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Senate File 338

Partial Bill History

Bill Text

PAG LIN
  1  1    Section 1.  Section 99B.1, subsection 2, Code 1995, is
  1  2 amended by striking the subsection.
  1  3    Sec. 2.  Section 99B.1, subsection 14, Code 1995, is
  1  4 amended by striking the subsection and inserting in lieu
  1  5 thereof the following:
  1  6    14.  "Game of chance" means a game whereby the result is
  1  7 determined by chance and includes the game defined as bingo.
  1  8 A game of chance does not include a game, such as poker, in
  1  9 which some level of skill affects the results of the game.
  1 10 Games of chance do not include slot machines or pull-tabs.  A
  1 11 game of chance is not an amusement device.
  1 12    Sec. 3.  Section 99B.1, subsection 15, Code 1995, is
  1 13 amended by striking the subsection and inserting in lieu
  1 14 thereof the following:
  1 15    15.  "Game of skill" means a game in which skill has a
  1 16 bearing on the results.  A game with some level of skill is
  1 17 neither a game of chance nor a gambling device as defined in
  1 18 section 725.9.  A game of skill does not include a device if
  1 19 adapted, possessed, and used in accordance with section
  1 20 99B.10.
  1 21    Sec. 4.  Section 99B.1, Code 1995, is amended by adding the
  1 22 following new subsection:
  1 23    NEW SUBSECTION.  22A.  "Slot machine" means a mechanical,
  1 24 electronic, or video gambling device into which a player
  1 25 deposits coins, tokens, or currency and from which credits,
  1 26 tickets, tokens, or coins are paid out when a particular
  1 27 random, configuration of symbols appears on the reels,
  1 28 simulated reels, or screen of the device.  A slot machine may
  1 29 have a lever, buttons, or other means to activate or stop the
  1 30 play.
  1 31    Sec. 5.  Section 99B.10, unnumbered paragraph 1, Code 1995,
  1 32 is amended to read as follows:
  1 33    It is lawful to own, possess, and offer for use by any
  1 34 person at any location an electrical or mechanical amusement
  1 35 device, but only if all of the following are complied with:
  2  1    Sec. 6.  Section 99B.10, subsection 1, Code 1995, is
  2  2 amended to read as follows:
  2  3    1.  A prize of merchandise exceeding five dollars in value
  2  4 or cash prize shall not be awarded for use of the device.
  2  5 However, a mechanical or merchandise prize not exceeding five
  2  6 dollars in value may be awarded and an amusement device may be
  2  7 designed or adapted to award a prize or one or more free games
  2  8 or portions of games without payment of additional
  2  9 consideration by the participant.
  2 10    Sec. 7.  Section 99B.10, Code 1995, is amended by adding
  2 11 the following new subsection:
  2 12    NEW SUBSECTION.  4.  An amusement device shall have an
  2 13 identification tag or plate with the name, address, and retail
  2 14 sales tax permit number of the owner.  The identification tag
  2 15 or plate must be no less than two and one-half inches square
  2 16 in size and must be affixed in a visible and easily accessible
  2 17 location on the device.  An owner or lessee of an amusement
  2 18 device shall not knowingly fail to display an identification
  2 19 tag or plate with the name, address, and retail sales tax
  2 20 permit number of the owner or lessee before the device is
  2 21 offered for commercial use by the public.
  2 22    Sec. 8.  Section 99B.10, unnumbered paragraph 3, Code 1995,
  2 23 is amended by striking the unnumbered paragraph and inserting
  2 24 in lieu thereof the following:
  2 25    NEW UNNUMBERED PARAGRAPH.  When used and possessed in
  2 26 accordance with this section, an amusement device is not a
  2 27 game of chance, a game of skill, or a gambling device as
  2 28 defined in section 725.9.  A slot machine is not an amusement
  2 29 device.  An amusement device is not a gambling game authorized
  2 30 under chapter 99F and the use of an amusement device which
  2 31 complies with this section is not gambling or gaming.
  2 32    Sec. 9.  Section 99B.10, Code 1995, is amended by adding
  2 33 the following new unnumbered paragraph:
  2 34    NEW UNNUMBERED PARAGRAPH.  This section does not apply to
  2 35 an amusement device owned, possessed, and used for personal,
  3  1 noncommercial purpose.
  3  2    Sec. 10.  Section 99B.14, Code 1995, is amended by striking
  3  3 the section and inserting in lieu thereof the following:
  3  4    99B.14  DISCIPLINARY ACTION &endash; LICENSE DENIAL, SUSPENSION,
  3  5 OR REVOCATION, AND CIVIL PENALTY.
  3  6    1.  The director may deny a license application, suspend a
  3  7 license issued pursuant to this chapter for not more than one
  3  8 year, revoke a license issued pursuant to this chapter for not
  3  9 more than two years, impose a civil penalty of not more than
  3 10 one thousand dollars per violation, or take more than one of
  3 11 the actions specified in this subsection for a violation.
  3 12    2.  The director shall deny, suspend, or revoke a license,
  3 13 or impose a civil penalty by delivering to the applicant or
  3 14 the licensee by mail or personal service to the current
  3 15 address of record, a notice setting forth the particular
  3 16 reason for the action.  The action becomes effective fifteen
  3 17 days after the date of mailing or service of notice unless the
  3 18 applicant or licensee gives written notice to the department
  3 19 requesting a hearing before the expiration of the fifteen
