independent Certified Public Accountant. The | ||
review and copying of Documents must be during normal business | ||
hours. | ||
D. The Commission may investigate a violation or alleged | ||
violation of this Compact. The Department may investigate a | ||
violation of the penal laws of this State in connection with the | ||
administration of this Compact or the conduct of Casino Gaming by a | ||
person authorized to operate Casino Gaming under this Compact. | ||
PART VIII. LICENSING | ||
A. The TRA shall require completion of an application by any | ||
Casino Gaming Manager, Covered Gaming Employee, or Covered Gaming | ||
Vendor and shall conduct a background investigation of each | ||
applicant to determine whether the applicant is suitable to be | ||
licensed for association with the Casino Gaming Operation. | ||
Suitability standards shall be established by rules adopted by the | ||
TRA and shall protect the integrity of the Casino Gaming Operation | ||
and the health and safety of the public. | ||
B. The TRA may enter into an agreement with the Department, | ||
pursuant to Section 2004.106, Occupations Code, to obtain criminal | ||
history record information. The Department shall cooperate in | ||
furnishing to the TRA that information, unless doing so would | ||
violate any agreement the Department has with a source of the | ||
information other than the applicant, or would impair or impede a | ||
criminal investigation, or unless the TRA cannot provide sufficient | ||
safeguards to assure the Department that the information will | ||
remain confidential. | ||
C. The Commission may require completion of an application | ||
by any Casino Gaming Manager, Covered Gaming Employee, or Covered | ||
Gaming Vendor and may conduct a background investigation pursuant | ||
to state law to determine whether the Casino Gaming Manager, | ||
Covered Gaming Employee, or Covered Gaming Vendor applicant would | ||
be suitable to be certified for association with the Casino Gaming | ||
Operation. The Commission and the TRA shall cooperate and share | ||
information. On completion of the necessary background | ||
investigation, the Commission shall issue a notice to the TRA | ||
certifying that the Commission determined that the applicant would | ||
be suitable, or that the applicant would be unsuitable, for | ||
association with the Casino Gaming Operation and, if unsuitable, | ||
stating the reasons for unsuitability. The Tribe may not employ, | ||
continue to employ, or purchase, lease, or otherwise obtain any | ||
gaming equipment or services from any Casino Gaming Manager, | ||
Covered Gaming Employee, or Covered Gaming Vendor whose application | ||
for certification or for renewal of certification has been denied | ||
by the Commission. | ||
D. The Casino Gaming Operation and Casino Gaming Facility | ||
shall be licensed by the TRA and certified by the Commission in | ||
conformance with the requirements of this Compact before the | ||
commencement of operation and annually after commencement. Before | ||
the initial commencement of the operation, the Commission and the | ||
TRA shall verify compliance with this requirement through a joint | ||
pre-operation inspection and shall issue a license or | ||
certification, as appropriate. | ||
E. The Commission shall establish application and | ||
certification fees in amounts reasonable and necessary to cover the | ||
State's costs incurred in the administration of this Compact. | ||
PART IX. PAYMENTS TO THE STATE OF TEXAS | ||
A. In consideration of the substantial exclusivity | ||
established under this agreement, the Tribe agrees to pay the State | ||
a fee derived from the operation of Casino Games in an amount equal | ||
to eight percent of the Gross Gaming Revenue received by the Tribe | ||
in a calendar year from the play of the Casino Games. The fee is due | ||
and payable not later than the 20th day after the last day of the | ||
preceding quarter for the revenue received by the Tribe in the | ||
preceding quarter and shall be made to the comptroller of public | ||
accounts of the State of Texas. The Tribe may direct that, of the | ||
eight percent total annual fee, the percentage authorized by | ||
Chapter 2004, Occupations Code, be paid by the Tribe to local | ||
governments for government services that benefit the general | ||
public, including public safety, mitigation of the impacts of | ||
