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House Study Bill 227 - IntroducedA Bill ForAn Act 1providing for advance deposit wagering on gambling
2games.
3BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 99D.7, subsection 23, Code 2023, is
2amended to read as follows:
323. To establish a process to allow a person to be
4voluntarily excluded from advance deposit wagering as defined
5in section 99D.11, from an internet fantasy sports contest as
6defined in section 99E.1, from advance deposit sports wagering
7as defined in section 99F.9, from advance deposit gambling
8games as defined in section 99F.9, and from the wagering area
9of a racetrack enclosure, from the gaming floor, and from the
10sports wagering area, as defined in section 99F.1, of all
11other licensed facilities under this chapter and chapter 99F
12as provided in this subsection. The process shall provide
13that an initial request by a person to be voluntarily excluded
14shall be for a period of five years or life and any subsequent
15request following any five-year period shall be for a period of
16five years or life. The process established shall require that
17licensees be provided electronic access to names and social
18security numbers of persons voluntarily excluded through a
19secured interactive internet site maintained by the commission
20and information regarding persons voluntarily excluded shall
21be disseminated to all licensees under this chapter, chapter
2299E, and chapter 99F. The names, social security numbers, and
23information regarding persons voluntarily excluded shall be
24kept confidential unless otherwise ordered by a court or by
25another person duly authorized to release such information.
26The process established shall also require a person requesting
27to be voluntarily excluded be provided information compiled
28by the Iowa department of public health on gambling treatment
29options. The state and any licensee under this chapter,
30chapter 99E, or chapter 99F shall not be liable to any person
31for any claim which may arise from this process. In addition
32to any other penalty provided by law, any money or thing of
33value that has been obtained by, or is owed to, a voluntarily
34excluded person as a result of wagers made by the person after
35the person has been voluntarily excluded shall be forfeited by
-1-1the person and shall be credited to the general fund of the
2state. The commission shall not initiate any administrative
3action or impose penalties on a licensee who voluntarily
4reports to the commission activity described in section 99D.24,
5subsection 4, paragraph “c”.
6 Sec. 2. Section 99F.4, subsection 22, Code 2023, is amended
7to read as follows:
822. To establish a process to allow a person to be
9voluntarily excluded from advance deposit wagering as defined
10in section 99D.11, from an internet fantasy sports contest as
11defined in section 99E.1, from advance deposit sports wagering
12as defined in section 99F.9, from advance deposit gambling
13games as defined in section 99F.9, from the gaming floor and
14sports wagering area of an excursion gambling boat, from the
15wagering area, as defined in section 99D.2, and from the
16gaming floor and sports wagering area of all other licensed
17facilities under this chapter and chapter 99D as provided in
18this subsection. The process shall provide that an initial
19request by a person to be voluntarily excluded shall be for
20a period of five years or life and any subsequent request
21following any five-year period shall be for a period of five
22years or life. The process established shall require that
23licensees be provided electronic access to names and social
24security numbers of persons voluntarily excluded through a
25secured interactive internet site maintained by the commission
26and information regarding persons voluntarily excluded shall
27be disseminated to all licensees under this chapter, chapter
2899D, and chapter 99E. The names, social security numbers, and
29information regarding persons voluntarily excluded shall be
30kept confidential unless otherwise ordered by a court or by
31another person duly authorized to release such information.
32The process established shall also require a person requesting
33to be voluntarily excluded be provided information compiled
34by the Iowa department of public health on gambling treatment
35options. The state and any licensee under this chapter,
-2-1chapter 99D, or chapter 99E shall not be liable to any person
2for any claim which may arise from this process. In addition
3to any other penalty provided by law, any money or thing of
4value that has been obtained by, or is owed to, a voluntarily
5excluded person as a result of wagers made by the person after
6the person has been voluntarily excluded shall be forfeited by
7the person and shall be credited to the general fund of the
8state. The commission shall not initiate any administrative
9action or impose penalties on a licensee who voluntarily
10reports to the commission activity described in section 99F.15,
11subsection 4, paragraph “n”.
