CSSB 76(FIN): "An Act requiring regulations relating to pull-tabs to be consistent with North American Gaming Regulators Association standards on pull-tabs to the extent permitted by charitable gaming laws; allowing permittees to contract with vendors to sell pull-tabs on behalf of the permittee at an establishment holding a package store license and certain establishments holding a beverage dispensary license; allowing municipalities to prohibit vendors from conducting gaming activities within the municipality; restricting the purchase of pull-tabs by permittees, licensees, and vendors and their owners, managers, and employees; requiring receipts before prizes of $50 or more may be awarded in pull-tab games; prohibiting distributors from supplying pull-tabs to vendors; requiring the registration of vendors and regulating activities involving them; requiring the licensing of out-of-state pull-tab manufacturers; requiring the department regulating charitable gaming to approve contracts between permittees and operators before gaming may occur; preventing persons with felony convictions or convictions for crimes involving theft or dishonesty or a violation of gambling laws from being involved in charitable gaming activities as a permittee, licensee, vendor, person responsible for the operation of an activity, fund raiser or consultant of a licensee or vendor, or employee in a managerial or supervisory capacity, and providing exceptions for certain persons whose convictions are at least 10 years old and are not for violation of an unclassified felony described in AS 11, a class A felony, or extortion; relating to multiple-beneficiary charitable gaming permits and door prizes for charitable gaming; requiring operators to pay permittees each quarter at least 30 percent of the adjusted gross income from a pull-tab activity and limiting operators to expenses of not more than 70 percent of the adjusted gross income from that activity; requiring operators to pay permittees each quarter at least 10 percent of the adjusted gross income from a charitable gaming activity other than pull-tabs and limiting operators to expenses of not more than 90 percent of the adjusted gross income from that activity; requiring a permittee who uses a pull-tab vendor to enter into a contract with that vendor; requiring a vendor contracting with a permittee to pay the permittee at least 50 percent of the ideal net for each pull-tab series delivered to the vendor by the permittee; requiring that operators report an adjusted gross income of at least 15 percent of gross income each quarter; allowing the commissioner regulating charitable gaming to issue orders prohibiting violations of state gaming laws; relating to the authority of the commissioner regulating charitable gaming to suspend or revoke a permit, license, or registration; prohibiting the direct contribution of proceeds of a bingo or pull-tab game to a candidate for a public office of the state or a political subdivision of the state or to that candidate's campaign organization; prohibiting the payment of any portion of the net proceeds of a charitable gaming activity to a registered lobbyist; relating to `political uses' and `political organizations' as those terms are used in the charitable gaming statutes; and providing for an effective date."
00CS FOR SENATE BILL NO. 76(FIN) 01 "An Act requiring regulations relating to pull-tabs to be consistent with North 02 American Gaming Regulators Association standards on pull-tabs to the extent 03 permitted by charitable gaming laws; allowing permittees to contract with vendors 04 to sell pull-tabs on behalf of the permittee at an establishment holding a package 05 store license and certain establishments holding a beverage dispensary license; 06 allowing municipalities to prohibit vendors from conducting gaming activities within 07 the municipality; restricting the purchase of pull-tabs by permittees, licensees, and 08 vendors and their owners, managers, and employees; requiring receipts before 09 prizes of $50 or more may be awarded in pull-tab games; prohibiting distributors 10 from supplying pull-tabs to vendors; requiring the registration of vendors and 11 regulating activities involving them; requiring the licensing of out-of-state pull-tab 12 manufacturers; requiring the department regulating charitable gaming to approve 13 contracts between permittees and operators before gaming may occur; preventing 14 persons with felony convictions or convictions for crimes involving theft or
