Senate File 617 S-3176 Amend Senate File 617 as follows: 1 1. Page 1, line 23, by striking < chapter and > and inserting 2 < chapter , chapter 99E, and > 3 2. Page 1, line 30, after < chapter > by inserting < , chapter 4 99E, > 5 3. Page 4, line 27, by striking < and chapter 99D > and 6 inserting < , and chapter 99D , and chapter 99E > 7 4. Page 4, line 35, by striking < or chapter 99D > and 8 inserting < , or chapter 99D , or chapter 99E > 9 5. Page 5, by striking lines 17 through 19 and inserting 10 < license fees shall be deposited in the general fund of the 11 state and shall be subject to the requirements of section 8.60. 12 All revenue received by the commission from regulatory > 13 6. Page 6, line 1, by striking < also licensed to conduct 14 sports wagering > and inserting < applicable > 15 7. Page 6, by striking line 14 and inserting < subparagraphs 16 (2) and (3), Code 2019, are amended to read > 17 8. Page 6, lines 26 and 27, by striking < also licensed to 18 conduct sports wagering > and inserting < applicable > 19 9. Page 7, by striking line 7 and inserting < racetrack 20 enclosure to > 21 10. Page 7, line 14, after < shall be > by inserting < four 22 percent of sports wagering net receipts and > 23 11. Page 7, by striking lines 26 through 30. 24 12. Page 7, line 34, by striking < seventy-five > and 25 inserting < forty-five > 26 13. Page 8, line 6, by striking < or operate > 27 14. Page 8, line 7, by striking < five > and inserting < ten > 28 15. Page 11, after line 8 by inserting: 29 < Sec. ___. Section 99F.11, subsection 3, unnumbered 30 paragraph 1, Code 2019, is amended to read as follows: 31 The taxes imposed by this section on adjusted gross receipts 32 from gambling games authorized under this chapter shall be paid 33 by the licensee to the treasurer of state within ten days after 34 the close of the day when the wagers were made and shall be 35 -1- SF617.1993 (1) 88 ec/rn 1/ 7 #1. #2. #3. #4. #5. #6. #7. #8. #9. #10. #11. #12. #13. #14. #15.

distributed as follows: > 1 16. Page 11, by striking lines 18 through 23 and inserting 2 < commission and shall be credited as > 3 17. Page 12, by striking lines 8 through 11 and inserting 4 < false identification. The commission is required to share 5 any information received pursuant to this paragraph with the 6 division of criminal investigation, any other law enforcement 7 entity upon request, or any regulatory agency the commission 8 deems appropriate. The commission shall promptly report any 9 information received pursuant to this paragraph with any 10 sports team or sports governing body as the commission deems 11 appropriate, but shall not share any information that would 12 interfere with an ongoing criminal investigation. > 13 18. Page 12, line 32, after < wagers. > by inserting < However, 14 a licensee shall not share information that would interfere 15 with an ongoing criminal investigation. > 16 19. Page 14, by striking lines 6 through 24. 17 20. Page 15, after line 20 by inserting: 18 < Sec. ___. Section 80.43, subsection 1, Code 2019, is 19 amended to read as follows: 20 1. A gaming enforcement revolving fund is created in the 21 state treasury under the control of the department. The fund 22 shall consist of fees collected and deposited into the fund 23 paid by licensees pursuant to section 99D.14, subsection 2 , 24 paragraph “b” , fees and costs paid by applicants pursuant 25 to section 99E.4, subsection 4, and fees paid by licensees 26 pursuant to section 99F.10, subsection 4 , paragraph “b” . All 27 costs for agents and officers plus any direct support costs 28 for such agents and officers of the division of criminal 29 investigation’s racetrack, excursion boat, or gambling 30 structure , and internet fantasy sports contests as defined in 31 section 99E.1 enforcement activities shall be paid from the 32 fund as provided in appropriations made for this purpose by the 33 general assembly. > 34 21. Page 16, after line 26 by inserting: 35 -2- SF617.1993 (1) 88 ec/rn 2/ 7 #16. #17. #18. #19. #20. #21.