12 Sec. 3. Section 99F.4, Code 2023, is amended by adding the
13following new subsection:
14 NEW SUBSECTION. 28. To adopt standards under which
15advance deposit gambling games as defined in section 99F.9
16are conducted, to identify occupations within advance deposit
17gambling games which require licensing, and to adopt standards
18for licensing and background qualifications for occupations
19including establishing fees for the occupational license. All
20revenue received by the commission under this chapter from
21license fees shall be deposited in the general fund of the
22state and shall be subject to the requirements of section 8.60.
23All revenue received by the commission from regulatory fees
24shall be deposited into the gaming regulatory revolving fund
25established in section 99F.20.
26 Sec. 4. NEW SECTION. 99F.7B Advance deposit gambling games
27— license — terms and conditions — fees.
281. The commission shall, upon payment of an initial license
29fee of forty-five thousand dollars and submission of an
30application to the commission consistent with the requirements
31of section 99F.6, issue a license to conduct advance deposit
32gambling games to a licensee authorized to conduct gambling
33games at a pari-mutuel racetrack enclosure or a licensee
34authorized to operate an excursion gambling boat or gambling
35structure, subject to the requirements of this chapter. The
-3-1annual renewal fee for a license to conduct advance deposit
2gambling games shall be ten thousand dollars.
32. A licensee under this section shall include on the
4internet site or mobile application used by the licensee
5to conduct advance deposit gambling games as authorized in
6section 99F.9 the statewide telephone number authorized by the
7Iowa department of public health to provide problem gambling
8information and extensive responsible gaming features in
9addition to those described in section 99F.4, subsection 22.
103. A licensee under this section may enter into operating
11agreements with one or two entities to have up to a total of
12two individually branded internet sites to conduct advance
13deposit gambling games for the licensee, unless one additional
14operating agreement or individually branded internet site
15is authorized by the commission. However, a person shall
16not sell, grant, assign, or turn over to another person the
17operation of an individually branded internet site to conduct
18advance deposit gambling games for the licensee without the
19approval of the commission. This section does not prohibit an
20agreement entered into between a licensee under this section
21and an advance deposit gambling games operator as approved by
22the commission.
234. The commission may enter into agreements with other
24similar entities with authority over foreign jurisdictions
25to facilitate, administer, and regulate multijurisdictional
26advance deposit gambling games conducted within the United
27States to the extent that entering into the agreement is
28consistent with state and federal laws.
29 Sec. 5. Section 99F.9, subsection 4, paragraph a, Code 2023,
30is amended by adding the following new subparagraphs:
31 NEW SUBPARAGRAPH. (01) “Advance deposit gambling games”
32means a method of wagering on gambling games in which an
33eligible individual may, in an account established with a
34licensee under section 99F.7B, deposit moneys into the account
35and use the account balance to pay for wagering on gambling
-4-1games.
2 NEW SUBPARAGRAPH. (001) “Advance deposit gambling games
3operator” means an advance deposit gambling games operator
4licensed by the commission who has entered into an agreement
5with a licensee under section 99F.7B to provide advance deposit
6gambling games.
7 Sec. 6. Section 99F.9, subsection 4, Code 2023, is amended
8by adding the following new paragraphs:
9 NEW PARAGRAPH. 0c. The commission may authorize a licensee
10under section 99F.7B to conduct advance deposit gambling games.
11Advance deposit gambling games wagers may be placed from any
12location by an eligible individual within the state via a
13telephone-type device, a computer, through the internet, or by
14any other electronic means. The commission may also issue an
15advance deposit gambling games operator license to an entity
16who complies with this subsection and section 99F.6 and may
17require the advance deposit gambling games operator to conduct
18an audit consistent with the requirements of section 99F.13.
19 NEW PARAGRAPH. 00c. The commission shall permit an eligible
20individual to use the same account to conduct advance deposit
21sports wagering and advance deposit gambling games with an
22operator licensed to conduct both advance deposit sports
23wagering and advance deposit gambling games.
