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Text: SF00337                           Text: SF00339
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Senate File 338

Partial Bill History

Bill Text

PAG LIN
  1  1    Section 1.  IOWA LOTTERY DISCONTINUED – DISPOSITION OF
  1  2 PROPERTY – EMPLOYEES TRANSFERRED OR LAID OFF.
  1  3    1.  The Iowa lottery board shall discontinue all lottery
  1  4 games established pursuant to chapter 99E effective July 1,
  1  5 1997.  The lottery board shall provide for the termination of
  1  6 all contracts extending beyond July 1, 1997, and provide for
  1  7 the disposition of all property leased or owned by the lottery
  1  8 division.
  1  9    2.  Any employee of the lottery division employed pursuant
  1 10 to chapter 19A and whose duty assignment is terminated by this
  1 11 Act, may be transferred to other duties within the department
  1 12 of revenue and finance, reassigned to other duties in another
  1 13 state department or agency, or terminated.  The personnel
  1 14 commission shall adopt rules to carry out the transfer of
  1 15 employees under this Act and to carry out subsequent
  1 16 reclassifications, reassignments, or terminations made
  1 17 necessary by this Act.  The personnel commission shall
  1 18 arbitrate and decide a written appeal made by an employee
  1 19 concerning a transfer, reassignment, reclassification, or
  1 20 termination made necessary by this Act.  An employee shall not
  1 21 lose benefits accrued including, but not limited to, salary,
  1 22 retirement, vacation, or sick leave because of a transfer or
  1 23 reassignment.
  1 24    3.  The members of the lottery board, the commissioner, and
  1 25 any additional employees deemed necessary by the board may
  1 26 continue employment on or after July 1, 1997, to provide for
  1 27 the orderly discontinuation of the lottery games.  However,
  1 28 not later than September 30, 1997, the terms of office of the
  1 29 lottery board members and the employment of the commissioner
  1 30 and any other employees remaining on or after July 1, 1997,
  1 31 shall terminate.  Any matters regarding the termination of the
  1 32 lottery games established under chapter 99E which remain on
  1 33 October 1, 1997, are the responsibility of the director of
  1 34 revenue and finance.  The director of revenue and finance
  1 35 shall complete the discontinuation of the lottery games as
  2  1 expeditiously as possible.
  2  2    Sec. 2.  Section 7E.5, subsection 1, paragraph d, Code
  2  3 1997, is amended to read as follows:
  2  4    d.  The department of revenue and finance, created in
  2  5 section 421.2, which has primary responsibility for revenue
  2  6 collection and revenue law compliance, and financial
  2  7 management and assistance, and the Iowa lottery.
  2  8    Sec. 3.  Section 7E.6, subsection 3, Code 1997, is amended
  2  9 by striking the subsection.
  2 10    Sec. 4.  Section 8.22A, subsection 5, paragraph a, Code
  2 11 1997, is amended by striking the paragraph.
  2 12    Sec. 5.  Section 68B.35, subsection 2, paragraph e, Code
  2 13 1997, is amended to read as follows:
  2 14    e.  Members of the banking board, the ethics and campaign
  2 15 disclosure board, the credit union review board, the economic
  2 16 development board, the employment appeal board, the
  2 17 environmental protection commission, the health facilities
  2 18 council, the Iowa business investment corporation board of
  2 19 directors, the Iowa finance authority, the Iowa seed capital
  2 20 corporation, the Iowa public employees' retirement system
  2 21 investment board, the lottery board, the natural resource
  2 22 commission, the board of parole, the petroleum underground
  2 23 storage tank fund board, the public employment relations
  2 24 board, the state racing and gaming commission, the state board
  2 25 of regents, the tax review board, the transportation
  2 26 commission, the office of consumer advocate, the utilities
  2 27 board, the Iowa telecommunications and technology commission,
  2 28 and any full-time members of other boards and commissions as
  2 29 defined under section 7E.4 who receive an annual salary for
  2 30 their service on the board or commission.
  2 31    Sec. 6.  Section 99A.10, Code 1997, is amended to read as
  2 32 follows:
  2 33    99A.10  MANUFACTURE AND DISTRIBUTION OF GAMBLING DEVICES
  2 34 PERMITTED.