< 8. “Licensee” means any person licensed under section 99E.5 1 to conduct internet fantasy sports contests. > 2 22. Page 16, line 27, by striking < 8. > and inserting < 9. > 3 23. Page 18, by striking lines 13 through 33 and inserting: 4 < 3. Before a license is granted, the division of criminal 5 investigation of the department of public safety shall conduct 6 a thorough background investigation of the applicant for a 7 license to conduct internet fantasy sports contests. The 8 applicant shall provide information on a form as required by 9 the division of criminal investigation. 10 4. The commission shall charge the applicant a reasonable 11 fee set by the division of criminal investigation of the 12 department of public safety, to defray those costs associated 13 with the fingerprint and national criminal history check 14 requirements of subsection 2 and background investigations 15 conducted by agents of the division of criminal investigation 16 as provided in subsection 3. These fees and costs are in 17 addition to any other license fees and costs charged by the 18 commission. The fees and costs received by the commission 19 shall be deposited in the gaming enforcement revolving fund 20 established in section 80.43. > 21 24. Page 19, line 32, by striking < annual > 22 25. Page 20, by striking lines 18 through 23 and inserting: 23 < d. Include on the internet site or mobile application used 24 by the licensee to conduct internet fantasy sports contests the 25 statewide telephone number authorized by the Iowa department 26 of public health to provide problem gambling information and 27 extensive responsible gaming features in addition to those 28 described in section 99F.4, subsection 22. > 29 26. Page 21, line 14, by striking < annual > 30 27. Page 21, by striking lines 15 through 17 and inserting 31 < license fees paid under this section shall be considered 32 repayment receipts as defined in section 8.2. > 33 28. Page 22, line 8, by striking < be > 34 29. Page 22, by striking lines 9 through 14. 35 -3- SF617.1993 (1) 88 ec/rn 3/ 7 #22. #23. #24. #25. #26. #27. #28.

30. Page 23, line 11, by striking < authorized > and inserting 1 < required > 2 31. Page 24, line 10, by striking < ninety > and inserting 3 < one hundred eighty > 4 32. Page 25, after line 20 by inserting: 5 < Sec. ___. Section 725.7, subsection 1, paragraph e, Code 6 2019, is amended to read as follows: 7 e. Engage in bookmaking , except as permitted in chapters 99E 8 and 99F . 9 Sec. ___. Section 725.13, Code 2019, is amended to read as 10 follows: 11 725.13 Definition of bookmaking. 12 “Bookmaking” means advancing gambling activity by accepting 13 bets upon the outcome of future contingent events as a business 14 other than as permitted in chapters 99B , 99D , 99E, and 99F . 15 These events include, but are not limited to, the results of 16 a trial or contest of skill, speed, power, or endurance of 17 a person or beast or between persons, beasts, fowl, motor 18 vehicles, or mechanical apparatus or upon the result of any 19 chance, casualty, unknown, or contingent event. > 20 33. Page 26, lines 21 and 22, by striking < state 21 philanthropy, opportunity, reinvestment, and tourism > and 22 inserting < sports wagering receipts > 23 34. Page 26, lines 26 and 27, by striking < state 24 philanthropy, opportunity, reinvestment, and tourism > and 25 inserting < sports wagering receipts > 26 35. Page 26, lines 28 and 29, by striking < state 27 philanthropy, opportunity, reinvestment, and tourism > and 28 inserting < sports wagering receipts > 29 36. By striking page 26, line 35, through page 27, line 1, 30 and inserting: 31 < b. Moneys in the sports wagering receipts fund are not 32 subject to section > 33 37. Page 27, lines 3 and 4, by striking < state philanthropy, 34 opportunity, reinvestment, and tourism > and inserting < sports 35 -4- SF617.1993 (1) 88 ec/rn 4/ 7 #30. #31. #32. #33. #34. #35. #36.

