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A08101 Summary:

BILL NO    A08101 

SAME AS    SAME AS UNI. S05883

SPONSOR    Pretlow

COSPNSR    Gunther

MLTSPNSR   

Amd Various Laws, generally

Enacts the upstate New York gaming economic development act of 2013.
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A08101 Text:

                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________

           S. 5883                                                  A. 8101

                              2013-2014 Regular Sessions

                             S E N A T E - A S S E M B L Y

                                     June 18, 2013
                                      ___________

       IN  SENATE -- Introduced by Sen. BONACIC -- (at request of the Governor)
         -- read twice and ordered printed, and when printed to be committed to
         the Committee on Rules

       IN ASSEMBLY -- Introduced by M. of A. PRETLOW, GUNTHER -- (at request of
         the Governor) -- read once and referred to the Committee on Racing and
         Wagering

       AN ACT to amend the racing, pari-mutuel wagering and breeding  law,  the
         penal law and the state finance law, in relation to commercial gaming;
         to  amend the executive law, the state finance law and the Indian law,
         in relation to authorizing the  settlement  of  disputes  between  the
         Oneida  Nation of New York, the state, Oneida county and Madison coun-
         ty; to amend the Indian law and the tax law, in relation to  identify-
         ing  nations  and  tribes;  to amend the tax law and the state finance
         law, in relation to video lottery gaming; to amend part HH of  chapter
         57 of the laws of 2013 relating to providing for the administration of
         certain  funds and accounts related to the 2013-14 budget, in relation
         to the commercial gaming revenue fund; to amend chapter 50 of the laws
         of 2013 enacting the state operations budget, in relation  to  commer-
         cial  gaming  revenues;  to amend the racing, pari-mutual wagering and
         breeding law, in relation to directing the state gaming commission  to
         annually  evaluate video lottery gaming; to amend the racing, pari-mu-
         tuel wagering and breeding law and the state finance law, in  relation
         to  account wagering on simulcast horse races; to repeal section 11 of
         the executive law relating to fuel and energy shortage state of  emer-
         gency; and to repeal clause (G) of subparagraph (ii) of paragraph 1 of
         subdivision b of section 1612 of the tax law relating to vendor's fees

         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:

    1    Section 1. This act shall be known and may be cited  as  the  "upstate
    2  New York gaming economic development act of 2013."

        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD12052-02-3
       S. 5883                             2                            A. 8101

    1    S  2.  The racing, pari-mutuel wagering and breeding law is amended by
    2  adding a new article 13 to read as follows:
    3                                 ARTICLE 13
    4                          DESTINATION RESORT GAMING
    5  TITLE 1.  GENERAL PROVISIONS
    6        2.  FACILITY DETERMINATION AND LICENSING
    7        3.  OCCUPATIONAL LICENSING
    8        4.  ENTERPRISE AND VENDOR LICENSING AND REGISTRATION
    9        5.  REQUIREMENTS FOR CONDUCT AND OPERATION OF GAMING
   10        6.  TAXATION AND FEES
   11        7.  PROBLEM GAMBLING
   12        8.  MISCELLANEOUS PROVISIONS
   13        9.  GAMING INSPECTOR GENERAL
   14                                   TITLE 1
   15                             GENERAL PROVISIONS
   16  SECTION 1300. LEGISLATIVE FINDINGS AND PURPOSE.
   17          1301. DEFINITIONS.
   18          1302. AUDITING DUTIES OF THE COMMISSION.
   19          1303. EQUIPMENT TESTING.
   20          1304. COMMISSION REPORTING.
   21          1305. SUPPLEMENTAL POWER OF THE COMMISSION.
   22          1306. POWERS OF THE BOARD.
   23          1307. REQUIRED REGULATIONS.
   24          1308. REPORTS AND RECOMMENDATIONS.
   25          1309. SEVERABILITY AND PREEMPTION.
   26    S  1300.  LEGISLATIVE  FINDINGS  AND PURPOSE.   THE LEGISLATURE HEREBY
   27  FINDS AND DECLARES THAT:
   28    1. NEW YORK STATE IS ALREADY IN THE BUSINESS  OF  GAMBLING  WITH  NINE
   29  VIDEO  LOTTERY  FACILITIES,  FIVE  TRIBAL  CLASS  III CASINOS, AND THREE
   30  TRIBAL CLASS II FACILITIES;
   31    2. NEW YORK STATE HAS MORE ELECTRONIC GAMING MACHINES THAN  ANY  STATE
   32  IN THE NORTHEAST OR MIDEAST;
   33    3.  WHILE GAMBLING ALREADY EXISTS THROUGHOUT THE STATE, THE STATE DOES
   34  NOT FULLY CAPITALIZE ON THE ECONOMIC DEVELOPMENT POTENTIAL OF  LEGALIZED
   35  GAMBLING;
   36    4.  THE  STATE  SHOULD  AUTHORIZE  FOUR  DESTINATION RESORT CASINOS IN
   37  UPSTATE NEW YORK;
   38    5. FOUR UPSTATE CASINOS CAN BOOST ECONOMIC DEVELOPMENT,  CREATE  THOU-
   39  SANDS OF WELL-PAYING JOBS AND PROVIDE ADDED REVENUE TO THE STATE;
   40    6.  THE  UPSTATE  TOURISM INDUSTRY CONSTITUTES A CRITICAL COMPONENT OF
   41  OUR STATE'S ECONOMIC INFRASTRUCTURE AND THAT FOUR UPSTATE  CASINOS  WILL
   42  ATTRACT  NON-NEW  YORK  RESIDENTS  AND  BRING  DOWNSTATE  NEW YORKERS TO
   43  UPSTATE;
   44    7. THE CASINO SITES AND THE  LICENSED  OWNERS  SHALL  BE  SELECTED  ON
   45  MERIT;
   46    8.  LOCAL  IMPACT OF THE CASINO SITES WILL BE CONSIDERED IN THE CASINO
   47  EVALUATION PROCESS;
   48    9. TRIBES WHOSE GAMING COMPACTS ARE IN GOOD STANDING  WITH  THE  STATE
   49  WILL HAVE THEIR GEOGRAPHIC EXCLUSIVITY PROTECTED BY THIS ARTICLE;
   50    10.  REVENUE  REALIZED  FROM  CASINOS  SHALL  BE  UTILIZED TO INCREASE
   51  SUPPORT FOR EDUCATION BEYOND THAT OF THE STATE'S EDUCATION FORMULAE  AND
   52  TO PROVIDE REAL PROPERTY TAX RELIEF TO LOCALITIES;
   53    11.  CASINOS  WILL BE TIGHTLY AND STRICTLY REGULATED BY THE COMMISSION
   54  TO GUARANTEE PUBLIC CONFIDENCE AND TRUST IN THE CREDIBILITY AND INTEGRI-
   55  TY OF ALL CASINO GAMBLING IN THE STATE AND TO  PREVENT  ORGANIZED  CRIME
   56  FROM ANY INVOLVEMENT IN THE CASINO INDUSTRY;
       S. 5883                             3                            A. 8101

    1    12.  THE  NEED  FOR STRICT STATE CONTROLS EXTENDS TO REGULATION OF ALL
    2  PERSONS, LOCATIONS, PRACTICES AND ASSOCIATIONS RELATED TO THE  OPERATION
    3  OF  LICENSED  ENTERPRISES AND ALL RELATED SERVICE INDUSTRIES AS PROVIDED
    4  IN THIS ARTICLE;
    5    13.  THE  STATE AND THE CASINOS WILL DEVELOP PROGRAMS AND RESOURCES TO
    6  COMBAT COMPULSIVE AND PROBLEM GAMBLING;
    7    14. THE STATE WILL ENSURE THAT  HOST  MUNICIPALITIES  OF  CASINOS  ARE
    8  PROVIDED WITH FUNDING TO LIMIT ANY POTENTIAL ADVERSE IMPACTS OF CASINOS;
    9    15. POLITICAL CONTRIBUTIONS FROM THE CASINO INDUSTRY WILL BE MINIMIZED
   10  TO REDUCE THE POTENTIAL OF POLITICAL CORRUPTION FROM CASINOS; AND
   11    16. AS THOROUGHLY AND PERVASIVELY REGULATED BY THE STATE, FOUR UPSTATE
   12  CASINOS WILL WORK TO THE BETTERMENT OF ALL NEW YORK.
   13    S  1301.  DEFINITIONS.    AS  USED IN THIS ARTICLE THE FOLLOWING TERMS
   14  SHALL, UNLESS THE CONTEXT CLEARLY REQUIRES OTHERWISE, HAVE THE FOLLOWING
   15  MEANINGS:
   16    1. "AFFILIATE". A PERSON THAT DIRECTLY OR INDIRECTLY, THROUGH  ONE  OR
   17  MORE  INTERMEDIARIES,  CONTROLS  OR IS CONTROLLED BY, OR IS UNDER COMMON
   18  CONTROL WITH, A SPECIFIED PERSON.
   19    2. "APPLICANT". ANY PERSON WHO ON HIS OR HER OWN BEHALF OR  ON  BEHALF
   20  OF  ANOTHER  HAS APPLIED FOR PERMISSION TO ENGAGE IN ANY ACT OR ACTIVITY
   21  WHICH IS REGULATED UNDER THE PROVISIONS OF THIS ARTICLE.
   22    3. "APPLICATION". A WRITTEN REQUEST FOR PERMISSION TO  ENGAGE  IN  ANY
   23  ACT OR ACTIVITY WHICH IS REGULATED UNDER THE PROVISIONS OF THIS ARTICLE.
   24    4.  "AUTHORIZED  GAME".  ANY  GAME  DETERMINED BY THE COMMISSION TO BE
   25  COMPATIBLE WITH THE PUBLIC INTEREST AND TO BE SUITABLE  FOR  CASINO  USE
   26  AFTER SUCH APPROPRIATE TEST OR EXPERIMENTAL PERIOD AS THE COMMISSION MAY
   27  DEEM  APPROPRIATE.  AN AUTHORIZED GAME MAY INCLUDE GAMING TOURNAMENTS IN
   28  WHICH PLAYERS COMPETE AGAINST ONE ANOTHER IN ONE OR MORE  OF  THE  GAMES
   29  AUTHORIZED  HEREIN  OR  BY  THE  COMMISSION OR IN APPROVED VARIATIONS OR
   30  COMPOSITES THEREOF IF THE TOURNAMENTS ARE AUTHORIZED.
   31    5. "BOARD". THE NEW YORK STATE GAMING FACILITY LOCATION  BOARD  ESTAB-
   32  LISHED  BY THE COMMISSION PURSUANT TO SECTION ONE HUNDRED NINE-A OF THIS
   33  CHAPTER.
   34    6. "BUSINESS". A CORPORATION, SOLE PROPRIETORSHIP, PARTNERSHIP, LIMIT-
   35  ED LIABILITY COMPANY OR ANY OTHER ORGANIZATION FORMED FOR THE PURPOSE OF
   36  CARRYING ON A COMMERCIAL ENTERPRISE.
   37    7. "CASINO". ONE OR MORE LOCATIONS OR ROOMS IN A GAMING FACILITY  THAT
   38  HAVE  BEEN  APPROVED  BY  THE  COMMISSION  FOR  THE CONDUCT OF GAMING IN
   39  ACCORDANCE WITH THE PROVISIONS OF THIS ARTICLE.
   40    8. "CASINO KEY EMPLOYEE". ANY NATURAL  PERSON  EMPLOYED  BY  A  GAMING
   41  FACILITY LICENSEE, OR HOLDING OR INTERMEDIARY COMPANY OF A GAMING FACIL-
   42  ITY LICENSEE, AND INVOLVED IN THE OPERATION OF A LICENSED GAMING FACILI-
   43  TY  IN  A SUPERVISORY CAPACITY AND EMPOWERED TO MAKE DISCRETIONARY DECI-
   44  SIONS WHICH REGULATE GAMING FACILITY OPERATIONS; OR ANY  OTHER  EMPLOYEE
   45  SO DESIGNATED BY THE COMMISSION FOR REASONS CONSISTENT WITH THE POLICIES
   46  OF THIS ARTICLE.
   47    9.  "CASINO  VENDOR ENTERPRISE". ANY VENDOR OFFERING GOODS OR SERVICES
   48  WHICH DIRECTLY RELATE TO  CASINO  OR  GAMING  ACTIVITY,  OR  ANY  VENDOR
   49  PROVIDING  TO GAMING FACILITY LICENSEES OR APPLICANTS GOODS AND SERVICES
   50  ANCILLARY TO GAMING ACTIVITY. NOTWITHSTANDING THE FOREGOING, ANY FORM OF
   51  ENTERPRISE ENGAGED IN THE MANUFACTURE, SALE,  DISTRIBUTION,  TESTING  OR
   52  REPAIR  OF  SLOT  MACHINES  WITHIN  THE  STATE,  OTHER THAN ANTIQUE SLOT
   53  MACHINES, SHALL  BE  CONSIDERED  A  CASINO  VENDOR  ENTERPRISE  FOR  THE
   54  PURPOSES  OF  THIS  ARTICLE  REGARDLESS  OF  THE  NATURE OF ITS BUSINESS
   55  RELATIONSHIP, IF ANY, WITH GAMING FACILITY APPLICANTS AND  LICENSEES  IN
   56  THIS STATE.
       S. 5883                             4                            A. 8101

    1    10.  "CLOSE ASSOCIATE". A PERSON WHO HOLDS A RELEVANT FINANCIAL INTER-
    2  EST IN, OR IS ENTITLED TO EXERCISE POWER IN, THE BUSINESS OF  AN  APPLI-
    3  CANT  OR  LICENSEE  AND, BY VIRTUE OF THAT INTEREST OR POWER, IS ABLE TO
    4  EXERCISE A SIGNIFICANT INFLUENCE OVER THE MANAGEMENT OR OPERATION  OF  A
    5  GAMING FACILITY OR BUSINESS LICENSED UNDER THIS ARTICLE.
    6    11. "COMMISSION". THE NEW YORK STATE GAMING COMMISSION.
    7    12.  "COMPLIMENTARY SERVICE OR ITEM". A SERVICE OR ITEM PROVIDED AT NO
    8  COST OR AT A REDUCED COST TO A PATRON OF A GAMING FACILITY.
    9    13. "CONSERVATOR". A PERSON APPOINTED BY THE COMMISSION TO TEMPORARILY
   10  MANAGE THE OPERATION OF A GAMING FACILITY.
   11    14. "CREDIT CARD". A CARD, CODE OR OTHER DEVICE WITH  WHICH  A  PERSON
   12  MAY DEFER PAYMENT OF DEBT, INCUR DEBT AND DEFER ITS PAYMENT, OR PURCHASE
   13  PROPERTY OR SERVICES AND DEFER PAYMENT THEREFOR, BUT NOT A CARD, CODE OR
   14  OTHER  DEVICE  USED TO ACTIVATE A PREEXISTING AGREEMENT BETWEEN A PERSON
   15  AND A FINANCIAL INSTITUTION TO EXTEND CREDIT WHEN THE  PERSON'S  ACCOUNT
   16  AT  THE  FINANCIAL  INSTITUTION  IS OVERDRAWN OR TO MAINTAIN A SPECIFIED
   17  MINIMUM BALANCE IN THE PERSON'S ACCOUNT AT THE FINANCIAL INSTITUTION.
   18    15. "DEBT". ANY LEGAL LIABILITY, WHETHER MATURED OR UNMATURED,  LIQUI-
   19  DATED  OR  UNLIQUIDATED,  ABSOLUTE,  FIXED OR CONTINGENT, INCLUDING DEBT
   20  CONVERTIBLE INTO AN EQUITY SECURITY WHICH HAS NOT YET BEEN SO CONVERTED,
   21  AND ANY OTHER DEBT CARRYING ANY WARRANT OR  RIGHT  TO  SUBSCRIBE  TO  OR
   22  PURCHASE  AN  EQUITY  SECURITY  WHICH  WARRANT OR RIGHT HAS NOT YET BEEN
   23  EXERCISED.
   24    16. "ENCUMBRANCE". A MORTGAGE, SECURITY INTEREST, LIEN  OR  CHARGE  OF
   25  ANY NATURE IN OR UPON PROPERTY.
   26    17. "EXECUTIVE DIRECTOR". THE EXECUTIVE DIRECTOR OF THE NEW YORK STATE
   27  GAMING COMMISSION.
   28    18.  "FAMILY".  SPOUSE,  DOMESTIC  PARTNER,  PARTNER IN A CIVIL UNION,
   29  PARENTS, GRANDPARENTS, CHILDREN, GRANDCHILDREN, SIBLINGS, UNCLES, AUNTS,
   30  NEPHEWS,  NIECES,  FATHERS-IN-LAW,   MOTHERS-IN-LAW,   DAUGHTERS-IN-LAW,
   31  SONS-IN-LAW, BROTHERS-IN-LAW AND SISTERS-IN-LAW, WHETHER BY THE WHOLE OR
   32  HALF BLOOD, BY MARRIAGE, ADOPTION OR NATURAL RELATIONSHIP.
   33    19.  "GAME".  ANY BANKING OR PERCENTAGE GAME LOCATED WITHIN THE GAMING
   34  FACILITY PLAYED WITH CARDS, DICE, TILES, DOMINOES,  OR  ANY  ELECTRONIC,
   35  ELECTRICAL,  OR MECHANICAL DEVICE OR MACHINE FOR MONEY, PROPERTY, OR ANY
   36  REPRESENTATIVE OF VALUE WHICH HAS BEEN APPROVED BY THE COMMISSION.
   37    20. "GAMING" OR  "GAMBLING".  THE  DEALING,  OPERATING,  CARRYING  ON,
   38  CONDUCTING, MAINTAINING OR EXPOSING FOR PAY OF ANY GAME.
   39    21. "GAMING DEVICE" OR "GAMING EQUIPMENT". ANY ELECTRONIC, ELECTRICAL,
   40  OR  MECHANICAL  CONTRIVANCE OR MACHINE USED IN CONNECTION WITH GAMING OR
   41  ANY GAME.
   42    22. "GAMING EMPLOYEE". ANY NATURAL PERSON, NOT OTHERWISE  INCLUDED  IN
   43  THE  DEFINITION  OF  CASINO  KEY  EMPLOYEE,  WHO IS EMPLOYED BY A GAMING
   44  FACILITY LICENSEE, OR A HOLDING OR  INTERMEDIARY  COMPANY  OF  A  GAMING
   45  FACILITY LICENSEE, AND IS INVOLVED IN THE OPERATION OF A LICENSED GAMING
   46  FACILITY  OR  PERFORMS  SERVICES  OR  DUTIES  IN  A GAMING FACILITY OR A
   47  RESTRICTED CASINO AREA; OR ANY OTHER  NATURAL  PERSON  WHOSE  EMPLOYMENT
   48  DUTIES  PREDOMINANTLY  INVOLVE  THE  MAINTENANCE  OR OPERATION OF GAMING
   49  ACTIVITY OR EQUIPMENT AND ASSETS ASSOCIATED THEREWITH  OR  WHO,  IN  THE
   50  JUDGMENT  OF  THE  COMMISSION,  IS  SO  REGULARLY  REQUIRED TO WORK IN A
   51  RESTRICTED CASINO AREA THAT REGISTRATION AS A GAMING EMPLOYEE IS  APPRO-
   52  PRIATE.
   53    23.  "GAMING  FACILITY".  THE PREMISES APPROVED UNDER A GAMING LICENSE
   54  WHICH INCLUDES A GAMING AREA AND ANY OTHER NONGAMING  STRUCTURE  RELATED
   55  TO THE GAMING AREA AND MAY INCLUDE, BUT SHALL NOT BE LIMITED TO, HOTELS,
   56  RESTAURANTS OR OTHER AMENITIES.
       S. 5883                             5                            A. 8101

    1    24.  "GAMING  FACILITY  LICENSE".  ANY LICENSE ISSUED PURSUANT TO THIS
    2  ARTICLE WHICH AUTHORIZES THE HOLDER THEREOF TO OWN OR OPERATE  A  GAMING
    3  FACILITY.
    4    25. "GROSS GAMING REVENUE". THE TOTAL OF ALL SUMS ACTUALLY RECEIVED BY
    5  A  GAMING FACILITY LICENSEE FROM GAMING OPERATIONS LESS THE TOTAL OF ALL
    6  SUMS PAID OUT AS WINNINGS TO PATRONS; PROVIDED, HOWEVER, THAT THE  TOTAL
    7  OF  ALL  SUMS PAID OUT AS WINNINGS TO PATRONS SHALL NOT INCLUDE THE CASH
    8  EQUIVALENT VALUE OF ANY MERCHANDISE OR THING  OF  VALUE  INCLUDED  IN  A
    9  JACKPOT OR PAYOUT; PROVIDED FURTHER, THAT THE ISSUANCE TO OR WAGERING BY
   10  PATRONS  OF A GAMING FACILITY OF ANY PROMOTIONAL GAMING CREDIT SHALL NOT
   11  BE TAXABLE FOR THE PURPOSES OF DETERMINING GROSS REVENUE.
   12    26. "HOLDING COMPANY". A CORPORATION, ASSOCIATION, FIRM,  PARTNERSHIP,
   13  TRUST  OR  OTHER  FORM  OF  BUSINESS  ORGANIZATION, OTHER THAN A NATURAL
   14  PERSON, WHICH, DIRECTLY OR INDIRECTLY, OWNS, HAS THE POWER OR  RIGHT  TO
   15  CONTROL,  OR HAS THE POWER TO VOTE ANY SIGNIFICANT PART OF THE OUTSTAND-
   16  ING VOTING SECURITIES OF A CORPORATION OR ANY  OTHER  FORM  OF  BUSINESS
   17  ORGANIZATION  WHICH  HOLDS  OR  APPLIES  FOR A GAMING LICENSE; PROVIDED,
   18  HOWEVER, THAT A "HOLDING COMPANY", IN ADDITION TO ANY  OTHER  REASONABLE
   19  USE  OF  THE  TERM,  SHALL  INDIRECTLY HAVE, HOLD OR OWN ANY SUCH POWER,
   20  RIGHT OR SECURITY IF IT DOES SO THROUGH AN INTEREST IN A  SUBSIDIARY  OR
   21  ANY  SUCCESSIVE SUBSIDIARIES, NOTWITHSTANDING HOW MANY SUCH SUBSIDIARIES
   22  MAY INTERVENE BETWEEN THE HOLDING COMPANY AND THE GAMING FACILITY LICEN-
   23  SEE OR APPLICANT.
   24    27. "HOST MUNICIPALITY". A CITY, TOWN OR VILLAGE  IN  WHICH  A  GAMING
   25  FACILITY  IS  LOCATED  OR  IN WHICH AN APPLICANT HAS PROPOSED LOCATING A
   26  GAMING FACILITY.
   27    28. "INTERMEDIARY COMPANY". A CORPORATION, ASSOCIATION, FIRM, PARTNER-
   28  SHIP, TRUST OR OTHER FORM OF BUSINESS ORGANIZATION, OTHER THAN A NATURAL
   29  PERSON, WHICH IS A HOLDING COMPANY WITH  RESPECT  TO  A  CORPORATION  OR
   30  OTHER  FORM OF BUSINESS ORGANIZATION WHICH HOLDS OR APPLIES FOR A GAMING
   31  LICENSE, AND IS A SUBSIDIARY WITH RESPECT TO A HOLDING COMPANY.
   32    29. "JUNKET". AN ARRANGEMENT INTENDED TO INDUCE A PERSON TO COME TO  A
   33  GAMING  FACILITY TO GAMBLE, WHERE THE PERSON IS SELECTED OR APPROVED FOR
   34  PARTICIPATION ON THE BASIS OF THE PERSON'S ABILITY TO SATISFY  A  FINAN-
   35  CIAL  QUALIFICATION  OBLIGATION RELATED TO THE PERSON'S ABILITY OR WILL-
   36  INGNESS TO GAMBLE OR ON ANY OTHER BASIS RELATED TO THE PERSON'S  PROPEN-
   37  SITY TO GAMBLE AND PURSUANT TO WHICH AND AS CONSIDERATION FOR WHICH, ANY
   38  OF  THE COST OF TRANSPORTATION, FOOD, LODGING, AND ENTERTAINMENT FOR THE
   39  PERSON IS DIRECTLY OR INDIRECTLY PAID BY A GAMING FACILITY  LICENSEE  OR
   40  AN AFFILIATE OF THE GAMING FACILITY LICENSEE.
   41    30. "JUNKET ENTERPRISE". A PERSON, OTHER THAN A GAMING FACILITY LICEN-
   42  SEE OR AN APPLICANT FOR A GAMING FACILITY LICENSE, WHO EMPLOYS OR OTHER-
   43  WISE  ENGAGES THE SERVICES OF A JUNKET REPRESENTATIVE IN CONNECTION WITH
   44  A JUNKET TO A LICENSED GAMING FACILITY, REGARDLESS  OF  WHETHER  OR  NOT
   45  THOSE ACTIVITIES OCCUR WITHIN THE STATE.
   46    31.  "JUNKET REPRESENTATIVE". A PERSON WHO NEGOTIATES THE TERMS OF, OR
   47  ENGAGES IN THE REFERRAL, PROCUREMENT OR SELECTION  OF  PERSONS  WHO  MAY
   48  PARTICIPATE  IN, A JUNKET TO A GAMING FACILITY, REGARDLESS OF WHETHER OR
   49  NOT THOSE ACTIVITIES OCCUR WITHIN THE STATE.
   50    32. "OPERATION CERTIFICATE". A CERTIFICATE ISSUED  BY  THE  COMMISSION
   51  WHICH  CERTIFIES  THAT  OPERATION  OF  A GAMING FACILITY CONFORMS TO THE
   52  REQUIREMENTS OF THIS ARTICLE AND APPLICABLE  REGULATIONS  AND  THAT  ITS
   53  PERSONNEL  AND  PROCEDURES  ARE SUFFICIENT AND PREPARED TO ENTERTAIN THE
   54  PUBLIC.
       S. 5883                             6                            A. 8101

    1    33. "PERSON". ANY CORPORATION, ASSOCIATION, OPERATION, FIRM,  PARTNER-
    2  SHIP,  TRUST OR OTHER FORM OF BUSINESS ASSOCIATION, AS WELL AS A NATURAL
    3  PERSON.
    4    34.  "REGISTRATION".  ANY  REQUIREMENT OTHER THAN ONE WHICH REQUIRES A
    5  LICENSE AS A PREREQUISITE TO CONDUCT A PARTICULAR BUSINESS AS  SPECIFIED
    6  BY THIS ARTICLE.
    7    35.  "REGISTRANT".  ANY  PERSON  WHO  IS  REGISTERED  PURSUANT  TO THE
    8  PROVISIONS OF THIS ARTICLE.
    9    36. "RESTRICTED CASINO AREAS". THE  CASHIER'S  CAGE,  THE  SOFT  COUNT
   10  ROOM,  THE  HARD  COUNT ROOM, THE SLOT CAGE BOOTHS AND RUNWAY AREAS, THE
   11  INTERIOR OF TABLE GAME PITS, THE SURVEILLANCE ROOM  AND  CATWALK  AREAS,
   12  THE  SLOT MACHINE REPAIR ROOM AND ANY OTHER AREA SPECIFICALLY DESIGNATED
   13  BY THE COMMISSION AS RESTRICTED IN A LICENSEE'S OPERATION CERTIFICATE.
   14    37. "QUALIFICATION" OR "QUALIFIED". THE PROCESS OF LICENSURE SET FORTH
   15  BY THE COMMISSION TO DETERMINE THAT ALL PERSONS WHO HAVE A  PROFESSIONAL
   16  INTEREST  IN  A  GAMING  FACILITY  LICENSE,  OR CASINO VENDOR ENTERPRISE
   17  LICENSE, OR THE BUSINESS OF A GAMING FACILITY LICENSEE OR GAMING VENDOR,
   18  MEET THE SAME STANDARDS OF SUITABILITY TO OPERATE  OR  CONDUCT  BUSINESS
   19  WITH A GAMING FACILITY.
   20    38.  "SLOT MACHINE". A MECHANICAL, ELECTRICAL OR OTHER DEVICE, CONTRI-
   21  VANCE OR MACHINE WHICH, UPON INSERTION  OF  A  COIN,  TOKEN  OR  SIMILAR
   22  OBJECT  THEREIN,  OR  UPON  PAYMENT  OF ANY CONSIDERATION WHATSOEVER, IS
   23  AVAILABLE TO PLAY OR OPERATE, THE PLAY OR OPERATION OF WHICH, WHETHER BY
   24  REASON OF THE SKILL OF THE OPERATOR OR APPLICATION  OF  THE  ELEMENT  OF
   25  CHANCE,  OR BOTH, MAY DELIVER OR ENTITLE THE INDIVIDUAL PLAYING OR OPER-
   26  ATING THE MACHINE TO RECEIVE CASH, OR TOKENS TO BE EXCHANGED  FOR  CASH,
   27  OR  TO  RECEIVE  MERCHANDISE  OR  ANY  OTHER THING OF VALUE, WHETHER THE
   28  PAYOFF IS MADE AUTOMATICALLY FROM THE MACHINE OR IN  ANY  OTHER  MANNER,
   29  EXCEPT  THAT THE CASH EQUIVALENT VALUE OF ANY MERCHANDISE OR OTHER THING
   30  OF VALUE SHALL NOT BE INCLUDED IN DETERMINING THE PAYOUT PERCENTAGE OF A
   31  SLOT MACHINE.
   32    39. "SPORTS WAGERING". THE ACTIVITY AUTHORIZED BY SECTION ONE THOUSAND
   33  THREE HUNDRED SIXTY-SEVEN OF THIS ARTICLE, PROVIDED THAT THERE HAS  BEEN
   34  A  CHANGE  IN  FEDERAL LAW AUTHORIZING SUCH ACTIVITY OR UPON RULING OF A
   35  COURT OF COMPETENT JURISDICTION THAT SUCH ACTIVITY IS LAWFUL.
   36    40. "SUBSIDIARY". A CORPORATION, A SIGNIFICANT PART OF WHOSE OUTSTAND-
   37  ING EQUITY SECURITIES ARE OWNED, SUBJECT TO A POWER OR RIGHT OF CONTROL,
   38  OR HELD WITH POWER TO VOTE, BY A  HOLDING  COMPANY  OR  AN  INTERMEDIARY
   39  COMPANY,  OR A SIGNIFICANT INTEREST IN A FIRM, ASSOCIATION, PARTNERSHIP,
   40  TRUST OR OTHER FORM OF  BUSINESS  ORGANIZATION,  OTHER  THAN  A  NATURAL
   41  PERSON,  WHICH IS OWNED, SUBJECT TO A POWER OR RIGHT OF CONTROL, OR HELD
   42  WITH POWER TO VOTE, BY A HOLDING COMPANY OR AN INTERMEDIARY COMPANY.
   43    41. "TABLE GAME". A GAME, OTHER THAN A SLOT MACHINE, WHICH IS  AUTHOR-
   44  IZED BY THE COMMISSION TO BE PLAYED IN A GAMING FACILITY.
   45    42. "TRANSFER". THE SALE OR OTHER METHOD, EITHER DIRECTLY OR INDIRECT-
   46  LY,  OF DISPOSING OF OR PARTING WITH PROPERTY OR AN INTEREST THEREIN, OR
   47  THE POSSESSION THEREOF, OR OF FIXING A LIEN UPON  PROPERTY  OR  UPON  AN
   48  INTEREST  THEREIN,  ABSOLUTELY OR CONDITIONALLY, VOLUNTARILY OR INVOLUN-
   49  TARILY, BY OR WITHOUT  JUDICIAL  PROCEEDINGS,  AS  A  CONVEYANCE,  SALE,
   50  PAYMENT,  PLEDGE,  MORTGAGE, LIEN, ENCUMBRANCE, GIFT, SECURITY OR OTHER-
   51  WISE; PROVIDED, HOWEVER, THAT THE RETENTION OF A  SECURITY  INTEREST  IN
   52  PROPERTY  DELIVERED TO A CORPORATION SHALL BE DEEMED A TRANSFER SUFFERED
   53  BY SUCH CORPORATION.
   54    S 1302. AUDITING DUTIES OF THE COMMISSION. THE COMMISSION SHALL  AUDIT
   55  AS OFTEN AS THE COMMISSION DETERMINES NECESSARY, BUT NOT LESS THAN ANNU-
   56  ALLY,  THE  ACCOUNTS,  PROGRAMS, ACTIVITIES, AND FUNCTIONS OF ALL GAMING
       S. 5883                             7                            A. 8101

    1  FACILITY LICENSEES, INCLUDING THE AUDIT OF  PAYMENTS  MADE  PURSUANT  TO
    2  SECTION  ONE  THOUSAND  THREE  HUNDRED  FIFTY-ONE  OF THIS CHAPTER.   TO
    3  CONDUCT THE AUDIT, AUTHORIZED OFFICERS AND EMPLOYEES OF  THE  COMMISSION
    4  SHALL  HAVE  ACCESS TO SUCH ACCOUNTS AT REASONABLE TIMES AND THE COMMIS-
    5  SION MAY REQUIRE THE PRODUCTION OF BOOKS, DOCUMENTS, VOUCHERS AND  OTHER
    6  RECORDS RELATING TO ANY MATTER WITHIN THE SCOPE OF THE AUDIT. ALL AUDITS
    7  SHALL BE CONDUCTED IN ACCORDANCE WITH GENERALLY ACCEPTED AUDITING STAND-
    8  ARDS  ESTABLISHED BY THE AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNT-
    9  ANTS. IN ANY AUDIT REPORT OF THE ACCOUNTS, FUNDS,  PROGRAMS,  ACTIVITIES
   10  AND  FUNCTIONS  OF  A  GAMING FACILITY LICENSEE ISSUED BY THE COMMISSION
   11  CONTAINING ADVERSE OR CRITICAL AUDIT RESULTS, THE COMMISSION MAY REQUIRE
   12  A RESPONSE, IN WRITING, TO THE AUDIT  RESULTS.  THE  RESPONSE  SHALL  BE
   13  FORWARDED  TO  THE COMMISSION WITHIN FIFTEEN DAYS OF NOTIFICATION BY THE
   14  COMMISSION.
   15    S 1303. EQUIPMENT TESTING. UNLESS THE COMMISSION OTHERWISE  DETERMINES
   16  IT  TO  BE  IN  THE  BEST  INTERESTS  OF THE STATE, THE COMMISSION SHALL
   17  UTILIZE THE SERVICES OF AN INDEPENDENT TESTING LABORATORY THAT HAS  BEEN
   18  QUALIFIED  AND  APPROVED  BY  THE COMMISSION PURSUANT TO THIS ARTICLE TO
   19  PERFORM THE TESTING OF SLOT MACHINES AND OTHER GAMING EQUIPMENT AND  MAY
   20  ALSO UTILIZE APPLICABLE DATA FROM THE INDEPENDENT TESTING LABORATORY, OR
   21  FROM A GOVERNMENTAL AGENCY OF A STATE OTHER THAN NEW YORK, AUTHORIZED TO
   22  REGULATE SLOT MACHINES AND OTHER GAMING EQUIPMENT.
   23    S  1304.  COMMISSION REPORTING. THE COMMISSION SHALL REPORT MONTHLY TO
   24  THE GOVERNOR, THE SENATE AND THE ASSEMBLY, THE SENATE FINANCE  COMMITTEE
   25  AND  THE ASSEMBLY WAYS AND MEANS COMMITTEE, AND THE CHAIRS OF THE SENATE
   26  RACING, GAMING AND WAGERING COMMITTEE AND THE ASSEMBLY RACING AND WAGER-
   27  ING COMMITTEE ON ECONOMIC DEVELOPMENT AND EMERGING TECHNOLOGIES  ON  THE
   28  TOTAL  GAMING  REVENUES,  PRIZE DISBURSEMENTS AND OTHER EXPENSES FOR THE
   29  PRECEDING MONTH AND SHALL MAKE AN ANNUAL REPORT TO THE  SAME  RECIPIENTS
   30  WHICH  SHALL  INCLUDE  A FULL AND COMPLETE STATEMENT OF GAMING REVENUES,
   31  PRIZE DISBURSEMENTS AND OTHER EXPENSES, INCLUDING  SUCH  RECOMMENDATIONS
   32  AS THE COMMISSION CONSIDERS NECESSARY OR ADVISABLE. THE COMMISSION SHALL
   33  ALSO  REPORT  IMMEDIATELY  TO  THE  AFOREMENTIONED  ON  ANY MATTER WHICH
   34  REQUIRES IMMEDIATE CHANGES IN THE LAWS IN ORDER  TO  PREVENT  ABUSES  OR
   35  EVASIONS  OF  THE  LAWS,  RULES  OR  REGULATIONS RELATED TO GAMING OR TO
   36  RECTIFY UNDESIRABLE CONDITIONS IN CONNECTION WITH THE ADMINISTRATION  OR
   37  OPERATION OF GAMING IN THE STATE.
   38    S  1305.  SUPPLEMENTAL  POWER OF THE COMMISSION.  THE COMMISSION SHALL
   39  HAVE ALL POWERS NECESSARY OR CONVENIENT TO CARRY OUT AND EFFECTUATE  ITS
   40  PURPOSES INCLUDING, BUT NOT LIMITED TO, THE POWER TO:
   41    1.  EXECUTE  ALL INSTRUMENTS NECESSARY OR CONVENIENT FOR ACCOMPLISHING
   42  THE PURPOSES OF THIS ARTICLE;
   43    2. ENTER INTO AGREEMENTS OR OTHER TRANSACTIONS WITH A PERSON,  INCLUD-
   44  ING,  BUT  NOT LIMITED TO, A PUBLIC ENTITY OR OTHER GOVERNMENTAL INSTRU-
   45  MENTALITY OR AUTHORITY IN CONNECTION WITH ITS POWERS  AND  DUTIES  UNDER
   46  THIS ARTICLE;
   47    3.  REQUIRE AN APPLICANT FOR A POSITION WHICH REQUIRES A LICENSE UNDER
   48  THIS ARTICLE TO APPLY FOR SUCH LICENSE AND  APPROVE  OR  DISAPPROVE  ANY
   49  SUCH APPLICATION OR OTHER TRANSACTIONS, EVENTS AND PROCESSES AS PROVIDED
   50  IN THIS ARTICLE;
   51    4.  REQUIRE A PERSON WHO HAS A BUSINESS ASSOCIATION OF ANY KIND WITH A
   52  GAMING LICENSEE OR APPLICANT TO BE QUALIFIED FOR  LICENSURE  UNDER  THIS
   53  ARTICLE;
   54    5.  DETERMINE  A  SUITABLE  DEBT-TO-EQUITY  RATIO FOR APPLICANTS FOR A
   55  GAMING LICENSE;
       S. 5883                             8                            A. 8101

    1    6. DENY AN  APPLICATION  OR  LIMIT,  CONDITION,  RESTRICT,  REVOKE  OR
    2  SUSPEND  A LICENSE, REGISTRATION, FINDING OF SUITABILITY OR APPROVAL, OR
    3  FINE A PERSON LICENSED, REGISTERED, FOUND SUITABLE OR APPROVED  FOR  ANY
    4  CAUSE THAT THE COMMISSION DEEMS REASONABLE;
    5    7. MONITOR THE CONDUCT OF LICENSEES AND OTHER PERSONS HAVING A MATERI-
    6  AL  INVOLVEMENT, DIRECTLY OR INDIRECTLY, WITH A LICENSEE FOR THE PURPOSE
    7  OF ENSURING THAT LICENSES ARE NOT ISSUED TO OR HELD BY AND THAT THERE IS
    8  NO DIRECT OR INDIRECT  MATERIAL  INVOLVEMENT  WITH  A  LICENSEE,  BY  AN
    9  UNQUALIFIED  OR  UNSUITABLE  PERSON  OR BY A PERSON WHOSE OPERATIONS ARE
   10  CONDUCTED IN AN UNSUITABLE MANNER OR IN UNSUITABLE OR PROHIBITED  PLACES
   11  AS PROVIDED IN THIS ARTICLE;
   12    8.  GATHER  FACTS AND INFORMATION APPLICABLE TO THE COMMISSION'S OBLI-
   13  GATION TO ISSUE, SUSPEND OR REVOKE LICENSES, WORK PERMITS  OR  REGISTRA-
   14  TIONS FOR:
   15    (A)  A  VIOLATION  OF  THIS  ARTICLE  OR ANY REGULATION ADOPTED BY THE
   16  COMMISSION;
   17    (B) WILLFULLY VIOLATING AN ORDER  OF  THE  COMMISSION  DIRECTED  TO  A
   18  LICENSEE;
   19    (C) THE CONVICTION OF CERTAIN CRIMINAL OFFENSES; OR
   20    (D)  THE  VIOLATION OF ANY OTHER OFFENSE WHICH WOULD DISQUALIFY SUCH A
   21  LICENSEE FROM HOLDING A LICENSE, WORK PERMIT OR REGISTRATION;
   22    9. CONDUCT INVESTIGATIONS INTO THE  QUALIFICATIONS  OF  ANY  REGULATED
   23  ENTITY AND ALL APPLICANTS FOR LICENSURE;
   24    10. REQUEST AND RECEIVE FROM THE DIVISION OF CRIMINAL JUSTICE SERVICES
   25  AND THE FEDERAL BUREAU OF INVESTIGATION, CRIMINAL HISTORY INFORMATION AS
   26  DEFINED  IN  PARAGRAPH  (C)  OF SUBDIVISION ONE OF SECTION EIGHT HUNDRED
   27  FORTY-FIVE-B OF THE EXECUTIVE LAW FOR THE PURPOSE OF  EVALUATING  APPLI-
   28  CANTS  FOR  EMPLOYMENT BY ANY REGULATED ENTITY, AND EVALUATING LICENSEES
   29  AND APPLICANTS FOR LICENSURE UNDER THIS ARTICLE;
   30    11. BE PRESENT, THROUGH ITS AGENTS, AT ALL TIMES, IN A GAMING FACILITY
   31  FOR THE PURPOSES OF:
   32    (A) CERTIFYING REVENUE;
   33    (B) RECEIVING COMPLAINTS FROM THE PUBLIC RELATING TO  THE  CONDUCT  OF
   34  GAMING AND WAGERING OPERATIONS;
   35    (C)  EXAMINING  RECORDS  OF REVENUES AND PROCEDURES AND INSPECTING AND
   36  AUDITING ALL BOOKS, DOCUMENTS AND RECORDS OF LICENSEES;
   37    (D) CONDUCTING PERIODIC REVIEWS OF OPERATIONS AND FACILITIES  FOR  THE
   38  PURPOSE OF REGULATIONS ADOPTED HEREUNDER; AND
   39    (E) EXERCISING ITS OVERSIGHT RESPONSIBILITIES WITH RESPECT TO GAMING;
   40    12.  INSPECT AND HAVE ACCESS TO ALL EQUIPMENT AND SUPPLIES IN A GAMING
   41  FACILITY OR ON PREMISES WHERE GAMING EQUIPMENT IS MANUFACTURED, SOLD  OR
   42  DISTRIBUTED;
   43    13.  SEIZE  AND  REMOVE  FROM  THE  PREMISES  OF A GAMING LICENSEE AND
   44  IMPOUND ANY EQUIPMENT, SUPPLIES, DOCUMENTS AND RECORDS FOR  THE  PURPOSE
   45  OF EXAMINATION AND INSPECTION;
   46    14.  DEMAND  ACCESS  TO  AND INSPECT, EXAMINE, PHOTOCOPY AND AUDIT ALL
   47  PAPERS, BOOKS AND RECORDS OF ANY  AFFILIATE  OF  A  GAMING  LICENSEE  OR
   48  GAMING VENDOR WHOM THE COMMISSION SUSPECTS IS INVOLVED IN THE FINANCING,
   49  OPERATION  OR  MANAGEMENT  OF  THE  GAMING  LICENSEE  OR  GAMING VENDOR;
   50  PROVIDED, HOWEVER, THAT THE INSPECTION,  EXAMINATION,  PHOTOCOPYING  AND
   51  AUDIT MAY TAKE PLACE ON THE AFFILIATE'S PREMISES OR ELSEWHERE AS PRACTI-
   52  CABLE AND IN THE PRESENCE OF THE AFFILIATE OR ITS AGENT;
   53    15.  REQUIRE  THAT  THE BOOKS AND FINANCIAL OR OTHER RECORDS OR STATE-
   54  MENTS OF A GAMING LICENSEE OR GAMING VENDOR BE KEPT IN A MANNER THAT THE
   55  COMMISSION CONSIDERS PROPER;
       S. 5883                             9                            A. 8101

    1    16. LEVY AND COLLECT ASSESSMENTS, FEES, FINES AND INTEREST AND  IMPOSE
    2  PENALTIES  AND  SANCTIONS  AS  AUTHORIZED BY LAW FOR A VIOLATION OF THIS
    3  ARTICLE OR ANY REGULATIONS PROMULGATED BY THE COMMISSION;
    4    17. COLLECT TAXES, FEES AND INTEREST UNDER THIS ARTICLE;
    5    18. RESTRICT, SUSPEND OR REVOKE LICENSES ISSUED UNDER THIS ARTICLE;
    6    19.  REFER  CASES FOR CRIMINAL PROSECUTION TO THE APPROPRIATE FEDERAL,
    7  STATE OR LOCAL AUTHORITIES;
    8    20. ADOPT, AMEND OR REPEAL REGULATIONS FOR THE IMPLEMENTATION,  ADMIN-
    9  ISTRATION AND ENFORCEMENT OF THIS ARTICLE; AND
   10    21.  DETERMINE  A  SUITABLE DURATION FOR EACH LICENSE, REGISTRATION OR
   11  FINDING OF SUITABILITY OR APPROVAL.
   12    S 1306. POWERS OF THE BOARD. THE NEW YORK STATE RESORT GAMING FACILITY
   13  LOCATION BOARD SHALL SELECT, FOLLOWING A COMPETITIVE PROCESS AND SUBJECT
   14  TO THE RESTRICTIONS OF THIS ARTICLE, NO MORE THAN FOUR ENTITIES TO APPLY
   15  TO THE COMMISSION  FOR  GAMING  FACILITY  LICENSES.  IN  EXERCISING  ITS
   16  AUTHORITY,  THE  BOARD  SHALL HAVE ALL POWERS NECESSARY OR CONVENIENT TO
   17  FULLY CARRY OUT AND EFFECTUATE ITS PURPOSES INCLUDING, BUT  NOT  LIMITED
   18  TO, THE FOLLOWING POWERS.  THE BOARD SHALL:
   19    1.  ISSUE  A  REQUEST  FOR  APPLICATIONS  FOR ZONE TWO GAMING FACILITY
   20  LICENSES PURSUANT TO SECTION ONE THOUSAND THREE HUNDRED TWELVE  OF  THIS
   21  ARTICLE;
   22    2.  ASSIST  THE  COMMISSION IN PRESCRIBING THE FORM OF THE APPLICATION
   23  FOR ZONE TWO  GAMING  FACILITY  LICENSES  INCLUDING  INFORMATION  TO  BE
   24  FURNISHED BY AN APPLICANT CONCERNING AN APPLICANT'S ANTECEDENTS, HABITS,
   25  CHARACTER,  ASSOCIATES,  CRIMINAL RECORD, BUSINESS ACTIVITIES AND FINAN-
   26  CIAL AFFAIRS, PAST OR PRESENT PURSUANT TO  SECTION  ONE  THOUSAND  THREE
   27  HUNDRED THIRTEEN OF THIS ARTICLE;
   28    3. DEVELOP CRITERIA, IN ADDITION TO THOSE OUTLINED IN THIS ARTICLE, TO
   29  ASSESS  WHICH  APPLICATIONS  PROVIDE  THE  HIGHEST AND BEST VALUE TO THE
   30  STATE, THE ZONE AND THE REGION IN WHICH  A  GAMING  FACILITY  IS  TO  BE
   31  LOCATED;
   32    4. DETERMINE A GAMING FACILITY LICENSE FEE TO BE PAID BY AN APPLICANT;
   33    5.  DETERMINE, FROM TIME TO TIME, WHETHER TRIBAL-STATE GAMING COMPACTS
   34  ARE IN OR REMAIN IN GOOD STANDING FOR THE PURPOSES OF DETERMINING WHETH-
   35  ER  A  GAMING FACILITY MAY BE LOCATED IN AREAS DESIGNATED BY SUBDIVISION
   36  TWO OF SECTION ONE THOUSAND THREE HUNDRED ELEVEN OF THIS ARTICLE;
   37    6. DETERMINE, WITH THE ASSISTANCE OF THE COMMISSION, THE  SOURCES  AND
   38  TOTAL  AMOUNT  OF  AN  APPLICANT'S  PROPOSED  CAPITALIZATION TO DEVELOP,
   39  CONSTRUCT, MAINTAIN AND OPERATE A PROPOSED GAMING FACILITY LICENSE UNDER
   40  THIS ARTICLE;
   41    7. HAVE THE AUTHORITY TO CONDUCT INVESTIGATIVE HEARINGS CONCERNING THE
   42  CONDUCT OF GAMING AND GAMING OPERATIONS IN ACCORDANCE  WITH  ANY  PROCE-
   43  DURES  SET  FORTH  IN THIS ARTICLE AND ANY APPLICABLE IMPLEMENTING REGU-
   44  LATIONS;
   45    8. ISSUE DETAILED FINDINGS OF FACTS AND CONCLUSIONS DEMONSTRATING  THE
   46  REASONS  SUPPORTING  ITS  DECISIONS  TO SELECT APPLICANTS FOR COMMISSION
   47  LICENSURE;
   48    9. REPORT ANNUALLY TO THE GOVERNOR, THE SPEAKER OF  THE  ASSEMBLY  AND
   49  THE TEMPORARY PRESIDENT OF THE SENATE, ITS PROCEEDINGS FOR THE PRECEDING
   50  CALENDAR  YEAR  AND ANY SUGGESTIONS AND RECOMMENDATIONS AS IT SHALL DEEM
   51  DESIRABLE;
   52    10. PROMULGATE ANY RULES AND REGULATIONS THAT IT  DEEMS  NECESSARY  TO
   53  CARRY OUT ITS RESPONSIBILITIES;
   54    11.  HAVE  THE  POWER  TO  ADMINISTER OATHS AND EXAMINE WITNESSES; AND
   55  REQUEST AND RECEIVE CRIMINAL HISTORY INFORMATION AS DEFINED IN PARAGRAPH
   56  (C) OF SUBDIVISION ONE OF SECTION  EIGHT  HUNDRED  FORTY-FIVE-B  OF  THE
       S. 5883                            10                            A. 8101

    1  EXECUTIVE  LAW OF THE DIVISION OF CRIMINAL JUSTICE SERVICES, PURSUANT TO
    2  SUBDIVISION EIGHT-A OF SECTION EIGHT HUNDRED THIRTY-SEVEN OF THE  EXECU-
    3  TIVE LAW, IN CONNECTION WITH EXECUTING THE RESPONSIBILITIES OF THE BOARD
    4  RELATING  TO LICENSING INCLUDING FINGERPRINTING, CRIMINAL HISTORY INFOR-
    5  MATION AND BACKGROUND INVESTIGATIONS, OF ENTITIES APPLYING FOR A  GAMING
    6  FACILITY  LICENSE. AT THE REQUEST OF THE BOARD, THE DIVISION OF CRIMINAL
    7  JUSTICE SERVICES  SHALL  SUBMIT  A  FINGERPRINT  CARD,  ALONG  WITH  THE
    8  SUBJECT'S PROCESSING FEE, TO THE FEDERAL BUREAU OF INVESTIGATION FOR THE
    9  PURPOSE  OF  CONDUCTING A CRIMINAL HISTORY SEARCH AND RETURNING A REPORT
   10  THEREON. THE BOARD SHALL ALSO BE ENTITLED TO REQUEST AND RECEIVE, PURSU-
   11  ANT TO A WRITTEN MEMORANDUM OF UNDERSTANDING FILED WITH  THE  DEPARTMENT
   12  OF STATE, ANY INFORMATION IN THE POSSESSION OF THE STATE ATTORNEY GENER-
   13  AL  RELATING  TO  THE INVESTIGATION OF ORGANIZED CRIME, GAMING OFFENSES,
   14  OTHER REVENUE CRIMES OR TAX  EVASION.  PROVIDED  HOWEVER,  THE  ATTORNEY
   15  GENERAL MAY WITHHOLD ANY INFORMATION THAT (A) WOULD IDENTIFY A CONFIDEN-
   16  TIAL  SOURCE OR DISCLOSE CONFIDENTIAL INFORMATION RELATING TO A CRIMINAL
   17  INVESTIGATION, (B) WOULD INTERFERE WITH LAW  ENFORCEMENT  INVESTIGATIONS
   18  OR JUDICIAL PROCEEDINGS, (C) REVEAL CRIMINAL INVESTIGATIVE TECHNIQUES OR
   19  PROCEDURES, THAT, IF DISCLOSED, COULD ENDANGER THE LIFE OR SAFETY OF ANY
   20  PERSON,  OR  (D) CONSTITUTES RECORDS RECEIVED FROM OTHER STATE, LOCAL OR
   21  FEDERAL AGENCIES THAT THE ATTORNEY GENERAL IS PROHIBITED BY  LAW,  REGU-
   22  LATION OR AGREEMENT FROM DISCLOSING.
   23    S 1307. REQUIRED REGULATIONS.  1. THE COMMISSION IS AUTHORIZED:
   24    (A)  TO  ADOPT,  AMEND OR REPEAL SUCH REGULATIONS, CONSISTENT WITH THE
   25  POLICY AND OBJECTIVES OF THIS ARTICLE, AS AMENDED AND  SUPPLEMENTED,  AS
   26  IT MAY DEEM NECESSARY TO PROTECT THE PUBLIC INTEREST IN CARRYING OUT THE
   27  PROVISIONS OF THIS ARTICLE; AND
   28    (B) TO ADOPT, AMEND OR REPEAL SUCH REGULATIONS AS MAY BE NECESSARY FOR
   29  THE CONDUCT OF HEARINGS BEFORE THE COMMISSION AND FOR THE MATTERS WITHIN
   30  ALL  OTHER RESPONSIBILITIES AND DUTIES OF THE COMMISSION IMPOSED BY THIS
   31  ARTICLE.
   32    2. THE COMMISSION SHALL, WITHOUT  LIMITATION,  INCLUDE  THE  FOLLOWING
   33  SPECIFIC PROVISIONS IN ITS REGULATIONS IN ACCORDANCE WITH THE PROVISIONS
   34  OF THIS ARTICLE:
   35    (A)  PRESCRIBING THE METHODS AND FORMS OF APPLICATION AND REGISTRATION
   36  WHICH ANY APPLICANT OR REGISTRANT SHALL FOLLOW AND COMPLETE;
   37    (B) PRESCRIBING THE METHODS,  PROCEDURES  AND  FORM  FOR  DELIVERY  OF
   38  INFORMATION  CONCERNING  ANY PERSON'S FAMILY, HABITS, CHARACTER, ASSOCI-
   39  ATES, CRIMINAL RECORD, BUSINESS ACTIVITIES AND FINANCIAL AFFAIRS;
   40    (C) PRESCRIBING SUCH PROCEDURES FOR THE FINGERPRINTING  OF  AN  APPLI-
   41  CANT,  EMPLOYEE OF A LICENSEE, OR REGISTRANT, AND METHODS OF IDENTIFICA-
   42  TION WHICH MAY BE  NECESSARY  TO  ACCOMPLISH  EFFECTIVE  ENFORCEMENT  OF
   43  RESTRICTIONS  ON  ACCESS TO THE CASINO AND OTHER RESTRICTED CASINO AREAS
   44  OF THE GAMING FACILITY;
   45    (D) PRESCRIBING THE METHOD OF NOTICE TO AN  APPLICANT,  REGISTRANT  OR
   46  LICENSEE  CONCERNING  THE RELEASE OF ANY INFORMATION OR DATA PROVIDED TO
   47  THE COMMISSION BY SUCH APPLICANT, REGISTRANT OR LICENSEE;
   48    (E) PRESCRIBING THE MANNER AND PROCEDURE OF ALL HEARINGS CONDUCTED  BY
   49  THE COMMISSION OR ANY PRESIDING OFFICER;
   50    (F)  PRESCRIBING  THE  MANNER  AND METHOD OF COLLECTION OF PAYMENTS OF
   51  TAXES, FEES, INTEREST AND PENALTIES;
   52    (G) DEFINING AND LIMITING THE AREAS OF OPERATION, THE RULES OF AUTHOR-
   53  IZED GAMES, ODDS, AND DEVICES PERMITTED, AND THE METHOD OF OPERATION  OF
   54  SUCH GAMES AND DEVICES;
   55    (H) REGULATING THE PRACTICE AND PROCEDURES FOR NEGOTIABLE TRANSACTIONS
   56  INVOLVING  PATRONS,  INCLUDING  LIMITATIONS  ON  THE  CIRCUMSTANCES  AND
       S. 5883                            11                            A. 8101

    1  AMOUNTS OF SUCH TRANSACTIONS, AND THE ESTABLISHMENT OF FORMS AND  PROCE-
    2  DURES  FOR  NEGOTIABLE INSTRUMENT TRANSACTIONS, REDEMPTIONS, AND CONSOL-
    3  IDATIONS;
    4    (I)  PRESCRIBING  GROUNDS AND PROCEDURES FOR THE REVOCATION OR SUSPEN-
    5  SION OF OPERATING CERTIFICATES, LICENSES AND REGISTRATIONS;
    6    (J) GOVERNING THE MANUFACTURE,  DISTRIBUTION,  SALE,  DEPLOYMENT,  AND
    7  SERVICING OF GAMING DEVICES AND EQUIPMENT;
    8    (K)  PRESCRIBING FOR GAMING OPERATIONS THE PROCEDURES, FORMS AND METH-
    9  ODS OF MANAGEMENT CONTROLS, INCLUDING EMPLOYEE AND SUPERVISORY TABLES OF
   10  ORGANIZATION AND RESPONSIBILITY, AND MINIMUM SECURITY  AND  SURVEILLANCE
   11  STANDARDS, INCLUDING SECURITY PERSONNEL STRUCTURE, ALARM AND OTHER ELEC-
   12  TRICAL  OR VISUAL SECURITY MEASURES; PROVIDED, HOWEVER, THAT THE COMMIS-
   13  SION SHALL GRANT AN APPLICANT BROAD DISCRETION CONCERNING THE  ORGANIZA-
   14  TION  AND  RESPONSIBILITIES OF MANAGEMENT PERSONNEL WHO ARE NOT DIRECTLY
   15  INVOLVED IN THE SUPERVISION OF GAMING OPERATIONS;
   16    (L) PRESCRIBING THE QUALIFICATIONS OF, AND THE CONDITIONS PURSUANT  TO
   17  WHICH, ENGINEERS, ACCOUNTANTS, AND OTHERS SHALL BE PERMITTED TO PRACTICE
   18  BEFORE  THE COMMISSION OR TO SUBMIT MATERIALS ON BEHALF OF ANY APPLICANT
   19  OR LICENSEE;
   20    (M) PRESCRIBING MINIMUM  PROCEDURES  FOR  THE  EXERCISE  OF  EFFECTIVE
   21  CONTROL  OVER  THE  INTERNAL  FISCAL  AFFAIRS  OF  A LICENSEE, INCLUDING
   22  PROVISIONS FOR THE SAFEGUARDING OF ASSETS AND REVENUES, THE RECORDING OF
   23  CASH AND EVIDENCE OF  INDEBTEDNESS,  AND  THE  MAINTENANCE  OF  RELIABLE
   24  RECORDS,  ACCOUNTS,  AND REPORTS OF TRANSACTIONS, OPERATIONS AND EVENTS,
   25  INCLUDING REPORTS TO THE COMMISSION;
   26    (N) PROVIDING FOR A MINIMUM UNIFORM STANDARD OF  ACCOUNTANCY  METHODS,
   27  PROCEDURES  AND FORMS; A UNIFORM CODE OF ACCOUNTS AND ACCOUNTING CLASSI-
   28  FICATIONS; AND SUCH OTHER  STANDARD  OPERATING  PROCEDURES,  AS  MAY  BE
   29  NECESSARY TO ASSURE CONSISTENCY, COMPARABILITY, AND EFFECTIVE DISCLOSURE
   30  OF  ALL  FINANCIAL INFORMATION, INCLUDING CALCULATIONS OF PERCENTAGES OF
   31  PROFIT BY GAMES, TABLES, GAMING DEVICES AND SLOT MACHINES;
   32    (O) REQUIRING QUARTERLY FINANCIAL REPORTS AND THE FORM THEREOF, AND AN
   33  ANNUAL AUDIT PREPARED BY A CERTIFIED PUBLIC ACCOUNTANT  LICENSED  TO  DO
   34  BUSINESS IN THIS STATE, ATTESTING TO THE FINANCIAL CONDITION OF A LICEN-
   35  SEE  AND DISCLOSING WHETHER THE ACCOUNTS, RECORDS AND CONTROL PROCEDURES
   36  EXAMINED ARE MAINTAINED BY THE LICENSEE AS REQUIRED BY THIS ARTICLE  AND
   37  THE REGULATIONS PROMULGATED HEREUNDER;
   38    (P)  GOVERNING  THE  GAMING-RELATED  ADVERTISING  OF  LICENSEES, THEIR
   39  EMPLOYEES AND AGENTS, WITH THE VIEW TOWARD ASSURING THAT SUCH ADVERTISE-
   40  MENTS ARE NOT DECEPTIVE; AND
   41    (Q) GOVERNING THE DISTRIBUTION AND CONSUMPTION OF ALCOHOLIC  BEVERAGES
   42  ON THE PREMISES OF THE LICENSEE.
   43    3.  THE COMMISSION SHALL, IN ITS REGULATIONS, PRESCRIBE THE MANNER AND
   44  PROCEDURE OF ALL HEARINGS CONDUCTED BY THE COMMISSION.
   45    S 1308. REPORTS AND RECOMMENDATIONS. THE COMMISSION SHALL CARRY  ON  A
   46  CONTINUOUS  STUDY  OF THE OPERATION AND ADMINISTRATION OF CASINO CONTROL
   47  LAWS WHICH MAY BE IN EFFECT IN OTHER JURISDICTIONS, LITERATURE  ON  THIS
   48  SUBJECT  WHICH  MAY FROM TIME TO TIME BECOME AVAILABLE, AND FEDERAL LAWS
   49  WHICH MAY AFFECT THE OPERATION OF CASINO GAMING IN THIS STATE. IT  SHALL
   50  BE  RESPONSIBLE  FOR  ASCERTAINING ANY DEFECTS IN THIS ARTICLE OR IN THE
   51  RULES AND REGULATIONS ISSUED THEREUNDER, FORMULATING RECOMMENDATIONS FOR
   52  CHANGES IN THIS ARTICLE. THE COMMISSION  SHALL  MAKE  AVAILABLE  TO  THE
   53  GOVERNOR  AND  THE LEGISLATURE WITHIN ITS ANNUAL REPORT AN ACCOUNTING OF
   54  ALL REVENUES, EXPENSES AND DISBURSEMENTS, A REVIEW OF ITS LICENSING  AND
   55  ENFORCEMENT  ACTIVITIES CONDUCTED PURSUANT TO SECTION ONE THOUSAND THREE
   56  HUNDRED FORTY OF THIS ARTICLE AND SHALL INCLUDE THEREIN SUCH RECOMMENDA-
       S. 5883                            12                            A. 8101

    1  TIONS FOR CHANGES IN THIS ARTICLE AS THE COMMISSION DEEMS  NECESSARY  OR
    2  DESIRABLE.
    3    S  1309.  SEVERABILITY  AND  PREEMPTION.   1. IF ANY CLAUSE, SENTENCE,
    4  SUBPARAGRAPH, PARAGRAPH, SUBDIVISION, SECTION, ARTICLE OR OTHER  PORTION
    5  OF  THIS  ARTICLE  OR  THE  APPLICATION THEREOF TO ANY PERSON OR CIRCUM-
    6  STANCES SHALL BE HELD TO BE INVALID,  SUCH  HOLDING  SHALL  NOT  AFFECT,
    7  IMPAIR OR INVALIDATE THE REMAINDER OF THIS ARTICLE OR THE APPLICATION OF
    8  SUCH  PORTION  HELD  INVALID  TO  ANY OTHER PERSON OR CIRCUMSTANCES, BUT
    9  SHALL BE CONFINED IN ITS OPERATION TO THE CLAUSE,  SENTENCE,  PARAGRAPH,
   10  SUBPARAGRAPH,  SUBDIVISION,  SECTION,  ARTICLE  OR OTHER PORTION THEREOF
   11  DIRECTLY INVOLVED IN SUCH HOLDING OR TO THE PERSON OR CIRCUMSTANCE THER-
   12  EIN INVOLVED.
   13    2. IF ANY PROVISION OF THIS ARTICLE IS INCONSISTENT WITH, IN  CONFLICT
   14  WITH,  OR CONTRARY TO ANY OTHER PROVISION OF LAW, SUCH PROVISION OF THIS
   15  ARTICLE SHALL PREVAIL OVER SUCH OTHER PROVISION AND SUCH OTHER PROVISION
   16  SHALL BE DEEMED TO BE SUPERSEDED TO THE EXTENT OF SUCH INCONSISTENCY  OR
   17  CONFLICT. NOTWITHSTANDING THE PROVISIONS OF ANY OTHER LAW TO THE CONTRA-
   18  RY,  NO  LOCAL  GOVERNMENT  UNIT  OF THIS STATE MAY ENACT OR ENFORCE ANY
   19  ORDINANCE OR RESOLUTION CONFLICTING WITH ANY PROVISION OF  THIS  ARTICLE
   20  OR WITH ANY POLICY OF THIS STATE EXPRESSED OR IMPLIED HEREIN, WHETHER BY
   21  EXCLUSION OR INCLUSION. THE COMMISSION SHALL HAVE EXCLUSIVE JURISDICTION
   22  OVER ALL MATTERS DELEGATED TO IT OR WITHIN THE SCOPE OF ITS POWERS UNDER
   23  THE PROVISIONS OF THIS ARTICLE.
   24                                   TITLE 2
   25                    FACILITY DETERMINATION AND LICENSING
   26  SECTION 1310. DEVELOPMENT ZONES AND REGIONS.
   27          1311. LICENSE AUTHORIZATION; RESTRICTIONS.
   28          1312. REQUESTS FOR APPLICATIONS.
   29          1313. FORM OF APPLICATION.
   30          1314. LICENSE APPLICANT ELIGIBILITY.
   31          1315. REQUIRED CAPITAL INVESTMENT.
   32          1316. MINIMUM LICENSE THRESHOLDS.
   33          1317. INVESTIGATION OF LICENSE APPLICANTS.
   34          1318. DISQUALIFYING CRITERIA.
   35          1319. INVESTIGATIVE HEARINGS.
   36          1320. SITING EVALUATION.
   37          1321. INTENTIONALLY OMITTED.
   38    S  1310.  DEVELOPMENT  ZONES AND REGIONS.  1. THERE ARE HEREBY CREATED
   39  TWO DEVELOPMENT ZONES TO BE KNOWN AS THE ZONE ONE AND ZONE TWO. ZONE ONE
   40  SHALL INCLUDE THE CITY OF NEW YORK AND THE COUNTIES OF  NASSAU,  PUTNAM,
   41  ROCKLAND,  SUFFOLK AND WESTCHESTER. ZONE TWO SHALL INCLUDE ALL THE OTHER
   42  COUNTIES OF THE STATE.
   43    2. EACH ZONE SHALL BE DIVIDED INTO DEVELOPMENT REGIONS.  (A) THE THREE
   44  DEVELOPMENT REGIONS IN ZONE ONE SHALL  BE  COMPRISED  OF  THE  FOLLOWING
   45  COUNTIES:
   46    (1) REGION ONE SHALL CONSIST OF PUTNAM, ROCKLAND AND WESTCHESTER COUN-
   47  TIES;
   48    (2)  REGION  TWO  SHALL  CONSIST OF BRONX, KINGS, NEW YORK, QUEENS AND
   49  RICHMOND COUNTIES.  NO GAMING FACILITY SHALL  BE  AUTHORIZED  IN  REGION
   50  TWO; AND
   51    (3) REGION THREE SHALL CONSIST OF NASSAU AND SUFFOLK COUNTIES.
   52    (B)  THE SIX DEVELOPMENT REGIONS IN ZONE TWO SHALL BE COMPRISED OF THE
   53  FOLLOWING COUNTIES:
   54    (1) REGION ONE SHALL CONSIST OF COLUMBIA, DELAWARE, DUTCHESS,  GREENE,
   55  ORANGE, SULLIVAN AND ULSTER COUNTIES;
       S. 5883                            13                            A. 8101

    1    (2)  REGION  TWO  SHALL CONSIST OF ALBANY, FULTON, MONTGOMERY, RENSSE-
    2  LAER, SARATOGA, SCHENECTADY, SCHOHARIE AND WASHINGTON COUNTIES.
    3    (3)  REGION THREE SHALL CONSIST OF CLINTON, ESSEX, FRANKLIN, HAMILTON,
    4  JEFFERSON, SAINT LAWRENCE AND WARREN COUNTIES;
    5    (4) REGION FOUR SHALL CONSIST OF CAYUGA, CHENANGO, CORTLAND, HERKIMER,
    6  LEWIS, MADISON, ONEIDA, ONONDAGA, OSWEGO AND OTSEGO COUNTIES;
    7    (5) REGION FIVE SHALL CONSIST OF BROOME, CHEMUNG (EAST OF STATE  ROUTE
    8  14),  SCHUYLER  (EAST  OF  STATE ROUTE 14), SENECA, TIOGA, TOMPKINS, AND
    9  WAYNE (EAST OF STATE ROUTE 14) COUNTIES; AND
   10    (6) REGION SIX SHALL CONSIST  OF  ALLEGANY,  CATTARAUGUS,  CHAUTAUQUA,
   11  CHEMUNG  (WEST  OF  STATE  ROUTE 14), ERIE, GENESEE, LIVINGSTON, MONROE,
   12  NIAGARA, ONTARIO, ORLEANS, SCHUYLER (WEST OF STATE ROUTE  14),  STEUBEN,
   13  WAYNE (WEST OF STATE ROUTE 14), WYOMING, AND YATES COUNTIES.
   14    S  1311.  LICENSE  AUTHORIZATION;  RESTRICTIONS.  1. THE COMMISSION IS
   15  AUTHORIZED TO AWARD UP TO FOUR GAMING FACILITY LICENSES, IN REGIONS ONE,
   16  TWO AND FIVE OF ZONE TWO. THE DURATION OF SUCH INITIAL LICENSE SHALL  BE
   17  TEN  YEARS.  THE  TERM OF RENEWAL SHALL BE DETERMINED BY THE COMMISSION.
   18  THE COMMISSION MAY AWARD A SECOND LICENSE TO A QUALIFIED APPLICANT IN NO
   19  MORE THAN A SINGLE REGION.  THE COMMISSION IS NOT EMPOWERED TO AWARD ANY
   20  LICENSE IN ZONE ONE. NO GAMING  FACILITIES  ARE  AUTHORIZED  UNDER  THIS
   21  ARTICLE FOR THE CITY OF NEW YORK OR ANY OTHER PORTION OF ZONE ONE.
   22    AS A CONDITION OF LICENSURE, LICENSEES ARE REQUIRED TO COMMENCE GAMING
   23  OPERATIONS  NO  LESS THAN TWENTY-FOUR MONTHS FOLLOWING LICENSE AWARD. NO
   24  ADDITIONAL LICENSES MAY BE AWARDED DURING THE TWENTY-FOUR MONTH  PERIOD,
   25  NOR  FOR AN ADDITIONAL SIXTY MONTHS FOLLOWING THE END OF THE TWENTY-FOUR
   26  MONTH PERIOD.   SHOULD  THE  STATE  LEGISLATIVELY  AUTHORIZE  ADDITIONAL
   27  GAMING  FACILITY LICENSES WITHIN THESE PERIODS, LICENSEES SHALL HAVE THE
   28  RIGHT TO RECOVER THE LICENSE FEE PAID PURSUANT TO SECTION  ONE  THOUSAND
   29  THREE HUNDRED SIX OF THIS ARTICLE.
   30    THIS  RIGHT  SHALL  BE INCORPORATED INTO THE LICENSE ITSELF, VEST UPON
   31  THE OPENING OF A GAMING FACILITY IN ZONE ONE OR IN THE  SAME  REGION  AS
   32  THE  LICENSEE  AND ENTITLE THE HOLDER OF SUCH LICENSE TO BRING AN ACTION
   33  IN THE COURT OF CLAIMS TO RECOVER  THE  LICENSE  FEE  PAID  PURSUANT  TO
   34  SECTION  ONE THOUSAND THREE HUNDRED FIFTEEN OF THIS ARTICLE IN THE EVENT
   35  THAT ANY GAMING FACILITY LICENSE IN EXCESS OF THE NUMBER  AUTHORIZED  BY
   36  THIS  SECTION AS OF THE EFFECTIVE DATE OF THIS SECTION IS AWARDED WITHIN
   37  SEVEN YEARS FROM THE DATE THAT THE INITIAL GAMING  FACILITY  LICENSE  IS
   38  AWARDED.    THIS RIGHT TO RECOVER ANY SUCH FEE SHALL BE PROPORTIONATE TO
   39  THE LENGTH OF THE RESPECTIVE PERIOD THAT IS  STILL  REMAINING  UPON  THE
   40  VESTING OF SUCH RIGHT.
   41    ADDITIONALLY,  THE  RIGHT TO BRING AN ACTION IN THE COURT OF CLAIMS TO
   42  RECOVER THE FEE PAID TO THE STATE ON THE TWENTY-FOURTH DAY OF SEPTEMBER,
   43  TWO THOUSAND TEN, BY THE OPERATOR OF A VIDEO LOTTERY GAMING FACILITY  IN
   44  A  CITY  OF MORE THAN ONE MILLION SHALL VEST WITH SUCH OPERATOR UPON THE
   45  OPENING OF ANY GAMING FACILITY LICENSED BY THE COMMISSION  IN  ZONE  ONE
   46  WITHIN  SEVEN  YEARS  FROM  THE  DATE  THAT  THE INITIAL GAMING FACILITY
   47  LICENSE IS AWARDED; PROVIDED HOWEVER THAT THE AMOUNT  RECOVERABLE  SHALL
   48  BE LIMITED TO THE PRO RATA AMOUNT OF THE TIME REMAINING UNTIL THE END OF
   49  THE  SEVEN  YEAR EXCLUSIVITY PERIOD, PROPORTIONATE TO THE PERIOD OF TIME
   50  BETWEEN THE DATE OF OEPNING OF THE  VIDEO  LOTTERY  FACILITY  UNTIL  THE
   51  CONCLUSION OF THE SEVEN YEAR PERIOD.
   52    2.  NOTWITHSTANDING  THE FOREGOING, NO CASINO GAMING FACILITY SHALL BE
   53  AUTHORIZED:
   54    (A) IN THE COUNTIES OF CLINTON, ESSEX, FRANKLIN, HAMILTON,  JEFFERSON,
   55  LEWIS, SAINT LAWRENCE AND WARREN;
       S. 5883                            14                            A. 8101

