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SF 1738

as introduced - 89th Legislature (2015 - 2016) Posted on 03/25/2016 08:17am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - as introduced

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A bill for an act
relating to lawful gambling; establishing electronic paddlewheels; amending
Minnesota Statutes 2014, sections 349.12, subdivisions 18, 28a, 28b, 29;
349.151, subdivision 4a; 349.211, subdivision 2b; 609.76, subdivision 8.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2014, section 349.12, subdivision 18, is amended to read:


Subd. 18.

Gambling equipment.

"Gambling equipment" means gambling
equipment that is either disposable or permanent gambling equipment.

(a) Disposable gambling equipment includes the following:

(1) bingo hard cards or paper sheets, including linked bingo paper sheets;

(2) paper and electronic pull-tabs;

(3) jar tickets;

(4) paddle tickets and paddle ticket cards;

(5) tipboards and tipboard tickets; and

(6) promotional tickets that mimic a pull-tab or tipboard.

(b) Permanent gambling equipment includes the following:

(1) devices for selecting bingo numbers;

(2) electronic bingo devices;

(3) electronic pull-tab devices;

(4) pull-tab dispensing devices;

(5) programmable electronic devices that have no effect on the outcome of a game
and are used to provide a visual or auditory enhancement of a game;

(6) paddlewheelsnew text begin , whether manually spun or electronic simulated paddlewheel
computers that control the random generation of winning numbers or symbols and
terminals that scan player bet selections and transmit those selections to a controlling
computer that determines which bets have won or lost and how much the wins paid
new text end ; and

(7) paddlewheel tablesnew text begin that use paper tickets to record the bets, and electronic
paddlewheel tables that record bets electronically and the computers that operate the
tables and determine payouts for winning bet selections
new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2014, section 349.12, subdivision 28a, is amended to read:


Subd. 28a.

Paddle ticket.

"Paddle ticket" means a deleted text begin preprinteddeleted text end ticket deleted text begin that can
be
deleted text end new text begin preprinted by a manufacturernew text end used to place wagers on the spin of a paddlewheeldeleted text begin .deleted text end new text begin or
a ticket printed by an approved point of sale system at the site that records each wager
made for each spin of a paddlewheel at the site for use with an electronic simulated
paddlewheel. No paddle ticket may include wagers for more than ten consecutive spins.
When used with an approved electronic paddlewheel table and electronic wheel, wherein
all bets and resulting payouts are recorded, a paddle ticket may be an electronic virtual
image of a chip or ticket so long as the value of all chips or tickets in a player's possession
or controlled by a player are of the same value established and recorded prior to any of
that player's chips being placed into play.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 3.

Minnesota Statutes 2014, section 349.12, subdivision 28b, is amended to read:


Subd. 28b.

Paddle ticket card.

"Paddle ticket card" means a card to which
detachable paddle tickets are attached.new text begin Paddle tickets printed at the site by an approved
point of sale system or electronic paddle tickets or chips are not required to be used with
or attached to a paddle ticket card.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 4.

Minnesota Statutes 2014, section 349.12, subdivision 29, is amended to read:


Subd. 29.

Paddlewheel.

"Paddlewheel" means a vertical wheel marked off into
sections containing one or more numbersnew text begin or symbolsnew text end , and which, after being turned or
spun, uses a pointer or marker to indicate winning chances, and may only be used to
determine a winning number or numbersnew text begin , or symbol or symbols,new text end matching a winning
paddle ticket purchased by a player. A paddlewheel may be an electronic device that
simulates a paddlewheeldeleted text begin .deleted text end new text begin , including computers and software that control the random
outcome graphically displayed on an electronic simulated paddlewheel. No computer
controlling the random outcome for more than one electronic simulated paddlewheel shall
activate or enable spins on any electronic simulated paddlewheel within three minutes of a
previous spin except when the computer is controlling the random outcome of electronic
simulated paddlewheels used with an approved electronic paddlewheel table.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 5.

Minnesota Statutes 2014, section 349.151, subdivision 4a, is amended to read:


Subd. 4a.

Paddlewheel rules.

new text begin (a) new text end The board shall promulgate rules governing
paddlewheels for operation procedures, internal control standards, posted information,
records, and reports.new text begin The board shall also promulgate rules governing electronic simulated
paddlewheels, including, but not limited to, the manufacture, production, operation
procedures, internal control standards, posted information, records, and reports by January
1, 2016.
new text end

new text begin (b) Before authorizing the lease or sale of electronic simulated paddlewheels and
electronic paddlewheel tables, the board may examine electronic simulated paddlewheel
and electronic paddlewheel table devices, including all controlling computers and
terminals. The board may contract for the examination of the electronic simulated
paddlewheel game systems and devices and may require a working model to be transported
to locations the board designates for testing, examination, and analysis. The manufacturer
must pay all costs of any testing, examination, analysis, and transportation of the model.
The system, and all particular games to be offered by the system, must be approved by
the board before it is used in the state and must have the capability to permit the board to
electronically monitor its operation and internal accounting systems.
new text end

new text begin (c) The board may require a manufacturer in paragraph (b) to submit a certificate
from an independent testing laboratory approved by the board to perform testing services,
stating that the equipment has been tested, analyzed, and meets the standards required
by applicable board rules.
new text end

new text begin (d) The board, or the director if authorized by the board, may require the deactivation
of an electronic simulated paddlewheel for violation of a law or rule and to implement any
other controls deemed necessary to ensure and maintain the integrity of electronic simulated
paddlewheels, electronic paddlewheel tables, and associated computers and terminals.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 6.

Minnesota Statutes 2014, section 349.211, subdivision 2b, is amended to read:


Subd. 2b.

Paddlewheel prizes.

deleted text begin The maximum cash prize which may be awarded
for a paddle ticket is $70.
deleted text end An organization may not sell deleted text begin any paddle ticketdeleted text end new text begin an individual
wager on a paddlewheel
new text end for more than $2new text begin , and no person may wager more than $50 on
any spin of a paddlewheel
new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 7.

Minnesota Statutes 2014, section 609.76, subdivision 8, is amended to read:


Subd. 8.

Value of chips or tokens.

The value of chips or tokens approved for use in
a game designed to be played with or operated by chips or tokens, as the term "value" is
used in section 609.52, is the amount or denomination shown on the face of the chip or
token representing United States currency. Chips used in tournament play at a card club
at a class A facility have no United States currency value.new text begin Virtual chips or chip images
used with an electronic paddlewheel table are not required to have the value posted on the
virtual chip or image of the chip, provided that (1) all chips issued to a player are of the
same value determined by the player at the time of purchase, and (2) the computer that
determines the payout calculation of winning bets recognizes the value of each chip.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end