House Study Bill 288 HOUSE FILE BY (PROPOSED COMMITTEE ON GOVERNMENT OVERSIGHT BILL BY CHAIRPERSON ALONS) Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act concerning restrictions on retailer use of monitor vending 2 machines to sell lottery products. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 3459YC 81 5 ec/gg/14 PAG LIN 1 1 Section 1. Section 99G.30, subsection 4, Code 2005, is 1 2 amended to read as follows: 1 3 4. Except for the authority, a retailer shall only sell 1 4 lottery products on the licensed premises and not through the 1 5 mail or by technological means except as the authority may 1 6 provide or authorize and subject to the requirements of 1 7 section 99G.30A. 1 8 Sec. 2. NEW SECTION. 99G.30A MONITOR VENDING MACHINES == 1 9 RESTRICTIONS. 1 10 1. It shall be lawful for a retailer to sell lottery 1 11 products or tickets by means of a monitor vending machine 1 12 pursuant to the requirements of the authority, but only if all 1 13 of the following are complied with: 1 14 a. A retailer that is a fraternal or charitable 1 15 organization or who locates monitor vending machines in an 1 16 age=restricted area may locate no more than four monitor 1 17 vending machines at the retailer's premises, and all other 1 18 retailers may locate no more than two monitor vending machines 1 19 at the retailer's premises. For purposes of this paragraph, 1 20 an "age=restricted area" is a retailer premises in which 1 21 persons younger than twenty=one years of age are not allowed 1 22 or an area in a premises in which persons younger than twenty= 1 23 one years of age are allowed if the area is partitioned or 1 24 cordoned off in such a manner so as to restrict access to the 1 25 monitor vending machines. 1 26 b. A monitor vending machine authorized for use by the 1 27 authority shall not be a gambling device, as defined in 1 28 section 725.9, or a device that plays poker, blackjack, or 1 29 keno. 1 30 c. A person or retailer shall not advertise or promote the 1 31 availability of a monitor vending machine to the public as 1 32 anything other than a monitor vending machine dispensing 1 33 lottery products or tickets pursuant to rules adopted by the 1 34 authority. 1 35 2. For purposes of this section, a "monitor vending 2 1 machine" means a machine or other similar electronic device 2 2 that includes a video monitor and audio capabilities that 2 3 dispenses to a purchaser lottery tickets that have been 2 4 determined to be winning or losing tickets by a predetermined 2 5 pool drawing machine prior to the dispensing of the tickets. 2 6 EXPLANATION 2 7 This bill establishes requirements for the use by a 2 8 retailer of monitor vending machines to sell Iowa lottery 2 9 authority products or tickets. The bill defines a "monitor 2 10 vending machine" as a machine with a video monitor and audio 2 11 capabilities that dispenses to a purchaser lottery tickets 2 12 that have been determined to be winning or losing tickets by a 2 13 predetermined pool drawing machine prior to the dispensing of 2 14 the tickets. 2 15 The bill provides that a retailer may sell lottery products 2 16 by a monitor vending machine subject to several requirements. 2 17 The bill limits the number of monitor vending machines at a 2 18 retailer premises to two, but allows a retailer up to four 2 19 machines if the retailer is a fraternal or charitable 2 20 organization or is a retailer that locates monitor vending 2 21 machines in an age=restricted area. The bill provides that a 2 22 monitor vending machine shall not be a gambling device, as 2 23 defined in Code section 725.9, or a device that plays poker, 2 24 blackjack, or keno. The bill also provides that a retailer 2 25 shall not advertise or promote the availability of a monitor 2 26 vending machine to the public as anything other than a monitor 2 27 vending machine dispensing lottery products. 2 28 LSB 3459YC 81 2 29 ec:rj/gg/14