House File 2497 S-5160 Amend House File 2497, as passed by the House, as follows: 1 1. Page 1, by striking lines 10 and 11 and inserting < to 2 cashless wagering systems where a person accesses a cash 3 account through a mobile application used by the licensee 4 to conduct cashless wagering. The mobile application shall 5 include the statewide telephone number authorized by the 6 Iowa department of public health to provide problem gambling 7 information and extensive responsible gaming features in 8 addition to those described in section 99D,7, subsection 23. > 9 2. Page 1, by striking lines 19 and 20 and inserting < apply 10 to cashless wagering systems where a person accesses a cash 11 account through a mobile application used by the licensee 12 to conduct cashless wagering. The mobile application shall 13 include the statewide telephone number authorized by the 14 Iowa department of public health to provide problem gambling 15 information and extensive responsible gaming features in 16 addition to those described in section 99F.4, subsection 22. > 17 3. By striking page 1, line 23, through page 6, line 2, and 18 inserting: 19 < Sec. ___. Section 99D.7, subsection 23, Code 2022, is 20 amended to read as follows: 21 23. To establish a process to allow a person to be 22 voluntarily excluded from advance deposit wagering as defined 23 in section 99D.11 , from an internet fantasy sports contest as 24 defined in section 99E.1 , from advance deposit sports wagering 25 as defined in section 99F.9 , and from the wagering area of 26 a racetrack enclosure, from the gaming floor, and from the 27 sports wagering area, as defined in section 99F.1 , of all 28 other licensed facilities under this chapter and chapter 99F 29 as provided in this subsection . The process shall provide 30 that an initial request by a person to be voluntarily excluded 31 shall be for a period of five years or life and any subsequent 32 request following any five-year period shall be for a period of 33 five years or life. The process established shall require that 34 licensees be provided electronic access to names and social 35 -1- HF 2497.4525 (2) 89 ec/rn 1/ 8 #1. #2. #3.

security numbers of persons voluntarily excluded through a 1 secured interactive internet site maintained by the commission 2 and information regarding persons voluntarily excluded shall 3 be disseminated to all licensees under this chapter , chapter 4 99E , and chapter 99F . The names, social security numbers, and 5 information regarding persons voluntarily excluded shall be 6 kept confidential unless otherwise ordered by a court or by 7 another person duly authorized to release such information. 8 The process established shall also require a person requesting 9 to be voluntarily excluded be provided information compiled 10 by the Iowa department of public health on gambling treatment 11 options. The state and any licensee under this chapter , 12 chapter 99E , or chapter 99F shall not be liable to any person 13 for any claim which may arise from this process. In addition 14 to any other penalty provided by law, any money or thing of 15 value that has been obtained by, or is owed to, a voluntarily 16 excluded person as a result of wagers made by the person after 17 the person has been voluntarily excluded shall be forfeited by 18 the person and shall be credited to the general fund of the 19 state. The commission shall not initiate any administrative 20 action or impose penalties on a licensee who voluntarily 21 reports to the commission activity described in section 99D.24, 22 subsection 4, paragraph “c” . 23 Sec. ___. Section 99D.24, subsection 4, Code 2022, is 24 amended by adding the following new paragraphs: 25 NEW PARAGRAPH . c. Knowingly or intentionally passes a 26 winning wager or share to another person or provides fraudulent 27 identification in order to avoid the forfeiture of any money or 28 thing of value as a voluntarily excluded person pursuant to the 29 processes established under section 99D.7, subsection 23. 30 NEW PARAGRAPH . d. Knowingly or intentionally passes a 31 winning wager or share to another person or provides fraudulent 32 identification in order to avoid the application of a setoff 33 as provided in section 99D.28. 34 Sec. ___. Section 99D.28, subsection 7, Code 2022, is 35 -2- HF 2497.4525 (2) 89 ec/rn 2/ 8