    1    (B)  WITHIN  THE  FOLLOWING AREA: (1) TO THE EAST, STATE ROUTE 14 FROM
    2  SODUS POINT TO THE PENNSYLVANIA BORDER WITH NEW YORK; (2) TO THE  NORTH,
    3  THE BORDER BETWEEN NEW YORK AND CANADA; (3) TO THE SOUTH, THE PENNSYLVA-
    4  NIA  BORDER  WITH  NEW YORK; AND (4) TO THE WEST, THE BORDER BETWEEN NEW
    5  YORK AND CANADA AND THE BORDER BETWEEN PENNSYLVANIA AND NEW YORK; AND
    6    (C)  IN  THE  COUNTIES OF CAYUGA, CHENANGO, CORTLAND, HERKIMER, LEWIS,
    7  MADISON, ONEIDA, ONONDAGA, OSWEGO AND OTSEGO.
    8    S 1312. REQUESTS FOR APPLICATIONS.  1. THE BOARD  SHALL  ISSUE  WITHIN
    9  NINETY  DAYS  OF  A  MAJORITY  OF  MEMBERS BEING APPOINTED A REQUEST FOR
   10  APPLICATIONS FOR A GAMING FACILITY LICENSE IN REGIONS ONE, TWO AND  FIVE
   11  IN  ZONE  TWO;  PROVIDED,  HOWEVER,  THAT  THE BOARD SHALL NOT ISSUE ANY
   12  REQUESTS FOR APPLICATIONS FOR  ANY  REGION  IN  ZONE  ONE;  AND  FURTHER
   13  PROVIDED  THAT  THE  BOARD SHALL NOT ISSUE ANY REQUESTS FOR APPLICATIONS
   14  WITH RESPECT TO ANY GAMING FACILITY SUBSEQUENTLY  LEGISLATIVELY  AUTHOR-
   15  IZED  UNTIL  SEVEN YEARS FOLLOWING THE COMMENCEMENT OF GAMING ACTIVITIES
   16  IN ZONE TWO. ALL REQUESTS FOR APPLICATIONS SHALL INCLUDE:
   17    (A) THE TIME AND DATE FOR RECEIPT OF  RESPONSES  TO  THE  REQUEST  FOR
   18  APPLICATIONS,  THE MANNER THEY ARE TO BE RECEIVED AND THE ADDRESS OF THE
   19  OFFICE TO WHICH THE APPLICATIONS SHALL BE DELIVERED;
   20    (B) THE FORM OF THE APPLICATION AND THE METHOD FOR SUBMISSION;
   21    (C) A GENERAL DESCRIPTION OF THE ANTICIPATED SCHEDULE  FOR  PROCESSING
   22  THE APPLICATION;
   23    (D)  THE CONTACT INFORMATION OF BOARD EMPLOYEES RESPONSIBLE FOR HANDL-
   24  ING APPLICANT QUESTIONS; AND
   25    (E) ANY OTHER INFORMATION THAT THE BOARD DETERMINES.
   26    2.  BOARD  ACTIVITIES  SHALL  BE  SUBJECT  TO  SECTION   ONE   HUNDRED
   27  THIRTY-NINE-J AND SECTION ONE HUNDRED THIRTY-NINE-K OF THE STATE FINANCE
   28  LAW.
   29    3.  REQUESTS  FOR  APPLICATIONS  PURSUANT  TO  SUBDIVISION ONE OF THIS
   30  SECTION SHALL BE ADVERTISED IN A NEWSPAPER OF GENERAL CIRCULATION AND ON
   31  THE OFFICIAL INTERNET WEBSITE OF THE COMMISSION AND THE BOARD.
   32    4. THE BOARD SHALL ESTABLISH DEADLINES FOR THE RECEIPT OF ALL APPLICA-
   33  TIONS. APPLICATIONS RECEIVED AFTER THE DEADLINE SHALL NOT BE REVIEWED BY
   34  THE BOARD.
   35    S 1313. FORM OF APPLICATION.  1. THE COMMISSION AND  THE  BOARD  SHALL
   36  PRESCRIBE  THE INITIAL FORM OF THE APPLICATION FOR GAMING LICENSES WHICH
   37  SHALL REQUIRE, BUT NOT BE LIMITED TO:
   38    (A) THE NAME OF THE APPLICANT;
   39    (B) THE MAILING ADDRESS AND, IF A CORPORATION, THE NAME OF  THE  STATE
   40  UNDER  THE LAWS OF WHICH IT IS INCORPORATED, THE LOCATION OF ITS PRINCI-
   41  PAL PLACE OF BUSINESS AND THE NAMES AND ADDRESSES OF ITS  DIRECTORS  AND
   42  SUCH STOCKHOLDERS AS TO BE DETERMINED BY THE COMMISSION;
   43    (C)  THE  IDENTITY OF EACH PERSON HAVING A DIRECT OR INDIRECT INTEREST
   44  IN THE BUSINESS AND THE NATURE OF SUCH INTEREST; PROVIDED, HOWEVER, THAT
   45  IF THE DISCLOSED ENTITY IS A TRUST, THE APPLICATION SHALL  DISCLOSE  THE
   46  NAMES  AND ADDRESSES OF ALL BENEFICIARIES; PROVIDED FURTHER, THAT IF THE
   47  DISCLOSED ENTITY IS A PARTNERSHIP, THE APPLICATION  SHALL  DISCLOSE  THE
   48  NAMES  AND  ADDRESSES  OF  ALL  PARTNERS,  BOTH GENERAL AND LIMITED; AND
   49  PROVIDED FURTHER, THAT IF THE DISCLOSED ENTITY IS  A  LIMITED  LIABILITY
   50  COMPANY,  THE  APPLICATION SHALL DISCLOSE THE NAMES AND ADDRESSES OF ALL
   51  MEMBERS;
   52    (D) AN INDEPENDENT AUDIT REPORT OF ALL FINANCIAL ACTIVITIES AND INTER-
   53  ESTS INCLUDING, BUT NOT LIMITED TO, THE DISCLOSURE OF ALL CONTRIBUTIONS,
   54  DONATIONS, LOANS OR ANY OTHER FINANCIAL TRANSACTIONS TO OR FROM A GAMING
   55  ENTITY OR OPERATOR IN THE PAST FIVE YEARS;
       S. 5883                            15                            A. 8101

    1    (E) CLEAR AND CONVINCING EVIDENCE OF  FINANCIAL  STABILITY  INCLUDING,
    2  BUT  NOT  LIMITED  TO, BANK REFERENCES, BUSINESS AND PERSONAL INCOME AND
    3  DISBURSEMENT SCHEDULES, TAX RETURNS AND OTHER REPORTS FILED  BY  GOVERN-
    4  MENT  AGENCIES  AND  BUSINESS  AND PERSONAL ACCOUNTING CHECK RECORDS AND
    5  LEDGERS;
    6    (F)  INFORMATION  AND  DOCUMENTATION TO DEMONSTRATE THAT THE APPLICANT
    7  HAS SUFFICIENT BUSINESS ABILITY AND EXPERIENCE TO CREATE THE  LIKELIHOOD
    8  OF ESTABLISHING AND MAINTAINING A SUCCESSFUL GAMING FACILITY;
    9    (G)  A FULL DESCRIPTION OF THE PROPOSED INTERNAL CONTROLS AND SECURITY
   10  SYSTEMS FOR THE PROPOSED GAMING FACILITY AND ANY RELATED FACILITIES;
   11    (H) THE DESIGNS FOR THE PROPOSED GAMING FACILITY, INCLUDING THE  NAMES
   12  AND ADDRESSES OF THE ARCHITECTS, ENGINEERS AND DESIGNERS, AND A TIMELINE
   13  OF  CONSTRUCTION  THAT  INCLUDES DETAILED STAGES OF CONSTRUCTION FOR THE
   14  GAMING FACILITY AND  NON-GAMING  STRUCTURES,  WHERE  APPLICABLE,  AND  A
   15  PROPOSED DATE TO OPEN FOR GAMING;
   16    (I) THE NUMBER OF CONSTRUCTION HOURS ESTIMATED TO COMPLETE THE WORK;
   17    (J)  A  DESCRIPTION  OF THE ANCILLARY ENTERTAINMENT SERVICES AND AMEN-
   18  ITIES TO BE PROVIDED AT THE PROPOSED GAMING FACILITY;
   19    (K) THE NUMBER OF EMPLOYEES TO BE  EMPLOYED  AT  THE  PROPOSED  GAMING
   20  FACILITY,  INCLUDING  DETAILED  INFORMATION ON THE PAY RATE AND BENEFITS
   21  FOR EMPLOYEES;
   22    (L) COMPLETED STUDIES AND REPORTS AS REQUIRED BY THE COMMISSION, WHICH
   23  SHALL INCLUDE, BUT NOT BE LIMITED TO, AN  EXAMINATION  OF  THE  PROPOSED
   24  GAMING FACILITY'S:
   25    (1) ECONOMIC BENEFITS TO THE REGION AND THE STATE;
   26    (2)  LOCAL AND REGIONAL SOCIAL, ENVIRONMENTAL, TRAFFIC AND INFRASTRUC-
   27  TURE IMPACTS;
   28    (3) IMPACT ON THE LOCAL AND REGIONAL ECONOMY, INCLUDING THE IMPACT  ON
   29  CULTURAL  INSTITUTIONS  AND ON SMALL BUSINESSES IN THE HOST MUNICIPALITY
   30  AND NEARBY MUNICIPALITIES;
   31    (4) COST TO THE HOST MUNICIPALITY, NEARBY MUNICIPALITIES AND THE STATE
   32  FOR THE PROPOSED GAMING FACILITY TO BE LOCATED AT THE PROPOSED LOCATION;
   33  AND
   34    (5) THE ESTIMATED STATE TAX REVENUE TO  BE  GENERATED  BY  THE  GAMING
   35  FACILITY;
   36    (M) THE NAMES OF PROPOSED VENDORS OF GAMING EQUIPMENT;
   37    (N)  THE LOCATION OF THE PROPOSED GAMING FACILITY, WHICH SHALL INCLUDE
   38  THE ADDRESS, MAPS, BOOK AND PAGE NUMBERS FROM THE  APPROPRIATE  REGISTRY
   39  OF  DEEDS,  ASSESSED  VALUE  OF  THE LAND AT THE TIME OF APPLICATION AND
   40  OWNERSHIP INTERESTS OVER THE PAST TWENTY YEARS, INCLUDING ALL INTERESTS,
   41  OPTIONS, AGREEMENTS IN PROPERTY AND DEMOGRAPHIC, GEOGRAPHIC AND ENVIRON-
   42  MENTAL INFORMATION AND ANY OTHER INFORMATION REQUESTED  BY  THE  COMMIS-
   43  SION;
   44    (O)  THE  TYPE  AND  NUMBER  OF  GAMES TO BE CONDUCTED AT THE PROPOSED
   45  GAMING FACILITY AND THE SPECIFIC LOCATION OF THE GAMES IN  THE  PROPOSED
   46  GAMING FACILITY;
   47    (P)  THE  NUMBER  OF HOTELS AND ROOMS, RESTAURANTS AND OTHER AMENITIES
   48  LOCATED AT THE PROPOSED GAMING FACILITY AND HOW THEY MEASURE IN  QUALITY
   49  TO OTHER AREA HOTELS AND AMENITIES;
   50    (Q)  WHETHER  THE  APPLICANT'S  PROPOSED  GAMING FACILITY IS PART OF A
   51  REGIONAL OR LOCAL ECONOMIC PLAN; AND
   52    (R)  WHETHER  THE  APPLICANT  PURCHASED   OR   INTENDS   TO   PURCHASE
   53  PUBLICLY-OWNED LAND FOR THE PROPOSED GAMING FACILITY.
   54    2.  APPLICATIONS FOR LICENSES SHALL BE PUBLIC RECORDS; PROVIDED HOWEV-
   55  ER, THAT TRADE SECRETS,  COMPETITIVELY-SENSITIVE  OR  OTHER  PROPRIETARY
   56  INFORMATION  PROVIDED  IN  THE  COURSE  OF  AN  APPLICATION FOR A GAMING
       S. 5883                            16                            A. 8101

    1  LICENSE UNDER THIS ARTICLE, THE DISCLOSURE  OF  WHICH  WOULD  PLACE  THE
    2  APPLICANT AT A COMPETITIVE DISADVANTAGE, MAY BE WITHHELD FROM DISCLOSURE
    3  PURSUANT  TO PARAGRAPH (D) OF SUBDIVISION TWO OF SECTION EIGHTY-SEVEN OF
    4  THE PUBLIC OFFICERS LAW.
    5    S  1314.  LICENSE APPLICANT ELIGIBILITY.   1. GAMING FACILITY LICENSES
    6  SHALL ONLY BE ISSUED TO APPLICANTS WHO ARE QUALIFIED UNDER THE  CRITERIA
    7  SET FORTH IN THIS ARTICLE, AS DETERMINED BY THE COMMISSION.
    8    2.  AS  A  CONDITION  OF FILING, EACH POTENTIAL LICENSE APPLICANT MUST
    9  DEMONSTRATE TO THE BOARD'S SATISFACTION  THAT  LOCAL  SUPPORT  HAS  BEEN
   10  DEMONSTRATED.
   11    3.  WITHIN  ANY DEVELOPMENT REGION, IF THE COMMISSION IS NOT CONVINCED
   12  THAT THERE IS AN APPLICANT THAT HAS MET THE ELIGIBILITY CRITERIA OR  THE
   13  BOARD FINDS THAT NO APPLICANT HAS PROVIDED SUBSTANTIAL EVIDENCE THAT ITS
   14  PROPOSAL  WILL  PROVIDE VALUE TO THE REGION IN WHICH THE GAMING FACILITY
   15  IS PROPOSED TO BE LOCATED, NO GAMING FACILITY LICENSE SHALL  BE  AWARDED
   16  IN THAT REGION.
   17    S 1315. REQUIRED CAPITAL INVESTMENT.  1. THE BOARD SHALL ESTABLISH THE
   18  MINIMUM  CAPITAL  INVESTMENT  FOR  A GAMING FACILITY BY ZONE AND REGION.
   19  SUCH INVESTMENT SHALL INCLUDE, BUT NOT BE LIMITED TO, A CASINO AREA,  AT
   20  LEAST  ONE  HOTEL  AND  OTHER  AMENITIES; AND PROVIDED FURTHER, THAT THE
   21  BOARD SHALL DETERMINE WHETHER IT WILL  INCLUDE  THE  PURCHASE  OR  LEASE
   22  PRICE  OF  THE  LAND  WHERE  THE  GAMING FACILITY WILL BE LOCATED OR ANY
   23  INFRASTRUCTURE DESIGNED TO SUPPORT THE SITE INCLUDING, BUT  NOT  LIMITED
   24  TO,  DRAINAGE, UTILITY SUPPORT, ROADWAYS, INTERCHANGES, FILL AND SOIL OR
   25  GROUNDWATER OR SURFACE  WATER  CONTAMINATION  ISSUES.    THE  BOARD  MAY
   26  CONSIDER  PRIVATE CAPITAL INVESTMENT MADE PREVIOUS TO THE EFFECTIVE DATE
   27  OF THIS SECTION, BUT MAY, IN ITS DISCRETION, DISCOUNT  A  PERCENTAGE  OF
   28  THE  INVESTMENT MADE.  UPON AWARD OF A GAMING LICENSE BY THE COMMISSION,
   29  THE APPLICANT SHALL BE REQUIRED TO DEPOSIT  TEN  PERCENT  OF  THE  TOTAL
   30  INVESTMENT PROPOSED IN THE APPLICATION INTO AN INTEREST-BEARING ACCOUNT.
   31  MONIES  RECEIVED  FROM  THE  APPLICANT SHALL BE HELD IN ESCROW UNTIL THE
   32  FINAL STAGE OF CONSTRUCTION, AS DETAILED IN THE TIMELINE OF CONSTRUCTION
   33  SUBMITTED WITH THE LICENSEE'S APPLICATION AND APPROVED  BY  THE  COMMIS-
   34  SION,  AT  WHICH TIME THE DEPOSIT PLUS INTEREST EARNED SHALL BE RETURNED
   35  TO THE APPLICANT TO BE APPLIED FOR THE FINAL STAGE.   SHOULD THE  APPLI-
   36  CANT  BE  UNABLE  TO  COMPLETE THE GAMING FACILITY, THE DEPOSIT SHALL BE
   37  FORFEITED TO THE STATE. IN PLACE OF A CASH DEPOSIT, THE  COMMISSION  MAY
   38  ALLOW  FOR  AN  APPLICANT  TO  SECURE  A  DEPOSIT BOND INSURING THAT TEN
   39  PERCENT OF THE PROPOSED CAPITAL INVESTMENT SHALL  BE  FORFEITED  TO  THE
   40  STATE IF THE APPLICANT IS UNABLE TO COMPLETE THE GAMING FACILITY.
   41    2.  EACH  APPLICANT  SHALL SUBMIT ITS PROPOSED CAPITAL INVESTMENT WITH
   42  ITS APPLICATION TO THE BOARD WHICH SHALL INCLUDE STAGES OF  CONSTRUCTION
   43  OF  THE GAMING FACILITY AND THE DEADLINE BY WHICH THE STAGES AND OVERALL
   44  CONSTRUCTION AND ANY INFRASTRUCTURE IMPROVEMENTS WILL BE  COMPLETED.  IN
   45  AWARDING  A  LICENSE,  THE  COMMISSION  SHALL DETERMINE AT WHAT STAGE OF
   46  CONSTRUCTION A LICENSEE SHALL BE APPROVED TO OPEN FOR GAMING;  PROVIDED,
   47  HOWEVER,  THAT A LICENSEE SHALL NOT BE APPROVED TO OPEN FOR GAMING UNTIL
   48  THE COMMISSION HAS DETERMINED THAT AT LEAST THE GAMING  AREA  AND  OTHER
   49  ANCILLARY  ENTERTAINMENT  SERVICES AND NON-GAMING AMENITIES, AS REQUIRED
   50  BY THE BOARD, HAVE BEEN BUILT AND ARE OF A SUPERIOR QUALITY AS SET FORTH
   51  IN THE CONDITIONS OF LICENSURE.   THE COMMISSION  SHALL  NOT  APPROVE  A
   52  GAMING  FACILITY  TO  OPEN BEFORE THE COMPLETION OF THE PERMANENT CASINO
   53  AREA.
   54    3. A LICENSEE WHO FAILS TO BEGIN GAMING OPERATIONS WITHIN  TWENTY-FOUR
   55  MONTHS FOLLOWING LICENSE AWARD SHALL BE SUBJECT TO SUSPENSION OR REVOCA-
   56  TION  OF THE GAMING LICENSE BY THE COMMISSION AND MAY, AFTER BEING FOUND
       S. 5883                            17                            A. 8101

    1  BY THE COMMISSION AFTER NOTICE AND OPPORTUNITY FOR  A  HEARING  TO  HAVE
    2  ACTED IN BAD FAITH IN ITS APPLICATION, BE ASSESSED A FINE OF UP TO FIFTY
    3  MILLION DOLLARS.
    4    4.  THE BOARD SHALL DETERMINE A LICENSING FEE TO BE PAID BY A LICENSEE
    5  WITHIN THIRTY DAYS AFTER THE AWARD OF THE LICENSE WHICH SHALL BE  DEPOS-
    6  ITED  INTO  THE  COMMERCIAL  GAMING  REVENUE FUND. THE LICENSE SHALL SET
    7  FORTH THE CONDITIONS TO BE SATISFIED BY THE LICENSEE BEFORE  THE  GAMING
    8  FACILITY  SHALL  BE  OPENED  TO THE PUBLIC. THE COMMISSION SHALL SET ANY
    9  RENEWAL FEE FOR SUCH LICENSE BASED ON THE COST OF FEES  ASSOCIATED  WITH
   10  THE EVALUATION OF A LICENSEE UNDER THIS ARTICLE WHICH SHALL BE DEPOSITED
   11  INTO  THE COMMERCIAL GAMING FUND. SUCH RENEWAL FEE SHALL BE EXCLUSIVE OF
   12  ANY SUBSEQUENT LICENSING FEES UNDER THIS SECTION.
   13    5. THE COMMISSION SHALL DETERMINE THE SOURCES AND TOTAL AMOUNT  OF  AN
   14  APPLICANT'S  PROPOSED CAPITALIZATION TO DEVELOP, CONSTRUCT, MAINTAIN AND
   15  OPERATE A PROPOSED GAMING FACILITY UNDER THIS ARTICLE. UPON AWARD  OF  A
   16  GAMING  LICENSE, THE COMMISSION SHALL CONTINUE TO ASSESS THE CAPITALIZA-
   17  TION OF A LICENSEE FOR THE DURATION  OF  CONSTRUCTION  OF  THE  PROPOSED
   18  GAMING FACILITY AND THE TERM OF THE LICENSE.
   19    S 1316. MINIMUM LICENSE THRESHOLDS.  NO APPLICANT SHALL BE ELIGIBLE TO
   20  RECEIVE A GAMING LICENSE UNLESS THE APPLICANT MEETS THE FOLLOWING CRITE-
   21  RIA  AND  CLEARLY  STATES  AS  PART OF AN APPLICATION THAT THE APPLICANT
   22  SHALL:
   23    1. IN ACCORDANCE WITH THE DESIGN PLANS SUBMITTED WITH  THE  LICENSEE'S
   24  APPLICATION  TO  THE  BOARD,  INVEST  NOT LESS THAN THE REQUIRED CAPITAL
   25  UNDER THIS ARTICLE INTO THE GAMING FACILITY;
   26    2. OWN OR ACQUIRE, WITHIN SIXTY DAYS AFTER A LICENSE HAS BEEN AWARDED,
   27  THE LAND WHERE THE  GAMING  FACILITY  IS  PROPOSED  TO  BE  CONSTRUCTED;
   28  PROVIDED,  HOWEVER,  THAT  OWNERSHIP OF THE LAND SHALL INCLUDE A TENANCY
   29  FOR A TERM OF YEARS UNDER A LEASE THAT EXTENDS NOT LESS THAN SIXTY YEARS
   30  BEYOND THE TERM OF THE GAMING LICENSE ISSUED UNDER THIS ARTICLE;
   31    3. MEET THE LICENSEE DEPOSIT REQUIREMENT;
   32    4. DEMONSTRATE THAT IT IS ABLE TO PAY AND SHALL COMMIT TO  PAYING  THE
   33  GAMING LICENSING FEE;
   34    5. DEMONSTRATE TO THE COMMISSION HOW THE APPLICANT PROPOSES TO ADDRESS
   35  PROBLEM  GAMBLING CONCERNS, WORKFORCE DEVELOPMENT AND COMMUNITY DEVELOP-
   36  MENT AND HOST AND NEARBY MUNICIPALITY IMPACT AND MITIGATION ISSUES;
   37    6. IDENTIFY THE INFRASTRUCTURE COSTS OF THE HOST MUNICIPALITY INCURRED
   38  IN DIRECT RELATION TO THE CONSTRUCTION AND OPERATION OF A GAMING FACILI-
   39  TY AND COMMIT TO A COMMUNITY MITIGATION PLAN FOR THE HOST MUNICIPALITY;
   40    7. IDENTIFY THE SERVICE COSTS OF THE HOST  MUNICIPALITY  INCURRED  FOR
   41  EMERGENCY  SERVICES  IN  DIRECT  RELATION  TO  THE OPERATION OF A GAMING
   42  FACILITY AND COMMIT TO A COMMUNITY MITIGATION PLAN FOR THE HOST  MUNICI-
   43  PALITY;
   44    8.  PAY TO THE COMMISSION AN APPLICATION FEE OF ONE MILLION DOLLARS TO
   45  DEFRAY THE COSTS ASSOCIATED WITH THE PROCESSING OF THE  APPLICATION  AND
   46  INVESTIGATION  OF THE APPLICANT; PROVIDED, HOWEVER, THAT IF THE COSTS OF
   47  THE INVESTIGATION EXCEED THE  INITIAL  APPLICATION  FEE,  THE  APPLICANT
   48  SHALL  PAY  THE  ADDITIONAL  AMOUNT TO THE COMMISSION WITHIN THIRTY DAYS
   49  AFTER NOTIFICATION OF INSUFFICIENT FEES  OR  THE  APPLICATION  SHALL  BE
   50  REJECTED  AND  FURTHER  PROVIDED  THAT SHOULD THE COSTS OF SUCH INVESTI-
   51  GATION NOT EXCEED THE FEE REMITTED,  ANY  UNEXPENDED  PORTION  SHALL  BE
   52  RETURNED TO THE APPLICANT;
   53    9. COMPLY WITH STATE BUILDING AND FIRE PREVENTION CODES;
   54    10.  FORMULATE  FOR  BOARD APPROVAL AND ABIDE BY AN AFFIRMATIVE ACTION
   55  PROGRAM OF EQUAL OPPORTUNITY WHEREBY THE APPLICANT ESTABLISHES  SPECIFIC
       S. 5883                            18                            A. 8101

    1  GOALS   FOR  THE  UTILIZATION  OF  MINORITIES,  WOMEN  AND  VETERANS  ON
    2  CONSTRUCTION JOBS.
    3    S  1317.  INVESTIGATION  OF LICENSE APPLICANTS.  1. UPON RECEIPT OF AN
    4  APPLICATION FOR A GAMING FACILITY LICENSE, THE COMMISSION SHALL CAUSE TO
    5  BE COMMENCED AN INVESTIGATION INTO THE SUITABILITY OF THE APPLICANT.  IN
    6  EVALUATING  THE  SUITABILITY  OF  THE  APPLICANT,  THE  COMMISSION SHALL
    7  CONSIDER THE OVERALL REPUTATION  OF  THE  APPLICANT  INCLUDING,  WITHOUT
    8  LIMITATION:
    9    (A)  THE  INTEGRITY,  HONESTY,  GOOD  CHARACTER  AND REPUTATION OF THE
   10  APPLICANT;
   11    (B) THE FINANCIAL STABILITY, INTEGRITY AND BACKGROUND  OF  THE  APPLI-
   12  CANT;
   13    (C)  THE  BUSINESS PRACTICES AND THE BUSINESS ABILITY OF THE APPLICANT
   14  TO ESTABLISH AND MAINTAIN A SUCCESSFUL GAMING FACILITY;
   15    (D) WHETHER THE APPLICANT HAS A  HISTORY  OF  COMPLIANCE  WITH  GAMING
   16  LICENSING REQUIREMENTS IN OTHER JURISDICTIONS;
   17    (E)  WHETHER THE APPLICANT, AT THE TIME OF APPLICATION, IS A DEFENDANT
   18  IN LITIGATION INVOLVING ITS BUSINESS PRACTICES;
   19    (F) THE SUITABILITY OF ALL PARTIES IN INTEREST TO THE GAMING  FACILITY
   20  LICENSE,  INCLUDING  AFFILIATES  AND  CLOSE ASSOCIATES AND THE FINANCIAL
   21  RESOURCES OF THE APPLICANT; AND
   22    (G) WHETHER THE APPLICANT IS DISQUALIFIED  FROM  RECEIVING  A  LICENSE
   23  UNDER THIS ARTICLE; PROVIDED, HOWEVER, THAT IN CONSIDERING THE REHABILI-
   24  TATION  OF  AN  APPLICANT  FOR A GAMING FACILITY LICENSE, THE COMMISSION
   25  SHALL NOT AUTOMATICALLY DISQUALIFY AN APPLICANT IF THE APPLICANT  AFFIR-
   26  MATIVELY DEMONSTRATES, BY CLEAR AND CONVINCING EVIDENCE, THAT THE APPLI-
   27  CANT  HAS FINANCIAL RESPONSIBILITY, CHARACTER, REPUTATION, INTEGRITY AND
   28  GENERAL FITNESS AS SUCH TO WARRANT BELIEF BY  THE  COMMISSION  THAT  THE
   29  APPLICANT WILL ACT HONESTLY, FAIRLY, SOUNDLY AND EFFICIENTLY AS A GAMING
   30  LICENSEE.
   31    2. IF THE INVESTIGATION REVEALS THAT AN APPLICANT HAS FAILED TO:
   32    (A) ESTABLISH THE APPLICANT'S INTEGRITY OR THE INTEGRITY OF ANY AFFIL-
   33  IATE,  CLOSE  ASSOCIATE,  FINANCIAL  SOURCE OR ANY PERSON REQUIRED TO BE
   34  QUALIFIED BY THE COMMISSION;
   35    (B) DEMONSTRATE RESPONSIBLE BUSINESS PRACTICES IN ANY JURISDICTION; OR
   36    (C) OVERCOME ANY OTHER REASON, AS DETERMINED BY THE COMMISSION, AS  TO
   37  WHY  IT WOULD BE INJURIOUS TO THE INTERESTS OF THE STATE IN AWARDING THE
   38  APPLICANT A GAMING FACILITY  LICENSE,  THE  COMMISSION  SHALL  DENY  THE
   39  APPLICATION, SUBJECT TO NOTICE AND AN OPPORTUNITY FOR HEARING.
   40    3.  IF  THE  INVESTIGATION  REVEALS  THAT  AN APPLICANT IS SUITABLE TO
   41  RECEIVE A GAMING FACILITY LICENSE, THE ENTITY SHALL RECOMMEND  THAT  THE
   42  COMMISSION COMMENCE A REVIEW OF THE APPLICANT'S ENTIRE APPLICATION.
   43    S  1318.  DISQUALIFYING  CRITERIA.    1.  THE  COMMISSION SHALL DENY A
   44  LICENSE TO ANY APPLICANT WHO THE COMMISSION DETERMINES  IS  DISQUALIFIED
   45  ON  THE BASIS OF ANY OF THE FOLLOWING CRITERIA, SUBJECT TO NOTICE AND AN
   46  OPPORTUNITY FOR HEARING:
   47    (A) FAILURE OF THE APPLICANT TO PROVE BY CLEAR AND CONVINCING EVIDENCE
   48  THAT THE APPLICANT IS QUALIFIED IN ACCORDANCE  WITH  THE  PROVISIONS  OF
   49  THIS ARTICLE;
   50    (B) FAILURE OF THE APPLICANT TO PROVIDE INFORMATION, DOCUMENTATION AND
   51  ASSURANCES  REQUIRED  BY THIS ARTICLE OR REQUESTED BY THE COMMISSION, OR
   52  FAILURE OF THE APPLICANT TO REVEAL ANY FACT MATERIAL  TO  QUALIFICATION,
   53  OR  THE  SUPPLYING  OF INFORMATION WHICH IS UNTRUE OR MISLEADING AS TO A
   54  MATERIAL FACT PERTAINING TO THE QUALIFICATION CRITERIA;
   55    (C) THE CONVICTION OF THE APPLICANT, OR OF ANY PERSON REQUIRED  TO  BE
   56  QUALIFIED UNDER THIS ARTICLE AS A CONDITION OF A LICENSE, OF ANY OFFENSE
       S. 5883                            19                            A. 8101

    1  IN ANY JURISDICTION WHICH IS OR WOULD BE A FELONY OR OTHER CRIME INVOLV-
    2  ING PUBLIC INTEGRITY, EMBEZZLEMENT, THEFT, FRAUD OR PERJURY;
    3    (D)  COMMITTED  PRIOR  ACTS WHICH HAVE NOT BEEN PROSECUTED OR IN WHICH
    4  THE APPLICANT, OR OF ANY PERSON REQUIRED  TO  BE  QUALIFIED  UNDER  THIS
    5  ARTICLE  AS  A  CONDITION  OF  A  LICENSE,  WAS NOT CONVICTED BUT FORM A
    6  PATTERN OF MISCONDUCT THAT MAKES THE APPLICANT UNSUITABLE FOR A  LICENSE
    7  UNDER THIS ARTICLE; OR
    8    (E)  IF THE APPLICANT, OR OF ANY PERSON REQUIRED TO BE QUALIFIED UNDER
    9  THIS ARTICLE AS A CONDITION OF A LICENSE, HAS AFFILIATES OR CLOSE  ASSO-
   10  CIATES  THAT  WOULD NOT QUALIFY FOR A LICENSE OR WHOSE RELATIONSHIP WITH
   11  THE APPLICANT MAY POSE AN INJURIOUS THREAT TO THE INTERESTS OF THE STATE
   12  IN AWARDING A GAMING FACILITY LICENSE TO THE APPLICANT;
   13    (F) ANY OTHER OFFENSE UNDER PRESENT STATE OR FEDERAL LAW  WHICH  INDI-
   14  CATES THAT LICENSURE OF THE APPLICANT WOULD BE INIMICAL TO THE POLICY OF
   15  THIS ARTICLE; PROVIDED, HOWEVER, THAT THE DISQUALIFICATION PROVISIONS OF
   16  THIS SECTION SHALL NOT APPLY WITH REGARD TO ANY MISDEMEANOR CONVICTION;
   17    (G)  CURRENT PROSECUTION OR PENDING CHARGES IN ANY JURISDICTION OF THE
   18  APPLICANT OR OF ANY PERSON WHO IS REQUIRED TO BE  QUALIFIED  UNDER  THIS
   19  ARTICLE  AS A CONDITION OF A LICENSE, FOR ANY OF THE OFFENSES ENUMERATED
   20  IN PARAGRAPH (C) OF SUBDIVISION ONE OF THIS SECTION; PROVIDED,  HOWEVER,
   21  THAT  AT THE REQUEST OF THE APPLICANT OR THE PERSON CHARGED, THE COMMIS-
   22  SION MAY DEFER DECISION UPON SUCH APPLICATION  DURING  THE  PENDENCY  OF
   23  SUCH CHARGE;
   24    (H)  THE  PURSUIT BY THE APPLICANT OR ANY PERSON WHO IS REQUIRED TO BE
   25  QUALIFIED UNDER THIS ARTICLE AS A CONDITION OF  A  LICENSE  OF  ECONOMIC
   26  GAIN  IN  AN OCCUPATIONAL MANNER OR CONTEXT WHICH IS IN VIOLATION OF THE
   27  CRIMINAL OR CIVIL PUBLIC POLICIES OF THIS STATE, IF SUCH PURSUIT CREATES
   28  A REASONABLE BELIEF THAT THE PARTICIPATION  OF  SUCH  PERSON  IN  GAMING
   29  FACILITY  OPERATIONS  WOULD BE INIMICAL TO THE POLICIES OF THIS ARTICLE.
   30  FOR PURPOSES OF THIS SECTION, OCCUPATIONAL MANNER OR  CONTEXT  SHALL  BE
   31  DEFINED  AS  THE  SYSTEMATIC  PLANNING,  ADMINISTRATION,  MANAGEMENT, OR
   32  EXECUTION OF AN ACTIVITY FOR FINANCIAL GAIN;
   33    (I) THE IDENTIFICATION OF THE APPLICANT OR ANY PERSON WHO IS  REQUIRED
   34  TO  BE  QUALIFIED  UNDER  THIS  ARTICLE AS A CONDITION OF A LICENSE AS A
   35  CAREER OFFENDER OR A MEMBER OF A CAREER OFFENDER CARTEL OR AN  ASSOCIATE
   36  OF  A  CAREER  OFFENDER OR CAREER OFFENDER CARTEL IN SUCH A MANNER WHICH
   37  CREATES A REASONABLE BELIEF THAT THE ASSOCIATION IS OF SUCH A NATURE  AS
   38  TO  BE  INIMICAL  TO  THE  POLICY  OF THIS ARTICLE. FOR PURPOSES OF THIS
   39  SECTION, CAREER OFFENDER SHALL BE DEFINED AS ANY PERSON  WHOSE  BEHAVIOR
   40  IS  PURSUED  IN  AN  OCCUPATIONAL  MANNER  OR CONTEXT FOR THE PURPOSE OF
   41  ECONOMIC GAIN, UTILIZING SUCH METHODS AS ARE DEEMED CRIMINAL  VIOLATIONS
   42  OF  THE  PUBLIC  POLICY OF THIS STATE. A CAREER OFFENDER CARTEL SHALL BE
   43  DEFINED AS ANY GROUP OF PERSONS WHO OPERATE TOGETHER  AS  CAREER  OFFEN-
   44  DERS;
   45    (J)  THE  COMMISSION BY THE APPLICANT OR ANY PERSON WHO IS REQUIRED TO
   46  BE QUALIFIED UNDER THIS ARTICLE AS A CONDITION OF A LICENSE OF  ANY  ACT
   47  OR ACTS WHICH WOULD CONSTITUTE ANY OFFENSE UNDER PARAGRAPH (C) OF SUBDI-
   48  VISION ONE OF THIS SECTION, EVEN IF SUCH CONDUCT HAS NOT BEEN OR MAY NOT
   49  BE  PROSECUTED UNDER THE CRIMINAL LAWS OF THIS STATE OR ANY OTHER JURIS-
   50  DICTION;
   51    (K) FLAGRANT DEFIANCE BY THE APPLICANT OR ANY PERSON WHO  IS  REQUIRED
   52  TO BE QUALIFIED UNDER THIS ARTICLE OF ANY LEGISLATIVE INVESTIGATORY BODY
   53  OR  OTHER  OFFICIAL  INVESTIGATORY  BODY  OF  ANY STATE OR OF THE UNITED
   54  STATES WHEN SUCH BODY IS ENGAGED IN THE INVESTIGATION OF CRIMES RELATING
   55  TO GAMING, OFFICIAL CORRUPTION, OR ORGANIZED CRIME ACTIVITY; AND
       S. 5883                            20                            A. 8101

    1    (L) FAILURE BY THE APPLICANT OR ANY PERSON REQUIRED  TO  BE  QUALIFIED
    2  UNDER THIS ARTICLE AS A CONDITION OF A LICENSE TO MAKE REQUIRED PAYMENTS
    3  IN  ACCORDANCE  WITH  A  CHILD  SUPPORT  ORDER, REPAY AN OVERPAYMENT FOR
    4  PUBLIC ASSISTANCE BENEFITS, OR REPAY ANY OTHER DEBT OWED  TO  THE  STATE
    5  UNLESS  SUCH APPLICANT PROVIDES PROOF TO THE EXECUTIVE DIRECTOR'S SATIS-
    6  FACTION OF PAYMENT OF OR ARRANGEMENT TO PAY  ANY  SUCH  DEBTS  PRIOR  TO
    7  LICENSURE.
    8    S  1319.  HEARINGS.  THE COMMISSION AND THE BOARD SHALL HAVE THE INDE-
    9  PENDENT AUTHORITY TO CONDUCT HEARINGS CONCERNING THE CONDUCT  OF  GAMING
   10  AND  APPLICANTS  FOR  GAMING  FACILITY  LICENSES  IN ACCORDANCE WITH ANY
   11  PROCEDURES SET FORTH IN THIS ARTICLE  AND  ANY  APPLICABLE  IMPLEMENTING
   12  REGULATIONS.
   13    S  1320. SITING EVALUATION.  IN DETERMINING WHETHER AN APPLICANT SHALL
   14  BE ELIGIBLE FOR A GAMING FACILITY LICENSE, THE BOARD SHALL EVALUATE  AND
   15  ISSUE  A FINDING OF HOW EACH APPLICANT PROPOSES TO ADVANCE THE FOLLOWING
   16  OBJECTIVES.
   17    1. THE DECISION BY THE BOARD  TO  SELECT  A  GAMING  FACILITY  LICENSE
   18  APPLICANT  SHALL BE WEIGHTED BY SEVENTY PERCENT BASED ON ECONOMIC ACTIV-
   19  ITY AND BUSINESS DEVELOPMENT FACTORS INCLUDING:
   20    (A) REALIZING MAXIMUM CAPITAL INVESTMENT EXCLUSIVE OF LAND ACQUISITION
   21  AND INFRASTRUCTURE IMPROVEMENTS;
   22    (B) MAXIMIZING REVENUES RECEIVED BY THE STATE AND LOCALITIES;
   23    (C) PROVIDING THE HIGHEST NUMBER OF QUALITY JOBS IN THE GAMING FACILI-
   24  TY;
   25    (D) BUILDING A GAMING FACILITY OF THE HIGHEST CALIBER WITH  A  VARIETY
   26  OF QUALITY AMENITIES TO BE INCLUDED AS PART OF THE GAMING FACILITY;
   27    (E)  OFFERING THE HIGHEST AND BEST VALUE TO PATRONS TO CREATE A SECURE
   28  AND ROBUST GAMING MARKET IN THE REGION AND THE STATE;
   29    (F) PROVIDING A MARKET ANALYSIS DETAILING THE  BENEFITS  OF  THE  SITE
   30  LOCATION  OF  THE  GAMING  FACILITY  AND THE ESTIMATED RECAPTURE RATE OF
   31  GAMING-RELATED SPENDING  BY  RESIDENTS  TRAVELLING  TO  AN  OUT-OF-STATE
   32  GAMING FACILITY;
   33    (G) OFFERING THE FASTEST TIME TO COMPLETION OF THE FULL GAMING FACILI-
   34  TY;
   35    (H)  DEMONSTRATING  THE  ABILITY TO FULLY FINANCE THE GAMING FACILITY;
   36  AND
   37    (I) DEMONSTRATING EXPERIENCE IN THE DEVELOPMENT  AND  OPERATION  OF  A
   38  QUALITY GAMING FACILITY.
   39    2.  THE  DECISION  BY  THE  BOARD  TO SELECT A GAMING FACILITY LICENSE
   40  APPLICANT SHALL BE WEIGHTED BY TWENTY PERCENT BASED ON LOCAL IMPACT  AND
   41  SITING FACTORS INCLUDING:
   42    (A)  MITIGATING  POTENTIAL  IMPACTS  ON HOST AND NEARBY MUNICIPALITIES
   43  WHICH MIGHT RESULT FROM THE  DEVELOPMENT  OR  OPERATION  OF  THE  GAMING
   44  FACILITY;
   45    (B) GAINING PUBLIC SUPPORT IN THE HOST AND NEARBY MUNICIPALITIES WHICH
   46  MAY  BE DEMONSTRATED THROUGH THE PASSAGE OF LOCAL LAWS OR PUBLIC COMMENT
   47  RECEIVED BY THE BOARD OR GAMING APPLICANT;
   48    (C) OPERATING IN PARTNERSHIP WITH AND PROMOTING LOCAL HOTELS,  RESTAU-
   49  RANTS AND RETAIL FACILITIES SO THAT PATRONS EXPERIENCE THE FULL DIVERSI-
   50  FIED REGIONAL TOURISM INDUSTRY; AND
   51    (D)  ESTABLISHING  A  FAIR AND REASONABLE PARTNERSHIP WITH LIVE ENTER-
   52  TAINMENT VENUES THAT MAY BE IMPACTED BY A GAMING  FACILITY  UNDER  WHICH
   53  THE  GAMING  FACILITY ACTIVELY SUPPORTS THE MISSION AND THE OPERATION OF
   54  THE IMPACTED ENTERTAINMENT VENUES.
       S. 5883                            21                            A. 8101

    1    3. THE DECISION BY THE BOARD  TO  SELECT  A  GAMING  FACILITY  LICENSE
    2  APPLICANT  SHALL  BE WEIGHTED BY TEN PERCENT BASED ON WORKFORCE ENHANCE-
    3  MENT FACTORS INCLUDING:
    4    (A) IMPLEMENTING A WORKFORCE DEVELOPMENT PLAN THAT UTILIZES THE EXIST-
    5  ING  LABOR  FORCE, INCLUDING THE ESTIMATED NUMBER OF CONSTRUCTION JOBS A
    6  PROPOSED GAMING FACILITY WILL GENERATE,  THE  DEVELOPMENT  OF  WORKFORCE
    7  TRAINING  PROGRAMS  THAT  SERVE THE UNEMPLOYED AND METHODS FOR ACCESSING
    8  EMPLOYMENT AT THE GAMING FACILITY;
    9    (B) TAKING ADDITIONAL MEASURES TO ADDRESS PROBLEM GAMBLING  INCLUDING,
   10  BUT  NOT  LIMITED  TO,  TRAINING OF GAMING EMPLOYEES TO IDENTIFY PATRONS
   11  EXHIBITING PROBLEMS WITH GAMBLING;
   12    (C) UTILIZING SUSTAINABLE DEVELOPMENT PRINCIPLES  INCLUDING,  BUT  NOT
   13  LIMITED TO:
   14    (1)  HAVING NEW AND RENOVATION CONSTRUCTION CERTIFIED UNDER THE APPRO-
   15  PRIATE CERTIFICATION CATEGORY IN THE LEADERSHIP IN ENERGY  AND  ENVIRON-
   16  MENTAL  DESIGN GREEN BUILDING RATING SYSTEM CREATED BY THE UNITED STATES
   17  GREEN BUILDING COUNCIL;
   18    (2) EFFORTS TO MITIGATE VEHICLE TRIPS;
   19    (3) EFFORTS TO CONSERVE WATER AND MANAGE STORM WATER;
   20    (4) DEMONSTRATING THAT ELECTRICAL AND HVAC  EQUIPMENT  AND  APPLIANCES
   21  WILL BE ENERGY STAR LABELED WHERE AVAILABLE;
   22    (5)  PROCURING  OR  GENERATING ON-SITE TEN PERCENT OF ITS ANNUAL ELEC-
   23  TRICITY CONSUMPTION FROM RENEWABLE SOURCES; AND
   24    (6) DEVELOPING AN ONGOING PLAN  TO  SUBMETER  AND  MONITOR  ALL  MAJOR
   25  SOURCES  OF ENERGY CONSUMPTION AND UNDERTAKE REGULAR EFFORTS TO MAINTAIN
   26  AND IMPROVE ENERGY EFFICIENCY OF BUILDINGS IN THEIR SYSTEMS;
   27    (D) ESTABLISHING, FUNDING AND MAINTAINING HUMAN  RESOURCE  HIRING  AND
   28  TRAINING PRACTICES THAT PROMOTE THE DEVELOPMENT OF A SKILLED AND DIVERSE
   29  WORKFORCE  AND  ACCESS  TO  PROMOTION  OPPORTUNITIES THROUGH A WORKFORCE
   30  TRAINING PROGRAM THAT:
   31    (1) ESTABLISHES TRANSPARENT  CAREER  PATHS  WITH  MEASURABLE  CRITERIA
   32  WITHIN  THE  GAMING  FACILITY  THAT LEAD TO INCREASED RESPONSIBILITY AND
   33  HIGHER PAY GRADES THAT ARE DESIGNED TO ALLOW EMPLOYEES TO PURSUE  CAREER
   34  ADVANCEMENT AND PROMOTION;
   35    (2)  PROVIDES EMPLOYEE ACCESS TO ADDITIONAL RESOURCES, SUCH AS TUITION
   36  REIMBURSEMENT OR STIPEND POLICIES, TO ENABLE EMPLOYEES  TO  ACQUIRE  THE
   37  EDUCATION  OR  JOB  TRAINING  NEEDED  TO  ADVANCE  CAREER PATHS BASED ON
   38  INCREASED RESPONSIBILITY AND PAY GRADES; AND
   39    (3) ESTABLISHES AN ON-SITE CHILD DAY CARE PROGRAM;
   40    (E) PURCHASING,  WHENEVER  POSSIBLE,  DOMESTICALLY  MANUFACTURED  SLOT
   41  MACHINES FOR INSTALLATION IN THE GAMING FACILITY;
   42    (F) IMPLEMENTING A WORKFORCE DEVELOPMENT PLAN THAT:
   43    (1) INCORPORATES AN AFFIRMATIVE ACTION PROGRAM OF EQUAL OPPORTUNITY BY
   44  WHICH THE APPLICANT GUARANTEES TO PROVIDE EQUAL EMPLOYMENT OPPORTUNITIES
   45  TO  ALL  EMPLOYEES QUALIFIED FOR LICENSURE IN ALL EMPLOYMENT CATEGORIES,
   46  INCLUDING PERSONS WITH DISABILITIES;
   47    (2) UTILIZES THE EXISTING LABOR FORCE IN THE STATE;
   48    (3) ESTIMATES THE NUMBER OF CONSTRUCTION JOBS A GAMING  FACILITY  WILL
   49  GENERATE  AND  PROVIDES  FOR  EQUAL  EMPLOYMENT  OPPORTUNITIES AND WHICH
   50  INCLUDES SPECIFIC GOALS FOR THE UTILIZATION  OF  MINORITIES,  WOMEN  AND
   51  VETERANS ON THOSE CONSTRUCTION JOBS;
   52    (4)  IDENTIFIES  WORKFORCE  TRAINING  PROGRAMS  OFFERED  BY THE GAMING
   53  FACILITY; AND
   54    (5) IDENTIFIES THE METHODS FOR  ACCESSING  EMPLOYMENT  AT  THE  GAMING
   55  FACILITY; AND
       S. 5883                            22                            A. 8101

    1    (G)  DEMONSTRATING  THAT THE APPLICANT HAS AN AGREEMENT WITH ORGANIZED
    2  LABOR, INCLUDING HOSPITALITY SERVICES, AND HAS THE SUPPORT OF  ORGANIZED
    3  LABOR FOR ITS APPLICATION, WHICH SPECIFIES:
    4    (1)  THE  NUMBER  OF  EMPLOYEES TO BE EMPLOYED AT THE GAMING FACILITY,
    5  INCLUDING DETAILED INFORMATION ON THE PAY RATE AND BENEFITS FOR  EMPLOY-
    6  EES  AND  CONTRACTORS  IN  THE  GAMING  FACILITY  AND ALL INFRASTRUCTURE
    7  IMPROVEMENTS RELATED TO THE PROJECT; AND
    8    (2) DETAILED PLANS FOR ASSURING LABOR HARMONY DURING ALL PHASES OF THE
    9  CONSTRUCTION, RECONSTRUCTION, RENOVATION, DEVELOPMENT AND  OPERATION  OF
   10  THE GAMING FACILITY.
   11    S 1321. INTENTIONALLY OMITTED.
   12                                   TITLE 3
   13                           OCCUPATIONAL LICENSING
   14  SECTION 1322. GENERAL PROVISIONS.
   15          1323. KEY EMPLOYEE LICENSES.
   16          1324. GAMING EMPLOYEE REGISTRATION.
   17          1325. APPROVAL,  DENIAL  AND  RENEWAL  OF  EMPLOYEE LICENSES AND
   18                  REGISTRATIONS.
   19    S 1322. GENERAL PROVISIONS.  1. IT SHALL BE THE AFFIRMATIVE  RESPONSI-
   20  BILITY  OF EACH APPLICANT OR LICENSEE TO ESTABLISH BY CLEAR AND CONVINC-
   21  ING EVIDENCE ITS INDIVIDUAL QUALIFICATIONS, AND FOR  A  GAMING  FACILITY
   22  LICENSE  THE  QUALIFICATIONS OF EACH PERSON WHO IS REQUIRED TO BE QUALI-
   23  FIED UNDER THIS ARTICLE.
   24    2. ANY APPLICANT, LICENSEE, REGISTRANT, OR ANY OTHER PERSON  WHO  MUST
   25  BE QUALIFIED PURSUANT TO THIS ARTICLE SHALL PROVIDE ALL LEGALLY REQUIRED
   26  INFORMATION  AND  SATISFY ALL LAWFUL REQUESTS FOR INFORMATION PERTAINING
   27  TO QUALIFICATION AND IN THE FORM SPECIFIED  BY  REGULATION.  ALL  APPLI-
   28  CANTS, REGISTRANTS, AND LICENSEES SHALL WAIVE LIABILITY AS TO THE STATE,
   29  AND ITS INSTRUMENTALITIES AND AGENTS, FOR ANY DAMAGES RESULTING FROM ANY
   30  DISCLOSURE OR PUBLICATION IN ANY MANNER, OTHER THAN A WILLFULLY UNLAWFUL
   31  DISCLOSURE  OR  PUBLICATION,  OF  ANY  MATERIAL  OR INFORMATION ACQUIRED
   32  DURING INQUIRIES, INVESTIGATIONS OR HEARINGS.
   33    3. ALL APPLICANTS, LICENSEES, REGISTRANTS, INTERMEDIARY COMPANIES, AND
   34  HOLDING COMPANIES SHALL CONSENT TO INSPECTIONS,  SEARCHES  AND  SEIZURES
   35  WHILE AT A GAMING FACILITY AND THE SUPPLYING OF HANDWRITING EXEMPLARS AS
   36  AUTHORIZED BY THIS ARTICLE AND REGULATIONS PROMULGATED HEREUNDER.
   37    4.  ALL  APPLICANTS,  LICENSEES, REGISTRANTS, AND ANY OTHER PERSON WHO
   38  SHALL BE QUALIFIED PURSUANT TO THIS ARTICLE SHALL  HAVE  THE  CONTINUING
   39  DUTY  TO  PROVIDE  ANY ASSISTANCE OR INFORMATION REQUIRED BY THE COMMIS-
   40  SION,  AND  TO  COOPERATE  IN  ANY  INQUIRY,  INVESTIGATION  OR  HEARING
   41  CONDUCTED  BY  THE COMMISSION.  IF, UPON ISSUANCE OF A FORMAL REQUEST TO
   42  ANSWER OR PRODUCE INFORMATION, EVIDENCE  OR  TESTIMONY,  ANY  APPLICANT,
   43  LICENSEE,  REGISTRANT, OR ANY OTHER PERSON WHO SHALL BE QUALIFIED PURSU-
   44  ANT TO THIS ARTICLE REFUSES TO COMPLY, THE APPLICATION, LICENSE,  REGIS-
   45  TRATION OR QUALIFICATION OF SUCH PERSON MAY BE DENIED OR REVOKED.
   46    5.  EACH  APPLICANT OR PERSON WHO MUST BE QUALIFIED UNDER THIS ARTICLE
   47  SHALL BE PHOTOGRAPHED AND FINGERPRINTED FOR IDENTIFICATION AND  INVESTI-
   48  GATION PURPOSES IN ACCORDANCE WITH PROCEDURES SET FORTH BY REGULATION.
   49    6.  ALL  LICENSEES, ALL REGISTRANTS, AND ALL OTHER PERSONS REQUIRED TO
   50  BE QUALIFIED UNDER THIS ARTICLE SHALL HAVE A DUTY TO INFORM THE  COMMIS-
   51  SION  OF  ANY  ACTION WHICH THEY BELIEVE WOULD CONSTITUTE A VIOLATION OF
   52  THIS ARTICLE. NO PERSON WHO SO INFORMS THE COMMISSION SHALL BE DISCRIMI-
   53  NATED AGAINST BY AN APPLICANT, LICENSEE OR  REGISTRANT  BECAUSE  OF  THE
   54  SUPPLYING OF SUCH INFORMATION.
   55    S  1323. KEY EMPLOYEE LICENSES.  1. NO LICENSEE OR A HOLDING OR INTER-
   56  MEDIARY COMPANY OF A LICENSEE MAY EMPLOY ANY  PERSON  AS  A  CASINO  KEY
       S. 5883                            23                            A. 8101

    1  EMPLOYEE  UNLESS THE PERSON IS THE HOLDER OF A VALID CASINO KEY EMPLOYEE
    2  LICENSE ISSUED BY THE COMMISSION.
    3    2. EACH APPLICANT FOR A CASINO KEY EMPLOYEE LICENSE MUST, PRIOR TO THE
    4  ISSUANCE  OF  ANY  CASINO  KEY  EMPLOYEE  LICENSE,  PRODUCE INFORMATION,
    5  DOCUMENTATION AND  ASSURANCES  CONCERNING  THE  FOLLOWING  QUALIFICATION
    6  CRITERIA:
    7    (A)  EACH  APPLICANT  FOR  A CASINO KEY EMPLOYEE LICENSE SHALL PRODUCE
    8  SUCH INFORMATION,  DOCUMENTATION  AND  ASSURANCES  AS  MAY  BE  LAWFULLY
    9  REQUIRED  TO  ESTABLISH  BY  CLEAR AND CONVINCING EVIDENCE THE FINANCIAL
   10  STABILITY, INTEGRITY AND RESPONSIBILITY OF THE APPLICANT, INCLUDING  BUT
   11  NOT  LIMITED  TO  BANK  REFERENCES,  BUSINESS  AND  PERSONAL  INCOME AND
   12  DISBURSEMENTS SCHEDULES,  TAX  RETURNS  AND  OTHER  REPORTS  FILED  WITH
   13  GOVERNMENTAL  AGENCIES,  AND  BUSINESS AND PERSONAL ACCOUNTING AND CHECK
   14  RECORDS AND LEDGERS.   IN ADDITION, EACH APPLICANT  SHALL,  IN  WRITING,
   15  AUTHORIZE  THE  EXAMINATION  OF  ALL BANK ACCOUNTS AND RECORDS AS MAY BE
   16  DEEMED NECESSARY BY THE COMMISSION.
   17    (B) EACH APPLICANT FOR A CASINO KEY  EMPLOYEE  LICENSE  SHALL  PRODUCE
   18  SUCH  INFORMATION,  DOCUMENTATION  AND  ASSURANCES AS MAY BE REQUIRED TO
   19  ESTABLISH BY CLEAR AND CONVINCING EVIDENCE THE APPLICANT'S GOOD  CHARAC-
   20  TER, HONESTY AND INTEGRITY. SUCH INFORMATION SHALL INCLUDE DATA PERTAIN-
   21  ING  TO FAMILY, HABITS, CHARACTER, REPUTATION, CRIMINAL HISTORY INFORMA-
   22  TION, BUSINESS ACTIVITIES, FINANCIAL AFFAIRS, AND BUSINESS, PROFESSIONAL
   23  AND PERSONAL ASSOCIATES, COVERING AT LEAST THE  TEN  YEAR  PERIOD  IMME-
   24  DIATELY  PRECEDING  THE FILING OF THE APPLICATION.  EACH APPLICANT SHALL
   25  NOTIFY THE COMMISSION OF  ANY  CIVIL  JUDGMENTS  OBTAINED  AGAINST  SUCH
   26  APPLICANT  PERTAINING  TO  ANTITRUST  OR SECURITY REGULATION LAWS OF THE
   27  FEDERAL GOVERNMENT, OF THIS STATE OR OF ANY OTHER  STATE,  JURISDICTION,
   28  PROVINCE  OR COUNTRY. IN ADDITION, EACH APPLICANT SHALL, UPON REQUEST OF
   29  THE COMMISSION, PRODUCE LETTERS OF REFERENCE FROM LAW ENFORCEMENT  AGEN-
   30  CIES HAVING JURISDICTION IN THE APPLICANT'S PLACE OF RESIDENCE AND PRIN-
   31  CIPAL  PLACE OF BUSINESS, WHICH LETTERS OF REFERENCE SHALL INDICATE THAT
   32  SUCH LAW ENFORCEMENT AGENCIES  DO  NOT  HAVE  ANY  PERTINENT  NON-SEALED
   33  INFORMATION  CONCERNING THE APPLICANT, OR IF SUCH LAW ENFORCEMENT AGENCY
   34  DOES HAVE SUCH INFORMATION PERTAINING TO THE  APPLICANT,  SHALL  SPECIFY
   35  WHAT  THAT  INFORMATION  IS.  IF  THE APPLICANT HAS BEEN ASSOCIATED WITH
   36  GAMING OPERATIONS IN ANY CAPACITY, POSITION OR EMPLOYMENT IN A JURISDIC-
   37  TION WHICH PERMITS SUCH ACTIVITY, THE APPLICANT SHALL, UPON  REQUEST  OF
   38  THE COMMISSION, PRODUCE LETTERS OF REFERENCE FROM THE GAMING ENFORCEMENT
   39  OR  CONTROL  AGENCY,  WHICH  SHALL SPECIFY THE EXPERIENCE OF SUCH AGENCY
   40  WITH THE APPLICANT, HIS OR HER ASSOCIATES AND HIS OR  HER  PARTICIPATION
   41  IN  THE  GAMING OPERATIONS OF THAT JURISDICTION; PROVIDED, HOWEVER, THAT
   42  IF NO SUCH LETTERS ARE RECEIVED FROM  THE  APPROPRIATE  LAW  ENFORCEMENT
   43  AGENCIES  WITHIN  SIXTY  DAYS  OF  THE APPLICANT'S REQUEST THEREFOR, THE
   44  APPLICANT MAY SUBMIT A STATEMENT UNDER OATH THAT HE OR  SHE  IS  OR  WAS
   45  DURING  THE  PERIOD SUCH ACTIVITIES WERE CONDUCTED IN GOOD STANDING WITH
   46  SUCH GAMING ENFORCEMENT OR CONTROL AGENCY.
   47    (C) EACH APPLICANT EMPLOYED BY A GAMING FACILITY LICENSEE SHALL  BE  A
   48  RESIDENT  OF  THE  STATE  PRIOR TO THE ISSUANCE OF A CASINO KEY EMPLOYEE
   49  LICENSE; PROVIDED, HOWEVER, THAT  UPON  PETITION  BY  THE  HOLDER  OF  A
   50  LICENSE,  THE  COMMISSION  MAY  WAIVE THIS RESIDENCY REQUIREMENT FOR ANY
   51  APPLICANT WHOSE PARTICULAR POSITION WILL  REQUIRE  HIM  TO  BE  EMPLOYED
   52  OUTSIDE  THE STATE; AND PROVIDED FURTHER THAT NO APPLICANT EMPLOYED BY A
   53  HOLDING OR INTERMEDIARY COMPANY OF  A  LICENSEE  SHALL  BE  REQUIRED  TO
   54  ESTABLISH RESIDENCY IN THIS STATE.
   55    (D)  FOR  THE PURPOSES OF THIS SECTION, EACH APPLICANT SHALL SUBMIT TO
   56  THE COMMISSION THE APPLICANT'S NAME, ADDRESS, FINGERPRINTS  AND  WRITTEN
       S. 5883                            24                            A. 8101

    1  CONSENT  FOR  A CRIMINAL HISTORY INFORMATION AS DEFINED IN PARAGRAPH (C)
    2  OF SUBDIVISION ONE OF SECTION EIGHT HUNDRED FORTY-FIVE-B OF  THE  EXECU-
    3  TIVE  LAW,  TO  BE  PERFORMED.  THE  COMMISSION  IS HEREBY AUTHORIZED TO
    4  EXCHANGE  FINGERPRINT  DATA  WITH  AND  RECEIVE  CRIMINAL HISTORY RECORD
    5  INFORMATION FROM THE STATE DIVISION OF CRIMINAL JUSTICE SERVICES AND THE
    6  FEDERAL BUREAU OF INVESTIGATION CONSISTENT  WITH  APPLICABLE  STATE  AND
    7  FEDERAL LAWS, RULES AND REGULATIONS. THE APPLICANT SHALL PAY THE FEE FOR
    8  SUCH  CRIMINAL  HISTORY  INFORMATION  AS ESTABLISHED PURSUANT TO ARTICLE
    9  THIRTY-FIVE OF THE EXECUTIVE  LAW.    THE  STATE  DIVISION  OF  CRIMINAL
   10  JUSTICE  SERVICES  SHALL  PROMPTLY  NOTIFY THE COMMISSION IN THE EVENT A
   11  CURRENT OR PROSPECTIVE LICENSEE, WHO WAS THE SUBJECT  OF  SUCH  CRIMINAL
   12  HISTORY INFORMATION PURSUANT TO THIS SECTION, IS ARRESTED FOR A CRIME OR
   13  OFFENSE IN THIS STATE AFTER THE DATE THE CHECK WAS PERFORMED.
   14    3.  THE  COMMISSION  SHALL  DENY  A CASINO KEY EMPLOYEE LICENSE TO ANY
   15  APPLICANT WHO IS DISQUALIFIED ON THE BASIS OF THE CRITERIA CONTAINED  IN
   16  SECTION  ONE  THOUSAND  THREE HUNDRED EIGHTEEN OF THIS TITLE, SUBJECT TO
   17  NOTICE AND HEARING.
   18    4. UPON RECEIPT OF SUCH CRIMINAL HISTORY INFORMATION,  THE  COMMISSION
   19  SHALL PROVIDE SUCH APPLICANT WITH A COPY OF SUCH CRIMINAL HISTORY INFOR-
   20  MATION, TOGETHER WITH A COPY OF ARTICLE TWENTY-THREE-A OF THE CORRECTION
   21  LAW, AND INFORM SUCH APPLICANT OF HIS OR HER RIGHT TO SEEK CORRECTION OF
   22  ANY INCORRECT INFORMATION CONTAINED IN SUCH CRIMINAL HISTORY INFORMATION
   23  PURSUANT  TO  REGULATIONS  AND PROCEDURES ESTABLISHED BY THE DIVISION OF
   24  CRIMINAL JUSTICE SERVICES. EXCEPT AS OTHERWISE  PROVIDED  BY  LAW,  SUCH
   25  CRIMINAL  HISTORY  INFORMATION  SHALL BE CONFIDENTIAL AND ANY PERSON WHO
   26  WILLFULLY PERMITS THE RELEASE  OF  SUCH  CONFIDENTIAL  CRIMINAL  HISTORY
   27  INFORMATION  TO  PERSONS NOT PERMITTED TO RECEIVE SUCH INFORMATION SHALL
   28  BE GUILTY OF A MISDEMEANOR.
   29    5. UPON PETITION BY THE HOLDER OF A LICENSE, THE COMMISSION MAY  ISSUE
   30  A  TEMPORARY  LICENSE TO AN APPLICANT FOR A CASINO KEY EMPLOYEE LICENSE,
   31  PROVIDED THAT:
   32    (A) THE APPLICANT FOR THE CASINO KEY  EMPLOYEE  LICENSE  HAS  FILED  A
   33  COMPLETED APPLICATION AS REQUIRED BY THE COMMISSION;
   34    (B)  THE  PETITION  FOR A TEMPORARY CASINO KEY EMPLOYEE LICENSE CERTI-
   35  FIES, AND THE COMMISSION FINDS, THAT AN  EXISTING  CASINO  KEY  EMPLOYEE
   36  POSITION  OF THE PETITIONER IS VACANT OR WILL BECOME VACANT WITHIN SIXTY
   37  DAYS OF THE DATE OF THE PETITION AND THAT THE ISSUANCE  OF  A  TEMPORARY
   38  KEY  EMPLOYEE  LICENSE IS NECESSARY TO FILL THE SAID VACANCY ON AN EMER-
   39  GENCY BASIS TO CONTINUE THE EFFICIENT OPERATION OF THE CASINO, AND  THAT
   40  SUCH  CIRCUMSTANCES ARE EXTRAORDINARY AND NOT DESIGNED TO CIRCUMVENT THE
   41  NORMAL LICENSING PROCEDURES OF THIS ARTICLE;
   42    6. UNLESS OTHERWISE TERMINATED PURSUANT TO THIS ARTICLE, ANY TEMPORARY
   43  CASINO KEY EMPLOYEE LICENSE ISSUED PURSUANT TO THIS SECTION SHALL EXPIRE
   44  NINE MONTHS FROM THE DATE OF ITS ISSUANCE.
   45    S 1324. GAMING EMPLOYEE REGISTRATION.    1.  NO  PERSON  MAY  COMMENCE
   46  EMPLOYMENT AS A GAMING EMPLOYEE UNLESS SUCH PERSON HAS A VALID REGISTRA-
   47  TION  ON  FILE WITH THE COMMISSION, WHICH REGISTRATION SHALL BE PREPARED
   48  AND FILED IN ACCORDANCE WITH THE REGULATIONS PROMULGATED HEREUNDER.
   49    2. A GAMING EMPLOYEE REGISTRANT SHALL PRODUCE SUCH INFORMATION AS  THE
   50  COMMISSION BY REGULATION MAY REQUIRE.  SUBSEQUENT TO THE REGISTRATION OF
   51  A GAMING EMPLOYEE, THE EXECUTIVE DIRECTOR MAY REVOKE, SUSPEND, LIMIT, OR
   52  OTHERWISE  RESTRICT  THE REGISTRATION UPON A FINDING THAT THE REGISTRANT
   53  IS DISQUALIFIED ON THE BASIS OF THE CRITERIA CONTAINED  IN  SECTION  ONE
   54  THOUSAND  THREE  HUNDRED  EIGHTEEN OF THIS TITLE.   IF A GAMING EMPLOYEE
   55  REGISTRANT HAS NOT BEEN EMPLOYED IN ANY POSITION WITHIN A GAMING FACILI-
       S. 5883                            25                            A. 8101

    1  TY FOR A PERIOD OF THREE YEARS, THE REGISTRATION OF THAT GAMING EMPLOYEE
    2  SHALL LAPSE.
    3    3.   NO GAMING EMPLOYEE REGISTRATION SHALL BE DENIED OR REVOKED ON THE
    4  BASIS OF A MISDEMEANOR CONVICTION OF ANY OF THE OFFENSES  ENUMERATED  IN
    5  THIS  ARTICLE  AS DISQUALIFICATION CRITERIA OR THE COMMISSION OF ANY ACT
    6  OR ACTS WHICH WOULD CONSTITUTE ANY OFFENSE UNDER  SECTION  ONE  THOUSAND
    7  THREE  HUNDRED  EIGHTEEN OF THIS TITLE, PROVIDED THAT THE REGISTRANT HAS
    8  AFFIRMATIVELY DEMONSTRATED THE REGISTRANT'S REHABILITATION, PURSUANT  TO
    9  ARTICLE TWENTY-THREE-A OF THE CORRECTION LAW.
   10    4.  FOR  THE PURPOSES OF THIS SECTION, EACH REGISTRANT SHALL SUBMIT TO
   11  THE COMMISSION THE REGISTRANT'S NAME, ADDRESS, FINGERPRINTS AND  WRITTEN
   12  CONSENT  FOR A CRIMINAL HISTORY INFORMATION TO BE PERFORMED. THE COMMIS-
   13  SION IS HEREBY AUTHORIZED TO EXCHANGE FINGERPRINT DATA WITH AND  RECEIVE
   14  CRIMINAL  HISTORY INFORMATION AS DEFINED IN PARAGRAPH (C) OF SUBDIVISION
   15  ONE OF SECTION EIGHT HUNDRED FORTY-FIVE-B OF THE EXECUTIVE LAW FROM  THE
   16  STATE  DIVISION  OF  CRIMINAL JUSTICE SERVICES AND THE FEDERAL BUREAU OF
   17  INVESTIGATION CONSISTENT WITH APPLICABLE STATE AND FEDERAL  LAWS,  RULES
   18  AND  REGULATIONS.  THE  REGISTRANT  SHALL  PAY THE FEE FOR SUCH CRIMINAL
   19  HISTORY INFORMATION AS ESTABLISHED PURSUANT TO  ARTICLE  THIRTY-FIVE  OF
   20  THE  EXECUTIVE  LAW.    THE  STATE DIVISION OF CRIMINAL JUSTICE SERVICES
   21  SHALL PROMPTLY NOTIFY THE COMMISSION IN THE EVENT A CURRENT OR  PROSPEC-
   22  TIVE  LICENSEE,  WHO  WAS  THE SUBJECT OF A CRIMINAL HISTORY INFORMATION
   23  PURSUANT TO THIS SECTION, IS ARRESTED FOR A CRIME  OR  OFFENSE  IN  THIS
   24  STATE AFTER THE DATE THE CHECK WAS PERFORMED.
   25    5.  UPON  RECEIPT OF SUCH CRIMINAL HISTORY INFORMATION, THE COMMISSION
   26  SHALL PROVIDE SUCH APPLICANT WITH A COPY OF SUCH CRIMINAL HISTORY INFOR-
   27  MATION, TOGETHER WITH A COPY OF ARTICLE TWENTY-THREE-A OF THE CORRECTION
   28  LAW, AND INFORM SUCH APPLICANT OF HIS OR HER RIGHT TO SEEK CORRECTION OF
   29  ANY INCORRECT INFORMATION CONTAINED IN SUCH CRIMINAL HISTORY INFORMATION
   30  PURSUANT TO REGULATIONS AND PROCEDURES ESTABLISHED BY  THE  DIVISION  OF
   31  CRIMINAL  JUSTICE  SERVICES.  EXCEPT  AS OTHERWISE PROVIDED BY LAW, SUCH
   32  CRIMINAL HISTORY INFORMATION SHALL BE CONFIDENTIAL AND  ANY  PERSON  WHO
   33  WILLFULLY  PERMITS  THE  RELEASE  OF  SUCH CONFIDENTIAL CRIMINAL HISTORY
   34  INFORMATION TO PERSONS NOT PERMITTED TO RECEIVE SUCH  INFORMATION  SHALL
   35  BE GUILTY OF A MISDEMEANOR.
   36    S  1325.  APPROVAL, DENIAL AND RENEWAL OF EMPLOYEE LICENSES AND REGIS-
   37  TRATIONS.  1. UPON THE FILING OF AN APPLICATION FOR A CASINO KEY EMPLOY-
   38  EE LICENSE OR GAMING EMPLOYEE REGISTRATION REQUIRED BY THIS ARTICLE  AND
   39  AFTER  SUBMISSION OF SUCH SUPPLEMENTAL INFORMATION AS THE COMMISSION MAY
   40  REQUIRE, THE COMMISSION SHALL CONDUCT OR  CAUSE  TO  BE  CONDUCTED  SUCH
   41  INVESTIGATION  INTO  THE QUALIFICATION OF THE APPLICANT, AND THE COMMIS-
   42  SION SHALL CONDUCT SUCH HEARINGS CONCERNING  THE  QUALIFICATION  OF  THE
   43  APPLICANT,  IN  ACCORDANCE  WITH ITS REGULATIONS, AS MAY BE NECESSARY TO
   44  DETERMINE QUALIFICATION FOR SUCH LICENSE.
   45    2. AFTER SUCH INVESTIGATION, THE COMMISSION MAY EITHER DENY THE APPLI-
   46  CATION OR GRANT A LICENSE TO AN APPLICANT WHOM IT DETERMINES TO BE QUAL-
   47  IFIED TO HOLD SUCH LICENSE.
   48    3. THE COMMISSION SHALL HAVE THE AUTHORITY  TO  DENY  ANY  APPLICATION
   49  PURSUANT TO THE PROVISIONS OF THIS ARTICLE FOLLOWING NOTICE AND OPPORTU-
   50  NITY FOR HEARING.
   51    4. WHEN THE COMMISSION GRANTS AN APPLICATION, THE COMMISSION MAY LIMIT
   52  OR  PLACE  SUCH  RESTRICTIONS  THEREUPON AS IT MAY DEEM NECESSARY IN THE
   53  PUBLIC INTEREST.
   54    5. AFTER AN APPLICATION FOR A CASINO KEY EMPLOYEE LICENSE  IS  SUBMIT-
   55  TED,  FINAL  ACTION  OF THE COMMISSION SHALL BE TAKEN WITHIN NINETY DAYS
       S. 5883                            26                            A. 8101