wagering receipts > 1 38. Page 27, lines 5 and 6, by striking < state philanthropy, 2 opportunity, reinvestment, and tourism > and inserting < sports 3 wagering receipts > 4 39. Page 27, lines 9 and 10, by striking < state 5 philanthropy, opportunity, reinvestment, and tourism > and 6 inserting < sports wagering receipts > 7 40. Page 27, lines 13 and 14, by striking < state 8 philanthropy, opportunity, reinvestment, and tourism > and 9 inserting < sports wagering receipts > 10 41. Page 27, lines 24 and 25, by striking < state 11 philanthropy, opportunity, reinvestment, and tourism > and 12 inserting < sports wagering receipts > 13 42. Page 27, after line 33 by inserting: 14 < Sec. ___. Section 15E.311, subsection 3, paragraph a, Code 15 2019, is amended to read as follows: 16 a. At the end of each fiscal year, moneys in the fund 17 shall be transferred into separate accounts within the fund 18 and designated for use by each county in which no licensee 19 authorized to conduct gambling games under chapter 99F was 20 located during that fiscal year. Moneys transferred to 21 county accounts shall be divided equally among the counties. 22 Moneys transferred into an account for a county shall be 23 transferred by the department to an eligible county recipient 24 for that county. Of the moneys transferred, an eligible county 25 recipient shall distribute seventy-five percent of the moneys 26 as grants to charitable organizations for charitable purposes 27 in that county and shall retain twenty-five percent of the 28 moneys for use in establishing a permanent endowment fund 29 for the benefit of charitable organizations for charitable 30 purposes. In addition, of the moneys transferred from moneys 31 appropriated to the fund from the sports wagering receipts 32 fund created in section 8.57, subsection 6, and distributed, 33 eligible county recipients shall give consideration for grants, 34 upon application, to a charitable organization that operates 35 -5- SF617.1993 (1) 88 ec/rn 5/ 7 #38. #39. #40. #41. #42.

a racetrack facility that conducts automobile races in that 1 county. Of the amounts distributed, eligible county recipients 2 shall give special consideration to grants for projects that 3 include significant vertical infrastructure components designed 4 to enhance quality of life aspects within local communities. 5 In addition, as a condition of receiving a grant, the governing 6 body of a charitable organization receiving a grant shall 7 approve all expenditures of grant moneys and shall allow a 8 state audit of expenditures of all grant moneys. 9 Sec. ___. Section 99B.41, Code 2019, is amended by adding 10 the following new subsection: 11 NEW SUBSECTION . 1A. “Social fantasy sports contest” means 12 any fantasy or simulated game or contest in which the value 13 of all prizes and awards offered to winning participants are 14 established and made known to the participants in advance of 15 the contest and do not exceed a total of one thousand dollars 16 or equivalent consideration, all winning outcomes reflect 17 the relative knowledge and skill of the participants and 18 shall be determined by accumulated statistical results of the 19 performance of individuals in events occurring over more than 20 a twenty-four-hour period, including athletes in the case of 21 sporting events, and no winning outcome is solely based on the 22 score, point spread, or any performance or performances of 23 any single actual team or solely on any single performance of 24 an individual athlete or player in any single actual event. 25 “Social fantasy sports contest” does not include an internet 26 fantasy sports contest as defined in section 99E.1. 27 Sec. ___. Section 99B.45, subsection 2, Code 2019, is 28 amended by adding the following new paragraph: 29 NEW PARAGRAPH . c. A social fantasy sports contest. > 30 43. Page 28, line 3, after < chapter > by inserting < shall be 31 residents of this state and > 32 44. Page 28, by striking lines 12 through 29. 33 45. By renumbering as necessary. 34 -6- SF617.1993 (1) 88 ec/rn 6/ 7 #43. #44.