Legislative Session number- 85

Bill Name: SF3805

Authorizing and providing for the director of the state lottery to enter into
contracts with certain on-sale alcoholic beverage retailers for the placement
and maintenance of video lottery terminals on the premises, specifying certain
procedures, restrictions and authorizing inspections without notice; defining or
redefining certain terms; providing for the payment of investigation and
background check costs relating to owning and operating the terminals and for
retention of a certain percentage of net terminal income by lottery retailers as
commission, requiring transmission of a portion to the licensed organizations
conducting lawful gambling on the premises, restricting the expenditure of money
received by licensed organizations from, net video lottery terminal income to
lawful purposes; prohibiting local regulation; specifying certain lottery
terminal specification requirements, limiting the amount allowed to be played
and specifying a maximum prize amount; providing for testing and examination of
the terminals; authorizing the director to deactivate the terminals without
notice for certain retailer violations; providing for the payment of video
lottery credit receipts, requiring retailer payment of unclaimed prizes to the
lottery; excluding winnings from tax or debt withholding requirements; requiring
display on the terminals of the approximate odds of winning; specifying the win
percentage for lottery prize fund deposit purposes; limiting the amount of net
terminal income allowed to be spent for operation of the terminals, requiring
the director to remit a certain percentage of net terminal income from the
lottery operations account to be held in trust by the commissioner of human
services in a compulsive gambling trust account to be used after a certain date;
prohibiting play by minors; expanding the crime of state lottery fraud to
certain credit receipt violations and to tampering with the terminals; exempting
the terminals from the definition of gambling device for gambling crimes
purposes; exempting gross receipts from operation of the terminals from the in
lieu sales tax; requiring the lottery director to submit a budget for the
operation of video lottery terminals to the commissioner of finance; repealing
the pull tab and tipboard tax, the definition of gambling product, the combined
receipts tax, and untaxed gambling product assessments
(rt)