    1  AFTER COMPLETION OF ALL HEARINGS AND INVESTIGATIONS AND THE  RECEIPT  OF
    2  ALL INFORMATION REQUIRED BY THE COMMISSION.
    3    6.  LICENSES  AND  REGISTRATIONS  OF  CASINO  KEY EMPLOYEES AND GAMING
    4  EMPLOYEES ISSUED PURSUANT TO THIS ARTICLE SHALL REMAIN  VALID  FOR  FIVE
    5  YEARS UNLESS SUSPENDED, REVOKED OR VOIDED PURSUANT TO LAW. SUCH LICENSES
    6  AND REGISTRATIONS MAY BE RENEWED BY THE HOLDER THEREOF UPON APPLICATION,
    7  ON  A  FORM  PRESCRIBED BY THE COMMISSION, AND PAYMENT OF THE APPLICABLE
    8  FEE.  NOTWITHSTANDING THE FORGOING, IF A GAMING EMPLOYEE REGISTRANT  HAS
    9  NOT  BEEN EMPLOYED IN ANY POSITION WITHIN A GAMING FACILITY FOR A PERIOD
   10  OF THREE YEARS, THE REGISTRATION OF THAT GAMING EMPLOYEE SHALL LAPSE.
   11    8. THE COMMISSION SHALL ESTABLISH BY REGULATION APPROPRIATE FEES TO BE
   12  PAID UPON THE FILING OF THE REQUIRED APPLICATIONS. SUCH  FEES  SHALL  BE
   13  DEPOSITED INTO THE COMMERCIAL GAMING REVENUE FUND.
   14                                   TITLE 4
   15              ENTERPRISE AND VENDOR LICENSING AND REGISTRATION
   16  SECTION 1326. LICENSING OF VENDOR ENTERPRISES.
   17          1327. DURATION AND RENEWAL OF VENDOR REGISTRATION.
   18          1328. JUNKET OPERATOR LICENSING.
   19          1329. LOBBYIST REGISTRATION.
   20          1330. REGISTRATION OF LABOR ORGANIZATIONS.
   21          1330-A. CASINO GAMING EXPENDITURES.
   22    S  1326.  LICENSING  OF  VENDOR  ENTERPRISES.    1. ANY BUSINESS TO BE
   23  CONDUCTED WITH A GAMING FACILITY  APPLICANT  OR  LICENSEE  BY  A  VENDOR
   24  OFFERING  GOODS  OR  SERVICES  WHICH DIRECTLY RELATE TO GAMING ACTIVITY,
   25  INCLUDING GAMING  EQUIPMENT  MANUFACTURERS,  SUPPLIERS,  REPAIRERS,  AND
   26  INDEPENDENT  TESTING  LABORATORIES, SHALL BE LICENSED AS A CASINO VENDOR
   27  ENTERPRISE IN ACCORDANCE WITH THE PROVISIONS OF THIS  ARTICLE  PRIOR  TO
   28  CONDUCTING  ANY  BUSINESS WHATSOEVER WITH A GAMING FACILITY APPLICANT OR
   29  LICENSEE, ITS EMPLOYEES OR AGENTS; PROVIDED, HOWEVER, THAT UPON A  SHOW-
   30  ING OF GOOD CAUSE BY A GAMING FACILITY APPLICANT OR LICENSEE, THE EXECU-
   31  TIVE  DIRECTOR  MAY  PERMIT  AN APPLICANT FOR A CASINO VENDOR ENTERPRISE
   32  LICENSE TO CONDUCT  BUSINESS  TRANSACTIONS  WITH  SUCH  GAMING  FACILITY
   33  APPLICANT  OR  LICENSEE  PRIOR  TO  THE  LICENSURE OF THAT CASINO VENDOR
   34  ENTERPRISE APPLICANT UNDER THIS SUBDIVISION  FOR  SUCH  PERIODS  AS  THE
   35  COMMISSION MAY ESTABLISH BY REGULATION.
   36    2. IN ADDITION TO THE REQUIREMENTS OF SUBDIVISION ONE OF THIS SECTION,
   37  ANY CASINO VENDOR ENTERPRISE INTENDING TO MANUFACTURE, SELL, DISTRIBUTE,
   38  TEST  OR  REPAIR  SLOT  MACHINES  WITHIN  THE STATE SHALL BE LICENSED IN
   39  ACCORDANCE WITH THE PROVISIONS OF THIS ARTICLE PRIOR TO ENGAGING IN  ANY
   40  SUCH ACTIVITIES; PROVIDED, HOWEVER, THAT UPON A SHOWING OF GOOD CAUSE BY
   41  A  GAMING  FACILITY  APPLICANT  OR  LICENSEE, THE EXECUTIVE DIRECTOR MAY
   42  PERMIT AN APPLICANT FOR A CASINO VENDOR ENTERPRISE  LICENSE  TO  CONDUCT
   43  BUSINESS  TRANSACTIONS  WITH  THE  GAMING FACILITY APPLICANT OR LICENSEE
   44  PRIOR TO THE LICENSURE OF THAT CASINO VENDOR ENTERPRISE APPLICANT  UNDER
   45  THIS  SUBDIVISION  FOR  SUCH  PERIODS AS THE COMMISSION MAY ESTABLISH BY
   46  REGULATION; AND PROVIDED FURTHER, HOWEVER, THAT UPON A SHOWING  OF  GOOD
   47  CAUSE  BY AN APPLICANT REQUIRED TO BE LICENSED AS A CASINO VENDOR ENTER-
   48  PRISE PURSUANT TO THIS SUBDIVISION, THE EXECUTIVE  DIRECTOR  MAY  PERMIT
   49  THE  CASINO  VENDOR  ENTERPRISE APPLICANT TO INITIATE THE MANUFACTURE OF
   50  SLOT MACHINES OR ENGAGE IN THE SALE, DISTRIBUTION, TESTING OR REPAIR  OF
   51  SLOT  MACHINES WITH ANY PERSON OTHER THAN A GAMING FACILITY APPLICANT OR
   52  LICENSEE, ITS EMPLOYEES OR AGENTS, PRIOR TO THE LICENSURE OF THAT CASINO
   53  VENDOR ENTERPRISE APPLICANT UNDER THIS SUBDIVISION.
   54    3. VENDORS PROVIDING GOODS AND SERVICES TO GAMING  FACILITY  LICENSEES
   55  OR APPLICANTS ANCILLARY TO GAMING SHALL BE REQUIRED TO BE LICENSED AS AN
       S. 5883                            27                            A. 8101

    1  ANCILLARY  CASINO  VENDOR ENTERPRISE AND SHALL COMPLY WITH THE STANDARDS
    2  FOR CASINO VENDOR LICENSE APPLICANTS.
    3    4.  EACH  CASINO VENDOR ENTERPRISE REQUIRED TO BE LICENSED PURSUANT TO
    4  SUBDIVISION ONE OF THIS SECTION, AS WELL AS ITS OWNERS;  MANAGEMENT  AND
    5  SUPERVISORY PERSONNEL; AND EMPLOYEES IF SUCH EMPLOYEES HAVE RESPONSIBIL-
    6  ITY FOR SERVICES TO A GAMING FACILITY APPLICANT OR LICENSEE, MUST QUALI-
    7  FY  UNDER THE STANDARDS, EXCEPT RESIDENCY, ESTABLISHED FOR QUALIFICATION
    8  OF A CASINO KEY EMPLOYEE UNDER THIS ARTICLE.
    9    5. ANY VENDOR THAT OFFERS GOODS  OR  SERVICES  TO  A  GAMING  FACILITY
   10  APPLICANT  OR LICENSEE THAT IS NOT INCLUDED IN SUBDIVISION ONE OR TWO OF
   11  THIS SECTION INCLUDING, BUT NOT LIMITED TO SITE CONTRACTORS AND  SUBCON-
   12  TRACTORS,  SHOPKEEPERS  LOCATED WITHIN THE FACILITY, GAMING SCHOOLS THAT
   13  POSSESS SLOT MACHINES FOR THE PURPOSE OF INSTRUCTION, AND ANY NON-SUPER-
   14  VISORY EMPLOYEE OF A JUNKET ENTERPRISE LICENSED UNDER SUBDIVISION  THREE
   15  OF  THIS  SECTION,  SHALL BE REQUIRED TO REGISTER WITH THE COMMISSION IN
   16  ACCORDANCE WITH THE REGULATIONS PROMULGATED UNDER THIS ARTICLE.
   17    NOTWITHSTANDING THE PROVISIONS AFOREMENTIONED, THE EXECUTIVE  DIRECTOR
   18  MAY,  CONSISTENT WITH THE PUBLIC INTEREST AND THE POLICIES OF THIS ARTI-
   19  CLE, DIRECT THAT INDIVIDUAL VENDORS REGISTERED PURSUANT TO THIS SUBDIVI-
   20  SION BE REQUIRED TO APPLY FOR EITHER A CASINO VENDOR ENTERPRISE  LICENSE
   21  PURSUANT  TO  SUBDIVISION  ONE  OF  THIS SECTION, OR AN ANCILLARY VENDOR
   22  INDUSTRY ENTERPRISE  LICENSE  PURSUANT  TO  SUBDIVISION  THREE  OF  THIS
   23  SECTION,  AS DIRECTED BY THE COMMISSION. THE EXECUTIVE DIRECTOR MAY ALSO
   24  ORDER THAT ANY ENTERPRISE LICENSED AS OR REQUIRED TO BE LICENSED  AS  AN
   25  ANCILLARY CASINO VENDOR ENTERPRISE PURSUANT TO SUBDIVISION THREE OF THIS
   26  SECTION  BE  REQUIRED  TO  APPLY  FOR A CASINO VENDOR ENTERPRISE LICENSE
   27  PURSUANT TO SUBDIVISION ONE OF THIS SECTION.  THE EXECUTIVE DIRECTOR MAY
   28  ALSO, IN HIS OR HER  DISCRETION,  ORDER  THAT  AN  INDEPENDENT  SOFTWARE
   29  CONTRACTOR  NOT OTHERWISE REQUIRED TO BE REGISTERED BE EITHER REGISTERED
   30  AS A VENDOR PURSUANT TO THIS SUBDIVISION  OR  BE  LICENSED  PURSUANT  TO
   31  EITHER SUBDIVISION ONE OR THREE OF THIS SECTION.
   32    EACH ANCILLARY CASINO VENDOR ENTERPRISE REQUIRED TO BE LICENSED PURSU-
   33  ANT TO SUBDIVISION THREE OF THIS SECTION, AS WELL AS ITS OWNERS, MANAGE-
   34  MENT  AND  SUPERVISORY  PERSONNEL,  AND EMPLOYEES IF SUCH EMPLOYEES HAVE
   35  RESPONSIBILITY FOR SERVICES TO A GAMING FACILITY APPLICANT OR  LICENSEE,
   36  SHALL ESTABLISH THEIR GOOD CHARACTER, HONESTY AND INTEGRITY BY CLEAR AND
   37  CONVINCING  EVIDENCE AND SHALL PROVIDE SUCH FINANCIAL INFORMATION AS MAY
   38  BE REQUIRED BY THE COMMISSION.  ANY ENTERPRISE REQUIRED TO  BE  LICENSED
   39  AS  AN ANCILLARY CASINO VENDOR ENTERPRISE PURSUANT TO THIS SECTION SHALL
   40  BE PERMITTED TO TRANSACT BUSINESS WITH A GAMING FACILITY  LICENSEE  UPON
   41  FILING  OF  THE APPROPRIATE VENDOR REGISTRATION FORM AND APPLICATION FOR
   42  SUCH LICENSURE.
   43    6. ANY APPLICANT, LICENSEE OR QUALIFIER OF A CASINO VENDOR  ENTERPRISE
   44  LICENSE OR OF AN ANCILLARY CASINO VENDOR ENTERPRISE LICENSE UNDER SUBDI-
   45  VISION  ONE OF THIS SECTION, AND ANY VENDOR REGISTRANT UNDER SUBDIVISION
   46  FIVE OF THIS SECTION SHALL BE DISQUALIFIED IN ACCORDANCE WITH THE CRITE-
   47  RIA CONTAINED IN SECTION ONE THOUSAND THREE  HUNDRED  EIGHTEEN  OF  THIS
   48  ARTICLE,  EXCEPT THAT NO SUCH ANCILLARY CASINO VENDOR ENTERPRISE LICENSE
   49  UNDER SUBDIVISION THREE OF THIS SECTION  OR  VENDOR  REGISTRATION  UNDER
   50  SUBDIVISION  FIVE  OF  THIS  SECTION  SHALL BE DENIED OR REVOKED IF SUCH
   51  VENDOR REGISTRANT CAN AFFIRMATIVELY DEMONSTRATE REHABILITATION  PURSUANT
   52  TO ARTICLE TWENTY-THREE-A OF THE CORRECTION LAW.
   53    7.  NO  CASINO  VENDOR  ENTERPRISE  LICENSE OR ANCILLARY CASINO VENDOR
   54  ENTERPRISE LICENSE SHALL BE ISSUED PURSUANT TO SUBDIVISION ONE  OF  THIS
   55  SECTION  TO  ANY  PERSON UNLESS THAT PERSON SHALL PROVIDE PROOF OF VALID
   56  BUSINESS REGISTRATION WITH THE DEPARTMENT OF STATE.
       S. 5883                            28                            A. 8101

    1    8. FOR THE PURPOSES OF THIS SECTION, EACH APPLICANT  SHALL  SUBMIT  TO
    2  THE COMMISSION THE NAME, ADDRESS, FINGERPRINTS AND A WRITTEN CONSENT FOR
    3  A CRIMINAL HISTORY INFORMATION TO BE PERFORMED, FOR EACH PERSON REQUIRED
    4  TO  QUALIFY AS PART OF THE APPLICATION. THE COMMISSION IS HEREBY AUTHOR-
    5  IZED  TO  EXCHANGE  FINGERPRINT  DATA  WITH AND RECEIVE CRIMINAL HISTORY
    6  RECORD INFORMATION FROM THE STATE DIVISION OF CRIMINAL JUSTICE  SERVICES
    7  AND THE FEDERAL BUREAU OF INVESTIGATION CONSISTENT WITH APPLICABLE STATE
    8  AND FEDERAL LAWS, RULES AND REGULATIONS. THE APPLICANT SHALL PAY THE FEE
    9  FOR SUCH CRIMINAL HISTORY INFORMATION AS ESTABLISHED PURSUANT TO ARTICLE
   10  THIRTY-FIVE  OF  THE  EXECUTIVE  LAW.    THE  STATE DIVISION OF CRIMINAL
   11  JUSTICE SERVICES SHALL PROMPTLY NOTIFY THE COMMISSION  IN  THE  EVENT  A
   12  CURRENT  OR  PROSPECTIVE  QUALIFIER,  WHO  WAS THE SUBJECT OF A CRIMINAL
   13  HISTORY RECORD CHECK PURSUANT TO THIS SECTION, IS ARRESTED FOR  A  CRIME
   14  OR OFFENSE IN THIS STATE AFTER THE DATE THE CHECK WAS PERFORMED.
   15    9.  SUBSEQUENT  TO THE LICENSURE OF ANY ENTITY PURSUANT TO SUBDIVISION
   16  ONE OF THIS SECTION, INCLUDING ANY FINDING OF QUALIFICATION  AS  MAY  BE
   17  REQUIRED  AS A CONDITION OF LICENSURE, OR THE REGISTRATION OF ANY VENDOR
   18  PURSUANT TO SUBDIVISION THREE OF THIS SECTION,  THE  EXECUTIVE  DIRECTOR
   19  MAY REVOKE, SUSPEND, LIMIT, OR OTHERWISE RESTRICT THE LICENSE, REGISTRA-
   20  TION  OR  QUALIFICATION  STATUS UPON A FINDING THAT THE LICENSEE, REGIS-
   21  TRANT OR QUALIFIER IS DISQUALIFIED ON THE  BASIS  OF  THE  CRITERIA  SET
   22  FORTH IN SECTION ONE THOUSAND THREE HUNDRED EIGHTEEN OF THIS ARTICLE.
   23    10.  AFTER  NOTICE AND HEARING PRIOR TO THE SUSPENSION OF ANY LICENSE,
   24  REGISTRATION OR QUALIFICATION ISSUED PURSUANT TO  SUBDIVISION  SEVEN  OF
   25  THIS  SECTION  THE  COMMISSION  SHALL  HAVE  THE  OBLIGATION TO PROVE BY
   26  SUBSTANTIAL EVIDENCE THAT  THE  LICENSEE,  REGISTRANT  OR  QUALIFIER  IS
   27  DISQUALIFIED ON THE BASIS OF THE CRITERIA SET FORTH IN SECTION ONE THOU-
   28  SAND THREE HUNDRED EIGHTEEN OF THIS ARTICLE.
   29    S  1327.  DURATION  AND  RENEWAL OF VENDOR REGISTRATION.   1. A CASINO
   30  VENDOR REGISTRATION SHALL BE EFFECTIVE UPON ISSUANCE, AND  SHALL  REMAIN
   31  VALID  FOR FIVE YEARS UNLESS REVOKED, SUSPENDED, VOIDED BY LAW, LIMITED,
   32  OR OTHERWISE RESTRICTED BY THE COMMISSION.   SUCH REGISTRATIONS  MAY  BE
   33  RENEWED  BY THE HOLDER THEREOF UPON APPLICATION, ON A FORM PRESCRIBED BY
   34  THE COMMISSION, AND PAYMENT OF THE APPLICABLE FEE.  NOTWITHSTANDING  THE
   35  FOREGOING,  IF  A  VENDOR  REGISTRANT  HAS NOT CONDUCTED BUSINESS WITH A
   36  GAMING FACILITY FOR A PERIOD OF THREE YEARS, THE  REGISTRATION  OF  THAT
   37  VENDOR REGISTRANT SHALL LAPSE.
   38    2.  THE COMMISSION SHALL ESTABLISH BY REGULATION REASONABLE AND APPRO-
   39  PRIATE FEES TO BE IMPOSED ON EACH VENDOR REGISTRANT WHO  PROVIDES  GOODS
   40  OR  SERVICES  TO  A  GAMING  FACILITY,  REGARDLESS  OF THE NATURE OF ANY
   41  CONTRACTUAL RELATIONSHIP BETWEEN THE VENDOR REGISTRANT AND GAMING FACIL-
   42  ITY, IF ANY. SUCH FEES SHALL BE PAID TO THE COMMISSION.
   43    S 1328. JUNKET OPERATOR LICENSING.  1. NO JUNKETS MAY BE ORGANIZED  OR
   44  PERMITTED  EXCEPT  IN ACCORDANCE WITH THE PROVISIONS OF THIS ARTICLE. NO
   45  PERSON MAY ACT AS A JUNKET REPRESENTATIVE OR JUNKET ENTERPRISE EXCEPT IN
   46  ACCORDANCE WITH THIS SECTION.
   47    2. A JUNKET REPRESENTATIVE EMPLOYED BY A GAMING FACILITY LICENSEE,  AN
   48  APPLICANT  FOR  A  GAMING  FACILITY  LICENSE OR AN AFFILIATE OF A GAMING
   49  FACILITY LICENSEE SHALL BE LICENSED AS A CASINO KEY EMPLOYEE;  PROVIDED,
   50  HOWEVER,  THAT  SAID  LICENSEE  NEED NOT BE A RESIDENT OF THIS STATE. NO
   51  GAMING FACILITY LICENSEE OR APPLICANT FOR A GAMING FACILITY LICENSE  MAY
   52  EMPLOY  OR  OTHERWISE  ENGAGE  A  JUNKET  REPRESENTATIVE  WHO  IS NOT SO
   53  LICENSED.
   54    3. JUNKET ENTERPRISES THAT, AND JUNKET REPRESENTATIVES NOT EMPLOYED BY
   55  A GAMING FACILITY LICENSEE OR AN APPLICANT FOR A GAMING FACILITY LICENSE
   56  OR BY A JUNKET ENTERPRISE WHO, ENGAGE IN  ACTIVITIES  GOVERNED  BY  THIS
       S. 5883                            29                            A. 8101

    1  SECTION  SHALL  BE  LICENSED AS AN ANCILLARY CASINO VENDOR ENTERPRISE IN
    2  ACCORDANCE WITH SUBDIVISION THREE OF SECTION ONE THOUSAND THREE  HUNDRED
    3  TWENTY-SIX  OF  THIS TITLE, UNLESS OTHERWISE DIRECTED BY THE COMMISSION;
    4  PROVIDED,  HOWEVER,  THAT ANY SUCH JUNKET ENTERPRISE OR JUNKET REPRESEN-
    5  TATIVE WHO HAS DISQUALIFIED SHALL BE ENTITLED TO ESTABLISH  HIS  OR  HER
    6  REHABILITATION   FROM   SUCH   DISQUALIFICATION   PURSUANT   TO  ARTICLE
    7  TWENTY-THREE-A OF THE CORRECTION LAW.  ANY NON-SUPERVISORY EMPLOYEE OF A
    8  JUNKET ENTERPRISE OR JUNKET  REPRESENTATIVE  LICENSED  AS  AN  ANCILLARY
    9  CASINO VENDOR ENTERPRISE IN ACCORDANCE WITH SUBDIVISION THREE OF SECTION
   10  ONE THOUSAND THREE HUNDRED TWENTY-SIX OF THIS TITLE SHALL BE REGISTERED.
   11    4.  PRIOR  TO THE ISSUANCE OF ANY LICENSE REQUIRED BY THIS SECTION, AN
   12  APPLICANT FOR LICENSURE SHALL SUBMIT TO THE JURISDICTION  OF  THE  STATE
   13  AND  SHALL  DEMONSTRATE THAT HE OR SHE IS AMENABLE TO SERVICE OF PROCESS
   14  WITHIN THIS STATE. FAILURE TO ESTABLISH OR MAINTAIN COMPLIANCE WITH  THE
   15  REQUIREMENTS  OF  THIS SUBDIVISION SHALL CONSTITUTE SUFFICIENT CAUSE FOR
   16  THE DENIAL, SUSPENSION OR REVOCATION OF ANY LICENSE ISSUED  PURSUANT  TO
   17  THIS SECTION.
   18    5. UPON PETITION BY THE HOLDER OF A GAMING FACILITY LICENSE, AN APPLI-
   19  CANT  FOR  A  CASINO  KEY EMPLOYEE LICENSE INTENDING TO BE EMPLOYED AS A
   20  JUNKET REPRESENTATIVE MAY BE ISSUED A TEMPORARY LICENSE BY  THE  COMMIS-
   21  SION IN ACCORDANCE WITH REGULATIONS PROMULGATED, PROVIDED THAT:
   22    (A)  THE  APPLICANT  FOR  LICENSURE  IS  EMPLOYED BY A GAMING FACILITY
   23  LICENSEE; AND
   24    (B) THE APPLICANT FOR LICENSURE HAS FILED A COMPLETED  APPLICATION  AS
   25  REQUIRED BY THE COMMISSION.
   26    6.  THE  COMMISSION  SHALL  HAVE THE AUTHORITY TO IMMEDIATELY SUSPEND,
   27  LIMIT OR  CONDITION  ANY  TEMPORARY  LICENSE  ISSUED  PURSUANT  TO  THIS
   28  SECTION, PENDING A HEARING ON THE QUALIFICATIONS OF THE JUNKET REPRESEN-
   29  TATIVE.
   30    7.  UNLESS OTHERWISE TERMINATED, ANY TEMPORARY LICENSE ISSUED PURSUANT
   31  TO THIS SECTION SHALL EXPIRE TWELVE MONTHS FROM THE DATE  OF  ITS  ISSU-
   32  ANCE,  AND  SHALL  BE RENEWABLE BY THE COMMISSION FOR ONE ADDITIONAL SIX
   33  MONTH PERIOD.
   34    8. EVERY AGREEMENT CONCERNING JUNKETS ENTERED INTO BY A GAMING FACILI-
   35  TY LICENSEE AND A JUNKET REPRESENTATIVE OR JUNKET  ENTERPRISE  SHALL  BE
   36  DEEMED  TO  INCLUDE A PROVISION FOR ITS TERMINATION WITHOUT LIABILITY ON
   37  THE PART OF THE GAMING FACILITY LICENSEE, IF THE COMMISSION  ORDERS  THE
   38  TERMINATION  UPON  THE  SUSPENSION,  LIMITATION, CONDITIONING, DENIAL OR
   39  REVOCATION OF THE LICENSURE  OF  THE  JUNKET  REPRESENTATIVE  OR  JUNKET
   40  ENTERPRISE.  FAILURE TO EXPRESSLY INCLUDE SUCH A CONDITION IN THE AGREE-
   41  MENT SHALL NOT CONSTITUTE A DEFENSE IN ANY ACTION BROUGHT  TO  TERMINATE
   42  THE AGREEMENT.
   43    9.  A GAMING FACILITY LICENSEE SHALL BE RESPONSIBLE FOR THE CONDUCT OF
   44  ANY JUNKET REPRESENTATIVE OR JUNKET ENTERPRISE ASSOCIATED  WITH  IT  AND
   45  FOR  THE  TERMS AND CONDITIONS OF ANY JUNKET ENGAGED IN ON ITS PREMISES,
   46  REGARDLESS OF THE FACT THAT THE JUNKET MAY INVOLVE PERSONS NOT  EMPLOYED
   47  BY SUCH A GAMING FACILITY LICENSEE.
   48    10.  A GAMING FACILITY LICENSEE SHALL BE RESPONSIBLE FOR ANY VIOLATION
   49  OR DEVIATION FROM THE TERMS  OF  A  JUNKET.  NOTWITHSTANDING  ANY  OTHER
   50  PROVISIONS  OF  THIS  ARTICLE,  THE  COMMISSION MAY ORDER RESTITUTION TO
   51  JUNKET PARTICIPANTS, ASSESS PENALTIES FOR SUCH VIOLATIONS OR DEVIATIONS,
   52  PROHIBIT FUTURE JUNKETS BY THE GAMING FACILITY LICENSEE,  JUNKET  ENTER-
   53  PRISE  OR  JUNKET  REPRESENTATIVE,  AND  ORDER SUCH FURTHER RELIEF AS IT
   54  DEEMS APPROPRIATE.
   55    11. THE COMMISSION SHALL, BY REGULATION, PRESCRIBE METHODS, PROCEDURES
   56  AND FORMS FOR THE DELIVERY AND RETENTION OF INFORMATION  CONCERNING  THE
       S. 5883                            30                            A. 8101

    1  CONDUCT  OF  JUNKETS BY GAMING FACILITY LICENSEES. WITHOUT LIMITATION OF
    2  THE FOREGOING, EACH GAMING FACILITY LICENSEE,  IN  ACCORDANCE  WITH  THE
    3  RULES OF THE COMMISSION, SHALL:
    4    (A)  MAINTAIN  ON FILE A REPORT DESCRIBING THE OPERATION OF ANY JUNKET
    5  ENGAGED IN ON ITS PREMISES; AND
    6    (B) SUBMIT TO THE COMMISSION A LIST  OF  ALL  ITS  EMPLOYEES  WHO  ARE
    7  ACTING AS JUNKET REPRESENTATIVES.
    8    12.  EACH  GAMING  FACILITY  LICENSEE, JUNKET REPRESENTATIVE OR JUNKET
    9  ENTERPRISE SHALL, IN ACCORDANCE WITH THE RULES OF THE COMMISSION, FILE A
   10  REPORT WITH THE COMMISSION WITH RESPECT TO EACH LIST OF  JUNKET  PATRONS
   11  OR  POTENTIAL  JUNKET  PATRONS  PURCHASED  DIRECTLY OR INDIRECTLY BY THE
   12  GAMING FACILITY LICENSEE, JUNKET REPRESENTATIVE OR ENTERPRISE.
   13    13. THE COMMISSION SHALL HAVE THE AUTHORITY TO  DETERMINE,  EITHER  BY
   14  REGULATION, OR UPON PETITION BY THE HOLDER OF A GAMING FACILITY LICENSE,
   15  THAT  A  TYPE OF ARRANGEMENT OTHERWISE INCLUDED WITHIN THE DEFINITION OF
   16  "JUNKET" SHALL NOT REQUIRE COMPLIANCE WITH ANY OR ALL  OF  THE  REQUIRE-
   17  MENTS  OF  THIS  SECTION.  IN  GRANTING EXEMPTIONS, THE COMMISSION SHALL
   18  CONSIDER SUCH FACTORS AS THE NATURE,  VOLUME  AND  SIGNIFICANCE  OF  THE
   19  PARTICULAR  TYPE  OF  ARRANGEMENT,  AND  WHETHER  THE EXEMPTION WOULD BE
   20  CONSISTENT WITH THE PUBLIC POLICIES  ESTABLISHED  BY  THIS  ARTICLE.  IN
   21  APPLYING  THE  PROVISIONS OF THIS SUBDIVISION, THE COMMISSION MAY CONDI-
   22  TION, LIMIT, OR RESTRICT ANY EXEMPTION AS IT MAY DEEM APPROPRIATE.
   23    14. NO JUNKET ENTERPRISE OR JUNKET REPRESENTATIVE OR PERSON ACTING  AS
   24  A JUNKET REPRESENTATIVE MAY:
   25    (A)  ENGAGE  IN EFFORTS TO COLLECT UPON CHECKS THAT HAVE BEEN RETURNED
   26  BY BANKS WITHOUT FULL AND FINAL PAYMENT;
   27    (B) EXERCISE APPROVAL AUTHORITY WITH REGARD TO  THE  AUTHORIZATION  OR
   28  ISSUANCE OF CREDIT;
   29    (C)  ACT  ON BEHALF OF OR UNDER ANY ARRANGEMENT WITH A GAMING FACILITY
   30  LICENSEE OR A GAMING PATRON  WITH  REGARD  TO  THE  REDEMPTION,  CONSOL-
   31  IDATION, OR SUBSTITUTION OF THE GAMING PATRON'S CHECKS AWAITING DEPOSIT;
   32    (D) INDIVIDUALLY RECEIVE OR RETAIN ANY FEE FROM A PATRON FOR THE PRIV-
   33  ILEGE OF PARTICIPATING IN A JUNKET; AND
   34    (E)  PAY FOR ANY SERVICES, INCLUDING TRANSPORTATION, OR OTHER ITEMS OF
   35  VALUE PROVIDED TO, OR FOR THE BENEFIT OF, ANY PATRON PARTICIPATING IN  A
   36  JUNKET.
   37    S  1329.  LOBBYIST REGISTRATION.  1. FOR PURPOSES OF THIS SECTION, THE
   38  TERMS "LOBBYIST", "LOBBYING", "LOBBYING ACTIVITIES" AND  "CLIENT"  SHALL
   39  HAVE THE SAME MEANING AS THOSE TERMS ARE DEFINED BY SECTION ONE-C OF THE
   40  LEGISLATIVE LAW.
   41    2.  IN  ADDITION  TO  ANY OTHER REGISTRATION AND REPORTING REQUIRED BY
   42  LAW, EACH LOBBYIST SEEKING TO ENGAGE IN LOBBYING ACTIVITY ON BEHALF OF A
   43  CLIENT OR A CLIENT'S INTEREST BEFORE THE COMMISSION SHALL FIRST REGISTER
   44  WITH THE SECRETARY OF THE COMMISSION. THE SECRETARY SHALL CAUSE A REGIS-
   45  TRATION TO BE AVAILABLE ON THE COMMISSION'S WEBSITE WITHIN FIVE DAYS  OF
   46  SUBMISSION.
   47    S  1330. REGISTRATION OF LABOR ORGANIZATIONS.  1. EACH LABOR ORGANIZA-
   48  TION, UNION OR AFFILIATE SEEKING TO REPRESENT EMPLOYEES WHO ARE EMPLOYED
   49  IN A GAMING FACILITY BY A GAMING FACILITY LICENSEE SHALL  REGISTER  WITH
   50  THE  COMMISSION  BIENNIALLY,  AND SHALL DISCLOSE SUCH INFORMATION AS THE
   51  COMMISSION MAY REQUIRE, INCLUDING THE NAMES OF ALL AFFILIATED  ORGANIZA-
   52  TIONS,  PENSION  AND WELFARE SYSTEMS AND ALL OFFICERS AND AGENTS OF SUCH
   53  ORGANIZATIONS AND SYSTEMS; PROVIDED, HOWEVER, THAT  NO  LABOR  ORGANIZA-
   54  TION,  UNION, OR AFFILIATE SHALL BE REQUIRED TO FURNISH SUCH INFORMATION
   55  TO THE EXTENT SUCH INFORMATION IS INCLUDED IN  A  REPORT  FILED  BY  ANY
   56  LABOR  ORGANIZATION,  UNION,  OR  AFFILIATE  WITH THE SECRETARY OF LABOR
       S. 5883                            31                            A. 8101

    1  PURSUANT TO 29 U.S.C. S 431 ET SEQ. OR S 1001 ET SEQ. IF A COPY OF  SUCH
    2  REPORT,  OR  OF  THE  PORTION  THEREOF  CONTAINING  SUCH INFORMATION, IS
    3  FURNISHED  TO  THE  COMMISSION  PURSUANT  TO   THE   AFORESAID   FEDERAL
    4  PROVISIONS. THE COMMISSION MAY IN ITS DISCRETION EXEMPT ANY LABOR ORGAN-
    5  IZATION,  UNION, OR AFFILIATE FROM THE REGISTRATION REQUIREMENTS OF THIS
    6  SUBDIVISION WHERE THE COMMISSION FINDS THAT SUCH ORGANIZATION, UNION  OR
    7  AFFILIATE IS NOT THE CERTIFIED BARGAINING REPRESENTATIVE OF ANY EMPLOYEE
    8  WHO  IS  EMPLOYED IN A GAMING FACILITY BY A GAMING FACILITY LICENSEE, IS
    9  NOT INVOLVED ACTIVELY, DIRECTLY  OR  SUBSTANTIALLY  IN  THE  CONTROL  OR
   10  DIRECTION OF THE REPRESENTATION OF ANY SUCH EMPLOYEE, AND IS NOT SEEKING
   11  TO DO SO.
   12    2.  NO  PERSON MAY ACT AS AN OFFICER, AGENT OR PRINCIPAL EMPLOYEE OF A
   13  LABOR ORGANIZATION, UNION OR AFFILIATE  REGISTERED  OR  REQUIRED  TO  BE
   14  REGISTERED  PURSUANT  TO  THIS  SECTION  IF  THE  PERSON  HAS BEEN FOUND
   15  DISQUALIFIED BY THE COMMISSION IN ACCORDANCE WITH THE CRITERIA CONTAINED
   16  IN SECTION ONE THOUSAND THREE HUNDRED EIGHTEEN OF  THIS  ARTICLE.    THE
   17  COMMISSION  MAY,  FOR  PURPOSES OF THIS SUBDIVISION, WAIVE ANY DISQUALI-
   18  FICATION CRITERION CONSISTENT WITH THE PUBLIC POLICY OF THIS ARTICLE AND
   19  UPON A FINDING THAT THE INTERESTS OF JUSTICE SO REQUIRE.
   20    3. NEITHER A LABOR ORGANIZATION, UNION OR AFFILIATE NOR  ITS  OFFICERS
   21  AND  AGENTS NOT OTHERWISE INDIVIDUALLY LICENSED OR REGISTERED UNDER THIS
   22  ARTICLE AND EMPLOYED BY A GAMING FACILITY LICENSEE MAY HOLD  ANY  FINAN-
   23  CIAL  INTEREST  WHATSOEVER  IN  THE  GAMING  FACILITY OR GAMING FACILITY
   24  LICENSEE WHOSE EMPLOYEES THEY REPRESENT.
   25    4. THE COMMISSION MAY MAINTAIN A CIVIL ACTION AND PROCEED IN A SUMMARY
   26  MANNER, WITHOUT POSTING BOND, AGAINST ANY PERSON,  INCLUDING  ANY  LABOR
   27  ORGANIZATION,  UNION  OR  AFFILIATE,  TO  COMPEL  COMPLIANCE  WITH  THIS
   28  SECTION, OR TO PREVENT ANY VIOLATIONS, THE AIDING AND ABETTING  THEREOF,
   29  OR ANY ATTEMPT OR CONSPIRACY TO VIOLATE THIS SECTION.
   30    5. IN ADDITION TO ANY OTHER REMEDIES PROVIDED IN THIS SECTION, A LABOR
   31  ORGANIZATION, UNION OR AFFILIATE REGISTERED OR REQUIRED TO BE REGISTERED
   32  PURSUANT  TO  THIS  SECTION  MAY  BE  PROHIBITED  BY THE COMMISSION FROM
   33  RECEIVING ANY DUES FROM ANY EMPLOYEE LICENSED OR REGISTERED  UNDER  THIS
   34  ARTICLE  AND EMPLOYED BY A GAMING FACILITY LICENSEE OR ITS AGENT, IF ANY
   35  OFFICER, AGENT OR PRINCIPAL EMPLOYEE OF THE LABOR ORGANIZATION, UNION OR
   36  AFFILIATE HAS BEEN FOUND DISQUALIFIED AND IF SUCH  DISQUALIFICATION  HAS
   37  NOT  BEEN WAIVED BY THE COMMISSION IN ACCORDANCE WITH SUBDIVISION TWO OF
   38  THIS SECTION.
   39    S 1330-A. CASINO GAMING EXPENDITURES. 1.  (A) IN ADDITION TO ANY OTHER
   40  REGISTRATION OR REPORTING REQUIRED BY LAW,  ANY  ENTITY  LICENSED  UNDER
   41  SECTION SIXTEEN HUNDRED SEVENTEEN-A OF THE TAX LAW, OR WHICH POSSESSES A
   42  PARI-MUTUEL  WAGERING  LICENSE  OR FRANCHISE AWARDED PURSUANT TO ARTICLE
   43  TWO OR THREE OF THIS CHAPTER THAT MAKES AN EXPENDITURE OF MORE THAN  ONE
   44  THOUSAND DOLLARS FOR ANY WRITTEN, TYPED, OR OTHER PRINTED COMMUNICATION,
   45  OR ANY INTERNET-BASED COMMUNICATION, OR ANY TELEVISION OR RADIO COMMUNI-
   46  CATION, OR ANY AUTOMATED OR PAID TELEPHONE COMMUNICATIONS, IN SUPPORT OR
   47  OPPOSITION TO ANY REFERENDUM AUTHORIZED BY THE STATE LEGISLATURE FOLLOW-
   48  ING SECOND PASSAGE OF A CONCURRENT RESOLUTION TO AMEND THE STATE CONSTI-
   49  TUTION  TO  PERMIT  OR AUTHORIZE CASINO GAMING TO A GENERAL PUBLIC AUDI-
   50  ENCE, SHALL FILE ANY REPORTS  REQUIRED  PURSUANT  TO  THE  ELECTION  LAW
   51  SIMULTANEOUSLY  WITH  THE GAMING COMMISSION AND SHALL PROVIDE SUCH ADDI-
   52  TIONAL REPORTS AS REQUIRED BY THE GAMING  COMMISSION.  THIS  REQUIREMENT
   53  SHALL  APPLY  IRRESPECTIVE OF WHETHER SUCH ENTITY MAKES SUCH EXPENDITURE
   54  DIRECTLY OR INDIRECTLY VIA ONE OR MORE PERSONS.  THE  GAMING  COMMISSION
   55  SHALL  PROMULGATE  REGULATIONS  TO  IMPLEMENT  THE  REQUIREMENTS OF THIS
   56  SECTION.
       S. 5883                            32                            A. 8101

    1    (B)  CASINO  GAMING  EXPENDITURES  DO  NOT  INCLUDE  EXPENDITURES   IN
    2  CONNECTION WITH:
    3    (I)  A  WRITTEN  NEWS STORY, COMMENTARY, OR EDITORIAL OR A NEWS STORY,
    4  COMMENTARY, OR EDITORIAL  DISTRIBUTED  THROUGH  THE  FACILITIES  OF  ANY
    5  BROADCASTING  STATION,  CABLE  OR  SATELLITE  UNLESS SUCH PUBLICATION OR
    6  FACILITIES ARE OWNED OR CONTROLLED DIRECTLY OR INDIRECTLY BY THE  PERSON
    7  MAKING SUCH EXPENDITURE; OR
    8    (II)  A  COMMUNICATION  PUBLISHED ON THE INTERNET, UNLESS THE COMMUNI-
    9  CATION IS A PAID ADVERTISEMENT.
   10    (C) FOR PURPOSES OF THIS SECTION, THE TERM "PERSON" SHALL MEAN PERSON,
   11  GROUP OF PERSONS, CORPORATION,  UNINCORPORATED  BUSINESS  ENTITY,  LABOR
   12  ORGANIZATION OR BUSINESS, TRADE OR PROFESSIONAL ASSOCIATION OR ORGANIZA-
   13  TION, OR POLITICAL COMMITTEE.
   14    (D)  A  KNOWING OR WILLFUL VIOLATION OF THE PROVISIONS OF THIS SECTION
   15  SHALL SUBJECT THE PERSON TO A CIVIL PENALTY EQUAL TO UP TO  ONE  HUNDRED
   16  THOUSAND DOLLARS OR THE COST OF THE COMMUNICATION, WHICHEVER IS GREATER,
   17  IMPOSED BY THE GAMING COMMISSION FOR EACH VIOLATION.
   18    2. A COPY OF ALL COMMUNICATIONS PAID FOR BY THE CASINO GAMING EXPENDI-
   19  TURE,  INCLUDING BUT NOT LIMITED TO BROADCAST, CABLE OR SATELLITE SCHED-
   20  ULES  AND  SCRIPTS,  ADVERTISEMENTS,   PAMPHLETS,   CIRCULARS,   FLYERS,
   21  BROCHURES, LETTERHEADS AND OTHER PRINTED MATTER AND STATEMENTS OR INFOR-
   22  MATION  CONVEYED  TO  ONE  THOUSAND  OR MORE MEMBERS OF A GENERAL PUBLIC
   23  AUDIENCE SHALL BE FILED WITH THE GAMING COMMISSION WITH  THE  STATEMENTS
   24  REQUIRED THIS ARTICLE.
   25                                   TITLE 5
   26              REQUIREMENTS FOR CONDUCT AND OPERATION OF GAMING
   27  SECTION 1331. OPERATION CERTIFICATE.
   28          1332. AGE FOR GAMING PARTICIPATION.
   29          1333. HOURS OF OPERATION.
   30          1334. INTERNAL CONTROLS.
   31          1335. GAMES AND GAMING EQUIPMENT.
   32          1336. CERTAIN WAGERING PROHIBITED.
   33          1337. GRATUITIES.
   34          1338. LIMITATION ON CERTAIN FINANCIAL ACCESS.
   35          1339. CREDIT.
   36          1340. ALCOHOLIC BEVERAGES.
   37          1341. LICENSEE LEASES AND CONTRACTS.
   38          1342. REQUIRED EXCLUSION OF CERTAIN PERSONS.
   39          1343. EXCLUSION, EJECTION OF CERTAIN PERSONS.
   40          1344. LIST OF PERSONS SELF-EXCLUDED FROM GAMING ACTIVITIES.
   41          1345. EXCLUDED PERSON; FORFEITURE OF WINNINGS; OTHER SANCTIONS.
   42          1346. LABOR PEACE AGREEMENTS FOR CERTAIN FACILITIES
   43    S  1331.  OPERATION CERTIFICATE.  1. NOTWITHSTANDING THE ISSUANCE OF A
   44  LICENSE THEREFOR, NO GAMING FACILITY MAY BE OPENED OR REMAIN OPEN TO THE
   45  PUBLIC, AND NO  GAMING  ACTIVITY,  EXCEPT  FOR  TEST  PURPOSES,  MAY  BE
   46  CONDUCTED  THEREIN,  UNLESS  AND UNTIL A VALID OPERATION CERTIFICATE HAS
   47  BEEN ISSUED TO THE GAMING FACILITY  LICENSEE  BY  THE  COMMISSION.  SUCH
   48  CERTIFICATE  SHALL  BE  ISSUED BY THE EXECUTIVE DIRECTOR UPON A DETERMI-
   49  NATION THAT A GAMING FACILITY COMPLIES IN ALL RESPECTS WITH THE REQUIRE-
   50  MENTS OF THIS ARTICLE AND REGULATIONS PROMULGATED  HEREUNDER,  AND  THAT
   51  THE GAMING FACILITY IS PREPARED IN ALL RESPECTS TO RECEIVE AND ENTERTAIN
   52  THE PUBLIC.
   53    2.  AN  OPERATION  CERTIFICATE SHALL REMAIN IN FORCE AND EFFECT UNLESS
   54  REVOKED, SUSPENDED, LIMITED, OR OTHERWISE ALTERED BY THE  COMMISSION  IN
   55  ACCORDANCE WITH THIS ARTICLE.
       S. 5883                            33                            A. 8101

    1    3.  IT SHALL BE AN EXPRESS CONDITION OF CONTINUED OPERATION UNDER THIS
    2  ARTICLE THAT A GAMING FACILITY LICENSEE SHALL MAINTAIN EITHER  ELECTRON-
    3  ICALLY  OR  IN HARD COPY AT THE DISCRETION OF THE GAMING FACILITY LICEN-
    4  SEE, COPIES OF ALL BOOKS,  RECORDS,  AND  DOCUMENTS  PERTAINING  TO  THE
    5  LICENSEE'S  OPERATIONS  AND  APPROVED  HOTEL  IN  A  MANNER AND LOCATION
    6  APPROVED BY THE COMMISSION, PROVIDED, HOWEVER,  THAT  THE  ORIGINALS  OF
    7  SUCH  BOOKS,  RECORDS  AND DOCUMENTS, WHETHER IN ELECTRONIC OR HARD COPY
    8  FORM, MAY BE MAINTAINED AT THE OFFICES OR ELECTRONIC SYSTEM OF AN AFFIL-
    9  IATE OF THE GAMING FACILITY LICENSEE, AT THE DISCRETION  OF  THE  GAMING
   10  FACILITY LICENSEE.  ALL SUCH BOOKS, RECORDS AND DOCUMENTS SHALL BE IMME-
   11  DIATELY  AVAILABLE  FOR  INSPECTION  DURING  ALL  HOURS  OF OPERATION IN
   12  ACCORDANCE WITH THE RULES OF THE COMMISSION AND SHALL BE MAINTAINED  FOR
   13  SUCH PERIOD OF TIME AS THE COMMISSION SHALL REQUIRE.
   14    S  1332.  AGE FOR GAMING PARTICIPATION.  1. NO PERSON UNDER THE AGE AT
   15  WHICH A PERSON IS AUTHORIZED TO PURCHASE AND CONSUME ALCOHOLIC BEVERAGES
   16  SHALL ENTER, OR WAGER IN, A LICENSED GAMING FACILITY; PROVIDED, HOWEVER,
   17  THAT SUCH A PERSON MAY ENTER A GAMING FACILITY  BY  WAY  OF  PASSAGE  TO
   18  ANOTHER ROOM, AND PROVIDED FURTHER, HOWEVER, THAT ANY SUCH PERSON WHO IS
   19  LICENSED  OR REGISTERED UNDER THE PROVISIONS OF THIS ARTICLE MAY ENTER A
   20  GAMING FACILITY IN THE REGULAR COURSE OF THE PERSON'S  PERMITTED  ACTIV-
   21  ITIES.
   22    2. ANY PERSON DISQUALIFIED PURSUANT TO SUBDIVISION ONE OF THIS SECTION
   23  ENTITLED  TO  FUNDS, CASH OR PRIZES FROM GAMBLING ACTIVITY SHALL FORFEIT
   24  SAME.  SUCH FORFEITED FUNDS, CASH OR PRIZES SHALL  BE  REMITTED  TO  THE
   25  COMMISSION AND DEPOSITED INTO THE COMMERCIAL GAMING REVENUE FUND.
   26    S 1333. HOURS OF OPERATION.  1. EACH GAMING FACILITY LICENSED PURSUANT
   27  TO  THIS  ARTICLE  SHALL BE PERMITTED TO OPERATE TWENTY-FOUR HOURS A DAY
   28  UNLESS OTHERWISE DIRECTED BY THE COMMISSION.
   29    2. A GAMING FACILITY LICENSEE SHALL FILE WITH THE COMMISSION A  SCHED-
   30  ULE  OF HOURS PRIOR TO THE ISSUANCE OF AN INITIAL OPERATION CERTIFICATE.
   31  IF THE GAMING FACILITY LICENSEE PROPOSES ANY CHANGE IN SCHEDULED  HOURS,
   32  SUCH  CHANGE  MAY  NOT BE EFFECTED UNTIL SUCH LICENSEE FILES A NOTICE OF
   33  THE NEW SCHEDULE OF HOURS WITH THE COMMISSION. SUCH FILING MUST BE  MADE
   34  THIRTY DAYS PRIOR TO THE EFFECTIVE DATE OF THE PROPOSED CHANGE IN HOURS.
   35    3. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO LIMIT A GAMING FACIL-
   36  ITY  LICENSEE  IN  OPENING  ITS CASINO LATER THAN, OR CLOSING ITS CASINO
   37  EARLIER THAN, THE TIMES STATED  IN  ITS  SCHEDULE  OF  OPERATING  HOURS;
   38  PROVIDED,  HOWEVER,  THAT ANY SUCH ALTERATIONS IN ITS HOURS SHALL COMPLY
   39  WITH THE PROVISIONS OF SUBDIVISION ONE OF THIS SECTION  AND  WITH  REGU-
   40  LATIONS OF THE COMMISSION PERTAINING TO SUCH ALTERATIONS.
   41    S  1334.  INTERNAL CONTROLS.   1. EACH APPLICANT FOR A GAMING FACILITY
   42  LICENSE  SHALL  CREATE,  MAINTAIN,  AND  FILE  WITH  THE  COMMISSION   A
   43  DESCRIPTION OF ITS INTERNAL PROCEDURES AND ADMINISTRATIVE AND ACCOUNTING
   44  CONTROLS  FOR  GAMING  OPERATIONS THAT CONFORM TO COMMISSION REGULATIONS
   45  AND PROVIDE ADEQUATE AND  EFFECTIVE  CONTROLS,  ESTABLISH  A  CONSISTENT
   46  OVERALL  SYSTEM OF INTERNAL PROCEDURES AND ADMINISTRATIVE AND ACCOUNTING
   47  CONTROLS AND CONFORM TO GENERALLY ACCEPTED  ACCOUNTING  PRINCIPLES,  AND
   48  ENSURE THAT GAMING FACILITY PROCEDURES ARE CARRIED OUT AND SUPERVISED BY
   49  PERSONNEL  WHO  DO  NOT  HAVE  INCOMPATIBLE FUNCTIONS. A GAMING FACILITY
   50  LICENSEE'S INTERNAL CONTROLS SHALL CONTAIN A  NARRATIVE  DESCRIPTION  OF
   51  THE  INTERNAL  CONTROL  SYSTEM  TO  BE  UTILIZED BY THE GAMING FACILITY,
   52  INCLUDING, BUT NOT LIMITED TO:
   53    (A) ACCOUNTING CONTROLS, INCLUDING THE STANDARDIZATION  OF  FORMS  AND
   54  DEFINITION OF TERMS TO BE UTILIZED IN THE GAMING OPERATIONS;
   55    (B)  PROCEDURES,  FORMS, AND, WHERE APPROPRIATE, FORMULAS COVERING THE
   56  CALCULATION OF HOLD PERCENTAGES;  REVENUE  DROP;  EXPENSE  AND  OVERHEAD
       S. 5883                            34                            A. 8101

    1  SCHEDULES;  COMPLIMENTARY  SERVICE OR ITEM; JUNKETS; AND CASH EQUIVALENT
    2  TRANSACTIONS;
    3    (C)  PROCEDURES WITHIN THE CASHIER'S CAGE FOR THE RECEIPT, STORAGE AND
    4  DISBURSAL OF CHIPS, CASH, AND OTHER CASH EQUIVALENTS USED IN GAMING; THE
    5  CASHING OF CHECKS; THE REDEMPTION OF CHIPS AND  OTHER  CASH  EQUIVALENTS
    6  USED  IN  GAMING;  THE  PAY-OFF OF JACKPOTS; AND THE RECORDING OF TRANS-
    7  ACTIONS PERTAINING TO GAMING OPERATIONS;
    8    (D) PROCEDURES FOR THE COLLECTION AND SECURITY OF MONEYS AT THE GAMING
    9  TABLES;
   10    (E) PROCEDURES FOR THE TRANSFER AND RECORDATION OF CHIPS  BETWEEN  THE
   11  GAMING TABLES AND THE CASHIER'S CAGE;
   12    (F)  PROCEDURES  FOR  THE TRANSFER OF MONEYS FROM THE GAMING TABLES TO
   13  THE COUNTING PROCESS;
   14    (G) PROCEDURES AND SECURITY FOR THE COUNTING AND RECORDATION OF REVEN-
   15  UE;
   16    (H) PROCEDURES FOR THE SECURITY,  STORAGE  AND  RECORDATION  OF  CASH,
   17  CHIPS AND OTHER CASH EQUIVALENTS UTILIZED IN THE GAMING;
   18    (I)  PROCEDURES  FOR  THE  TRANSFER OF MONEYS OR CHIPS FROM AND TO THE
   19  SLOT MACHINES;
   20    (J) PROCEDURES AND STANDARDS FOR THE  OPENING  AND  SECURITY  OF  SLOT
   21  MACHINES;
   22    (K)  PROCEDURES  FOR THE PAYMENT AND RECORDATION OF SLOT MACHINE JACK-
   23  POTS;
   24    (L) PROCEDURES FOR THE CASHING AND RECORDATION OF CHECKS EXCHANGED  BY
   25  CASINO PATRONS;
   26    (M) PROCEDURES GOVERNING THE UTILIZATION OF THE PRIVATE SECURITY FORCE
   27  WITHIN THE GAMING FACILITY;
   28    (N)  PROCEDURES AND SECURITY STANDARDS FOR THE HANDLING AND STORAGE OF
   29  GAMING APPARATUS INCLUDING CARDS, DICE, MACHINES, WHEELS AND  ALL  OTHER
   30  GAMING EQUIPMENT;
   31    (O) PROCEDURES AND RULES GOVERNING THE CONDUCT OF PARTICULAR GAMES AND
   32  THE RESPONSIBILITY OF GAMING FACILITY PERSONNEL IN RESPECT THERETO;
   33    (P)  PROCEDURES FOR THE ORDERLY SHUTDOWN OF GAMING FACILITY OPERATIONS
   34  IN THE EVENT THAT A STATE OF EMERGENCY IS DECLARED AND THE GAMING FACIL-
   35  ITY LICENSEE IS UNABLE OR  INELIGIBLE  TO  CONTINUE  TO  CONDUCT  GAMING
   36  FACILITY  OPERATIONS  DURING SUCH A STATE OF EMERGENCY, WHICH PROCEDURES
   37  SHALL INCLUDE, WITHOUT LIMITATION, THE SECURING OF ALL KEYS  AND  GAMING
   38  ASSETS.
   39    2.  NO MINIMUM STAFFING REQUIREMENTS SHALL BE INCLUDED IN THE INTERNAL
   40  CONTROLS CREATED IN ACCORDANCE WITH SUBDIVISION ONE OF THIS SECTION.
   41    S 1335. GAMES AND GAMING EQUIPMENT.   1. THIS  ARTICLE  SHALL  NOT  BE
   42  CONSTRUED TO PERMIT ANY GAMING EXCEPT THE CONDUCT OF AUTHORIZED GAMES IN
   43  A CASINO IN ACCORDANCE WITH THIS ARTICLE AND THE REGULATIONS PROMULGATED
   44  HEREUNDER.
   45    2. GAMING EQUIPMENT SHALL NOT BE POSSESSED, MAINTAINED OR EXHIBITED BY
   46  ANY PERSON ON THE PREMISES OF A GAMING FACILITY EXCEPT IN A CASINO OR IN
   47  RESTRICTED  CASINO  AREAS  USED FOR THE INSPECTION, REPAIR OR STORAGE OF
   48  SUCH EQUIPMENT AND SPECIFICALLY  DESIGNATED  FOR  THAT  PURPOSE  BY  THE
   49  GAMING  FACILITY  LICENSEE  WITH  THE APPROVAL OF THE COMMISSION. GAMING
   50  EQUIPMENT THAT SUPPORTS THE CONDUCT OF GAMING IN A GAMING  FACILITY  BUT
   51  DOES  NOT  PERMIT  OR  REQUIRE  PATRON ACCESS, SUCH AS COMPUTERS, MAY BE
   52  POSSESSED AND MAINTAINED BY A GAMING FACILITY LICENSEE  OR  A  QUALIFIED
   53  HOLDING  OR  INTERMEDIARY  COMPANY  OF  A  GAMING  FACILITY  LICENSEE IN
   54  RESTRICTED AREAS SPECIFICALLY APPROVED  BY  THE  COMMISSION.  NO  GAMING
   55  EQUIPMENT  SHALL  BE  POSSESSED,  MAINTAINED, EXHIBITED, BROUGHT INTO OR
   56  REMOVED FROM A GAMING FACILITY BY ANY PERSON UNLESS  SUCH  EQUIPMENT  IS
       S. 5883                            35                            A. 8101

    1  NECESSARY TO THE CONDUCT OF AN AUTHORIZED GAME, HAS PERMANENTLY AFFIXED,
    2  IMPRINTED,  IMPRESSED  OR  ENGRAVED  THEREON AN IDENTIFICATION NUMBER OR
    3  SYMBOL AUTHORIZED BY THE COMMISSION, IS UNDER THE EXCLUSIVE CONTROL OF A
    4  GAMING  FACILITY LICENSEE OR GAMING FACILITY LICENSEE'S EMPLOYEES, OR OF
    5  ANY INDIVIDUALLY QUALIFIED EMPLOYEE  OF  A  HOLDING  COMPANY  OR  GAMING
    6  FACILITY LICENSEE AND IS BROUGHT INTO OR REMOVED FROM THE GAMING FACILI-
    7  TY  FOLLOWING TWENTY-FOUR HOUR PRIOR NOTICE GIVEN TO AN AUTHORIZED AGENT
    8  OF THE COMMISSION.
    9    NOTWITHSTANDING ANY OTHER PROVISION OF THIS SECTION,  COMPUTER  EQUIP-
   10  MENT USED BY THE SLOT SYSTEM OPERATOR OF A MULTI-CASINO PROGRESSIVE SLOT
   11  SYSTEM  TO  LINK  AND  COMMUNICATE WITH THE SLOT MACHINES OF TWO OR MORE
   12  GAMING FACILITY LICENSEES FOR THE PURPOSE OF CALCULATING AND  DISPLAYING
   13  THE  AMOUNT  OF  A  PROGRESSIVE JACKPOT, MONITORING THE OPERATION OF THE
   14  SYSTEM, AND ANY OTHER PURPOSE THAT THE COMMISSION  DEEMS  NECESSARY  AND
   15  APPROPRIATE TO THE OPERATION OR MAINTENANCE OF THE MULTI-CASINO PROGRES-
   16  SIVE SLOT MACHINE SYSTEM MAY, WITH THE PRIOR APPROVAL OF THE COMMISSION,
   17  BE POSSESSED, MAINTAINED AND OPERATED BY THE SLOT SYSTEM OPERATOR EITHER
   18  IN A RESTRICTED AREA ON THE PREMISES OF A GAMING FACILITY OR IN A SECURE
   19  FACILITY  INACCESSIBLE  TO THE PUBLIC AND SPECIFICALLY DESIGNED FOR THAT
   20  PURPOSE OFF THE PREMISES OF A GAMING FACILITY WITH THE  WRITTEN  PERMIS-
   21  SION  OF  THE COMMISSION.   NOTWITHSTANDING THE FOREGOING, A PERSON MAY,
   22  WITH THE PRIOR APPROVAL OF THE  COMMISSION  AND  UNDER  SUCH  TERMS  AND
   23  CONDITIONS  AS  MAY  BE REQUIRED BY THE COMMISSION, POSSESS, MAINTAIN OR
   24  EXHIBIT GAMING EQUIPMENT IN ANY  OTHER  AREA  OF  THE  GAMING  FACILITY,
   25  PROVIDED  THAT  SUCH EQUIPMENT IS USED FOR NONGAMING PURPOSES.  NOTWITH-
   26  STANDING ANY OTHER PROVISION  OF  THIS  ARTICLE  TO  THE  CONTRARY,  THE
   27  COMMISSION MAY, BY REGULATION, AUTHORIZE THE LINKING OF SLOT MACHINES OF
   28  ONE OR MORE GAMING FACILITY LICENSEES AND SLOT MACHINES LOCATED IN CASI-
   29  NOS LICENSED BY ANOTHER STATE OF THE UNITED STATES. WAGERING AND ACCOUNT
   30  INFORMATION  FOR  A  MULTI-STATE SLOT SYSTEM SHALL BE TRANSMITTED BY THE
   31  OPERATOR OF SUCH MULTI-STATE SLOT SYSTEM TO EITHER A RESTRICTED AREA  ON
   32  THE  PREMISES  OF A GAMING FACILITY OR TO A SECURE FACILITY INACCESSIBLE
   33  TO THE PUBLIC AND SPECIFICALLY DESIGNED FOR THAT PURPOSE WITH THE  WRIT-
   34  TEN  PERMISSION  OF  THE  COMMISSION, AND FROM THERE TO SLOT MACHINES OF
   35  GAMING FACILITY LICENSEES, PROVIDED ALL LOCATIONS ARE  APPROVED  BY  THE
   36  COMMISSION.
   37    3.  EACH  GAMING  FACILITY  SHALL  CONTAIN A COUNT ROOM AND SUCH OTHER
   38  SECURE FACILITIES AS MAY BE REQUIRED BY THE COMMISSION FOR THE  COUNTING
   39  AND  STORAGE  OF  CASH, COINS, TOKENS, CHECKS, PLAQUES, GAMING VOUCHERS,
   40  COUPONS, AND OTHER DEVICES OR  ITEMS  OF  VALUE  USED  IN  WAGERING  AND
   41  APPROVED  BY  THE  COMMISSION THAT ARE RECEIVED IN THE CONDUCT OF GAMING
   42  AND FOR THE INSPECTION, COUNTING AND STORAGE OF DICE, CARDS,  CHIPS  AND
   43  OTHER  REPRESENTATIVES  OF  VALUE. THE COMMISSION SHALL PROMULGATE REGU-
   44  LATIONS FOR THE SECURITY OF DROP BOXES AND OTHER DEVICES  IN  WHICH  THE
   45  FOREGOING  ITEMS ARE DEPOSITED AT THE GAMING TABLES OR IN SLOT MACHINES,
   46  AND ALL AREAS WHEREIN SUCH BOXES AND DEVICES  ARE  KEPT  WHILE  IN  USE,
   47  WHICH  REGULATIONS  MAY INCLUDE CERTAIN LOCKING DEVICES. SAID DROP BOXES
   48  AND OTHER DEVICES SHALL NOT BE BROUGHT INTO OR  REMOVED  FROM  A  GAMING
   49  FACILITY,  OR  LOCKED OR UNLOCKED, EXCEPT AT SUCH TIMES, IN SUCH PLACES,
   50  AND ACCORDING TO SUCH PROCEDURES AS THE COMMISSION MAY REQUIRE.
   51    4. ALL CHIPS USED IN GAMING SHALL BE OF SUCH SIZE AND UNIFORM COLOR BY
   52  DENOMINATION AS THE COMMISSION SHALL REQUIRE BY REGULATION.
   53    5. ALL GAMING SHALL BE CONDUCTED ACCORDING TO RULES PROMULGATED BY THE
   54  COMMISSION. ALL WAGERS AND PAY-OFFS OF  WINNING  WAGERS  SHALL  BE  MADE
   55  ACCORDING  TO RULES PROMULGATED BY THE COMMISSION, WHICH SHALL ESTABLISH
   56  SUCH LIMITATIONS AS MAY BE NECESSARY TO ASSURE THE  VITALITY  OF  CASINO
       S. 5883                            36                            A. 8101

    1  OPERATIONS  AND  FAIR  ODDS  TO  PATRONS. EACH SLOT MACHINE SHALL HAVE A
    2  MINIMUM PAYOUT OF EIGHTY-FIVE PERCENT.
    3    6.  EACH GAMING FACILITY LICENSEE SHALL MAKE AVAILABLE IN PRINTED FORM
    4  TO ANY PATRON UPON REQUEST THE COMPLETE TEXT OF THE RULES OF THE COMMIS-
    5  SION REGARDING GAMES AND THE CONDUCT  OF  GAMING,  PAY-OFFS  OF  WINNING
    6  WAGERS, AN APPROXIMATION OF THE ODDS OF WINNING FOR EACH WAGER, AND SUCH
    7  OTHER  ADVICE TO THE PLAYER AS THE COMMISSION SHALL REQUIRE. EACH GAMING
    8  FACILITY LICENSEE SHALL PROMINENTLY POST WITHIN A CASINO,  ACCORDING  TO
    9  REGULATIONS  OF THE COMMISSION SUCH INFORMATION ABOUT GAMING RULES, PAY-
   10  OFFS OF WINNING WAGERS, THE ODDS OF WINNING FOR  EACH  WAGER,  AND  SUCH
   11  OTHER ADVICE TO THE PLAYER AS THE COMMISSION SHALL REQUIRE.
   12    7.  EACH  GAMING  TABLE  SHALL  BE EQUIPPED WITH A SIGN INDICATING THE
   13  PERMISSIBLE MINIMUM AND MAXIMUM WAGERS PERTAINING THERETO.  IT SHALL  BE
   14  UNLAWFUL  FOR  A  GAMING  FACILITY  LICENSEE  TO REQUIRE ANY WAGER TO BE
   15  GREATER THAN THE  STATED  MINIMUM  OR  LESS  THAN  THE  STATED  MAXIMUM;
   16  PROVIDED,  HOWEVER,  THAT  ANY  WAGER  ACTUALLY MADE BY A PATRON AND NOT
   17  REJECTED BY A GAMING FACILITY LICENSEE PRIOR TO THE COMMENCEMENT OF PLAY
   18  SHALL BE TREATED AS A VALID WAGER.
   19    8. TESTING OF SLOT MACHINES AND ASSOCIATED DEVICES.    (A)  EXCEPT  AS
   20  HEREIN  PROVIDED, NO SLOT MACHINE SHALL BE USED TO CONDUCT GAMING UNLESS
   21  IT IS IDENTICAL IN ALL ELECTRICAL, MECHANICAL AND  OTHER  ASPECTS  TO  A
   22  MODEL THEREOF WHICH HAS BEEN SPECIFICALLY TESTED AND LICENSED FOR USE BY
   23  THE COMMISSION. THE COMMISSION SHALL ALSO TEST OR CAUSE TO BE TESTED ANY
   24  OTHER   GAMING   DEVICE,  GAMING  EQUIPMENT,  GAMING-RELATED  DEVICE  OR
   25  GROSS-REVENUE RELATED DEVICE, SUCH AS A SLOT  MANAGEMENT  SYSTEM,  ELEC-
   26  TRONIC  TRANSFER  CREDIT  SYSTEM  OR  GAMING  VOUCHER SYSTEM AS IT DEEMS
   27  APPROPRIATE. IN ITS DISCRETION AND FOR THE  PURPOSE  OF  EXPEDITING  THE
   28  APPROVAL  PROCESS,  THE COMMISSION MAY UTILIZE THE SERVICES OF A PRIVATE
   29  TESTING LABORATORY THAT HAS OBTAINED  A  PLENARY  LICENSE  AS  A  CASINO
   30  VENDOR  ENTERPRISE TO PERFORM THE TESTING, AND MAY ALSO UTILIZE APPLICA-
   31  BLE DATA FROM ANY SUCH PRIVATE TESTING LABORATORY OR FROM A GOVERNMENTAL
   32  AGENCY OF A STATE AUTHORIZED TO REGULATE SLOT MACHINES AND OTHER  GAMING
   33  DEVICES,  GAMING  EQUIPMENT,  GAMING-RELATED  DEVICES  AND GROSS-REVENUE
   34  RELATED DEVICES USED IN GAMING, IF THE  PRIVATE  TESTING  LABORATORY  OR
   35  GOVERNMENTAL  AGENCY USES A TESTING METHODOLOGY SUBSTANTIALLY SIMILAR TO
   36  THE METHODOLOGY APPROVED OR UTILIZED BY THE COMMISSION. THE  COMMISSION,
   37  IN  ITS DISCRETION, MAY RELY UPON THE DATA PROVIDED BY THE PRIVATE TEST-
   38  ING LABORATORY OR GOVERNMENTAL AGENCY AND ADOPT THE CONCLUSIONS OF  SUCH
   39  PRIVATE  TESTING LABORATORY OR GOVERNMENTAL AGENCY REGARDING ANY SUBMIT-
   40  TED DEVICE.
   41    (B) EXCEPT AS OTHERWISE PROVIDED IN PARAGRAPH (E) OF THIS SUBDIVISION,
   42  THE COMMISSION SHALL, WITHIN SIXTY DAYS OF ITS  RECEIPT  OF  A  COMPLETE
   43  APPLICATION  FOR THE TESTING OF A SLOT MACHINE OR OTHER GAMING EQUIPMENT
   44  MODEL, APPROVE OR REJECT THE SLOT  MACHINE  OR  OTHER  GAMING  EQUIPMENT
   45  MODEL.  IN  SO  DOING,  THE COMMISSION SHALL SPECIFY WHETHER AND TO WHAT
   46  EXTENT ANY DATA FROM A PRIVATE TESTING LABORATORY OR GOVERNMENTAL AGENCY
   47  OF A STATE WAS USED IN REACHING ITS CONCLUSIONS AND  RECOMMENDATION.  IF
   48  THE  COMMISSION  IS  UNABLE TO COMPLETE THE TESTING OF A SLOT MACHINE OR
   49  OTHER GAMING EQUIPMENT MODEL WITHIN THIS SIXTY DAY PERIOD,  THE  COMMIS-
   50  SION  MAY  CONDITIONALLY APPROVE THE SLOT MACHINE OR OTHER GAMING EQUIP-
   51  MENT MODEL FOR TEST USE BY A GAMING FACILITY LICENSEE PROVIDED THAT  THE
   52  COMMISSION  REPRESENTS  THAT THE USE OF THE SLOT MACHINE OR OTHER GAMING
   53  EQUIPMENT MODEL WILL NOT HAVE A DIRECT AND MATERIALLY ADVERSE IMPACT  ON
   54  THE  INTEGRITY OF GAMING OR THE CONTROL OF GROSS REVENUE. THE COMMISSION
   55  SHALL GIVE PRIORITY TO THE TESTING OF  SLOT  MACHINES  OR  OTHER  GAMING
       S. 5883                            37                            A. 8101

    1  EQUIPMENT  THAT  A GAMING FACILITY LICENSEE HAS CERTIFIED IT WILL USE IN
    2  ITS GAMING FACILITY IN THIS STATE.
    3    (C)  THE  COMMISSION  SHALL,  BY  REGULATION, ESTABLISH SUCH TECHNICAL
    4  STANDARDS FOR LICENSURE OF SLOT MACHINES, INCLUDING MECHANICAL AND ELEC-
    5  TRICAL RELIABILITY, SECURITY AGAINST TAMPERING, THE COMPREHENSIBILITY OF
    6  WAGERING, AND NOISE AND LIGHT  LEVELS,  AS  IT  MAY  DEEM  NECESSARY  TO
    7  PROTECT  THE  PLAYER FROM FRAUD OR DECEPTION AND TO INSURE THE INTEGRITY
    8  OF GAMING. THE DENOMINATIONS OF SUCH MACHINES SHALL BE SET BY THE LICEN-
    9  SEE; THE LICENSEE SHALL SIMULTANEOUSLY  NOTIFY  THE  COMMISSION  OF  THE
   10  SETTINGS.
   11    (D)  THE  COMMISSION  SHALL,  BY REGULATION, DETERMINE THE PERMISSIBLE
   12  NUMBER AND DENSITY OF SLOT MACHINES IN A LICENSED GAMING FACILITY SO  AS
   13  TO:
   14    (1) PROMOTE OPTIMUM SECURITY FOR GAMING FACILITY OPERATIONS;
   15    (2)  AVOID  DECEPTION  OR  FREQUENT  DISTRACTION  TO PLAYERS AT GAMING
   16  TABLES;
   17    (3) PROMOTE THE COMFORT OF PATRONS;
   18    (4) CREATE AND MAINTAIN A GRACIOUS PLAYING ENVIRONMENT IN  THE  GAMING
   19  FACILITY; AND
   20    (5)  ENCOURAGE  AND PRESERVE COMPETITION IN GAMING FACILITY OPERATIONS
   21  BY ASSURING THAT A VARIETY OF GAMING OPPORTUNITIES  IS  OFFERED  TO  THE
   22  PUBLIC.
   23    ANY SUCH REGULATION PROMULGATED BY THE COMMISSION WHICH DETERMINES THE
   24  PERMISSIBLE  NUMBER  AND  DENSITY  OF SLOT MACHINES IN A LICENSED GAMING
   25  FACILITY SHALL PROVIDE THAT ALL CASINOS SHALL BE INCLUDED IN ANY  CALCU-
   26  LATION  OF  THE  PERMISSIBLE  NUMBER  AND  DENSITY OF SLOT MACHINES IN A
   27  LICENSED GAMING FACILITY.
   28    (E) ANY NEW GAMING EQUIPMENT THAT IS  SUBMITTED  FOR  TESTING  TO  THE
   29  COMMISSION  OR  TO A STATE LICENSED INDEPENDENT TESTING LABORATORY PRIOR
   30  TO OR SIMULTANEOUSLY WITH SUBMISSION OF SUCH NEW EQUIPMENT  FOR  TESTING
   31  IN  A  JURISDICTION  OTHER  THAN  THIS STATE, MAY, CONSISTENT WITH REGU-
   32  LATIONS PROMULGATED BY THE COMMISSION, BE DEPLOYED BY A GAMING  FACILITY
   33  LICENSEE  ON THE CASINO FOURTEEN DAYS AFTER SUBMISSION OF SUCH EQUIPMENT
   34  FOR TESTING. IF THE GAMING FACILITY OR CASINO VENDOR ENTERPRISE LICENSEE
   35  HAS  NOT  RECEIVED  APPROVAL  FOR  THE  EQUIPMENT  FOURTEEN  DAYS  AFTER
   36  SUBMISSION  FOR  TESTING,  ANY  INTERESTED GAMING FACILITY LICENSEE MAY,
   37  CONSISTENT WITH COMMISSION REGULATIONS, DEPLOY THE EQUIPMENT ON A  FIELD
   38  TEST BASIS, UNLESS OTHERWISE DIRECTED BY THE EXECUTIVE DIRECTOR.
   39    9. IT SHALL BE UNLAWFUL FOR ANY PERSON TO EXCHANGE OR REDEEM CHIPS FOR
   40  ANYTHING  WHATSOEVER,  EXCEPT  FOR CURRENCY, NEGOTIABLE PERSONAL CHECKS,
   41  NEGOTIABLE COUNTER  CHECKS,  OTHER  CHIPS,  COUPONS,  SLOT  VOUCHERS  OR
   42  COMPLIMENTARY  VOUCHERS DISTRIBUTED BY THE GAMING FACILITY LICENSEE, OR,
   43  IF AUTHORIZED BY REGULATION OF THE COMMISSION, A VALID CHARGE TO A CRED-
   44  IT OR DEBIT CARD ACCOUNT. A GAMING FACILITY  LICENSEE  SHALL,  UPON  THE
   45  REQUEST  OF  ANY PERSON, REDEEM THAT LICENSEE'S GAMING CHIPS SURRENDERED
   46  BY THAT PERSON IN ANY AMOUNT OVER ONE HUNDRED DOLLARS WITH A CHECK DRAWN
   47  UPON THE LICENSEE'S ACCOUNT AT ANY BANKING INSTITUTION IN THIS STATE AND
   48  MADE PAYABLE TO THAT PERSON.
   49    10. IT SHALL BE UNLAWFUL FOR  ANY  GAMING  FACILITY  LICENSEE  OR  ITS
   50  AGENTS OR EMPLOYEES TO EMPLOY, CONTRACT WITH, OR USE ANY SHILL OR BARKER
   51  TO  INDUCE  ANY PERSON TO ENTER A GAMING FACILITY OR PLAY AT ANY GAME OR
   52  FOR ANY PURPOSE WHATSOEVER.
   53    11. IT SHALL BE UNLAWFUL FOR A DEALER IN ANY AUTHORIZED GAME IN  WHICH
   54  CARDS  ARE  DEALT  TO  DEAL  CARDS  BY  HAND OR OTHER THAN FROM A DEVICE
   55  SPECIFICALLY DESIGNED FOR THAT PURPOSE, UNLESS  OTHERWISE  PERMITTED  BY
   56  THE RULES OF THE COMMISSION.
       S. 5883                            38                            A. 8101

