House File 429 - Introduced HOUSE FILE 429 BY COMMITTEE ON STATE GOVERNMENT (SUCCESSOR TO HSB 127) A BILL FOR An Act relating to matters under the purview of the Iowa 1 lottery authority, and providing criminal penalties. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 1345HV (3) 89 dg/rn

H.F. 429 Section 1. Section 99G.3, subsection 14, Code 2021, is 1 amended to read as follows: 2 14. “Retailer” means a person , licensed by the authority, 3 who sells lottery tickets or shares on behalf of the authority 4 pursuant to a contract license issued by the authority . 5 Sec. 2. Section 99G.31, Code 2021, is amended by adding the 6 following new subsection: 7 NEW SUBSECTION . 1A. The authority shall only pay prizes for 8 lottery tickets or shares that the authority determines were 9 legally purchased, legally possessed, and legally presented. 10 Sec. 3. Section 99G.36, Code 2021, is amended by adding the 11 following new subsections: 12 NEW SUBSECTION . 2A. A person who knowingly or intentionally 13 passes a lottery ticket or share in order to avoid the 14 application of an offset under section 99G.41 shall be guilty 15 of a class “D” felony. 16 NEW SUBSECTION . 2B. A person who knowingly or intentionally 17 passes a lottery ticket or share in order to circumvent 18 prohibited player provisions found in section 99G.31, 19 subsection 2, paragraph “g” or “h” , or applicable game specific 20 rules shall be guilty of a class “D” felony. 21 NEW SUBSECTION . 2C. A person who knowingly or intentionally 22 claims a lottery prize on a ticket or share received from an 23 individual subject to an offset under section 99G.41 shall be 24 guilty of a class “D” felony. 25 NEW SUBSECTION . 2D. A person who knowingly or intentionally 26 claims a lottery prize on a ticket or share received from 27 a player prohibited from playing the lottery under section 28 99G.31, subsection 2, paragraph “g” or “h” , or applicable game 29 specific rules shall be guilty of a class “D” felony. 30 Sec. 4. Section 99G.36, subsection 3, Code 2021, is amended 31 to read as follows: 32 3. No person shall knowingly or intentionally make a 33 material false statement in any lottery prize claim, make a 34 material false statement in any application for a license or 35 -1- LSB 1345HV (3) 89 dg/rn 1/ 2

H.F. 429 proposal to conduct lottery activities , or make a material 1 false entry in any book or record which is compiled or 2 maintained or submitted to the authority or the board pursuant 3 to the provisions of this chapter . Any person who violates 4 the provisions of this section shall be guilty of a class “D” 5 felony. 6 EXPLANATION 7 The inclusion of this explanation does not constitute agreement with 8 the explanation’s substance by the members of the general assembly. 9 This bill concerns the Iowa lottery authority. 10 Code section 99G.3, concerning definitions, is amended. The 11 bill amends the definition of “retailer” to mean a person who 12 sells lottery tickets or shares pursuant to a license, and not 13 just a contract, issued by the lottery authority. 14 Code section 99G.31, regarding prizes, is amended to provide 15 that the lottery authority shall only pay prizes for tickets or 16 shares that were legally purchased, possessed, and presented. 17 The bill amends Code section 99G.36, concerning criminal 18 penalties, to provide that a person who knowingly or 19 intentionally passes a lottery ticket or share, or claims a 20 lottery prize on a ticket or share received from an individual, 21 in order to avoid an offset under Code section 99G.41 shall be 22 guilty of a class “D” felony. The bill also provides that a 23 person who knowingly or intentionally passes a lottery ticket 24 or share, or claims a lottery prize on a ticket or share 25 received from an individual, in order to circumvent certain 26 prohibited player provisions found in Code section 99G.31 and 27 applicable game specific rules shall be guilty of a class “D” 28 felony. A class “D” felony is punishable by confinement for no 29 more than five years and a fine of at least $1,025 but not more 30 than $10,245. 31 -2- LSB 1345HV (3) 89 dg/rn 2/ 2