24 Sec. 7. Section 99F.20, subsection 1, Code 2023, is amended
25to read as follows:
261. A gaming regulatory revolving fund is created in
27the state treasury under the control of the department of
28inspections and appeals. The fund shall consist of fees
29collected and deposited into the fund paid by licensees
30pursuant to section 99D.14, subsection 2, paragraph “c”, fees
31paid by licensees pursuant to section 99E.5, subsection 4,
32paragraph “c”, regulatory fees paid by licensees pursuant
33to section 99F.4, subsection subsections 27 and 28, and fees
34paid by licensees pursuant to section 99F.10, subsection 4,
35paragraph “c”. All costs relating to racetrack, excursion
-5-1boat, gambling structure, internet fantasy sports contests as
2defined in section 99E.1, and sports wagering regulation shall
3be paid from the fund as provided in appropriations made for
4this purpose by the general assembly. The department shall
5provide quarterly reports to the department of management and
6the legislative services agency specifying revenues billed
7and collected and expenditures from the fund in a format as
8determined by the department of management in consultation with
9the legislative services agency.
10EXPLANATION
11The inclusion of this explanation does not constitute agreement with
12the explanation’s substance by the members of the general assembly.
13This bill authorizes advance deposit gambling games.
14Code sections 99D.7(23) and 99F.4(22), concerning persons
15voluntarily excluded from wagering or gaming areas, are amended
16to include internet fantasy sports contests, advance deposit
17wagering, advance deposit sports wagering, and the sports
18wagering area.
19Code section 99F.4, concerning racing and gaming commission
20powers, is amended to grant the racing and gaming commission
21the authority to adopt standards under which advance deposit
22gambling games are conducted. The bill provides that revenue
23received by the commission from license fees for advance
24deposit gambling games shall be deposited in the general fund
25and revenue received by the commission from regulatory fees
26shall be deposited into the gaming regulatory revolving fund
27established in Code section 99F.20.
28New Code section 99F.7B provides specific requirements
29relative to the licensing, operation, and fees applicable to
30advance deposit gambling games. The bill provides that the
31commission shall, upon payment of an initial license fee of
32$45,000, issue a license to conduct advance deposit gambling
33games to a licensee authorized to conduct gambling games at a
34pari-mutuel racetrack enclosure or a licensee authorized to
35operate an excursion gambling boat or gambling structure. The
-6-1bill provides for an annual renewal fee of $10,000. The new
2Code section also provides that a licensee shall include on the
3internet site or mobile application used by the licensee to
4conduct advance deposit gambling games the statewide telephone
5number authorized by the Iowa department of public health to
6provide problem gambling information and extensive responsible
7gaming features. The bill also provides that a licensee may
8enter into operating agreements with up to two entities to
9conduct advance deposit gambling games. The bill allows the
10commission to enter into agreements with other similar entities
11with authority over foreign jurisdictions to facilitate,
12administer, and regulate multijurisdictional advance deposit
13gambling games conducted within the United States to the extent
14that entering into the agreement is consistent with state and
15federal laws.
16Code section 99F.9, concerning wagering on gambling games,
17is amended to allow the commission to authorize gambling
18game licensees under Code chapter 99F to conduct advance
19deposit gambling games. The bill defines “advance deposit
20gambling games” as a form of wagering on gambling games where
21an eligible individual creates an account with a licensee,
22deposits money into that account, and can use the balance
23within the account for wagering on gambling games. The bill
24would allow an eligible individual, defined as an individual
2521 years of age or older who is located within this state,
26to place an advance deposit gambling games wager from any
27location within this state by telephone, a computer, through
28the internet, or by other electronic means. The bill allows a
29licensee under Code section 99F.7B to enter into an agreement
30with an advance deposit gambling games operator licensed by
31the commission to provide advance deposit gambling games for
32the licensee and allows the commission to require the advance
33deposit gambling games operator to conduct an audit. The bill
34also provides that the commission shall permit an eligible
35individual to use the same account to conduct advance deposit
-7-1sports wagering and advance deposit gambling games with an
2operator licensed to conduct both advance deposit sports
3wagering and advance deposit gambling games for a licensee.