    1    S  1336. CERTAIN WAGERING PROHIBITED.  1. IT SHALL BE UNLAWFUL FOR ANY
    2  CASINO KEY EMPLOYEE LICENSEE TO WAGER IN ANY  GAMING  FACILITY  IN  THIS
    3  STATE.
    4    2.  IT  SHALL  BE UNLAWFUL FOR ANY OTHER EMPLOYEE OF A GAMING FACILITY
    5  LICENSEE WHO, IN THE JUDGMENT OF THE COMMISSION,  IS  DIRECTLY  INVOLVED
    6  WITH  THE  CONDUCT  OF  GAMING  OPERATIONS, INCLUDING BUT NOT LIMITED TO
    7  DEALERS, FLOOR PERSONS, BOX PERSONS, SECURITY AND  SURVEILLANCE  EMPLOY-
    8  EES,  TO ENGAGE IN GAMBLING IN ANY GAMING FACILITY IN WHICH THE EMPLOYEE
    9  IS EMPLOYED OR IN ANY OTHER GAMING FACILITY IN THIS STATE WHICH IS OWNED
   10  OR OPERATED BY THE GAMING FACILITY LICENSEE OR AN AFFILIATED LICENSEE.
   11    3. THE PROHIBITION AGAINST WAGERING SET FORTH IN SUBDIVISIONS ONE  AND
   12  TWO  OF THIS SECTION SHALL CONTINUE FOR A PERIOD OF THIRTY DAYS COMMENC-
   13  ING UPON THE DATE THAT THE EMPLOYEE  EITHER  LEAVES  EMPLOYMENT  WITH  A
   14  GAMING  FACILITY LICENSEE OR IS TERMINATED FROM EMPLOYMENT WITH A GAMING
   15  FACILITY LICENSEE.
   16    S 1337. GRATUITIES.   1. IT SHALL  BE  UNLAWFUL  FOR  ANY  CASINO  KEY
   17  EMPLOYEE  OR  BOXMAN,  FLOORMAN,  OR ANY OTHER GAMING EMPLOYEE WHO SHALL
   18  SERVE IN A SUPERVISORY POSITION TO SOLICIT OR ACCEPT, AND FOR ANY  OTHER
   19  GAMING  EMPLOYEE  TO  SOLICIT,  ANY  TIP  OR GRATUITY FROM ANY PLAYER OR
   20  PATRON AT THE GAMING FACILITY WHERE HE IS EMPLOYED.
   21    2. A DEALER MAY ACCEPT TIPS OR GRATUITIES FROM A PATRON AT  THE  TABLE
   22  AT  WHICH  SUCH  DEALER IS CONDUCTING PLAY, SUBJECT TO THE PROVISIONS OF
   23  THIS SECTION.  ALL SUCH TIPS OR GRATUITIES SHALL BE IMMEDIATELY DEPOSIT-
   24  ED IN A LOCKBOX RESERVED FOR THAT PURPOSE, UNLESS THE TIP OR GRATUITY IS
   25  AUTHORIZED BY A PATRON UTILIZING AN AUTOMATED WAGERING  SYSTEM  APPROVED
   26  BY  THE  COMMISSION.  ALL TIPS OR GRATUITIES SHALL BE ACCOUNTED FOR, AND
   27  PLACED IN A POOL FOR DISTRIBUTION PRO RATA AMONG THE DEALERS,  WITH  THE
   28  DISTRIBUTION  BASED  UPON  THE  NUMBER  OF HOURS EACH DEALER HAS WORKED,
   29  EXCEPT THAT THE COMMISSION MAY, BY REGULATION, PERMIT A SEPARATE POOL TO
   30  BE ESTABLISHED FOR DEALERS IN THE GAME OF POKER, OR MAY PERMIT  TIPS  OR
   31  GRATUITIES TO BE RETAINED BY INDIVIDUAL DEALERS IN THE GAME OF POKER.
   32    3.  NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION ONE OF THIS SECTION,
   33  A GAMING FACILITY LICENSEE MAY REQUIRE THAT A PERCENTAGE  OF  THE  PRIZE
   34  POOL  OFFERED TO PARTICIPANTS PURSUANT TO AN AUTHORIZED POKER TOURNAMENT
   35  BE WITHHELD FOR DISTRIBUTION TO THE TOURNAMENT DEALERS AS TIPS OR GRATU-
   36  ITIES AS THE COMMISSION BY REGULATION MAY APPROVE.
   37    S 1338. LIMITATION ON CERTAIN FINANCIAL ACCESS.  IN ORDER  TO  PROTECT
   38  THE PUBLIC INTEREST, THE COMMISSION SHALL ADOPT REGULATIONS THAT INCLUDE
   39  PROVISIONS THAT:
   40    1.  LIMIT  THE  NUMBER  AND LOCATION OF AND MAXIMUM WITHDRAWAL AMOUNTS
   41  FROM AUTOMATED TELLER MACHINES;
   42    2. PROHIBIT AUTHORIZED AUTOMATED TELLER MACHINES FROM ACCEPTING  ELEC-
   43  TRONIC  BENEFIT  CARDS,  DEBIT  CARDS, OR SIMILAR NEGOTIABLE INSTRUMENTS
   44  ISSUED BY THE STATE OR POLITICAL SUBDIVISIONS FOR THE PURPOSE OF ACCESS-
   45  ING TEMPORARY PUBLIC ASSISTANCE;
   46    3. PROHIBIT THE USE OF  SPECIFIED  NEGOTIABLE  INSTRUMENTS  AT  GAMING
   47  FACILITIES AND THE USE OF CREDIT CARDS, DEBIT CARDS, AND SIMILAR DEVICES
   48  IN SLOT MACHINES OR AT TABLE GAMES; AND
   49    4. PROHIBIT CONSUMERS FROM CASHING PAYCHECKS AT GAMING FACILITIES.
   50    S  1339. CREDIT.   1. EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, NO
   51  GAMING FACILITY LICENSEE OR ANY PERSON LICENSED UNDER THIS ARTICLE,  AND
   52  NO  PERSON  ACTING  ON  BEHALF OF OR UNDER ANY ARRANGEMENT WITH A GAMING
   53  FACILITY LICENSEE OR OTHER PERSON LICENSED UNDER THIS ARTICLE, SHALL:
   54    (A) CASH ANY CHECK, MAKE ANY LOAN, OR OTHERWISE PROVIDE  OR  ALLOW  TO
   55  ANY  PERSON  ANY CREDIT OR ADVANCE OF ANYTHING OF VALUE OR WHICH REPRES-
       S. 5883                            39                            A. 8101

    1  ENTS VALUE TO ENABLE ANY PERSON TO TAKE PART IN  GAMING  ACTIVITY  AS  A
    2  PLAYER; OR
    3    (B) RELEASE OR DISCHARGE ANY DEBT, EITHER IN WHOLE OR IN PART, OR MAKE
    4  ANY  LOAN  WHICH  REPRESENTS ANY LOSSES INCURRED BY ANY PLAYER IN GAMING
    5  ACTIVITY, WITHOUT MAINTAINING A WRITTEN  RECORD  THEREOF  IN  ACCORDANCE
    6  WITH THE RULES OF THE COMMISSION.
    7    2. NO GAMING FACILITY LICENSEE OR ANY PERSON LICENSED UNDER THIS ARTI-
    8  CLE,  AND  NO PERSON ACTING ON BEHALF OF OR UNDER ANY ARRANGEMENT WITH A
    9  GAMING FACILITY LICENSEE OR OTHER PERSON LICENSED  UNDER  THIS  ARTICLE,
   10  MAY  ACCEPT  A  CHECK, OTHER THAN A RECOGNIZED TRAVELER'S CHECK OR OTHER
   11  CASH EQUIVALENT FROM ANY PERSON TO ENABLE SUCH PERSON TO  TAKE  PART  IN
   12  GAMING  ACTIVITY  AS  A  PLAYER, OR MAY GIVE CASH OR CASH EQUIVALENTS IN
   13  EXCHANGE FOR SUCH CHECK UNLESS:
   14    (A) THE CHECK IS MADE PAYABLE TO THE GAMING FACILITY LICENSEE;
   15    (B) THE CHECK IS DATED, BUT NOT POSTDATED;
   16    (C) THE CHECK IS PRESENTED TO THE CASHIER OR THE  CASHIER'S  REPRESEN-
   17  TATIVE  AT  A LOCATION IN THE GAMING FACILITY APPROVED BY THE COMMISSION
   18  AND IS EXCHANGED FOR CASH OR SLOT TOKENS WHICH TOTAL AN AMOUNT EQUAL  TO
   19  THE  AMOUNT  FOR  WHICH THE CHECK IS DRAWN, OR THE CHECK IS PRESENTED TO
   20  THE CASHIER'S REPRESENTATIVE AT A GAMING TABLE  IN  EXCHANGE  FOR  CHIPS
   21  WHICH  TOTAL AN AMOUNT EQUAL TO THE AMOUNT FOR WHICH THE CHECK IS DRAWN;
   22  AND
   23    (D) THE REGULATIONS CONCERNING CHECK CASHING PROCEDURES  ARE  OBSERVED
   24  BY  THE  GAMING FACILITY LICENSEE AND ITS EMPLOYEES AND AGENTS.  NOTHING
   25  IN THIS SUBDIVISION SHALL BE DEEMED TO PRECLUDE THE ESTABLISHMENT OF  AN
   26  ACCOUNT  BY  ANY  PERSON WITH A GAMING FACILITY LICENSEE BY A DEPOSIT OF
   27  CASH, RECOGNIZED TRAVELER'S CHECK OR OTHER CASH EQUIVALENT, OR  A  CHECK
   28  WHICH MEETS THE REQUIREMENTS OF SUBDIVISION SEVEN OF THIS SECTION, OR TO
   29  PRECLUDE  THE  WITHDRAWAL,  EITHER  IN  WHOLE  OR IN PART, OF ANY AMOUNT
   30  CONTAINED IN SUCH ACCOUNT.
   31    3. WHEN A GAMING FACILITY LICENSEE OR OTHER PERSON LICENSED UNDER THIS
   32  ARTICLE, OR ANY PERSON ACTING ON BEHALF OF OR UNDER ANY ARRANGEMENT WITH
   33  A GAMING FACILITY LICENSEE OR OTHER PERSON LICENSED UNDER THIS  ARTICLE,
   34  CASHES A CHECK IN CONFORMITY WITH THE REQUIREMENTS OF SUBDIVISION TWO OF
   35  THIS  SECTION,  THE  GAMING FACILITY LICENSEE SHALL CAUSE THE DEPOSIT OF
   36  SUCH CHECK IN A BANK FOR COLLECTION OR  PAYMENT,  OR  SHALL  REQUIRE  AN
   37  ATTORNEY  OR CASINO KEY EMPLOYEE WITH NO INCOMPATIBLE FUNCTIONS TO PRES-
   38  ENT SUCH CHECK TO THE DRAWER'S BANK FOR PAYMENT, WITHIN:
   39    (A) SEVEN CALENDAR DAYS OF THE DATE OF THE TRANSACTION FOR A CHECK  IN
   40  AN AMOUNT OF ONE THOUSAND DOLLARS OR LESS;
   41    (B)  FOURTEEN CALENDAR DAYS OF THE DATE OF THE TRANSACTION FOR A CHECK
   42  IN AN AMOUNT GREATER THAN ONE THOUSAND DOLLARS BUT LESS THAN OR EQUAL TO
   43  FIVE THOUSAND DOLLARS; OR
   44    (C) FORTY-FIVE CALENDAR DAYS OF THE DATE  OF  THE  TRANSACTION  FOR  A
   45  CHECK IN AN AMOUNT GREATER THAN FIVE THOUSAND DOLLARS.
   46    NOTWITHSTANDING  THE FOREGOING, THE DRAWER OF THE CHECK MAY REDEEM THE
   47  CHECK BY EXCHANGING CASH, CASH EQUIVALENTS,  CHIPS,  OR  A  CHECK  WHICH
   48  MEETS THE REQUIREMENTS OF SUBDIVISION SEVEN OF THIS SECTION IN AN AMOUNT
   49  EQUAL  TO  THE  AMOUNT  FOR  WHICH  THE CHECK IS DRAWN; OR HE OR SHE MAY
   50  REDEEM THE CHECK IN PART BY EXCHANGING CASH, CASH EQUIVALENTS, CHIPS, OR
   51  A CHECK WHICH MEETS  THE  REQUIREMENTS  OF  SUBDIVISION  SEVEN  OF  THIS
   52  SECTION  AND  ANOTHER  CHECK WHICH MEETS THE REQUIREMENTS OF SUBDIVISION
   53  TWO OF THIS SECTION FOR THE DIFFERENCE BETWEEN THE  ORIGINAL  CHECK  AND
   54  THE  CASH,  CASH EQUIVALENTS, CHIPS, OR CHECK TENDERED; OR HE OR SHE MAY
   55  ISSUE ONE CHECK WHICH MEETS THE REQUIREMENTS OF SUBDIVISION TWO OF  THIS
   56  SECTION  IN  AN  AMOUNT SUFFICIENT TO REDEEM TWO OR MORE CHECKS DRAWN TO
       S. 5883                            40                            A. 8101

    1  THE ORDER OF THE GAMING FACILITY LICENSEE. IF THERE HAS BEEN  A  PARTIAL
    2  REDEMPTION  OR A CONSOLIDATION IN CONFORMITY WITH THE PROVISIONS OF THIS
    3  SUBDIVISION, THE NEWLY ISSUED CHECK SHALL BE DELIVERED  TO  A  BANK  FOR
    4  COLLECTION  OR  PAYMENT OR PRESENTED TO THE DRAWER'S BANK FOR PAYMENT BY
    5  AN ATTORNEY OR CASINO KEY EMPLOYEE WITH NO INCOMPATIBLE FUNCTIONS WITHIN
    6  THE PERIOD HEREIN SPECIFIED. NO GAMING FACILITY LICENSEE OR  ANY  PERSON
    7  LICENSED  OR  REGISTERED  UNDER  THIS  ARTICLE,  AND NO PERSON ACTING ON
    8  BEHALF OF OR UNDER ANY ARRANGEMENT WITH A GAMING  FACILITY  LICENSEE  OR
    9  OTHER  PERSON  LICENSED  UNDER  THIS  ARTICLE, SHALL ACCEPT ANY CHECK OR
   10  SERIES OF CHECKS IN REDEMPTION OR  CONSOLIDATION  OF  ANOTHER  CHECK  OR
   11  CHECKS  IN  ACCORDANCE WITH THIS SUBDIVISION FOR THE PURPOSE OF AVOIDING
   12  OR DELAYING THE DEPOSIT OF A CHECK IN A BANK FOR COLLECTION  OR  PAYMENT
   13  OR  THE  PRESENTMENT  OF  THE CHECK TO THE DRAWER'S BANK WITHIN THE TIME
   14  PERIOD PRESCRIBED BY THIS SUBDIVISION.
   15    IN COMPUTING A TIME PERIOD PRESCRIBED BY THIS  SUBDIVISION,  THE  LAST
   16  DAY  OF THE PERIOD SHALL BE INCLUDED UNLESS IT IS A SATURDAY, SUNDAY, OR
   17  A STATE OR FEDERAL HOLIDAY, IN WHICH EVENT THE  TIME  PERIOD  SHALL  RUN
   18  UNTIL THE NEXT BUSINESS DAY.
   19    4.  NO GAMING FACILITY LICENSEE OR ANY OTHER PERSON LICENSED OR REGIS-
   20  TERED UNDER THIS ARTICLE, OR ANY OTHER PERSON ACTING  ON  BEHALF  OF  OR
   21  UNDER  ANY  ARRANGEMENT  WITH A GAMING FACILITY LICENSEE OR OTHER PERSON
   22  LICENSED OR REGISTERED UNDER THIS ARTICLE, SHALL  TRANSFER,  CONVEY,  OR
   23  GIVE,  WITH  OR WITHOUT CONSIDERATION, A CHECK CASHED IN CONFORMITY WITH
   24  THE REQUIREMENTS OF THIS SECTION TO ANY PERSON OTHER THAN:
   25    (A) THE DRAWER OF  THE  CHECK  UPON  REDEMPTION  OR  CONSOLIDATION  IN
   26  ACCORDANCE WITH SUBDIVISION THREE OF THIS SECTION;
   27    (B) A BANK FOR COLLECTION OR PAYMENT OF THE CHECK;
   28    (C)  A  PURCHASER  OF  THE  GAMING FACILITY LICENSE AS APPROVED BY THE
   29  COMMISSION; OR
   30    (D) AN ATTORNEY OR CASINO KEY EMPLOYEE WITH NO INCOMPATIBLE  FUNCTIONS
   31  FOR PRESENTMENT TO THE DRAWER'S BANK.
   32    THE LIMITATION ON TRANSFERABILITY OF CHECKS IMPOSED HEREIN SHALL APPLY
   33  TO  CHECKS  RETURNED BY ANY BANK TO THE GAMING FACILITY LICENSEE WITHOUT
   34  FULL AND FINAL PAYMENT.
   35    5. NO PERSON OTHER THAN A CASINO  KEY  EMPLOYEE  LICENSED  UNDER  THIS
   36  ARTICLE  OR A   GAMING EMPLOYEE REGISTERED UNDER THIS ARTICLE MAY ENGAGE
   37  IN EFFORTS TO COLLECT UPON CHECKS THAT HAVE BEEN RETURNED BY BANKS WITH-
   38  OUT FULL AND FINAL PAYMENT, EXCEPT THAT AN ATTORNEY-AT-LAW  REPRESENTING
   39  A GAMING FACILITY LICENSEE MAY BRING ACTION FOR SUCH COLLECTION.
   40    6.  NOTWITHSTANDING  THE PROVISIONS OF ANY LAW TO THE CONTRARY, CHECKS
   41  CASHED IN CONFORMITY WITH THE REQUIREMENTS  OF  THIS  ARTICLE  SHALL  BE
   42  VALID  INSTRUMENTS,  ENFORCEABLE AT LAW IN THE COURTS OF THIS STATE. ANY
   43  CHECK CASHED, TRANSFERRED, CONVEYED OR GIVEN IN VIOLATION OF THIS  ARTI-
   44  CLE  SHALL  BE  INVALID AND UNENFORCEABLE FOR THE PURPOSES OF COLLECTION
   45  BUT SHALL BE INCLUDED IN THE CALCULATION OF GROSS GAMING REVENUE.
   46    7. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION TWO OF  THIS  SECTION
   47  TO  THE  CONTRARY,  A GAMING FACILITY LICENSEE MAY ACCEPT A CHECK FROM A
   48  PERSON TO ENABLE THE PERSON TO TAKE PART IN GAMING ACTIVITY AS A PLAYER,
   49  MAY GIVE CASH OR CASH EQUIVALENTS IN EXCHANGE FOR SUCH A CHECK,  OR  MAY
   50  ACCEPT  A CHECK IN REDEMPTION OR PARTIAL REDEMPTION OF A CHECK ISSUED IN
   51  ACCORDANCE WITH SUBDIVISION TWO OF THIS SECTION, PROVIDED THAT:
   52    (A) (1) THE CHECK IS ISSUED BY A GAMING  FACILITY  LICENSEE,  IS  MADE
   53  PAYABLE  TO THE PERSON PRESENTING THE CHECK, AND IS ISSUED FOR A PURPOSE
   54  OTHER THAN EMPLOYMENT COMPENSATION OR AS PAYMENT FOR GOODS  OR  SERVICES
   55  RENDERED;
       S. 5883                            41                            A. 8101

    1    (2) THE CHECK IS ISSUED BY A BANKING INSTITUTION WHICH IS CHARTERED IN
    2  A  COUNTRY  OTHER  THAN  THE UNITED STATES ON ITS ACCOUNT AT A FEDERALLY
    3  CHARTERED OR STATE-CHARTERED BANK AND IS MADE PAYABLE TO "CASH,"  "BEAR-
    4  ER," A GAMING FACILITY LICENSEE, OR THE PERSON PRESENTING THE CHECK;
    5    (3) THE CHECK IS ISSUED BY A BANKING INSTITUTION WHICH IS CHARTERED IN
    6  THE  UNITED  STATES  ON  ITS  ACCOUNT  AT ANOTHER FEDERALLY CHARTERED OR
    7  STATE-CHARTERED BANK AND IS MADE PAYABLE TO "CASH," "BEARER,"  A  GAMING
    8  FACILITY LICENSEE, OR THE PERSON PRESENTING THE CHECK;
    9    (4)  THE  CHECK  IS ISSUED BY A SLOT SYSTEM OPERATOR OR PURSUANT TO AN
   10  ANNUITY JACKPOT GUARANTEE AS PAYMENT FOR WINNINGS  FROM  A  MULTI-CASINO
   11  PROGRESSIVE SLOT MACHINE SYSTEM JACKPOT; OR
   12    (5)  THE  CHECK  IS  ISSUED  BY AN ENTITY THAT HOLDS A GAMING FACILITY
   13  LICENSE IN ANY JURISDICTION, IS MADE PAYABLE TO  THE  PERSON  PRESENTING
   14  THE  CHECK,  AND  IS  ISSUED FOR A PURPOSE OTHER THAN EMPLOYMENT COMPEN-
   15  SATION OR AS PAYMENT FOR GOODS OR SERVICES RENDERED;
   16    (B) THE CHECK IS IDENTIFIABLE IN A MANNER APPROVED BY  THE  COMMISSION
   17  AS  A  CHECK AUTHORIZED FOR ACCEPTANCE PURSUANT TO PARAGRAPH (A) OF THIS
   18  SUBDIVISION;
   19    (C) THE CHECK IS DATED, BUT NOT POSTDATED;
   20    (D) THE CHECK IS PRESENTED TO THE CASHIER OR THE  CASHIER'S  REPRESEN-
   21  TATIVE  BY THE ORIGINAL PAYEE AND ITS VALIDITY IS VERIFIED BY THE DRAWER
   22  IN THE CASE OF A CHECK DRAWN PURSUANT TO SUBPARAGRAPH ONE  OF  PARAGRAPH
   23  (A)  OF  THIS  SUBDIVISION,  OR THE CHECK IS VERIFIED IN ACCORDANCE WITH
   24  REGULATIONS PROMULGATED UNDER THIS ARTICLE IN THE CASE OF A CHECK ISSUED
   25  PURSUANT TO SUBPARAGRAPH TWO, THREE, FOUR OR FIVE OF  PARAGRAPH  (A)  OF
   26  THIS SUBDIVISION; AND
   27    (E)  THE  REGULATIONS CONCERNING CHECK-CASHING PROCEDURES ARE OBSERVED
   28  BY THE GAMING FACILITY LICENSEE AND ITS EMPLOYEES AND AGENTS.  NO GAMING
   29  FACILITY LICENSEE SHALL ISSUE A CHECK FOR THE PURPOSE OF MAKING  A  LOAN
   30  OR  OTHERWISE PROVIDING OR ALLOWING ANY ADVANCE OR CREDIT TO A PERSON TO
   31  ENABLE THE PERSON TO TAKE PART IN GAMING ACTIVITY AS A PLAYER.
   32    8. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISIONS  TWO  AND  THREE  OF
   33  THIS  SECTION  TO  THE  CONTRARY,  A  GAMING FACILITY LICENSEE MAY, AT A
   34  LOCATION OUTSIDE THE GAMING FACILITY, ACCEPT A PERSONAL CHECK OR  CHECKS
   35  FROM  A  PERSON  FOR UP TO FIVE THOUSAND DOLLARS IN EXCHANGE FOR CASH OR
   36  CASH EQUIVALENTS, AND MAY, AT SUCH LOCATIONS WITHIN THE GAMING  FACILITY
   37  AS MAY BE PERMITTED BY THE COMMISSION, ACCEPT A PERSONAL CHECK OR CHECKS
   38  FOR  UP TO FIVE THOUSAND DOLLARS IN EXCHANGE FOR CASH, CASH EQUIVALENTS,
   39  TOKENS, CHIPS, OR PLAQUES TO ENABLE THE PERSON TO TAKE  PART  IN  GAMING
   40  ACTIVITY AS A PLAYER, PROVIDED THAT:
   41    (A)  THE CHECK IS DRAWN ON THE PATRON'S BANK OR BROKERAGE CASH MANAGE-
   42  MENT ACCOUNT;
   43    (B) THE CHECK IS FOR A SPECIFIC AMOUNT;
   44    (C) THE CHECK IS MADE PAYABLE TO THE GAMING FACILITY LICENSEE;
   45    (D) THE CHECK IS DATED BUT NOT POST-DATED;
   46    (E) THE PATRON'S IDENTITY IS ESTABLISHED BY EXAMINATION OF ONE OF  THE
   47  FOLLOWING:  VALID CREDIT CARD, DRIVER'S LICENSE, PASSPORT, OR OTHER FORM
   48  OF IDENTIFICATION CREDENTIAL WHICH CONTAINS, AT A MINIMUM, THE  PATRON'S
   49  SIGNATURE;
   50    (F)  THE  CHECK  IS  RESTRICTIVELY  ENDORSED "FOR DEPOSIT ONLY" TO THE
   51  GAMING FACILITY LICENSEE'S BANK ACCOUNT AND DEPOSITED ON THE NEXT  BANK-
   52  ING DAY FOLLOWING THE DATE OF THE TRANSACTION;
   53    (G)  THE  TOTAL AMOUNT OF PERSONAL CHECKS ACCEPTED BY ANY ONE LICENSEE
   54  PURSUANT TO THIS SUBDIVISION THAT ARE OUTSTANDING AT ANY TIME, INCLUDING
   55  THE CURRENT  CHECK  BEING  SUBMITTED,  DOES  NOT  EXCEED  FIVE  THOUSAND
   56  DOLLARS;
       S. 5883                            42                            A. 8101

    1    (H)  THE GAMING FACILITY LICENSEE HAS A SYSTEM OF INTERNAL CONTROLS IN
    2  PLACE THAT WILL  ENABLE  IT  TO  DETERMINE  THE  AMOUNT  OF  OUTSTANDING
    3  PERSONAL CHECKS RECEIVED FROM ANY PATRON PURSUANT TO THIS SUBDIVISION AT
    4  ANY GIVEN POINT IN TIME; AND
    5    (I) THE GAMING FACILITY LICENSEE MAINTAINS A RECORD OF EACH SUCH TRAN-
    6  SACTION IN ACCORDANCE WITH REGULATIONS ESTABLISHED BY THE COMMISSION.
    7    9.  A PERSON MAY REQUEST THE COMMISSION TO PUT THAT PERSON'S NAME ON A
    8  LIST OF PERSONS TO WHOM THE EXTENSION OF CREDIT BY A GAMING FACILITY  AS
    9  PROVIDED  IN  THIS  SECTION  WOULD  BE  PROHIBITED  BY SUBMITTING TO THE
   10  COMMISSION THE PERSON'S NAME, ADDRESS, AND DATE  OF  BIRTH.  THE  PERSON
   11  DOES NOT NEED TO PROVIDE A REASON FOR THIS REQUEST. THE COMMISSION SHALL
   12  PROVIDE  THIS  LIST  TO  THE  CREDIT DEPARTMENT OF EACH GAMING FACILITY;
   13  NEITHER THE COMMISSION NOR THE CREDIT DEPARTMENT OF  A  GAMING  FACILITY
   14  SHALL  DIVULGE THE NAMES ON THIS LIST TO ANY PERSON OR ENTITY OTHER THAN
   15  THOSE PROVIDED FOR IN THIS SUBDIVISION. IF SUCH A PERSON WISHES TO  HAVE
   16  THAT  PERSON'S  NAME REMOVED FROM THE LIST, THE PERSON SHALL SUBMIT THIS
   17  REQUEST TO THE COMMISSION, WHICH SHALL SO INFORM THE CREDIT  DEPARTMENTS
   18  OF  GAMING  FACILITIES  NO LATER THAN THREE DAYS AFTER THE SUBMISSION OF
   19  THE REQUEST.
   20    S 1340. ALCOHOLIC BEVERAGES.    1.  NOTWITHSTANDING  ANY  LAW  TO  THE
   21  CONTRARY, THE AUTHORITY TO GRANT ANY LICENSE OR PERMIT FOR, OR TO PERMIT
   22  OR  PROHIBIT  THE  PRESENCE OF, ALCOHOLIC BEVERAGES IN, ON, OR ABOUT ANY
   23  PREMISES LICENSED AS PART OF A  GAMING  FACILITY  SHALL  EXCLUSIVELY  BE
   24  VESTED IN THE COMMISSION.
   25    2.  UNLESS  OTHERWISE  STATED,  AND EXCEPT WHERE INCONSISTENT WITH THE
   26  PURPOSE OR INTENT OF THIS ARTICLE OR THE COMMON UNDERSTANDING  OF  USAGE
   27  THEREOF,  DEFINITIONS  CONTAINED  IN  THE ALCOHOLIC BEVERAGE CONTROL LAW
   28  SHALL APPLY TO THIS SECTION.  ANY  DEFINITION  CONTAINED  THEREIN  SHALL
   29  APPLY TO THE SAME WORD IN ANY FORM.
   30    3. NOTWITHSTANDING ANY PROVISION OF THE ALCOHOLIC BEVERAGE CONTROL LAW
   31  TO  THE  CONTRARY,  THE  COMMISSION SHALL HAVE THE FUNCTIONS, POWERS AND
   32  DUTIES OF THE STATE LIQUOR AUTHORITY BUT ONLY WITH RESPECT TO THE  ISSU-
   33  ANCE,  RENEWAL,  TRANSFER,  SUSPENSION  AND  REVOCATION  OF LICENSES AND
   34  PERMITS FOR THE SALE OF ALCOHOLIC BEVERAGES  AT  RETAIL  FOR  ON-PREMISE
   35  CONSUMPTION  BY  ANY  HOLDER  OF A GAMING FACILITY LICENSE ISSUED BY THE
   36  COMMISSION INCLUDING, WITHOUT LIMITATION, THE POWER TO FINE OR  PENALIZE
   37  A  CASINO ALCOHOLIC BEVERAGE LICENSEE OR PERMITTEE; TO ENFORCE ALL STAT-
   38  UTES, LAWS, RULINGS, OR REGULATIONS RELATING TO SUCH LICENSE OR  PERMIT;
   39  AND  TO COLLECT LICENSE AND PERMIT FEES AND ESTABLISH APPLICATION STAND-
   40  ARDS THEREFOR.
   41    4. EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, THE PROVISIONS OF THE
   42  ALCOHOLIC BEVERAGE CONTROL LAW AND THE  RULES,  REGULATIONS,  BULLETINS,
   43  ORDERS,  AND  ADVISORIES PROMULGATED BY THE STATE LIQUOR AUTHORITY SHALL
   44  APPLY TO ANY GAMING FACILITY HOLDING A LICENSE OR PERMIT TO  SELL  ALCO-
   45  HOLIC BEVERAGES UNDER THIS SECTION.
   46    5.  NOTWITHSTANDING  ANY PROVISION TO THE CONTRARY, THE COMMISSION MAY
   47  PROMULGATE ANY REGULATIONS AND SPECIAL RULINGS AND FINDINGS  AS  MAY  BE
   48  NECESSARY  FOR  THE PROPER ENFORCEMENT, REGULATION, AND CONTROL OF ALCO-
   49  HOLIC BEVERAGES IN GAMING FACILITIES WHEN THE COMMISSION FINDS THAT  THE
   50  UNIQUENESS OF GAMING FACILITY OPERATIONS AND THE PUBLIC INTEREST REQUIRE
   51  THAT SUCH REGULATIONS, RULINGS, AND FINDINGS ARE APPROPRIATE.
   52    6.  NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, ANY MANUFAC-
   53  TURER OR WHOLESALER LICENSED UNDER THE ALCOHOLIC  BEVERAGE  CONTROL  LAW
   54  MAY  AS  AUTHORIZED UNDER THE ALCOHOLIC BEVERAGE CONTROL LAW, SELL ALCO-
   55  HOLIC BEVERAGES TO A GAMING FACILITY HOLDING A RETAIL LICENSE OR  PERMIT
   56  TO SELL ALCOHOLIC BEVERAGES FOR CONSUMPTION ON THE PREMISES ISSUED UNDER
       S. 5883                            43                            A. 8101

    1  THIS SECTION, AND ANY GAMING FACILITY HOLDING A RETAIL LICENSE OR PERMIT
    2  TO SELL ALCOHOLIC BEVERAGES ISSUED UNDER THIS SECTION MAY, AS AUTHORIZED
    3  UNDER  THE  ALCOHOLIC BEVERAGE CONTROL LAW, PURCHASE ALCOHOLIC BEVERAGES
    4  FROM  A MANUFACTURER OR WHOLESALER LICENSED UNDER THE ALCOHOLIC BEVERAGE
    5  CONTROL LAW.
    6    7. IT SHALL BE UNLAWFUL FOR ANY PERSON, INCLUDING ANY GAMING  FACILITY
    7  LICENSEE OR ANY OF ITS LESSEES, AGENTS OR EMPLOYEES, TO EXPOSE FOR SALE,
    8  SOLICIT OR PROMOTE THE SALE OF, POSSESS WITH INTENT TO SELL, SELL, GIVE,
    9  DISPENSE, OR OTHERWISE TRANSFER OR DISPOSE OF ALCOHOLIC BEVERAGES IN, ON
   10  OR  ABOUT  ANY PORTION OF THE PREMISES OF A GAMING FACILITY, UNLESS SAID
   11  PERSON POSSESSES A LICENSE OR PERMIT ISSUED UNDER THIS SECTION.
   12    8. IT SHALL BE UNLAWFUL FOR ANY PERSON HOLDING A LICENSE OR PERMIT  TO
   13  SELL  ALCOHOLIC  BEVERAGES  UNDER THIS SECTION TO EXPOSE, POSSESS, SELL,
   14  GIVE, DISPENSE, TRANSFER, OR OTHERWISE DISPOSE OF  ALCOHOLIC  BEVERAGES,
   15  OTHER  THAN  WITHIN  THE TERMS AND CONDITIONS OF SUCH LICENSE OR PERMIT,
   16  THE PROVISIONS OF THE ALCOHOLIC BEVERAGE  CONTROL  LAW,  THE  RULES  AND
   17  REGULATIONS  PROMULGATED BY THE STATE LIQUOR AUTHORITY, AND, WHEN APPLI-
   18  CABLE, THE REGULATIONS PROMULGATED PURSUANT TO THIS ARTICLE.    NOTWITH-
   19  STANDING  ANY  OTHER  PROVISION  OF  LAW TO THE CONTRARY THE HOLDER OF A
   20  LICENSE OR PERMIT ISSUED UNDER THIS SECTION MAY BE AUTHORIZED TO PROVIDE
   21  COMPLIMENTARY  ALCOHOLIC  BEVERAGES  UNDER  REGULATIONS  ISSUED  BY  THE
   22  COMMISSION.
   23    9.  IN  ISSUING  A  CASINO  ALCOHOLIC  BEVERAGE LICENSE OR PERMIT, THE
   24  COMMISSION SHALL DESCRIBE THE SCOPE OF THE PARTICULAR LICENSE OR PERMIT,
   25  AND THE RESTRICTIONS AND LIMITATIONS THEREON AS IT DEEMS  NECESSARY  AND
   26  REASONABLE.  THE  COMMISSION  MAY, IN A SINGLE CASINO ALCOHOLIC BEVERAGE
   27  LICENSE, PERMIT THE HOLDER OF SUCH A LICENSE OR PERMIT TO PERFORM ANY OR
   28  ALL OF THE FOLLOWING ACTIVITIES, SUBJECT TO APPLICABLE LAWS,  RULES  AND
   29  REGULATIONS:
   30    (A) TO SELL ANY ALCOHOLIC BEVERAGE BY THE GLASS OR OTHER OPEN RECEPTA-
   31  CLE INCLUDING, BUT NOT LIMITED TO, AN ORIGINAL CONTAINER, FOR ON-PREMISE
   32  CONSUMPTION  WITHIN  A  FACILITY;  PROVIDED,  HOWEVER, THAT NO ALCOHOLIC
   33  BEVERAGE SHALL BE SOLD OR GIVEN FOR CONSUMPTION; DELIVERED OR  OTHERWISE
   34  BROUGHT  TO  A PATRON; OR CONSUMED AT A GAMING TABLE UNLESS SO REQUESTED
   35  BY THE PATRON.
   36    (B) TO SELL ANY ALCOHOLIC BEVERAGE BY THE GLASS OR OTHER OPEN RECEPTA-
   37  CLE FOR ON-PREMISE CONSUMPTION WITHIN A GAMING FACILITY.
   38    (C) TO SELL ANY ALCOHOLIC BEVERAGE BY THE GLASS OR OTHER OPEN RECEPTA-
   39  CLE OR IN ORIGINAL CONTAINERS FROM A ROOM  SERVICE  LOCATION  WITHIN  AN
   40  ENCLOSED ROOM NOT IN A GAMING FACILITY; PROVIDED, HOWEVER, THAT ANY SALE
   41  OF ALCOHOLIC BEVERAGES IS DELIVERED ONLY TO A GUEST ROOM OR TO ANY OTHER
   42  ROOM IN THE GAMING FACILITY AUTHORIZED BY THE COMMISSION.
   43    (D)  TO POSSESS OR TO STORE ALCOHOLIC BEVERAGES IN ORIGINAL CONTAINERS
   44  INTENDED BUT NOT ACTUALLY EXPOSED FOR SALE AT  A  FIXED  LOCATION  ON  A
   45  GAMING  FACILITY  PREMISES, NOT IN A GAMING FACILITY; AND TO TRANSFER OR
   46  DELIVER SUCH ALCOHOLIC BEVERAGES ONLY TO A LOCATION APPROVED PURSUANT TO
   47  THIS SECTION; PROVIDED, HOWEVER, THAT NO ACCESS TO  OR  FROM  A  STORAGE
   48  LOCATION  SHALL BE PERMITTED EXCEPT DURING THE NORMAL COURSE OF BUSINESS
   49  BY EMPLOYEES OR AGENTS OF THE LICENSEE,  OR  BY  LICENSED  EMPLOYEES  OR
   50  AGENTS OF WHOLESALERS OR DISTRIBUTORS LICENSED PURSUANT TO THE ALCOHOLIC
   51  BEVERAGE  CONTROL  LAW  AND  ANY  APPLICABLE  RULES AND REGULATIONS; AND
   52  PROVIDED FURTHER, HOWEVER, THAT NO PROVISION OF THIS  SECTION  SHALL  BE
   53  CONSTRUED  TO PROHIBIT A CASINO ALCOHOLIC BEVERAGE LICENSEE FROM OBTAIN-
   54  ING AN OFF-SITE STORAGE LICENSE FROM THE STATE LIQUOR AUTHORITY.
   55    10. THE COMMISSION MAY REVOKE, SUSPEND, REFUSE TO RENEW OR  REFUSE  TO
   56  TRANSFER  ANY  CASINO ALCOHOLIC BEVERAGE LICENSE OR PERMIT, AND MAY FINE
       S. 5883                            44                            A. 8101

    1  OR PENALIZE THE HOLDER OF  ANY  ALCOHOLIC  BEVERAGE  LICENSE  OR  PERMIT
    2  ISSUED  UNDER  THIS SECTION FOR VIOLATIONS OF ANY PROVISION OF THE ALCO-
    3  HOLIC BEVERAGE CONTROL LAW, THE RULES AND REGULATIONS PROMULGATED BY THE
    4  STATE  LIQUOR  AUTHORITY, AND THE REGULATIONS PROMULGATED BY THE COMMIS-
    5  SION.
    6    11. JURISDICTION OVER ALL  ALCOHOLIC  BEVERAGE  LICENSES  AND  PERMITS
    7  PREVIOUSLY  ISSUED  WITH RESPECT TO THE GAMING FACILITY IS HEREBY VESTED
    8  IN THE COMMISSION, WHICH IN ITS DISCRETION MAY BY REGULATION PROVIDE FOR
    9  THE CONVERSION THEREOF INTO  A  CASINO  ALCOHOLIC  BEVERAGE  LICENSE  OR
   10  PERMIT AS PROVIDED IN THIS SECTION.
   11    12.  (A)  PRIOR TO ISSUING ANY LICENSE UNDER THIS SECTION, THE COMMIS-
   12  SION, OR ITS DESIGNEE, SHALL CONSULT WITH THE STATE LIQUOR AUTHORITY, OR
   13  ITS DESIGNEE, TO CONFIRM THAT SUCH APPLICATION AND SUCH GAMING  FACILITY
   14  CONFORMS  WITH  ALL  APPLICABLE  PROVISIONS  OF  THE  ALCOHOLIC BEVERAGE
   15  CONTROL LAW, AND ALL APPLICABLE RULES,  REGULATIONS,  BULLETINS,  ORDERS
   16  AND ADVISORIES PROMULGATED BY THE STATE LIQUOR AUTHORITY;
   17    (B) PRIOR TO COMMENCING ENFORCEMENT ACTIONS AGAINST ANY GAMING FACILI-
   18  TY  LICENSED  UNDER THIS SECTION, THE COMMISSION, OR ITS DESIGNEE, SHALL
   19  CONSULT WITH THE STATE LIQUOR AUTHORITY, OR ITS DESIGNEE,  WITH  RESPECT
   20  TO  THE APPLICATION OF THE APPLICABLE PROVISIONS OF THE ALCOHOLIC BEVER-
   21  AGE CONTROL LAW,  AND  ALL  APPLICABLE  RULES,  REGULATIONS,  BULLETINS,
   22  ORDERS  AND  ADVISORIES PROMULGATED BY THE STATE LIQUOR AUTHORITY ON THE
   23  ALLEGED CONDUCT OF SUCH LICENSEE; AND
   24    (C) THE COMMISSION, OR ITS DESIGNEE,  SHALL  CONSULT  WITH  THE  STATE
   25  LIQUOR  AUTHORITY, OR ITS DESIGNEE, ON A REGULAR BASIS, BUT NO LESS THAN
   26  ONCE EVERY THREE MONTHS, REGARDING ANY PENDING APPLICATIONS AND ENFORCE-
   27  MENT MATTERS.
   28    S 1341. LICENSEE LEASES AND CONTRACTS.  1. UNLESS  OTHERWISE  PROVIDED
   29  IN THIS SUBDIVISION, NO AGREEMENT SHALL BE LAWFUL WHICH PROVIDES FOR THE
   30  PAYMENT, HOWEVER DEFINED, OF ANY DIRECT OR INDIRECT INTEREST, PERCENTAGE
   31  OR  SHARE  OF:  ANY  MONEY OR PROPERTY GAMBLED AT A GAMING FACILITY; ANY
   32  MONEY OR PROPERTY DERIVED FROM GAMING ACTIVITY; OR ANY REVENUES, PROFITS
   33  OR EARNINGS OF A GAMING FACILITY. NOTWITHSTANDING THE FOREGOING:
   34    (A) AGREEMENTS WHICH PROVIDE ONLY FOR THE PAYMENT OF A FIXED SUM WHICH
   35  IS IN NO WAY AFFECTED BY THE AMOUNT OF ANY SUCH MONEY, PROPERTY,  REVEN-
   36  UES,  PROFITS OR EARNINGS SHALL NOT BE SUBJECT TO THE PROVISIONS OF THIS
   37  SUBDIVISION;  AND  RECEIPTS,  RENTALS  OR  CHARGES  FOR  REAL  PROPERTY,
   38  PERSONAL PROPERTY OR SERVICES SHALL NOT LOSE THEIR CHARACTER AS PAYMENTS
   39  OF  A  FIXED  SUM  BECAUSE OF CONTRACT, LEASE, OR LICENSE PROVISIONS FOR
   40  ADJUSTMENTS IN CHARGES, RENTALS OR FEES ON ACCOUNT OF CHANGES  IN  TAXES
   41  OR  ASSESSMENTS, COST-OF-LIVING INDEX ESCALATIONS, EXPANSION OR IMPROVE-
   42  MENT OF FACILITIES, OR CHANGES IN SERVICES SUPPLIED.
   43    (B) AGREEMENTS BETWEEN A GAMING FACILITY LICENSEE AND A JUNKET  ENTER-
   44  PRISE  OR  JUNKET  REPRESENTATIVE  LICENSED,  QUALIFIED OR REGISTERED IN
   45  ACCORDANCE WITH THE PROVISIONS THIS ARTICLE AND THE REGULATIONS  OF  THE
   46  COMMISSION  WHICH  PROVIDE FOR THE COMPENSATION OF THE JUNKET ENTERPRISE
   47  OR JUNKET REPRESENTATIVE BY THE GAMING FACILITY LICENSEE BASED UPON  THE
   48  ACTUAL  GAMING ACTIVITIES OF A PATRON PROCURED OR REFERRED BY THE JUNKET
   49  ENTERPRISE OR JUNKET REPRESENTATIVE SHALL BE LAWFUL IF  FILED  WITH  THE
   50  COMMISSION  PRIOR  TO  THE CONDUCT OF ANY JUNKET THAT IS GOVERNED BY THE
   51  AGREEMENT.
   52    (C) AGREEMENTS BETWEEN A GAMING FACILITY LICENSEE  AND  ITS  EMPLOYEES
   53  WHICH  PROVIDE FOR GAMING EMPLOYEE OR CASINO KEY EMPLOYEE PROFIT SHARING
   54  SHALL BE LAWFUL IF THE AGREEMENT  IS  IN  WRITING  AND  FILED  WITH  THE
   55  COMMISSION  PRIOR TO ITS EFFECTIVE DATE. SUCH AGREEMENTS MAY BE REVIEWED
   56  BY THE COMMISSION.
       S. 5883                            45                            A. 8101

    1    (D) AGREEMENTS TO LEASE AN APPROVED GAMING FACILITY OR THE LAND THERE-
    2  UNDER AND AGREEMENTS FOR THE COMPLETE MANAGEMENT  OF  ALL  GAMING  OPER-
    3  ATIONS  IN  A  GAMING FACILITY SHALL NOT BE SUBJECT TO THE PROVISIONS OF
    4  THIS SUBDIVISION.
    5    (E) AGREEMENTS WHICH PROVIDE FOR PERCENTAGE CHARGES BETWEEN THE GAMING
    6  FACILITY  LICENSEE  AND A HOLDING COMPANY OR INTERMEDIARY COMPANY OF THE
    7  GAMING FACILITY LICENSEE SHALL BE IN WRITING AND FILED WITH THE  COMMIS-
    8  SION BUT SHALL NOT BE SUBJECT TO THE PROVISIONS OF THIS SUBDIVISION.
    9    (F)  WRITTEN  AGREEMENTS  RELATING TO THE OPERATION OF MULTI-CASINO OR
   10  MULTI-STATE PROGRESSIVE SLOT MACHINE SYSTEMS BETWEEN ONE OR MORE  GAMING
   11  FACILITY  LICENSEES AND A LICENSED CASINO VENDOR ENTERPRISE OR AN ELIGI-
   12  BLE APPLICANT FOR SUCH LICENSE, WHICH PROVIDE FOR AN INTEREST,  PERCENT-
   13  AGE  OR  SHARE  OF  THE  GAMING FACILITY LICENSEE'S REVENUES, PROFITS OR
   14  EARNINGS FROM THE OPERATION OF SUCH MULTI-CASINO OR MULTI-STATE PROGRES-
   15  SIVE SLOT MACHINES TO BE PAID TO THE CASINO VENDOR  ENTERPRISE  LICENSEE
   16  OR  APPLICANT SHALL NOT BE SUBJECT TO THE PROVISIONS OF THIS SUBDIVISION
   17  IF THE AGREEMENTS ARE FILED WITH AND APPROVED BY THE COMMISSION.
   18    2. EACH GAMING FACILITY  APPLICANT  OR  LICENSEE  SHALL  MAINTAIN,  IN
   19  ACCORDANCE WITH THE RULES OF THE COMMISSION, A RECORD OF EACH WRITTEN OR
   20  UNWRITTEN  AGREEMENT REGARDING THE REALTY, CONSTRUCTION, MAINTENANCE, OR
   21  BUSINESS OF A PROPOSED OR EXISTING GAMING FACILITY OR RELATED  FACILITY.
   22  THE  FOREGOING  OBLIGATION  SHALL APPLY REGARDLESS OF WHETHER THE GAMING
   23  FACILITY APPLICANT OR LICENSEE IS A PARTY TO  THE  AGREEMENT.  ANY  SUCH
   24  AGREEMENT  MAY BE REVIEWED BY THE COMMISSION ON THE BASIS OF THE REASON-
   25  ABLENESS OF ITS TERMS, INCLUDING THE TERMS OF COMPENSATION, AND  OF  THE
   26  QUALIFICATIONS  OF THE OWNERS, OFFICERS, EMPLOYEES, AND DIRECTORS OF ANY
   27  ENTERPRISE INVOLVED IN THE  AGREEMENT,  WHICH  QUALIFICATIONS  SHALL  BE
   28  REVIEWED  ACCORDING  TO THE STANDARDS ENUMERATED IN SECTION ONE THOUSAND
   29  THREE HUNDRED TWENTY-THREE OF THIS ARTICLE.   IF THE  COMMISSION  DISAP-
   30  PROVES  SUCH  AN AGREEMENT OR THE OWNERS, OFFICERS, EMPLOYEES, OR DIREC-
   31  TORS OF ANY ENTERPRISE INVOLVED THEREIN, THE COMMISSION MAY REQUIRE  ITS
   32  TERMINATION.
   33    EVERY AGREEMENT REQUIRED TO BE MAINTAINED, AND EVERY RELATED AGREEMENT
   34  THE  PERFORMANCE  OF WHICH IS DEPENDENT UPON THE PERFORMANCE OF ANY SUCH
   35  AGREEMENT, SHALL BE DEEMED TO INCLUDE A PROVISION TO THE EFFECT THAT, IF
   36  THE COMMISSION SHALL REQUIRE TERMINATION OF AN  AGREEMENT,  SUCH  TERMI-
   37  NATION  SHALL OCCUR WITHOUT LIABILITY ON THE PART OF THE GAMING FACILITY
   38  APPLICANT OR LICENSEE OR ANY QUALIFIED PARTY TO  THE  AGREEMENT  OR  ANY
   39  RELATED  AGREEMENT. FAILURE EXPRESSLY TO INCLUDE SUCH A PROVISION IN THE
   40  AGREEMENT SHALL NOT CONSTITUTE A DEFENSE IN ANY ACTION BROUGHT TO TERMI-
   41  NATE THE AGREEMENT. IF THE AGREEMENT IS NOT MAINTAINED OR  PRESENTED  TO
   42  THE  COMMISSION IN ACCORDANCE WITH COMMISSION REGULATIONS, OR THE DISAP-
   43  PROVED AGREEMENT IS NOT TERMINATED, THE COMMISSION MAY PURSUE ANY REMEDY
   44  OR COMBINATION OF REMEDIES PROVIDED IN THIS ARTICLE.
   45    FOR THE PURPOSES OF  THIS  SUBDIVISION,  "GAMING  FACILITY  APPLICANT"
   46  INCLUDES  ANY  PERSON REQUIRED TO HOLD A GAMING FACILITY LICENSE WHO HAS
   47  APPLIED TO THE COMMISSION FOR A GAMING FACILITY LICENSE OR ANY  APPROVAL
   48  REQUIRED.
   49    3.  NOTHING  IN THIS ARTICLE SHALL BE DEEMED TO PERMIT THE TRANSFER OF
   50  ANY LICENSE, OR ANY INTEREST IN  ANY  LICENSE,  OR  ANY  CERTIFICATE  OF
   51  COMPLIANCE  OR ANY COMMITMENT OR RESERVATION WITHOUT THE APPROVAL OF THE
   52  COMMISSION.
   53    S 1342. REQUIRED EXCLUSION OF CERTAIN  PERSONS.    1.  THE  COMMISSION
   54  SHALL, BY REGULATION, PROVIDE FOR THE ESTABLISHMENT OF A LIST OF PERSONS
   55  WHO  ARE  TO  BE  EXCLUDED OR EJECTED FROM ANY LICENSED GAMING FACILITY.
       S. 5883                            46                            A. 8101

    1  SUCH PROVISIONS SHALL DEFINE THE  STANDARDS  FOR  EXCLUSION,  AND  SHALL
    2  INCLUDE STANDARDS RELATING TO PERSONS:
    3    (A) WHO ARE CAREER OR PROFESSIONAL OFFENDERS AS DEFINED BY REGULATIONS
    4  PROMULGATED HEREUNDER; OR
    5    (B)  WHO  HAVE  BEEN CONVICTED OF A CRIMINAL OFFENSE UNDER THE LAWS OF
    6  ANY STATE OR OF THE UNITED STATES, WHICH  IS  PUNISHABLE  BY  MORE  THAN
    7  TWELVE  MONTHS IN PRISON, OR ANY CRIME OR OFFENSE INVOLVING MORAL TURPI-
    8  TUDE.
    9    THE COMMISSION SHALL PROMULGATE DEFINITIONS ESTABLISHING THOSE CATEGO-
   10  RIES OF PERSONS WHO SHALL BE EXCLUDED PURSUANT TO THIS SECTION,  INCLUD-
   11  ING  CHEATS  AND  PERSONS WHOSE PRIVILEGES FOR LICENSURE OR REGISTRATION
   12  HAVE BEEN REVOKED.
   13    2. ANY ENUMERATED CLASS LISTED  IN  SUBDIVISION  ONE  OF  SECTION  TWO
   14  HUNDRED  NINETY-SIX  OF  THE  HUMAN RIGHTS LAW SHALL NOT BE A REASON FOR
   15  PLACING THE NAME OF ANY PERSON UPON SUCH LIST.
   16    3. THE COMMISSION MAY IMPOSE SANCTIONS UPON A LICENSED GAMING FACILITY
   17  OR INDIVIDUAL LICENSEE OR REGISTRANT IN ACCORDANCE WITH  THE  PROVISIONS
   18  OF THIS ARTICLE IF SUCH GAMING FACILITY OR INDIVIDUAL LICENSEE OR REGIS-
   19  TRANT  KNOWINGLY  FAILS  TO  EXCLUDE  OR  EJECT FROM THE PREMISES OF ANY
   20  LICENSED GAMING FACILITY ANY PERSON PLACED BY THE COMMISSION ON THE LIST
   21  OF PERSONS TO BE EXCLUDED OR EJECTED.
   22    4. ANY LIST COMPILED BY THE COMMISSION OF PERSONS TO  BE  EXCLUDED  OR
   23  EJECTED  SHALL  NOT BE DEEMED AN ALL-INCLUSIVE LIST, AND LICENSED GAMING
   24  FACILITIES SHALL HAVE A DUTY TO KEEP FROM THEIR PREMISES  PERSONS  KNOWN
   25  TO  THEM  TO  BE WITHIN THE CLASSIFICATIONS DECLARED IN SUBDIVISIONS ONE
   26  AND TWO OF THIS SECTION AND THE REGULATIONS PROMULGATED  THEREUNDER,  OR
   27  KNOWN TO THEM TO BE PERSONS WHOSE PRESENCE IN A LICENSED GAMING FACILITY
   28  WOULD  BE  INIMICAL  TO  THE INTEREST OF THE STATE OR OF LICENSED GAMING
   29  THEREIN, OR BOTH, AS DEFINED IN STANDARDS ESTABLISHED BY THE COMMISSION.
   30    5. PRIOR TO PLACING THE NAME OF ANY PERSON ON A LIST PURSUANT TO  THIS
   31  SECTION,  THE  COMMISSION  SHALL  SERVE  NOTICE  OF SUCH FACT AND OF THE
   32  OPPORTUNITY FOR A HEARING TO SUCH  PERSON  BY  PERSONAL  SERVICE  OR  BY
   33  CERTIFIED MAIL AT THE LAST KNOWN ADDRESS OF SUCH PERSON.
   34    6. WITHIN THIRTY DAYS AFTER SERVICE OF THE PETITION IN ACCORDANCE WITH
   35  SUBDIVISION  FIVE  OF  THIS  SECTION,  THE PERSON NAMED FOR EXCLUSION OR
   36  EJECTION MAY DEMAND A HEARING BEFORE THE EXECUTIVE DIRECTOR OR THE EXEC-
   37  UTIVE DIRECTOR'S DESIGNEE, AT WHICH HEARING THE  EXECUTIVE  DIRECTOR  OR
   38  THE  EXECUTIVE DIRECTOR'S DESIGNEE SHALL HAVE THE AFFIRMATIVE OBLIGATION
   39  TO DEMONSTRATE BY SUBSTANTIAL EVIDENCE THAT THE PERSON NAMED FOR  EXCLU-
   40  SION  OR  EJECTION  SATISFIES  THE CRITERIA FOR EXCLUSION ESTABLISHED BY
   41  THIS SECTION AND THE APPLICABLE REGULATIONS. FAILURE TO  DEMAND  SUCH  A
   42  HEARING  WITHIN  THIRTY  DAYS AFTER SERVICE SHALL PRECLUDE A PERSON FROM
   43  HAVING AN ADMINISTRATIVE HEARING, BUT SHALL IN NO WAY AFFECT HIS OR  HER
   44  RIGHT TO JUDICIAL REVIEW AS PROVIDED HEREIN.
   45    7.  THE  COMMISSION  MAY MAKE A PRELIMINARY PLACEMENT ON THE LIST OF A
   46  PERSON NAMED IN A PETITION FOR EXCLUSION OR EJECTION PENDING  COMPLETION
   47  OF A HEARING ON THE PETITION. THE HEARING ON THE APPLICATION FOR PRELIM-
   48  INARY  PLACEMENT  SHALL  BE A LIMITED PROCEEDING AT WHICH THE COMMISSION
   49  SHALL HAVE THE AFFIRMATIVE  OBLIGATION  TO  DEMONSTRATE  BY  SUBSTANTIAL
   50  EVIDENCE  THAT  THE  PERSON  SATISFIES THE CRITERIA FOR EXCLUSION ESTAB-
   51  LISHED BY THIS SECTION AND THE APPLICABLE REGULATIONS. IF A  PERSON  HAS
   52  BEEN  PLACED  ON  THE LIST AS A RESULT OF AN APPLICATION FOR PRELIMINARY
   53  PLACEMENT, UNLESS OTHERWISE AGREED BY THE  EXECUTIVE  DIRECTOR  AND  THE
   54  NAMED  PERSON, A HEARING ON THE PETITION FOR EXCLUSION OR EJECTION SHALL
   55  BE INITIATED WITHIN THIRTY DAYS AFTER THE RECEIPT OF A DEMAND  FOR  SUCH
       S. 5883                            47                            A. 8101

    1  HEARING  OR  THE DATE OF PRELIMINARY PLACEMENT ON THE LIST, WHICHEVER IS
    2  LATER.
    3    8. IF, UPON COMPLETION OF THE HEARING ON THE PETITION FOR EXCLUSION OR
    4  EJECTION, THE EXECUTIVE DIRECTOR DETERMINES THAT THE PERSON NAMED THERE-
    5  IN  DOES  NOT  SATISFY  THE  CRITERIA  FOR EXCLUSION ESTABLISHED BY THIS
    6  SECTION AND THE APPLICABLE REGULATIONS,  THE  EXECUTIVE  DIRECTOR  SHALL
    7  ISSUE AN ORDER DENYING THE PETITION. IF THE PERSON NAMED IN THE PETITION
    8  FOR  EXCLUSION OR EJECTION HAD BEEN PLACED ON THE LIST AS A RESULT OF AN
    9  APPLICATION FOR PRELIMINARY  PLACEMENT,  THE  EXECUTIVE  DIRECTOR  SHALL
   10  NOTIFY  ALL  GAMING  FACILITY LICENSEES OF THE PERSON'S REMOVAL FROM THE
   11  LIST.
   12    9. IF, UPON COMPLETION OF A HEARING ON THE PETITION FOR  EXCLUSION  OR
   13  EJECTION,  THE  EXECUTIVE DIRECTOR DETERMINES THAT PLACEMENT OF THE NAME
   14  OF THE PERSON ON THE EXCLUSION LIST IS APPROPRIATE, THE EXECUTIVE DIREC-
   15  TOR SHALL MAKE AND ENTER AN ORDER TO THAT EFFECT, WHICH ORDER  SHALL  BE
   16  SERVED  ON ALL GAMING FACILITY LICENSEES. SUCH ORDER SHALL BE SUBJECT TO
   17  REVIEW BY THE COMMISSION  IN  ACCORDANCE  WITH  REGULATIONS  PROMULGATED
   18  THEREUNDER,  WHICH FINAL DECISION SHALL BE SUBJECT TO REVIEW PURSUANT TO
   19  ARTICLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND RULES.
   20    S 1343. EXCLUSION, EJECTION OF CERTAIN PERSONS.  1. A GAMING  FACILITY
   21  LICENSEE MAY EXCLUDE OR EJECT FROM ITS GAMING FACILITY ANY PERSON WHO IS
   22  KNOWN  TO  IT  TO  HAVE  BEEN CONVICTED OF A CRIME OR DISORDERLY CONDUCT
   23  COMMITTED IN OR ON THE PREMISES OF ANY GAMING FACILITY.
   24    2. NOTHING IN THIS SECTION OR IN ANY OTHER LAW  OF  THIS  STATE  SHALL
   25  LIMIT THE RIGHT OF A GAMING FACILITY LICENSEE TO EXERCISE ITS COMMON LAW
   26  RIGHT  TO  EXCLUDE  OR  EJECT  PERMANENTLY  FROM ITS GAMING FACILITY ANY
   27  PERSON WHO DISRUPTS THE OPERATIONS OF ITS PREMISES, THREATENS THE  SECU-
   28  RITY OF ITS PREMISES OR ITS OCCUPANTS, OR IS DISORDERLY OR INTOXICATED.
   29    S  1344. LIST OF PERSONS SELF-EXCLUDED FROM GAMING ACTIVITIES.  1. THE
   30  COMMISSION SHALL PROVIDE BY REGULATION FOR THE ESTABLISHMENT OF  A  LIST
   31  OF  PERSONS  SELF-EXCLUDED FROM GAMING ACTIVITIES AT ALL LICENSED GAMING
   32  FACILITIES. ANY PERSON MAY REQUEST PLACEMENT ON THE LIST OF SELF-EXCLUD-
   33  ED PERSONS BY ACKNOWLEDGING IN A MANNER TO BE ESTABLISHED BY THE COMMIS-
   34  SION THAT THE PERSON IS A PROBLEM GAMBLER AND BY AGREEING  THAT,  DURING
   35  ANY  PERIOD  OF  VOLUNTARY  EXCLUSION,  THE  PERSON  MAY NOT COLLECT ANY
   36  WINNINGS OR RECOVER ANY LOSSES RESULTING FROM  ANY  GAMING  ACTIVITY  AT
   37  SUCH GAMING FACILITIES.
   38    2.  THE  REGULATIONS  OF THE COMMISSION SHALL ESTABLISH PROCEDURES FOR
   39  PLACEMENTS ON, AND REMOVALS FROM, THE  LIST  OF  SELF-EXCLUDED  PERSONS.
   40  SUCH  REGULATIONS  SHALL  ESTABLISH  PROCEDURES  FOR  THE TRANSMITTAL TO
   41  LICENSED  GAMING  FACILITIES  OF  IDENTIFYING   INFORMATION   CONCERNING
   42  SELF-EXCLUDED  PERSONS,  AND SHALL REQUIRE LICENSED GAMING FACILITIES TO
   43  ESTABLISH PROCEDURES DESIGNED, AT A  MINIMUM,  TO  REMOVE  SELF-EXCLUDED
   44  PERSONS  FROM  TARGETED  MAILINGS  OR  OTHER  FORMS  OF  ADVERTISING  OR
   45  PROMOTIONS AND DENY SELF-EXCLUDED PERSONS ACCESS TO CREDIT, COMPLIMENTA-
   46  RIES, CHECK CASHING PRIVILEGES, CLUB PROGRAMS, AND OTHER  SIMILAR  BENE-
   47  FITS.
   48    3.  A  LICENSED  GAMING FACILITY OR EMPLOYEE THEREOF ACTING REASONABLY
   49  AND IN GOOD FAITH SHALL NOT BE LIABLE TO ANY SELF-EXCLUDED PERSON OR  TO
   50  ANY  OTHER  PARTY  IN  ANY JUDICIAL PROCEEDING FOR ANY HARM, MONETARY OR
   51  OTHERWISE, WHICH MAY ARISE AS A RESULT OF:
   52    (A) THE FAILURE OF A LICENSED GAMING FACILITY TO WITHHOLD GAMING PRIV-
   53  ILEGES FROM, OR RESTORE GAMING PRIVILEGES TO, A SELF-EXCLUDED PERSON; OR
   54    (B) OTHERWISE PERMITTING A SELF-EXCLUDED PERSON TO  ENGAGE  IN  GAMING
   55  ACTIVITY  IN SUCH LICENSED GAMING FACILITY WHILE ON THE LIST OF SELF-EX-
   56  CLUDED PERSONS.
       S. 5883                            48                            A. 8101

    1    4. NOTWITHSTANDING ANY OTHER LAW TO  THE  CONTRARY,  THE  COMMISSION'S
    2  LIST  OF  SELF-EXCLUDED  PERSONS SHALL NOT BE OPEN TO PUBLIC INSPECTION.
    3  NOTHING HEREIN, HOWEVER, SHALL BE CONSTRUED TO PROHIBIT A GAMING FACILI-
    4  TY LICENSEE FROM DISCLOSING THE IDENTITY OF PERSONS SELF-EXCLUDED PURSU-
    5  ANT TO THIS SECTION TO AFFILIATED GAMING ENTITIES IN THIS STATE OR OTHER
    6  JURISDICTIONS  FOR THE LIMITED PURPOSE OF ASSISTING IN THE PROPER ADMIN-
    7  ISTRATION OF RESPONSIBLE GAMING PROGRAMS OPERATED BY SUCH GAMING  AFFIL-
    8  IATED ENTITIES.
    9    5.  A LICENSED GAMING FACILITY OR EMPLOYEE THEREOF SHALL NOT BE LIABLE
   10  TO ANY SELF-EXCLUDED PERSON OR  TO  ANY  OTHER  PARTY  IN  ANY  JUDICIAL
   11  PROCEEDING  FOR  ANY  HARM,  MONETARY OR OTHERWISE, WHICH MAY ARISE AS A
   12  RESULT OF DISCLOSURE OR PUBLICATION IN ANY MANNER, OTHER THAN A WILLFUL-
   13  LY UNLAWFUL DISCLOSURE OR PUBLICATION, OF THE IDENTITY OF  ANY  SELF-EX-
   14  CLUDED PERSON.
   15    S  1345. EXCLUDED PERSON; FORFEITURE OF WINNINGS; OTHER SANCTIONS.  1.
   16  A PERSON WHO IS PROHIBITED FROM GAMING IN A LICENSED GAMING FACILITY  BY
   17  ANY  ORDER  OF  THE EXECUTIVE DIRECTOR, COMMISSION OR COURT OF COMPETENT
   18  JURISDICTION, INCLUDING ANY PERSON ON THE SELF-EXCLUSION  LIST  PURSUANT
   19  TO  SUBDIVISION  ONE OF SECTION ONE THOUSAND THREE HUNDRED FORTY-FOUR OF
   20  THIS TITLE, SHALL NOT COLLECT, IN ANY MANNER OR PROCEEDING, ANY WINNINGS
   21  OR RECOVER ANY LOSSES ARISING AS  A  RESULT  OF  ANY  PROHIBITED  GAMING
   22  ACTIVITY.
   23    2.  FOR  THE  PURPOSES THIS SECTION, ANY GAMING ACTIVITY IN A LICENSED
   24  GAMING FACILITY WHICH RESULTS IN A PROHIBITED PERSON OBTAINING ANY MONEY
   25  OR THING OF VALUE FROM, OR BEING OWED ANY MONEY OR THING  OF  VALUE  BY,
   26  THE  GAMING  FACILITY  SHALL  BE CONSIDERED, SOLELY FOR PURPOSES OF THIS
   27  SECTION, TO BE A FULLY EXECUTED GAMBLING TRANSACTION.
   28    3. IN ADDITION TO ANY OTHER PENALTY PROVIDED  BY  LAW,  ANY  MONEY  OR
   29  THING OF VALUE WHICH HAS BEEN OBTAINED BY, OR IS OWED TO, ANY PROHIBITED
   30  PERSON  BY  A  LICENSED  GAMING FACILITY AS A RESULT OF WAGERS MADE BY A
   31  PROHIBITED PERSON SHALL BE SUBJECT TO FORFEITURE FOLLOWING NOTICE TO THE
   32  PROHIBITED PERSON AND OPPORTUNITY TO BE HEARD. A LICENSED GAMING FACILI-
   33  TY SHALL INFORM A PROHIBITED PERSON OF THE AVAILABILITY OF  SUCH  NOTICE
   34  ON  THE  COMMISSION'S  WEBSITE  WHEN  EJECTING THE PROHIBITED PERSON AND
   35  SEIZING ANY CHIPS, VOUCHERS OR OTHER REPRESENTATIVE OF MONEY OWED  BY  A
   36  GAMING  FACILITY TO THE PROHIBITED PERSON AS AUTHORIZED BY THIS SUBDIVI-
   37  SION.   ALL FORFEITED AMOUNTS SHALL BE  DEPOSITED  INTO  THE  COMMERCIAL
   38  GAMING REVENUE FUND.
   39    4.  IN  ANY PROCEEDING BROUGHT BY THE COMMISSION AGAINST A LICENSEE OR
   40  REGISTRANT FOR A WILLFUL VIOLATION OF  THE  COMMISSION'S  SELF-EXCLUSION
   41  REGULATIONS, THE COMMISSION MAY ORDER, IN ADDITION TO ANY OTHER SANCTION
   42  AUTHORIZED,  AN  ADDITIONAL  FINE  OF  DOUBLE THE AMOUNT OF ANY MONEY OR
   43  THING OF VALUE OBTAINED BY THE LICENSEE OR REGISTRANT FROM ANY  SELF-EX-
   44  CLUDED  PERSON.  ANY  MONEY  OR  THING  OF  VALUE  SO FORFEITED SHALL BE
   45  DISPOSED OF IN THE SAME MANNER AS ANY MONEY OR THING OF VALUE  FORFEITED
   46  PURSUANT TO SUBDIVISION THREE OF THIS SECTION.
   47    S  1346. LABOR PEACE AGREEMENTS FOR CERTAIN FACILITIES.  1. AS USED IN
   48  THIS SECTION:
   49    (A) "GAMING FACILITY" MEANS ANY GAMING FACILITY LICENSED  PURSUANT  TO
   50  THIS  ARTICLE OR A VIDEO LOTTERY GAMING FACILITY AS MAY BE AUTHORIZED BY
   51  PARAGRAPH THREE OF SUBDIVISION (A) OF SECTION ONE THOUSAND  SIX  HUNDRED
   52  SEVENTEEN-A  OF THE TAX LAW, AS AMENDED BY SECTION NINETEEN OF THE CHAP-
   53  TER OF THE LAWS  OF  TWO  THOUSAND  THIRTEEN  THAT  ADDED  THIS  SECTION
   54  LICENSED  BY  THE  COMMISSION.   A GAMING FACILITY SHALL NOT INCLUDE ANY
   55  HORSE RACING, BINGO OR CHARITABLE GAMES OF CHANCE, THE STATE LOTTERY FOR
   56  EDUCATION, OR ANY GAMING FACILITY  OPERATING  PURSUANT  TO  THE  FEDERAL
       S. 5883                            49                            A. 8101

    1  INDIAN GAMING REGULATORY ACT, 25 U.S.C. S 2710 ET SEQ. A GAMING FACILITY
    2  SHALL  INCLUDE  ANY  HOSPITALITY  OPERATION  AT OR RELATED TO THE GAMING
    3  FACILITY.
    4    (B)  "LABOR  PEACE  AGREEMENT" MEANS AN AGREEMENT ENFORCEABLE UNDER 29
    5  U.S.C. S 185(A) THAT, AT A MINIMUM,  PROTECTS  THE  STATE'S  PROPRIETARY
    6  INTERESTS  BY  PROHIBITING LABOR ORGANIZATIONS AND MEMBERS FROM ENGAGING
    7  IN PICKETING, WORK STOPPAGES, BOYCOTTS, AND ANY OTHER ECONOMIC INTERFER-
    8  ENCE WITH OPERATION OF THE RELEVANT GAMING FACILITY.
    9    (C) "LICENSE" MEANS ANY PERMIT, LICENSE, FRANCHISE OR ALLOWANCE OF THE
   10  COMMISSION AND SHALL INCLUDE ANY FRANCHISEE OR PERMITTEE.
   11    (D) "PROPRIETARY INTEREST" MEANS AN ECONOMIC AND NON-REGULATORY INTER-
   12  EST AT RISK IN THE FINANCIAL SUCCESS OF THE GAMING FACILITY  THAT  COULD
   13  BE  ADVERSELY  AFFECTED  BY LABOR-MANAGEMENT CONFLICT, INCLUDING BUT NOT
   14  LIMITED TO PROPERTY INTERESTS, FINANCIAL INVESTMENTS AND  REVENUE  SHAR-
   15  ING.
   16    2.  THE STATE LEGISLATURE FINDS THAT THE GAMING INDUSTRY CONSTITUTES A
   17  VITAL SECTOR OF NEW YORK'S OVERALL ECONOMY AND THAT  THE  STATE  THROUGH
   18  ITS  OPERATION OF LOTTERIES AND VIDEO LOTTERY FACILITIES AND THROUGH ITS
   19  OWNERSHIP OF THE PROPERTIES UTILIZED FOR HORSE RACING BY  THE  NEW  YORK
   20  RACING  ASSOCIATION INC. HAS A SIGNIFICANT AND ONGOING ECONOMIC AND NON-
   21  REGULATORY INTEREST IN THE FINANCIAL VIABILITY  AND  COMPETITIVENESS  OF
   22  THE  GAMING INDUSTRY. THE STATE LEGISLATURE FURTHER FINDS THAT THE AWARD
   23  OR GRANT OF A LICENSE BY THE COMMISSION TO OPERATE A GAMING FACILITY  IS
   24  A SIGNIFICANT STATE ACTION AND THAT THE COMMISSION MUST MAKE PRUDENT AND
   25  EFFICIENT  DECISIONS  TO MAXIMIZE THE BENEFITS AND MINIMIZE THE RISKS OF
   26  GAMING. THE STATE LEGISLATURE  FURTHER  RECOGNIZES  THAT  CASINO  GAMING
   27  INDUSTRY  INTEGRATION  CAN  PROVIDE  A  VITAL ECONOMIC ENGINE TO ASSIST,
   28  NURTURE, DEVELOP, AND PROMOTE REGIONAL ECONOMIC DEVELOPMENT,  THE  STATE
   29  TOURISM  INDUSTRY AND THE GROWTH OF JOBS IN THE STATE. ADDITIONALLY, THE
   30  STATE LEGISLATURE ALSO FINDS REVENUES DERIVED DIRECTLY BY THE STATE FROM
   31  SUCH GAMING ACTIVITY WILL BE SHARED FROM GROSS  GAMING  RECEIPTS,  AFTER
   32  PAYOUT OF PRIZES BUT PRIOR TO DEDUCTIONS FOR OPERATIONAL EXPENSES.
   33    THEREFORE,  THE  STATE LEGISLATURE FINDS THAT THE STATE HAS A SUBSTAN-
   34  TIAL AND COMPELLING PROPRIETARY INTEREST IN ANY LICENSE AWARDED FOR  THE
   35  OPERATION OF A GAMING FACILITY WITHIN THE STATE.
   36    3.  THE  COMMISSION  SHALL REQUIRE ANY APPLICANT FOR A GAMING FACILITY
   37  LICENSE WHO HAS NOT YET ENTERED INTO A LABOR PEACE AGREEMENT TO  PRODUCE
   38  AN  AFFIDAVIT  STATING  IT SHALL ENTER INTO A LABOR PEACE AGREEMENT WITH
   39  LABOR  ORGANIZATIONS  THAT  ARE  ACTIVELY  ENGAGED  IN  REPRESENTING  OR
   40  ATTEMPTING  TO  REPRESENT  GAMING OR HOSPITALITY INDUSTRY WORKERS IN THE
   41  STATE. IN ORDER FOR THE COMMISSION TO ISSUE A  GAMING  FACILITY  LICENSE
   42  AND  FOR  OPERATIONS  TO  COMMENCE,  THE APPLICANT FOR A GAMING FACILITY
   43  LICENSE MUST PRODUCE DOCUMENTATION THAT IT  HAS  ENTERED  INTO  A  LABOR
   44  PEACE AGREEMENT WITH EACH LABOR ORGANIZATION THAT IS ACTIVELY ENGAGED IN
   45  REPRESENTING AND ATTEMPTING TO REPRESENT GAMING AND HOSPITALITY INDUSTRY
   46  WORKERS  IN THE STATE. THE COMMISSION SHALL MAKE THE MAINTENANCE OF SUCH
   47  A LABOR PEACE AGREEMENT AN ONGOING MATERIAL CONDITION OF LICENSURE.
   48    A LICENSE HOLDER SHALL, AS A CONDITION OF  ITS  LICENSE,  ENSURE  THAT
   49  OPERATIONS  AT  THE  GAMING  FACILITY THAT ARE CONDUCTED BY CONTRACTORS,
   50  SUBCONTRACTORS, LICENSEES, ASSIGNEES, TENANTS  OR  SUBTENANTS  AND  THAT
   51  INVOLVE  GAMING  OR HOSPITALITY INDUSTRY EMPLOYEES SHALL BE DONE UNDER A
   52  LABOR PEACE AGREEMENT CONTAINING THE SAME PROVISIONS AS SPECIFIED ABOVE.
   53    4. IF OTHERWISE APPLICABLE, CAPITAL PROJECTS UNDERTAKEN  BY  A  GAMING
   54  FACILITY SHALL BE SUBJECT TO ARTICLE EIGHT OF THE LABOR LAW AND SHALL BE
   55  SUBJECT  TO  THE  ENFORCEMENT  OF  PREVAILING  WAGE  REQUIREMENTS BY THE
   56  DEPARTMENT OF LABOR.
       S. 5883                            50                            A. 8101