  2 35    A person may manufacture or act as a distributor for
  3  1 gambling devices for sale out of the state in another
  3  2 jurisdiction where possession of the device is legal or for
  3  3 sale in the state or use in the state if the use is permitted
  3  4 pursuant to either chapter 99B or chapter 99E.
  3  5    Sec. 7.  Section 99B.1, subsection 17, Code 1997, is
  3  6 amended by striking the subsection.
  3  7    Sec. 8.  Section 99B.6, subsection 5, Code 1997, is amended
  3  8 by striking the subsection.
  3  9    Sec. 9.  Section 99B.7, subsection 1, paragraph l,
  3 10 subparagraph (1), Code 1997, is amended to read as follows:
  3 11    (1)  No other gambling is engaged in at the same location,
  3 12 except that lottery tickets or shares issued by the lottery
  3 13 division of the department of revenue and finance may be sold
  3 14 pursuant to chapter 99E.
  3 15    Sec. 10.  Section 99B.15, Code 1997, is amended to read as
  3 16 follows:
  3 17    99B.15  APPLICABILITY OF CHAPTER – PENALTY.
  3 18    It is the intent and purpose of this chapter to authorize
  3 19 gambling in this state only to the extent specifically
  3 20 permitted by a section of this chapter or chapter 99D, 99E, or
  3 21 99F.  Except as otherwise provided in this chapter, the
  3 22 knowing failure of any person to comply with the limitations
  3 23 imposed by this chapter constitutes unlawful gambling, a
  3 24 serious misdemeanor.
  3 25    Sec. 11.  Section 99F.2, Code 1997, is amended to read as
  3 26 follows:
  3 27    99F.2  SCOPE OF PROVISIONS.
  3 28    This chapter does not apply to the pari-mutuel system of
  3 29 wagering used or intended to be used in connection with the
  3 30 horse-race or dog-race meetings as authorized under chapter
  3 31 99D, lottery or lotto games authorized under chapter 99E, or
  3 32 bingo or games of skill or chance authorized under chapter
  3 33 99B.
  3 34    Sec. 12.  Section 99F.11, subsection 3, Code 1997, is
  3 35 amended to read as follows:
  4  1    3.  Three-tenths of one percent of the adjusted gross
  4  2 receipts shall be deposited in the gamblers assistance
  4  3 gambling treatment fund specified in section 99E.10,
  4  4 subsection 1, paragraph "a" 99F.19.
  4  5    Sec. 13.  NEW SECTION.  99F.19  GAMBLING TREATMENT FUND –
  4  6 CREATED AND USES.
  4  7    A gambling treatment fund is created in the state treasury.
  4  8 The director of the Iowa department of public health shall
  4  9 administer the fund and shall provide that receipts are
  4 10 allocated on a monthly basis to fund administrative costs and
  4 11 to programs which may include, but are not limited to,
  4 12 outpatient and follow-up treatment for persons affected by
  4 13 problem gambling, rehabilitation and residential treatment
  4 14 programs, information and referral services, and education and
  4 15 preventive services.  Of the moneys remaining in the gambling
  4 16 treatment fund at the close of the fiscal year which otherwise
  4 17 would remain unexpended or unobligated for the purposes
  4 18 designated in this paragraph, up to four hundred thousand
  4 19 dollars shall be used by the Iowa department of public health
  4 20 for substance abuse program grants.
  4 21    Sec. 14.  Section 123.49, subsection 2, paragraph a, Code
  4 22 1997, is amended to read as follows:
  4 23    a.  Knowingly permit any gambling, except in accordance
  4 24 with chapter 99B, 99D, 99E, or 99F, or knowingly permit
  4 25 solicitation for immoral purposes, or immoral or disorderly
  4 26 conduct on the premises covered by the license or permit.
  4 27    Sec. 15.  Section 321.19, subsection 1, unnumbered
  4 28 paragraph 2, Code 1997, is amended to read as follows:
  4 29    The department shall furnish, on application, free of
  4 30 charge, distinguishing plates for vehicles thus exempted,
  4 31 which plates except plates on Iowa highway safety patrol
  4 32 vehicles shall bear the word "official" and the department
  4 33 shall keep a separate record.  Registration plates issued for
  4 34 Iowa highway safety patrol vehicles, except unmarked patrol
  4 35 vehicles, shall bear two red stars on a yellow background, one
  5  1 before and one following the registration number on the plate,
  5  2 which registration number shall be the officer's badge number.