amended to read as follows: 1 7. A claimant agency or licensee, acting in good faith, 2 shall not be liable to any person for actions taken pursuant to 3 this section . In addition, the commission shall not initiate 4 any administrative action or impose penalties on a licensee who 5 voluntarily reports to the commission activity described in 6 section 99D.24, subsection 4, paragraph “d” . 7 Sec. ___. Section 99F.4, subsection 22, Code 2022, is 8 amended to read as follows: 9 22. To establish a process to allow a person to be 10 voluntarily excluded from advance deposit wagering as defined 11 in section 99D.11 , from an internet fantasy sports contest 12 as defined in section 99E.1 , from advance deposit sports 13 wagering as defined in section 99F.9 , from the gaming floor 14 and sports wagering area of an excursion gambling boat, from 15 the wagering area, as defined in section 99D.2 , and from the 16 gaming floor and sports wagering area of all other licensed 17 facilities under this chapter and chapter 99D as provided in 18 this subsection . The process shall provide that an initial 19 request by a person to be voluntarily excluded shall be for 20 a period of five years or life and any subsequent request 21 following any five-year period shall be for a period of five 22 years or life. The process established shall require that 23 licensees be provided electronic access to names and social 24 security numbers of persons voluntarily excluded through a 25 secured interactive internet site maintained by the commission 26 and information regarding persons voluntarily excluded shall 27 be disseminated to all licensees under this chapter , chapter 28 99D , and chapter 99E . The names, social security numbers, and 29 information regarding persons voluntarily excluded shall be 30 kept confidential unless otherwise ordered by a court or by 31 another person duly authorized to release such information. 32 The process established shall also require a person requesting 33 to be voluntarily excluded be provided information compiled 34 by the Iowa department of public health on gambling treatment 35 -3- HF 2497.4525 (2) 89 ec/rn 3/ 8

options. The state and any licensee under this chapter , 1 chapter 99D , or chapter 99E shall not be liable to any person 2 for any claim which may arise from this process. In addition 3 to any other penalty provided by law, any money or thing of 4 value that has been obtained by, or is owed to, a voluntarily 5 excluded person as a result of wagers made by the person after 6 the person has been voluntarily excluded shall be forfeited by 7 the person and shall be credited to the general fund of the 8 state. The commission shall not initiate any administrative 9 action or impose penalties on a licensee who voluntarily 10 reports to the commission activity described in section 99F.15, 11 subsection 4, paragraph “n” . 12 Sec. ___. Section 99F.15, subsection 4, Code 2022, is 13 amended by adding the following new paragraphs: 14 NEW PARAGRAPH . n. Knowingly or intentionally passes a 15 winning wager or share to another person or provides fraudulent 16 identification in order to avoid the forfeiture of any money or 17 thing of value as a voluntarily excluded person pursuant to the 18 processes established under section 99F.4, subsection 22. 19 NEW PARAGRAPH . o. Knowingly or intentionally passes a 20 winning wager or share to another person or provides fraudulent 21 identification in order to avoid the application of a setoff 22 as provided in section 99F.19. 23 Sec. ___. Section 99F.19, subsection 7, Code 2022, is 24 amended to read as follows: 25 7. A claimant agency or licensee, acting in good faith, 26 shall not be liable to any person for actions taken pursuant to 27 this section . In addition, the commission shall not initiate 28 any administrative action or impose penalties on a licensee who 29 voluntarily reports to the commission activity described in 30 section 99F.15, subsection 4, paragraph “o” . > 31 4. Page 6, by striking lines 5 through 20. 32 5. Page 7, by striking lines 12 through 15 and inserting < a 33 collegiate team from this state is a participant, or placing a 34 wager on the performance of athletes > 35 -4- HF 2497.4525 (2) 89 ec/rn 4/ 8 #4.

6. Page 9, after line 25 by inserting: 1 < DIVISION ___ 2 GAMBLING GAME LICENSE MORATORIUM 3 Sec. ___. NEW SECTION . 99F.5A Limitations on issuance of 4 licenses to conduct gambling games. 5 1. Commencing June 1, 2022, the total number of licenses 6 issued by the commission to conduct gambling games on an 7 excursion gambling boat, at a gambling structure, or at a 8 pari-mutuel racetrack shall not exceed nineteen subject to the 9 requirements of this section. 10 2. Licenses to conduct gambling games shall be restricted 11 to those counties where an excursion gambling boat, gambling 12 structure, or racetrack enclosure was operating and licensed to 13 conduct gambling games on June 1, 2022. 14 3. The commission shall be authorized to take any of the 15 following actions concerning the issuance of licenses to 16 conduct gambling games: 17 a. A gambling games licensee may move to a new location 18 within the same county and retain the gambling games license. 19 b. A licensed facility may be sold and a new gambling games 20 license issued for operation in the same county. 21 c. If a license to conduct gambling games is surrendered, 22 not renewed, or revoked, a new gambling games license may be 23 issued for operation in the same county. 24 4. This section is repealed June 30, 2024. 25 Sec. ___. EFFECTIVE DATE. This division of this Act, being 26 deemed of immediate importance, takes effect upon enactment. 27 Sec. ___. RETROACTIVE APPLICABILITY. This division of this 28 Act applies retroactively to June 1, 2022. 29 DIVISION ___ 30 SIMULCASTING LICENSURE AND TAXATION 31 Sec. ___. NEW SECTION . 99D.9D Alternative simulcasting 32 licensure —— horse and dog races. 33 1. An entity that has entered into an agreement with the 34 Iowa horsemen’s benevolent and protective association for 35 -5- HF 2497.4525 (2) 89 ec/rn 5/ 8 #6.

