Legislature(1993 - 1994)
1993-05-08 House Journal
Full Journal pdf1993-05-08 House Journal Page 1726 HB 168 Representative Mulder moved and asked unanimous consent to withdraw the new amendment to Amendment No. 1. There being no objection, it was so ordered, and Amendment No. 1 was again before the House. The Speaker called the House. The following members moved and asked unanimous consent that they be allowed to abstain from voting due to a conflict of interest: Representative Bunde Representative Willis Objection was heard, and the members were required to vote. The question being: "Shall Amendment No. 1 be adopted?" The roll was taken with the following result: CSHB 168(FIN) Second Reading Amendment No. 1 YEAS: 18 NAYS: 22 EXCUSED: 0 ABSENT: 0 Yeas: Barnes, Brown, Carney, Davidson, B.Davis, Finkelstein, Green, Hanley, Hoffman, Kott, Martin, Menard, Navarre, Nordlund, Parnell, Phillips, Ulmer, Willis Nays: Brice, Bunde, Davies, G.Davis, Foster, Grussendorf, Hudson, James, Larson, Mackie, MacLean, Moses, Mulder, Nicholia, Olberg, Porter, Sanders, Sitton, Therriault, Toohey, Vezey, Williams And so, Amendment No. 1 was not adopted. Amendment No. 2 was not offered. 1993-05-08 House Journal Page 1727 HB 168 Amendment No. 3 was offered by Representative Martin: Page 1, line 1 through page 2, line 4 (title amendment): Delete all material. Page 2, line 5 (title amendment): Delete "delivered to the vendor by the permittee;" Insert ""An Act" Page 12, line 26, through page 13, line 2: Delete all material. Renumber the following bill sections accordingly. Page 13, lines 12 - 25: Delete all material. Page 14, lines 2 - 4: Delete all material. Reletter the following subsections accordingly. Page 14, line 8: Delete "(c)" Insert "(b)" Page 18, lines 10 - 13: Delete all material. Renumber the following paragraphs accordingly. Page 18, line 20: Delete "if" Page 18, lines 21 - 25: Delete all material. Page 18, line 26: Delete "of this subparagraph," 1993-05-08 House Journal Page 1728 HB 168 Page 18, following line 26: Insert " (i)" Page 19, line 5: Delete "or an" Insert " (ii) an" Page 19, lines 8 - 9: Delete all material. Renumber the following bill sections accordingly. Representative Martin moved and asked unanimous consent that Amendment No. 3 be adopted. Representative Bunde objected. Representative Navarre rose to a point of order regarding inappropriate debate. The Speaker stated the point was well taken. The question being: "Shall Amendment No. 3 be adopted?" The roll was taken with the following result: CSHB 168(FIN) Second Reading Amendment No. 3 YEAS: 18 NAYS: 22 EXCUSED: 0 ABSENT: 0 Yeas: Barnes, G.Davis, Finkelstein, Hanley, Kott, Martin, Moses, Mulder, Navarre, Nordlund, Olberg, Parnell, Porter, Sanders, Therriault, Toohey, Vezey, Willis Nays: Brice, Brown, Bunde, Carney, Davidson, Davies, B.Davis, Foster, Green, Grussendorf, Hoffman, Hudson, James, Larson, Mackie, MacLean, Menard, Nicholia, Phillips, Sitton, Ulmer, Williams 1993-05-08 House Journal Page 1729 HB 168 And so, Amendment No. 3 was not adopted. Amendment No. 4 was offered by Representative Nordlund: Page 2, line 7, following "laws;" (title amendment): Delete all material. Page 2, lines 8 - 9 (title amendment): Delete all material. Page 2, line 10 (title amendment): Delete "holding a beverage dispensary license;" Page 2, line 14, following "games;" (title amendment): Insert "prohibiting the sale of pull-tabs at any place holding a beverage dispensary license or a package store license;" Page 2, line 15, following "vendors" (title amendment): Insert "of pull-tabs for noncommercial broadcasting stations or networks of those stations" Page 3, line 11, following "vendor;" (title amendment): Delete all material. Page 3, line 12 (title amendment): Delete all material. Page 3, line 13 (title amendment): Delete "delivered to the vendor by the permittee;" Page 13, line 18, following "vendor." (title amendment): Delete "Notwithstanding AS05.15.188(i), if" Insert "If" Page 13, following line 25: Insert a new subsection to read: "(k) Pull-tabs may not be sold at any place having a beverage dispensary license under AS04.11.090 or a package store license under AS04.11.150." 1993-05-08 House Journal Page 1730 HB 168 Page 13, line 28, following "PERMITTEES": Insert "THAT ARE NONCOMMERCIAL BROADCASTING STATIONS OR NETWORKS" Page 13, line 28, after "(a)": Delete "A permittee" Insert "The permittees of multiple-beneficiary charitable gaming permit that is held solely by noncommercial broadcasting stations or networks of those stations" Page 13, line 29: Delete "permittee" in both places. Insert "permittees" in both places. Delete "registers" Insert "register" Page 14, lines 2 - 4: Delete all material. Reletter the following subsections accordingly. Page 14, line 8: Delete "(c)" Insert "(b)" Page 15, line 3: Delete "70" Insert "80" Page 18, line 18, after "permittee": Insert "under AS05.15.188" Page 18, line 20: Delete all material. Insert "(C) the business is a retail establishment or" Page 18, line 24: Delete "; or" Insert "." 