01 dishonesty or a violation of gambling laws from being involved in charitable 02 gaming activities as a permittee, licensee, vendor, person responsible for the 03 operation of an activity, fund raiser or consultant of a licensee or vendor, or 04 employee in a managerial or supervisory capacity, and providing exceptions for 05 certain persons whose convictions are at least 10 years old and are not for 06 violation of an unclassified felony described in AS 11, a class A felony, or 07 extortion; relating to multiple-beneficiary charitable gaming permits and door 08 prizes for charitable gaming; requiring operators to pay permittees each quarter 09 at least 30 percent of the adjusted gross income from a pull-tab activity and 10 limiting operators to expenses of not more than 70 percent of the adjusted gross 11 income from that activity; requiring operators to pay permittees each quarter at 12 least 10 percent of the adjusted gross income from a charitable gaming activity 13 other than pull-tabs and limiting operators to expenses of not more than 90 14 percent of the adjusted gross income from that activity; requiring a permittee 15 who uses a pull-tab vendor to enter into a contract with that vendor; requiring 16 a vendor contracting with a permittee to pay the permittee at least 50 percent 17 of the ideal net for each pull-tab series delivered to the vendor by the permittee; 18 requiring that operators report an adjusted gross income of at least 15 percent 19 of gross income each quarter; allowing the commissioner regulating charitable 20 gaming to issue orders prohibiting violations of state gaming laws; relating to the 21 authority of the commissioner regulating charitable gaming to suspend or revoke 22 a permit, license, or registration; prohibiting the direct contribution of proceeds 23 of a bingo or pull-tab game to a candidate for a public office of the state or 24 a political subdivision of the state or to that candidate's campaign organization; 25 prohibiting the payment of any portion of the net proceeds of a charitable 26 gaming activity to a registered lobbyist; relating to `political uses' and `political 27 organizations' as those terms are used in the charitable gaming statutes; and 28 providing for an effective date." 29 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 30 * Section 1. This Act may be known as the Gambling Limitation Act of 1993. 31 * Sec. 2. AS 05.15.060 is amended to read:
01 Sec. 05.15.060. REGULATIONS. The department shall adopt regulations 02 under the Administrative Procedure Act (AS 44.62) necessary to carry out this chapter 03 covering, but not limited to, 04 (1) the issuance, renewal, and revocation of permits, [AND] licenses, 05 and vendor registrations; 06 (2) a method of ascertaining net proceeds, the determination of items 07 of expense that may be incurred or paid, and the limitation of the amount of the items 08 of expense to prevent the proceeds from the activity permitted from being diverted to 09 noncharitable, noneducational, nonreligious, or profit-making organizations, individuals, 10 or groups; 11 (3) the immediate revocation of permits, [AND] licenses, and vendor 12 registrations authorized under this chapter if this chapter or regulations adopted under 13 it are violated; 14 (4) the requiring of detailed, sworn, financial reports of operations from 15 permittees and licensees including detailed statements of receipts and payments; 16 (5) the investigation of permittees, licensees, registered vendors, and 17 their employees, including the fingerprinting of those permittees, licensees, registered 18 vendors, and employees whom the commissioner considers it advisable to fingerprint; 19 (6) [EXCLUSION FROM PARTICIPATION AS A PERMITTEE, 20 LICENSEE, OR EMPLOYEE OF A PERMITTEE OR LICENSEE, OF A PERSON 21 CONVICTED OF, IN PRISON FOR, OR ON PAROLE FOR A FELONY WITHIN 22 THE PRECEDING FIVE YEARS, OR CONVICTED OF A CRIME INVOLVING 23 THEFT OR DISHONESTY OR OF A VIOLATION OF A MUNICIPAL, STATE, OR 24 FEDERAL GAMBLING LAW; 25 (7)] the method and manner of conducting authorized activities and 26 awarding of prizes or awards, and the equipment that may be used; 27 (7) [(8)] the number of activities that may be held, operated, or 28 conducted under a permit during a specified period; however, the department may not 29 allow more than 14 bingo sessions a month and 35 bingo games a session to be 30 conducted under a permit; the holders of a multiple-beneficiary permit under 31 AS 05.15.100(d) may hold, operate, or conduct the number of sessions and games