-8-ec/rn
2games.
3BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. Section 99D.7, subsection 23, Code 2023, is
2amended to read as follows:
323. To establish a process to allow a person to be
4voluntarily excluded from advance deposit wagering as defined
5in section 99D.11, from an internet fantasy sports contest as
6defined in section 99E.1, from advance deposit sports wagering
7as defined in section 99F.9, from advance deposit gambling
8games as defined in section 99F.9, and from the wagering area
9of a racetrack enclosure, from the gaming floor, and from the
10sports wagering area, as defined in section 99F.1, of all
11other licensed facilities under this chapter and chapter 99F
12as provided in this subsection. The process shall provide
13that an initial request by a person to be voluntarily excluded
14shall be for a period of five years or life and any subsequent
15request following any five-year period shall be for a period of
16five years or life. The process established shall require that
17licensees be provided electronic access to names and social
18security numbers of persons voluntarily excluded through a
19secured interactive internet site maintained by the commission
20and information regarding persons voluntarily excluded shall
21be disseminated to all licensees under this chapter, chapter
2299E, and chapter 99F. The names, social security numbers, and
23information regarding persons voluntarily excluded shall be
24kept confidential unless otherwise ordered by a court or by
25another person duly authorized to release such information.
26The process established shall also require a person requesting
27to be voluntarily excluded be provided information compiled
28by the Iowa department of public health on gambling treatment
29options. The state and any licensee under this chapter,
30chapter 99E, or chapter 99F shall not be liable to any person
31for any claim which may arise from this process. In addition
32to any other penalty provided by law, any money or thing of
33value that has been obtained by, or is owed to, a voluntarily
34excluded person as a result of wagers made by the person after
35the person has been voluntarily excluded shall be forfeited by
-1-1the person and shall be credited to the general fund of the
2state. The commission shall not initiate any administrative
3action or impose penalties on a licensee who voluntarily
4reports to the commission activity described in section 99D.24,
5subsection 4, paragraph “c”.
6 Sec. 2. Section 99F.4, subsection 22, Code 2023, is amended
7to read as follows:
822. To establish a process to allow a person to be
9voluntarily excluded from advance deposit wagering as defined
10in section 99D.11, from an internet fantasy sports contest as
11defined in section 99E.1, from advance deposit sports wagering
12as defined in section 99F.9, from advance deposit gambling
13games as defined in section 99F.9, from the gaming floor and
14sports wagering area of an excursion gambling boat, from the
15wagering area, as defined in section 99D.2, and from the
16gaming floor and sports wagering area of all other licensed
17facilities under this chapter and chapter 99D as provided in
18this subsection. The process shall provide that an initial
19request by a person to be voluntarily excluded shall be for
20a period of five years or life and any subsequent request
21following any five-year period shall be for a period of five
22years or life. The process established shall require that
23licensees be provided electronic access to names and social
24security numbers of persons voluntarily excluded through a
25secured interactive internet site maintained by the commission
26and information regarding persons voluntarily excluded shall
27be disseminated to all licensees under this chapter, chapter
2899D, and chapter 99E. The names, social security numbers, and
29information regarding persons voluntarily excluded shall be
30kept confidential unless otherwise ordered by a court or by
31another person duly authorized to release such information.
32The process established shall also require a person requesting
33to be voluntarily excluded be provided information compiled
34by the Iowa department of public health on gambling treatment
35options. The state and any licensee under this chapter,
-2-1chapter 99D, or chapter 99E shall not be liable to any person
2for any claim which may arise from this process. In addition
3to any other penalty provided by law, any money or thing of
4value that has been obtained by, or is owed to, a voluntarily
5excluded person as a result of wagers made by the person after
6the person has been voluntarily excluded shall be forfeited by
7the person and shall be credited to the general fund of the
8state. The commission shall not initiate any administrative
9action or impose penalties on a licensee who voluntarily
10reports to the commission activity described in section 99F.15,
11subsection 4, paragraph “n”.