    1    5. IF OTHERWISE APPLICABLE, CAPITAL PROJECTS UNDERTAKEN  BY  A  GAMING
    2  FACILITY  SHALL  BE  SUBJECT  TO SECTION ONE HUNDRED THIRTY- FIVE OF THE
    3  STATE FINANCE LAW.
    4    6.  IF  OTHERWISE  APPLICABLE,  ANY  GAMING  FACILITY  ENTERING INTO A
    5  CONTRACT FOR A GAMING FACILITY CAPITOL PROJECT SHALL BE DEEMED TO  BE  A
    6  STATE  AGENCY, AND SUCH CONTRACT SHALL BE DEEMED TO BE A STATE CONTRACT,
    7  FOR PURPOSES OF ARTICLE FIFTEEN-A OF THE EXECUTIVE LAW AND  SECTION  TWO
    8  HUNDRED TWENTY-TWO OF THE LABOR LAW.
    9                                   TITLE 6
   10                              TAXATION AND FEES
   11  SECTION 1348. MACHINE AND TABLE FEES.
   12          1349. REGULATORY INVESTIGATORY FEES.
   13          1350. ADDITIONAL REGULATORY COSTS.
   14          1351. TAX ON GAMING REVENUES; PERMISSIVE SUPPLEMENTAL FEE.
   15          1352. COMMERCIAL GAMING REVENUE FUND.
   16          1353. DETERMINATION OF TAX LIABILITY.
   17          1354. UNCLAIMED FUNDS.
   18          1355. RACING SUPPORT PAYMENTS.
   19    S  1348.  MACHINE  AND TABLE FEES. IN ADDITION TO ANY OTHER TAX OR FEE
   20  IMPOSED BY THIS ARTICLE, THERE SHALL BE IMPOSED AN ANNUAL LICENSE FEE OF
   21  FIVE HUNDRED DOLLARS FOR EACH SLOT MACHINE AND  TABLE  APPROVED  BY  THE
   22  COMMISSION  FOR USE BY A GAMING LICENSEE AT A GAMING FACILITY; PROVIDED,
   23  HOWEVER, THAT NOT SOONER THAN FIVE YEARS  AFTER  AWARD  OF  AN  ORIGINAL
   24  GAMING   LICENSE,  THE  COMMISSION  MAY  ANNUALLY  ADJUST  THE  FEE  FOR
   25  INFLATION. THE FEE SHALL BE IMPOSED AS OF JULY FIRST OF  EACH  YEAR  FOR
   26  ALL APPROVED SLOT MACHINES AND TABLES ON THAT DATE AND SHALL BE ASSESSED
   27  ON A PRO RATA BASIS FOR ANY SLOT MACHINE OR TABLE APPROVED FOR USE THER-
   28  EAFTER.
   29    SUCH  ASSESSED  FEES  SHALL  BE  DEPOSITED  INTO THE COMMERCIAL GAMING
   30  REVENUE FUND ESTABLISHED PURSUANT TO SECTION ONE THOUSAND THREE  HUNDRED
   31  FIFTY-TWO OF THIS ARTICLE.
   32    S  1349.  REGULATORY  INVESTIGATORY FEES. THE COMMISSION MAY ESTABLISH
   33  FEES FOR ANY INVESTIGATION INTO A VIOLATION OF  THIS  ARTICLE  OR  REGU-
   34  LATION PROMULGATED HEREUNDER BY A GAMING FACILITY LICENSEE TO BE PAID BY
   35  THE  GAMING  FACILITY  LICENSEE  INCLUDING, BUT NOT LIMITED TO, BILLABLE
   36  HOURS BY COMMISSION STAFF INVOLVED IN THE INVESTIGATION AND THE COSTS OF
   37  SERVICES, EQUIPMENT OR OTHER EXPENSES THAT ARE INCURRED BY  THE  COMMIS-
   38  SION DURING THE INVESTIGATION.
   39    S  1350.  ADDITIONAL REGULATORY COSTS.   1. ANY REMAINING COSTS OF THE
   40  COMMISSION NECESSARY TO MAINTAIN REGULATORY CONTROL OVER GAMING  FACILI-
   41  TIES  THAT ARE NOT COVERED BY THE FEES SET FORTH IN SECTION ONE THOUSAND
   42  THREE HUNDRED FORTY-NINE OF THIS TITLE; ANY OTHER  FEES  ASSESSED  UNDER
   43  THIS  ARTICLE;  OR  ANY  OTHER  DESIGNATED  SOURCES OF FUNDING, SHALL BE
   44  ASSESSED ANNUALLY ON GAMING LICENSEES UNDER THIS ARTICLE  IN  PROPORTION
   45  TO  THE  NUMBER OF GAMING POSITIONS AT EACH GAMING FACILITY. EACH GAMING
   46  LICENSEE SHALL PAY THE AMOUNT ASSESSED AGAINST  IT  WITHIN  THIRTY  DAYS
   47  AFTER THE DATE OF THE NOTICE OF ASSESSMENT FROM THE COMMISSION.
   48    2.  IF THE FEES COLLECTED IN SECTION ONE THOUSAND THREE HUNDRED FORTY-
   49  NINE OF THIS TITLE EXCEED  THE  COST  REQUIRED  TO  MAINTAIN  REGULATORY
   50  CONTROL,  THE  SURPLUS  FUNDS  SHALL  BE CREDITED IN PROPORTIONAL SHARES
   51  AGAINST EACH GAMING LICENSEE'S NEXT ASSESSMENT.
   52    S 1351. TAX ON GAMING REVENUES; PERMISSIVE SUPPLEMENTAL FEE. 1. FOR  A
   53  GAMING  FACILITY  IN  ZONE  TWO,  THERE IS HEREBY IMPOSED A TAX ON GROSS
   54  GAMING REVENUES. THE AMOUNT OF SUCH TAX IMPOSED  SHALL  BE  AS  FOLLOWS;
   55  PROVIDED,  HOWEVER, SHOULD A LICENSEE HAVE AGREED WITHIN ITS APPLICATION
   56  TO SUPPLEMENT THE TAX WITH A BINDING SUPPLEMENTAL FEE PAYMENT  EXCEEDING
       S. 5883                            51                            A. 8101

    1  THE  AFOREMENTIONED  TAX RATE, SUCH TAX AND SUPPLEMENTAL FEE SHALL APPLY
    2  FOR A GAMING FACILITY:
    3    (A)  IN  REGION  TWO,  FORTY-FIVE PERCENT OF GROSS GAMING REVENUE FROM
    4  SLOT MACHINES AND TEN PERCENT OF GROSS GAMING  REVENUE  FROM  ALL  OTHER
    5  SOURCES.
    6    (B)  IN  REGION  ONE, THIRTY-NINE PERCENT OF GROSS GAMING REVENUE FROM
    7  SLOT MACHINES AND TEN PERCENT OF GROSS GAMING  REVENUE  FROM  ALL  OTHER
    8  SOURCES.
    9    (C)  IN REGION FIVE, THIRTY-SEVEN PERCENT OF GROSS GAMING REVENUE FROM
   10  SLOT MACHINES AND TEN PERCENT OF GROSS GAMING  REVENUE  FROM  ALL  OTHER
   11  SOURCES.
   12    S  1352.  COMMERCIAL GAMING REVENUE FUND.  1. THE COMMISSION SHALL PAY
   13  INTO AN ACCOUNT, TO BE KNOWN AS THE COMMERCIAL GAMING  REVENUE  FUND  AS
   14  ESTABLISHED  PURSUANT  TO SECTION NINETY-SEVEN-NNNN OF THE STATE FINANCE
   15  LAW, UNDER THE JOINT CUSTODY OF THE COMPTROLLER AND THE COMMISSIONER  OF
   16  TAXATION  AND  FINANCE,  ALL TAXES AND FEES IMPOSED BY THIS ARTICLE; ANY
   17  INTEREST AND PENALTIES IMPOSED  BY  THE  COMMISSION  RELATING  TO  THOSE
   18  TAXES; THE APPROPRIATE PERCENTAGE OF THE VALUE OF EXPIRED GAMING RELATED
   19  OBLIGATIONS;  ALL  PENALTIES LEVIED AND COLLECTED BY THE COMMISSION; AND
   20  THE APPROPRIATE FUNDS, CASH OR PRIZES FORFEITED FROM GAMBLING ACTIVITY.
   21    2. THE COMMISSION SHALL REQUIRE  AT  LEAST  MONTHLY  DEPOSITS  BY  THE
   22  LICENSEE  OF ANY PAYMENTS PURSUANT TO SECTION ONE THOUSAND THREE HUNDRED
   23  FIFTY-ONE OF THIS ARTICLE, AT SUCH TIMES, UNDER SUCH CONDITIONS, AND  IN
   24  SUCH  DEPOSITORIES  AS SHALL BE PRESCRIBED BY THE STATE COMPTROLLER. THE
   25  DEPOSITS SHALL BE DEPOSITED TO  THE  CREDIT  OF  THE  COMMERCIAL  GAMING
   26  REVENUE  FUND  AS  ESTABLISHED BY SECTION NINETY-SEVEN-NNNN OF THE STATE
   27  FINANCE LAW. THE COMMISSION MAY REQUIRE A MONTHLY REPORT  AND  RECONCIL-
   28  IATION  STATEMENT TO BE FILED WITH IT ON OR BEFORE THE TENTH DAY OF EACH
   29  MONTH, WITH RESPECT TO GROSS REVENUES AND DEPOSITS  RECEIVED  AND  MADE,
   30  RESPECTIVELY, DURING THE PRECEDING MONTH.
   31    S  1353.  DETERMINATION  OF  TAX LIABILITY. THE COMMISSION MAY PERFORM
   32  AUDITS OF THE BOOKS AND RECORDS OF A GAMING FACILITY LICENSEE,  AT  SUCH
   33  TIMES  AND  INTERVALS AS IT DEEMS APPROPRIATE, FOR THE PURPOSE OF DETER-
   34  MINING THE SUFFICIENCY OF TAX OR FEE PAYMENTS. IF A  RETURN  OR  DEPOSIT
   35  REQUIRED  WITH REGARD TO OBLIGATIONS IMPOSED IS NOT FILED OR PAID, OR IF
   36  A RETURN OR DEPOSIT WHEN FILED OR PAID IS DETERMINED BY  THE  COMMISSION
   37  TO  BE INCORRECT OR INSUFFICIENT WITH OR WITHOUT AN AUDIT, THE AMOUNT OF
   38  TAX, FEE OR DEPOSIT DUE SHALL BE DETERMINED BY THE COMMISSION.    NOTICE
   39  OF  SUCH  DETERMINATION  SHALL  BE  GIVEN TO THE LICENSEE LIABLE FOR THE
   40  PAYMENT OF THE TAX OR FEE OR DEPOSIT. SUCH DETERMINATION  SHALL  FINALLY
   41  AND  IRREVOCABLY FIX THE TAX OR FEE UNLESS THE PERSON AGAINST WHOM IT IS
   42  ASSESSED, WITHIN THIRTY DAYS AFTER RECEIVING  NOTICE  OF  SUCH  DETERMI-
   43  NATION,  SHALL  APPLY TO THE COMMISSION FOR A HEARING IN ACCORDANCE WITH
   44  THE REGULATIONS OF THE COMMISSION.
   45    S 1354. UNCLAIMED FUNDS. UNCLAIMED FUNDS, CASH  AND  PRIZES  SHALL  BE
   46  RETAINED  BY THE GAMING FACILITY LICENSEE FOR THE PERSON ENTITLED TO THE
   47  FUNDS, CASH OR PRIZE FOR ONE YEAR AFTER THE GAME  IN  WHICH  THE  FUNDS,
   48  CASH  OR PRIZE WAS WON. IF NO CLAIM IS MADE FOR THE FUNDS, CASH OR PRIZE
   49  WITHIN ONE YEAR, THE FUNDS, CASH OR EQUIVALENT CASH VALUE OF  THE  PRIZE
   50  SHALL BE DEPOSITED IN THE COMMERCIAL GAMING REVENUE FUND.
   51    S  1355.  RACING SUPPORT PAYMENTS.  1. IF AN APPLICANT WHO POSSESSES A
   52  PARI-MUTUEL WAGERING FRANCHISE OR LICENSE AWARDED  PURSUANT  TO  ARTICLE
   53  TWO  OR THREE OF THIS CHAPTER, OR WHO POSSESSED IN TWO THOUSAND THIRTEEN
   54  A FRANCHISE OR A LICENSE AWARDED PURSUANT TO ARTICLE  TWO  OR  THREE  OF
   55  THIS  CHAPTER OR IS AN ARTICULATED ENTITY OR SUCH APPLICANT, IS ISSUED A
   56  GAMING FACILITY LICENSE PURSUANT TO THIS ARTICLE, THE LICENSEE SHALL:
       S. 5883                            52                            A. 8101

    1    (A) MAINTAIN PAYMENTS MADE FROM VIDEO LOTTERY GAMING OPERATIONS TO THE
    2  RELEVANT HORSEMEN AND BREEDERS ORGANIZATIONS AT THE  SAME  DOLLAR  LEVEL
    3  REALIZED  IN  TWO THOUSAND THIRTEEN, TO BE ADJUSTED ANNUALLY PURSUANT TO
    4  CHANGES IN  THE  CONSUMER  PRICE  INDEX  FOR  ALL  URBAN  CONSUMERS,  AS
    5  PUBLISHED  ANNUALLY  BY  THE UNITED STATES DEPARTMENT OF LABOR BUREAU OF
    6  LABOR STATISTICS;
    7    (B) ALL RACETRACKS LOCATIONS AWARDED A GAMING FACILITY  LICENSE  SHALL
    8  MAINTAIN  RACING  ACTIVITY  AND  RACE DATES PURSUANT TO ARTICLES TWO AND
    9  THREE OF THIS CHAPTER.
   10    2. IF AN APPLICANT THAT DOES NOT POSSESS EITHER A PARI-MUTUEL WAGERING
   11  LICENSE OR FRANCHISE AWARDED PURSUANT TO ARTICLE TWO OR  THREE  OF  THIS
   12  CHAPTER  IS  ISSUED  A GAMING FACILITY LICENSE PURSUANT TO THIS ARTICLE,
   13  THE LICENSEE SHALL PAY:
   14    (A) AN AMOUNT TO HORSEMEN FOR PURSES AT THE LICENSED RACETRACKS IN THE
   15  REGION THAT WILL ASSURE THE PURSE  SUPPORT  FROM  VIDEO  LOTTERY  GAMING
   16  FACILITIES  IN THE REGION TO THE LICENSED RACETRACKS IN THE REGION TO BE
   17  MAINTAINED AT THE SAME DOLLAR LEVELS REALIZED IN TWO  THOUSAND  THIRTEEN
   18  TO  BE  ADJUSTED BY THE CONSUMER PRICE INDEX FOR ALL URBAN CONSUMERS, AS
   19  PUBLISHED ANNUALLY BY THE UNITED STATES DEPARTMENT OF  LABOR  BUREAU  OF
   20  LABOR STATISTICS; AND
   21    (B)  AMOUNTS  TO  THE  AGRICULTURAL  AND NEW YORK STATE HORSE BREEDING
   22  DEVELOPMENT FUND AND THE NEW YORK STATE THOROUGHBRED BREEDING AND DEVEL-
   23  OPMENT FUND TO MAINTAIN PAYMENTS FROM VIDEO LOTTERY GAMING FACILITIES IN
   24  THE REGION TO SUCH FUNDS TO BE MAINTAINED  AT  THE  SAME  DOLLAR  LEVELS
   25  REALIZED  IN  TWO THOUSAND THIRTEEN TO BE ADJUSTED BY THE CONSUMER PRICE
   26  INDEX FOR ALL URBAN CONSUMERS,  AS  PUBLISHED  ANNUALLY  BY  THE  UNITED
   27  STATES DEPARTMENT OF LABOR BUREAU OF LABOR STATISTICS.
   28                                   TITLE 7
   29                              PROBLEM GAMBLING
   30  SECTION 1362. PREVENTION AND OUTREACH EFFORTS.
   31          1363. ADVERTISING RESTRICTIONS.
   32    S  1362.  PREVENTION  AND  OUTREACH EFFORTS.   1. EACH GAMING FACILITY
   33  LICENSEE, MANAGEMENT COMPANY, AND HOLDING COMPANY INVOLVED IN THE APPLI-
   34  CATION AND OWNERSHIP OR MANAGEMENT OF A GAMING FACILITY SHALL PROVIDE TO
   35  THE COMMISSION, AS APPLICABLE, AN APPLICANT'S PROBLEM GAMBLING PLAN.  AN
   36  APPLICANT'S  PROBLEM  GAMBLING  PLAN SHALL BE APPROVED BY THE COMMISSION
   37  BEFORE THE COMMISSION ISSUES OR RENEWS A LICENSE.  EACH  PLAN  SHALL  AT
   38  MINIMUM INCLUDE THE FOLLOWING:
   39    (A)  THE  GOALS OF THE PLAN AND PROCEDURES AND TIMETABLES TO IMPLEMENT
   40  THE PLAN;
   41    (B) THE IDENTIFICATION OF THE INDIVIDUAL WHO WILL BE  RESPONSIBLE  FOR
   42  THE IMPLEMENTATION AND MAINTENANCE OF THE PLAN;
   43    (C) POLICIES AND PROCEDURES INCLUDING THE FOLLOWING:
   44    (1)  THE  COMMITMENT OF THE APPLICANT AND THE GAMING FACILITY LICENSEE
   45  TO TRAIN APPROPRIATE EMPLOYEES;
   46    (2) THE DUTIES AND RESPONSIBILITIES OF  THE  EMPLOYEES  DESIGNATED  TO
   47  IMPLEMENT OR PARTICIPATE IN THE PLAN;
   48    (3)  THE  RESPONSIBILITY OF PATRONS WITH RESPECT TO RESPONSIBLE GAMBL-
   49  ING;
   50    (4) PROCEDURES FOR COMPLIANCE WITH THE VOLUNTARY EXCLUSION PROGRAM;
   51    (5) PROCEDURES TO IDENTIFY PATRONS AND  EMPLOYEES  WITH  SUSPECTED  OR
   52  KNOWN PROBLEM GAMBLING BEHAVIOR, INCLUDING PROCEDURES SPECIFIC TO LOYAL-
   53  TY AND OTHER REWARDS AND MARKETING PROGRAMS;
   54    (6)  PROCEDURES FOR PROVIDING INFORMATION TO INDIVIDUALS REGARDING THE
   55  VOLUNTARY EXCLUSION PROGRAM AND COMMUNITY, PUBLIC AND PRIVATE  TREATMENT
   56  SERVICES, GAMBLERS ANONYMOUS PROGRAMS AND SIMILAR TREATMENT OR ADDICTION
       S. 5883                            53                            A. 8101

    1  THERAPY PROGRAMS DESIGNED TO PREVENT, TREAT, OR MONITOR PROBLEM GAMBLERS
    2  AND TO COUNSEL FAMILY MEMBERS;
    3    (7)  PROCEDURES  FOR  RESPONDING  TO  PATRON AND EMPLOYEE REQUESTS FOR
    4  INFORMATION REGARDING THE VOLUNTARY  EXCLUSION  PROGRAM  AND  COMMUNITY,
    5  PUBLIC  AND  PRIVATE TREATMENT SERVICES, GAMBLERS ANONYMOUS PROGRAMS AND
    6  SIMILAR TREATMENT OR ADDICTION THERAPY  PROGRAMS  DESIGNED  TO  PREVENT,
    7  TREAT,  OR MONITOR COMPULSIVE AND PROBLEM GAMBLERS AND TO COUNSEL FAMILY
    8  MEMBERS;
    9    (8) THE PROVISION OF PRINTED MATERIAL TO EDUCATE PATRONS AND EMPLOYEES
   10  ABOUT PROBLEM GAMBLING AND TO INFORM THEM ABOUT THE VOLUNTARY  EXCLUSION
   11  PROGRAM  AND  TREATMENT SERVICES AVAILABLE TO PROBLEM GAMBLERS AND THEIR
   12  FAMILIES. THE APPLICANT SHALL PROVIDE EXAMPLES OF THE  MATERIALS  TO  BE
   13  USED AS PART OF ITS PLAN, INCLUDING, BROCHURES AND OTHER PRINTED MATERI-
   14  AL AND A DESCRIPTION OF HOW THE MATERIAL WILL BE DISSEMINATED;
   15    (9) ADVERTISING AND OTHER MARKETING AND OUTREACH TO EDUCATE THE GENER-
   16  AL PUBLIC ABOUT THE VOLUNTARY EXCLUSION PROGRAM AND PROBLEM GAMBLING;
   17    (10)  AN EMPLOYEE TRAINING PROGRAM, INCLUDING TRAINING MATERIALS TO BE
   18  UTILIZED AND A PLAN FOR PERIODIC REINFORCEMENT TRAINING  AND  A  CERTIF-
   19  ICATION PROCESS ESTABLISHED BY THE APPLICANT TO VERIFY THAT EACH EMPLOY-
   20  EE HAS COMPLETED THE TRAINING REQUIRED BY THE PLAN;
   21    (11) PROCEDURES TO PREVENT UNDERAGE GAMBLING;
   22    (12)  PROCEDURES  TO  PREVENT PATRONS IMPAIRED BY DRUGS OR ALCOHOL, OR
   23  BOTH, FROM GAMBLING; AND
   24    (13) THE PLAN FOR POSTING SIGNS WITHIN THE GAMING FACILITY, CONTAINING
   25  INFORMATION  ON  GAMBLING  TREATMENT  AND  ON  THE  VOLUNTARY  EXCLUSION
   26  PROGRAM. THE APPLICANT SHALL PROVIDE EXAMPLES OF THE LANGUAGE AND GRAPH-
   27  ICS TO BE USED ON THE SIGNS AS PART OF ITS PLAN;
   28    (D)  A  LIST  OF  COMMUNITY,  PUBLIC  AND  PRIVATE TREATMENT SERVICES,
   29  GAMBLERS ANONYMOUS PROGRAMS AND SIMILAR TREATMENT OR  ADDICTION  THERAPY
   30  PROGRAMS  DESIGNED TO PREVENT, TREAT, OR MONITOR PROBLEM GAMBLERS AND TO
   31  COUNSEL FAMILY MEMBERS; AND
   32    (E) ANY OTHER INFORMATION, DOCUMENTS, AND POLICIES AND PROCEDURES THAT
   33  THE COMMISSION REQUIRES.
   34    2. EACH APPLICANT OR GAMING FACILITY LICENSEE SHALL SUBMIT ANY  AMEND-
   35  MENTS  TO  THE  PROBLEM  GAMBLING  PLAN TO THE COMMISSION FOR REVIEW AND
   36  APPROVAL BEFORE IMPLEMENTING THE AMENDMENTS.
   37    3. EACH GAMING FACILITY LICENSEE SHALL SUBMIT AN ANNUAL SUMMARY OF ITS
   38  PROBLEM GAMBLING PLAN TO THE COMMISSION.
   39    4. EACH GAMING FACILITY LICENSEE SHALL SUBMIT QUARTERLY UPDATES AND AN
   40  ANNUAL REPORT TO THE COMMISSION OF ITS ADHERENCE TO THE PLANS AND  GOALS
   41  SUBMITTED UNDER THIS SECTION.
   42    S 1363. ADVERTISING RESTRICTIONS.  1. AS USED IN THIS SECTION:
   43    (A)  "ADVERTISEMENT"  SHALL  MEAN  ANY  NOTICE OR COMMUNICATION TO THE
   44  PUBLIC OR ANY INFORMATION CONCERNING THE GAMING-RELATED  BUSINESS  OF  A
   45  GAMING  FACILITY LICENSEE OR APPLICANT THROUGH BROADCASTING, PUBLICATION
   46  OR ANY OTHER MEANS OF DISSEMINATION, INCLUDING ELECTRONIC DISSEMINATION.
   47  PROMOTIONAL ACTIVITIES ARE CONSIDERED  ADVERTISEMENTS  FOR  PURPOSES  OF
   48  THIS SECTION.
   49    (B)  "DIRECT  ADVERTISEMENT" SHALL MEAN ANY ADVERTISEMENT AS DESCRIBED
   50  IN PARAGRAPH (A) OF THIS SUBDIVISION THAT IS DISSEMINATED TO A  SPECIFIC
   51  INDIVIDUAL OR INDIVIDUALS.
   52    2.  ADVERTISING  SHALL  BE  BASED  UPON  FACT, AND SHALL NOT BE FALSE,
   53  DECEPTIVE OR MISLEADING, AND NO ADVERTISING BY OR ON BEHALF OF A  GAMING
   54  FACILITY LICENSEE SHALL:
   55    (A)  USE  ANY  TYPE,  SIZE,  LOCATION, LIGHTING, ILLUSTRATION, GRAPHIC
   56  DEPICTION OR COLOR RESULTING IN THE OBSCURING OF ANY MATERIAL FACT;
       S. 5883                            54                            A. 8101

    1    (B) FAIL TO CLEARLY AND CONSPICUOUSLY SPECIFY AND STATE  ANY  MATERIAL
    2  CONDITIONS OR LIMITING FACTORS;
    3    (C)  DEPICT  ANY PERSON UNDER THE AGE OF TWENTY-ONE ENGAGING IN GAMING
    4  AND RELATED ACTIVITIES; OR
    5    (D) FAIL TO DESIGNATE AND STATE THE NAME AND LOCATION  OF  THE  GAMING
    6  FACILITY CONDUCTING THE ADVERTISEMENT. THE LOCATION OF THE GAMING FACIL-
    7  ITY NEED NOT BE INCLUDED ON BILLBOARDS WITHIN THIRTY MILES OF THE GAMING
    8  FACILITY.
    9    3.  EACH ADVERTISEMENT SHALL, CLEARLY AND CONSPICUOUSLY, STATE A PROB-
   10  LEM GAMBLING HOTLINE NUMBER.
   11    4.  EACH  DIRECT  ADVERTISEMENT  SHALL,  CLEARLY  AND   CONSPICUOUSLY,
   12  DESCRIBE  A  METHOD OR METHODS BY WHICH AN INDIVIDUAL MAY DESIGNATE THAT
   13  THE INDIVIDUAL DOES NOT WISH TO RECEIVE ANY FUTURE DIRECT ADVERTISEMENT.
   14    (A) THE DESCRIBED METHOD MUST BE BY AT LEAST TWO OF THE FOLLOWING:
   15    (1) TELEPHONE;
   16    (2) REGULAR U.S. MAIL; OR
   17    (3) ELECTRONIC MAIL.
   18    (B) UPON RECEIPT OF AN INDIVIDUAL'S REQUEST TO DISCONTINUE RECEIPT  OF
   19  FUTURE  ADVERTISEMENT,  A  GAMING  FACILITY  LICENSEE OR APPLICANT SHALL
   20  BLOCK THE INDIVIDUAL IN THE GAMING FACILITY LICENSEE'S DATABASE SO AS TO
   21  PREVENT THE INDIVIDUAL FROM RECEIVING FUTURE DIRECT ADVERTISEMENTS WITH-
   22  IN FIFTEEN DAYS OF RECEIPT OF THE REQUEST.
   23    5. EACH GAMING FACILITY LICENSEE OR APPLICANT  SHALL  PROVIDE  TO  THE
   24  COMMISSION AT ITS MAIN OFFICE A COMPLETE AND ACCURATE COPY OF ALL ADVER-
   25  TISEMENTS  WITHIN  FIVE  BUSINESS  DAYS  OF  THE  ADVERTISEMENT'S PUBLIC
   26  DISSEMINATION. GAMING FACILITY LICENSEES OR APPLICANTS SHALL DISCONTINUE
   27  THE PUBLIC DISSEMINATION UPON RECEIPT OF NOTICE FROM THE  COMMISSION  TO
   28  DISCONTINUE AN ADVERTISEMENT.
   29    6.  A  GAMING FACILITY LICENSEE OR APPLICANT SHALL MAINTAIN A COMPLETE
   30  RECORD OF ALL ADVERTISEMENTS  FOR  A  PERIOD  OF  AT  LEAST  TWO  YEARS.
   31  RECORDS SHALL BE MADE AVAILABLE TO THE COMMISSION UPON REQUEST.
   32                                   TITLE 8
   33                          MISCELLANEOUS PROVISIONS
   34  SECTION 1364. SMOKING PROHIBITED.
   35          1365. CONSERVATORSHIP.
   36          1366. ZONING.
   37          1367. SPORTS WAGERING.
   38    S  1364.  SMOKING  PROHIBITED.  SMOKING SHALL NOT BE PERMITTED, AND NO
   39  PERSON SHALL SMOKE IN THE INDOOR AREAS OF FACILITIES  LICENSED  PURSUANT
   40  TO  THIS  ARTICLE,  EXCEPT  THAT  THE PROVISIONS OF SECTION ONE THOUSAND
   41  THREE HUNDRED NINETY-NINE-Q OF THE PUBLIC HEALTH LAW SHALL BE APPLICABLE
   42  TO FACILITIES LICENSED PURSUANT TO THIS ARTICLE.
   43    S 1365. CONSERVATORSHIP.  1. UPON REVOCATION OR SUSPENSION OF A GAMING
   44  FACILITY LICENSE OR UPON THE FAILURE OR REFUSAL TO RENEW A GAMING FACIL-
   45  ITY LICENSE, THE COMMISSION MAY APPOINT  A  CONSERVATOR  TO  TEMPORARILY
   46  MANAGE  AND  OPERATE THE BUSINESS OF THE GAMING LICENSEE RELATING TO THE
   47  GAMING FACILITY. SUCH CONSERVATOR SHALL BE A PERSON OF  SIMILAR  EXPERI-
   48  ENCE  IN  THE FIELD OF GAMING MANAGEMENT AND, IN THE CASE OF REPLACING A
   49  GAMING FACILITY LICENSEE,  SHALL  HAVE  EXPERIENCE  OPERATING  A  GAMING
   50  FACILITY  OF  SIMILAR  CALIBER  IN ANOTHER JURISDICTION, AND SHALL BE IN
   51  GOOD STANDING IN ALL JURISDICTIONS IN WHICH THE CONSERVATOR  OPERATES  A
   52  GAMING  FACILITY.  UPON  APPOINTMENT,  A  CONSERVATOR SHALL AGREE TO ALL
   53  LICENSING PROVISIONS OF THE FORMER GAMING LICENSEE.
   54    2. A CONSERVATOR SHALL, BEFORE  ASSUMING,  MANAGERIAL  OR  OPERATIONAL
   55  DUTIES,  EXECUTE  AND  FILE  A  BOND FOR THE FAITHFUL PERFORMANCE OF ITS
       S. 5883                            55                            A. 8101

    1  DUTIES PAYABLE TO THE COMMISSION WITH SUCH SURETY AND IN SUCH  FORM  AND
    2  AMOUNT AS THE COMMISSION SHALL APPROVE.
    3    3.  THE  COMMISSION  SHALL REQUIRE THAT THE FORMER OR SUSPENDED GAMING
    4  LICENSEE PURCHASE LIABILITY INSURANCE, IN AN AMOUNT  DETERMINED  BY  THE
    5  COMMISSION,  TO  PROTECT  A  CONSERVATOR  FROM LIABILITY FOR ANY ACTS OR
    6  OMISSIONS OF THE CONSERVATOR DURING THE CONSERVATOR'S APPOINTMENT  WHICH
    7  ARE  REASONABLY  RELATED  TO  AND  WITHIN THE SCOPE OF THE CONSERVATOR'S
    8  DUTIES.
    9    4. DURING THE PERIOD OF TEMPORARY MANAGEMENT OF THE  GAMING  FACILITY,
   10  THE  COMMISSION SHALL INITIATE PROCEEDINGS UNDER THIS ARTICLE TO AWARD A
   11  NEW GAMING FACILITY LICENSE TO A QUALIFIED APPLICANT WHOSE GAMING FACIL-
   12  ITY SHALL BE LOCATED AT THE SITE OF THE PREEXISTING GAMING FACILITY.
   13    5. AN APPLICANT FOR A NEW GAMING FACILITY LICENSE SHALL  BE  QUALIFIED
   14  FOR LICENSURE UNDER THIS ARTICLE; PROVIDED, HOWEVER, THAT THE COMMISSION
   15  SHALL  DETERMINE AN APPROPRIATE LEVEL OF INVESTMENT BY AN APPLICANT INTO
   16  THE PREEXISTING GAMING FACILITY.
   17    6. UPON AWARD OF A NEW GAMING FACILITY LICENSE, THE NEW GAMING FACILI-
   18  TY LICENSEE SHALL PAY THE ORIGINAL LICENSING  FEE  REQUIRED  UNDER  THIS
   19  ARTICLE.
   20    S  1366.  ZONING.  NOTWITHSTANDING  ANY INCONSISTENT PROVISION OF LAW,
   21  GAMING AUTHORIZED AT A LOCATION PURSUANT TO THIS ARTICLE SHALL BE DEEMED
   22  AN APPROVED ACTIVITY FOR SUCH LOCATION UNDER THE RELEVANT CITY,  COUNTY,
   23  TOWN, OR VILLAGE LAND USE OR ZONING ORDINANCES, RULES, OR REGULATIONS.
   24    S 1367. SPORTS WAGERING.  1. AS USED IN THIS SECTION:
   25    (A)  "CASINO"  MEANS  A  LICENSED GAMING FACILITY AT WHICH GAMBLING IS
   26  CONDUCTED PURSUANT TO THE PROVISIONS OF THIS ARTICLE;
   27    (B) "COMMISSION" MEANS THE COMMISSION ESTABLISHED PURSUANT TO  SECTION
   28  ONE HUNDRED TWO OF THIS CHAPTER;
   29    (C)  "COLLEGIATE  SPORT  OR  ATHLETIC EVENT" MEANS A SPORT OR ATHLETIC
   30  EVENT OFFERED OR SPONSORED BY OR PLAYED IN CONNECTION WITH A  PUBLIC  OR
   31  PRIVATE  INSTITUTION THAT OFFERS EDUCATIONAL SERVICES BEYOND THE SECOND-
   32  ARY LEVEL;
   33    (D) "OPERATOR" MEANS A CASINO WHICH HAS ELECTED TO  OPERATE  A  SPORTS
   34  POOL;
   35    (E) "PROFESSIONAL SPORT OR ATHLETIC EVENT" MEANS AN EVENT AT WHICH TWO
   36  OR  MORE  PERSONS  PARTICIPATE  IN SPORTS OR ATHLETIC EVENTS AND RECEIVE
   37  COMPENSATION IN EXCESS OF ACTUAL EXPENSES  FOR  THEIR  PARTICIPATION  IN
   38  SUCH EVENT;
   39    (F)  "PROHIBITED  SPORTS EVENT" MEANS ANY COLLEGIATE SPORT OR ATHLETIC
   40  EVENT THAT TAKES PLACE IN NEW YORK OR A SPORT OR ATHLETIC EVENT IN WHICH
   41  ANY NEW YORK COLLEGE TEAM PARTICIPATES REGARDLESS  OF  WHERE  THE  EVENT
   42  TAKES PLACE;
   43    (G)  "SPORTS EVENT" MEANS ANY PROFESSIONAL SPORT OR ATHLETIC EVENT AND
   44  ANY COLLEGIATE SPORT OR  ATHLETIC  EVENT,  EXCEPT  A  PROHIBITED  SPORTS
   45  EVENT;
   46    (H) "SPORTS POOL" MEANS THE BUSINESS OF ACCEPTING WAGERS ON ANY SPORTS
   47  EVENT BY ANY SYSTEM OR METHOD OF WAGERING; AND
   48    (I)  "SPORTS  WAGERING  LOUNGE" MEANS AN AREA WHEREIN A SPORTS POOL IS
   49  OPERATED.
   50    2. NO GAMING FACILITY MAY CONDUCT SPORTS WAGERING UNTIL SUCH  TIME  AS
   51  THERE HAS BEEN A CHANGE IN FEDERAL LAW AUTHORIZING SUCH OR UPON A RULING
   52  OF A COURT OF COMPETENT JURISDICTION THAT SUCH ACTIVITY IS LAWFUL.
   53    3.  (A) IN ADDITION TO AUTHORIZED GAMING ACTIVITIES, A LICENSED GAMING
   54  FACILITY MAY WHEN AUTHORIZED BY SUBDIVISION TWO OF THIS SECTION  OPERATE
   55  A SPORTS POOL UPON THE APPROVAL OF THE COMMISSION AND IN ACCORDANCE WITH
   56  THE  PROVISIONS  OF  THIS SECTION AND APPLICABLE REGULATIONS PROMULGATED
       S. 5883                            56                            A. 8101

    1  PURSUANT TO THIS ARTICLE. THE COMMISSION SHALL HEAR AND DECIDE  PROMPTLY
    2  AND  IN  REASONABLE  ORDER  ALL  APPLICATIONS FOR A LICENSE TO OPERATE A
    3  SPORTS POOL, SHALL HAVE THE GENERAL RESPONSIBILITY FOR  THE  IMPLEMENTA-
    4  TION  OF  THIS SECTION AND SHALL HAVE ALL OTHER DUTIES SPECIFIED IN THIS
    5  SECTION WITH REGARD TO THE OPERATION OF A SPORTS POOL.  THE  LICENSE  TO
    6  OPERATE A SPORTS POOL SHALL BE IN ADDITION TO ANY OTHER LICENSE REQUIRED
    7  TO  BE  ISSUED  TO  OPERATE  A  GAMING FACILITY. NO LICENSE TO OPERATE A
    8  SPORTS POOL SHALL BE ISSUED BY THE COMMISSION TO ANY  ENTITY  UNLESS  IT
    9  HAS  ESTABLISHED  ITS  FINANCIAL STABILITY, INTEGRITY AND RESPONSIBILITY
   10  AND ITS GOOD CHARACTER, HONESTY AND INTEGRITY.
   11    NO LATER THAN FIVE YEARS AFTER THE DATE OF THE ISSUANCE OF  A  LICENSE
   12  AND  EVERY  FIVE  YEARS  THEREAFTER OR WITHIN SUCH LESSER PERIODS AS THE
   13  COMMISSION MAY DIRECT, A LICENSEE SHALL SUBMIT TO  THE  COMMISSION  SUCH
   14  DOCUMENTATION  OR  INFORMATION  AS  THE  COMMISSION  MAY  BY  REGULATION
   15  REQUIRE, TO DEMONSTRATE TO THE SATISFACTION OF THE EXECUTIVE DIRECTOR OF
   16  THE COMMISSION THAT THE LICENSEE CONTINUES TO MEET THE  REQUIREMENTS  OF
   17  THE LAW AND REGULATIONS.
   18    (B)  A  SPORTS  POOL  SHALL  BE  OPERATED  IN A SPORTS WAGERING LOUNGE
   19  LOCATED AT A CASINO.  THE  LOUNGE  SHALL  CONFORM  TO  ALL  REQUIREMENTS
   20  CONCERNING  SQUARE  FOOTAGE,  DESIGN,  EQUIPMENT,  SECURITY MEASURES AND
   21  RELATED MATTERS WHICH THE COMMISSION SHALL BY REGULATION PRESCRIBE.
   22    (C) THE OPERATOR OF A SPORTS POOL SHALL ESTABLISH OR DISPLAY THE  ODDS
   23  AT WHICH WAGERS MAY BE PLACED ON SPORTS EVENTS.
   24    (D) AN OPERATOR SHALL ACCEPT WAGERS ON SPORTS EVENTS ONLY FROM PERSONS
   25  PHYSICALLY  PRESENT  IN  THE  SPORTS WAGERING LOUNGE. A PERSON PLACING A
   26  WAGER SHALL BE AT LEAST TWENTY-ONE YEARS OF AGE.
   27    (E) AN OPERATOR SHALL NOT ADMIT INTO THE SPORTS  WAGERING  LOUNGE,  OR
   28  ACCEPT WAGERS FROM, ANY PERSON WHOSE NAME APPEARS ON THE EXCLUSION LIST.
   29    (F) THE HOLDER OF A LICENSE TO OPERATE A SPORTS POOL MAY CONTRACT WITH
   30  AN  ENTITY TO CONDUCT THAT OPERATION, IN ACCORDANCE WITH THE REGULATIONS
   31  OF THE COMMISSION. THAT ENTITY SHALL OBTAIN A LICENSE AS A CASINO VENDOR
   32  ENTERPRISE PRIOR TO THE EXECUTION OF ANY SUCH CONTRACT, AND SUCH LICENSE
   33  SHALL BE ISSUED PURSUANT TO THE PROVISIONS OF SECTION ONE THOUSAND THREE
   34  HUNDRED TWENTY-SEVEN OF THIS ARTICLE AND IN ACCORDANCE  WITH  THE  REGU-
   35  LATIONS PROMULGATED BY THE COMMISSION.
   36    (G)  IF ANY PROVISION OF THIS ARTICLE OR ITS APPLICATION TO ANY PERSON
   37  OR CIRCUMSTANCE IS HELD INVALID, THE INVALIDITY SHALL NOT  AFFECT  OTHER
   38  PROVISIONS  OR  APPLICATIONS  OF  THIS ARTICLE WHICH CAN BE GIVEN EFFECT
   39  WITHOUT THE INVALID PROVISION  OR  APPLICATION,  AND  TO  THIS  END  THE
   40  PROVISIONS OF THIS ARTICLE ARE SEVERABLE.
   41    4.  (A)  ALL  PERSONS EMPLOYED DIRECTLY IN WAGERING-RELATED ACTIVITIES
   42  CONDUCTED WITHIN A SPORTS WAGERING LOUNGE SHALL BE LICENSED AS A  CASINO
   43  KEY  EMPLOYEE  OR  REGISTERED AS A GAMING EMPLOYEE, AS DETERMINED BY THE
   44  COMMISSION. ALL OTHER EMPLOYEES WHO ARE WORKING IN THE  SPORTS  WAGERING
   45  LOUNGE  MAY  BE REQUIRED TO BE REGISTERED, IF APPROPRIATE, IN ACCORDANCE
   46  WITH REGULATIONS OF THE COMMISSION.
   47    (B) EACH OPERATOR OF A SPORTS POOL SHALL DESIGNATE ONE OR MORE  CASINO
   48  KEY  EMPLOYEES  WHO SHALL BE RESPONSIBLE FOR THE OPERATION OF THE SPORTS
   49  POOL. AT LEAST ONE SUCH CASINO KEY EMPLOYEE SHALL  BE  ON  THE  PREMISES
   50  WHENEVER SPORTS WAGERING IS CONDUCTED.
   51    5.  EXCEPT AS OTHERWISE PROVIDED BY THIS ARTICLE, THE COMMISSION SHALL
   52  HAVE THE AUTHORITY TO REGULATE SPORTS POOLS AND THE  CONDUCT  OF  SPORTS
   53  WAGERING UNDER THIS ARTICLE TO THE SAME EXTENT THAT THE COMMISSION REGU-
   54  LATES  OTHER  GAMING.  NO CASINO SHALL BE AUTHORIZED TO OPERATE A SPORTS
   55  POOL UNLESS IT HAS PRODUCED INFORMATION, DOCUMENTATION,  AND  ASSURANCES
   56  CONCERNING  ITS  FINANCIAL  BACKGROUND  AND  RESOURCES,  INCLUDING  CASH
       S. 5883                            57                            A. 8101

    1  RESERVES, THAT ARE SUFFICIENT TO DEMONSTRATE THAT IT HAS  THE  FINANCIAL
    2  STABILITY,  INTEGRITY,  AND  RESPONSIBILITY TO OPERATE A SPORTS POOL. IN
    3  DEVELOPING RULES AND REGULATIONS  APPLICABLE  TO  SPORTS  WAGERING,  THE
    4  COMMISSION  SHALL  EXAMINE  THE  REGULATIONS IMPLEMENTED IN OTHER STATES
    5  WHERE SPORTS WAGERING IS CONDUCTED AND SHALL,  AS  FAR  AS  PRACTICABLE,
    6  ADOPT  A  SIMILAR  REGULATORY FRAMEWORK. THE COMMISSION SHALL PROMULGATE
    7  REGULATIONS NECESSARY TO CARRY  OUT  THE  PROVISIONS  OF  THIS  SECTION,
    8  INCLUDING, BUT NOT LIMITED TO, REGULATIONS GOVERNING THE:
    9    (A)  AMOUNT  OF  CASH  RESERVES TO BE MAINTAINED BY OPERATORS TO COVER
   10  WINNING WAGERS;
   11    (B) ACCEPTANCE OF WAGERS ON A SERIES OF SPORTS EVENTS;
   12    (C) MAXIMUM WAGERS WHICH MAY BE ACCEPTED BY AN OPERATOR FROM  ANY  ONE
   13  PATRON ON ANY ONE SPORTS EVENT;
   14    (D) TYPE OF WAGERING TICKETS WHICH MAY BE USED;
   15    (E) METHOD OF ISSUING TICKETS;
   16    (F) METHOD OF ACCOUNTING TO BE USED BY OPERATORS;
   17    (G) TYPES OF RECORDS WHICH SHALL BE KEPT;
   18    (H) USE OF CREDIT AND CHECKS BY PATRONS;
   19    (I) TYPE OF SYSTEM FOR WAGERING; AND
   20    (J) PROTECTIONS FOR A PERSON PLACING A WAGER.
   21    6.  EACH  OPERATOR  SHALL  ADOPT  COMPREHENSIVE  HOUSE RULES GOVERNING
   22  SPORTS WAGERING TRANSACTIONS WITH ITS PATRONS. THE RULES  SHALL  SPECIFY
   23  THE  AMOUNTS  TO  BE  PAID  ON WINNING WAGERS AND THE EFFECT OF SCHEDULE
   24  CHANGES. THE HOUSE  RULES,  TOGETHER  WITH  ANY  OTHER  INFORMATION  THE
   25  COMMISSION  DEEMS  APPROPRIATE,  SHALL BE CONSPICUOUSLY DISPLAYED IN THE
   26  SPORTS WAGERING LOUNGE AND INCLUDED IN THE TERMS AND CONDITIONS  OF  THE
   27  ACCOUNT  WAGERING  SYSTEM, AND COPIES SHALL BE MADE READILY AVAILABLE TO
   28  PATRONS.
   29                                   TITLE 9
   30                          GAMING INSPECTOR GENERAL
   31  SECTION 1368. ESTABLISHMENT OF THE OFFICE OF GAMING INSPECTOR GENERAL.
   32          1369. STATE GAMING INSPECTOR GENERAL; FUNCTIONS AND DUTIES.
   33          1370. POWERS.
   34          1371. RESPONSIBILITIES OF THE COMMISSION AND  ITS  OFFICERS  AND
   35                  EMPLOYEES.
   36    S  1368.  ESTABLISHMENT  OF  THE  OFFICE  OF GAMING INSPECTOR GENERAL.
   37  THERE IS HEREBY CREATED WITHIN  THE  COMMISSION  THE  OFFICE  OF  GAMING
   38  INSPECTOR  GENERAL. THE HEAD OF THE OFFICE SHALL BE THE GAMING INSPECTOR
   39  GENERAL WHO SHALL BE APPOINTED BY THE GOVERNOR BY AND  WITH  THE  ADVICE
   40  AND  CONSENT  OF  THE  SENATE.  THE INSPECTOR GENERAL SHALL SERVE AT THE
   41  PLEASURE OF THE GOVERNOR. THE INSPECTOR GENERAL SHALL REPORT DIRECTLY TO
   42  THE GOVERNOR. THE PERSON APPOINTED AS INSPECTOR GENERAL SHALL, UPON  HIS
   43  OR HER APPOINTMENT, HAVE NOT LESS THAN TEN YEARS PROFESSIONAL EXPERIENCE
   44  IN  LAW,  INVESTIGATION,  OR  AUDITING.  THE  INSPECTOR GENERAL SHALL BE
   45  COMPENSATED WITHIN THE LIMITS OF  FUNDS  AVAILABLE  THEREFOR,  PROVIDED,
   46  HOWEVER, SUCH SALARY SHALL BE NO LESS THAN THE SALARIES OF CERTAIN STATE
   47  OFFICERS HOLDING THE POSITIONS INDICATED IN PARAGRAPH (A) OF SUBDIVISION
   48  ONE OF SECTION ONE HUNDRED SIXTY-NINE OF THE EXECUTIVE LAW.
   49    S  1369.  STATE  GAMING  INSPECTOR  GENERAL; FUNCTIONS AND DUTIES. THE
   50  STATE GAMING INSPECTOR GENERAL  SHALL  HAVE  THE  FOLLOWING  DUTIES  AND
   51  RESPONSIBILITIES:
   52    1.  RECEIVE AND INVESTIGATE COMPLAINTS FROM ANY SOURCE, OR UPON HIS OR
   53  HER OWN INITIATIVE, CONCERNING ALLEGATIONS OF CORRUPTION, FRAUD,  CRIMI-
   54  NAL ACTIVITY, CONFLICTS OF INTEREST OR ABUSE IN THE COMMISSION;
       S. 5883                            58                            A. 8101

    1    2.  INFORM THE COMMISSION MEMBERS OF SUCH ALLEGATIONS AND THE PROGRESS
    2  OF INVESTIGATIONS RELATED THERETO, UNLESS SPECIAL CIRCUMSTANCES  REQUIRE
    3  CONFIDENTIALITY;
    4    3.  DETERMINE  WITH  RESPECT  TO SUCH ALLEGATIONS WHETHER DISCIPLINARY
    5  ACTION, CIVIL OR CRIMINAL PROSECUTION, OR FURTHER  INVESTIGATION  BY  AN
    6  APPROPRIATE  FEDERAL,  STATE OR LOCAL AGENCY IS WARRANTED, AND TO ASSIST
    7  IN SUCH INVESTIGATIONS;
    8    4. PREPARE AND RELEASE TO THE PUBLIC WRITTEN REPORTS OF SUCH  INVESTI-
    9  GATIONS,  AS  APPROPRIATE AND TO THE EXTENT PERMITTED BY LAW, SUBJECT TO
   10  REDACTION TO PROTECT THE CONFIDENTIALITY OF WITNESSES.  THE  RELEASE  OF
   11  ALL OR PORTIONS OF SUCH REPORTS MAY BE DEFERRED TO PROTECT THE CONFIDEN-
   12  TIALITY OF ONGOING INVESTIGATIONS;
   13    5.  REVIEW AND EXAMINE PERIODICALLY THE POLICIES AND PROCEDURES OF THE
   14  COMMISSION WITH REGARD TO THE PREVENTION AND  DETECTION  OF  CORRUPTION,
   15  FRAUD, CRIMINAL ACTIVITY, CONFLICTS OF INTEREST OR ABUSE;
   16    6.  RECOMMEND  REMEDIAL  ACTION  TO  PREVENT  OR ELIMINATE CORRUPTION,
   17  FRAUD, CRIMINAL ACTIVITY, CONFLICTS OF INTEREST OR ABUSE IN THE  COMMIS-
   18  SION; AND
   19    7.  ESTABLISH  PROGRAMS FOR TRAINING COMMISSION OFFICERS AND EMPLOYEES
   20  REGARDING THE PREVENTION AND ELIMINATION OF CORRUPTION, FRAUD,  CRIMINAL
   21  ACTIVITY, CONFLICTS OF INTEREST OR ABUSE IN THE COMMISSION.
   22    S  1370.  POWERS.    THE STATE GAMING INSPECTOR GENERAL SHALL HAVE THE
   23  POWER TO:
   24    1. SUBPOENA AND ENFORCE THE ATTENDANCE OF WITNESSES;
   25    2. ADMINISTER OATHS OR AFFIRMATIONS AND EXAMINE WITNESSES UNDER OATH;
   26    3. REQUIRE THE PRODUCTION OF ANY BOOKS AND PAPERS DEEMED  RELEVANT  OR
   27  MATERIAL TO ANY INVESTIGATION, EXAMINATION OR REVIEW;
   28    4. NOTWITHSTANDING ANY LAW TO THE CONTRARY, EXAMINE AND COPY OR REMOVE
   29  DOCUMENTS  OR  RECORDS  OF  ANY KIND PREPARED, MAINTAINED OR HELD BY THE
   30  COMMISSION;
   31    5. REQUIRE ANY COMMISSION OFFICER  OR  EMPLOYEE  TO  ANSWER  QUESTIONS
   32  CONCERNING  ANY MATTER RELATED TO THE PERFORMANCE OF HIS OR HER OFFICIAL
   33  DUTIES.  THE REFUSAL OF ANY OFFICER  OR  EMPLOYEE  TO  ANSWER  QUESTIONS
   34  SHALL  BE CAUSE FOR REMOVAL FROM OFFICE OR EMPLOYMENT OR OTHER APPROPRI-
   35  ATE PENALTY;
   36    6. MONITOR THE IMPLEMENTATION BY THE COMMISSION OF ANY RECOMMENDATIONS
   37  MADE BY THE STATE INSPECTOR GENERAL; AND
   38    7. PERFORM ANY OTHER FUNCTIONS THAT ARE NECESSARY  OR  APPROPRIATE  TO
   39  FULFILL THE DUTIES AND RESPONSIBILITIES OF THE OFFICE.
   40    S  1371.  RESPONSIBILITIES  OF  THE  COMMISSION  AND  ITS OFFICERS AND
   41  EMPLOYEES.  1. EVERY COMMISSION OFFICER OR EMPLOYEE SHALL REPORT PROMPT-
   42  LY TO THE STATE GAMING  INSPECTOR  GENERAL  ANY  INFORMATION  CONCERNING
   43  CORRUPTION,  FRAUD, CRIMINAL ACTIVITY, CONFLICTS OF INTEREST OR ABUSE BY
   44  ANOTHER STATE OFFICER OR EMPLOYEE RELATING  TO  HIS  OR  HER  OFFICE  OR
   45  EMPLOYMENT,  OR BY A PERSON HAVING BUSINESS DEALINGS WITH THE COMMISSION
   46  RELATING TO THOSE DEALINGS.  THE  KNOWING  FAILURE  OF  ANY  OFFICER  OR
   47  EMPLOYEE  TO SO REPORT SHALL BE CAUSE FOR REMOVAL FROM OFFICE OR EMPLOY-
   48  MENT OR OTHER APPROPRIATE PENALTY UNDER THIS  ARTICLE.  ANY  OFFICER  OR
   49  EMPLOYEE WHO ACTS PURSUANT TO THIS SUBDIVISION BY REPORTING TO THE STATE
   50  GAMING  INSPECTOR  GENERAL OR OTHER APPROPRIATE LAW ENFORCEMENT OFFICIAL
   51  IMPROPER GOVERNMENTAL ACTION AS DEFINED IN SECTION SEVENTY-FIVE-B OF THE
   52  CIVIL SERVICE LAW SHALL NOT BE SUBJECT TO DISMISSAL, DISCIPLINE OR OTHER
   53  ADVERSE PERSONNEL ACTION.
   54    2. THE COMMISSION CHAIR SHALL ADVISE THE GOVERNOR WITHIN  NINETY  DAYS
   55  OF  THE ISSUANCE OF A REPORT BY THE STATE GAMING INSPECTOR GENERAL AS TO
       S. 5883                            59                            A. 8101

    1  THE REMEDIAL ACTION THAT THE COMMISSION HAS TAKEN  IN  RESPONSE  TO  ANY
    2  RECOMMENDATION FOR SUCH ACTION CONTAINED IN SUCH REPORT.
    3    S 3. Section 225.00 of the penal law is amended by adding eighteen new
    4  subdivisions 13 through 30 to read as follows:
    5    13.  "AUTHORIZED  GAMING ESTABLISHMENT" MEANS ANY STRUCTURE, STRUCTURE
    6  AND ADJACENT OR ATTACHED STRUCTURE, OR GROUNDS ADJACENT TO  A  STRUCTURE
    7  IN  WHICH  CASINO  GAMING, CONDUCTED PURSUANT TO ARTICLE THIRTEEN OF THE
    8  RACING, PARI-MUTUEL WAGERING AND BREEDING LAW, OR CLASS III  GAMING,  AS
    9  AUTHORIZED  PURSUANT  TO A COMPACT REACHED BETWEEN THE STATE OF NEW YORK
   10  AND A FEDERALLY RECOGNIZED INDIAN NATION  OR  TRIBE  UNDER  THE  FEDERAL
   11  INDIAN GAMING REGULATORY ACT OF 1988, IS CONDUCTED AND SHALL INCLUDE ALL
   12  PUBLIC  AND NON-PUBLIC AREAS OF ANY SUCH BUILDING, EXCEPT FOR SUCH AREAS
   13  OF A BUILDING WHERE EITHER CLASS I OR II GAMING  ARE  CONDUCTED  OR  ANY
   14  BUILDING  OR  GROUNDS  KNOWN  AS  A VIDEO GAMING ENTERTAINMENT FACILITY,
   15  INCLUDING FACILITIES WHERE FOOD AND DRINK ARE SERVED, AS WELL  AS  THOSE
   16  AREAS  NOT NORMALLY OPEN TO THE PUBLIC, SUCH AS WHERE RECORDS RELATED TO
   17  VIDEO LOTTERY GAMING OPERATIONS ARE KEPT, EXCEPT SHALL NOT  INCLUDE  THE
   18  RACETRACKS  OR  SUCH AREAS WHERE SUCH VIDEO LOTTERY GAMING OPERATIONS OR
   19  FACILITIES DO NOT TAKE PLACE OR EXIST, SUCH AS RACETRACK AREAS OR  FAIR-
   20  GROUNDS  WHICH  ARE WHOLLY UNRELATED TO VIDEO LOTTERY GAMING OPERATIONS,
   21  PURSUANT TO SECTION SIXTEEN HUNDRED SEVENTEEN-A AND  PARAGRAPH  FIVE  OF
   22  SUBDIVISION  A  OF  SECTION  SIXTEEN  HUNDRED  TWELVE OF THE TAX LAW, AS
   23  AMENDED AND IMPLEMENTED.
   24    14. "AUTHORIZED GAMING OPERATOR" MEANS AN ENTERPRISE OR BUSINESS ENTI-
   25  TY AUTHORIZED BY STATE OR FEDERAL LAW TO OPERATE CASINO OR VIDEO LOTTERY
   26  GAMING.
   27    15. "CASINO GAMING" MEANS GAMES AUTHORIZED TO BE PLAYED PURSUANT TO  A
   28  LICENSE GRANTED UNDER ARTICLE THIRTEEN OF THE RACING, PARI-MUTUEL WAGER-
   29  ING AND BREEDING LAW OR BY FEDERALLY RECOGNIZED INDIAN NATIONS OR TRIBES
   30  PURSUANT TO A VALID GAMING COMPACT REACHED IN ACCORDANCE WITH THE FEDER-
   31  AL  INDIAN  GAMING  REGULATORY  ACT  OF 1988, PUB. L. 100-497, 102 STAT.
   32  2467, CODIFIED AT 25 U.S.C. SS 2701-21 AND 18 U.S.C. SS 1166-68.
   33    16. "CASH EQUIVALENT" MEANS A TREASURY CHECK, A TRAVELERS CHECK,  WIRE
   34  TRANSFER  OF  FUNDS, TRANSFER CHECK, MONEY ORDER, CERTIFIED CHECK, CASH-
   35  IERS CHECK, PAYROLL CHECK, A CHECK DRAWN ON THE ACCOUNT OF  THE  AUTHOR-
   36  IZED  GAMING  OPERATOR PAYABLE TO THE PATRON OR TO THE AUTHORIZED GAMING
   37  ESTABLISHMENT,  A  PROMOTIONAL  COUPON,  PROMOTIONAL  CHIP,  PROMOTIONAL
   38  CHEQUE,  PROMOTIONAL  TOKEN, OR A VOUCHER RECORDING CASH DRAWN AGAINST A
   39  CREDIT CARD OR CHARGE CARD.
   40    17. "CHEQUES" OR "CHIPS" OR "TOKENS" MEANS NONMETAL, METAL  OR  PARTLY
   41  METAL  REPRESENTATIVES OF VALUE, REDEEMABLE FOR CASH OR CASH EQUIVALENT,
   42  AND ISSUED AND SOLD BY AN AUTHORIZED  CASINO  OPERATOR  FOR  USE  AT  AN
   43  AUTHORIZED  GAMING  ESTABLISHMENT. THE VALUE OF SUCH CHEQUES OR CHIPS OR
   44  TOKENS SHALL BE CONSIDERED EQUIVALENT IN  VALUE  TO  THE  CASH  OR  CASH
   45  EQUIVALENT  EXCHANGED  FOR SUCH CHEQUES OR CHIPS OR TOKENS UPON PURCHASE
   46  OR REDEMPTION.
   47    18. "CLASS I GAMING" AND "CLASS II GAMING" MEANS THOSE FORMS OF GAMING
   48  THAT ARE NOT CLASS III GAMING, AS DEFINED IN SUBSECTION EIGHT OF SECTION
   49  FOUR OF THE FEDERAL INDIAN GAMING REGULATORY ACT, 25 U.S.C. S 2703.
   50    19. "CLASS III GAMING" MEANS THOSE FORMS OF GAMING THAT ARE NOT  CLASS
   51  I OR CLASS II GAMING, AS DEFINED IN SUBSECTIONS SIX AND SEVEN OF SECTION
   52  FOUR  OF  THE FEDERAL INDIAN GAMING REGULATORY ACT, 25 U.S.C. S 2703 AND
   53  THOSE GAMES ENUMERATED IN THE APPENDIX OF A GAMING COMPACT.
   54    20. "COMPACT" OR "GAMING COMPACT" MEANS THE AGREEMENT BETWEEN A FEDER-
   55  ALLY RECOGNIZED INDIAN TRIBE AND THE STATE OF NEW YORK  REGARDING  CLASS
   56  III GAMING ACTIVITIES ENTERED INTO PURSUANT TO THE FEDERAL INDIAN GAMING
       S. 5883                            60                            A. 8101

    1  REGULATORY  ACT, PUB.  L. 100-497, 102 STAT. 2467, CODIFIED AT 25 U.S.C.
    2  SS 2701-21 AND 18 U.S.C. SS 1166-68 (1988 & SUPP. II).
    3    21.  "GAMING EQUIPMENT OR DEVICE" MEANS ANY MACHINE OR DEVICE WHICH IS
    4  SPECIALLY DESIGNED OR MANUFACTURED FOR USE IN THE OPERATION OF ANY CLASS
    5  III OR VIDEO LOTTERY GAME.
    6    22. "GAMING REGULATORY AUTHORITY" MEANS, WITH RESPECT TO  ANY  AUTHOR-
    7  IZED GAMING ESTABLISHMENT ON INDIAN LANDS, TERRITORY OR RESERVATION, THE
    8  INDIAN  NATION  OR  TRIBAL  GAMING  COMMISSION, ITS AUTHORIZED OFFICERS,
    9  AGENTS AND REPRESENTATIVES ACTING IN THEIR OFFICIAL CAPACITIES  OR  SUCH
   10  OTHER  AGENCY  OF A NATION OR TRIBE AS THE NATION OR TRIBE MAY DESIGNATE
   11  AS THE AGENCY RESPONSIBLE FOR THE REGULATION OF CLASS III GAMING, JOINT-
   12  LY WITH THE STATE GAMING AGENCY, CONDUCTED PURSUANT TO A GAMING  COMPACT
   13  BETWEEN  THE  NATION OR TRIBE AND THE STATE OF NEW YORK, OR WITH RESPECT
   14  TO ANY CASINO GAMING AUTHORIZED PURSUANT  TO  ARTICLE  THIRTEEN  OF  THE
   15  RACING,  PARI-MUTUEL  WAGERING  AND BREEDING LAW OR VIDEO LOTTERY GAMING
   16  CONDUCTED PURSUANT TO SECTION SIXTEEN HUNDRED SEVENTEEN-A AND  PARAGRAPH
   17  FIVE  OF SUBDIVISION A OF SECTION SIXTEEN HUNDRED TWELVE OF THE TAX LAW,
   18  AS AMENDED AND IMPLEMENTED.
   19    23. "PREMISES" INCLUDES ANY STRUCTURE, PARKING LOT, BUILDING, VEHICLE,
   20  WATERCRAFT, AND ANY REAL PROPERTY.
   21    24. "SELL" MEANS TO SELL, EXCHANGE, GIVE OR DISPOSE OF TO ANOTHER.
   22    25. "STATE GAMING AGENCY" SHALL MEAN THE NEW YORK STATE GAMING COMMIS-
   23  SION, ITS AUTHORIZED OFFICIALS, AGENTS, AND  REPRESENTATIVES  ACTING  IN
   24  THEIR  OFFICIAL  CAPACITIES  AS THE REGULATORY AGENCY OF THE STATE WHICH
   25  HAS RESPONSIBILITY FOR REGULATION WITH RESPECT TO VIDEO  LOTTERY  GAMING
   26  OR CASINO GAMING.
   27    26. "UNFAIR GAMING EQUIPMENT" MEANS LOADED DICE, MARKED CARDS, SUBSTI-
   28  TUTED  CARDS OR DICE, OR FIXED ROULETTE WHEELS OR OTHER GAMING EQUIPMENT
   29  WHICH HAS BEEN ALTERED IN A WAY THAT TENDS TO DECEIVE OR TENDS TO  ALTER
   30  THE  ELEMENTS  OF  CHANCE OR NORMAL RANDOM SELECTION WHICH DETERMINE THE
   31  RESULT OF THE GAME OR OUTCOME, OR THE AMOUNT OR FREQUENCY OF THE PAYMENT
   32  IN A GAME.
   33    27. "UNLAWFUL GAMING PROPERTY" MEANS:
   34    (A) ANY DEVICE, NOT PRESCRIBED FOR USE IN CASINIO GAMING BY ITS RULES,
   35  WHICH IS CAPABLE OF ASSISTING A PLAYER:
   36    (I) TO CALCULATE ANY  PROBABILITIES  MATERIAL  TO  THE  OUTCOME  OF  A
   37  CONTEST OF CHANCE; OR
   38    (II)  TO  RECEIVE OR TRANSMIT INFORMATION MATERIAL TO THE OUTCOME OF A
   39  CONTEST OF CHANCE; OR
   40    (B) ANY OBJECT OR ARTICLE WHICH, BY VIRTUE OF ITS SIZE, SHAPE  OR  ANY
   41  OTHER  QUALITY, IS CAPABLE OF BEING USED IN CASINO GAMING AS AN IMPROPER
   42  SUBSTITUTE FOR A GENUINE CHIP,  CHEQUE,  TOKEN,  BETTING  COUPON,  DEBIT
   43  INSTRUMENT, VOUCHER OR OTHER INSTRUMENT OR INDICIA OF VALUE; OR
   44    (C) ANY UNFAIR GAMING EQUIPMENT.
   45    28.  "VIDEO  LOTTERY  GAMING" MEANS ANY LOTTERY GAME PLAYED ON A VIDEO
   46  LOTTERY TERMINAL, WHICH CONSISTS OF MULTIPLE  PLAYERS  COMPETING  FOR  A
   47  CHANCE  TO  WIN A RANDOM DRAWN PRIZE PURSUANT TO SECTION SIXTEEN HUNDRED
   48  SEVENTEEN-A AND PARAGRAPH FIVE  OF  SUBDIVISION  A  OF  SECTION  SIXTEEN
   49  HUNDRED TWELVE OF THE TAX LAW, AS AMENDED AND IMPLEMENTED.
   50    29.  "VOUCHER"  MEANS  AN  INSTRUMENT  OF  VALUE  GENERATED BY A VIDEO
   51  LOTTERY TERMINAL REPRESENTING A MONETARY AMOUNT AND/OR PLAY  VALUE  OWED
   52  TO  A  CUSTOMER  AT  A  SPECIFIC  VIDEO  LOTTERY TERMINAL BASED ON VIDEO
   53  LOTTERY GAMING WINNINGS AND/OR AMOUNTS NOT WAGERED.
   54    S 4. The penal law is amended  by  adding  ten  new  sections  225.55,
   55  225.60,  225.65,  225.70,  225.75,  225.80, 225.85, 225.90 and 225.95 to
   56  read as follows:
       S. 5883                            61                            A. 8101

    1  S 225.55 GAMING FRAUD IN THE SECOND DEGREE.
    2    A  PERSON  IS  GUILTY  OF GAMING FRAUD IN THE SECOND DEGREE WHEN HE OR
    3  SHE:
    4    1. WITH INTENT TO DEFRAUD AND IN VIOLATION OF THE RULES OF THE  CASINO
    5  GAMING,  MISREPRESENTS,  CHANGES  THE  AMOUNT  BET OR WAGERED ON, OR THE
    6  OUTCOME OR POSSIBLE OUTCOME OF THE CONTEST OR EVENT WHICH IS THE SUBJECT
    7  OF THE BET OR WAGER, OR THE AMOUNT OR FREQUENCY OF PAYMENT IN THE CASINO
    8  GAMING; OR
    9    2. WITH INTENT TO DEFRAUD,  OBTAINS  ANYTHING  OF  VALUE  FROM  CASINO
   10  GAMING WITHOUT HAVING WON SUCH AMOUNT BY A BET OR WAGER CONTINGENT THER-
   11  EON.
   12    GAMING FRAUD IN THE SECOND DEGREE IS A CLASS A MISDEMEANOR.
   13  S 225.60 GAMING FRAUD IN THE FIRST DEGREE.
   14    A  PERSON IS GUILTY OF GAMING FRAUD IN THE FIRST DEGREE WHEN HE OR SHE
   15  COMMITS A GAMING FRAUD IN THE SECOND DEGREE, AND:
   16    1. THE VALUE OF THE BENEFIT OBTAINED EXCEEDS ONE THOUSAND DOLLARS; OR
   17    2. HE OR SHE HAS BEEN PREVIOUSLY CONVICTED WITHIN THE  PRECEDING  FIVE
   18  YEARS  OF ANY OFFENSE OF WHICH AN ESSENTIAL ELEMENT IS THE COMMISSION OF
   19  A GAMING FRAUD.
   20    GAMING FRAUD IN THE FIRST DEGREE IS A CLASS E FELONY.
   21  S 225.65 USE OF COUNTERFEIT, UNAPPROVED  OR  UNLAWFUL  WAGERING  INSTRU-
   22             MENTS.
   23    A  PERSON  IS  GUILTY  OF  USE  OF COUNTERFEIT, UNAPPROVED OR UNLAWFUL
   24  WAGERING INSTRUMENTS WHEN IN PLAYING OR USING ANY CASINO GAMING DESIGNED
   25  TO BE PLAYED WITH, RECEIVED OR BE OPERATED BY  CHIPS,  CHEQUES,  TOKENS,
   26  VOUCHERS  OR  OTHER  WAGERING  INSTRUMENTS  APPROVED  BY THE APPROPRIATE
   27  GAMING REGULATORY AUTHORITY, HE OR SHE KNOWINGLY  USES  CHIPS,  CHEQUES,
   28  TOKENS, VOUCHERS OR OTHER WAGERING INSTRUMENTS OTHER THAN THOSE APPROVED
   29  BY  THE  APPROPRIATE  GAMING  REGULATING  AUTHORITY AND THE STATE GAMING
   30  AGENCY OR LAWFUL COIN OR LEGAL TENDER OF THE UNITED STATES OF AMERICA.
   31    POSSESSION OF MORE THAN ONE COUNTERFEIT, UNAPPROVED OR UNLAWFUL WAGER-
   32  ING INSTRUMENT DESCRIBED IN THIS  SECTION  IS  PRESUMPTIVE  EVIDENCE  OF
   33  POSSESSION THEREOF WITH KNOWLEDGE OF ITS CHARACTER OR CONTENTS.
   34    USE  OF  COUNTERFEIT, UNAPPROVED OR UNLAWFUL WAGERING INSTRUMENTS IS A
   35  CLASS A MISDEMEANOR.
   36  S 225.70 POSSESSION OF UNLAWFUL GAMING PROPERTY IN THE THIRD DEGREE.
   37    A PERSON IS GUILTY OF POSSESSION OF UNLAWFUL GAMING  PROPERTY  IN  THE
   38  THIRD  DEGREE WHEN HE OR SHE POSSESSES, WITH INTENT TO USE SUCH PROPERTY
   39  TO COMMIT GAMING FRAUD, UNLAWFUL GAMING PROPERTY  AT  A  PREMISES  BEING
   40  USED FOR CASINO GAMING.
   41    POSSESSION  OF UNLAWFUL GAMING PROPERTY IN THE THIRD DEGREE IS A CLASS
   42  A MISDEMEANOR.
   43  S 225.75 POSSESSION OF UNLAWFUL GAMING PROPERTY IN THE SECOND DEGREE.
   44    A PERSON IS GUILTY OF POSSESSION OF UNLAWFUL GAMING  PROPERTY  IN  THE
   45  SECOND DEGREE WHEN:
   46    1.  HE  OR  SHE  MAKES,  SELLS,  OR POSSESSES WITH INTENT TO SELL, ANY
   47  UNLAWFUL GAMING PROPERTY AT A CASINO GAMING FACILITY, THE VALUE OF WHICH
   48  EXCEEDS THREE HUNDRED DOLLARS, WITH INTENT THAT IT BE MADE AVAILABLE  TO
   49  A PERSON FOR UNLAWFUL USE; OR
   50    2.  HE  OR  SHE  COMMITS POSSESSION OF UNLAWFUL GAMING PROPERTY IN THE
   51  THIRD DEGREE AS DEFINED IN SECTION 225.70 OF THIS ARTICLE, AND THE  FACE
   52  VALUE  OF THE IMPROPER SUBSTITUTE PROPERTY EXCEEDS FIVE HUNDRED DOLLARS;
   53  OR
   54    3. HE OR SHE COMMITS THE OFFENSE  OF  POSSESSION  OF  UNLAWFUL  GAMING
   55  PROPERTY  IN  THE  THIRD DEGREE AND HAS BEEN PREVIOUSLY CONVICTED WITHIN
       S. 5883                            62                            A. 8101