01 a month equal to the number allowed an individual permittee per month 02 multiplied by the number of holders of the multiple-beneficiary permit; 03 (8) [(9)] a method of accounting for receipts and disbursements by 04 operators, including the keeping of records and requirements for the deposit of all 05 receipts in a bank; 06 (9) [(10)] the disposition of funds in possession of a permittee, [OR] 07 a person, municipality, or qualified organization that possesses an operator's license, 08 or a registered vendor at the time a permit, [OR] a license, or a vendor registration 09 is surrendered, revoked, or invalidated; 10 (10) [(11)] restrictions on the participation by employees of the 11 Department of Fish and Game in salmon classics; and in king salmon classics, and by 12 employees of Douglas Island Pink and Chum in king salmon classics; 13 (11) [(12)] other matters the commissioner considers necessary to carry 14 out this chapter or protect the best interest of the public. 15 * Sec. 3. AS 05.15.060 is amended by adding a new subsection to read: 16 (b) Regulations adopted by the department under this section relating to 17 charitable gaming activity involving pull-tabs shall, to the extent permitted by this 18 chapter, be consistent with the standards on pull-tabs of the North American Gaming 19 Regulators Association, as amended from time to time. 20 * Sec. 4. AS 05.15.070 is amended to read: 21 Sec. 05.15.070. EXAMINATION OF BOOKS AND RECORDS. The 22 commissioner may examine or have examined the books and records of a permittee, 23 an operator, a registered vendor, or a person licensed to manufacture or to distribute 24 pull-tab games in the state. The commissioner may issue subpoenas for the attendance 25 of witnesses and the production of books, records, and other documents. 26 * Sec. 5. AS 05.15.100 is amended by adding a new subsection to read: 27 (d) The commissioner may issue a multiple-beneficiary permit to two to six 28 municipalities or qualified organizations or to a combination of two to six 29 municipalities and qualified organizations that apply jointly for the permit. The permit 30 gives the permit holders the privilege of jointly conducting the activities specified in 31 (a) and (b) of this section, subject to the restrictions set out in (b) of this section.
01 * Sec. 6. AS 05.15 is amended by adding a new section to read: 02 Sec. 05.15.105. PERSONS PROHIBITED FROM INVOLVEMENT; 03 EXCEPTIONS. (a) If a person has been convicted of a violation of a law of this state 04 that is, or a law or ordinance of another jurisdiction that would be if it had been 05 committed in this state, a felony, or a violation of a law or ordinance of this state or 06 another jurisdiction that is a crime involving theft or dishonesty or a violation of 07 gambling laws 08 (1) the department may not issue a license to the person; 09 (2) the department may not issue a license to, or register as a vendor, 10 an applicant who employs the person in a managerial or supervisory capacity or uses 11 the person as a fund raiser or consultant; 12 (3) the department may not issue a permit for an activity if the person 13 is responsible for the operation of the activity; 14 (4) the person may not be employed in a managerial or supervisory 15 capacity by a licensee or vendor or used as a fund raiser or consultant by a licensee 16 or vendor; 17 (5) the person may not participate in charitable gaming as a permittee, 18 licensee, or vendor. 19 (b) The department shall adopt regulations that provide that a disqualification 20 of a person under (a) of this section based upon a conviction of that person for a 21 violation 22 (1) of a law of this state that is, or a law or ordinance of another 23 jurisdiction that would be if it was committed in this state, a class B felony other than 24 extortion, a class C felony, or an unclassified felony described outside of AS 11, and 25 that is not a crime of dishonesty or theft or a violation of gambling laws, terminates 26 10 years after the person's conviction; 27 (2) of a law or ordinance of this state or another jurisdiction that is a 28 crime involving theft or dishonesty or a violation of gambling laws, and that is not, 29 or would not be if it was committed in this state, an unclassified felony described in 30 AS 11, a class A felony, or extortion, terminates 10 years after the person's conviction, 31 if the department determines that the
