HSB 552 (LSB 5622YC (4) 88)

HOUSE FILE _____ 

BY  (PROPOSED COMMITTEE ON STATE GOVERNMENT BILL BY CHAIRPERSON KAUFMANN)

A BILL FOR

An Act relating to gambling regulation and enforcement activities of the division of criminal investigation of the department of public safety.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 80.25A, Code 2020, is amended to read as follows:
   80.25A  Gaming operations investigation and enforcement.
   The commissioner of public safety shall direct the chief of the division of criminal investigation to establish a subdivision to be the primary criminal investigative and enforcement agency for the purpose of enforcement of criminal violations of chapters 99D, 99E, and 99F. The commissioner of public safety shall appoint or assign other agents to the division as necessary to enforce criminal violations of chapters 99D, 99E, and 99F. All enforcement officers, assistants, and agents of the division are subject to section 80.15 except clerical workers.
    Sec. 2.  Section 99F.4, subsection 18, Code 2020, is amended to read as follows:
   18.  To provide for the continuous recording of all gambling activities on an excursion gambling boat. The recording shall be performed under guidelines set by rule of the division of criminal investigation commission and the rules may require that all or part of the original recordings be submitted to the division on a timely schedule commission.
    Sec. 3.  Section 99F.6, subsection 3, Code 2020, is amended to read as follows:
   3.  The commission shall charge the applicant a fee set by the department of public safety, division of criminal investigation, to defray the costs associated with the search and classification of submitted fingerprints required in subsection 2 and, if required by the commission under subsection 4, background or information investigations conducted by agents of the division of criminal investigation. This fee is Fees charged to defray the costs associated with a background or information investigation shall reflect only actual direct costs incurred by the division of criminal investigation and shall be itemized and provided to the commission. Fees charged pursuant to this subsection shall be in addition to any other license fee charged by the commission.
    Sec. 4.  Section 99F.6, subsection 4, paragraph a, subparagraph (1), Code 2020, is amended by striking the subparagraph and inserting in lieu thereof the following:
   (1)  Before a license is granted, the commission shall conduct a background or information investigation in a manner as determined by the commission. The commission may consider an applicant’s current license status in this state or other jurisdictions in determining background or information investigation requirements. In addition, the commission may require the division of criminal investigation of the department of public safety or other prescribed entity performing background services to conduct a thorough background or information investigation of the applicant for a license to operate a gambling game operation on an excursion gambling boat.
    Sec. 5.  Section 99F.10, subsection 4, paragraph a, subparagraph (1), Code 2020, is amended by striking the subparagraph.
    Sec. 6.  Section 99F.10, subsection 4, paragraph a, subparagraph (2), Code 2020, is amended to read as follows:
   (2)  On or after July 1, 2016 Prior to July 1, 2023, the cost of salaries for no more than three special agents for each excursion gambling boat or gambling structure, plus any direct and indirect support costs for the agents, for the division of criminal investigation’s excursion gambling boat or gambling structure activities.
    Sec. 7.  Section 99F.10, subsection 4, paragraph a, Code 2020, is amended by adding the following new subparagraph:
   NEW SUBPARAGRAPH.  (3)  On or after July 1, 2023, the cost, allocated to each excursion gambling boat or gambling structure, for salaries for special agents, plus any direct and indirect support costs for the agents, for the division of criminal investigation’s excursion gambling boat or gambling structure activities. The total number of enforcement assistants and agents who are subject to section 80.15 and who are appointed or assigned by the division to enforce criminal violations of this chapter pursuant to section 80.25A shall not exceed ten full-time equivalent positions.
    Sec. 8.  Section 99F.10, subsection 4, paragraph b, Code 2020, is amended to read as follows:
   b.  Notwithstanding sections 8.60 and 99F.4, the portion of the fee paid pursuant to paragraph “a” relating to the costs of special agents and officers plus any direct and indirect support costs for the agents and officers, for the division of criminal investigation’s excursion gambling boat or gambling structure activities, shall be deposited into the gaming enforcement revolving fund established in section 80.43. However, the department of public safety shall transfer, on an annual basis, the portion of the regulatory fee attributable to the indirect support costs of the special agents and gaming enforcement officers to the general fund of the state.
    Sec. 9.  REPEAL.  Section 99F.4B, Code 2020, is repealed.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill relates to gambling regulation and enforcement activities of the division of criminal investigation of the department of public safety.
   Code section 80.25A, concerning gaming operation investigation and enforcement by the department of public safety, is amended to provide that the subdivision of the division of criminal investigation established for investigation and enforcement purposes shall be for the purpose of enforcement of criminal violations of Code chapters 99D, 99E, and 99F.
   Code section 99F.4, concerning powers of the racing and gaming commission, is amended to provide that the recording of gambling activities on an excursion gambling boat shall be performed under guidelines set by rule of the racing and gaming commission and not the division of criminal investigation.
   Code section 99F.6(3), concerning fees charged an applicant for a license, is amended to provide that the fee shall include costs associated with a background or information investigation conducted by the division of criminal investigation only if the division is required to conduct the investigation by the racing and gaming commission. The subsection is further amended to provide that the fee charged to defray the costs associated with a background or information investigation shall reflect only actual direct costs incurred by the division of criminal investigation and shall be itemized and provided to the commission.
   Code section 99F.6(4), concerning the requirement to conduct a background investigation, is amended by striking the requirement that before a license is granted, the division of criminal investigation shall conduct a background investigation. Instead, the bill provides that before a license is granted, the commission shall conduct a background or information investigation in a manner as determined by the commission. In conducting this investigation, the bill provides that the commission may consider an applicant’s current license status in this state or other jurisdictions in determining background or information investigation requirements and may require the division of criminal investigation of the department of public safety or other prescribed entity performing background services to conduct a thorough background or information investigation.
   Code section 99F.10, concerning regulatory fees, is amended. The bill provides that the current requirement that the amount of revenue to be raised from regulatory fees shall be calculated based on the cost of salaries for no more than three special agents of the division of criminal investigation for each excursion gambling boat or gambling structure shall end July 1, 2023. The bill then provides that, beginning on and after July 1, 2023, the regulatory fee to be allocated to each gambling boat or gambling structure shall be determined based on the costs of special agents for the division of criminal investigation’s excursion gambling boat or gambling structure activities and limits the total number of enforcement assistants and agents to 10 full-time equivalent positions.
   Code section 99F.4B, concerning the requirement that the department of inspections and appeals cooperate to the maximum extent possible with the division of criminal investigation in adopting rules relating to the gaming operations in Code chapters 99D, 99E, and 99F, is repealed.