1993-05-08 House Journal Page 1731 HB 168 Page 18, line 25, through page 19, line 6: Delete all material. Page 19, line 8: Delete "05.15.188(b)" Insert "05.15.188" Page 19, line 9: Delete "05.15.210(C)(i)" Insert "05.15.210(43)" Page 19, following line 9: Insert a new bill section to read: "* Sec. 34. REVISOR'S INSTRUCTION FOR SECTION 33. Upon the repeal of statutes under sec. 33 of this Act, the revisor of statutes shall remove from AS10.15 all references to vendors and the registration of vendors." Renumber the following bill sections accordingly. Representative Nordlund moved and asked unanimous consent that Amendment No. 4 be adopted. Representative Porter objected. The Speaker invoked Mason's Manual Section 102. The question being: "Shall Amendment No. 4 be adopted?" The roll was taken with the following result: CSHB 168(FIN) Second Reading Amendment No. 4 YEAS: 16 NAYS: 24 EXCUSED: 0 ABSENT: 0 Yeas: Barnes, Brown, Carney, Davidson, Davies, B.Davis, Finkelstein, Green, Hanley, Hoffman, Kott, Martin, Menard, Nordlund, Ulmer, Willis 1993-05-08 House Journal Page 1732 HB 168 Nays: Brice, Bunde, G.Davis, Foster, Grussendorf, Hudson, James, Larson, Mackie, MacLean, Moses, Mulder, Navarre, Nicholia, Olberg, Parnell, Phillips, Porter, Sanders, Sitton, Therriault, Toohey, Vezey, Williams And so, Amendment No. 4 was not adopted. Amendment No. 5 was not offered. Amendment No. 6 was not offered. Amendment No. 7 was offered by Representative Brown: Page 16, after line 2: Insert a new subsection to read: "(b) The following question, appearing alone, may be placed before the voters of a municipality or an established village in accordance with AS05.15.198: "Shall pull-tab sales in . . . . . . . . . . (name of municipality or village) be prohibited? (yes or no)."" Reletter the following subsection accordingly. Page 16, line 3, after "(a)": Insert "or (b)" Page 16, line 6, after "gaming": Insert "or pull-tab sales, as appropriate," Page 16, line 8: Delete "Existing" Insert "As necessary to implement the results of an election under (a) or (b) of this section, existing" Page 16, line 9, after "gaming": Insert "or pull-tab sales" Page 16, lines 11 - 12: Delete "that has prohibited charitable gaming by local option election held under this section" 1993-05-08 House Journal Page 1733 HB 168 Representative Brown moved and asked unanimous consent that Amendment No. 7 be adopted. Objection was heard. The question being: "Shall Amendment No. 7 be adopted?" The roll was taken with the following result: CSHB 168(FIN) Second Reading Amendment No. 7 YEAS: 38 NAYS: 2 EXCUSED: 0 ABSENT: 0 Yeas: Barnes, Brice, Brown, Bunde, Carney, Davidson, Davies, B.Davis, G.Davis, Finkelstein, Foster, Green, Grussendorf, Hanley, Hoffman, Hudson, James, Kott, Larson, Mackie, MacLean, Martin, Menard, Moses, Mulder, Navarre, Nicholia, Nordlund, Parnell, Phillips, Porter, Sanders, Sitton, Therriault, Toohey, Ulmer, Vezey, Willis Nays: Olberg, Williams And so, Amendment No. 7 was adopted. HB 168 Amendment No. 8 was offered by Representative Brown: 1993-05-08 House Journal Page 1734 HB 168 Page 3, line 4 (title amendment): Delete "each quarter" Page 3, line 7 (title amendment): Delete "each quarter" Page 3, line 14 (title amendment): Delete "each quarter" Page 8, line 11: Delete "for each quarter [TWO" Insert "annually [FOR TWO" Page 8, line 13: Delete "for each quarter [TWO" Insert "annually [FOR TWO" Representative Brown moved and asked unanimous consent that Amendment No. 8 be adopted. Representative Phillips objected. The question being: "Shall Amendment No. 8 be adopted?" The roll was taken with the following result: CSHB 168(FIN) am Second Reading Amendment No. 8 YEAS: 22 NAYS: 18 EXCUSED: 0 ABSENT: 0 Yeas: Brice, Brown, Bunde, Carney, Davidson, B.Davis, G.Davis, Finkelstein, Hudson, MacLean, Martin, Menard, Moses, Mulder, Navarre, Nicholia, Nordlund, Parnell, Sitton, Ulmer, Williams, Willis Nays: Barnes, Davies, Foster, Green, Grussendorf, Hanley, Hoffman, James, Kott, Larson, Mackie, Olberg, Phillips, Porter, Sanders, Therriault, Toohey, Vezey 1993-05-08 House Journal Page 1735 HB 168 And so, Amendment No. 8 was adopted, and the new title appears below: "An Act allowing the holders of a multiple-beneficiary charitable gaming permit that consists entirely of noncommercial broadcasting stations or networks of such stations to sell a pull-tab series at more than one