01 (A) person is of good character, honesty, and integrity; and 02 (B) person's involvement in charitable gaming is not against the 03 public interest. 04 * Sec. 7. AS 05.15.112(a) is amended to read: 05 (a) Each municipality or qualified organization that receives a permit under 06 this chapter shall designate a member in charge. Municipalities and qualified 07 organizations that hold a multiple-beneficiary permit shall jointly designate one 08 member in charge. 09 * Sec. 8. AS 05.15.112(b) is amended to read: 10 (b) The member in charge is responsible for preparation, maintenance, and 11 transmittal of all records and reports required of the permittee. The member in charge 12 shall be a member of the qualified organization or the board of directors of the 13 qualified organization or an employee of the municipality. In the case of a multiple-beneficiary permit, the 14 member in charge shall be a member of one of the 15 qualified organizations or the board of directors of one of the qualified 16 organizations or an employee of one of the municipalities. 17 * Sec. 9. AS 05.15.112(d) is amended to read: 18 (d) The municipality or qualified organization, or the holders of a multiple-beneficiary permit, shall 19 designate alternate members in charge who are responsible 20 for the duties of the member in charge in the absence of the member in charge. 21 * Sec. 10. AS 05.15.115(d) is amended to read: 22 (d) A permittee shall submit by certified mail to the department for approval 23 a copy of each contract with an operator with whom the permittee contracts to conduct 24 activities subject to this chapter. The contract must meet the requirements of this 25 section. The department shall approve or disapprove the contract. If the 26 contract is disapproved, reasons for the disapproval shall be provided in writing 27 to the permittee. Activities may not be conducted under the contract before the 28 contract is approved. Subsequent amendments to an approved contract do not 29 take effect until the amendments are approved by the department [THE 30 PERMITTEE SHALL SUBMIT TO THE DEPARTMENT A COPY OF THE 31 CONTRACT OR SUBSEQUENT AMENDMENT OF THE CONTRACT BY
01 CERTIFIED MAIL AT LEAST 15 DAYS BEFORE ACTIVITIES ARE 02 CONDUCTED UNDER THE CONTRACT OR AMENDED CONTRACT]. 03 * Sec. 11. AS 05.15.124 is amended to read: 04 Sec. 05.15.124. MUNICIPAL REGULATION OF OPERATORS. A 05 municipality may by ordinance prohibit an operator or a vendor from conducting 06 activities under this chapter within the municipality. 07 * Sec. 12. AS 05.15.128(a) is amended to read: 08 (a) The department shall revoke the license of an operator who does not 09 (1) report an adjusted gross income of at least 15 percent of gross 10 income for each quarter [TWO CONSECUTIVE QUARTERS] based on the total 11 operation of the operator; or 12 (2) pay to each authorizing permittee for each quarter [TWO 13 CONSECUTIVE QUARTERS] at least 30 percent of the adjusted gross income, as 14 determined under (1) of this subsection, from a pull-tab activity or at least 10 [15] 15 percent of the adjusted gross income, as determined under (1) of this subsection, from 16 a gaming activity other than pull-tabs, received from activities conducted on behalf 17 of the authorizing permittee. 18 * Sec. 13. AS 05.15.140(b) is amended to read: 19 (b) In an application for a permit, a municipality or qualified organization shall 20 disclose the name and address of each person responsible for the operation of the 21 activity and whether any person named 22 (1) has been convicted of [, IN PRISON FOR, OR ON PAROLE FOR] 23 a violation of a law of this state that is, or a law or ordinance of another state that 24 would be if committed in this state, an unclassified felony described in AS 11, a 25 Class A felony, extortion, or a violation of a law or ordinance of this state or 26 another jurisdiction that is [WITHIN THE PRECEDING FIVE YEARS, OR 27 CONVICTED OF] a crime involving theft or dishonesty or [OF] a violation of [A 28 MUNICIPAL, STATE, OR FEDERAL] gambling laws [LAW]; or 29 (2) has a prohibited financial interest, as defined in regulations adopted 30 by the commissioner, in the operation of the activity. 31 * Sec. 14. AS 05.15 is amended by adding a new section to read:
01 Sec. 05.15.145. MULTIPLE-BENEFICIARY PERMITS. (a) Two to six 02 municipalities or qualified organizations, or a combination of two to six municipalities 03 and qualified organizations, may jointly apply for a multiple-beneficiary permit under 04 AS 05.15.100(d). The commissioner may not issue or renew a permit except upon 05 satisfactory proof that each joint applicant is a municipality or qualified organization, 06 the activity may be permitted under this chapter, and the issuance of a permit is not 07 detrimental to the best interests of the public. Upon request of the commissioner, the 08 joint applicants shall prove conclusively each of these requirements before a permit 09 may be issued or renewed. 10 (b) The provisions of AS 05.15.140(b) - (d) apply to multiple-beneficiary 11 permits and applications for them. 12 (c) A municipality or qualified organization that is among the holders of a 13 multiple-beneficiary permit may withdraw from the permit by giving written notice of 14 intent to withdraw to the department and to the other holders of the permit. The 15 effective date of the withdrawal is 30 days after the department receives written notice 16 of intent. A municipality or qualified organization that withdraws from a multiple-beneficiary permit may apply for 17 a permit under AS 05.15.100(a), but its share of the 18 prizes awarded under the multiple-beneficiary permit and the prizes it awards under 19 its own permit are subject to the maximums established in AS 05.15.180(g). 20 (d) The holders of a multiple-beneficiary permit shall jointly file reports with 21 the department that comply with the reporting requirements imposed on operators 22 under AS 05.15.083. 23 * Sec. 15. AS 05.15.150(a) is amended to read: 24 (a) The authority to conduct the activity authorized by this chapter is 25 contingent upon the dedication of the net proceeds of the charitable gaming activity 26 [RAFFLES OR CONTESTS] to the awarding of prizes to contestants or participants 27 and to political, educational, civic, public, charitable, patriotic or religious uses in the 28 state. "Political, educational, civic, public, charitable, patriotic, or religious uses" means 29 uses benefiting persons either by bringing them under the influence of education or 30 religion or relieving them from disease, suffering, or constraint, or by assisting them 31 in establishing themselves in life, or by providing for the promotion of the welfare and
01 well-being of the membership of the organization within their own community, or 02 through aiding a political organization [CANDIDATES FOR PUBLIC OFFICE OR 03 GROUPS THAT SUPPORT CANDIDATES FOR PUBLIC OFFICE], or by erecting 04 or maintaining public buildings or works, or lessening the burden on government, but 05 does not include 06 (1) the direct contribution of proceeds of a bingo or pull-tab game 07 to a candidate for a public office of the state or a political subdivision of the state 08 or to that candidate's campaign organization; 09 (2) the payment of any portion directly or indirectly of the net 10 proceeds of the charitable gaming activity to a lobbyist registered under AS 24.45; 11 or 12 (3) the erection, acquisition, improvement, maintenance, or repair of 13 real, personal, or mixed property unless it is used exclusively for one or more of the 14 permitted uses [STATED]. 15 * Sec. 16. AS 05.15.160 is amended by adding new subsections to read: 16 (c) The total amount of authorized expenses that may be incurred under (a) of 17 this section in connection with a pull-tab activity may not exceed 70 percent of the 18 adjusted gross income from that pull-tab activity. 19 (d) The total amount of authorized expenses that may be incurred under (a) of 20 this section in connection with any gaming activity other than pull-tabs may not exceed 21 90 percent of the adjusted gross income from that gaming activity. 22 * Sec. 17. AS 05.15.170 is repealed and reenacted to read: 23 Sec. 05.15.170. SUSPENSION OR REVOCATION OF PERMIT, LICENSE, 24 OR VENDOR REGISTRATION. (a) The department may suspend, for a period of 25 up to one year, or revoke a permit, license, or vendor registration, after giving notice 26 to and an opportunity to be heard by the permittee or licensee, if the permittee, 27 licensee, or vendor 28 (1) violates or fails to comply with a requirement of this chapter or of 29 a regulation adopted under this chapter; 30 (2) breaches a contractual agreement with a permittee, licensee, or 31 registered vendor;