  3 20 days.  If a hearing has been requested, the applicant or
  3 21 licensee shall be given an opportunity for a prompt hearing.
  3 22 An administrative law judge from the department of inspections
  3 23 and appeals shall conduct the hearing and issue a proposed
  3 24 decision.  On the basis of the hearing or upon default of the
  3 25 applicant or licensee, the determination involved in the
  3 26 notice may be affirmed, modified, or denied by the director.
  3 27 A copy of the decision shall be sent by mail or served
  3 28 personally upon the applicant or licensee.  A licensee or
  3 29 applicant aggrieved by a decision of the director may seek
  3 30 judicial review of the director's decision in accordance with
  3 31 chapter 17A.
  3 32    3.  The suspension or revocation of a license or the
  3 33 imposition of a civil penalty or a combination of the actions
  3 34 shall be stayed pending the result of the hearing.  Before a
  3 35 hearing, the department may rescind the notice of denial,
  4  1 suspension, revocation or civil penalty, or a combination of
  4  2 the actions if the department is satisfied that the reason for
  4  3 the denial, suspension, or revocation, or other disciplinary
  4  4 action is or will be removed.
  4  5    4.  A license issued under this chapter may be suspended or
  4  6 revoked, a civil penalty may be imposed, or a combination of
  4  7 those actions may be taken for any of the following causes
  4  8 including, but not limited to:
  4  9    a.  Misrepresentation of any material fact in the
  4 10 application for the license.
  4 11    b.  A violation of any of the provisions of this chapter or
  4 12 rules adopted pursuant to this chapter.
  4 13    c.  An event which would have resulted in disqualification
  4 14 from receiving the license when originally issued.
  4 15    d.  A sale, hypothecation, or transfer of a license.
  4 16    e.  The failure or refusal on the part of a licensee to
  4 17 submit a report when due to the department under this chapter.
  4 18    Sec. 11.  Section 725.9, subsection 2, Code 1995, is
  4 19 amended by striking the subsection.
  4 20    Sec. 12.  Section 725.9, subsection 3, Code 1995, is
  4 21 amended to read as follows:
  4 22    3.  "Gambling device" means a device used or adapted or
  4 23 designed to be used for gambling and includes, but is not
  4 24 limited to, roulette wheels, klondike tables, punchboards,
  4 25 faro layouts, keno layouts, numbers tickets, slot machines,
  4 26 pinball machines, push cards, jar tickets, and pull-tabs.
  4 27 However, "gambling device" does not include an antique slot
  4 28 machine, antique pinball machine, or any device regularly
  4 29 manufactured and offered for sale and sold as a toy, except
  4 30 that any use of such a the toy, or antique slot machine or
  4 31 antique pinball machine for gambling purposes constitutes
  4 32 unlawful gambling.
  4 33    Sec. 13.  Section 725.9, subsection 5, Code 1995, is
  4 34 amended to read as follows:
  4 35    5.  This chapter does not prohibit the possession of
  5  1 gambling devices by a manufacturer or distributor if the
  5  2 possession is solely for sale out of the state in another
  5  3 jurisdiction including a tribal jurisdiction where possession
  5  4 of the device is legal or for sale in the state or use in the
  5  5 state if the use is licensed pursuant to either chapter 99B or
  5  6 chapter 99E.
  5  7    Sec. 14.  Section 725.16, Code 1995, is amended by striking
  5  8 the section and inserting in lieu thereof the following:
  5  9    725.16  GAMBLING PENALTY.
  5 10    1.  A person who commits an offense declared in chapter
  5 11 99B, except in section 99B.10, to be a misdemeanor is guilty
  5 12 of a serious misdemeanor.
  5 13    2.  If an owner of a device claimed, promoted, or
  5 14 identified as an amusement device commits an offense in
  5 15 violation of section 99B.10, the owner is guilty of a class
  5 16 "D" felony.
  5 17    3.  However, if an owner only violates section 99B.10,
  5 18 subsection 4, the owner is guilty of a serious misdemeanor.  
  5 19                           EXPLANATION
  5 20    This bill amends the definitions of amusement device, game
  5 21 of chance, and game of skill to distinguish between amusement
  5 22 devices and gambling games.  The bill also defines slot
  5 23 machines and provides new identification requirements for
  5 24 amusement devices.
  5 25    The bill amends provisions relating to the issuance,
  5 26 denial, suspension, and revocation of licenses to offer
  5 27 gambling devices to the public.  A civil penalty of not more
  5 28 than $1,000 may also be imposed for failure to comply with
  5 29 regulatory requirements.
  5 30    The bill amends penalty sections under chapter 725 to
  5 31 delete the definition of antique pinball machines, removes
  5 32 pinball machines from the definition of gambling device, and
  5 33 provides for tribal possession of gambling devices.  The bill
  5 34 also provides that the possession and operation of an
  5 35 amusement device with an identification tag or plate is a
  6  1 serious misdemeanor.  A serious misdemeanor is punishable by
  6  2 imprisonment for not more than one year, or by a fine of at
  6  3 least $250 but not more $1,500, or by both imprisonment and
  6  4 fine.  
  6  5 LSB 1186SV 76
  6  6 tj/sc/14
     

Text: SF00337                           Text: SF00339
Text: SF00300 - SF00399                 Text: SF Index
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