HF 3511

as introduced - 90th Legislature (2017 - 2018) Posted on 03/08/2018 02:32pm

A bill for an act
relating to lawful gambling; regulating electronic paddlewheels; providing for use
of symbols; modifying methods of wagering and ticket requirements; amending
Minnesota Statutes 2016, 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 2016, 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;

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

(7) application software and those computer programs provided by a licensed
manufacturer in the production, play, and reporting of board-approved electronic pull-tab
games or electronic bingo games;

(8) raffle boards; and

(9) a disposable sealed placard, containing all 75 randomly placed bingo letter and
number combinations, that, when opened, is used to select the bingo numbers in a single
game of bingo.

(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) paddlewheels, whether manually spun or electronic simulated paddlewheel systems
that control the random generation of winning numbers or symbols and devices that accept
player bet selections and transmit those selections to a central system that determines which
wagers have won or lost and how much the wins are awarded;

(7) paddlewheel tables upon which wagers are made manually or electronically; and

(8) electronic raffle selection systems.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2.

Minnesota Statutes 2016, section 349.12, subdivision 28a, is amended to read:

Subd. 28a.

Paddle ticket.

"Paddle ticket" means a preprinted ticket that can be preprinted
by a licensed manufacturer used to place wagers on the spin of a manually spun paddlewheel
or a paper ticket printed by a board-approved and registered point-of-sale system that is
located at an approved site and used with an electronic simulated paddlewheel that is not
used with an electronic paddlewheel table. Point-of-sale printed tickets record and summarize
all players' wagers for up to ten consecutive spins. For electronic paddlewheel systems not
using a electronic paddlewheel table, prizes are awarded to those presenting original printed
tickets with winning selections that match the electronically saved record for the ticket
presented. When used with an approved electronic paddlewheel table, wherein all wagers
and resulting payouts are electronically 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 account are
of the same value recorded prior to any of that player's chips being placed into play. Upon
quitting play, a secured printed voucher would be provided for redemption of outstanding
balances owed from play on an electronic paddlewheel table.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 3.

Minnesota Statutes 2016, 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 used in conjunction with a manually spun paddlewheel. Paddle
tickets used with electronic wheels printed and recorded at the site by an approved
point-of-sale system or electronic paddle tickets or chips used with an electronic paddlewheel
table are not required to be used with or attached to a paddle ticket card.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 4.

Minnesota Statutes 2016, 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 numbers or symbols, 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 numbers, or symbol or symbols, matching a winning paddle ticket purchased by
a player. A paddlewheel may be an electronic device that simulates a paddlewheel including
computers and software that control the random outcome graphically displayed on an
electronic simulated paddlewheel. An electronic simulated paddlewheel may have up to
three independent rings that simultaneously spin as one spin event. No computer controlling
the random outcome for more than one electronic simulated paddlewheel shall activate or
enable subsequent spins on any electronic simulated paddlewheel of the same graphic style
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. All electronic paddlewheel tables must allow for at least three simultaneous players.
All electronic paddlewheel tables must be operated by a person not playing the game. The
persons operating the tables shall determine when the table is locked from further wagering,
when a spin is called, and when a table is open for wagering. No paddlewheel may be
player-activated or be a single-player terminal.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 5.

Minnesota Statutes 2016, section 349.151, subdivision 4a, is amended to read:

Subd. 4a.

Paddlewheel rules operations and electronic game simulation.

(a) The
board shall promulgate rules governing paddlewheels for operation procedures, internal
control standards, posted information, records, and reports. The board shall also adopt rules
governing electronic simulated paddlewheels including the manufacture, production,
operation procedures, internal control standards, posted information, records, and reports.

(b) Before authorizing the lease or sale of electronic simulated paddlewheels and
electronic paddlewheel systems, the board may examine electronic simulated paddlewheel
and electronic paddlewheel systems, including all associated devices. 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.

(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.

(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 systems, and associated devices.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 6.

Minnesota Statutes 2016, section 349.211, subdivision 2b, is amended to read:

Subd. 2b.

Paddlewheel prizes.

The maximum cash prize which that may be awarded
for a paddle ticket is $70. from an individual wager on a paddlewheel of $1 or less is $500.
The maximum cash prize that may be awarded from an individual wager of more than $1
but not exceeding $2 is $1,000. An organization may not sell any paddle ticket an individual
wager on a paddlewheel for more than $2, and no person may wager more than $50 on any
spin of a paddlewheel.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 7.

Minnesota Statutes 2016, 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. Virtual chips or virtual tickets represented
by chip or ticket images used with an electronic paddlewheel table are not required to have
the value posted on the virtual chip or ticket image provided that:

(1) all virtual chips or tickets issued and possessed by a player are of the same value,
determined by the player at the time of first purchase; and

(2) the computer that determines the payout calculation of winning bets recognizes the
value of each chip or ticket.

EFFECTIVE DATE.

This section is effective the day following final enactment.