    1  THE PRECEDING FIVE YEARS OF ANY OFFENSE OF WHICH AN ESSENTIAL ELEMENT IS
    2  POSSESSION OF UNLAWFUL GAMING PROPERTY.
    3    POSSESSION OF UNLAWFUL GAMING PROPERTY IN THE SECOND DEGREE IS A CLASS
    4  E FELONY.
    5  S 225.80 POSSESSION OF UNLAWFUL GAMING PROPERTY IN THE FIRST DEGREE.
    6    A  PERSON  IS  GUILTY OF POSSESSION OF UNLAWFUL GAMING PROPERTY IN THE
    7  FIRST DEGREE WHEN:
    8    1. HE OR SHE COMMITS THE CRIME OF UNLAWFUL POSSESSION OF GAMING  PROP-
    9  ERTY  IN  THE  THIRD DEGREE AS DEFINED IN SECTION 225.70 OF THIS ARTICLE
   10  AND THE FACE VALUE OF THE IMPROPER SUBSTITUTE PROPERTY EXCEEDS ONE THOU-
   11  SAND DOLLARS; OR
   12    2. HE OR SHE COMMITS THE OFFENSE  OF  POSSESSION  OF  UNLAWFUL  GAMING
   13  PROPERTY  IN  THE  SECOND DEGREE AS DEFINED IN SUBDIVISION ONE OR TWO OF
   14  SECTION 225.75 OF THIS ARTICLE AND HAS BEEN PREVIOUSLY CONVICTED  WITHIN
   15  THE PRECEDING FIVE YEARS OF ANY OFFENSE OF WHICH AN ESSENTIAL ELEMENT IS
   16  POSSESSION OF UNLAWFUL GAMING PROPERTY.
   17    POSSESSION  OF UNLAWFUL GAMING PROPERTY IN THE FIRST DEGREE IS A CLASS
   18  D FELONY.
   19  S 225.85 USE OF UNLAWFUL GAMING PROPERTY.
   20    A PERSON IS GUILTY OF USE OF UNLAWFUL GAMING PROPERTY WHEN HE  OR  SHE
   21  KNOWINGLY  WITH  INTENT  TO  DEFRAUD  USES UNLAWFUL GAMING PROPERTY AT A
   22  PREMISES BEING USED FOR CASINO GAMING.
   23    USE OF UNLAWFUL GAMING PROPERTY IS A CLASS E FELONY.
   24  S 225.90 MANIPULATION OF GAMING OUTCOMES AT AN AUTHORIZED GAMING  ESTAB-
   25             LISHMENT.
   26    A PERSON IS GUILTY OF MANIPULATION OF GAMING OUTCOMES AT AN AUTHORIZED
   27  GAMING ESTABLISHMENT WHEN HE OR SHE:
   28    1.  KNOWINGLY  CONDUCTS,  OPERATES, DEALS OR OTHERWISE MANIPULATES, OR
   29  KNOWINGLY ALLOWS TO BE CONDUCTED, OPERATED, DEALT OR  OTHERWISE  MANIPU-
   30  LATED,  CARDS, DICE OR GAMING EQUIPMENT OR DEVICE, FOR THEMSELVES OR FOR
   31  ANOTHER, THROUGH ANY TRICK OR SLEIGHT  OF  HAND  PERFORMANCE,  WITH  THE
   32  INTENT  OF DECEIVING OR ALTERING THE ELEMENTS OF CHANCE OR NORMAL RANDOM
   33  SELECTION WHICH DETERMINES THE RESULT OR OUTCOME OF  THE  GAME,  OR  THE
   34  AMOUNT OR FREQUENCY OF THE PAYMENT IN A GAME; OR
   35    2.  KNOWINGLY USES, CONDUCTS, OPERATES, DEALS, OR EXPOSES FOR PLAY, OR
   36  KNOWINGLY ALLOWS TO BE USED, CONDUCTED, OPERATED, DEALT OR  EXPOSED  FOR
   37  PLAY  ANY  CARDS, DICE OR GAMING EQUIPMENT OR DEVICE, OR ANY COMBINATION
   38  OF GAMING EQUIPMENT OR DEVICES, WHICH HAVE IN ANY MANNER  BEEN  ALTERED,
   39  MARKED  OR  TAMPERED  WITH,  OR  PLACED IN A CONDITION, OR OPERATED IN A
   40  MANNER, THE RESULT OF WHICH TENDS TO  DECEIVE  OR  TENDS  TO  ALTER  THE
   41  ELEMENTS OF CHANCE OR NORMAL RANDOM SELECTION WHICH DETERMINE THE RESULT
   42  OF  THE  GAME OR OUTCOME, OR THE AMOUNT OR FREQUENCY OF THE PAYMENT IN A
   43  GAME; OR
   44    3. KNOWINGLY USES, OR POSSESSES WITH THE INTENT  TO  USE,  ANY  CARDS,
   45  DICE OR OTHER GAMING EQUIPMENT OR DEVICES OTHER THAN THAT PROVIDED BY AN
   46  AUTHORIZED  GAMING OPERATOR FOR CURRENT USE IN A PERMITTED GAMING ACTIV-
   47  ITY; OR
   48    4. ALTERS OR MISREPRESENTS THE OUTCOME OF A GAME  OR  OTHER  EVENT  ON
   49  WHICH  BETS  OR WAGERS HAVE BEEN MADE AFTER THE OUTCOME IS MADE SURE BUT
   50  BEFORE IT IS REVEALED TO PLAYERS.
   51    POSSESSION OF ALTERED, MARKED OR TAMPERED WITH DICE, CARDS, OR  GAMING
   52  EQUIPMENT OR DEVICES AT AN AUTHORIZED GAMBLING ESTABLISHMENT IS PRESUMP-
   53  TIVE  EVIDENCE  OF POSSESSION THEREOF WITH KNOWLEDGE OF ITS CHARACTER OR
   54  CONTENTS AND INTENTION TO USE SUCH  ALTERED,  MARKED  OR  TAMPERED  WITH
   55  DICE,  CARDS,  OR  GAMING  EQUIPMENT  OR  DEVICES  IN  VIOLATION OF THIS
   56  SECTION.
       S. 5883                            63                            A. 8101

    1    MANIPULATION OF GAMING OUTCOMES AT AN AUTHORIZED GAMING  ESTABLISHMENT
    2  IS  A  CLASS  A  MISDEMEANOR  PROVIDED,  HOWEVER, THAT IF THE PERSON HAS
    3  PREVIOUSLY BEEN CONVICTED OF THIS CRIME WITHIN THE PAST FIVE YEARS  THIS
    4  CRIM SHALL BE A CLASS E FELONY.
    5  S 225.95 UNLAWFUL  MANUFACTURE, SALE, DISTRIBUTION, MARKING, ALTERING OR
    6             MODIFICATION OF EQUIPMENT AND DEVICES ASSOCIATED WITH GAMING.
    7    A PERSON IS GUILTY OF UNLAWFUL MANUFACTURE, SALE, DISTRIBUTION,  MARK-
    8  ING,  ALTERING  OR MODIFICATION OF EQUIPMENT AND DEVICES ASSOCIATED WITH
    9  GAMING WHEN IF HE OR SHE:
   10    1. MANUFACTURES, SELLS  OR  DISTRIBUTES  ANY  CARDS,  CHIPS,  CHEQUES,
   11  TOKENS,  DICE, VOUCHERS, GAME OR DEVICE AND HE OR SHE KNEW OR REASONABLY
   12  SHOULD HAVE KNOWN IT WAS INTENDED TO BE USED TO VIOLATE ANY PROVISION OF
   13  THIS ARTICLE; OR
   14    2. MARKS, ALTERS OR OTHERWISE MODIFIES ANY ASSOCIATED GAMING EQUIPMENT
   15  OR DEVICE IN A MANNER THAT EITHER AFFECTS THE RESULT  OF  THE  WAGER  BY
   16  DETERMINING  WIN  OR  LOSS  OR  ALTERS  THE  NORMAL  CRITERIA  OF RANDOM
   17  SELECTION IN A MANNER THAT AFFECTS THE OPERATION OF A GAME OR DETERMINES
   18  THE OUTCOME OF A GAME, AND HE OR SHE  KNEW  OR  REASONABLY  SHOULD  HAVE
   19  KNOWN  THAT  IT WAS INTENDED TO BE USED TO VIOLATE ANY PROVISION OF THIS
   20  ARTICLE.
   21    UNLAWFUL MANUFACTURE, SALE, DISTRIBUTION, MARKING, ALTERING OR MODIFI-
   22  CATION OF EQUIPMENT AND DEVICES ASSOCIATED WITH  GAMING  IS  A  CLASS  A
   23  MISDEMEANOR  PROVIDED,  HOWEVER,  THAT IF THE PERSON HAS PREVIOUSLY BEEN
   24  CONVICTED OF THIS CRIME WITHIN THE PAST FIVE YEARS THIS CRIM SHALL BE  A
   25  CLASS E FELONY.
   26    S  5.  Section  109-a of the racing, pari-mutuel wagering and breeding
   27  law is REPEALED and a new section 109-a is added to read as follows:
   28    S 109-A. SEPARATE BOARD FOR FACILITY SITING.    THE  COMMISSION  SHALL
   29  ESTABLISH  A  SEPARATE BOARD TO BE KNOWN AS THE NEW YORK GAMING FACILITY
   30  LOCATION BOARD TO PERFORM DESIGNATED FUNCTIONS UNDER ARTICLE THIRTEEN OF
   31  THIS CHAPTER, THE FOLLOWING PROVISIONS SHALL APPLY TO THE BOARD:
   32    1. THE COMMISSION SHALL SELECT FIVE MEMBERS AND NAME THE CHAIR OF  THE
   33  BOARD.  EACH MEMBER OF THE BOARD SHALL BE A RESIDENT OF THE STATE OF NEW
   34  YORK. NO MEMBER OF THE LEGISLATURE OR PERSON  HOLDING  ANY  ELECTIVE  OR
   35  APPOINTIVE  OFFICE IN FEDERAL, STATE OR LOCAL GOVERNMENT SHALL BE ELIGI-
   36  BLE TO SERVE AS A MEMBER OF THE BOARD.
   37    2. QUALIFICATIONS OF MEMBERS. MEMBERS OF THE BOARD SHALL EACH  POSSESS
   38  NO  LESS  THAN TEN YEARS OF RESPONSIBLE EXPERIENCE IN FISCAL MATTERS AND
   39  SHALL HAVE ANY ONE OR MORE OF THE FOLLOWING QUALIFICATIONS:
   40    (A) SIGNIFICANT SERVICE  AS  AN  ACCOUNTANT  ECONOMIST,  OR  FINANCIAL
   41  ANALYST EXPERIENCED IN FINANCE OR ECONOMICS;
   42    (B)  SIGNIFICANT  SERVICE  IN AN ACADEMIC FIELD RELATING TO FINANCE OR
   43  ECONOMICS;
   44    (C) SIGNIFICANT SERVICE AND KNOWLEDGE OF THE  COMMERCIAL  REAL  ESTATE
   45  INDUSTRY; OR
   46    (D)  SIGNIFICANT  SERVICE  AS AN EXECUTIVE WITH FIDUCIARY RESPONSIBIL-
   47  ITIES IN CHARGE OF A LARGE ORGANIZATION OR FOUNDATION.
   48    3. NO MEMBER OF THE BOARD:
   49    (A) MAY HAVE A CLOSE FAMILIAL OR BUSINESS  RELATIONSHIP  TO  A  PERSON
   50  THAT HOLDS A LICENSE UNDER THIS CHAPTER;
   51    (B)  MAY HAVE ANY DIRECT OR INDIRECT FINANCIAL INTEREST, OWNERSHIP, OR
   52  MANAGEMENT, INCLUDING HOLDING ANY STOCKS, BONDS, OR OTHER SIMILAR FINAN-
   53  CIAL INTERESTS IN ANY GAMING ACTIVITIES, INCLUDING HORSE RACING, LOTTERY
   54  OR GAMBLING;
       S. 5883                            64                            A. 8101

    1    (C) MAY RECEIVE OR SHARE IN, DIRECTLY OR INDIRECTLY, THE  RECEIPTS  OR
    2  PROCEEDS  OF  ANY  GAMING ACTIVITIES, INCLUDING HORSE RACING, LOTTERY OR
    3  GAMBLING;
    4    (D) MAY HAVE A BENEFICIAL INTEREST IN ANY CONTRACT FOR THE MANUFACTURE
    5  OR  SALE  OF  GAMING DEVICES, THE CONDUCT OF ANY GAMING ACTIVITY, OR THE
    6  PROVISION OF ANY INDEPENDENT CONSULTING SERVICES IN CONNECTION WITH  ANY
    7  ESTABLISHMENT LICENSED UNDER THIS CHAPTER.
    8    4.  BOARD  MEMBERS  ARE  ENTITLED  TO  ACTUAL  AND  NECESSARY EXPENSES
    9  INCURRED IN THE DISCHARGE OF THEIR DUTIES BUT MAY  NOT  RECEIVE  COMPEN-
   10  SATION FOR THEIR SERVICE ON THE BOARD.
   11    5. (A) THE COMMISSION SHALL PROVIDE STAFF TO THE BOARD.
   12    (B)  THE  BOARD  SHALL  CONTRACT WITH AN OUTSIDE CONSULTANT TO PROVIDE
   13  ANALYSIS OF THE GAMING INDUSTRY AND TO SUPPORT THE BOARD'S COMPREHENSIVE
   14  REVIEW AND EVALUATION OF THE APPLICATIONS SUBMITTED  TO  THE  BOARD  FOR
   15  GAMING FACILITY LICENSES.
   16    (C)  THE  BOARD MAY CONTRACT WITH ATTORNEYS, ACCOUNTANTS, AUDITORS AND
   17  FINANCIAL AND OTHER EXPERTS TO RENDER NECESSARY SERVICES.
   18    (D) ALL OTHER STATE AGENCIES SHALL COOPERATE WITH AND ASSIST THE BOARD
   19  IN THE FULFILLMENT OF ITS DUTIES UNDER THIS ARTICLE AND MAY RENDER  SUCH
   20  SERVICES TO THE BOARD WITHIN THEIR RESPECTIVE FUNCTIONS AS THE BOARD MAY
   21  REASONABLY REQUEST.
   22    6.  UTILIZING THE POWERS AND DUTIES PRESCRIBED FOR IT BY ARTICLE THIR-
   23  TEEN OF THIS CHAPTER, THE BOARD  SHALL  SELECT,  THROUGH  A  COMPETITIVE
   24  PROCESS  CONSISTENT WITH PROVISIONS OF ARTICLE THIRTEEN OF THIS CHAPTER,
   25  NOT MORE THAN FOUR GAMING FACILITY LICENSE APPLICANTS.   SUCH  SELECTEES
   26  SHALL BE AUTHORIZED TO RECEIVE A GAMING FACILITY LICENSE, IF FOUND SUIT-
   27  ABLE  BY  THE  COMMISSION.  THE  BOARD  MAY SELECT ANOTHER APPLICANT FOR
   28  AUTHORIZATION TO BE LICENSED AS A GAMING FACILITY IF A PREVIOUS SELECTEE
   29  FAILS TO MEET LICENSING THRESHOLDS, IS REVOKED OR SURRENDERS  A  LICENSE
   30  OPPORTUNITY.
   31    S  6.  Subdivision  2  of  section  99-h  of the state finance law, as
   32  amended by section 1 of part V of chapter 59 of the  laws  of  2006,  is
   33  amended to read as follows:
   34    2.  Such  account shall consist of all revenues resulting from tribal-
   35  state compacts executed pursuant to article two  of  the  executive  law
   36  [and],  a  tribal-state compact with the St. Regis Mohawk tribe executed
   37  pursuant to chapter five hundred ninety of the laws of two thousand four
   38  AND THE ONEIDA SETTLEMENT AGREEMENT REFERENCED IN SECTION ELEVEN OF  THE
   39  EXECUTIVE LAW.
   40    S  7.  Subdivision  3  of  section  99-h  of the state finance law, as
   41  amended by section 1 of part W of chapter 60 of the  laws  of  2011,  is
   42  amended to read as follows:
   43    3.  Moneys of the account, following the segregation of appropriations
   44  enacted by the legislature, shall be available  for  purposes  including
   45  but  not limited to: (a) reimbursements or payments to municipal govern-
   46  ments that host tribal casinos pursuant to a  tribal-state  compact  for
   47  costs  incurred  in connection with services provided to such casinos or
   48  arising as a result thereof, for economic development opportunities  and
   49  job expansion programs authorized by the executive law; provided, howev-
   50  er,  that  for  any  gaming facility located in the city of Buffalo, the
   51  city of Buffalo shall receive a minimum of twenty-five  percent  of  the
   52  negotiated percentage of the net drop from electronic gaming devices the
   53  state  receives  pursuant  to the compact, and provided further that for
   54  any gaming facility located in the city  of  Niagara  Falls,  county  of
   55  Niagara a minimum of twenty-five percent of the negotiated percentage of
   56  the  net drop from electronic gaming devices the state receives pursuant
       S. 5883                            65                            A. 8101

    1  to the compact shall be distributed in accordance with subdivision  four
    2  of  this  section,  and  provided  further  that for any gaming facility
    3  located in the county or counties of Cattaraugus, Chautauqua or  Allega-
    4  ny,  the  municipal  governments of the state hosting the facility shall
    5  collectively receive a minimum of twenty-five percent of the  negotiated
    6  percentage  of  the  net  drop  from electronic gaming devices the state
    7  receives pursuant to the compact; and provided further that pursuant  to
    8  chapter  five hundred ninety of the laws of two thousand four, a minimum
    9  of twenty-five percent of the revenues received by the state pursuant to
   10  the state's compact with the St. Regis Mohawk tribe shall be made avail-
   11  able to the counties of Franklin and St. Lawrence, and affected towns in
   12  such counties. Each such county and its  affected  towns  shall  receive
   13  fifty  percent  of  the moneys made available by the state; AND PROVIDED
   14  FURTHER THAT THE STATE SHALL ANNUALLY MAKE TWENTY-FIVE  PERCENT  OF  THE
   15  NEGOTIATED  PERCENTAGE OF THE NET DROP FROM ALL GAMING DEVICES THE STATE
   16  ACTUALLY RECEIVES PURSUANT TO THE ONEIDA SETTLEMENT AGREEMENT  CONFIRMED
   17  BY  SECTION  ELEVEN  OF  THE EXECUTIVE LAW AS AVAILABLE TO THE COUNTY OF
   18  ONEIDA, AND A SUM OF THREE AND ONE-HALF MILLION DOLLARS TO THE COUNTY OF
   19  MADISON. ADDITIONALLY, THE STATE SHALL DISTRIBUTE FOR A PERIOD OF  NINE-
   20  TEEN AND ONE-QUARTER YEARS, AN ADDITIONAL ANNUAL SUM OF TWO AND ONE-HALF
   21  MILLION  DOLLARS TO THE COUNTY OF ONEIDA.  ADDITIONALLY, THE STATE SHALL
   22  DISTRIBUTE THE ONE-TIME ELEVEN MILLION DOLLAR PAYMENT  RECEIVED  BY  THE
   23  STATE  PURSUANT  TO SUCH AGREEMENT WITH THE ONEIDA NATION OF NEW YORK TO
   24  THE COUNTY OF MADISON BY WIRE TRANSFER UPON RECEIPT OF SUCH  PAYMENT  BY
   25  THE  STATE;  and  (b)  support  and  services  of treatment programs for
   26  persons suffering from gambling addictions. Moneys  not  segregated  for
   27  such  purposes  shall be transferred to the general fund for the support
   28  of government during the fiscal year in which they are received.
   29    S 7-a. Subdivision 3 of section 99-h of  the  state  finance  law,  as
   30  amended  by  section  1 of part QQ of chapter 59 of the laws of 2009, is
   31  amended to read as follows:
   32    3. Moneys of the account, following appropriation by the  legislature,
   33  shall  be  available  for  purposes  including  but  not limited to: (a)
   34  reimbursements or payments to municipal  governments  that  host  tribal
   35  casinos  pursuant  to  a  tribal-state  compact  for  costs  incurred in
   36  connection with services provided to such casinos or arising as a result
   37  thereof,  for  economic  development  opportunities  and  job  expansion
   38  programs  authorized  by  the executive law; provided, however, that for
   39  any gaming facility located in the city of Buffalo, the city of  Buffalo
   40  shall  receive  a  minimum  of  twenty-five  percent  of  the negotiated
   41  percentage of the net drop from  electronic  gaming  devices  the  state
   42  receives  pursuant  to  the  compact,  and provided further that for any
   43  gaming facility located in the city of Niagara Falls, county of  Niagara
   44  a minimum of twenty-five percent of the negotiated percentage of the net
   45  drop  from  electronic gaming devices the state receives pursuant to the
   46  compact shall be distributed in accordance with subdivision four of this
   47  section, and provided further that for any gaming  facility  located  in
   48  the  county  or  counties  of  Cattaraugus,  Chautauqua or Allegany, the
   49  municipal governments of the state hosting the  facility  shall  collec-
   50  tively  receive  a  minimum  of  twenty-five  percent  of the negotiated
   51  percentage of the net drop from  electronic  gaming  devices  the  state
   52  receives  pursuant to the compact; and provided further that pursuant to
   53  chapter five hundred ninety of the laws of two thousand four, a  minimum
   54  of twenty-five percent of the revenues received by the state pursuant to
   55  the state's compact with the St. Regis Mohawk tribe shall be made avail-
   56  able to the counties of Franklin and St. Lawrence, and affected towns in
       S. 5883                            66                            A. 8101

    1  such  counties.  Each  such  county and its affected towns shall receive
    2  fifty percent of the moneys made available by the  state;  AND  PROVIDED
    3  FURTHER  THAT  THE  STATE SHALL ANNUALLY MAKE TWENTY-FIVE PERCENT OF THE
    4  NEGOTIATED  PERCENTAGE OF THE NET DROP FROM ALL GAMING DEVICES THE STATE
    5  ACTUALLY  RECEIVES  PURSUANT  TO  THE  ONEIDA  SETTLEMENT  AGREEMENT  AS
    6  CONFIRMED  BY  SECTION  ELEVEN  OF THE EXECUTIVE LAW AS AVAILABLE TO THE
    7  COUNTY OF ONEIDA, AND A SUM OF THREE AND ONE-HALF MILLION DOLLARS TO THE
    8  COUNTY OF MADISON. ADDITIONALLY, THE STATE SHALL DISTRIBUTE FOR A PERIOD
    9  OF NINETEEN AND ONE-QUARTER YEARS, AN ADDITIONAL ANNUAL SUM OF  TWO  AND
   10  ONE-HALF  MILLION  DOLLARS  TO  THE COUNTY OF ONEIDA.  ADDITIONALLY, THE
   11  STATE SHALL  DISTRIBUTE  THE  ONE-TIME  ELEVEN  MILLION  DOLLAR  PAYMENT
   12  RECEIVED  BY THE STATE PURSUANT TO SUCH AGREEMENT WITH THE ONEIDA NATION
   13  OF NEW YORK TO THE COUNTY OF MADISON BY WIRE TRANSFER  UPON  RECEIPT  OF
   14  SUCH  PAYMENT  BY  THE  STATE; and (b) support and services of treatment
   15  programs for persons suffering  from  gambling  addictions.  Moneys  not
   16  appropriated  for such purposes shall be transferred to the general fund
   17  for the support of government during the fiscal year in which  they  are
   18  received.
   19    S  8.  Subdivision  3  of  section  99-h  of the state finance law, as
   20  amended by section 23 of part HH of chapter 57 of the laws of  2013,  is
   21  amended to read as follows:
   22    3.  Moneys of the account, following the segregation of appropriations
   23  enacted by the legislature, shall be available  for  purposes  including
   24  but  not limited to: (a) reimbursements or payments to municipal govern-
   25  ments that host tribal casinos pursuant to a  tribal-state  compact  for
   26  costs  incurred  in connection with services provided to such casinos or
   27  arising as a result thereof, for economic development opportunities  and
   28  job expansion programs authorized by the executive law; provided, howev-
   29  er,  that  for  any  gaming  facility  located  in the county of Erie or
   30  Niagara, the municipal governments hosting the  facility  shall  collec-
   31  tively  receive  a  minimum  of  twenty-five  percent  of the negotiated
   32  percentage of the net drop from  electronic  gaming  devices  the  state
   33  receives  pursuant  to  the  compact  and  provided further that for any
   34  gaming facility located in the county or counties of Cattaraugus,  Chau-
   35  tauqua  or  Allegany, the municipal governments of the state hosting the
   36  facility shall collectively receive a minimum of twenty-five percent  of
   37  the negotiated percentage of the net drop from electronic gaming devices
   38  the  state  receives  pursuant to the compact; and provided further that
   39  pursuant to chapter five hundred ninety of  the  laws  of  two  thousand
   40  four,  a  minimum of twenty-five percent of the revenues received by the
   41  state pursuant to the state's compact with the St.  Regis  Mohawk  tribe
   42  shall  be  made  available to the counties of Franklin and St. Lawrence,
   43  and affected towns in such counties. Each such county and  its  affected
   44  towns  shall  receive  fifty percent of the moneys made available by the
   45  state;  AND  PROVIDED  FURTHER  THAT  THE  STATE  SHALL  ANNUALLY   MAKE
   46  TWENTY-FIVE  PERCENT  OF  THE NEGOTIATED PERCENTAGE OF THE NET DROP FROM
   47  ALL GAMING DEVICES THE STATE ACTUALLY RECEIVES PURSUANT  TO  THE  ONEIDA
   48  SETTLEMENT  AGREEMENT  CONFIRMED  BY SECTION ELEVEN OF THE EXECUTIVE LAW
   49  AVAILABLE TO THE COUNTY OF ONEIDA, AND  A  SUM  OF  THREE  AND  ONE-HALF
   50  MILLION  DOLLARS TO THE COUNTY OF MADISON. ADDITIONALLY, THE STATE SHALL
   51  DISTRIBUTE, FOR A PERIOD OF NINETEEN AND  ONE-QUARTER  YEARS,  AN  ADDI-
   52  TIONAL  ANNUAL  SUM OF TWO AND ONE-HALF MILLION DOLLARS TO THE COUNTY OF
   53  ONEIDA. ADDITIONALLY, THE STATE SHALL  DISTRIBUTE  THE  ONE-TIME  ELEVEN
   54  MILLION  DOLLAR  PAYMENT  ACTUALLY RECEIVED BY THE STATE PURSUANT TO THE
   55  ONEIDA SETTLEMENT AGREEMENT TO THE COUNTY OF MADISON  BY  WIRE  TRANSFER
   56  UPON  RECEIPT OF SUCH PAYMENT BY THE STATE; and (b) support and services
       S. 5883                            67                            A. 8101

    1  of treatment programs for persons suffering  from  gambling  addictions.
    2  Moneys  not  segregated  for  such  purposes shall be transferred to the
    3  general fund for the support of government during  the  fiscal  year  in
    4  which they are received.
    5    S  9. Section 99-h of the state finance law, as amended by chapter 747
    6  of the laws of 2006, is amended by adding a new subdivision 3-a to  read
    7  as follows:
    8    3-A.  TEN  PERCENT  OF ANY OF THE FUNDS ACTUALLY RECEIVED BY THE STATE
    9  PURSUANT TO THE TRIBAL-STATE COMPACTS AND AGREEMENTS DESCRIBED IN SUBDI-
   10  VISION TWO OF THIS SECTION THAT ARE  RETAINED  IN  THE  FUND  AFTER  THE
   11  DISTRIBUTIONS  REQUIRED  BY SUBDIVISION THREE OF THIS SECTION, BUT PRIOR
   12  TO THE TRANSFER OF UNSEGREGATED MONEYS TO THE GENERAL FUND  REQUIRED  BY
   13  SUCH  SUBDIVISION,  SHALL  BE DISTRIBUTED TO COUNTIES IN EACH RESPECTIVE
   14  EXCLUSIVITY ZONE PROVIDED THEY DO NOT OTHERWISE RECEIVE A SHARE OF  SAID
   15  REVENUES PURSUANT TO THIS SECTION. SUCH DISTRIBUTION SHALL BE MADE AMONG
   16  SUCH  COUNTIES  ON  A  PER CAPITA BASIS, EXCLUDING THE POPULATION OF ANY
   17  MUNICIPALITY THAT RECEIVES A DISTRIBUTION PURSUANT TO SUBDIVISION  THREE
   18  OF THIS SECTION.
   19    S 10. The state finance law is amended by adding a new section 97-nnnn
   20  to read as follows:
   21    S 97-NNNN.  COMMERCIAL GAMING REVENUE FUND.  1. THERE IS HEREBY ESTAB-
   22  LISHED  IN  THE JOINT CUSTODY OF THE COMPTROLLER AND THE COMMISSIONER OF
   23  TAXATION AND FINANCE AN ACCOUNT IN  THE  MISCELLANEOUS  SPECIAL  REVENUE
   24  FUND TO BE KNOWN AS THE "COMMERCIAL GAMING REVENUE FUND".
   25    2.  SUCH ACCOUNT SHALL CONSIST OF ALL REVENUES FROM ALL TAXES AND FEES
   26  IMPOSED BY ARTICLE THIRTEEN OF  THE  RACING,  PARI-MUTUEL  WAGERING  AND
   27  BREEDING  LAW;  ANY INTEREST AND PENALTIES IMPOSED BY THE NEW YORK STATE
   28  GAMING COMMISSION RELATING TO THOSE TAXES; THE PERCENTAGE OF  THE  VALUE
   29  OF  EXPIRED  GAMING  RELATED  OBLIGATIONS;  AND ALL PENALTIES LEVIED AND
   30  COLLECTED BY THE COMMISSION. ADDITIONALLY, THE STATE  GAMING  COMMISSION
   31  SHALL  PAY  INTO  THE  ACCOUNT  ANY  APPROPRIATE  FUNDS,  CASH OR PRIZES
   32  FORFEITED FROM GAMBLING ACTIVITY.
   33    3. MONEYS OF THE ACCOUNT SHALL BE AVAILABLE AS FOLLOWS, UNLESS  OTHER-
   34  WISE  SPECIFIED  BY THE UPSTATE NEW YORK GAMING ECONOMIC DEVELOPMENT ACT
   35  OF TWO THOUSAND THIRTEEN, FOLLOWING APPROPRIATION BY THE LEGISLATURE:
   36    A. EIGHTY PERCENT OF THE MONEYS IN SUCH FUND SHALL BE APPROPRIATED  OR
   37  TRANSFERRED ONLY FOR ELEMENTARY AND SECONDARY EDUCATION OR REAL PROPERTY
   38  TAX RELIEF.
   39    B.  TEN  PERCENT  OF  THE MONEYS IN SUCH FUND SHALL BE APPROPRIATED OR
   40  TRANSFERRED FROM THE COMMERCIAL GAMING REVENUE FUND EQUALLY BETWEEN  THE
   41  HOST MUNICIPALITY AND HOST COUNTY.
   42    C.  TEN  PERCENT  OF  THE  MONEYS  IN  SUCH FUND, AS ATTRIBUTABLE TO A
   43  SPECIFIC LICENSED GAMING FACILITY, SHALL BE APPROPRIATED OR  TRANSFERRED
   44  FROM  THE  COMMERCIAL  GAMING  REVENUE  FUND  AMONG  COUNTIES WITHIN THE
   45  REGION, AS DEFINED BY SECTION ONE THOUSAND  THREE  HUNDRED  TEN  OF  THE
   46  RACING, PARI-MUTUEL WAGERING AND BREEDING LAW, HOSTING SAID FACILITY FOR
   47  THE  PURPOSE  OF  REAL PROPERTY TAX RELIEF AND FOR EDUCATION ASSISTANCE.
   48  SUCH DISTRIBUTION SHALL BE MADE AMONG  THE  COUNTIES  ON  A  PER  CAPITA
   49  BASIS, SUBTRACTING THE POPULATION OF HOST MUNICIPALITY AND COUNTY.
   50    4.  A.  AS  USED  IN THIS SECTION, THE TERM "BASE YEAR GAMING REVENUE"
   51  SHALL MEAN THE SUM OF ALL REVENUE GENERATED TO  SUPPORT  EDUCATION  FROM
   52  VIDEO  LOTTERY  GAMING AS DEFINED BY SECTION SIXTEEN HUNDRED SEVENTEEN-A
   53  OF THE TAX LAW IN THE TWELVE  MONTHS  PRECEDING  THE  OPERATION  OF  ANY
   54  GAMING  FACILITY  PURSUANT  TO  EITHER  ARTICLE  THIRTEEN OF THE RACING,
   55  PARI-MUTUEL WAGERING AND BREEDING LAW OR PURSUANT TO PARAGRAPH  FOUR  OF
   56  SECTION ONE THOUSAND SIX HUNDRED SEVENTEEN-A OF THE TAX LAW.
       S. 5883                            68                            A. 8101

    1    B. AMOUNTS TRANSFERRED IN ANY YEAR TO SUPPORT ELEMENTARY AND SECONDARY
    2  EDUCATION SHALL BE CALCULATED AS FOLLOWS:
    3    (I)  AN  AMOUNT  EQUAL TO THE POSITIVE DIFFERENCE, IF ANY, BETWEEN THE
    4  BASE YEAR GAMING REVENUE AMOUNT AND THE SUM OF ALL REVENUE GENERATED  TO
    5  SUPPORT  EDUCATION  FROM  VIDEO  LOTTERY  GAMING  AS  DEFINED BY SECTION
    6  SIXTEEN HUNDRED SEVENTEEN-A OF THE TAX LAW IN THE  CURRENT  FISCAL  YEAR
    7  PROVIDED  THAT SUCH POSITIVE AMOUNT, IF ANY, SHALL BE TRANSFERRED TO THE
    8  STATE LOTTERY FUND; AND
    9    (II) THE AMOUNT OF REVENUE COLLECTED IN THE PRIOR STATE  FISCAL  YEAR,
   10  TO  BE  DISTRIBUTED PURSUANT TO PARAGRAPH A OF SUBDIVISION THREE OF THIS
   11  SECTION, AND IN EXCESS OF ANY AMOUNTS TRANSFERRED PURSUANT  TO  SUBPARA-
   12  GRAPH (I) OF THIS PARAGRAPH IN SUCH PRIOR FISCAL YEAR, IF ANY.
   13    C.  NOTWITHSTANDING  ANY  PROVISION  OF  LAW  TO THE CONTRARY, AMOUNTS
   14  APPROPRIATED OR TRANSFERRED FROM  THE  COMMERCIAL  GAMING  REVENUE  FUND
   15  PURSUANT  TO  SUBPARAGRAPH  (II) OF THIS PARAGRAPH SHALL NOT BE INCLUDED
   16  IN: (I) THE ALLOWABLE GROWTH AMOUNT COMPUTED PURSUANT TO PARAGRAPH DD OF
   17  SUBDIVISION ONE OF SECTION THIRTY-SIX HUNDRED TWO OF THE EDUCATION  LAW,
   18  (II)  THE PRELIMINARY GROWTH AMOUNT COMPUTED PURSUANT TO PARAGRAPH FF OF
   19  SUBDIVISION ONE OF SECTION THIRTY-SIX HUNDRED TWO OF THE EDUCATION  LAW,
   20  AND  (III) THE ALLOCABLE GROWTH AMOUNT COMPUTED PURSUANT TO PARAGRAPH GG
   21  OF SUBDIVISION ONE OF SECTION THIRTY-SIX HUNDRED TWO  OF  THE  EDUCATION
   22  LAW.
   23    5. NOTWITHSTANDING THE FOREGOING, MONIES RECEIVED PURSUANT TO:
   24    A.  SECTIONS  ONE  THOUSAND  THREE HUNDRED FORTY-FIVE AND ONE THOUSAND
   25  THREE HUNDRED FORTY-EIGHT OF THIS ARTICLE SHALL BE EXCLUSIVELY APPROPRI-
   26  ATED TO THE OFFICE OF ALCOHOLISM AND SUBSTANCE ABUSE SERVICES TO BE USED
   27  FOR PROBLEM GAMBLING EDUCATION AND TREATMENT PURPOSES.
   28    B. SECTION ONE THOUSAND THREE HUNDRED FORTY-NINE OF THIS ARTICLE SHALL
   29  BE EXCLUSIVELY APPROPRIATED TO THE COMMISSION  FOR  REGULATORY  INVESTI-
   30  GATIONS.
   31    C.  SECTION  ONE THOUSAND THREE HUNDRED FIFTY OF THIS ARTICLE SHALL BE
   32  EXCLUSIVELY APPROPRIATED TO THE COMMISSION FOR COSTS REGULATION.
   33    S 11. The penal law is amended by adding a new section 156.40 to  read
   34  as follows:
   35  S 156.40 OPERATING AN UNLAWFUL ELECTRONIC SWEEPSTAKES.
   36    1.  AS  USED  IN THIS SECTION THE FOLLOWING WORDS AND TERMS SHALL HAVE
   37  THE FOLLOWING MEANINGS:
   38    (A) "ELECTRONIC MACHINE OR DEVICE" MEANS A MECHANICALLY,  ELECTRICALLY
   39  OR  ELECTRONICALLY  OPERATED  MACHINE OR DEVICE THAT IS OWNED, LEASED OR
   40  OTHERWISE POSSESSED BY A SWEEPSTAKES SPONSOR OR PROMOTER, OR  ANY  SPON-
   41  SORS, PROMOTERS, PARTNERS, AFFILIATES, SUBSIDIARIES OR CONTRACTORS THER-
   42  EOF;  THAT  IS  INTENDED  TO BE USED BY A SWEEPSTAKES ENTRANT; THAT USES
   43  ENERGY; AND THAT DISPLAYS THE RESULTS OF A GAME ENTRY OR GAME OUTCOME TO
   44  A PARTICIPANT ON A SCREEN OR OTHER MECHANISM  AT  A  BUSINESS  LOCATION,
   45  INCLUDING A PRIVATE CLUB; PROVIDED, THAT AN ELECTRONIC MACHINE OR DEVICE
   46  MAY, WITHOUT LIMITATION:
   47    (1) BE SERVER-BASED;
   48    (2)  USE  A  SIMULATED GAME TERMINAL AS A REPRESENTATION OF THE PRIZES
   49  ASSOCIATED WITH THE RESULTS OF THE SWEEPSTAKES ENTRIES;
   50    (3) UTILIZE SOFTWARE SUCH THAT THE SIMULATED GAME INFLUENCES OR DETER-
   51  MINES THE WINNING OR VALUE OF THE PRIZE;
   52    (4) SELECT PRIZES FROM A PREDETERMINED FINITE POOL OF ENTRIES;
   53    (5) UTILIZE A MECHANISM THAT REVEALS THE CONTENT  OF  A  PREDETERMINED
   54  SWEEPSTAKES ENTRY;
   55    (6) PREDETERMINE THE PRIZE RESULTS AND STORES THOSE RESULTS FOR DELIV-
   56  ERY AT THE TIME THE SWEEPSTAKES ENTRY RESULTS ARE REVEALED;
       S. 5883                            69                            A. 8101

    1    (7) UTILIZE SOFTWARE TO CREATE A GAME RESULT;
    2    (8)  REQUIRE  DEPOSIT  OF  ANY MONEY, COIN OR TOKEN, OR THE USE OF ANY
    3  CREDIT CARD, DEBIT CARD, PREPAID CARD OR ANY OTHER METHOD OF PAYMENT  TO
    4  ACTIVATE THE ELECTRONIC MACHINE OR DEVICE;
    5    (9)  REQUIRE  DIRECT PAYMENT INTO THE ELECTRONIC MACHINE OR DEVICE, OR
    6  REMOTE ACTIVATION OF THE ELECTRONIC MACHINE OR DEVICE;
    7    (10) REQUIRE PURCHASE OF A RELATED PRODUCT HAVING LEGITIMATE VALUE;
    8    (11) REVEAL THE PRIZE INCREMENTALLY, EVEN THOUGH IT MAY NOT  INFLUENCE
    9  IF A PRIZE IS AWARDED OR THE VALUE OF ANY PRIZE AWARDED;
   10    (12) DETERMINE AND ASSOCIATE THE PRIZE WITH AN ENTRY OR ENTRIES AT THE
   11  TIME THE SWEEPSTAKES IS ENTERED; OR
   12    (13)  BE  A  SLOT  MACHINE OR OTHER FORM OF ELECTRICAL, MECHANICAL, OR
   13  COMPUTER GAME.
   14    (B) "ENTER" OR "ENTRY" MEANS THE ACT OR  PROCESS  BY  WHICH  A  PERSON
   15  BECOMES ELIGIBLE TO RECEIVE ANY PRIZE OFFERED IN A SWEEPSTAKES.
   16    (C)  "ENTERTAINING  DISPLAY"  MEANS ANY VISUAL INFORMATION, CAPABLE OF
   17  BEING SEEN BY A SWEEPSTAKES ENTRANT, THAT TAKES THE FORM OF ACTUAL  GAME
   18  PLAY OR SIMULATED GAME PLAY.
   19    (D)  "PRIZE" MEANS ANY GIFT, AWARD, GRATUITY, GOOD, SERVICE, CREDIT OR
   20  ANYTHING ELSE OF VALUE, WHICH MAY BE TRANSFERRED TO  A  PERSON,  WHETHER
   21  POSSESSION OF THE PRIZE IS ACTUALLY TRANSFERRED, OR PLACED ON AN ACCOUNT
   22  OR OTHER RECORD AS EVIDENCE OF THE INTENT TO TRANSFER THE PRIZE.
   23    (E) "SWEEPSTAKES" MEANS ANY GAME, ADVERTISING SCHEME OR PLAN, OR OTHER
   24  PROMOTION, WHICH, WITH OR WITHOUT PAYMENT OF ANY CONSIDERATION, A PERSON
   25  MAY  ENTER  TO WIN OR BECOME ELIGIBLE TO RECEIVE ANY PRIZE, THE DETERMI-
   26  NATION OF WHICH IS BASED UPON CHANCE.
   27    2. A PERSON IS GUILTY OF OPERATING AN UNLAWFUL ELECTRONIC  SWEEPSTAKES
   28  WHEN  HE OR SHE KNOWINGLY POSSESSES WITH THE INTENT TO OPERATE, OR PLACE
   29  INTO OPERATION, AN ELECTRONIC MACHINE OR DEVICE TO:
   30    (A) CONDUCT A SWEEPSTAKES THROUGH THE USE OF AN ENTERTAINING  DISPLAY,
   31  INCLUDING THE ENTRY PROCESS OR THE REVEAL OF A PRIZE; OR
   32    (B)  PROMOTE  A  SWEEPSTAKES  THAT  IS CONDUCTED THROUGH THE USE OF AN
   33  ENTERTAINING DISPLAY, INCLUDING THE ENTRY PROCESS OR  THE  REVEAL  OF  A
   34  PRIZE.
   35    3.  NOTHING  IN  THIS  SECTION  SHALL BE CONSTRUED TO MAKE ILLEGAL ANY
   36  ACTIVITY WHICH IS LAWFULLY CONDUCTED AS THE NEW YORK STATE  LOTTERY  FOR
   37  EDUCATION  AS AUTHORIZED BY ARTICLE THIRTY-FOUR OF THE TAX LAW; PARI-MU-
   38  TUEL WAGERING ON HORSE RACES AS AUTHORIZED BY ARTICLES TWO, THREE, FOUR,
   39  FIVE-A, AND TEN OF THE RACING, PARI-MUTUEL WAGERING  AND  BREEDING  LAW;
   40  THE  GAME  OF  BINGO AS AUTHORIZED PURSUANT TO ARTICLE FOURTEEN-H OF THE
   41  GENERAL MUNICIPAL LAW; GAMES OF CHANCE AS AUTHORIZED PURSUANT TO ARTICLE
   42  NINE-A OF THE GENERAL MUNICIPAL LAW; GAMING  AS  AUTHORIZED  BY  ARTICLE
   43  THIRTEEN OF THE RACING, PARI-MUTUEL WAGERING AND BREEDING LAW; OR PURSU-
   44  ANT TO THE FEDERAL INDIAN GAMING REGULATORY ACT.
   45    OPERATING AN UNLAWFUL ELECTRONIC SWEEPSTAKES IS A CLASS E FELONY.
   46    S 12. The legislature hereby finds that long-standing disputes between
   47  the  Oneida Nation of New York and the State of New York, Madison County
   48  and Oneida County, have generated litigation in state and federal courts
   49  regarding property and other taxation, the status of Oneida Nation lands
   50  and transfer of such lands to the United States to be held in trust  for
   51  the  Oneida  Nation,  and  that such litigation and disputes have caused
   52  decades of unrest and uncertainty for the citizens and residents of  the
   53  Central  New  York  region  of this state. The legislature further finds
   54  that it is in the best interests of all citizens,  residents  and  poli-
   55  tical  subdivisions  of  this  state to remove any uncertainty that such
   56  litigation or disputes have created regarding the title to and jurisdic-
       S. 5883                            70                            A. 8101

    1  tional status of land within the state.  The legislature recognizes that
    2  negotiated settlement of these disputes will  facilitate  a  cooperative
    3  relationship  between  the  state,  the  counties and the Oneida Nation.
    4  Therefore,  the  legislature  declares that the following provisions are
    5  enacted to implement the settlement agreement that has  been  negotiated
    6  and executed by the governor on behalf of the people of this state.
    7    S 13. Section 11 of the executive law is REPEALED and a new section 11
    8  is added to read as follows:
    9    S  11.  INDIAN  SETTLEMENT AGREEMENTS. 1. ONEIDA SETTLEMENT AGREEMENT.
   10  NOTWITHSTANDING ANY OTHER PROVISION OF LAW, UPON FILING WITH THE  SECRE-
   11  TARY  OF  STATE, THE SETTLEMENT AGREEMENT EXECUTED BETWEEN THE GOVERNOR,
   12  THE COUNTIES OF ONEIDA AND MADISON, AND THE ONEIDA NATION  OF  NEW  YORK
   13  DATED  THE  SIXTEENTH  DAY OF MAY, TWO THOUSAND THIRTEEN, TO BE KNOWN AS
   14  THE ONEIDA SETTLEMENT  AGREEMENT,  INCLUDING,  WITHOUT  LIMITATION,  THE
   15  PROVISIONS CONTAINED THEREIN RELATING TO ARBITRATION AND JUDICIAL REVIEW
   16  IN  STATE OR FEDERAL COURTS AND, FOR THE SOLE PURPOSE THEREOF, A LIMITED
   17  WAIVER OF THE STATE'S ELEVENTH AMENDMENT SOVEREIGN IMMUNITY  FROM  SUIT,
   18  SHALL  UPON  ITS  EFFECTIVE DATE BE DEEMED APPROVED, RATIFIED, VALIDATED
   19  AND CONFIRMED BY THE LEGISLATURE. IT IS THE INTENTION OF THE LEGISLATURE
   20  IN ENACTING THIS SECTION TO ENSURE THAT THE SETTLEMENT  AGREEMENT  SHALL
   21  BE FULLY ENFORCEABLE IN ALL RESPECTS AS TO THE RIGHTS, BENEFITS, RESPON-
   22  SIBILITIES AND PRIVILEGES OF ALL PARTIES THERETO.
   23    S  14.  Notwithstanding any inconsistent provision of law, the Nation-
   24  State compact entered into by the State on April 16, 1993  and  approved
   25  by  the  United States Department of the Interior on June 4, 1993, which
   26  approval was published at 58 Fed. Reg. 33160 (June 15, 1993), is  deemed
   27  ratified, validated and confirmed nunc pro tunc by the legislature.
   28    S 15. Sections 2 and 3 of the Indian law are renumbered sections 3 and
   29  4 and a new section 2 is added to read as follows:
   30    S 2. NEW YORK STATE INDIAN NATIONS AND TRIBES. THE TERM "INDIAN NATION
   31  OR  TRIBE"  MEANS  ONE OF THE FOLLOWING NEW YORK STATE INDIAN NATIONS OR
   32  TRIBES: CAYUGA NATION, ONEIDA NATION OF NEW YORK, ONONDAGA NATION, POOS-
   33  PATUCK OR UNKECHAUGE NATION, SAINT REGIS MOHAWK TRIBE, SENECA NATION  OF
   34  INDIANS, SHINNECOCK INDIAN NATION, TONAWANDA BAND OF SENECA AND TUSCARO-
   35  RA NATION.
   36    S  16. The Indian law is amended by adding a new section 16 to read as
   37  follows:
   38    S  16.  INDIAN  SETTLEMENT  AGREEMENTS.  NOTWITHSTANDING   ANY   OTHER
   39  PROVISION  OF  LAW,  THE  PROVISIONS  OF THE ONEIDA SETTLEMENT AGREEMENT
   40  REFERENCED IN SECTION ELEVEN OF THE EXECUTIVE LAW  SHALL  BE  DEEMED  TO
   41  SUPERSEDE ANY INCONSISTENT LAWS AND REGULATIONS.
   42    S  17.  Subdivision  18  of  section  282  of the tax law, as added by
   43  section 3 of part K of chapter 61 of the laws of  2005,  is  amended  to
   44  read as follows:
   45    18. "Indian nation or tribe" means one of the following New York state
   46  Indian  nations  or tribes: Cayuga [Indian] Nation [of New York], Oneida
   47  [Indian] Nation of New York, Onondaga Nation [of Indians], Poospatuck or
   48  Unkechauge Nation, [St.] SAINT Regis  Mohawk  TRIBE,  Seneca  Nation  of
   49  Indians,  Shinnecock  [Tribe] INDIAN NATION, Tonawanda Band of [Senecas]
   50  SENECA and Tuscarora Nation [of Indians].
   51    S 18. Subdivision 14 of section 470  of  the  tax  law,  as  added  by
   52  section  1  of  part  K of chapter 61 of the laws of 2005, is amended to
   53  read as follows:
   54    14. "Indian nation or tribe." One of  the  following  New  York  state
   55  Indian  nations  or tribes: Cayuga [Indian] Nation [of New York], Oneida
   56  [Indian] Nation of New York, Onondaga Nation [of Indians], Poospatuck or
       S. 5883                            71                            A. 8101

    1  Unkechauge Nation, [St.] SAINT Regis  Mohawk  TRIBE,  Seneca  Nation  of
    2  Indians,  Shinnecock  [Tribe] INDIAN NATION, Tonawanda Band of [Senecas]
    3  SENECA and Tuscarora Nation [of Indians].
    4    S 19. Intentionally omitted.
    5    S 20. Intentionally omitted.
    6    S 21. Intentionally omitted.
    7    S 22. Intentionally omitted.
    8    S 23. Intentionally omitted.
    9    S 24. Intentionally omitted.
   10    S 25. Section 104 of the racing, pari-mutuel wagering and breeding law
   11  is amended by adding a new subdivision 21 to read as follows:
   12    21. THE COMMISSION SHALL PROMPTLY MAKE AVAILABLE FOR PUBLIC INSPECTION
   13  AND COPYING VIA ELECTRONIC CONNECTION TO THE COMMISSION'S WEBSITE A COPY
   14  OF ANY REPORT RECEIVED FROM THE NEW YORK STATE BOARD OF ELECTIONS PURSU-
   15  ANT TO ARTICLE FOURTEEN OF THE ELECTION LAW.
   16    S  26. Section 1617-a of the tax law is amended by adding a new subdi-
   17  vision g to read as follows:
   18    G.  EVERY VIDEO LOTTERY GAMING LICENSE,  AND  EVERY  RENEWAL  LICENSE,
   19  SHALL  BE  VALID  FOR  A  PERIOD OF FIVE YEARS, EXCEPT THAT VIDEO GAMING
   20  LICENSES ISSUED BEFORE THE EFFECTIVE DATE OF THIS SUBDIVISION  SHALL  BE
   21  FOR A TERM EXPIRING ON JUNE THIRTIETH, TWO THOUSAND FOURTEEN.
   22    THE  GAMING  COMMISSION  MAY DECLINE TO RENEW ANY LICENSE AFTER NOTICE
   23  AND AN OPPORTUNITY FOR HEARING IF IT DETERMINES THAT:
   24    (1) THE LICENSEE HAS VIOLATED SECTION ONE THOUSAND SIX  HUNDRED  SEVEN
   25  OF THIS ARTICLE;
   26    (2)  THE  LICENSEE  HAS  VIOLATED ANY RULE, REGULATION OR ORDER OF THE
   27  GAMING COMMISSION;
   28    (3) THE APPLICANT OR ITS OFFICERS, DIRECTORS OR SIGNIFICANT STOCKHOLD-
   29  ERS, AS DETERMINED BY THE GAMING COMMISSION, HAVE BEEN  CONVICTED  OF  A
   30  CRIME INVOLVING MORAL TURPITUDE; OR
   31    (4)  THAT  THE  CHARACTER OR FITNESS OF THE LICENSEE AND ITS OFFICERS,
   32  DIRECTORS, AND SIGNIFICANT STOCKHOLDERS, AS  DETERMINED  BY  THE  GAMING
   33  COMMISSION  IS  SUCH  THAT  THE  PARTICIPATION OF THE APPLICANT IN VIDEO
   34  LOTTERY GAMING OR RELATED ACTIVITIES  WOULD  BE  INCONSISTENT  WITH  THE
   35  PUBLIC  INTEREST, CONVENIENCE OR NECESSITY OR WITH THE BEST INTERESTS OF
   36  VIDEO GAMING GENERALLY.
   37    (H) THE GAMING COMMISSION, SUBJECT TO NOTICE AND  AN  OPPORTUNITY  FOR
   38  HEARING,  MAY  REVOKE,  SUSPEND,  AND CONDITION THE LICENSE OF THE VIDEO
   39  GAMING LICENSEE, ORDER  THE  VIDEO  GAMING  LICENSEE  TO  TERMINATE  THE
   40  CONTINUED APPOINTMENT, POSITION OR EMPLOYMENT OF OFFICERS AND DIRECTORS,
   41  OR  ORDER  THE VIDEO GAMING LICENSEE TO REQUIRE SIGNIFICANT STOCKHOLDERS
   42  TO DIVEST THEMSELVES OF ALL INTERESTS IN THE VIDEO GAMING LICENSEE.
   43    S 27. Clause (G) of subparagraph (ii) of paragraph 1 of subdivision  b
   44  of section 1612 of the tax law is REPEALED and a new clause (G) is added
   45  to read as follows:
   46    (G) NOTWITHSTANDING ANY PROVISION TO THE CONTRARY, WHEN A VENDOR TRACK
   47  IS  LOCATED  WITHIN REGIONS ONE, TWO, OR FIVE OF DEVELOPMENT ZONE TWO AS
   48  DEFINED BY SECTION THIRTEEN  HUNDRED  TEN  OF  THE  RACING,  PARI-MUTUEL
   49  WAGERING AND BREEDING LAW, SUCH VENDOR TRACK SHALL RECEIVE AN ADDITIONAL
   50  COMMISSION  AT  A RATE EQUAL TO THE PERCENTAGE OF REVENUE WAGERED AT THE
   51  VENDOR TRACK AFTER PAYOUT FOR PRIZES PURSUANT TO THIS CHAPTER  LESS  TEN
   52  PERCENT  RETAINED  BY  THE COMMISSION FOR OPERATION, ADMINISTRATION, AND
   53  PROCUREMENT PURPOSES AND PAYMENT OF THE VENDOR'S FEE,  MARKETING  ALLOW-
   54  ANCE,  AND CAPITAL AWARD PAID PURSUANT TO THIS CHAPTER AND THE EFFECTIVE
   55  TAX RATE PAID ON ALL GROSS GAMING REVENUE  PAID  BY  A  GAMING  FACILITY
   56  WITHIN THE SAME REGION PURSUANT TO SECTION THIRTEEN HUNDRED FIFTY-ONE OF
       S. 5883                            72                            A. 8101

    1  THE  RACING,  PARI-MUTUEL  WAGERING  AND  BREEDING LAW.   THE ADDITIONAL
    2  COMMISSION SHALL BE PAID TO THE VENDOR TRACK WITHIN SIXTY DAYS AFTER THE
    3  CONCLUSION OF THE STATE FISCAL YEAR BASED ON THE  CALCULATED  PERCENTAGE
    4  DURING THE PREVIOUS FISCAL YEAR.
    5    S 28. Intentionally omitted.
    6    S 29. Intentionally omitted.
    7    S  30.    The opening paragraph of subparagraph (ii) of paragraph 1 of
    8  subdivision b of section 1612 of the tax law, as amended by section 6 of
    9  part K of chapter 57 of the laws of 2010, is amended to read as follows:
   10    less a vendor's fee the amount of which is to be paid for serving as a
   11  lottery agent to the track operator of a vendor track OR THE OPERATOR OF
   12  A RESORT FACILITY:
   13    S 31.  Section 1 of part HH of chapter 57 of the laws of 2013 relating
   14  to providing for  the  administration  of  certain  funds  and  accounts
   15  related to the 2013-14 budget, is amended by adding a new subdivision 39
   16  to read as follows:
   17    39. COMMERCIAL GAMING REVENUE FUND:
   18    A. COMMERCIAL GAMING REVENUE ACCOUNT.
   19    S  32.  Subdivision  a of section 1617-a of the tax law, as amended by
   20  section 2 of part O-1 of chapter 57 of the laws of 2009, is  amended  to
   21  read as follows:
   22    a. The division of the lottery is hereby authorized to license, pursu-
   23  ant  to  rules  and regulations to be promulgated by the division of the
   24  lottery, the operation of video lottery gaming:
   25    (1) at Aqueduct, Monticello, Yonkers, Finger Lakes, and  Vernon  Downs
   26  racetracks,
   27    (2)  or  at  any other racetrack licensed pursuant to article three of
   28  the racing, pari-mutuel wagering and breeding law that are located in  a
   29  county  or  counties  in  which video lottery gaming has been authorized
   30  pursuant  to  local  law,  excluding  the  licensed  racetrack  commonly
   31  referred  to  in  article  three of the racing, pari-mutuel wagering and
   32  breeding law as the "New York state exposition" held in Onondaga  county
   33  and the racetracks of the non-profit racing association known as Belmont
   34  Park racetrack and the Saratoga thoroughbred racetrack,
   35    (3) AT FACILITIES ESTABLISHED, PURSUANT TO A COMPETITIVE PROCESS TO BE
   36  DETERMINED  BY  THE STATE GAMING COMMISSION WITHIN REGIONS ONE, TWO, AND
   37  FIVE OF ZONE TWO AS ESTABLISHED BY SECTION ONE  THOUSAND  THREE  HUNDRED
   38  TEN OF THE RACING, PARI-MUTUEL WAGERING AND BREEDING LAW FOLLOWING LOCAL
   39  GOVERNMENTAL  CONSULTATION AND CONSIDERATION OF MARKET FACTORS INCLUDING
   40  POTENTIAL  REVENUE  IMPACT,  ANTICIPATED  JOB  DEVELOPMENT  AND  CAPITAL
   41  INVESTMENT  TO BE MADE. THE FACILITIES AUTHORIZED PURSUANT TO THIS PARA-
   42  GRAPH SHALL BE DEEMED VENDORS FOR ALL PURPOSES UNDER THIS  ARTICLE,  AND
   43  NEED  NOT BE OPERATED BY LICENSED THOROUGHBRED OR HARNESS RACING ASSOCI-
   44  ATIONS OR CORPORATIONS.
   45    Such rules and regulations shall provide, as a condition of licensure,
   46  that racetracks to be licensed are certified to be  in  compliance  with
   47  all state and local fire and safety codes, that the division is afforded
   48  adequate  space,  infrastructure, and amenities consistent with industry
   49  standards for such video gaming operations as  found  at  racetracks  in
   50  other  states,  that  racetrack  employees  involved in the operation of
   51  video lottery gaming pursuant to this section are licensed by the racing
   52  and wagering board, and such other terms and conditions of licensure  as
   53  the  division  may establish. Notwithstanding any inconsistent provision
   54  of law, video lottery gaming at a racetrack  pursuant  to  this  section
   55  shall  be deemed an approved activity for such racetrack under the rele-
   56  vant city, county, town, or  village  land  use  or  zoning  ordinances,
       S. 5883                            73                            A. 8101

    1  rules,  or  regulations.  No  entity  licensed by the division operating
    2  video lottery gaming pursuant to this  section  may  house  such  gaming
    3  activity  in  a  structure deemed or approved by the division as "tempo-
    4  rary"  for  a  duration  of longer than eighteen-months. Nothing in this
    5  section shall prohibit the division from licensing an entity to  operate
    6  video  lottery  gaming  at  an  existing racetrack as authorized in this
    7  subdivision whether or not a different entity  is  licensed  to  conduct
    8  horse  racing  and  pari-mutuel  wagering  at such racetrack pursuant to
    9  article two or three of the racing, pari-mutuel  wagering  and  breeding
   10  law.
   11    The  division,  in  consultation  with  the racing and wagering board,
   12  shall establish standards for approval of the  temporary  and  permanent
   13  physical  layout and construction of any facility or building devoted to
   14  a video lottery gaming operation. In reviewing such application for  the
   15  construction  or  reconstruction of facilities related or devoted to the
   16  operation or housing of video lottery gaming operations,  the  division,
   17  in  consultation  with  the racing and wagering board, shall ensure that
   18  such facility:
   19    (1) possesses superior consumer amenities and conveniences to  encour-
   20  age and attract the patronage of tourists and other visitors from across
   21  the region, state, and nation.
   22    (2)  has  adequate  motor vehicle parking facilities to satisfy patron
   23  requirements.
   24    (3) has a physical layout and location that facilitates access to  and
   25  from the horse racing track portion of such facility to encourage patro-
   26  nage of live horse racing events that are conducted at such track.
   27    S  33.  Subparagraph  (ii)  of paragraph 1 of subdivision b of section
   28  1612 of the tax law is amended by adding a new clause (H-1) to  read  as
   29  follows:
   30    (H-1)  NOTWITHSTANDING  CLAUSES  (A), (B), (C), (D), (E), (F), (G) AND
   31  (H) OF THIS SUBPARAGRAPH WHERE THE  VENDOR  IS  AUTHORIZED  PURSUANT  TO
   32  PARAGRAPH  THREE OF SUBDIVISION A OF SECTION SIXTEEN HUNDRED SEVENTEEN-A
   33  OF THIS ARTICLE, AT A RATE OF FORTY PERCENT OF THE TOTAL REVENUE WAGERED
   34  AT THE FACILITY AFTER  PAYOUT  FOR  PRIZES.  ALL  FACILITIES  AUTHORIZED
   35  PURSUANT  TO PARAGRAPH THREE OF SUBDIVISION A OF SECTION SIXTEEN HUNDRED
   36  SEVENTEEN-A OF THIS ARTICLE SHALL NOT BE ELIGIBLE FOR ANY VENDOR'S CAPI-
   37  TAL AWARD BUT ARE ENTITLED TO THE VENDOR'S MARKETING  ALLOWANCE  OF  TEN
   38  PERCENT  AUTHORIZED  BY SUBPARAGRAPH (III) OF THIS PARAGRAPH. FACILITIES
   39  AUTHORIZED BY PARAGRAPH  THREE  OF  SUBDIVISION  A  OF  SECTION  SIXTEEN
   40  HUNDRED SEVENTEEN-A OF THIS ARTICLE SHALL PAY
   41    (I) AN AMOUNT TO HORSEMEN FOR PURSES AT THE LICENSED RACETRACKS IN THE
   42  REGION  THAT  WILL  ASSURE  THE  PURSE SUPPORT FROM VIDEO LOTTERY GAMING
   43  FACILITIES IN THE REGION TO THE LICENSED RACETRACKS IN THE REGION TO  BE
   44  MAINTAINED  AT  THE SAME DOLLAR LEVELS REALIZED IN TWO THOUSAND THIRTEEN
   45  TO BE ADJUSTED BY THE CONSUMER PRICE INDEX FOR ALL URBAN  CONSUMERS,  AS
   46  PUBLISHED  ANNUALLY  BY  THE UNITED STATES DEPARTMENT OF LABOR BUREAU OF
   47  LABOR STATISTICS; AND
   48    (II) AMOUNTS TO THE AGRICULTURAL AND NEW  YORK  STATE  HORSE  BREEDING
   49  DEVELOPMENT FUND AND THE NEW YORK STATE THOROUGHBRED BREEDING AND DEVEL-
   50  OPMENT FUND TO MAINTAIN PAYMENTS FROM VIDEO LOTTERY GAMING FACILITIES IN
   51  THE  REGION  TO  SUCH  FUNDS  TO BE MAINTAINED AT THE SAME DOLLAR LEVELS
   52  REALIZED IN TWO THOUSAND THIRTEEN TO BE ADJUSTED BY THE  CONSUMER  PRICE
   53  INDEX  FOR  ALL  URBAN  CONSUMERS,  AS  PUBLISHED ANNUALLY BY THE UNITED
   54  STATES DEPARTMENT OF LABOR BUREAU OF LABOR STATISTICS.
   55    S 34. Section 54-l of the state finance law, as added by section 1  of
   56  part  J  of chapter 57 of the laws of 2011, paragraph b of subdivision 2
       S. 5883                            74                            A. 8101

    1  as amended by section 1 of part EE of chapter 57 of the laws of 2013, is
    2  amended to read as follows:
    3    S  54-l.  State  assistance  to  eligible  cities and eligible munici-
    4  palities in which a video lottery gaming facility is located.  1.  Defi-
    5  nitions.  When used in this section, unless otherwise expressly stated:
    6    a.  "Eligible  city"  shall  mean a city with a population equal to or
    7  greater than one hundred twenty-five thousand and less than one  million
    8  in  which a video lottery gaming facility is located and operating as of
    9  January first, two thousand nine pursuant  to  section  sixteen  hundred
   10  seventeen-a of the tax law.
   11    b.  "Eligible municipality" shall mean a county, city, town or village
   12  in which a video lottery gaming facility is located pursuant to  section
   13  sixteen hundred seventeen-a of the tax law that is not located in a city
   14  with a population equal to or greater than one hundred twenty-five thou-
   15  sand.
   16    C.  "NEWLY ELIGIBLE CITY" SHALL MEAN A CITY WITH A POPULATION EQUAL TO
   17  OR GREATER THAN ONE HUNDRED  TWENTY-FIVE  THOUSAND  AND  LESS  THAN  ONE
   18  MILLION  IN  WHICH  A  VIDEO LOTTERY GAMING FACILITY PURSUANT TO SECTION
   19  SIXTEEN HUNDRED SEVENTEEN-A OF THE TAX LAW IS LOCATED AND WHICH WAS  NOT
   20  OPERATING AS OF JANUARY FIRST, TWO THOUSAND THIRTEEN.
   21    D.  "NEWLY  ELIGIBLE  MUNICIPALITY" SHALL MEAN A COUNTY, CITY, TOWN OR
   22  VILLAGE IN WHICH A VIDEO LOTTERY GAMING FACILITY IS LOCATED PURSUANT  TO
   23  SECTION  SIXTEEN  HUNDRED SEVENTEEN-A OF THE TAX LAW THAT IS NOT LOCATED
   24  IN A CITY WITH A POPULATION EQUAL TO OR GREATER THAN ONE  HUNDRED  TWEN-
   25  TY-FIVE  THOUSAND  AND  WHICH WAS NOT OPERATING AS OF JANUARY FIRST, TWO
   26  THOUSAND THIRTEEN.
   27    E. "ESTIMATED NET MACHINE INCOME" SHALL MEAN THE ESTIMATED FULL ANNUAL
   28  VALUE OF TOTAL REVENUE WAGERED AFTER PAYOUT FOR PRIZES FOR  GAMES  KNOWN
   29  AS  VIDEO  LOTTERY GAMING AS AUTHORIZED UNDER ARTICLE THIRTY-FOUR OF THE
   30  TAX LAW DURING THE STATE FISCAL YEAR IN WHICH  STATE  AID  PAYMENTS  ARE
   31  MADE PURSUANT TO SUBDIVISION TWO OF THIS SECTION.
   32    2.  a. Within the amount appropriated therefor, an eligible city shall
   33  receive an amount equal to the state aid payment received in  the  state
   34  fiscal year commencing April first, two thousand eight from an appropri-
   35  ation for aid to municipalities with video lottery gaming facilities.
   36    b.  Within  the amounts appropriated therefor, eligible municipalities
   37  shall receive an amount equal to fifty-five percent  of  the  state  aid
   38  payment  received  in  the state fiscal year commencing April first, two
   39  thousand eight from an appropriation  for  aid  to  municipalities  with
   40  video lottery gaming facilities.
   41    C.  A  NEWLY  ELIGIBLE CITY SHALL RECEIVE A STATE AID PAYMENT EQUAL TO
   42  TWO PERCENT OF THE "ESTIMATED NET MACHINE INCOME" GENERATED BY  A  VIDEO
   43  LOTTERY  GAMING  FACILITY  LOCATED IN SUCH ELIGIBLE CITY. SUCH STATE AID
   44  PAYMENT SHALL NOT EXCEED TWENTY MILLION DOLLARS PER ELIGIBLE CITY.
   45    D. A NEWLY ELIGIBLE MUNICIPALITY SHALL RECEIVE  A  STATE  AID  PAYMENT
   46  EQUAL  TO TWO PERCENT OF THE "ESTIMATED NET MACHINE INCOME" GENERATED BY
   47  A VIDEO LOTTERY GAMING FACILITY LOCATED WITHIN SUCH NEWLY ELIGIBLE MUNI-
   48  CIPALITY AS FOLLOWS: (I) TWENTY-FIVE PERCENT SHALL  BE  APPORTIONED  AND
   49  PAID  TO  THE COUNTY; AND (II) SEVENTY-FIVE PERCENT SHALL BE APPORTIONED
   50  AND PAID ON A PRO RATA BASIS TO ELIGIBLE MUNICIPALITIES, OTHER THAN  THE
   51  COUNTY,  BASED UPON THE POPULATION OF SUCH ELIGIBLE MUNICIPALITIES. SUCH
   52  STATE AID PAYMENT SHALL NOT EXCEED TWENTY-FIVE PERCENT  OF  AN  ELIGIBLE
   53  MUNICIPALITY'S  TOTAL EXPENDITURES AS REPORTED IN THE STATISTICAL REPORT
   54  OF THE COMPTROLLER IN  THE  PRECEDING  STATE  FISCAL  YEAR  PURSUANT  TO
   55  SECTION THIRTY-SEVEN OF THE GENERAL MUNICIPAL LAW.
       S. 5883                            75                            A. 8101

    1    3. a. State aid payments made to an eligible city OR TO A NEWLY ELIGI-
    2  BLE  CITY  pursuant to [paragraph] PARAGRAPHS a AND C of subdivision two
    3  of this section shall be used to increase support for public schools  in
    4  such city.
    5    b.  State  aid  payments  made to [an] eligible [municipality] MUNICI-
    6  PALITIES AND NEWLY ELIGIBLE MUNICIPALITIES pursuant to [paragraph] PARA-
    7  GRAPHS b AND D of subdivision two of this section shall be used by  such
    8  eligible municipality to: (i) defray local costs associated with a video
    9  lottery gaming facility, or (ii) minimize or reduce real property taxes.
   10    4.  Payments of state aid pursuant to this section shall be made on or
   11  before June thirtieth of each state fiscal  year  to  the  chief  fiscal
   12  officer  of  each  eligible city and each eligible municipality on audit
   13  and warrant of the state comptroller out of moneys appropriated  by  the
   14  legislature  for such purpose to the credit of the local assistance fund
   15  in the general fund of the state treasury.
   16    S 35. Section 1 of chapter 50 of the laws of  2013,  State  Operations
   17  budget,  is  amended  by  repealing  the  items hereinbelow set forth in
   18  brackets and by adding to such section the other  items  underscored  in
   19  this section.
   20                      NEW YORK STATE GAMING COMMISSION
   21                          STATE OPERATIONS 2013-14

   22  For payment according to the following schedule:

   23                                          APPROPRIATIONS  REAPPROPRIATIONS

   24    Special Revenue Funds - Other ......   [111,604,700]                 0
   25                                            111,772,700
   26                                        ----------------  ----------------
   27      All Funds ........................   [111,604,700]                 0
   28                                            111,772,700
   29                                        ================  ================

   30                                  SCHEDULE

   31  ADMINISTRATION OF GAMING COMMISSION PROGRAM ... [1,000,000]    1,168,000
   32                                              --------------

   33    SPECIAL REVENUE FUNDS - OTHER
   34    MISCELLANEOUS SPECIAL REVENUE FUND
   35    COMMERCIAL GAMING REVENUE ACCOUNT

   36  FOR  SERVICES  AND  EXPENSES  RELATED TO THE
   37    ADMINISTRATION  AND   OPERATION   OF   THE
   38    COMMERCIAL GAMING REVENUE ACCOUNT, PROVID-
   39    ING  THAT MONEYS HEREBY APPROPRIATED SHALL
   40    BE  AVAILABLE  TO  THE  PROGRAM   NET   OF
   41    REFUNDS, REBATES, REIMBURSEMENTS AND CRED-
   42    ITS.  A  PORTION OF THIS APPROPRIATION MAY
   43    BE USED FOR SUBALLOCATION TO THE NEW  YORK
   44    STATE  GAMING  FACILITY  LOCATION BOARD OR
   45    OTHER AGENCIES FOR SERVICES AND  EXPENSES,
   46    INCLUDING FRINGE BENEFITS.
   47  NOTWITHSTANDING  ANY PROVISION OF LAW TO THE
   48    CONTRARY, THE  MONEY  HEREBY  APPROPRIATED
   49    MAY  NOT  BE,  IN WHOLE OR IN PART, INTER-
       S. 5883                            76                            A. 8101

    1    CHANGED WITH ANY OTHER APPROPRIATION WITH-
    2    IN THE  STATE  GAMING  COMMISSION,  EXCEPT
    3    THOSE  APPROPRIATIONS THAT FUND ACTIVITIES
    4    RELATED  TO  THE  ADMINISTRATION OF GAMING
    5    COMMISSION PROGRAM.

    6                              PERSONAL SERVICE

    7  PERSONAL SERVICE--REGULAR ........................ 100,000
    8      AMOUNT AVAILABLE FOR PERSONAL SERVICE ........ 100,000
    9                                              --------------

   10                             NONPERSONAL SERVICE

   11  TRAVEL ............................................ 10,000
   12  FRINGE BENEFITS ................................... 55,000
   13  INDIRECT COSTS ..................................... 3,000
   14                                              --------------
   15      AMOUNT AVAILABLE FOR NONPERSONAL SERVICE ...... 68,000
   16                                              --------------

   17    Special Revenue Funds - Other
   18    Miscellaneous Special Revenue Fund
   19    New York State Gaming Commission Account

   20  For services and  expenses  related  to  the
   21    administration and operation of the admin-
   22    istration  of  gaming  commission program,
   23    providing that moneys hereby  appropriated
   24    shall  be  available to the program net of
   25    refunds, rebates, reimbursements and cred-
   26    its.
   27  Notwithstanding any provision of law to  the
   28    contrary,  the  money  hereby appropriated
   29    may not be, in whole or  in  part,  inter-
   30    changed with any other appropriation with-
   31    in  the  state  gaming  commission, except
   32    those appropriations that fund  activities
   33    related  to  the  administration of gaming
   34    commission program.
   35  Notwithstanding any other provision  of  law
   36    to  the  contrary, the OGS Interchange and
   37    Transfer Authority and the IT  Interchange
   38    and  Transfer  Authority as defined in the
   39    2013-14 state fiscal year state operations
   40    appropriation  for  the  budget   division
   41    program of the division of the budget, are
   42    deemed  fully  incorporated  herein  and a
   43    part of this  appropriation  as  if  fully
   44    stated.