01 (3) becomes disqualified to participate in charitable gaming as provided 02 in AS 05.15.105; for the purposes of this paragraph, a permittee, licensee, or vendor 03 that is not a natural person is considered convicted if an owner or manager of the 04 permittee, licensee, or vendor is convicted; or 05 (4) knowingly submits false information to the department or, in the 06 case of a registered vendor, to a permittee when the vendor knows that the false 07 information will be submitted to the department as part of an application for 08 registration; 09 (5) gives or acts upon any inside information on the status of the prizes 10 awarded or to be awarded in a pull-tab game. 11 (b) If the department revokes a license or vendor registration under this 12 section, it may prohibit the licensee or vendor from reapplying for a license or vendor 13 registration for a period of not more than five years. If the department revokes a 14 permit under this section, it may prohibit the permittee from reapplying for a permit 15 for a period of not more than one year. 16 * Sec. 18. AS 05.15.180(d) is amended to read: 17 (d) The total value of door prizes offered or awarded under authority of a 18 permit issued to a municipality or qualified organization under this chapter or under 19 authority of a multiple-beneficiary permit may not exceed $20,000 a month or 20 $240,000 a year. 21 * Sec. 19. AS 05.15.180(e) is amended to read: 22 (e) The total value of all door prizes offered or awarded at a single facility or 23 bingo hall or parlor by an operator on behalf of authorizing permittees [OR BY A 24 PERMITTEE IN CONJUNCTION WITH OTHER PERMITTEES] may not exceed 25 $20,000 a month or $240,000 a year. 26 * Sec. 20. AS 05.15.180(g) is amended to read: 27 (g) A municipality or a qualified organization may award a maximum of 28 $1,000,000 in prizes each year in activities authorized under this chapter; however, if 29 a municipality or a qualified organization contracts with an operator to conduct on its 30 behalf activities authorized under this chapter, the municipality or qualified 31 organization may award a maximum of $500,000 in prizes each year. The holders of
01 a multiple-beneficiary permit under AS 05.15.100(d) may award a maximum in 02 prizes each year of $1,000,000 times the number of holders of the permit for 03 activities authorized under this chapter. In this subsection "activities authorized 04 under this chapter" means all activities subject to this chapter other than bingo. 05 * Sec. 21. AS 05.15.181(a) is amended to read: 06 (a) A person may not manufacture pull-tabs in the state, and may not sell or 07 distribute a pull-tab that the person has manufactured outside of the state to 08 persons in the state, unless the person has received a pull-tab manufacturer's license 09 issued by the department. 10 * Sec. 22. AS 05.15.183 is amended by adding a new subsection to read: 11 (e) A distributor may not 12 (1) take an order for the purchase of a pull-tab series from a vendor; 13 (2) sell a pull-tab series to a vendor; or 14 (3) deliver a pull-tab series to a vendor. 15 * Sec. 23. AS 05.15.187(f) is amended to read: 16 (f) Each permittee [MUNICIPALITY OR QUALIFIED ORGANIZATION] 17 that had gross receipts exceeding $100,000 during the preceding year from activities 18 conducted under this chapter or that is required to report under AS 05.15.080(a), that 19 conducts a pull-tab game shall maintain records for two years of each prize of $50 or 20 more, the first day and last day that each series was distributed, the serial number of 21 each series, and the distributor from whom each series was purchased. In this section 22 "permittee" includes municipalities and qualified organizations that jointly hold 23 a multiple-beneficiary permit. 24 * Sec. 24. AS 05.15.187 is amended by adding new subsections to read: 25 (h) An owner, manager, or employee of a person holding a permit or license 26 under this chapter, or registered under this chapter as a vendor, may not purchase a 27 pull-tab from a pull-tab series manufactured, distributed, or sold by the permittee, 28 licensee, or registered vendor. 29 (i) A permittee, operator, or registered vendor may not turn over a prize of $50 30 or more to a person with a pull-tab card entitling the person to that prize unless the 31 person signs a receipt for the prize and returns the receipt to the permittee, operator,