  5  3 Registration plates issued for a county sheriff's patrol
  5  4 vehicles shall display one seven-pointed gold star followed by
  5  5 the letter "S" and the call number of the vehicle.  However,
  5  6 the director of general services or the director of
  5  7 transportation may order the issuance of regular registration
  5  8 plates for any exempted vehicle used by peace officers in the
  5  9 enforcement of the law, persons enforcing chapter 124 and
  5 10 other laws relating to controlled substances, and persons in
  5 11 the department of justice, the alcoholic beverages division of
  5 12 the department of commerce, and the department of inspections
  5 13 and appeals who are regularly assigned to conduct
  5 14 investigations which cannot reasonably be conducted with a
  5 15 vehicle displaying "official" state registration plates, and
  5 16 persons in the lottery division of the department of revenue
  5 17 and finance whose regularly assigned duties relating to
  5 18 security or the carrying of lottery tickets cannot reasonably
  5 19 be conducted with a vehicle displaying "official" registration
  5 20 plates.  For purposes of sale of exempted vehicles, the
  5 21 exempted governmental body, upon the sale of the exempted
  5 22 vehicle, may issue for in-transit purposes a pasteboard card
  5 23 bearing the words "Vehicle in Transit", the name of the
  5 24 official body from which the vehicle was purchased, together
  5 25 with the date of the purchase plainly marked in at least one-
  5 26 inch letters, and other information required by the
  5 27 department.  The in-transit card is valid for use only within
  5 28 forty-eight hours after the purchase date as indicated on the
  5 29 bill of sale which shall be carried by the driver.
  5 30    Sec. 16.  Section 421.17, subsection 27, Code 1997, is
  5 31 amended by striking the subsection.
  5 32    Sec. 17.  Section 422.16, subsection 1, unnumbered
  5 33 paragraph 4, Code 1997, is amended to read as follows:
  5 34    For the purposes of this subsection, state income tax shall
  5 35 be withheld on winnings in excess of six hundred dollars
  6  1 derived from gambling activities authorized under chapter 99B
  6  2 or 99E.  State income tax shall be withheld on winnings in
  6  3 excess of one thousand dollars from gambling activities
  6  4 authorized under chapter 99D.  State income tax shall be
  6  5 withheld on winnings in excess of twelve hundred dollars
  6  6 derived from slot machines authorized under chapter 99F.
  6  7    Sec. 18.  Section 422.43, subsection 2, Code 1997, is
  6  8 amended to read as follows:
  6  9    2.  There is imposed a tax of five percent upon the gross
  6 10 receipts derived from the operation of all forms of amusement
  6 11 devices and games of skill, games of chance, raffles, and
  6 12 bingo games as defined in chapter 99B, operated or conducted
  6 13 within the state, the tax to be collected from the operator in
  6 14 the same manner as for the collection of taxes upon the gross
  6 15 receipts of tickets or admission as provided in this section.
  6 16 The tax shall also be imposed upon the gross receipts derived
  6 17 from the sale of lottery tickets or shares pursuant to chapter
  6 18 99E.  The tax on the lottery tickets or shares shall be
  6 19 included in the sales price and distributed to the general
  6 20 fund as provided in section 99E.10.
  6 21    Sec. 19.  Section 422B.8, unnumbered paragraph 1, Code
  6 22 1997, is amended to read as follows:
  6 23    A local sales and services tax at the rate of not more than
  6 24 one percent may be imposed by a county on the gross receipts
  6 25 taxed by the state under chapter 422, division IV.  A local
  6 26 sales and services tax shall be imposed on the same basis as
  6 27 the state sales and services tax and may not be imposed on the
  6 28 sale of any property or on any service not taxed by the state,
  6 29 except the tax shall not be imposed on the gross receipts from
  6 30 the sale of motor fuel or special fuel as defined in chapter
  6 31 452A, on the gross receipts from the rental of rooms,
  6 32 apartments, or sleeping quarters which are taxed under chapter
  6 33 422A during the period the hotel and motel tax is imposed, on
  6 34 the gross receipts from the sale of natural gas or electric
  6 35 energy in a city or county where the gross receipts are
  7  1 subject to a franchise fee or user fee during the period the
  7  2 franchise or user fee is imposed, and on the gross receipts
  7  3 from the sale of equipment by the state department of
  7  4 transportation, and on the gross receipts from the sale of a
  7  5 lottery ticket or share in a lottery game conducted pursuant
  7  6 to chapter 99E.  A local sales and services tax is applicable
  7  7 to transactions within those incorporated and unincorporated
  7  8 areas of the county where it is imposed and shall be collected
  7  9 by all persons required to collect state gross receipts taxes.