12 Sec. 3. Section 99F.4, Code 2023, is amended by adding the
13following new subsection:
14 NEW SUBSECTION. 28. To adopt standards under which
15advance deposit gambling games as defined in section 99F.9
16are conducted, to identify occupations within advance deposit
17gambling games which require licensing, and to adopt standards
18for licensing and background qualifications for occupations
19including establishing fees for the occupational license. All
20revenue received by the commission under this chapter from
21license fees shall be deposited in the general fund of the
22state and shall be subject to the requirements of section 8.60.
23All revenue received by the commission from regulatory fees
24shall be deposited into the gaming regulatory revolving fund
25established in section 99F.20.
26 Sec. 4. NEW SECTION. 99F.7B Advance deposit gambling games
27— license — terms and conditions — fees.
281. The commission shall, upon payment of an initial license
29fee of forty-five thousand dollars and submission of an
30application to the commission consistent with the requirements
31of section 99F.6, issue a license to conduct advance deposit
32gambling games to a licensee authorized to conduct gambling
33games at a pari-mutuel racetrack enclosure or a licensee
34authorized to operate an excursion gambling boat or gambling
35structure, subject to the requirements of this chapter. The
-3-1annual renewal fee for a license to conduct advance deposit
2gambling games shall be ten thousand dollars.
32. A licensee under this section shall include on the
4internet site or mobile application used by the licensee
5to conduct advance deposit gambling games as authorized in
6section 99F.9 the statewide telephone number authorized by the
7Iowa department of public health to provide problem gambling
8information and extensive responsible gaming features in
9addition to those described in section 99F.4, subsection 22.
103. A licensee under this section may enter into operating
11agreements with one or two entities to have up to a total of
12two individually branded internet sites to conduct advance
13deposit gambling games for the licensee, unless one additional
14operating agreement or individually branded internet site
15is authorized by the commission. However, a person shall
16not sell, grant, assign, or turn over to another person the
17operation of an individually branded internet site to conduct
18advance deposit gambling games for the licensee without the
19approval of the commission. This section does not prohibit an
20agreement entered into between a licensee under this section
21and an advance deposit gambling games operator as approved by
22the commission.
234. The commission may enter into agreements with other
24similar entities with authority over foreign jurisdictions
25to facilitate, administer, and regulate multijurisdictional
26advance deposit gambling games conducted within the United
27States to the extent that entering into the agreement is
28consistent with state and federal laws.
29 Sec. 5. Section 99F.9, subsection 4, paragraph a, Code 2023,
30is amended by adding the following new subparagraphs:
31 NEW SUBPARAGRAPH. (01) “Advance deposit gambling games”
32means a method of wagering on gambling games in which an
33eligible individual may, in an account established with a
34licensee under section 99F.7B, deposit moneys into the account
35and use the account balance to pay for wagering on gambling
-4-1games.
2 NEW SUBPARAGRAPH. (001) “Advance deposit gambling games
3operator” means an advance deposit gambling games operator
4licensed by the commission who has entered into an agreement
5with a licensee under section 99F.7B to provide advance deposit
6gambling games.
7 Sec. 6. Section 99F.9, subsection 4, Code 2023, is amended
8by adding the following new paragraphs:
9 NEW PARAGRAPH. 0c. The commission may authorize a licensee
10under section 99F.7B to conduct advance deposit gambling games.
11Advance deposit gambling games wagers may be placed from any
12location by an eligible individual within the state via a
13telephone-type device, a computer, through the internet, or by
14any other electronic means. The commission may also issue an
15advance deposit gambling games operator license to an entity
16who complies with this subsection and section 99F.6 and may
17require the advance deposit gambling games operator to conduct
18an audit consistent with the requirements of section 99F.13.
19 NEW PARAGRAPH. 00c. The commission shall permit an eligible
20individual to use the same account to conduct advance deposit
21sports wagering and advance deposit gambling games with an
22operator licensed to conduct both advance deposit sports
23wagering and advance deposit gambling games.