gaming, or promotion of commerce and economic development. | ||
B. If after the effective date of this Compact state law | ||
changes to allow the operation of video lottery terminals, slot | ||
machines, or any other forms of Casino Gaming by any person at a | ||
location within 70 miles of the Tribe's Indian lands as of the date | ||
of the Compact, the Tribe may cease payments under the revenue | ||
sharing provisions required under Part IX.A. of this Compact. | ||
PART X. DISPUTE RESOLUTION | ||
A dispute under this Compact shall be resolved according to | ||
the following procedures: | ||
A. A party asserting noncompliance shall serve written | ||
notice on the other party, identifying the provision in dispute and | ||
the factual basis for the claim. Representatives of the Tribe and | ||
State shall meet in an effort to resolve the dispute not later than | ||
the 30th day after the date of receipt of notice. | ||
B. If the parties are unable to resolve a dispute through | ||
the process under Part X.A. of this Compact, notwithstanding any | ||
other provision of law, the State or Tribe may bring an action in a | ||
federal district court regarding the dispute in a district in which | ||
the federal court has venue. If the federal district court declines | ||
to exercise jurisdiction, the State or the Tribe may bring the | ||
action in state court. | ||
C. For purposes of an action based solely on a dispute | ||
between the State and the Tribe that arises under this Compact and | ||
the enforcement of any judgment resulting from the action, the | ||
State and the Tribe expressly waive the right to assert sovereign | ||
immunity from suit and from enforcement of any judgment, and | ||
consent to be sued in all levels of federal or state court, provided | ||
that: | ||
1. the dispute is limited solely to issues arising | ||
under this Compact; | ||
2. the action does not include a claim for monetary | ||
damages, other than payment of any money required by the terms of | ||
this Compact, and injunctive relief or specific performance | ||
enforcing a provision of this Compact requiring the payment of | ||
money to the State may be sought; and | ||
3. nothing in this Compact may be construed to | ||
constitute a waiver of the sovereign immunity of the State or the | ||
Tribe with respect to a third party that is made a party or | ||
intervenes as a party in such action. | ||
D. In the event that intervention, joinder, or other | ||
participation by a third party in any action between the State and | ||
the Tribe would result in the waiver of the State's or the Tribe's | ||
sovereign immunity to the third party's claim, the waiver of the | ||
State or the Tribe under this Compact may be revoked. | ||
PART XI. FEDERAL APPROVAL | ||
A. If at any time the Tribe is subject to IGRA, this Compact | ||
is intended to meet the requirements of the IGRA on the effective | ||
date of this Compact. Changes to the IGRA after the effective date | ||
of this Compact that diminish the rights of the State or Tribe may | ||
not be applied to alter the terms of this Compact, except to the | ||
extent that federal law mandates that retroactive application | ||
without the respective consent of the State or Tribe. If at any | ||
time during the term of this Compact the Tribe becomes subject to | ||
IGRA, this Compact shall be automatically converted to a | ||
tribal-state Compact under 25 U.S.C. Section 2710(d). | ||
PART XII. NOTICES | ||
A notice required under this Compact must be given by | ||
certified mail, return receipt requested, commercial overnight | ||
courier service, or personal delivery, to: | ||
Texas Secretary of State | ||
Capitol Building | ||
1100 Congress | ||
Austin, TX 78701 | ||
[Insert Title of Tribal Official] | ||
[Insert name of Tribe] | ||
[Insert street address of Tribe] | ||
[Insert city, state, Zip Code of Tribe] | ||
With copies to the general counsel for each party. | ||
PART XIII. EFFECTIVE DATE AND TERM | ||
A. This Compact is effective on due execution of the Tribe, | ||
and if applicable, on approval of the United States Secretary of the | ||
Interior as a tribal-state compact under the IGRA either by | ||
publication of the notice of approval in the Federal Register or by | ||
operation of law under 25 U.S.C. Section 2710(d)(8)(C). | ||
B. This Compact has a term of 25 years beginning on the first | ||
day of the month following the month in which the Compact becomes | ||