01 or vendor. The receipt must be in a form approved by the department. 02 * Sec. 25. AS 05.15 is amended by adding a new section to article 2 to read: 03 Sec. 05.15.188. PULL-TAB SALES BY VENDORS ON BEHALF OF 04 PERMITTEES; VENDOR REGISTRATION. (a) A permittee may contract with a 05 vendor to sell pull-tabs on behalf of the permittee, if the permittee first registers the 06 vendor with the department by applying for registration on a form prescribed by the 07 department and by submitting the registration fee of $50 for each location at which the 08 vendor will sell pull-tabs. 09 (b) Upon approval of the vendor registration, the department shall issue an 10 endorsement to the permittee's permit that authorizes the conduct of pull-tab sales at 11 that vendor location. 12 (c) The endorsement issued under (b) of this section is an extension of the 13 permittee's privilege under AS 05.15.100 to conduct pull-tab sales in this state. A 14 vendor may not sell a pull-tab series until a copy of the permit containing the 15 endorsement for the new vendor location has been posted by the permittee in the 16 registered vendor establishment. The endorsed permit must be clearly visible to the 17 gaming public. 18 (d) A separate endorsement shall be issued for each vendor location. The 19 permittee shall inform the department when a vendor with whom the permittee is 20 contracting changes the physical location at which pull-tabs are sold, and shall return 21 to the department all copies of a permit endorsed to a vendor that is no longer selling 22 pull-tabs on behalf of the permittee. Failure to inform the department of a change in 23 vendor location, or to return the endorsed copies of a permit to the department after 24 a vendor change, may constitute grounds for the suspension or revocation of a 25 permittee's permit. 26 (e) At the time that a permittee annually renews its permit, it shall also renew 27 the registration of all locations where a vendor is selling pull-tabs on the permittee's 28 behalf and shall pay a registration fee of $50 for each vendor location. 29 (f) A permittee that uses a vendor to sell pull-tabs on its behalf shall enter into 30 a written contract with that vendor. The department may inspect this contract. If the 31 contract contains provisions that violate this chapter or the regulations adopted under
01 it, the department may declare the contract void, and may suspend or revoke the 02 registration of the vendor and the permit of the permittee. 03 (g) A person, other than a permittee's member-in-charge, may not directly 04 supply a pull-tab series to a registered vendor for sale by that vendor on behalf of the 05 permittee. 06 (h) If a permittee contracts with a vendor under (a) of this section, the contract 07 must provide that the permittee shall receive no less than 50 percent of the ideal net. 08 (i) An amount equal to the ideal net less the compensation owed to the vendor 09 shall be paid by the vendor to the member-in-charge upon delivery of a pull-tab series 10 to the vendor for sale. The amount required to be paid by the vendor shall be paid by 11 check and the check may not be drawn in a manner that the payee is not identified. 12 (j) An operator may not contract with or use a vendor to sell pull-tabs. 13 * Sec. 26. AS 05.15 is amended by adding a new section to read: 14 Sec. 05.15.195. ORDER PROHIBITING ACTION IN VIOLATION OF 15 CHAPTER. (a) If the commissioner determines that a person has engaged in an act 16 or practice in violation of this chapter or a regulation adopted under this chapter, the 17 commissioner may, after giving reasonable notice to the person and an opportunity for 18 the person to be heard, issue an order prohibiting the violation by the person. The 19 order remains in effect until the person has submitted evidence acceptable to the 20 commissioner showing that the violation has been corrected. 21 (b) If the public interest requires, the commissioner may issue an emergency 22 order prohibiting an act or practice in violation of this chapter or a regulation adopted 23 under this chapter without notice to or an opportunity to be heard by the person 24 affected by the order. The commissioner shall immediately serve the person with a 25 copy of the emergency order. An emergency order expires 60 days after the date it 26 is issued, if the person affected by the order requests a hearing within 15 days of 27 receipt of the order. If the person does not request a hearing within 15 days of receipt 28 of the emergency order, the order becomes permanent. Following a hearing, the 29 commissioner may rescind, modify, or make permanent the emergency order. 30 (c) A party aggrieved by an order under this section may appeal to the superior 31 court.