   45                              PERSONAL SERVICE

   46  Personal service--regular ........................ 527,000
   47  Holiday/overtime compensation ..................... 10,000
   48                                              --------------
       S. 5883                            77                            A. 8101

    1    Amount available for personal service .......... 537,000
    2                                              --------------

    3                             NONPERSONAL SERVICE

    4  Supplies and materials ............................ 13,000
    5  Travel ............................................ 80,000
    6  Contractual services .............................. 99,000
    7  Equipment ......................................... 30,000
    8  Fringe benefits .................................. 228,000
    9  Indirect costs .................................... 13,000
   10                                              --------------
   11    Amount available for nonpersonal service ....... 463,000
   12                                              --------------

   13    S 36. Section 104 of the racing, pari-mutuel wagering and breeding law
   14  is amended by adding a new subdivision 22 to read as follows:
   15    22.  THE  COMMISSION  SHALL  ANNUALLY  CONDUCT  AN EVALUATION OF VIDEO
   16  LOTTERY GAMING TO CONSIDER THE  VARIOUS  COMPETITIVE  FACTORS  IMPACTING
   17  SUCH  INDUSTRY  AND  SHALL  CONSIDER  ADMINISTRATIVE CHANGES THAT MAY BE
   18  NECESSARY TO ENSURE A COMPETITIVE  INDUSTRY  AND  PRESERVE  ITS  PRIMARY
   19  FUNCTION OF RAISING REVENUE FOR PUBLIC EDUCATION.
   20    S  37. Clause (H) of subparagraph (ii) of paragraph 1 of subdivision b
   21  of section 1612 of the tax law, as amended by chapter 454 of the laws of
   22  2012, is amended to read as follows:
   23    (H) notwithstanding clauses (A), (B), (C), (D), (E), (F)  and  (G)  of
   24  this  subparagraph, the track operator of a vendor track shall be eligi-
   25  ble for a vendor's capital award of up to  four  percent  of  the  total
   26  revenue  wagered at the vendor track after payout for prizes pursuant to
   27  this chapter, which  shall  be  used  exclusively  for  capital  project
   28  investments  to improve the facilities of the vendor track which promote
   29  or encourage increased attendance at the video lottery  gaming  facility
   30  including,  but  not limited to hotels, other lodging facilities, enter-
   31  tainment  facilities,  retail  facilities,  dining  facilities,   events
   32  arenas,  parking  garages  and  other improvements that enhance facility
   33  amenities; provided that such capital investments shall be  approved  by
   34  the  division, in consultation with the state racing and wagering board,
   35  and that such vendor track demonstrates that such  capital  expenditures
   36  will  increase  patronage at such vendor track's facilities and increase
   37  the amount of revenue generated to support state education programs. The
   38  annual amount of such vendor's capital awards that a vendor track  shall
   39  be  eligible  to  receive  shall  be limited to two million five hundred
   40  thousand dollars, except for Aqueduct racetrack, for which  there  shall
   41  be  no  vendor's  capital awards. Except for tracks having less than one
   42  thousand one hundred video gaming machines,  AND  EXCEPT  FOR  A  VENDOR
   43  TRACK  LOCATED WEST OF STATE ROUTE 14 FROM SODUS POINT TO THE PENNSYLVA-
   44  NIA BORDER WITHIN NEW YORK, each track operator  shall  be  required  to
   45  co-invest  an  amount  of  capital  expenditure  equal to its cumulative
   46  vendor's capital award. For all tracks, except for  Aqueduct  racetrack,
   47  the amount of any vendor's capital award that is not used during any one
   48  year  period  may  be  carried  over into subsequent years ending before
   49  April first, two thousand fourteen. Any amount attributable to a capital
   50  expenditure approved prior to April first,  two  thousand  fourteen  and
   51  completed before April first, two thousand sixteen; OR APPROVED PRIOR TO
   52  APRIL FIRST, TWO THOUSAND EIGHTEEN AND COMPLETED BEFORE APRIL FIRST, TWO
   53  THOUSAND  TWENTY  FOR A VENDOR TRACK LOCATED WEST OF STATE ROUTE 14 FROM
       S. 5883                            78                            A. 8101

    1  SODUS POINT TO THE PENNSYLVANIA BORDER WITHIN NEW YORK, shall be  eligi-
    2  ble  to  receive  the vendor's capital award. In the event that a vendor
    3  track's capital expenditures, approved by the division  prior  to  April
    4  first,  two  thousand  fourteen  and completed prior to April first, two
    5  thousand sixteen, exceed the vendor  track's  cumulative  capital  award
    6  during  the  five year period ending April first, two thousand fourteen,
    7  the vendor shall continue to  receive  the  capital  award  after  April
    8  first,  two  thousand  fourteen until such approved capital expenditures
    9  are paid to the vendor track subject to any required  co-investment.  In
   10  no  event  shall any vendor track that receives a vendor fee pursuant to
   11  clause (F) or (G) of this subparagraph be eligible for a vendor's  capi-
   12  tal  award  under this section. Any operator of a vendor track which has
   13  received a vendor's  capital  award,  choosing  to  divest  the  capital
   14  improvement toward which the award was applied, prior to the full depre-
   15  ciation of the capital improvement in accordance with generally accepted
   16  accounting principles, shall reimburse the state in amounts equal to the
   17  total  of  any such awards. Any capital award not approved for a capital
   18  expenditure at a video lottery gaming facility by April first, two thou-
   19  sand fourteen shall be deposited into the state lottery fund for  educa-
   20  tion aid; and
   21    S  38. Item (iii) of clause (I) of subparagraph (ii) of paragraph 1 of
   22  subdivision b of section 1612 of the tax law, as added by section  1  of
   23  part O of chapter 61 of the laws of 2011, is amended to read as follows:
   24    (iii) less an additional vendor's marketing allowance at a rate of ten
   25  percent  for  the  first  one hundred million dollars annually and eight
   26  percent thereafter of the total revenue  wagered  at  the  vendor  track
   27  after payout for prizes to be used by the vendor track for the marketing
   28  and  promotion  and  associated  costs of its video lottery gaming oper-
   29  ations and pari-mutuel horse racing operations,  as  long  as  any  such
   30  costs associated with pari-mutuel horse racing operations simultaneously
   31  encourage  increased  attendance  at  such vendor's video lottery gaming
   32  facilities, consistent with the customary manner of marketing comparable
   33  operations in the industry and subject to the overall supervision of the
   34  division; provided, however,  that  the  additional  vendor's  marketing
   35  allowance shall not exceed eight percent in any year for any operator of
   36  a  racetrack  located  in the county of Westchester or Queens; provided,
   37  however, a vendor track that receives a vendor fee  pursuant  to  clause
   38  (G)  of  subparagraph (ii) of this paragraph shall not receive the addi-
   39  tional vendor's marketing allowance; PROVIDED,  HOWEVER,  EXCEPT  FOR  A
   40  VENDOR  TRACK  LOCATED  WEST  OF  STATE ROUTE 14 FROM SODUS POINT TO THE
   41  PENNSYLVANIA BORDER WITHIN NEW YORK SHALL CONTINUE TO RECEIVE A  MARKET-
   42  ING  ALLOWANCE  OF  TEN  PERCENT  ON TOTAL REVENUE WAGERED AT THE VENDOR
   43  TRACK AFTER PAYOUT FOR PRIZES IN EXCESS OF ONE HUNDRED  MILLION  DOLLARS
   44  ANNUALLY.  In establishing the vendor fee, the division shall ensure the
   45  maximum lottery support for education while also ensuring the  effective
   46  implementation  of  section  sixteen hundred seventeen-a of this article
   47  through the provision of reasonable reimbursements and  compensation  to
   48  vendor  tracks  for  participation  in  such program. Within twenty days
   49  after any award of lottery prizes, the division shall pay into the state
   50  treasury, to the credit of the state lottery fund, the  balance  of  all
   51  moneys  received  from  the sale of all tickets for the lottery in which
   52  such prizes were awarded remaining after provision for  the  payment  of
   53  prizes  as herein provided. Any revenues derived from the sale of adver-
   54  tising on lottery tickets shall be deposited in the state lottery fund.
   55    S 39. Subdivision a of section 1617-a of the tax  law  is  amended  by
   56  adding a new paragraph 4 to read as follows:
       S. 5883                            79                            A. 8101

    1    (4)  AT  A  MAXIMUM  OF TWO FACILITIES, NEITHER TO EXCEED ONE THOUSAND
    2  VIDEO LOTTERY GAMING DEVICES, ESTABLISHED WITHIN REGION  THREE  OF  ZONE
    3  ONE  AS DEFINED BY SECTION ONE THOUSAND THREE HUNDRED TEN OF THE RACING,
    4  PARI-MUTUEL WAGERING AND BREEDING LAW, ONE EACH  OPERATED  BY  A  CORPO-
    5  RATION  ESTABLISHED  PURSUANT TO SECTION FIVE HUNDRED TWO OF THE RACING,
    6  PARI-MUTUEL WAGERING AND BREEDING LAW IN  THE  SUFFOLK  REGION  AND  THE
    7  NASSAU  REGION  TO  BE  LOCATED WITHIN A FACILITY AUTHORIZED PURSUANT TO
    8  SECTIONS ONE THOUSAND EIGHT OR ONE THOUSAND NINE OF THE RACING, PARI-MU-
    9  TUEL WAGERING AND BREEDING LAW. THE FACILITIES  AUTHORIZED  PURSUANT  TO
   10  THIS PARAGRAPH SHALL BE DEEMED VENDORS FOR ALL PURPOSES UNDER THIS ARTI-
   11  CLE.
   12    S 40. Section 1612 of the tax law, as amended by chapter 2 of the laws
   13  of  1995,  paragraph 1 of subdivision a as amended by chapter 147 of the
   14  laws of 2010, subparagraph (A)  of  paragraph  1  of  subdivision  a  as
   15  amended  by section 1 of part S of chapter 59 of the laws of 2012, para-
   16  graph 2 of subdivision a as amended by section 1 of part P of chapter 61
   17  of the laws of 2011, paragraphs 3, 4 and 5 and the  second  undesignated
   18  and closing paragraph of subdivision a as amended by section 1 of part Q
   19  of chapter 61 of the laws of 2011, subdivision 6 as amended by section 1
   20  of  part O-1 of chapter 57 of the laws of 2009, the opening paragraph of
   21  paragraph 1 of subdivision b as amended by section 1 of part R of  chap-
   22  ter 61 of the laws of 2011, subparagraph (ii) of paragraph 1 of subdivi-
   23  sion  b  as  amended by section 6 of part K of chapter 57 of the laws of
   24  2010, clause (F) of subparagraph (ii) of paragraph 1 of subdivision b as
   25  amended by section 1 of part T of chapter 59 of the laws of 2013, clause
   26  (H) of subparagraph (ii) of paragraph 1 of subdivision b as  amended  by
   27  chapter  454  of  the  laws  of 2012, clause (I) of subparagraph (ii) of
   28  paragraph 1 of subdivision b as added by section 1 of part O of  chapter
   29  61  of  the laws of 2011, paragraphs 2 and 3 of subdivision 6 as amended
   30  by section 1 of part J of chapter 55 of the laws of 2013, subdivision  c
   31  as  amended  by  section 2 of part CC of chapter 61 of the laws of 2005,
   32  paragraph 1 of subdivision c as amended by section 2 of part R of  chap-
   33  ter  61  of the laws of 2011, subdivision d as amended and subdivision e
   34  as added by chapter 18 of the laws of 2008,  subdivisions  f  and  g  as
   35  amended by chapter 140 of the laws of 2008, paragraph 1 of subdivision f
   36  as  amended  by  section  2 of part J of chapter 55 of the laws if 2013,
   37  subdivision h as added by section 13 of part A of chapter 60 of the laws
   38  of 2012, is amended to read as follows:
   39    S 1612. Disposition of revenues. a. The division  shall  pay  into  an
   40  account,  to  be  known  as  the  lottery prize account, under the joint
   41  custody of the comptroller and the commissioner, within one  week  after
   42  collection  of sales receipts from a lottery game, such moneys necessary
   43  for the payment of lottery  prizes  but  not  to  exceed  the  following
   44  percentages, plus interest earned thereon:
   45    (1) sixty percent of the total amount for which tickets have been sold
   46  for  a  lawful lottery game introduced on or after the effective date of
   47  this paragraph, subject to the following provisions:
   48    (A) such game shall be available only on premises occupied by licensed
   49  lottery sales agents, subject to the following provisions:
   50    (i) if the licensee does not hold a license  issued  pursuant  to  the
   51  alcoholic  beverage control law to sell alcoholic beverages for consump-
   52  tion on the premises, then the  premises  must  have  a  minimum  square
   53  footage greater than two thousand five hundred square feet;
   54    (ii)  notwithstanding  the  foregoing provisions, television equipment
   55  that  automatically  displays  the  results  of  such  drawings  may  be
       S. 5883                            80                            A. 8101

    1  installed and used without regard to the square footage if such premises
    2  are used as:
    3    (I) a commercial bowling establishment, or
    4    (II)  a facility authorized under the racing, pari-mutuel wagering and
    5  breeding law to accept pari-mutuel wagers;
    6    (B) the rules for the operation of such game shall be as prescribed by
    7  regulations promulgated and adopted by the division,  provided  however,
    8  that such rules shall provide that no person under the age of twenty-one
    9  may  participate in such games on the premises of a licensee who holds a
   10  license issued pursuant to the alcoholic beverage control  law  to  sell
   11  alcoholic  beverages  for  consumption  on  the premises; and, provided,
   12  further, that such regulations may be revised on an emergency basis  not
   13  later than ninety days after the enactment of this paragraph in order to
   14  conform such regulations to the requirements of this paragraph; or
   15    (2) sixty-five percent of the total amount for which tickets have been
   16  sold  for  the  "Instant Cash" game in which the participant purchases a
   17  preprinted ticket on which dollar amounts or symbols  are  concealed  on
   18  the  face  or  the  back of such ticket, provided however up to five new
   19  games may be offered during the fiscal year, seventy-five percent of the
   20  total amount for which tickets have been sold for  such  five  games  in
   21  which  the  participant  purchases  a  preprinted ticket on which dollar
   22  amounts or symbols are concealed on the face or the back of such ticket;
   23  or
   24    (3) fifty-five percent of the total amount for which tickets have been
   25  sold for any joint, multi-jurisdiction, and out-of-state lottery  except
   26  as  otherwise provided in paragraph one of subdivision b of this section
   27  for any joint, multi-jurisdiction, out-of-state video lottery gaming; or
   28    (4) fifty percent of the total amount for which tickets have been sold
   29  for games known as: (A) the "Daily Numbers Game" or  "Win  4",  discrete
   30  games  in  which  the  participants select no more than three or four of
   31  their own numbers to match with three or four numbers drawn by the divi-
   32  sion for purposes of determining winners of such games, (B)  "Pick  10",
   33  offered  no  more  than  once daily, in which participants select from a
   34  specified field of numbers a subset of ten numbers to  match  against  a
   35  subset of numbers to be drawn by the division from such field of numbers
   36  for  the  purpose  of  determining  winners  of such game, (C) "Take 5",
   37  offered no more than once daily, in which  participants  select  from  a
   38  specified  field  of numbers a subset of five numbers to match against a
   39  subset of five numbers to be drawn by the division from  such  field  of
   40  numbers for purposes of determining winners of such game; or
   41    (5) forty percent of the total amount for which tickets have been sold
   42  for:  (A)  "Lotto",  offered no more than once daily, a discrete game in
   43  which all participants select a specific subset of numbers  to  match  a
   44  specific  subset  of  numbers,  as  prescribed  by rules and regulations
   45  promulgated and adopted by the division, from a larger specific field of
   46  numbers, as also prescribed by such rules and regulations and  (B)  with
   47  the  exception  of  the game described in paragraph one of this subdivi-
   48  sion, such other state-operated lottery games  which  the  division  may
   49  introduce,  offered  no  more  than  once  daily, commencing on or after
   50  forty-five days following the official  publication  of  the  rules  and
   51  regulations for such game.
   52    The  moneys  in  the  lottery  prize account shall be paid out of such
   53  account on the audit and warrant of the comptroller on  vouchers  certi-
   54  fied or approved by the director or his or her duly designated official.
   55    Prize  money  derived  from ticket sales receipts of a particular game
   56  and deposited in the  lottery  prize  account  in  accordance  with  the
       S. 5883                            81                            A. 8101

    1  percentages  set  forth  above  may  be used to pay prizes in such game.
    2  Balances in the lottery prize account identified by individual games may
    3  be carried over from one fiscal year to the next to ensure proper payout
    4  of games.
    5    b.  1.  Notwithstanding  section  one  hundred twenty-one of the state
    6  finance law, on or before the twentieth day of each month, the  division
    7  shall  pay  into  the state treasury, to the credit of the state lottery
    8  fund created by section ninety-two-c of the state finance law, not  less
    9  than  forty-five percent of the total amount for which tickets have been
   10  sold for games defined in  paragraph  four  of  subdivision  a  of  this
   11  section during the preceding month, not less than thirty-five percent of
   12  the  total  amount for which tickets have been sold for games defined in
   13  paragraph three of subdivision a of this section  during  the  preceding
   14  month,  not less than twenty percent of the total amount for which tick-
   15  ets have been sold for games defined in paragraph two of  subdivision  a
   16  of  this  section  during the preceding month, provided however that for
   17  games with a prize payout of seventy-five percent of  the  total  amount
   18  for  which  tickets have been sold, the division shall pay not less than
   19  ten percent of sales into the state treasury and not less  than  twenty-
   20  five  percent  of  the total amount for which tickets have been sold for
   21  games defined in paragraph one of subdivision a of this  section  during
   22  the  preceding  month; and the balance of the total revenue after payout
   23  for prizes for games known as  "video  lottery  gaming,"  including  any
   24  joint,  multi-jurisdiction,  and  out-of-state video lottery gaming, (i)
   25  less ten percent of the total revenue wagered after payout for prizes to
   26  be retained by the division for operation, administration, and  procure-
   27  ment  purposes;  (ii)  less  a vendor's fee the amount of which is to be
   28  paid for serving as a lottery agent to the track operator  of  a  vendor
   29  track OR THE OPERATOR OF ANY OTHER VIDEO LOTTERY GAMING FACILITY AUTHOR-
   30  IZED  PURSUANT  TO  SECTION ONE THOUSAND SIX HUNDRED SEVENTEEN A OF THIS
   31  ARTICLE:
   32    (A) having fewer than one thousand one hundred video gaming  machines,
   33  at  a  rate  of  thirty-five percent for the first fifty million dollars
   34  annually, twenty-eight percent for  the  next  hundred  million  dollars
   35  annually,  and  twenty-five  percent  thereafter  of  the  total revenue
   36  wagered at the vendor track after payout for  prizes  pursuant  to  this
   37  chapter;
   38    (B)  having one thousand one hundred or more video gaming machines, at
   39  a rate of thirty-one percent of the total revenue wagered at the  vendor
   40  track  after payout for prizes pursuant to this chapter, except for such
   41  facility located in the county of Westchester, in which  case  the  rate
   42  shall be thirty percent until March thirty-first, two thousand twelve.
   43    Notwithstanding  the  foregoing, not later than April first, two thou-
   44  sand twelve, the vendor fee shall become thirty-one percent  and  remain
   45  at  that  level  thereafter; and except for Aqueduct racetrack, in which
   46  case the vendor fee shall be thirty-eight percent of the  total  revenue
   47  wagered  at  the  vendor  track after payout for prizes pursuant to this
   48  chapter;
   49    (C) notwithstanding clauses (A) and (B) of this subparagraph, when the
   50  vendor track is located in an area with a population of  less  than  one
   51  million  within  the  forty  mile radius around such track, at a rate of
   52  thirty-nine percent for the first fifty million dollars annually,  twen-
   53  ty-eight  percent  for  the  next  hundred million dollars annually, and
   54  twenty-five percent thereafter of  the  total  revenue  wagered  at  the
   55  vendor track after payout for prizes pursuant to this chapter;
       S. 5883                            82                            A. 8101

    1    (D)  notwithstanding  clauses  (A),  (B) and (C) of this subparagraph,
    2  when the vendor track is located within fifteen miles of a Native Ameri-
    3  can class III gaming facility at a rate  of  forty-one  percent  of  the
    4  total revenue wagered at the vendor track after payout for prizes pursu-
    5  ant to this chapter;
    6    (E)  notwithstanding  clauses  (A),  (B), (C) and (D) of this subpara-
    7  graph, when a Native American class III gaming facility is  established,
    8  after  the  effective date of this subparagraph, within fifteen miles of
    9  the vendor track, at a rate of forty-one percent of  the  total  revenue
   10  wagered after payout for prizes pursuant to this chapter;
   11    (E-1)  for  purposes  of this subdivision, the term "class III gaming"
   12  shall have the meaning defined in 25 U.S.C. S 2703(8).
   13    (F) notwithstanding clauses (A), (B), (C), (D) and (E) of this subpar-
   14  agraph, when a vendor track, is located in Sullivan  county  and  within
   15  sixty  miles  from any gaming facility in a contiguous state such vendor
   16  fee shall, for a period of six years commencing April first,  two  thou-
   17  sand  eight,  be  at  a  rate  of forty-one percent of the total revenue
   18  wagered at the vendor track after payout for  prizes  pursuant  to  this
   19  chapter, after which time such rate shall be as for all tracks in clause
   20  (C) of this subparagraph.
   21    (G)  notwithstanding  clauses  (A), (B), (C), (D), (E) and (F) of this
   22  subparagraph, when no more than one vendor track located in the town  of
   23  Thompson  in Sullivan county at the site of the former Concord Resort at
   24  which a qualified capital investment has been made and no fewer than one
   25  thousand full-time,  permanent  employees  have  been  newly  hired,  is
   26  located  in  Sullivan  county  and is within sixty miles from any gaming
   27  facility in a contiguous state, then for a period  of  forty  years  the
   28  vendor's  fee  shall equal the total revenue wagered at the vendor track
   29  after payout of prizes pursuant  to  this  subdivision  reduced  by  the
   30  greater  of  (i)  twenty-five  percent of total revenue after payout for
   31  prizes for "video lottery games" or (ii) for the first  eight  years  of
   32  operation  thirty-eight million dollars, and beginning in the ninth year
   33  of operation such amount shall increase annually by the  lesser  of  the
   34  increase  in the consumer price index or two percent, plus seven percent
   35  of total revenue after payout of prizes. In addition, in the  event  the
   36  vendor  fee  is calculated pursuant to subclause (i) of this clause, the
   37  vendor's fee shall be further reduced by 11.11 percent of the amount  by
   38  which  total revenue after payout for prizes exceeds two hundred fifteen
   39  million dollars, but in  no  event  shall  such  reduction  exceed  five
   40  million  dollars.    PROVIDED,  FURTHER,  NO  VENDOR IS ELIGIBLE FOR THE
   41  VENDOR'S FEE DESCRIBED IN THIS CLAUSE WHO  OPERATES  OR  INVESTS  IN  OR
   42  OWNS,  IN  WHOLE  OR IN PART, ANOTHER VENDOR LICENSE OR IS LICENSED AS A
   43  VENDOR TRACK THAT CURRENTLY RECEIVES A VENDOR FEE FOR THE  OPERATION  OF
   44  VIDEO LOTTERY GAMING PURSUANT TO THIS ARTICLE.
   45    Provided, however, that in the case of [no more than one vendor track]
   46  A  RESORT  FACILITY located [in the town of Thompson] in Sullivan county
   47  [at the site of the former Concord  Resort]  with  a  qualified  capital
   48  investment,  and  one  thousand full-time, permanent employees if at any
   49  time after three years of  opening  operations  of  the  licensed  video
   50  gaming  facility  [or  licensed vendor track], the [vendor track] RESORT
   51  FACILITY experiences an employment shortfall, then the recapture  amount
   52  shall apply, for only such period as the shortfall exists.
   53    For  the purposes of this section "qualified capital investment" shall
   54  mean an investment of a  minimum  of  six  hundred  million  dollars  as
   55  reflected  by  audited financial statements of which not less than three
   56  hundred million dollars shall be comprised of  equity  and/or  mezzanine
       S. 5883                            83                            A. 8101

    1  financing  as  an initial investment in a county where twelve percent of
    2  the population is below the federal poverty level  as  measured  by  the
    3  most  recent  Bureau of Census Statistics prior to the qualified capital
    4  investment  commencing  that results in the construction, development or
    5  improvement  of  at  least  one  eighteen  hole  golf  course,  and  the
    6  construction and issuance of certificates of occupancy for hotels, lodg-
    7  ing,  spas, dining, retail and entertainment venues, parking garages and
    8  other capital improvements at or adjacent to the licensed  video  gaming
    9  facility  or  licensed vendor track which promote or encourage increased
   10  attendance at such facilities.
   11    For the purposes of  this  section,  "full-time,  permanent  employee"
   12  shall  mean  an  employee  who has worked at the video gaming facility[,
   13  vendor track] or related and adjacent facilities for a minimum of  thir-
   14  ty-five  hours per week for not less than four consecutive weeks and who
   15  is entitled to receive the usual and customary fringe benefits  extended
   16  to  other  employees  with  comparable rank and duties; or two part-time
   17  employees who have worked at the video gaming facility, vendor track  or
   18  related  and  adjacent  facilities for a combined minimum of thirty-five
   19  hours per week for not less than four  consecutive  weeks  and  who  are
   20  entitled  to receive the usual and customary fringe benefits extended to
   21  other employees with comparable rank and duties.
   22    For the purpose of this section "employment goal" shall mean one thou-
   23  sand five hundred full-time permanent employees  after  three  years  of
   24  opening  operations  of  the licensed video gaming facility [or licensed
   25  vendor track].
   26    For the purpose of this section "employment shortfall"  shall  mean  a
   27  level  of  employment that falls below the employment goal, as certified
   28  annually by vendor's certified  accountants  and  the  chairman  of  the
   29  empire state development corporation.
   30    For  the  purposes  of  this section "recapture amount" shall mean the
   31  difference between the amount of the  vendor's  fee  paid  to  a  vendor
   32  [track]  with  a qualified capital investment, and the vendor fee other-
   33  wise payable to a vendor [track] pursuant to clause (F) of this subpara-
   34  graph, that is reimbursable by the vendor  track  to  the  division  for
   35  payment into the state treasury, to the credit of the state lottery fund
   36  created  by  section  ninety-two-c  of  the state finance law, due to an
   37  employment shortfall pursuant to the following  schedule  only  for  the
   38  period of the employment shortfall:
   39    (i)  one  hundred  percent  of  the recapture amount if the employment
   40  shortfall is greater  than  sixty-six  and  two-thirds  percent  of  the
   41  employment goal;
   42    (ii)  seventy-five  percent  of the recapture amount if the employment
   43  shortfall is greater than thirty-three  and  one-third  percent  of  the
   44  employment goal;
   45    (iii)  forty-nine  and one-half percent of the recapture amount if the
   46  employment shortfall is greater than thirty percent  of  the  employment
   47  goal;
   48    (iv)  twenty-two  percent  of  the  recapture amount if the employment
   49  shortfall is greater than twenty percent of the employment goal;
   50    (v) eleven percent of the recapture amount if the employment shortfall
   51  is greater than ten percent of the employment goal.
   52    (G-1) NOTWITHSTANDING CLAUSE (A) AND (B) OF THIS SUBPARAGRAPH, WHEN  A
   53  VIDEO  LOTTERY GAMING FACILITY IS LOCATED IN EITHER THE COUNTY OF NASSAU
   54  OR SUFFOLK AND IS OPERATED BY  A  CORPORATION  ESTABLISHED  PURSUANT  TO
   55  SECTION  FIVE HUNDRED TWO OF THE RACING, PARI-MUTUEL WAGERING AND BREED-
       S. 5883                            84                            A. 8101

    1  ING LAW AT A RATE OF THIRTY- FIVE PERCENT OF THE TOTAL  REVENUE  WAGERED
    2  AT THE VENDOR TRACK AFTER PAYOUT FOR PRIZES PURSUANT TO THIS CHAPTER;
    3    (H) NOTWITHSTANDING ANY PROVISION TO THE CONTRARY, WHEN A VENDOR TRACK
    4  IS  LOCATED  WITHIN REGIONS ONE, TWO, OR FIVE OF DEVELOPMENT ZONE TWO AS
    5  DEFIED BY SECTION THIRTEEN HUNDRED TEN OF THE RACING, PARI-MUTUEL WAGER-
    6  ING AN BREEDING LAW, SUCH  VENDOR  TRACK  SHALL  RECEIVE  AN  ADDITIONAL
    7  COMMISSION  AT  A RATE EQUAL TO THE PERCENTAGE OF REVENUE WAGERED AT THE
    8  VENDOR TRACK AFTER PAYOUT FOR PRIZES PURSUANT TO THIS CHAPTER LESS  THAN
    9  TEN  PERCENT  RETAINED  BY THE COMMISSION FOR OPERATION, ADMINISTRATION,
   10  AND PROCUREMENT PURPOSES AND PAYMENT  OF  THE  VENDOR'S  FEE,  MARKETING
   11  ALLOWANCE,  AND  CAPITAL  AWARD  PAID  PURSUANT  TO THIS CHAPTER AND THE
   12  EFFECTIVE TAX RATE PAID ON ALL GROSS GAMING REVENUE  PAID  BY  A  GAMING
   13  FACILITY  WITHIN  THE  SAME  REGION PURSUANT TO SECTION THIRTEEN HUNDRED
   14  FIFTY-ONE OF THE RACING, PARI-MUTUEL  WAGERING  AND  BREEDING  LAW.  THE
   15  ADDITIONAL COMMISSION SHALL BE PAID TO THE VENDOR TACK WITHIN SIXTY DAYS
   16  AFTER  THE  CONCLUSION  OF THE STATE FISCAL YEAR BASED ON THE CALCULATED
   17  PERCENTAGE DURING THE PREVIOUS FISCAL YEAR.
   18    [(H)] (I) notwithstanding clauses (A), (B), (C), (D),  (E),  (F),  and
   19  [(G)]  (G-1)  of this subparagraph, the track operator of a vendor track
   20  shall be eligible for a vendor's capital award of up to four percent  of
   21  the  total  revenue  wagered at the vendor track after payout for prizes
   22  pursuant to this chapter, which shall be used  exclusively  for  capital
   23  project  investments to improve the facilities of the vendor track which
   24  promote or encourage increased attendance at the  video  lottery  gaming
   25  facility including, but not limited to hotels, other lodging facilities,
   26  entertainment  facilities,  retail facilities, dining facilities, events
   27  arenas, parking garages and other  improvements  that  enhance  facility
   28  amenities;  provided  that such capital investments shall be approved by
   29  the division, in consultation with the state racing and wagering  board,
   30  and  that  such vendor track demonstrates that such capital expenditures
   31  will increase patronage at such vendor track's facilities  and  increase
   32  the amount of revenue generated to support state education programs. The
   33  annual  amount of such vendor's capital awards that a vendor track shall
   34  be eligible to receive shall be limited  to  two  million  five  hundred
   35  thousand  dollars,  except for Aqueduct racetrack, for which there shall
   36  be no vendor's capital awards. Except for tracks having  less  than  one
   37  thousand one hundred video gaming machines, each track operator shall be
   38  required  to  co-invest  an  amount  of capital expenditure equal to its
   39  cumulative vendor's capital award. For all tracks, except  for  Aqueduct
   40  racetrack,  the  amount  of  any vendor's capital award that is not used
   41  during any one year period may be carried  over  into  subsequent  years
   42  ending  before  April first, two thousand fourteen. Any amount attribut-
   43  able to a capital expenditure approved prior to April first,  two  thou-
   44  sand  fourteen  and  completed  before April first, two thousand sixteen
   45  shall be eligible to receive the vendor's capital award.  In  the  event
   46  that  a  vendor  track's  capital expenditures, approved by the division
   47  prior to April first, two thousand fourteen and completed prior to April
   48  first, two thousand sixteen, exceed the vendor track's cumulative  capi-
   49  tal  award  during the five year period ending April first, two thousand
   50  fourteen, the vendor shall continue to receive the capital  award  after
   51  April  first, two thousand fourteen until such approved capital expendi-
   52  tures are paid to the vendor track subject to  any  required  co-invest-
   53  ment.  In  no  event  shall  any vendor track that receives a vendor fee
   54  pursuant to clause (F) or (G) of this subparagraph  be  eligible  for  a
   55  vendor's  capital  award  under  this  section. Any operator of a vendor
   56  track which has received a vendor's capital award,  choosing  to  divest
       S. 5883                            85                            A. 8101

    1  the capital improvement toward which the award was applied, prior to the
    2  full depreciation of the capital improvement in accordance with general-
    3  ly  accepted accounting principles, shall reimburse the state in amounts
    4  equal  to  the  total of any such awards. Any capital award not approved
    5  for a capital expenditure at a video lottery gaming  facility  by  April
    6  first,  two  thousand fourteen shall be deposited into the state lottery
    7  fund for education aid; and
    8    [(I)] (J) Notwithstanding any provision of law to the  contrary,  free
    9  play  allowance  credits authorized by the division pursuant to subdivi-
   10  sion f of section sixteen hundred seventeen-a of this article shall  not
   11  be  included  in  the  calculation  of the total amount wagered on video
   12  lottery games, the total amount wagered  after  payout  of  prizes,  the
   13  vendor  fees  payable  to  the  operators  of  video lottery facilities,
   14  vendor's capital awards, fees payable to the  division's  video  lottery
   15  gaming equipment contractors, or racing support payments.
   16    (iii) less an additional vendor's marketing allowance at a rate of ten
   17  percent  for  the  first  one hundred million dollars annually and eight
   18  percent thereafter of the total revenue  wagered  at  the  vendor  track
   19  after payout for prizes to be used by the vendor track for the marketing
   20  and  promotion  and  associated  costs of its video lottery gaming oper-
   21  ations and pari-mutuel horse racing operations,  as  long  as  any  such
   22  costs associated with pari-mutuel horse racing operations simultaneously
   23  encourage  increased  attendance  at  such vendor's video lottery gaming
   24  facilities, consistent with the customary manner of marketing comparable
   25  operations in the industry and subject to the overall supervision of the
   26  division; provided, however,  that  the  additional  vendor's  marketing
   27  allowance shall not exceed eight percent in any year for any operator of
   28  a  racetrack  located  in the county of Westchester or Queens; provided,
   29  however, a vendor track that receives a vendor fee  pursuant  to  clause
   30  (G)  of  subparagraph (ii) of this paragraph shall not receive the addi-
   31  tional vendor's marketing allowance
   32    PROVIDED, HOWEVER, A VENDOR THAT RECEIVES A  VENDOR  FEE  PURSUANT  TO
   33  CLAUSE  (G-1)  OF  SUBPARAGRAPH  (II) OF THIS PARAGRAPH SHALL RECEIVE AN
   34  ADDITIONAL MARKETING ALLOWANCE AT A RATE OF TEN  PERCENT  OF  THE  TOTAL
   35  REVENUE  WAGERED  AT  THE VIDEO LOTTERY GAMING FACILITY AFTER PAYOUT FOR
   36  PRIZES.   THE DIVISION SHALL ENSURE  THE  MAXIMUM  LOTTERY  SUPPORT  FOR
   37  EDUCATION  WHILE  ALSO  ENSURING THE EFFECTIVE IMPLEMENTATION OF SECTION
   38  SIXTEEN HUNDRED SEVENTEEN-A OF THIS ARTICLE  THROUGH  THE  PROVISION  OF
   39  REASONABLE  REIMBURSEMENTS AND COMPENSATION TO VENDOR TRACKS FOR PARTIC-
   40  IPATION IN SUCH PROGRAM. WITHIN TWENTY DAYS AFTER ANY AWARD  OF  LOTTERY
   41  PRIZES, THE DIVISION SHALL PAY INTO THE STATE TREASURY, TO THE CREDIT OF
   42  THE STATE LOTTERY FUND, THE BALANCE OF ALL MONEYS RECEIVED FROM THE SALE
   43  OF ALL TICKETS FOR THE LOTTERY IN WHICH SUCH PRIZES WERE AWARDED REMAIN-
   44  ING  AFTER  PROVISION  FOR THE PAYMENT OF PRIZES AS HEREIN PROVIDED. ANY
   45  REVENUES DERIVED FROM THE SALE OF ADVERTISING ON LOTTERY  TICKETS  SHALL
   46  BE DEPOSITED IN THE STATE LOTTERY FUND.
   47    2. As consideration for the operation of a video lottery gaming facil-
   48  ity,  the division, shall cause the investment in the racing industry of
   49  a portion of the vendor fee received pursuant to paragraph one  of  this
   50  subdivision  in  the  manner  set  forth in this subdivision.   With the
   51  exception of Aqueduct racetrack OR A FACILITY IN THE COUNTY OF NASSAU OR
   52  SUFFOLK OPERATED BY A CORPORATION ESTABLISHED PURSUANT TO  SECTION  FIVE
   53  HUNDRED  TWO  OF  THE RACING, PARI-MUTUEL WAGERING AND BREEDING LAW OR A
   54  FACILITY IN THE COUNTY OF NASSAU OR SUFFOLK OPERATED  BY  A  CORPORATION
   55  ESTABLISHED PURSUANT TO SECTION FIVE HUNDRED TWO OF THE RACING, PARI-MU-
   56  TUEL  WAGERING  AND  BREEDING  LAW  ,  EACH  SUCH TRACK SHALL DEDICATE A
       S. 5883                            86                            A. 8101

    1  PORTION OF ITS VENDOR FEES, RECEIVED PURSUANT TO CLAUSE (A),  (B),  (C),
    2  (D),  (E),  (F),  OR  (G)  OF SUBPARAGRAPH (II) OF PARAGRAPH ONE OF THIS
    3  SUBDIVISION, SOLELY FOR THE PURPOSE OF ENHANCING PURSES AT  SUCH  TRACK,
    4  IN  AN  AMOUNT  EQUAL  TO  EIGHT AND THREE-QUARTERS PERCENT OF THE TOTAL
    5  REVENUE WAGERED AT THE VENDOR  TRACK  AFTER  PAY  OUT  FOR  PRIZES.  ONE
    6  PERCENT  OF  SUCH  PURSE  ENHANCEMENT AMOUNT SHALL BE PAID TO THE GAMING
    7  COMMISSION TO BE USED EXCLUSIVELY TO PROMOTE AND  ENSURE  EQUINE  HEALTH
    8  AND  SAFETY  IN  NEW  YORK.  ANY  PORTION  OF SUCH FUNDING TO THE GAMING
    9  COMMISSION UNUSED DURING A FISCAL YEAR SHALL BE RETURNED  TO  THE  VIDEO
   10  LOTTERY  GAMING  OPERATORS  ON  A  PRO RATA BASIS IN ACCORDANCE WITH THE
   11  AMOUNTS ORIGINALLY CONTRIBUTED BY EACH OPERATOR AND SHALL  BE  USED  FOR
   12  THE  PURPOSE  OF  ENHANCING  PURSES AT SUCH TRACK. IN ADDITION, WITH THE
   13  EXCEPTION OF AQUEDUCT RACETRACK, one and one-quarter  percent  of  total
   14  revenue  wagered  at the vendor track after pay out for prizes, received
   15  pursuant to clause (A), (B), (C), (D), (E), (F), or (G) of  subparagraph
   16  (ii)  of  paragraph one of this subdivision, shall be distributed to the
   17  appropriate breeding fund for the manner of  racing  conducted  by  such
   18  track.
   19    Provided,  further,  that nothing in this paragraph shall prevent each
   20  track from entering into an agreement, not to exceed  five  years,  with
   21  the  organization  authorized  to  represent its horsemen to increase or
   22  decrease the portion of its vendor fee dedicated to enhancing purses  at
   23  such  track  during the years of participation by such track, or to race
   24  fewer dates than required herein.
   25    3. Nothing in paragraph two  of  this  subdivision  shall  affect  any
   26  agreement  in  effect on or before the effective date of this paragraph,
   27  except that the obligation to pay funds  to  the  gaming  commission  to
   28  promote  and  ensure  equine  health  and  safety  shall  supersede  any
   29  provision to the contrary in any such agreement.
   30    c. 1. The specifications  for  video  lottery  gaming,  including  any
   31  joint,  multi-jurisdiction, and out-of-state video lottery gaming, shall
   32  be designed in such a manner as to pay prizes that average no less  than
   33  ninety percent of sales.
   34    2.  Of  the  ten  percent  retained by the division for administrative
   35  purposes, any amounts beyond that which are necessary for the  operation
   36  and  administration  of  this  pilot  program  shall be deposited in the
   37  lottery education account.
   38    d. Notwithstanding any law, rule or regulation to  the  contrary,  any
   39  successor  to  the New York Racing Association, Inc. with respect to the
   40  operation and maintenance of video lottery gaming at Aqueduct  racetrack
   41  shall  be  deemed the successor to the New York Racing Association, Inc.
   42  for purposes of being subject to existing contracts and loan agreements,
   43  if any, entered into by the New York Racing Association,  Inc.  directly
   44  related  to  the construction, operation, management and distribution of
   45  revenues of the video lottery gaming facility at Aqueduct racetrack.
   46    e. The video lottery gaming  operator  selected  to  operate  a  video
   47  lottery terminal facility at Aqueduct will be subject to a memorandum of
   48  understanding  between  the  governor, temporary president of the senate
   49  and the speaker of the assembly.  Notwithstanding  subparagraph  (i)  of
   50  paragraph  a  of  subdivision eight of section two hundred twelve of the
   51  racing, pari-mutuel wagering and breeding law, the state, pursuant to an
   52  agreement with the video lottery gaming  operator  to  operate  a  video
   53  lottery  terminal  facility  at Aqueduct, may authorize, as part of such
   54  agreement or in conjunction with  such  agreement  at  the  time  it  is
   55  executed,  additional  development  at the Aqueduct racing facility. The
   56  selection will be made in consultation with the franchised  corporation,
       S. 5883                            87                            A. 8101

    1  but is not subject to such corporation's approval. The franchised corpo-
    2  ration shall not be eligible to compete to operate or to operate a video
    3  lottery  terminal  facility  at  Aqueduct.  The  state will use its best
    4  efforts  to  ensure that the video lottery terminal facility at Aqueduct
    5  is opened as soon as is practicable and will, if practicable, pursue the
    6  construction of a temporary video lottery terminal facility at  Aqueduct
    7  subject to staying within an agreed budget for such video lottery termi-
    8  nal  facility  and  subject  to  such  temporary  facility not having an
    9  adverse impact on opening of the  permanent  facility  at  Aqueduct.  To
   10  facilitate  the opening of the video lottery gaming facility at Aqueduct
   11  as soon as is practicable, the division of the lottery  may  extend  the
   12  term of any existing contract related to the video lottery system.
   13    f.  As  consideration  for  the  operation of the video lottery gaming
   14  facility at Aqueduct racetrack, the division shall cause the  investment
   15  in the racing industry of the following percentages of the vendor fee to
   16  be deposited or paid, as follows:
   17    1.  Six  and  one-half  percent  of  the total wagered after payout of
   18  prizes for the first year of operation of video lottery gaming at  Aque-
   19  duct  racetrack,  seven  percent  of  the  total wagered after payout of
   20  prizes for the second year of operation, and seven and one-half  percent
   21  of the total wagered after payout of prizes for the third year of opera-
   22  tion  and  thereafter,  for  the purpose of enhancing purses at Aqueduct
   23  racetrack, Belmont Park racetrack and Saratoga race course. One  percent
   24  of  such purse enhancement amount shall be paid to the gaming commission
   25  to be used exclusively to promote and ensure equine health and safety in
   26  New York. Any portion of such funding to the  gaming  commission  unused
   27  during a fiscal year shall be returned on a pro rata basis in accordance
   28  with  the  amounts  originally  contributed  and  shall  be used for the
   29  purpose of enhancing purses at such tracks.
   30    2. One percent of the total wagered after payout  of  prizes  for  the
   31  first  year  of operation of video lottery gaming at Aqueduct racetrack,
   32  one and one-quarter percent of the total wagered after payout of  prizes
   33  for  the  second  year of operation, and one and one-half percent of the
   34  total wagered after payout of prizes for the third year of operation and
   35  thereafter, for an appropriate breeding fund for the  manner  of  racing
   36  conducted  at  Aqueduct  racetrack,  Belmont Park racetrack and Saratoga
   37  race course.
   38    3. Four percent of the total revenue wagered after payout of prizes to
   39  be deposited into an account of the franchised  corporation  established
   40  pursuant  to section two hundred six of the racing, pari-mutuel wagering
   41  and breeding law to be used for capital expenditures in maintaining  and
   42  upgrading  Aqueduct  racetrack, Belmont Park racetrack and Saratoga race
   43  course.
   44    4. Three percent of the total revenue wagered after payout for  prizes
   45  to  be  deposited  into  an account of the franchised corporation estab-
   46  lished pursuant to section two hundred six of  the  racing,  pari-mutuel
   47  wagering  and  breeding  law  to be used for general thoroughbred racing
   48  operations at Aqueduct racetrack, Belmont Park  racetrack  and  Saratoga
   49  race course.
   50    5.  Paragraphs  one,  two, three and four of this subdivision shall be
   51  known collectively as the "racing support payments".
   52    g. In the event the state elects to construct a video lottery terminal
   53  facility at the Aqueduct racetrack, all video lottery terminal  revenues
   54  payable  to  the video lottery gaming operator at the Aqueduct racetrack
   55  remaining after payment of the racing support payments  shall  first  be
   56  used  to  repay the state's advances for (i) confirmation of the chapter
       S. 5883                            88                            A. 8101

    1  eleven plan of reorganization  and  cash  advances  for  the  franchised
    2  corporation's  operations  following  confirmation of the chapter eleven
    3  plan of reorganization and (ii) the amount  expended  by  the  state  to
    4  construct  such  video  lottery  terminal facility at Aqueduct racetrack
    5  pursuant to an agreement with the state. Subparagraphs (i) and  (ii)  of
    6  this  paragraph  shall  be  defined  as the state advance amount and the
    7  amounts payable to the division of the lottery.
    8    h.   As consideration for the operation  of  a  video  lottery  gaming
    9  resort facility located in Sullivan county, the division shall cause the
   10  investment  in  the  racing  industry  at  the following amount from the
   11  vendor fee to be paid as follows:
   12    As amount to the horsemen for purses at a licensed racetrack in Sulli-
   13  van county and to the agriculture and  New  York  state  horse  breeding
   14  development  fund to maintain racing support payments at the same dollar
   15  levels realized in two thousand thirteen, to be adjusted by the consumer
   16  price index for all urban consumers, as published annually by the United
   17  States department of labor bureau of labor statistics.   In  no  circum-
   18  stance  shall  net  proceeds of the lottery, including the proceeds from
   19  video lottery gaming, be used for the payment of non-lottery expenses of
   20  the gaming commission, administrative or otherwise.
   21    (F-1) AS CONSIDERATION FOR OPERATION OF VIDEO LOTTERY GAMING  FACILITY
   22  LOCATED IN THE COUNTY OF NASSAU OF SUFFOLK AND OPERATED BY A CORPORATION
   23  ESTABLISHED PURSUANT TO SECTION FIVE HUNDRED TWO OF THE RACING, PARI-MU-
   24  TUEL  WAGERING  AND  BREEDING  LAW,  THE DIVISION SHALL CAUSE THE IN THE
   25  RACING INDUSTRY OF THE FOLLOWING PERCENTAGES OF THE  VENDOR  FEE  TO  BE
   26  DEPOSITED OR PAID AS FOLLOWS:
   27    (1)  TWO AND THREE TENTHS PERCENT OF THE TOTAL WAGERED AFTER PAYOUT OF
   28  PRIZES FOR THE  PURPOSE  OF  ENHANCING  PURSES  AT  AQUEDUCT  RACETRACK,
   29  BELMONT PARK RACETRACK AND SARATOGA RACE COURSE, PROVIDED, HOWEVER, THAT
   30  ANY  AMOUNT  THAT IS IN EXCESS OF THE AMOUNT NECESSARY TO MAINTAIN PURSE
   31  SUPPORT FROM VIDEO LOTTERY GAMING AT AQUEDUCT  RACETRACK,  BELMONT  PARK
   32  RACETRACK  AND SARATOGA RACE COURSE AT THE SAME LEVEL REALIZED IN IN TWO
   33  THOUSAND THIRTEEN, TO BE ADJUSTED BY THE CONSUMER PRICE  INDEX  FOR  ALL
   34  URBAN  CONSUMERS,  AS PUBLISHED ANNUALLY BY THE UNITED STATES DEPARTMENT
   35  OF BUREAU OF LABOR STATISTICS, SHALL  BE  INSTEAD  BE  RETURNED  TO  THE
   36  COMMISSION.
   37    (2)  FIVE  TENTHS  PERCENT OF THE TOTAL WAGERED AFTER PAYOUT OF PRIZES
   38  FOR THE APPROPRIATE BREEDING FUND FOR THE MANNER OF RACING  AT  AQUEDUCT
   39  RACETRACK,  BELMONT  PARK  RACETRACK AND SARATOGA RACE COURSE, PROVIDED,
   40  HOWEVER, THAT ANY AMOUNT THAT IS IN EXCESS OF THE  AMOUNT  NECESSARY  TO
   41  MAINTAIN PAYMENTS FROM VIDEO LOTTERY GAMING AT AQUEDUCT RACETRACK AT THE
   42  SAME  LEVEL  REALIZED IN IN TWO THOUSAND THIRTEEN, TO BE ADJUSTED BY THE
   43  CONSUMER PRICE INDEX FOR ALL URBAN CONSUMERS, AS PUBLISHED  ANNUALLY  BY
   44  THE  UNITED  STATES  DEPARTMENT  OF BUREAU OF LABOR STATISTICS, SHALL BE
   45  INSTEAD BE RETURNED TO THE COMMISSION.
   46    (3) ONE AND THREE TENTHS PERCENT OF THE TOTAL  REVENUE  WAGERED  AFTER
   47  PAYOUT  OF  PRIZES  TO  BE  DEPOSITED  INTO AN ACCOUNT OF THE FRANCHISED
   48  CORPORATION ESTABLISHED PURSUANT TO  SECTION  TWO  HUNDRED  SIX  OF  THE
   49  RACING,  PARI-MUTUEL  WAGERING  AND  BREEDING LAW TO BE USED FOR CAPITAL
   50  EXPENDITURES IN MAINTAINING AND UPGRADING  AQUEDUCT  RACETRACK,  BELMONT
   51  PARK  RACETRACK  AND  SARATOGA  RACE COURSE, PROVIDED, HOWEVER, THAT ANY
   52  AMOUNT THAT IS IN EXCESS OF THE AMOUNT NECESSARY  TO  MAINTAIN  PAYMENTS
   53  FOR CAPITAL EXPENDITURES FROM VIDEO LOTTERY GAMING AT AQUEDUCT RACETRACK
   54  AT  THE  SAME LEVEL REALIZED IN IN TWO THOUSAND THIRTEEN, TO BE ADJUSTED
   55  BY THE CONSUMER PRICE INDEX FOR ALL URBAN CONSUMERS, AS PUBLISHED  ANNU-
       S. 5883                            89                            A. 8101

    1  ALLY  BY  THE  UNITED  STATES  DEPARTMENT OF BUREAU OF LABOR STATISTICS,
    2  SHALL BE INSTEAD BE RETURNED TO THE COMMISSION.
    3    (4)  NINE TENTHS PERCENT OF THE TOTAL REVENUE WAGERED AFTER PAYOUT FOR
    4  PRIZES TO BE DEPOSITED INTO AN ACCOUNT  OF  THE  FRANCHISED  CORPORATION
    5  ESTABLISHED  PURSUANT TO SECTION TWO HUNDRED SIX OF THE RACING, PARI-MU-
    6  TUEL WAGERING AND BREEDING LAW  TO  BE  USED  FOR  GENERAL  THOROUGHBRED
    7  RACING  OPERATIONS  AT  AQUEDUCT  RACETRACK,  BELMONT PARK RACETRACK AND
    8  SARATOGA RACE COURSE, PROVIDED, HOWEVER, THAT  ANY  AMOUNT  THAT  IS  IN
    9  EXCESS  OF  THE  AMOUNT  NECESSARY  TO  MAINTAIN  PAYMENTS  FOR  GENERAL
   10  THOROUGHBRED RACING OPERATIONS FROM VIDEO  LOTTERY  GAMING  AT  AQUEDUCT
   11  RACETRACK  AT THE SAME LEVEL REALIZED IN IN TWO THOUSAND THIRTEEN, TO BE
   12  ADJUSTED BY THE  CONSUMER  PRICE  INDEX  FOR  ALL  URBAN  CONSUMERS,  AS
   13  PUBLISHED  ANNUALLY  BY  THE UNITED STATES DEPARTMENT OF BUREAU OF LABOR
   14  STATISTICS, SHALL BE INSTEAD BE RETURNED TO THE COMMISSION.
   15    S 41. Subdivision a of section 1617-a of the tax  law  is  amended  by
   16  adding a new paragraph 5 to read as follows:
   17    (5)  AT A FACILITY ESTABLISHED PURSUANT TO A COMPETITIVE PROCESS TO BE
   18  DETERMINED BY THE STATE GAMING  COMMISSION,  ESTABLISHED  WITHIN  REGION
   19  THREE  OF  ZONE ONE AS ESTABLISHED BY SECTION ONE THOUSAND THREE HUNDRED
   20  TEN OF THE RACING, PARI-MUTUEL WAGERING AND  BREEDING  LAW,  LIMITED  TO
   21  NASSAU COUNTY.  SUCH FACILITY MAY ONLY BE AUTHORIZED BY THE STATE GAMING
   22  COMMISSION  FOLLOWING  LOCAL GOVERNMENTAL CONSULTATION AND CONSIDERATION
   23  OF MARKET FACTORS SUCH AS POTENTIAL REVENUE IMPACT, JOB DEVELOPMENT  AND
   24  CAPITAL  INVESTMENT.  THE FACILITY AUTHORIZED PURSUANT TO THIS PARAGRAPH
   25  SHALL BE DEEMED A VENDOR FOR ALL PURPOSES UNDER THIS ARTICLE,  AND  NEED
   26  NOT  BE OPERATED BY LICENSED THOROUGHBRED OR HARNESS RACING ASSOCIATIONS
   27  OR CORPORATIONS. THE FACILITY  AUTHORIZED  PURSUANT  TO  THIS  PARAGRAPH
   28  SHALL BE DEEMED VENDORS FOR ALL PURPOSES UNDER THIS ARTICLE.
   29    S 42. Section 1612 of the tax law, as amended by chapter 2 of the laws
   30  of  1995,  paragraph 1 of subdivision a as amended by chapter 147 of the
   31  laws of 2010, subparagraph (A)  of  paragraph  1  of  subdivision  a  as
   32  amended  by section 1 of part S of chapter 59 of the laws of 2012, para-
   33  graph 2 of subdivision a as amended by section 1 of part P of chapter 61
   34  of the laws of 2011, paragraphs 3, 4 and 5 and the  second  undesignated
   35  and closing paragraph of subdivision a as amended by section 1 of part Q
   36  of chapter 61 of the laws of 2011, subdivision 6 as amended by section 1
   37  of  part O-1 of chapter 57 of the laws of 2009, the opening paragraph of
   38  paragraph 1 of subdivision b as amended by section 1 of part R of  chap-
   39  ter 61 of the laws of 2011, subparagraph (ii) of paragraph 1 of subdivi-
   40  sion  b  as  amended by section 6 of part K of chapter 57 of the laws of
   41  2010, clause (F) of subparagraph (ii) of paragraph 1 of subdivision b as
   42  amended by section 1 of part T of chapter 59 of the laws of 2013, clause
   43  (H) of subparagraph (ii) of paragraph 1 of subdivision b as  amended  by
   44  chapter  454  of  the  laws  of 2012, clause (I) of subparagraph (ii) of
   45  paragraph 1 of subdivision b as added by section 1 of part O of  chapter
   46  61  of  the laws of 2011, paragraphs 2 and 3 of subdivision 6 as amended
   47  by section 1 of part J of chapter 55 of the laws of 2013, subdivision  c
   48  as  amended  by  section 2 of part CC of chapter 61 of the laws of 2005,
   49  paragraph 1 of subdivision c as amended by section 2 of part R of  chap-
   50  ter  61  of the laws of 2011, subdivision d as amended and subdivision e
   51  as added by chapter 18 of the laws of 2008,  subdivisions  f  and  g  as
   52  amended by chapter 140 of the laws of 2008, paragraph 1 of subdivision f
   53  as  amended  by  section  2 of part J of chapter 55 of the laws if 2013,
   54  subdivision h as added by section 13 of part A of chapter 60 of the laws
   55  of 2012, is amended to read as follows:
       S. 5883                            90                            A. 8101

    1    S 1612. Disposition of revenues. a. The division  shall  pay  into  an
    2  account,  to  be  known  as  the  lottery prize account, under the joint
    3  custody of the comptroller and the commissioner, within one  week  after
    4  collection  of sales receipts from a lottery game, such moneys necessary
    5  for  the  payment  of  lottery  prizes  but  not to exceed the following
    6  percentages, plus interest earned thereon:
    7    (1) sixty percent of the total amount for which tickets have been sold
    8  for a lawful lottery game introduced on or after the effective  date  of
    9  this paragraph, subject to the following provisions:
   10    (A) such game shall be available only on premises occupied by licensed
   11  lottery sales agents, subject to the following provisions:
   12    (i)  if  the  licensee  does not hold a license issued pursuant to the
   13  alcoholic beverage control law to sell alcoholic beverages for  consump-
   14  tion  on  the  premises,  then  the  premises must have a minimum square
   15  footage greater than two thousand five hundred square feet;
   16    (ii) notwithstanding the foregoing  provisions,  television  equipment
   17  that  automatically  displays  the  results  of  such  drawings  may  be
   18  installed and used without regard to the square footage if such premises
   19  are used as:
   20    (I) a commercial bowling establishment, or
   21    (II) a facility authorized under the racing, pari-mutuel wagering  and
   22  breeding law to accept pari-mutuel wagers;
   23    (B) the rules for the operation of such game shall be as prescribed by
   24  regulations  promulgated  and adopted by the division, provided however,
   25  that such rules shall provide that no person under the age of twenty-one
   26  may participate in such games on the premises of a licensee who holds  a
   27  license  issued  pursuant  to the alcoholic beverage control law to sell
   28  alcoholic beverages for consumption  on  the  premises;  and,  provided,
   29  further,  that such regulations may be revised on an emergency basis not
   30  later than ninety days after the enactment of this paragraph in order to
   31  conform such regulations to the requirements of this paragraph; or
   32    (2) sixty-five percent of the total amount for which tickets have been
   33  sold for the "Instant Cash" game in which the  participant  purchases  a
   34  preprinted  ticket  on  which dollar amounts or symbols are concealed on
   35  the face or the back of such ticket, provided however  up  to  five  new
   36  games may be offered during the fiscal year, seventy-five percent of the
   37  total  amount  for  which  tickets have been sold for such five games in
   38  which the participant purchases a  preprinted  ticket  on  which  dollar
   39  amounts or symbols are concealed on the face or the back of such ticket;
   40  or
   41    (3) fifty-five percent of the total amount for which tickets have been
   42  sold  for any joint, multi-jurisdiction, and out-of-state lottery except
   43  as otherwise provided in paragraph one of subdivision b of this  section
   44  for any joint, multi-jurisdiction, out-of-state video lottery gaming; or
   45    (4) fifty percent of the total amount for which tickets have been sold
   46  for  games  known  as: (A) the "Daily Numbers Game" or "Win 4", discrete
   47  games in which the participants select no more than  three  or  four  of
   48  their own numbers to match with three or four numbers drawn by the divi-
   49  sion  for  purposes of determining winners of such games, (B) "Pick 10",
   50  offered no more than once daily, in which  participants  select  from  a
   51  specified  field  of  numbers a subset of ten numbers to match against a
   52  subset of numbers to be drawn by the division from such field of numbers
   53  for the purpose of determining winners  of  such  game,  (C)  "Take  5",
   54  offered  no  more  than  once daily, in which participants select from a
   55  specified field of numbers a subset of five numbers to match  against  a
       S. 5883                            91                            A. 8101

    1  subset  of  five  numbers to be drawn by the division from such field of
    2  numbers for purposes of determining winners of such game; or
    3    (5) forty percent of the total amount for which tickets have been sold
    4  for:  (A)  "Lotto",  offered no more than once daily, a discrete game in
    5  which all participants select a specific subset of numbers  to  match  a
    6  specific  subset  of  numbers,  as  prescribed  by rules and regulations
    7  promulgated and adopted by the division, from a larger specific field of
    8  numbers, as also prescribed by such rules and regulations and  (B)  with
    9  the  exception  of  the game described in paragraph one of this subdivi-
   10  sion, such other state-operated lottery games  which  the  division  may
   11  introduce,  offered  no  more  than  once  daily, commencing on or after
   12  forty-five days following the official  publication  of  the  rules  and
   13  regulations for such game.
   14    The  moneys  in  the  lottery  prize account shall be paid out of such
   15  account on the audit and warrant of the comptroller on  vouchers  certi-
   16  fied or approved by the director or his or her duly designated official.
   17    Prize  money  derived  from ticket sales receipts of a particular game
   18  and deposited in the  lottery  prize  account  in  accordance  with  the
   19  percentages  set  forth  above  may  be used to pay prizes in such game.
   20  Balances in the lottery prize account identified by individual games may
   21  be carried over from one fiscal year to the next to ensure proper payout
   22  of games.
   23    b. 1. Notwithstanding section one  hundred  twenty-one  of  the  state
   24  finance  law, on or before the twentieth day of each month, the division
   25  shall pay into the state treasury, to the credit of  the  state  lottery
   26  fund  created by section ninety-two-c of the state finance law, not less
   27  than forty-five percent of the total amount for which tickets have  been
   28  sold  for  games  defined  in  paragraph  four  of subdivision a of this
   29  section during the preceding month, not less than thirty-five percent of
   30  the total amount for which tickets have been sold for games  defined  in
   31  paragraph  three  of  subdivision a of this section during the preceding
   32  month, not less than twenty percent of the total amount for which  tick-
   33  ets  have  been sold for games defined in paragraph two of subdivision a
   34  of this section during the preceding month, provided  however  that  for
   35  games  with  a  prize payout of seventy-five percent of the total amount
   36  for which tickets have been sold, the division shall pay not  less  than
   37  ten  percent  of sales into the state treasury and not less than twenty-
   38  five percent of the total amount for which tickets have  been  sold  for
   39  games  defined  in paragraph one of subdivision a of this section during
   40  the preceding month; and the balance of the total revenue  after  payout
   41  for  prizes  for  games  known  as "video lottery gaming," including any
   42  joint, multi-jurisdiction, and out-of-state video  lottery  gaming,  (i)
   43  less ten percent of the total revenue wagered after payout for prizes to
   44  be  retained by the division for operation, administration, and procure-
   45  ment purposes; (ii) less a vendor's fee the amount of  which  is  to  be
   46  paid  for  serving  as a lottery agent to the track operator of a vendor
   47  track:
   48    (A) having fewer than one thousand one hundred video gaming  machines,
   49  at  a  rate  of  thirty-five percent for the first fifty million dollars
   50  annually, twenty-eight percent for  the  next  hundred  million  dollars
   51  annually,  and  twenty-five  percent  thereafter  of  the  total revenue
   52  wagered at the vendor track after payout for  prizes  pursuant  to  this
   53  chapter;
   54    (B)  having one thousand one hundred or more video gaming machines, at
   55  a rate of thirty-one percent of the total revenue wagered at the  vendor
   56  track  after payout for prizes pursuant to this chapter, except for such
       S. 5883                            92                            A. 8101

    1  facility located in the county of Westchester, in which  case  the  rate
    2  shall be thirty percent until March thirty-first, two thousand twelve.
    3    Notwithstanding  the  foregoing, not later than April first, two thou-
    4  sand twelve, the vendor fee shall become thirty-one percent  and  remain
    5  at  that  level  thereafter; and except for Aqueduct racetrack, in which
    6  case the vendor fee shall be thirty-eight percent of the  total  revenue
    7  wagered  at  the  vendor  track after payout for prizes pursuant to this
    8  chapter;
    9    (C) notwithstanding clauses (A) and (B) of this subparagraph, when the
   10  vendor track is located in an area with a population of  less  than  one
   11  million  within  the  forty  mile radius around such track, at a rate of
   12  thirty-nine percent for the first fifty million dollars annually,  twen-
   13  ty-eight  percent  for  the  next  hundred million dollars annually, and
   14  twenty-five percent thereafter of  the  total  revenue  wagered  at  the
   15  vendor track after payout for prizes pursuant to this chapter;
   16    (D)  notwithstanding  clauses  (A),  (B) and (C) of this subparagraph,
   17  when the vendor track is located within fifteen miles of a Native Ameri-
   18  can class III gaming facility at a rate  of  forty-one  percent  of  the
   19  total revenue wagered at the vendor track after payout for prizes pursu-
   20  ant to this chapter;
   21    (E)  notwithstanding  clauses  (A),  (B), (C) and (D) of this subpara-
   22  graph, when a Native American class III gaming facility is  established,
   23  after  the  effective date of this subparagraph, within fifteen miles of
   24  the vendor track, at a rate of forty-one percent of  the  total  revenue
   25  wagered after payout for prizes pursuant to this chapter;
   26    (E-1)  for  purposes  of this subdivision, the term "class III gaming"
   27  shall have the meaning defined in 25 U.S.C. S 2703(8).
   28    (F) notwithstanding clauses (A), (B), (C), (D) and (E) of this subpar-
   29  agraph, when a vendor track, is located in Sullivan  county  and  within
   30  sixty  miles  from any gaming facility in a contiguous state such vendor
   31  fee shall, for a period of six years commencing April first,  two  thou-
   32  sand  eight,  be  at  a  rate  of forty-one percent of the total revenue
   33  wagered at the vendor track after payout for  prizes  pursuant  to  this
   34  chapter, after which time such rate shall be as for all tracks in clause
   35  (C) of this subparagraph.
   36    (G)  notwithstanding  clauses  (A), (B), (C), (D), (E) and (F) of this
   37  subparagraph, when [no more than one vendor track] A RESORT FACILITY  TO
   38  BE  OPERATED  BY  OTHER  THAN  A PRESENTLY LICENSED VIDEO LOTTERY GAMING
   39  OPERATOR OR ANY ENTITY AFFILIATED THEREWITH  SELECTED  BY  THE  DIVISION
   40  FOLLOWING  A  COMPETITIVE  PROCESS  located in [the town of Thompson in]
   41  Sullivan county [at the site of the former Concord Resort]  at  which  a
   42  qualified  capital  investment has been made and no fewer than one thou-
   43  sand full-time, permanent employees have been newly hired, is located in
   44  Sullivan county and is within sixty miles from any gaming facility in  a
   45  contiguous  state,  then  for  a  period of forty years the vendor's fee
   46  shall equal the total revenue wagered at the vendor track  after  payout
   47  of  prizes  pursuant  to  this subdivision reduced by the greater of (i)
   48  twenty-five percent of total revenue after payout for prizes for  "video
   49  lottery  games"  or  (ii) for the first eight years of operation thirty-
   50  eight million dollars, and beginning in the ninth year of operation such
   51  amount shall increase annually by the lesser  of  the  increase  in  the
   52  consumer price index or two percent, plus seven percent of total revenue
   53  after  payout  of  prizes.  In  addition, in the event the vendor fee is
   54  calculated pursuant to subclause (i) of this clause,  the  vendor's  fee
   55  shall  be  further reduced by 11.11 percent of the amount by which total
   56  revenue after payout for prizes  exceeds  two  hundred  fifteen  million
       S. 5883                            93                            A. 8101

    1  dollars,  but  in  no  event  shall  such  reduction exceed five million
    2  dollars.
    3    Provided, however, that in the case of [no more than one vendor track]
    4  A  RESORT  FACILITY located [in the town of Thompson] in Sullivan county
    5  [at the site of the former Concord  Resort]  with  a  qualified  capital
    6  investment,  and  one  thousand full-time, permanent employees if at any
    7  time after three years of  opening  operations  of  the  licensed  video
    8  gaming  facility  [or  licensed vendor track], the [vendor track] RESORT
    9  FACILITY experiences an employment shortfall, then the recapture  amount
   10  shall apply, for only such period as the shortfall exists.
   11    For  the purposes of this section "qualified capital investment" shall
   12  mean an investment of a  minimum  of  six  hundred  million  dollars  as
   13  reflected  by  audited financial statements of which not less than three
   14  hundred million dollars shall be comprised of  equity  and/or  mezzanine
   15  financing  as  an initial investment in a county where twelve percent of
   16  the population is below the federal poverty level  as  measured  by  the
   17  most  recent  Bureau of Census Statistics prior to the qualified capital
   18  investment commencing that results in the construction,  development  or
   19  improvement  of  at  least  one  eighteen  hole  golf  course,  and  the
   20  construction and issuance of certificates of occupancy for hotels, lodg-
   21  ing, spas, dining, retail and entertainment venues, parking garages  and
   22  other  capital  improvements at or adjacent to the licensed video gaming
   23  facility or licensed vendor track which promote or  encourage  increased
   24  attendance at such facilities.
   25    For  the  purposes  of  this  section, "full-time, permanent employee"
   26  shall mean an employee who has worked at  the  video  gaming  facility[,
   27  vendor  track] or related and adjacent facilities for a minimum of thir-
   28  ty-five hours per week for not less than four consecutive weeks and  who
   29  is  entitled to receive the usual and customary fringe benefits extended
   30  to other employees with comparable rank and  duties;  or  two  part-time
   31  employees  who have worked at the video gaming facility, vendor track or
   32  related and adjacent facilities for a combined  minimum  of  thirty-five
   33  hours  per  week  for  not  less than four consecutive weeks and who are
   34  entitled to receive the usual and customary fringe benefits extended  to
   35  other employees with comparable rank and duties.
   36    For the purpose of this section "employment goal" shall mean one thou-
   37  sand  five  hundred  full-time  permanent employees after three years of
   38  opening operations of the licensed video gaming  facility  [or  licensed
   39  vendor track].
   40    For  the  purpose  of this section "employment shortfall" shall mean a
   41  level of employment that falls below the employment goal,  as  certified
   42  annually  by  vendor's  certified  accountants  and  the chairman of the
   43  empire state development corporation.
   44    For the purposes of this section "recapture  amount"  shall  mean  the
   45  difference  between  the  amount  of  the  vendor's fee paid to a vendor
   46  [track] with a qualified capital investment, and the vendor  fee  other-
   47  wise payable to a vendor [track] pursuant to clause (F) of this subpara-
   48  graph,  that  is  reimbursable  by  the vendor track to the division for
   49  payment into the state treasury, to the credit of the state lottery fund
   50  created by section ninety-two-c of the state  finance  law,  due  to  an
   51  employment  shortfall  pursuant  to  the following schedule only for the
   52  period of the employment shortfall:
   53    (i) one hundred percent of the  recapture  amount  if  the  employment
   54  shortfall  is  greater  than  sixty-six  and  two-thirds  percent of the
   55  employment goal;
       S. 5883                            94                            A. 8101

    1    (ii) seventy-five percent of the recapture amount  if  the  employment
    2  shortfall  is  greater  than  thirty-three  and one-third percent of the
    3  employment goal;
    4    (iii)  forty-nine  and one-half percent of the recapture amount if the
    5  employment shortfall is greater than thirty percent  of  the  employment
    6  goal;
    7    (iv)  twenty-two  percent  of  the  recapture amount if the employment
    8  shortfall is greater than twenty percent of the employment goal;
    9    (v) eleven percent of the recapture amount if the employment shortfall
   10  is greater than ten percent of the employment goal.
   11    (G) notwithstanding clauses (A), (B), (C), (D), (E) and  (F)  of  this
   12  subparagraph,  when no more than one vendor track located in the town of
   13  Thompson in Sullivan county at the site of the former Concord Resort  at
   14  which a qualified capital investment has been made and no fewer than one
   15  thousand  full-time,  permanent  employees  have  been  newly  hired, is
   16  located in Sullivan county and is within sixty  miles  from  any  gaming
   17  facility  in  a  contiguous  state, then for a period of forty years the
   18  vendor's fee shall equal the total revenue wagered at the  vendor  track
   19  after  payout  of  prizes  pursuant  to  this subdivision reduced by the
   20  greater of (i) twenty-five percent of total  revenue  after  payout  for
   21  prizes  for  "video  lottery games" or (ii) for the first eight years of
   22  operation thirty-eight million dollars, and beginning in the ninth  year
   23  of  operation  such  amount shall increase annually by the lesser of the
   24  increase in the consumer price index or two percent, plus seven  percent
   25  of  total  revenue after payout of prizes. In addition, in the event the
   26  vendor fee is calculated pursuant to subclause (i) of this  clause,  the
   27  vendor's  fee shall be further reduced by 11.11 percent of the amount by
   28  which total revenue after payout for prizes exceeds two hundred  fifteen
   29  million  dollars,  but  in  no  event  shall  such reduction exceed five
   30  million dollars.
   31    Provided, however, that in the case of no more than one  vendor  track
   32  located  in  the  town of Thompson in Sullivan county at the site of the
   33  former Concord Resort with a qualified capital investment, and one thou-
   34  sand full-time, permanent employees if at any time after three years  of
   35  opening  operations  of  the  licensed video gaming facility or licensed
   36  vendor track, the vendor track experiences an employment shortfall, then
   37  the recapture amount shall apply, for only such period as the  shortfall
   38  exists.
   39    For  the purposes of this section "qualified capital investment" shall
   40  mean an investment of a  minimum  of  six  hundred  million  dollars  as
   41  reflected  by  audited financial statements of which not less than three
   42  hundred million dollars shall be comprised of  equity  and/or  mezzanine
   43  financing  as  an initial investment in a county where twelve percent of
   44  the population is below the federal poverty level  as  measured  by  the
   45  most  recent  Bureau of Census Statistics prior to the qualified capital
   46  investment commencing that results in the construction,  development  or
   47  improvement  of  at  least  one  eighteen  hole  golf  course,  and  the
   48  construction and issuance of certificates of occupancy for hotels, lodg-
   49  ing, spas, dining, retail and entertainment venues, parking garages  and
   50  other  capital  improvements at or adjacent to the licensed video gaming
   51  facility or licensed vendor track which promote or  encourage  increased
   52  attendance at such facilities.
   53    For  the  purposes  of  this  section, "full-time, permanent employee"
   54  shall mean an employee who has worked  at  the  video  gaming  facility,
   55  vendor  track  or related and adjacent facilities for a minimum of thir-
   56  ty-five hours per week for not less than four consecutive weeks and  who
       S. 5883                            95                            A. 8101