effective under Part XIII.A. of this Compact. | ||
PART XIV. AMENDMENT OF COMPACT | ||
This Compact may be amended on the written agreement of the | ||
parties. The Texas Secretary of State is authorized to agree to | ||
amendments that are not inconsistent with the purposes of this | ||
Compact. | ||
PART XV. EXECUTION | ||
The [Insert title of Tribal Official] of the [Insert name of | ||
Tribe] affirms that the [Insert title of Tribal Official] is duly | ||
authorized and has the authority to execute this Compact on behalf | ||
of the Tribe. | ||
APPROVED: | ||
[Insert name of Tribe] _______________ | ||
[Insert title of Tribal Official] | ||
DATE:________________________ | ||
State of Texas___________________________________________________ | ||
Texas Secretary of State | ||
DATE:________________________ | ||
[Sections 2004.152-2004.200 reserved for expansion] | ||
SUBCHAPTER E. REVENUE | ||
Sec. 2004.201. REVENUE FROM INDIAN TRIBE CASINO GAMING. | ||
(a) Except as provided by Subsection (b), a federally recognized | ||
Indian tribe that conducts casino gaming in this state, as | ||
authorized under Section 47a, Article III, Texas Constitution, and | ||
this chapter, shall transfer to the commission in the manner | ||
required by commission rule the percentage of gross gaming revenue | ||
generated from the casino gaming that is specified by commission | ||
rule. The commission shall determine the percentage based on the | ||
total costs to this state and to local governments in connection | ||
with or as a result of casino gaming operations. The percentage: | ||
(1) may not be less than eight percent of the gross | ||
gaming revenue; and | ||
(2) may be assessed in accordance with the category of | ||
casino game from which the gross gaming revenue is derived. | ||
(b) A compact under Section 2004.151 must provide for the | ||
commission to receive not less than eight percent of the gross | ||
gaming revenue generated from casino gaming operated under the | ||
compact. | ||
Sec. 2004.202. 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. | ||
[Sections 2004.203-2004.250 reserved for expansion] | ||
SUBCHAPTER F. OFFENSES; PENALTIES | ||
Sec. 2004.251. 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. 2004.252. 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 or an employee, agent, or member of an | ||
Indian tribe 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. 2004.253. DISCIPLINARY ACTION. (a) The commission | ||
may refuse to issue a certificate or may revoke, suspend, or refuse | ||
to renew a certificate or may reprimand a 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 | ||
certificate holder or applicant under Subsection (a), the | ||
certificate holder or applicant is entitled to notice and a | ||
hearing. | ||
(c) The commission may place on certificate probation | ||
subject to reasonable conditions a person whose certificate is | ||
suspended under this section. | ||
(d) The commission may summarily suspend a 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 certificate holder's compliance with this chapter. | ||
Sec. 2004.254. 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. 2004.255. 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. | ||
SECTION 2. 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 [ |
||
Government Code[ |
||
(5) [ |
||
(Article 179e, Vernon's Texas Civil Statutes); or | ||
(6) [ |
||
drawing for the opportunity to participate in a hunting, fishing, | ||
or other recreational event conducted by the Parks and Wildlife | ||
Department. | ||
SECTION 3. 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; [ |
||
(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 certificate or | ||
other authorization under Chapter 2004, Occupations Code. | ||
SECTION 4. 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 5. (a) Not later than December 31, 2011, 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, 2012. Chapter 2001, Government Code, does not apply to | ||
the adoption of those rules. This subsection expires June 1, 2012. | ||
SECTION 6. This Act takes effect December 15, 2011, but only | ||
if the constitutional amendment authorizing the operation of casino | ||
games in this state by federally recognized Indian tribes on | ||
certain land is approved by the voters. If that amendment is not | ||
approved by the voters, this Act has no effect. |