24 Sec. 7. Section 99F.20, subsection 1, Code 2023, is amended
25to read as follows:
261. A gaming regulatory revolving fund is created in
27the state treasury under the control of the department of
28inspections and appeals. The fund shall consist of fees
29collected and deposited into the fund paid by licensees
30pursuant to section 99D.14, subsection 2, paragraph “c”, fees
31paid by licensees pursuant to section 99E.5, subsection 4,
32paragraph “c”, regulatory fees paid by licensees pursuant
33to section 99F.4, subsection subsections 27 and 28, and fees
34paid by licensees pursuant to section 99F.10, subsection 4,
35paragraph “c”. All costs relating to racetrack, excursion
-5-1boat, gambling structure, internet fantasy sports contests as
2defined in section 99E.1, and sports wagering regulation shall
3be paid from the fund as provided in appropriations made for
4this purpose by the general assembly. The department shall
5provide quarterly reports to the department of management and
6the legislative services agency specifying revenues billed
7and collected and expenditures from the fund in a format as
8determined by the department of management in consultation with
9the legislative services agency.
10EXPLANATION
11The inclusion of this explanation does not constitute agreement with
12the explanation’s substance by the members of the general assembly.
13This bill authorizes advance deposit gambling games.
14Code sections 99D.7(23) and 99F.4(22), concerning persons
15voluntarily excluded from wagering or gaming areas, are amended
16to include internet fantasy sports contests, advance deposit
17wagering, advance deposit sports wagering, and the sports
18wagering area.
19Code section 99F.4, concerning racing and gaming commission
20powers, is amended to grant the racing and gaming commission
21the authority to adopt standards under which advance deposit
22gambling games are conducted. The bill provides that revenue
23received by the commission from license fees for advance
24deposit gambling games shall be deposited in the general fund
25and revenue received by the commission from regulatory fees
26shall be deposited into the gaming regulatory revolving fund
27established in Code section 99F.20.
28New Code section 99F.7B provides specific requirements
29relative to the licensing, operation, and fees applicable to
30advance deposit gambling games. The bill provides that the
31commission shall, upon payment of an initial license fee of
32$45,000, issue a license to conduct advance deposit gambling
33games to a licensee authorized to conduct gambling games at a
34pari-mutuel racetrack enclosure or a licensee authorized to
35operate an excursion gambling boat or gambling structure. The
-6-1bill provides for an annual renewal fee of $10,000. The new
2Code section also provides that a licensee shall include on the
3internet site or mobile application used by the licensee to
4conduct advance deposit gambling games the statewide telephone
5number authorized by the Iowa department of public health to
6provide problem gambling information and extensive responsible
7gaming features. The bill also provides that a licensee may
8enter into operating agreements with up to two entities to
9conduct advance deposit gambling games. The bill allows the
10commission to enter into agreements with other similar entities
11with authority over foreign jurisdictions to facilitate,
12administer, and regulate multijurisdictional advance deposit
13gambling games conducted within the United States to the extent
14that entering into the agreement is consistent with state and
15federal laws.
16Code section 99F.9, concerning wagering on gambling games,
17is amended to allow the commission to authorize gambling
18game licensees under Code chapter 99F to conduct advance
19deposit gambling games. The bill defines “advance deposit
20gambling games” as a form of wagering on gambling games where
21an eligible individual creates an account with a licensee,
22deposits money into that account, and can use the balance
23within the account for wagering on gambling games. The bill
24would allow an eligible individual, defined as an individual
2521 years of age or older who is located within this state,
26to place an advance deposit gambling games wager from any
27location within this state by telephone, a computer, through
28the internet, or by other electronic means. The bill allows a
29licensee under Code section 99F.7B to enter into an agreement
30with an advance deposit gambling games operator licensed by
31the commission to provide advance deposit gambling games for
32the licensee and allows the commission to require the advance
33deposit gambling games operator to conduct an audit. The bill
34also provides that the commission shall permit an eligible
35individual to use the same account to conduct advance deposit
-7-1sports wagering and advance deposit gambling games with an
2operator licensed to conduct both advance deposit sports
3wagering and advance deposit gambling games for a licensee.
-8-ec/rn