    1  is  entitled to receive the usual and customary fringe benefits extended
    2  to other employees with comparable rank and  duties;  or  two  part-time
    3  employees  who have worked at the video gaming facility, vendor track or
    4  related  and  adjacent  facilities for a combined minimum of thirty-five
    5  hours per week for not less than four  consecutive  weeks  and  who  are
    6  entitled  to receive the usual and customary fringe benefits extended to
    7  other employees with comparable rank and duties.
    8    For the purpose of this section "employment goal" shall mean one thou-
    9  sand five hundred full-time permanent employees  after  three  years  of
   10  opening  operations  of  the  licensed video gaming facility or licensed
   11  vendor track.
   12    For the purpose of this section "employment shortfall"  shall  mean  a
   13  level  of  employment that falls below the employment goal, as certified
   14  annually by vendor's certified  accountants  and  the  chairman  of  the
   15  empire state development corporation.
   16    For  the  purposes  of  this section "recapture amount" shall mean the
   17  difference between the amount of the vendor's fee paid to a vendor track
   18  with a qualified capital investment, and the vendor fee otherwise  paya-
   19  ble  to a vendor track pursuant to clause (F) of this subparagraph, that
   20  is reimbursable by the vendor track to the division for payment into the
   21  state treasury, to the credit of  the  state  lottery  fund  created  by
   22  section  ninety-two-c  of  the  state  finance law, due to an employment
   23  shortfall pursuant to the following schedule only for the period of  the
   24  employment shortfall:
   25    (i)  one  hundred  percent  of  the recapture amount if the employment
   26  shortfall is greater  than  sixty-six  and  two-thirds  percent  of  the
   27  employment goal;
   28    (ii)  seventy-five  percent  of the recapture amount if the employment
   29  shortfall is greater than thirty-three  and  one-third  percent  of  the
   30  employment goal;
   31    (iii)  forty-nine  and one-half percent of the recapture amount if the
   32  employment shortfall is greater than thirty percent  of  the  employment
   33  goal;
   34    (iv)  twenty-two  percent  of  the  recapture amount if the employment
   35  shortfall is greater than twenty percent of the employment goal;
   36    (v) eleven percent of the recapture amount if the employment shortfall
   37  is greater than ten percent of the employment goal.
   38    (G-1) NOTWITHSTANDING CLAUSE (A) AND (B) OF THIS SUBPARAGRAPH, WHEN  A
   39  VIDEO  LOTTERY GAMING FACILITY IS LOCATED IN EITHER THE COUNTY OF NASSAU
   40  OR SUFFOLK AND IS OPERATED BY  A  CORPORATION  ESTABLISHED  PURSUANT  TO
   41  SECTION  FIVE HUNDRED TWO OF THE RACING, PARI-MUTUEL WAGERING AND BREED-
   42  ING LAW AT A RATE OF THIRTY-FIVE PERCENT OF THE TOTAL REVENUE WAGERED AT
   43  THE VENDOR TRACK AFTER PAYOUT FOR PRIZES PURSUANT TO THIS CHAPTER;
   44    (G-2) NOTWITHSTANDING CLAUSE (A) AND (B) OF THIS SUBPARAGRAPH, WHEN  A
   45  VIDEO  LOTTERY GAMING FACILITY IS LOCATED IN THE COUNTY OF NASSAU ESTAB-
   46  LISHED PURSUANT TO A COMPETITIVE PROCESS PURSUANT TO  PARAGRAPH  (5)  OF
   47  SECTION   SIX  THOUSAND  SEVENTEEN-A  OF  THIS  ARTICLE  AT  A  RATE  OF
   48  THIRTY-FIVE PERCENT OF THE TOTAL REVENUE WAGERED  AT  THE  VENDOR  TRACK
   49  AFTER PAYOUT FOR PRIZES PURSUANT TO THIS CHAPTER;
   50    (H)  notwithstanding  clauses  (A), (B), (C), (D), (E), (F) and (G) of
   51  this subparagraph, the track operator of a vendor track shall be  eligi-
   52  ble  for  a  vendor's  capital  award of up to four percent of the total
   53  revenue wagered at the vendor track after payout for prizes pursuant  to
   54  this  chapter,  which  shall  be  used  exclusively  for capital project
   55  investments to improve the facilities of the vendor track which  promote
   56  or  encourage  increased attendance at the video lottery gaming facility
       S. 5883                            96                            A. 8101

    1  including, but not limited to hotels, other lodging  facilities,  enter-
    2  tainment   facilities,  retail  facilities,  dining  facilities,  events
    3  arenas, parking garages and other  improvements  that  enhance  facility
    4  amenities;  provided  that such capital investments shall be approved by
    5  the division, in consultation with the state racing and wagering  board,
    6  and  that  such vendor track demonstrates that such capital expenditures
    7  will increase patronage at such vendor track's facilities  and  increase
    8  the amount of revenue generated to support state education programs. The
    9  annual  amount of such vendor's capital awards that a vendor track shall
   10  be eligible to receive shall be limited  to  two  million  five  hundred
   11  thousand  dollars,  except for Aqueduct racetrack, for which there shall
   12  be no vendor's capital awards. Except for tracks having  less  than  one
   13  thousand one hundred video gaming machines, each track operator shall be
   14  required  to  co-invest  an  amount  of capital expenditure equal to its
   15  cumulative vendor's capital award. For all tracks, except  for  Aqueduct
   16  racetrack,  the  amount  of  any vendor's capital award that is not used
   17  during any one year period may be carried  over  into  subsequent  years
   18  ending  before  April first, two thousand fourteen. Any amount attribut-
   19  able to a capital expenditure approved prior to April first,  two  thou-
   20  sand  fourteen  and  completed  before April first, two thousand sixteen
   21  shall be eligible to receive the vendor's capital award.  In  the  event
   22  that  a  vendor  track's  capital expenditures, approved by the division
   23  prior to April first, two thousand fourteen and completed prior to April
   24  first, two thousand sixteen, exceed the vendor track's cumulative  capi-
   25  tal  award  during the five year period ending April first, two thousand
   26  fourteen, the vendor shall continue to receive the capital  award  after
   27  April  first, two thousand fourteen until such approved capital expendi-
   28  tures are paid to the vendor track subject to  any  required  co-invest-
   29  ment.  In  no  event  shall  any vendor track that receives a vendor fee
   30  pursuant to clause (F) or (G) of this subparagraph  be  eligible  for  a
   31  vendor's  capital  award  under  this  section. Any operator of a vendor
   32  track which has received a vendor's capital award,  choosing  to  divest
   33  the capital improvement toward which the award was applied, prior to the
   34  full depreciation of the capital improvement in accordance with general-
   35  ly  accepted accounting principles, shall reimburse the state in amounts
   36  equal to the total of any such awards. Any capital  award  not  approved
   37  for  a  capital  expenditure at a video lottery gaming facility by April
   38  first, two thousand fourteen shall be deposited into the  state  lottery
   39  fund for education aid; and
   40    (I)  Notwithstanding  any  provision of law to the contrary, free play
   41  allowance credits authorized by the division pursuant to  subdivision  f
   42  of  section  sixteen  hundred  seventeen-a  of this article shall not be
   43  included in the calculation of the total amount wagered on video lottery
   44  games, the total amount wagered after payout of prizes, the vendor  fees
   45  payable  to  the operators of video lottery facilities, vendor's capital
   46  awards, fees payable to the division's video  lottery  gaming  equipment
   47  contractors, or racing support payments.
   48    (iii) less an additional vendor's marketing allowance at a rate of ten
   49  percent  for  the  first  one hundred million dollars annually and eight
   50  percent thereafter of the total revenue  wagered  at  the  vendor  track
   51  after payout for prizes to be used by the vendor track for the marketing
   52  and  promotion  and  associated  costs of its video lottery gaming oper-
   53  ations and pari-mutuel horse racing operations,  as  long  as  any  such
   54  costs associated with pari-mutuel horse racing operations simultaneously
   55  encourage  increased  attendance  at  such vendor's video lottery gaming
   56  facilities, consistent with the customary manner of marketing comparable
       S. 5883                            97                            A. 8101

    1  operations in the industry and subject to the overall supervision of the
    2  division; provided, however,  that  the  additional  vendor's  marketing
    3  allowance shall not exceed eight percent in any year for any operator of
    4  a  racetrack  located  in the county of Westchester or Queens; provided,
    5  however, a vendor track that receives a vendor fee  pursuant  to  clause
    6  (G)  of  subparagraph (ii) of this paragraph shall not receive the addi-
    7  tional vendor's marketing allowance. In establishing the vendor fee, the
    8  division shall ensure the maximum lottery support  for  education  while
    9  also  ensuring  the  effective implementation of section sixteen hundred
   10  seventeen-a  of  this  article  through  the  provision  of   reasonable
   11  reimbursements  and  compensation  to vendor tracks for participation in
   12  such program. Within twenty days after any award of lottery prizes,  the
   13  division  shall  pay into the state treasury, to the credit of the state
   14  lottery fund, the balance of all moneys received from the  sale  of  all
   15  tickets  for  the  lottery  in  which such prizes were awarded remaining
   16  after provision for the payment of prizes as herein provided. Any reven-
   17  ues derived from the sale of advertising on  lottery  tickets  shall  be
   18  deposited in the state lottery fund.
   19    2. As consideration for the operation of a video lottery gaming facil-
   20  ity,  the division, shall cause the investment in the racing industry of
   21  a portion of the vendor fee received pursuant to paragraph one  of  this
   22  subdivision  in  the  manner  set  forth in this subdivision.   With the
   23  exception of Aqueduct  racetrack,  each  such  track  shall  dedicate  a
   24  portion  of  its vendor fees, received pursuant to clause (A), (B), (C),
   25  (D), (E), (F), or (G) of subparagraph (ii)  of  paragraph  one  of  this
   26  subdivision,  solely  for the purpose of enhancing purses at such track,
   27  in an amount equal to eight and  three-quarters  percent  of  the  total
   28  revenue  wagered  at  the  vendor  track  after  pay out for prizes. One
   29  percent of such purse enhancement amount shall be  paid  to  the  gaming
   30  commission  to  be  used exclusively to promote and ensure equine health
   31  and safety in New York. Any  portion  of  such  funding  to  the  gaming
   32  commission  unused  during  a fiscal year shall be returned to the video
   33  lottery gaming operators on a pro rata  basis  in  accordance  with  the
   34  amounts  originally  contributed  by each operator and shall be used for
   35  the purpose of enhancing purses at such track.  In  addition,  with  the
   36  exception  of  Aqueduct  racetrack, one and one-quarter percent of total
   37  revenue wagered at the vendor track after pay out for  prizes,  received
   38  pursuant  to clause (A), (B), (C), (D), (E), (F), or (G) of subparagraph
   39  (ii) of paragraph one of this subdivision, shall be distributed  to  the
   40  appropriate  breeding  fund  for  the manner of racing conducted by such
   41  track.
   42    Provided, further, that nothing in this paragraph shall  prevent  each
   43  track  from  entering  into an agreement, not to exceed five years, with
   44  the organization authorized to represent its  horsemen  to  increase  or
   45  decrease  the portion of its vendor fee dedicated to enhancing purses at
   46  such track during the years of participation by such track, or  to  race
   47  fewer dates than required herein.
   48    3.  Nothing  in  paragraph  two  of  this subdivision shall affect any
   49  agreement in effect on or before the effective date of  this  paragraph,
   50  except  that  the  obligation  to  pay funds to the gaming commission to
   51  promote  and  ensure  equine  health  and  safety  shall  supersede  any
   52  provision to the contrary in any such agreement.
   53    c.  1.  The  specifications  for  video  lottery gaming, including any
   54  joint, multi-jurisdiction, and out-of-state video lottery gaming,  shall
   55  be  designed in such a manner as to pay prizes that average no less than
   56  ninety percent of sales.
       S. 5883                            98                            A. 8101

    1    2. Of the ten percent retained  by  the  division  for  administrative
    2  purposes,  any amounts beyond that which are necessary for the operation
    3  and administration of this pilot  program  shall  be  deposited  in  the
    4  lottery education account.
    5    d.  Notwithstanding  any  law, rule or regulation to the contrary, any
    6  successor to the New York Racing Association, Inc. with respect  to  the
    7  operation  and maintenance of video lottery gaming at Aqueduct racetrack
    8  shall be deemed the successor to the New York Racing  Association,  Inc.
    9  for purposes of being subject to existing contracts and loan agreements,
   10  if  any,  entered into by the New York Racing Association, Inc. directly
   11  related to the construction, operation, management and  distribution  of
   12  revenues of the video lottery gaming facility at Aqueduct racetrack.
   13    e.  The  video  lottery  gaming  operator  selected to operate a video
   14  lottery terminal facility at Aqueduct will be subject to a memorandum of
   15  understanding between the governor, temporary president  of  the  senate
   16  and  the  speaker  of  the assembly. Notwithstanding subparagraph (i) of
   17  paragraph a of subdivision eight of section two hundred  twelve  of  the
   18  racing, pari-mutuel wagering and breeding law, the state, pursuant to an
   19  agreement  with  the  video  lottery  gaming operator to operate a video
   20  lottery terminal facility at Aqueduct, may authorize, as  part  of  such
   21  agreement  or  in  conjunction  with  such  agreement  at the time it is
   22  executed, additional development at the Aqueduct  racing  facility.  The
   23  selection  will be made in consultation with the franchised corporation,
   24  but is not subject to such corporation's approval. The franchised corpo-
   25  ration shall not be eligible to compete to operate or to operate a video
   26  lottery terminal facility at Aqueduct.  The  state  will  use  its  best
   27  efforts  to  ensure that the video lottery terminal facility at Aqueduct
   28  is opened as soon as is practicable and will, if practicable, pursue the
   29  construction of a temporary video lottery terminal facility at  Aqueduct
   30  subject to staying within an agreed budget for such video lottery termi-
   31  nal  facility  and  subject  to  such  temporary  facility not having an
   32  adverse impact on opening of the  permanent  facility  at  Aqueduct.  To
   33  facilitate  the opening of the video lottery gaming facility at Aqueduct
   34  as soon as is practicable, the division of the lottery  may  extend  the
   35  term of any existing contract related to the video lottery system.
   36    f.  As  consideration  for  the  operation of the video lottery gaming
   37  facility at Aqueduct racetrack, the division shall cause the  investment
   38  in the racing industry of the following percentages of the vendor fee to
   39  be deposited or paid, as follows:
   40    1.  Six  and  one-half  percent  of  the total wagered after payout of
   41  prizes for the first year of operation of video lottery gaming at  Aque-
   42  duct  racetrack,  seven  percent  of  the  total wagered after payout of
   43  prizes for the second year of operation, and seven and one-half  percent
   44  of the total wagered after payout of prizes for the third year of opera-
   45  tion  and  thereafter,  for  the purpose of enhancing purses at Aqueduct
   46  racetrack, Belmont Park racetrack and Saratoga race course. One  percent
   47  of  such purse enhancement amount shall be paid to the gaming commission
   48  to be used exclusively to promote and ensure equine health and safety in
   49  New York. Any portion of such funding to the  gaming  commission  unused
   50  during a fiscal year shall be returned on a pro rata basis in accordance
   51  with  the  amounts  originally  contributed  and  shall  be used for the
   52  purpose of enhancing purses at such tracks.
   53    2. One percent of the total wagered after payout  of  prizes  for  the
   54  first  year  of operation of video lottery gaming at Aqueduct racetrack,
   55  one and one-quarter percent of the total wagered after payout of  prizes
   56  for  the  second  year of operation, and one and one-half percent of the
       S. 5883                            99                            A. 8101

    1  total wagered after payout of prizes for the third year of operation and
    2  thereafter, for an appropriate breeding fund for the  manner  of  racing
    3  conducted  at  Aqueduct  racetrack,  Belmont Park racetrack and Saratoga
    4  race course.
    5    3. Four percent of the total revenue wagered after payout of prizes to
    6  be  deposited  into an account of the franchised corporation established
    7  pursuant to section two hundred six of the racing, pari-mutuel  wagering
    8  and  breeding law to be used for capital expenditures in maintaining and
    9  upgrading Aqueduct racetrack, Belmont Park racetrack and  Saratoga  race
   10  course.
   11    4.  Three percent of the total revenue wagered after payout for prizes
   12  to be deposited into an account of  the  franchised  corporation  estab-
   13  lished  pursuant  to  section two hundred six of the racing, pari-mutuel
   14  wagering and breeding law to be used  for  general  thoroughbred  racing
   15  operations  at  Aqueduct  racetrack, Belmont Park racetrack and Saratoga
   16  race course.
   17    5. Paragraphs one, two, three and four of this  subdivision  shall  be
   18  known collectively as the "racing support payments".
   19    (F-2) AS CONSIDERATION FOR OPERATION OF A VIDEO LOTTERY GAMING FACILI-
   20  TY LOCATED IN THE COUNTY OF NASSAU ESTABLISHED PURSUANT TO A COMPETITIVE
   21  PROCESS PURSUANT TO PARAGRAPH (5) OF SECTION SIX THOUSAND SEVENTEEN A OF
   22  THIS ARTICLE, THE DIVISION SHALL CAUSE THE IN THE RACING INDUSTRY OF THE
   23  FOLLOWING  PERCENTAGES  OF  THE  VENDOR  FEE  TO BE DEPOSITED OR PAID AS
   24  FOLLOWS:
   25    (1) TWO AND THREE TENTHS PERCENT OF THE TOTAL WAGERED AFTER PAYOUT  OF
   26  PRIZES  FOR  THE  PURPOSE  OF  ENHANCING  PURSES  AT AQUEDUCT RACETRACK,
   27  BELMONT PARK RACETRACK AND SARATOGA RACE COURSE, PROVIDED, HOWEVER, THAT
   28  ANY AMOUNT THAT IS IN EXCESS OF THE AMOUNT NECESSARY TO  MAINTAIN  PURSE
   29  SUPPORT  FROM  VIDEO  LOTTERY GAMING AT AQUEDUCT RACETRACK, BELMONT PARK
   30  RACETRACK AND SARATOGA RACE COURSE AT THE SAME LEVEL REALIZED IN IN  TWO
   31  THOUSAND  THIRTEEN,  TO  BE ADJUSTED BY THE CONSUMER PRICE INDEX FOR ALL
   32  URBAN CONSUMERS, AS PUBLISHED ANNUALLY BY THE UNITED  STATES  DEPARTMENT
   33  OF  BUREAU  OF  LABOR  STATISTICS,  SHALL  BE INSTEAD BE RETURNED TO THE
   34  COMMISSION.
   35    (2) FIVE TENTHS PERCENT OF THE TOTAL WAGERED AFTER  PAYOUT  OF  PRIZES
   36  FOR  THE  APPROPRIATE BREEDING FUND FOR THE MANNER OF RACING AT AQUEDUCT
   37  RACETRACK, BELMONT PARK RACETRACK AND SARATOGA  RACE  COURSE,  PROVIDED,
   38  HOWEVER,  THAT  ANY  AMOUNT THAT IS IN EXCESS OF THE AMOUNT NECESSARY TO
   39  MAINTAIN PAYMENTS FROM VIDEO LOTTERY GAMING AT AQUEDUCT RACETRACK AT THE
   40  SAME LEVEL REALIZED IN IN TWO THOUSAND THIRTEEN, TO BE ADJUSTED  BY  THE
   41  CONSUMER  PRICE  INDEX FOR ALL URBAN CONSUMERS, AS PUBLISHED ANNUALLY BY
   42  THE UNITED STATES DEPARTMENT OF BUREAU OF  LABOR  STATISTICS,  SHALL  BE
   43  INSTEAD BE RETURNED TO THE COMMISSION.
   44    (3)  ONE  AND  THREE TENTHS PERCENT OF THE TOTAL REVENUE WAGERED AFTER
   45  PAYOUT OF PRIZES TO BE DEPOSITED  INTO  AN  ACCOUNT  OF  THE  FRANCHISED
   46  CORPORATION  ESTABLISHED  PURSUANT  TO  SECTION  TWO  HUNDRED SIX OF THE
   47  RACING, PARI-MUTUEL WAGERING AND BREEDING LAW TO  BE  USED  FOR  CAPITAL
   48  EXPENDITURES  IN  MAINTAINING  AND UPGRADING AQUEDUCT RACETRACK, BELMONT
   49  PARK RACETRACK AND SARATOGA RACE COURSE,  PROVIDED,  HOWEVER,  THAT  ANY
   50  AMOUNT  THAT  IS  IN EXCESS OF THE AMOUNT NECESSARY TO MAINTAIN PAYMENTS
   51  FOR CAPITAL EXPENDITURES FROM VIDEO LOTTERY GAMING AT AQUEDUCT RACETRACK
   52  AT THE SAME LEVEL REALIZED IN IN TWO THOUSAND THIRTEEN, TO  BE  ADJUSTED
   53  BY  THE CONSUMER PRICE INDEX FOR ALL URBAN CONSUMERS, AS PUBLISHED ANNU-
   54  ALLY BY THE UNITED STATES DEPARTMENT  OF  BUREAU  OF  LABOR  STATISTICS,
   55  SHALL BE INSTEAD BE RETURNED TO THE COMMISSION.
       S. 5883                            100                           A. 8101

    1    (4)  NINE TENTHS PERCENT OF THE TOTAL REVENUE WAGERED AFTER PAYOUT FOR
    2  PRIZES TO BE DEPOSITED INTO AN ACCOUNT  OF  THE  FRANCHISED  CORPORATION
    3  ESTABLISHED  PURSUANT TO SECTION TWO HUNDRED SIX OF THE RACING, PARI-MU-
    4  TUEL WAGERING AND BREEDING LAW  TO  BE  USED  FOR  GENERAL  THOROUGHBRED
    5  RACING  OPERATIONS  AT  AQUEDUCT  RACETRACK,  BELMONT PARK RACETRACK AND
    6  SARATOGA RACE COURSE, PROVIDED, HOWEVER, THAT  ANY  AMOUNT  THAT  IS  IN
    7  EXCESS  OF  THE  AMOUNT  NECESSARY  TO  MAINTAIN  PAYMENTS  FOR  GENERAL
    8  THOROUGHBRED RACING OPERATIONS FROM VIDEO  LOTTERY  GAMING  AT  AQUEDUCT
    9  RACETRACK  AT THE SAME LEVEL REALIZED IN IN TWO THOUSAND THIRTEEN, TO BE
   10  ADJUSTED BY THE  CONSUMER  PRICE  INDEX  FOR  ALL  URBAN  CONSUMERS,  AS
   11  PUBLISHED  ANNUALLY  BY  THE UNITED STATES DEPARTMENT OF BUREAU OF LABOR
   12  STATISTICS, SHALL BE INSTEAD BE RETURNED TO THE COMMISSION.
   13    g. In the event the state elects to construct a video lottery terminal
   14  facility at the Aqueduct racetrack, all video lottery terminal  revenues
   15  payable  to  the video lottery gaming operator at the Aqueduct racetrack
   16  remaining after payment of the racing support payments  shall  first  be
   17  used  to  repay the state's advances for (i) confirmation of the chapter
   18  eleven plan of reorganization  and  cash  advances  for  the  franchised
   19  corporation's  operations  following  confirmation of the chapter eleven
   20  plan of reorganization and (ii) the amount  expended  by  the  state  to
   21  construct  such  video  lottery  terminal facility at Aqueduct racetrack
   22  pursuant to an agreement with the state. Subparagraphs (i) and  (ii)  of
   23  this  paragraph  shall  be  defined  as the state advance amount and the
   24  amounts payable to the division of the lottery.
   25    h. In no circumstance shall net proceeds of the lottery, including the
   26  proceeds from video lottery gaming, be used for the payment of  non-lot-
   27  tery expenses of the gaming commission, administrative or otherwise.
   28    S  43.  Section  1001 of the racing, pari-mutuel wagering and breeding
   29  law, as added by chapter 363 of the laws of 1984, subdivisions n, o  and
   30  p  as  added  by  chapter 445 of the laws of 1997, is amended to read as
   31  follows:
   32    S 1001. Definitions. As used in  this  article,  the  following  terms
   33  shall have the following meanings:
   34    a.  "Simulcast" means the telecast of live audio and visual signals of
   35  running, harness or quarter horse races [conducted in the state] for the
   36  purposes of pari-mutuel wagering;
   37    b. "Track" means the grounds or enclosures within  which  horse  races
   38  are conducted by any person, association or corporation lawfully author-
   39  ized  to  conduct such races in accordance with the terms and conditions
   40  of this chapter OR THE LAWS OF ANOTHER JURISDICTION;
   41    c. "Sending track" means any track from which simulcasts originate;
   42    d. "Receiving track" means any track where simulcasts originated  from
   43  another track are displayed;
   44    e.  "Applicant"  means  any  association [or], corporation OR BUSINESS
   45  ENTITY  applying  for  a  simulcast  license  in  accordance  with   the
   46  provisions of this article;
   47    f.  "Operator"  means  any  association  [or], corporation OR BUSINESS
   48  ENTITY operating a simulcast facility in accordance with the  provisions
   49  of this article;
   50    g. "Regional track or tracks" means any or all tracks located within a
   51  region  defined  as  an  off-track  betting  region, except that for the
   52  purposes of section one thousand eight of this article any track located
   53  in New York city, or Nassau, Suffolk and Westchester counties, shall  be
   54  deemed  a  regional  track  for  all regions located in district one, as
   55  defined in this section;
       S. 5883                            101                           A. 8101

    1    h. "[The board]COMMISSION" means the state [racing and wagering board]
    2  GAMING COMMISSION;
    3    i.  "Branch  office" means an establishment maintained and operated by
    4  an off-track betting corporation, where off-track pari-mutuel betting on
    5  horse races may be placed in accordance with the terms and conditions of
    6  this chapter and rules and regulations issued pursuant thereto;
    7    j. "Simulcast facility" means those facilities within the  state  that
    8  are  authorized  pursuant  to  the provisions of this article to display
    9  simulcasts for pari-mutuel wagering purposes;
   10    k. "Off-track betting  region"  means  those  regions  as  defined  in
   11  section five hundred nineteen of this chapter;
   12    l.  "Simulcast  theater"  means  a  simulcast facility which is also a
   13  public entertainment and wagering facility, and which may include any or
   14  all of the following: a large screen television projection  and  display
   15  unit,  a  display  system  for odds, pools, and payout prices, areas for
   16  viewing and seating, a food and beverage facility, and any other conven-
   17  ience currently provided at racetracks and not inconsistent  with  local
   18  zoning ordinances;
   19    m.  "Simulcast  districts"  means  one  or more of the following named
   20  districts comprised of the  counties  within  which  pari-mutuel  racing
   21  events are conducted as follows:
   22      District 1                    New York City, Suffolk, Nassau, and
   23                                      Westchester counties
   24      District 2                    Sullivan county
   25      District 3                    Saratoga county
   26      District 4                    Oneida county
   27      District 5                    Erie, Genesee and Ontario counties
   28    n.  "Initial out-of-state thoroughbred track" means the track commenc-
   29  ing full-card simulcasting to New York prior to any  other  out-of-state
   30  thoroughbred track after 1:00 PM on any calendar day.
   31    o. "Second out-of-state thoroughbred track" means the track (or subse-
   32  quent  track  or  tracks  where  otherwise  authorized  by this article)
   33  conducting full-card simulcasting to New York  after  the  race  program
   34  from  the  initial  out-of-state  thoroughbred  track that has commenced
   35  simulcasting on any calendar day.
   36    p. "Mixed meeting" means a race meeting which  has  a  combination  of
   37  thoroughbred,  quarter horse, Appaloosa, paint, and/or Arabian racing on
   38  the same race program.
   39    Q. "ACCOUNT WAGERING" MEANS A FORM OF PARI-MUTUEL WAGERING IN WHICH  A
   40  PERSON  ESTABLISHES  AN  ACCOUNT  WITH  AN ACCOUNT WAGERING LICENSEE AND
   41  SUBSEQUENTLY COMMUNICATES VIA TELEPHONE OR OTHER ELECTRONIC MEDIA TO THE
   42  ACCOUNT WAGERING LICENSEE WAGERING INSTRUCTIONS CONCERNING THE FUNDS  IN
   43  SUCH  PERSON'S  ACCOUNT  AND  WAGERS TO BE PLACED ON THE ACCOUNT OWNER'S
   44  BEHALF.
   45    R. "ACCOUNT WAGERING LICENSEE" MEANS RACING ASSOCIATIONS,  AND  CORPO-
   46  RATIONS;  FRANCHISED  CORPORATIONS,  OFF-TRACK BETTING CORPORATIONS, AND
   47  COMMISSION APPROVED MULTI-JURISDICTIONAL ACCOUNT WAGERING PROVIDERS THAT
   48  HAVE BEEN AUTHORIZED BY THE COMMISSION TO OFFER ACCOUNT WAGERING.
   49    S. "DORMANT ACCOUNT" MEANS AN ACCOUNT  WAGERING  ACCOUNT  HELD  BY  AN
   50  ACCOUNT  WAGERING  LICENSEE IN WHICH THERE HAS BEEN NO WAGERING ACTIVITY
   51  FOR THREE YEARS.
   52    T. "MULTI-JURISDICTIONAL ACCOUNT WAGERING PROVIDER" MEANS  A  BUSINESS
   53  ENTITY  DOMICILED  IN  A JURISDICTION, OTHER THAN THE STATE OF NEW YORK,
   54  THAT DOES NOT OPERATE EITHER A SIMULCAST FACILITY THAT IS  OPEN  TO  THE
   55  PUBLIC  WITHIN  THE  STATE OF NEW YORK OR A LICENSED OR FRANCHISED RACE-
   56  TRACK WITHIN THE STATE, BUT WHICH IS LICENSED BY SUCH OTHER JURISDICTION
       S. 5883                            102                           A. 8101

    1  TO OFFER PARI-MUTUEL ACCOUNT WAGERING ON RACES SUCH PROVIDER  SIMULCASTS
    2  AND  OTHER RACES IT OFFERS IN ITS WAGERING MENU TO PERSONS LOCATED IN OR
    3  OUT OF THE JURISDICTION ISSUING SUCH LICENSE.
    4    S  44.  Section  1002 of the racing, pari-mutuel wagering and breeding
    5  law, as added by chapter 363 of the  laws  of  1984,  subdivision  2  as
    6  amended  by  chapter  18  of  the  laws  of  2008, is amended to read as
    7  follows:
    8    S 1002. General jurisdiction. 1. The [state racing and wagering board]
    9  COMMISSION shall have general  jurisdiction  over  the  simulcasting  of
   10  horse  races  AND  ACCOUNT  WAGERING  within  the state, and the [board]
   11  COMMISSION may issue  rules  and  regulations  in  accordance  with  the
   12  provisions of this article.
   13    2.  The  [board] COMMISSION shall annually submit reports on or before
   14  July first following each year in which simulcasting AND ACCOUNT  WAGER-
   15  ING  is  conducted  to  the  director of the budget, the chairman of the
   16  senate finance committee and the chairman of the assembly ways and means
   17  committee evaluating the results of such simulcasts AND ACCOUNT WAGERING
   18  on the compatibility with the well-being of the horse  racing,  breeding
   19  and pari-mutuel wagering industries in this state and make any recommen-
   20  dations  it  deems  appropriate.  Such reports may be submitted together
   21  with the reports required by subdivision  two  of  section  two  hundred
   22  thirty-six and subparagraph (iii) of paragraph a and subparagraph (i) of
   23  paragraph b of subdivision one of section three hundred eighteen of this
   24  chapter.
   25    S  45.  Section  1003 of the racing, pari-mutuel wagering and breeding
   26  law, as added by chapter 363 of the laws of 1984, subdivision 1 as sepa-
   27  rately amended by chapters 2 and 70 of the laws of 1995,  paragraph  (a)
   28  of  subdivision 1 as amended by section 1 of part U of chapter 59 of the
   29  laws of 2013, the opening paragraph of paragraph a of subdivision  2  as
   30  amended  by chapter 538 of the laws of 1999 and subdivision 5 as amended
   31  by chapter 287 of the laws of 1985, is amended to read as follows:
   32    S 1003. Licenses for simulcast facilities. 1. (a) Any  racing  associ-
   33  ation  or corporation or regional off-track betting corporation, author-
   34  ized to conduct pari-mutuel wagering under  this  chapter,  desiring  to
   35  display  the simulcast of horse races on which pari-mutuel betting shall
   36  be permitted in the manner and subject to the conditions provided for in
   37  this article may apply to the [board] COMMISSION for a license so to do.
   38  Applications for licenses shall be in such form as may be prescribed  by
   39  the [board] COMMISSION and shall contain such information or other mate-
   40  rial or evidence as the [board] COMMISSION may require. No license shall
   41  be  issued  by  the  [board] COMMISSION authorizing the simulcast trans-
   42  mission of thoroughbred races from a track located  in  Suffolk  county.
   43  The  fee  for  such licenses shall be five hundred dollars per simulcast
   44  facility AND FOR ACCOUNT WAGERING LICENSEES THAT DO NOT OPERATE EITHER A
   45  SIMULCAST FACILITY THAT IS OPEN TO THE PUBLIC WITHIN THE  STATE  OF  NEW
   46  YORK  OR  A LICENSED RACETRACK WITHIN THE STATE, TWENTY THOUSAND DOLLARS
   47  per year payable by the licensee to the [board] COMMISSION  for  deposit
   48  into  the general fund. Except as provided [herein] IN THIS SECTION, the
   49  [board] COMMISSION shall not approve any application to  conduct  simul-
   50  casting  into  individual  or group residences, homes or other areas for
   51  the purposes of or in connection with pari-mutuel  wagering.  The  board
   52  may  approve  simulcasting  into  residences, homes or other areas to be
   53  conducted jointly by one or more regional off-track betting corporations
   54  and one or more of the following: a franchised corporation, thoroughbred
   55  racing corporation or  a  harness  racing  corporation  or  association;
   56  provided  (i)  the  simulcasting  consists  only of those races on which
       S. 5883                            103                           A. 8101

    1  pari-mutuel betting is authorized by this chapter at one or more  simul-
    2  cast  facilities  for  each  of the contracting off-track betting corpo-
    3  rations which shall include wagers made in accordance with  section  one
    4  thousand  fifteen,  one  thousand  sixteen and one thousand seventeen of
    5  this article; provided further that the  contract  provisions  or  other
    6  simulcast  arrangements  for  such  simulcast  facility shall be no less
    7  favorable than those in effect on January first, two thousand five; (ii)
    8  that each off-track betting corporation  having  within  its  geographic
    9  boundaries  such residences, homes or other areas technically capable of
   10  receiving the simulcast signal shall be a contracting party;  (iii)  the
   11  distribution  of  revenues  shall be subject to contractual agreement of
   12  the parties except that statutory payments to  non-contracting  parties,
   13  if  any,  may  not be reduced; provided, however, that nothing herein to
   14  the contrary shall prevent a track  from  televising  its  races  on  an
   15  irregular basis primarily for promotional or marketing purposes as found
   16  by  the board. For purposes of this paragraph, the provisions of section
   17  one thousand thirteen of this article shall  not  apply.  Any  agreement
   18  authorizing  an  in-home simulcasting experiment commencing prior to May
   19  fifteenth, nineteen hundred ninety-five, may,  and  all  its  terms,  be
   20  extended until June thirtieth, two thousand fourteen; provided, however,
   21  that  any  party to such agreement may elect to terminate such agreement
   22  upon conveying written notice to all other parties of such agreement  at
   23  least  forty-five  days  prior to the effective date of the termination,
   24  via registered mail. Any party to an agreement receiving such notice  of
   25  an  intent  to  terminate,  may request the board to mediate between the
   26  parties new terms and conditions in a replacement agreement between  the
   27  parties  as will permit continuation of an in-home experiment until June
   28  thirtieth, two thousand fourteen; and (iv) no  in-home  simulcasting  in
   29  the  thoroughbred  special  betting  district  shall  occur  without the
   30  approval of the regional thoroughbred track.
   31    (b) Any agreement authorizing in-home simulcasting  pursuant  to  this
   32  section  shall  be in writing, and upon written request, a copy shall be
   33  provided to the representative horsemen's group of  the  racing  associ-
   34  ation  or  corporation  that  is party to said agreement. Such agreement
   35  shall include a categorical statement of new  and  incremental  expenses
   36  directly  related  and attributable to the conduct of in-home simulcast-
   37  ing. The representative horsemen's group  may,  within  thirty  days  of
   38  receiving  the  agreement,  petition the board for a determination as to
   39  the appropriateness and reasonableness of  any  expenses  attributed  by
   40  either  the  racing  association or corporation or the off-track betting
   41  corporation.
   42    2. Before it may grant such  license,  the  [board]  COMMISSION  shall
   43  review  and  approve  a  plan  of  operation submitted by such applicant
   44  including, but not limited to the following information:
   45    a. A feasibility study denoting the revenue earnings expected from the
   46  simulcast facility and the costs expected to operate such  facility.  No
   47  feasibility  study  shall  be  received for a simulcast facility that is
   48  applying to renew its license.  The form of the feasibility study  shall
   49  be prescribed by the [board] COMMISSION and may include:
   50    (i) the number of simulcast races to be displayed;
   51    (ii) the types of wagering to be offered;
   52    (iii)  the  level  of attendance expected and the area from which such
   53  attendance will be drawn;
   54    (iv) the level of anticipated wagering activity;
   55    (v) the source and amount of revenues expected from other  than  pari-
   56  mutuel wagering;
       S. 5883                            104                           A. 8101

    1    (vi)  the cost of operating the simulcast facility and the identifica-
    2  tion of costs to be amortized and the method  of  amortization  of  such
    3  costs;
    4    (vii)  the  amount  and  source  of  revenues needed for financing the
    5  simulcast facility;
    6    (viii) the probable impact of the proposed operation  on  revenues  to
    7  local government;
    8    b.  The  security  measures to be employed to protect the facility, to
    9  control crowds, to safeguard the transmission of the  simulcast  signals
   10  and  to  control  the transmission of wagering data to effectuate common
   11  wagering pools;
   12    c. The type of data processing, communication and transmission  equip-
   13  ment to be utilized;
   14    d. The description of the management groups responsible for the opera-
   15  tion of the simulcast facility;
   16    e.  The  system  of accounts to maintain a separate record of revenues
   17  collected by the simulcast facility, the distribution of  such  revenues
   18  and the accounting of costs relative to the simulcast operation;
   19    f. The location of the facility and a written confirmation from appro-
   20  priate local officials that the location of such facility and the number
   21  of  patrons  expected to occupy such facility are in compliance with all
   22  applicable local ordinances;
   23    g. The written agreements and letters  of  consent  between  specified
   24  parties  pursuant to sections one thousand seven, one thousand eight and
   25  one thousand nine of this article.
   26    3. Within forty-five days of receipt of the plan of operation provided
   27  in subdivision two of this section, the [board] COMMISSION  shall  issue
   28  an  order approving the plan, approving it with modifications or denying
   29  approval, in which latter case the [board] COMMISSION  shall  state  its
   30  reasons  therefor. Within such period the [board] COMMISSION may request
   31  additional information or suggest amendments. If the [board]  COMMISSION
   32  fails to approve the plan, the applicant may request a public hearing to
   33  be  held  within thirty days of the issuance of an order denying it. The
   34  [board] COMMISSION shall issue its final determination within  ten  days
   35  of  such  hearing.  The  applicant  may submit an amended application no
   36  sooner than thirty days after a denial.
   37    4. No racing association, FRANCHISED  CORPORATION  or  corporation  or
   38  regional  off-track  betting  corporation  shall be allowed to operate a
   39  simulcast facility except according to the  provisions  of  an  approved
   40  plan  of  operation. No change in such plan of operation may occur until
   41  an amendment proposing a change to the plan is approved by  the  [board]
   42  COMMISSION.  A plan of operation may be amended from time to time at the
   43  request of either the operator or the [board] COMMISSION.  The  operator
   44  shall  have  the  right to be heard concerning any amendment to the plan
   45  and the [board] COMMISSION shall dispose of such proposed amendments  as
   46  expeditiously  as  practicable,  but no later than thirty days following
   47  submission by the operator or, in the case of amendments proposed by the
   48  [board] COMMISSION, objection by the operator.
   49    5. For the purpose  of  maintaining  proper  control  over  simulcasts
   50  conducted  pursuant  to  this  article,  the  [state racing and wagering
   51  board] COMMISSION shall license any person, association  or  corporation
   52  participating  in  simulcasting,  as  the [board] COMMISSION may by rule
   53  prescribe, including, if the [board] COMMISSION deem it necessary so  to
   54  do,  any  or  all  persons,  associations  or  corporations  who create,
   55  distribute, transmit or  display  simulcast  signals.  In  the  case  of
   56  thoroughbred  racing  simulcasting  or harness racing simulcasting, such
       S. 5883                            105                           A. 8101

    1  licenses  shall  be  issued  in  accordance  with  and  subject  to  the
    2  provisions  governing licenses for participants and employees in article
    3  two or article three of this chapter as may be applicable to  such  type
    4  of racing.
    5    S  46.  Section  1012 of the racing, pari-mutuel wagering and breeding
    6  law, as amended by chapter 18 of the laws of 2008,  subdivision  4-b  as
    7  added by chapter 402 of the laws of 2011 and subdivision 5 as amended by
    8  section  10  of  part U of chapter 59 of the laws of 2013, is amended to
    9  read as follows:
   10    S 1012. [Telephone accounts  and  telephone]  ACCOUNT  wagering.  [Any
   11  regional  off-track betting corporation, and any franchised corporation,
   12  harness, thoroughbred, quarter horse racing association  or  corporation
   13  licensed  to  conduct  pari-mutuel racing may maintain telephone betting
   14  accounts for wagers placed on races and special events offered  by  such
   15  corporation or association.] RACING ASSOCIATIONS AND CORPORATIONS, FRAN-
   16  CHISED  CORPORATIONS, OFF-TRACK BETTING CORPORATIONS AND MULTI-JURISDIC-
   17  TIONAL ACCOUNT WAGERING PROVIDERS MAY APPLY  TO  THE  COMMISSION  TO  BE
   18  LICENSED TO OFFER ACCOUNT WAGERING.
   19    1.  RACING  ASSOCIATIONS  AND  CORPORATIONS,  FRANCHISED CORPORATIONS,
   20  OFF-TRACK BETTING CORPORATIONS AND MULTI-JURISDICTIONAL ACCOUNT WAGERING
   21  PROVIDERS MAY FORM PARTNERSHIPS, JOINT VENTURES,  OR  ANY  OTHER  AFFIL-
   22  IATIONS  OR  CONTRACTUAL ARRANGEMENT IN ORDER TO FURTHER THE PURPOSES OF
   23  THIS SECTION.  MULTI-JURISDICTIONAL ACCOUNT WAGERING PROVIDERS  INVOLVED
   24  IN  SUCH JOINT AFFILIATIONS OR CONTRACTUAL ARRANGEMENTS SHALL FOLLOW THE
   25  SAME DISTRIBUTIONAL POLICY WITH RESPECT TO RETAINED COMMISSIONS AS THEIR
   26  IN-STATE AFFILIATE OR CONTRACTUAL PARTNER.
   27    2. THE COMMISSION SHALL PROMULGATE RULES AND  REGULATIONS  TO  LICENSE
   28  AND REGULATE ALL PHASES OF ACCOUNT WAGERING.
   29    3. THE COMMISSION SHALL SPECIFY A NON-REFUNDABLE APPLICATION FEE WHICH
   30  SHALL  BE  PAID  BY  EACH  APPLICANT  FOR AN ACCOUNT WAGERING LICENSE OR
   31  RENEWAL THEREOF.
   32    4. ACCOUNT WAGERING LICENSEES SHALL  UTILIZE  PERSONAL  IDENTIFICATION
   33  NUMBERS  AND  SUCH  OTHER  TECHNOLOGIES AS THE COMMISSION MAY SPECIFY TO
   34  ASSURE THAT ONLY THE ACCOUNT HOLDER HAS ACCESS TO  THE  ADVANCE  DEPOSIT
   35  WAGERING ACCOUNT.
   36    5.  ACCOUNT  WAGERING LICENSEES SHALL PROVIDE FOR: A. WITHDRAWALS FROM
   37  THE WAGERING ACCOUNT ONLY BY MEANS  OF  A  CHECK  MADE  PAYABLE  TO  THE
   38  ACCOUNT HOLDER AND SENT TO THE ADDRESS OF THE ACCOUNT HOLDER OR BY MEANS
   39  OF  AN  ELECTRONIC  TRANSFER  TO AN ACCOUNT HELD BY THE VERIFIED ACCOUNT
   40  HOLDER OR B. THAT THE ACCOUNT HOLDER MAY WITHDRAW FUNDS FROM THE  WAGER-
   41  ING ACCOUNT AT A FACILITY APPROVED BY THE COMMISSION BY PRESENTING VERI-
   42  FIABLE PERSONAL AND ACCOUNT IDENTIFICATION INFORMATION.
   43    6. ACCOUNT WAGERING LICENSEES MAY ENGAGE IN INTERSTATE WAGERING TRANS-
   44  ACTIONS ONLY WHERE THERE IS COMPLIANCE WITH CHAPTER FIFTY-SEVEN OF TITLE
   45  FIFTEEN  OF  THE UNITED STATES CODE, COMMONLY REFERRED TO AS THE "INTER-
   46  STATE HORSE RACING ACT".
   47    7. THE ACCOUNT HOLDER'S DEPOSITS TO  THE  WAGERING  ACCOUNT  SHALL  BE
   48  SUBMITTED  BY  THE  ACCOUNT  HOLDER TO THE ACCOUNT WAGERING LICENSEE AND
   49  SHALL BE IN THE FORM OF ONE OF THE  FOLLOWING:  A.  CASH  GIVEN  TO  THE
   50  ACCOUNT  WAGERING  LICENSEE;  B. CHECK, MONEY ORDER, NEGOTIABLE ORDER OF
   51  WITHDRAWAL, OR WIRE OR ELECTRONIC TRANSFER, PAYABLE AND REMITTED TO  THE
   52  ACCOUNT  WAGERING  LICENSEE;  OR  C. CHARGES MADE TO AN ACCOUNT HOLDER'S
   53  DEBIT OR CREDIT CARD UPON  THE  ACCOUNT  HOLDER'S  DIRECT  AND  PERSONAL
   54  INSTRUCTION,  WHICH  INSTRUCTION MAY BE GIVEN BY TELEPHONE COMMUNICATION
   55  OR OTHER ELECTRONIC MEANS TO THE ACCOUNT WAGERING LICENSEE OR ITS  AGENT
       S. 5883                            106                           A. 8101

    1  BY  THE  ACCOUNT  HOLDER IF THE USE OF THE CARD HAS BEEN APPROVED BY THE
    2  ACCOUNT WAGERING LICENSEE.
    3    8.  A.  EACH  WAGER SHALL BE IN THE NAME OF A NATURAL PERSON AND SHALL
    4  NOT BE IN THE NAME OF ANY BENEFICIARY, CUSTODIAN,  JOINT  TRUST,  CORPO-
    5  RATION, PARTNERSHIP OR OTHER ORGANIZATION OR ENTITY.
    6    B.  A  WAGERING  ACCOUNT  MAY BE ESTABLISHED BY A PERSON COMPLETING AN
    7  APPLICATION FORM APPROVED BY THE COMMISSION AND SUBMITTING  IT  TOGETHER
    8  WITH  A  CERTIFICATION,  OR OTHER PROOF, OF AGE AND RESIDENCY. SUCH FORM
    9  SHALL INCLUDE THE ADDRESS OF THE PRINCIPAL RESIDENCE OF THE  PROSPECTIVE
   10  ACCOUNT  HOLDER AND A STATEMENT THAT A FALSE STATEMENT MADE IN REGARD TO
   11  AN APPLICATION MAY SUBJECT THE APPLICANT TO PROSECUTION.
   12    C. THE PROSPECTIVE ACCOUNT HOLDER SHALL SUBMIT THE COMPLETED  APPLICA-
   13  TION TO THE ACCOUNT WAGERING LICENSEE. THE ACCOUNT WAGERING LICENSEE MAY
   14  ACCEPT OR REJECT AN APPLICATION AFTER RECEIPT AND REVIEW OF THE APPLICA-
   15  TION AND CERTIFICATION, OR OTHER PROOF, OF AGE AND RESIDENCY FOR COMPLI-
   16  ANCE WITH THIS SECTION.
   17    D.  NO  PERSON OTHER THAN THE PERSON IN WHOSE NAME AN ACCOUNT HAS BEEN
   18  ESTABLISHED MAY ISSUE WAGERING INSTRUCTIONS RELATING TO THAT ACCOUNT  OR
   19  OTHERWISE ENGAGE IN WAGERING TRANSACTIONS RELATING TO THAT ACCOUNT.
   20    9.  A WAGERING ACCOUNT SHALL NOT BE ASSIGNABLE OR OTHERWISE TRANSFERA-
   21  BLE.
   22    10. EXCEPT AS OTHERWISE PROVIDED IN THIS  ARTICLE  OR  IN  REGULATIONS
   23  WHICH  THE  COMMISSION  MAY  ADOPT  PURSUANT THERETO, ALL ACCOUNT WAGERS
   24  SHALL BE FINAL AND NO WAGER SHALL BE CANCELED BY THE ACCOUNT  HOLDER  AT
   25  ANY  TIME  AFTER  THE  WAGER  HAS  BEEN ACCEPTED BY THE ACCOUNT WAGERING
   26  LICENSEE.
   27    11. DORMANT ACCOUNTS SHALL BE TREATED AS ABANDONED  PROPERTY  PURSUANT
   28  TO SECTION THREE HUNDRED OF THE ABANDONED PROPERTY LAW.
   29    12.    ACCOUNT WAGERING PROVIDERS MUST POSSESS APPROPRIATE TOTALIZATOR
   30  AND ACCOUNTING CONTROLS THAT WILL SAFEGUARD THE TRANSMISSION OF WAGERING
   31  DATA AND WILL KEEP A SYSTEM OF ACCOUNTS WHICH WILL MAINTAIN  A  SEPARATE
   32  RECORD  OF REVENUES AND AN ACCOUNTING OF COSTS RELATIVE TO THE OPERATION
   33  OF THE WAGERING PROVIDER.
   34    13. WAGERS PLACED WITH THE ACCOUNT WAGERING PROVIDERS SHALL RESULT  IN
   35  THE  COMBINATION OF ALL WAGERS PLACED WITH SUCH PROVIDER WITH THE WAGER-
   36  ING POOLS AT THE HOST TRACK SO AS TO PRODUCE COMMON PARI-MUTUEL  BETTING
   37  POOLS  FOR THE CALCULATION OF ODDS AND THE DETERMINATION OF PAYOUTS FROM
   38  SUCH POOLS, WHICH PAYOUT SHALL BE THE  SAME  FOR  ALL  WINNING  TICKETS,
   39  IRRESPECTIVE  OF  WHETHER  A  WAGER  IS  PLACED AT A HOST TRACK OR AT AN
   40  ACCOUNT WAGERING PROVIDER.
   41    14. Any [regional off-track betting  corporation  and  any  franchised
   42  corporation,  harness, thoroughbred, quarter horse racing association or
   43  corporation licensed to conduct  pari-mutuel  racing]  ACCOUNT  WAGERING
   44  LICENSEE may require a minimum account balance in an amount to be deter-
   45  mined by such entity.
   46    [2.]  15.  a.  Any  regional off-track betting corporation may suspend
   47  collection of the surcharge imposed under section five  hundred  thirty-
   48  two  of  this  chapter  on winning wagers placed in [telephone] WAGERING
   49  accounts maintained by such regional corporation.
   50    b. In a city of one million or more  any  regional  off-track  betting
   51  corporation,  with  the  approval of the mayor of such city, may suspend
   52  collection of the surcharge imposed under section five  hundred  thirty-
   53  two  of  this  chapter  in winning wagers placed in [telephone] WAGERING
   54  accounts maintained by such regional corporation.
   55    [3.  Any telephone account maintained by a regional off-track  betting
   56  corporation,  franchised  corporation,  harness,  thoroughbred,  quarter
       S. 5883                            107                           A. 8101

    1  horse association or corporation, with inactivity for a period of  three
    2  years  shall  be  forfeited and paid to the commissioner of taxation and
    3  finance. Such amounts when collected shall be paid by  the  commissioner
    4  of taxation and finance into the general fund of the state treasury.
    5    4.]  16.  The  maintenance  and operation of such [telephone] WAGERING
    6  accounts provided for in this section shall  be  subject  to  rules  and
    7  regulations  of  the  [state racing and wagering board] COMMISSION.  The
    8  [board] COMMISSION shall include in such regulation a  requirement  that
    9  [telephone]  WAGERING  account  information  pertaining to surcharge and
   10  nonsurcharge [telephone] WAGERING accounts shall be separately reported.
   11    [4-a.] 17. For the purposes  of  this  section,  "telephone  [betting]
   12  WAGERING accounts" [and "telephone wagering"] shall mean and include all
   13  those  wagers which utilize any wired or wireless communications device,
   14  including but not limited to wireline telephones, wireless telephones[,]
   15  and the internet[,] to transmit the placement of  wagers  on  races  and
   16  special  events  offered  by any regional off-track betting corporation,
   17  and any harness,  thoroughbred,  quarter  horse  racing  association  or
   18  corporation licensed or franchised to conduct pari-mutuel racing in [New
   19  York] THIS state.
   20    [4-b.]  18.  Every  racing association, off-track betting corporation,
   21  franchised corporation,  harness,  thoroughbred,  quarter  horse  racing
   22  association  or  corporation  or  other entity licensed OR FRANCHISED in
   23  this state to conduct pari-mutuel racing and wagering, or authorized  to
   24  conduct  races  within the state, which operates [an account] A wagering
   25  [platform] ACCOUNT for the acceptance of wagers, shall locate  the  call
   26  center where such wagers are received within the state of New York.
   27    [5.  The  provisions of this section shall expire and be of no further
   28  force and effect after June thirtieth, two thousand fourteen.]
   29    S 47. The racing, pari-mutuel wagering and breeding law is amended  by
   30  adding a new section 1012-a to read as follows:
   31    S   1012-A.   MULTI-JURISDICTIONAL  ACCOUNT  WAGERING  PROVIDERS.    A
   32  MULTI-JURISDICTIONAL ACCOUNT WAGERING PROVIDER SHALL  ONLY  BE  LICENSED
   33  UNDER THE FOLLOWING CONDITIONS:
   34    1.  THE  MULTI-JURISDICTIONAL ACCOUNT WAGERING PROVIDER IS LICENSED BY
   35  THE STATE IN WHICH IT IS LOCATED AND, IF  REQUIRED,  BY  EACH  STATE  IN
   36  WHICH IT OPERATES;
   37    2.  THE  CHARACTER  AND  THE  BACKGROUND  OF  THE MULTI-JURISDICTIONAL
   38  ACCOUNT WAGERING PROVIDER IS SUCH THAT GRANTING THE APPLICATIONS  FOR  A
   39  LICENSE  IS IN THE PUBLIC INTEREST AND THE BEST INTEREST OF HONEST HORSE
   40  RACING;
   41    3. THE MULTI-JURISDICTIONAL ACCOUNT WAGERING  PROVIDER  SHALL  UTILIZE
   42  THE  SERVICES  OF  AN  INDEPENDENT  THIRD  PARTY TO PERFORM IDENTITY AND
   43  VERIFICATION SERVICES WITH RESPECT  TO  THE  ESTABLISHMENT  OF  WAGERING
   44  ACCOUNTS FOR PERSONS WHO ARE RESIDENTS OF THE STATE OF NEW YORK;
   45    4.  THE  COMMISSION  SHALL  BE  ALLOWED  ACCESS TO THE PREMISES OF THE
   46  MULTI-JURISDICTIONAL ACCOUNT WAGERING  PROVIDER  TO  VISIT,  INVESTIGATE
   47  AND,  PLACE SUCH EXPERT ACCOUNTANTS AND OTHER PERSONS IT DEEMS NECESSARY
   48  FOR THE PURPOSE OF INSURING COMPLIANCE WITH THE RULES AND REGULATIONS OF
   49  THE COMMISSION;
   50    5. IF NOT ALREADY REGISTERED, THE MULTI-JURISDICTIONAL ACCOUNT  WAGER-
   51  ING PROVIDER SHALL AGREE PROMPTLY TO TAKE THOSE STEPS NECESSARY TO QUAL-
   52  IFY  TO  DO  BUSINESS  IN NEW YORK STATE, AND TO MAINTAIN SUCH STATUS IN
   53  GOOD STANDING THROUGHOUT THE LICENSE PERIOD;
   54    6. MULTI-JURISDICTIONAL ACCOUNT WAGERING PROVIDERS SHALL PAY A  MARKET
   55  ORIGIN FEE EQUAL TO FIVE PER CENTUM ON EACH WAGER ACCEPTED FROM NEW YORK
   56  RESIDENTS.    MULTI-JURISDICTIONAL ACCOUNT WAGERING PROVIDERS SHALL MAKE
       S. 5883                            108                           A. 8101

    1  THE REQUIRED PAYMENTS TO THE MARKET ORIGIN  ACCOUNT  ON  OR  BEFORE  THE
    2  FIFTH  BUSINESS DAY OF EACH MONTH AND SUCH REQUIRED PAYMENTS SHALL COVER
    3  PAYMENTS DUE FOR THE PERIOD OF THE PRECEDING CALENDAR  MONTH;  PROVIDED,
    4  HOWEVER, THAT SUCH PAYMENTS REQUIRED TO BE MADE ON APRIL FIFTEENTH SHALL
    5  BE  ACCOMPANIED  BY  A  REPORT UNDER OATH, SHOWING THE TOTAL OF ALL SUCH
    6  PAYMENTS, TOGETHER WITH SUCH OTHER INFORMATION  AS  THE  COMMISSION  MAY
    7  REQUIRE.  A  PENALTY  OF FIVE PER CENTUM AND INTEREST AT THE RATE OF ONE
    8  PER CENTUM PER MONTH FROM THE DATE THE REPORT IS REQUIRED TO BE FILED TO
    9  THE DATE THE PAYMENT SHALL BE PAYABLE IN CASE ANY PAYMENTS  REQUIRED  BY
   10  THIS  SUBDIVISION  ARE  PAID WHEN DUE. IF THE COMMISSION DETERMINES THAT
   11  ANY MONEYS RECEIVED UNDER THIS  SUBDIVISION  WERE  PAID  IN  ERROR,  THE
   12  COMMISSION MAY CAUSE THE SAME TO BE REFUNDED WITHOUT INTEREST OUT OF ANY
   13  MONEYS  COLLECTED  THEREUNDER, PROVIDED AN APPLICATION THEREFOR IS FILED
   14  WITH THE COMMISSION WITHIN ONE YEAR FROM THE TIME THE ERRONEOUS  PAYMENT
   15  WAS  MADE.  THE COMMISSION SHALL PAY INTO THE RACING REGULATION ACCOUNT,
   16  UNDER THE JOINT CUSTODY OF THE COMPTROLLER AND THE COMMISSION, THE TOTAL
   17  AMOUNT OF THE FEE COLLECTED PURSUANT TO THIS SECTION.
   18    S 48. Subdivision 2 of section 1017 of the racing, pari-mutuel  wager-
   19  ing  and  breeding law, as amended by chapter 18 of the laws of 2008, is
   20  amended to read as follows:
   21    2. a. Maintenance of effort. Any off-track betting  corporation  which
   22  engages in accepting wagers on the simulcasts of thoroughbred races from
   23  out-of-state  or  out-of-country  as  permitted under subdivision one of
   24  this section shall submit to the [board] COMMISSION, for its approval, a
   25  schedule of payments to be made in any year  or  portion  thereof,  that
   26  such  off-track corporation engages in nighttime thoroughbred simulcast-
   27  ing. In order to be approved by  the  [board]  COMMISSION,  the  payment
   28  schedule  shall be identical to the actual payments and distributions of
   29  such payments to tracks and purses made by  such  off-track  corporation
   30  pursuant to the provisions of section one thousand fifteen of this arti-
   31  cle  during  the  year  two  thousand  two, as derived from out-of-state
   32  harness races displayed after 6:00  P.M.  If  approved  by  the  [board]
   33  COMMISSION,  such scheduled payments shall be made from revenues derived
   34  from any simulcasting conducted pursuant to this section and section one
   35  thousand fifteen of this article.
   36    b. Additional payments. During each calendar year, to the extent,  and
   37  at  such  time  in  the  event, that aggregate statewide wagering handle
   38  after 7Labor P.M. on out-of-state and out-of-country thoroughbred  races
   39  exceeds  one hundred million dollars, each off-track betting corporation
   40  conducting such simulcasting shall pay to its regional harness track  or
   41  tracks,  an  amount  equal  to two percent of its proportionate share of
   42  such excess handle. In any region where there are two or  more  regional
   43  harness  tracks,  such two percent shall be divided between or among the
   44  tracks in a proportion equal to the proportion of handle on live harness
   45  races conducted at such tracks during the preceding calendar year. Fifty
   46  percent of the sum received by each track  pursuant  to  this  paragraph
   47  shall  be  used  exclusively for increasing purses, stakes and prizes at
   48  that regional harness track.   FOR THE PURPOSE  OF  DETERMINING  WHETHER
   49  SUCH AGGREGATE STATEWIDE HANDLE EXCEEDS ONE HUNDRED MILLION DOLLARS, ALL
   50  WAGERING ON SUCH THOROUGHBRED RACES ACCEPTED BY LICENSED MULTI-JURISDIC-
   51  TIONAL  ACCOUNT  WAGERING PROVIDERS FROM CUSTOMERS WITHIN NEW YORK STATE
   52  SHALL BE EXCLUDED.
   53    S 49. Section 503 of the racing, pari-mutuel wagering and breeding law
   54  is amended by adding a new subdivision 12-a to read as follows:
   55    12-A. TO ENTER INTO, AMEND, CANCEL AND TERMINATE  AGREEMENTS  FOR  THE
   56  PERFORMANCE  AMONG  THEMSELVES,  LICENSED RACING ASSOCIATIONS AND CORPO-
       S. 5883                            109                           A. 8101

    1  RATIONS, AND MULTI-JURISDICTIONAL ACCOUNT WAGERING PROVIDERS, AS DEFINED
    2  IN SECTION ONE THOUSAND ONE OF THIS CHAPTER, OF THEIR  RESPECTIVE  FUNC-
    3  TIONS, POWERS AND DUTIES ON A COOPERATIVE OR CONTRACT BASIS.
    4    S  50. The racing, pari-mutuel wagering and breeding law is amended by
    5  adding a new section 115-b to read as follows:
    6    S 115-B. MARKET ORIGIN CREDITS. 1. NOTWITHSTANDING ANY OTHER PROVISION
    7  OF LAW TO THE CONTRARY, ANY RACING ASSOCIATIONS AND CORPORATIONS,  FRAN-
    8  CHISED  CORPORATIONS,  AND  OFF-TRACK  BETTING CORPORATIONS THAT MAKES A
    9  PAYMENT OF THE REGULATORY FEES IMPOSED BY THIS CHAPTER MAY  REDUCE  SUCH
   10  PAYMENT BY AN AMOUNT EQUAL TO THE MARKET ORIGIN CREDIT ALLOCATED TO SUCH
   11  RACING  ASSOCIATION OR CORPORATION, FRANCHISED CORPORATION, OR OFF-TRACK
   12  BETTING CORPORATION BY THE COMMISSION.  THE  COMMISSION  SHALL  ALLOCATE
   13  CREDITS IN AN AMOUNT EQUAL TO NINETY PERCENT OF THE AMOUNT RECEIVED FROM
   14  THE  MARKET  ORIGIN  FEE PAID PURSUANT TO SUBDIVISION SIX OF SECTION ONE
   15  THOUSAND TWELVE-A OF THIS CHAPTER FOR THE PERIOD FROM THE SIXTEENTH  DAY
   16  OF  THE  PRECEDING MONTH THROUGH THE FIFTEENTH DAY OF THE CURRENT MONTH.
   17  THE COMMISSION SHALL NOTIFY PARTICIPANTS OF ALLOCATIONS ON OR BEFORE THE
   18  TWENTIETH DAY OF THE CURRENT MONTH.
   19    2. THE COMMISSION SHALL ALLOCATE CREDITS TO  RACING  ASSOCIATIONS  AND
   20  CORPORATIONS,  FRANCHISED  CORPORATIONS,  AND  OFF-TRACK  BETTING CORPO-
   21  RATIONS IN THE FOLLOWING AMOUNTS:
   22    A. FORTY PERCENT OF THE AMOUNT RECEIVED FROM  THE  MARKET  ORIGIN  FEE
   23  PAID  PURSUANT  TO  SUBDIVISION  SIX OF SECTION ONE THOUSAND TWELVE-A OF
   24  THIS CHAPTER TO REGIONAL OFF-TRACK BETTING CORPORATIONS.  ALLOCATIONS TO
   25  INDIVIDUAL REGIONAL OFF-TRACK BETTING CORPORATIONS SHALL BE  MADE  BASED
   26  ON  A  RATIO  WHERE  THE  NUMERATOR  IS THE REGIONAL CORPORATION'S TOTAL
   27  IN-STATE HANDLE FOR THE PREVIOUS CALENDAR  YEAR  AS  CALCULATED  BY  THE
   28  COMMISSION  AND  THE DENOMINATOR IS THE TOTAL IN-STATE HANDLE OF ALL THE
   29  REGIONAL OFF-TRACK BETTING CORPORATIONS FOR THE PREVIOUS  CALENDAR  YEAR
   30  AS CALCULATED BY THE COMMISSION;
   31    B.  FIFTY  PERCENT  OF  THE AMOUNT RECEIVED FROM THE MARKET ORIGIN FEE
   32  PAID PURSUANT TO SUBDIVISION SIX OF SECTION  ONE  THOUSAND  TWELVE-A  OF
   33  THIS  CHAPTER TO THE RACING ASSOCIATIONS AND CORPORATIONS AND FRANCHISED
   34  CORPORATIONS. ALLOCATIONS TO INDIVIDUAL RACING ASSOCIATIONS  AND  CORPO-
   35  RATIONS AND FRANCHISED CORPORATIONS SHALL BE MADE AS FOLLOWS:
   36    (I)  SIXTY  PERCENT TO THOROUGHBRED RACING ASSOCIATIONS AND FRANCHISED
   37  CORPORATIONS.  FIVE-SIXTHS SHALL BE ALLOCATED  TO  A  FRANCHISED  CORPO-
   38  RATION AND ONE-SIXTH SHALL BE ALLOCATED TO A THOROUGHBRED RACING ASSOCI-
   39  ATION.
   40    (II)  FORTY  PERCENT  TO HARNESS RACING ASSOCIATIONS AND CORPORATIONS.
   41  ALLOCATIONS TO INDIVIDUAL HARNESS RACING ASSOCIATIONS  AND  CORPORATIONS
   42  SHALL  BE MADE BASED ON A RATIO WHERE THE NUMERATOR IS THE ASSOCIATION'S
   43  OR CORPORATION'S TOTAL IN-STATE HANDLE ON LIVE RACING FOR  THE  PREVIOUS
   44  CALENDAR YEAR AS CALCULATED BY THE COMMISSION AND THE DENOMINATOR IS THE
   45  TOTAL  IN-STATE  ON  LIVE HANDLE FOR ALL HARNESS RACING ASSOCIATIONS AND
   46  CORPORATIONS FOR THE PREVIOUS CALENDAR YEAR AS CALCULATED BY THE COMMIS-
   47  SION.
   48    3. AS A CONDITION FOR ANY RACING ASSOCIATION OR CORPORATION  OR  FRAN-
   49  CHISED  CORPORATION  TO CLAIM ANY MARKET ORIGIN CREDITS ALLOCATED TO IT,
   50  SUCH RACING ASSOCIATION OR CORPORATION OR  FRANCHISED  CORPORATION  MUST
   51  MAKE  PAYMENTS FOR MONEYS OTHERWISE TO BE USED TO PAY THE REGULATORY FEE
   52  AS FOLLOWS:
   53    (I) PAYMENT OF AN AMOUNT EQUAL TO FORTY PERCENT OF THE ALLOCATED CRED-
   54  ITS INTO AN ACCOUNT USED SOLELY FOR THE PURPOSE OF ENHANCING  PURSES  AT
   55  SUCH  RACING  ASSOCIATION OR CORPORATION OR FRANCHISED CORPORATION. SUCH
   56  PAYMENT SHALL BE MADE WITHIN FIVE DAYS FROM RECEIPT OF  NOTIFICATION  OF
       S. 5883                            110                           A. 8101

    1  AN  ALLOCATION BY THE COMMISSION OF AN ALLOCATION OF MARKET ORIGIN CRED-
    2  ITS;
    3    (II)  PAYMENT  OF  AN  AMOUNT EQUAL TO TWENTY PERCENT OF THE ALLOCATED
    4  CREDITS TO THE STATE'S BREEDING FUNDS. SIXTY PERCENT OF THE PAYMENTS  TO
    5  THE BREEDING FUNDS SHALL BE ALLOCATED TO THE NEW YORK STATE THOROUGHBRED
    6  BREEDING  AND  DEVELOPMENT  FUND  CORPORATION  ESTABLISHED  PURSUANT  TO
    7  SECTION TWO HUNDRED FIFTY-TWO OF THIS CHAPTER, AND FORTY PERCENT TO  THE
    8  AGRICULTURE  AND  NEW  YORK STATE HORSE BREEDING DEVELOPMENT FUND ESTAB-
    9  LISHED PURSUANT TO SECTION THREE HUNDRED THIRTY OF  THIS  CHAPTER.  SUCH
   10  PAYMENT  SHALL  BE MADE WITHIN FIVE DAYS FROM RECEIPT OF NOTIFICATION OF
   11  AN ALLOCATION BY THE COMMISSION OF AN ALLOCATION OF MARKET ORIGIN  CRED-
   12  ITS.
   13    4. THE COMMISSION SHALL PROMULGATE ANY RULES AND REGULATIONS NECESSARY
   14  FOR THE ADMINISTRATION OF THE MARKET ORIGIN CREDIT.
   15    S 51. Section 99-i of the state finance law, as added by section 26 of
   16  part  F3  of  chapter  62  of  the  laws  of 2003, is amended to read as
   17  follows:
   18    S 99-i. Racing regulation account. 1. There is hereby  established  in
   19  the joint custody of the comptroller and the [racing and wagering board]
   20  GAMING  COMMISSION  a  special  revenue  fund to be known as the "racing
   21  regulation account".
   22    2. The racing [revenue] REGULATION account shall consist of all  money
   23  received  by the [board] COMMISSION as regulatory fees AND MARKET ORIGIN
   24  FEES pursuant to the provisions of the racing, pari-mutuel wagering  and
   25  breeding law.
   26    3. Moneys of this account shall be available to the [board] COMMISSION
   27  to  pay  for the costs of carrying out the purposes of the racing, pari-
   28  mutuel wagering and breeding law; PROVIDED, HOWEVER, AN AMOUNT EQUAL  TO
   29  FIVE  PERCENT  OF  THE  AMOUNT  RECEIVED  BY THE ACCOUNT FROM THE MARKET
   30  ORIGIN FEE IMPOSED BY SUBDIVISION SIX OF SECTION ONE  THOUSAND  TWELVE-A
   31  OF  THE  RACING,  PARI-MUTUEL  WAGERING AND BREEDING LAW SHALL BE TRANS-
   32  FERRED TO THE STATE DEPARTMENT OF TAXATION AND FINANCE AND  THE  DEPART-
   33  MENT SHALL DEEM THIS TRANSFER AS A PAYMENT OF A PARI-MUTUEL TAX.
   34    4.  All  payments from the fund shall be made on the audit and warrant
   35  of the comptroller.
   36    (f) Sections forth through forty-eight of this act shall  take  effect
   37  January  1,  2014;  except that the New York state gaming commission may
   38  accept and review applications for licenses for account wagering and for
   39  multi-jurisdictional account wagering providers commencing on October 1,
   40  2013.
   41    S 52. This act shall take effect immediately; provided, however, that:
   42    (a) sections one, two, five, nine, ten, twenty-seven and thirty-one of
   43  this act shall take effect on the first of January next  succeeding  the
   44  date upon which the people shall approve and ratify amendments to subdi-
   45  vision  1 of section 9 of article I of the constitution by a majority of
   46  the electors voting thereon relating to casino gambling in the state;
   47    (b) sections six, seven, fourteen and sixteen of this act  shall  take
   48  effect  on  the  same date as the agreement between the Oneida Nation of
   49  New York and the state of New York entered into on the sixteenth day  of
   50  May, 2013 takes effect; provided, further, that the amendments to subdi-
   51  vision 2 of section 99-h of the state finance law made by section six of
   52  this  act  shall  take  effect on the same date as the reversion of such
   53  section as provided in section 2 of chapter 747 of the laws of 2006,  as
   54  amended;  provided,  further,  that  the  amendments to subdivision 3 of
   55  section 99-h of the state finance law made by section seven of this  act
   56  shall  be subject to the expiration and reversion of such subdivision as
       S. 5883                            111                           A. 8101

    1  provided in section 3 of part W of chapter 60 of the laws  of  2011,  as
    2  amended  when  upon  such date the provisions of section seven-a of this
    3  act shall take effect; provided, further, that the amendments to  subdi-
    4  vision  3  of  section  99-h  of  the  state finance law made by section
    5  seven-a of this act shall be subject to the the expiration and reversion
    6  of such section as provided in section 2 of chapter 747 of the  laws  of
    7  2006,  as amended when upon such date the provisions of section eight of
    8  this act shall take effect; provided, further, however, that the  amend-
    9  ment  to  section  99-h of the state finance law made by section nine of
   10  this act shall not affect the expiration of such section  and  shall  be
   11  deemed  repealed  therewith;  provided,  further,  that the state gaming
   12  commission shall notify the legislative bill  drafting  commission  upon
   13  the occurrence of such agreement between the Oneida Nation and the state
   14  of New York becoming effective in order that the commission may maintain
   15  an  accurate  and timely effective data base of the official text of the
   16  laws of the state of New York in furtherance of effecting the provisions
   17  of section 44 of the legislative law and  section  70-b  of  the  public
   18  officers law;
   19    (c) section 1368 of the racing, pari-mutuel wagering and breeding law,
   20  as  added by section two of this act, shall take effect upon a change in
   21  federal law authorizing the activity permitted by such section or upon a
   22  ruling by a court  of  competent  jurisdiction  that  such  activity  is
   23  lawful.  The  state  gaming commission shall notify the legislative bill
   24  drafting commission upon the occurrence of the change in federal law  or
   25  upon  the  ruling of a court of competent jurisdiction in order that the
   26  commission may maintain an accurate and timely effective  data  base  of
   27  the official text of the laws of the state of New York in furtherance of
   28  effecting  the  provisions  of  section  44  of  the legislative law and
   29  section 70-b of the public officers law;
   30    (d) section thirty-five of this act shall be deemed to  have  been  in
   31  full force and effect on and after April 1, 2013;
   32    (e)  notwithstanding the foregoing, sections thirty-two, thirty-three,
   33  thirty-four, forty-one and forty-two of this act, shall only  be  effec-
   34  tive  in  the  event  that an amendment to the constitution to authorize
   35  casino gambling is defeated.
   36    (f) section forty through forty-eight of this act  shall  take  effect
   37  January  1,  2014;  except that the New York state gaming commission may
   38  accept and review applications for licenses for account wagering and for
   39  multi-jurisdictional account wagering providers commencing on October 1,
   40  2013.
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