  7 10 All cities contiguous to each other shall be treated as part
  7 11 of one incorporated area and the tax would be imposed in each
  7 12 of those contiguous cities only if the majority of those
  7 13 voting in the total area covered by the contiguous cities
  7 14 favor its imposition.
  7 15    Sec. 20.  Section 455A.18, subsection 3, unnumbered
  7 16 paragraph 1, Code 1997, is amended to read as follows:
  7 17    For each fiscal year of the fiscal period beginning July 1,
  7 18 1997, and ending June 30, 2021, there is appropriated from the
  7 19 general fund, to the Iowa resources enhancement and protection
  7 20 fund, the amount of twenty million dollars, to be used as
  7 21 provided in this chapter.  However, in any fiscal year of the
  7 22 fiscal period, if moneys from the lottery are appropriated by
  7 23 the state to the fund, the amount appropriated under this
  7 24 subsection shall be reduced by the amount appropriated from
  7 25 the lottery.
  7 26    Sec. 21.  Section 537A.4, unnumbered paragraph 2, Code
  7 27 1997, is amended to read as follows:
  7 28    This section does not apply to a contract for the operation
  7 29 of or for the sale or rental of equipment for games of skill
  7 30 or games of chance, if both the contract and the games are in
  7 31 compliance with chapter 99B.  This section does not apply to
  7 32 wagering under the pari-mutuel method of wagering authorized
  7 33 by chapter 99D.  This section does not apply to the sale,
  7 34 purchase or redemption of a ticket or share in the state
  7 35 lottery in compliance with chapter 99E.  This section does not
  8  1 apply to wagering under the excursion boat gambling method of
  8  2 wagering authorized by chapter 99F.  This section does not
  8  3 apply to the sale, purchase, or redemption of any ticket or
  8  4 similar gambling device legally purchased in Indian lands
  8  5 within this state.
  8  6    Sec. 22.  Section 714B.10, subsection 1, Code 1997, is
  8  7 amended to read as follows:
  8  8    1.  Advertising by sponsors registered pursuant to chapter
  8  9 557B, licensed pursuant to chapter 99B, or regulated pursuant
  8 10 to chapter 99D, 99E, or 99F.
  8 11    Sec. 23.  Section 725.9, subsection 5, Code 1997, is
  8 12 amended to read as follows:
  8 13    5.  This chapter does not prohibit the possession of
  8 14 gambling devices by a manufacturer or distributor if the
  8 15 possession is solely for sale out of the state in another
  8 16 jurisdiction where possession of the device is legal or for
  8 17 sale in the state or use in the state if the use is licensed
  8 18 pursuant to either chapter 99B or chapter 99E.
  8 19    Sec. 24.  Section 725.15, Code 1997, is amended to read as
  8 20 follows:
  8 21    725.15  EXCEPTIONS FOR LEGAL GAMBLING.
  8 22    Sections 725.5 to 725.10 and 725.12 do not apply to a game,
  8 23 activity, ticket, or device when lawfully possessed, used,
  8 24 conducted, or participated in pursuant to chapter 99B, 99E, or
  8 25 99F.
  8 26    Sec. 25.  Chapter 99E, Code 1997, is repealed.
  8 27    Sec. 26.  EFFECTIVE DATE.  Section 1 of this Act, being
  8 28 deemed of immediate importance, takes effect upon enactment.  
  8 29                           EXPLANATION
  8 30    This bill repeals chapter 99E, the Iowa lottery Act, as of
  8 31 July 1, 1997.  The bill also provides for the orderly
  8 32 discontinuation of the lottery games, the disposition of
  8 33 lottery equipment, the termination of contracts, and the
  8 34 transfer, reclassification, or termination of affected state
  8 35 employees.
  9  1    The bill also includes a number of amendments striking
  9  2 references to chapter 99E, the Iowa lottery Act.  
  9  3 LSB 1918XS 77
  9  4 tj/sc/14
     

Text: SF00337                           Text: SF00339
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