source market fees related to simultaneously telecast horse 1 or dog races may submit an application to the commission for 2 a license under this chapter to conduct pari-mutuel wagering 3 on simultaneously telecast horse or dog races, subject to 4 the requirements of this section. Unless inconsistent with 5 the requirements of this section, an entity submitting an 6 application for a license under this section shall comply with 7 all requirements for submitting an application for a license 8 under this chapter. 9 2. If an application for a license under subsection 1 is 10 approved by the commission pursuant to the requirements of 11 this section and section 99D.9, the entity submitting the 12 application shall be granted a license under this section to 13 conduct pari-mutuel wagering on simultaneously telecast horse 14 or dog races conducted at a facility of a licensee authorized 15 to conduct gambling games under chapter 99D or chapter 99F 16 pursuant to an agreement with the licensee of that facility 17 as authorized by this section. A licensee issued a license 18 pursuant to this section shall comply with all requirements 19 of this chapter applicable to licensees unless otherwise 20 inconsistent with the provisions of this section. 21 3. A license issued pursuant to this section shall authorize 22 the licensee to enter into an agreement with any licensee 23 authorized to operate an excursion gambling boat or gambling 24 structure under chapter 99F to conduct, without the requirement 25 to conduct live horse or dog races at the facility, pari-mutuel 26 wagering on simultaneously telecast horse or dog races at the 27 facility of the licensee authorized to operate an excursion 28 gambling boat or gambling structure under chapter 99F. 29 4. The commission shall establish an annual license fee 30 and regulatory fee for any entity issued a license under this 31 section to conduct pari-mutuel wagering on simultaneously 32 telecast horse or dog races as authorized by this section. The 33 commission shall not impose any other fees for simultaneously 34 telecast horse or dog races conducted by any licensee under 35 -6- HF 2497.4525 (2) 89 ec/rn 6/ 8

this section. 1 5. The commission shall require that an annual audit 2 be conducted and submitted to the commission, in a manner 3 determined by the commission, concerning the operation of the 4 simultaneously telecast horse or dog races by any licensee 5 under this section. 6 Sec. ___. Section 99D.15, subsection 4, Code 2022, is 7 amended by striking the subsection and inserting in lieu 8 thereof the following: 9 4. A tax is imposed on the gross sum wagered by the 10 pari mutuel method on horse races and dog races which are 11 simultaneously telecast, in lieu of the taxes imposed pursuant 12 to subsection 1 or 3. The rate of tax is determined as follows: 13 a. If wagering on simultaneously telecast horse races and 14 dog races is not conducted by a licensee under section 99D.9D, 15 a tax of two percent is imposed on the gross sum wagered by 16 the pari-mutuel method on horse races and dog races which are 17 simultaneously telecast. The tax revenue from simulcast horse 18 races under this paragraph shall be distributed as provided in 19 subsection 1 and the tax revenue from simulcast dog races under 20 this paragraph shall be distributed as provided in subsection 21 3. 22 b. If wagering on simultaneously telecast horse races and 23 dog races is conducted by a licensee under section 99D.9D, 24 a tax of two percent is imposed on the gross sum wagered by 25 the pari-mutuel method on horse races and dog races which 26 are simultaneously telecast in excess of twenty-five million 27 dollars in a calendar year. Of the tax revenue collected 28 from simulcast horse races under this paragraph, one-half of 29 one percent of the gross sum wagered shall be remitted to the 30 treasurer of the county in which a horse racetrack is located 31 in this state and licensed under this chapter. The remaining 32 amount of tax revenue shall be deposited with the commission. > 33 7. Title page, line 3, by striking < and > and inserting 34 < limitations on gambling game licenses, and simulcasting 35 -7- HF 2497.4525 (2) 89 ec/rn 7/ 8