01 * Sec. 27. AS 05.15.200(b) is amended to read: 02 (b) A person who, with the intent to mislead a public servant in the 03 performance of the public servant's duty, submits a false statement in an application 04 for a permit, license, or vendor registration under this chapter [,] is guilty of unsworn 05 falsification. 06 * Sec. 28. AS 05.15.210(27) is amended to read: 07 (27) "political organization" means a political party as defined in 08 AS 15.60.010 or an organization or club organized under or formally affiliated with 09 a political party [AS DEFINED IN AS 15.60.010]; 10 * Sec. 29. AS 05.15.210 is amended by adding new paragraphs to read: 11 (36) "fund raiser or consultant" means a person who provides advice 12 or technical assistance in support of or concerning the conduct of gaming activities 13 under this chapter, whether the person is or is not an employee of a licensee; 14 (37) "ideal net" means an amount equal to the total amount of receipts 15 that would be received if every individual pull-tab ticket in a series were sold at face 16 value, less the prizes to be awarded for that series; 17 (38) "managerial or supervisory capacity" means that the employee 18 (A) is responsible for gaming receipts; 19 (B) has the authority to hire employees or to dismiss or 20 otherwise discipline them; 21 (C) prepares financial reports required under this chapter; 22 (D) is responsible for keeping the accounts for activities under 23 this chapter; 24 (E) is responsible for conducting activities under this chapter, 25 including the arranging for locations at which those activities will occur; or 26 (F) is a fund raiser or a consultant; 27 (39) "permittee" means a municipality or a qualified organization that 28 holds a valid permit under AS 05.15.100; 29 (40) "vendor" means a business whose primary activity is not regulated 30 by this chapter but that 31 (A) is engaged in the sale of pull-tabs on behalf of a permittee;
01 (B) holds a business license under AS 43.70; and 02 (C) is an establishment holding a 03 (i) beverage dispensary license under AS 04.11.090 that 04 has not been designated by the Alcoholic Beverage Control Board under 05 AS 04.16.049(a)(2) - (3), has not been exempted by the Department of 06 Labor under AS 04.16.049(c) and AS 23.10.355, and if the 07 establishment is a hotel, motel, resort, or similar business that caters to 08 the traveling public as a substantial part of its business, does not allow 09 the sale of pull-tabs in a dining room, banquet room, guest room, or 10 other public areas other than a room in which there is regularly 11 maintained a fixed counter or service bar at which alcoholic beverages 12 are sold or served to members of the public for consumption; 13 (ii) package store license under AS 04.11.150. 14 * Sec. 30. AS 05.15.122(c), 05.15.122(d), and 05.15.140(c) are repealed. 15 * Sec. 31. Except for secs. 12 and 16 of this Act, this Act takes effect immediately under 16 AS 01.10.070(c). 17 * Sec. 32. Sections 12 and 16 of this Act take effect January 1, 1994.