location during the same day if the sales are made at the customary business location of one or more of the holders, at another location by an employee of one of the stations or networks, or by a registered vendor; allowing permittees that are noncommercial broadcasting stations or networks of such stations to contract with vendors to sell pull-tabs on behalf of the permittee at certain retail establishments and eating establishments; requiring at least 50 percent of the net proceeds of certain activities conducted by noncommercial broadcasting stations and networks of those stations be placed in an endowment fund, the earnings of which may be used for the purposes, and under the procedures, provided by law; prohibiting a pull-tab game that provides a right to participate in a lottery if a prize or award in the lottery exceeds $250,000; requiring a vendor contracting with a permittee that is a noncommercial broadcasting station or a network of such stations to pay the permittee at least 80 percent of the ideal net for each pull-tab series delivered to the vendor by the permittee; 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 and increasing the annual licensing fee for pull-tab manufacturers; requiring the department regulating charitable gaming to approve contracts between permittees and 1993-05-08 House Journal Page 1736 HB 168 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 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 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 70 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; 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 payment of any portion of the net proceeds of a bingo or pull-tab game to a registered lobbyist; providing a penalty for false statements in gaming license applications; providing communities with the authority by local option election to prohibit charitable gaming within the community; and providing for an effective date." Amendment No. 9 was offered by Representative Nordlund: Page 1, line 1, following "Act" (title amendment): Insert "establishing a testing program for charitable gaming permittees and operators; relating to the duties of members in charge;" 1993-05-08 House Journal Page 1737 HB 168 Page 3, following line 24: Insert new bill sections to read: "* Sec. 2. AS05.15.020(a) is amended to read: (a) A municipality or qualified organization may conduct an activity permitted under this chapter, if the municipality or qualified organization (1) applies for a permit, pays the appropriate permit fee, and receives an annual permit issued by the department; and (2) designates a member in charge and at least one alternate member in charge under AS05.15.112 who have passed the examination required by AS05.15.112 [THE ANNUAL PERMIT FEE IS (1) $20 FOR AN APPLICANT THAT DID NOT HOLD A PERMIT DURING THE PRECEDING YEAR; (2) $20 FOR AN APPLICANT THAT HAD GROSS RECEIPTS OF LESS THAN $20,000 FROM ACTIVITIES CONDUCTED UNDER THIS CHAPTER DURING THE PRECEDING YEAR; (3) $50 FOR AN APPLICANT THAT HAD GROSS RECEIPTS OF $20,000 OR MORE BUT NOT EXCEEDING $100,000 FROM ACTIVITIES CONDUCTED UNDER THIS CHAPTER DURING THE PRECEDING YEAR; OR (4) $100 FOR AN APPLICANT THAT HAD GROSS RECEIPTS EXCEEDING $100,000 FROM ACTIVITIES CONDUCTED UNDER THIS CHAPTER DURING THE PRECEDING YEAR]. * Sec. 3. AS05.15.020 is amended by adding a new subsection to read: (c) The annual permit fee under (a) of this section is (1) $20 for an applicant that did not hold a permit during the preceding year; (2) $20 for an applicant that had gross receipts of less than $20,000 from activities conducted under this chapter during the preceding year; (3) $50 for an applicant that had gross receipts of $20,000 or more but not exceeding $100,000 from activities conducted under this chapter during the preceding year; or (4) $100 for an applicant that had gross receipts exceeding $100,000 from activities conducted under this chapter during the preceding year." 1993-05-08 House Journal Page 1738 HB 168 Renumber the following bill sections accordingly. Page 7, following line 9: Insert a new bill section to read: "* Sec. 10. AS05.15.112(a) is repealed and reenacted to read: (a) Each municipality or qualified organization that applies for a permit under this chapter shall designate a member in charge and at least one alternate member in charge. The member in charge and alternate members in charge designated must have passed a test formulated by the department on the contents of this chapter and the regulations adopted under this chapter. The department shall administer the test at least four times a year. Municipalities and qualified organizations that hold a multiple beneficiary permit shall jointly designate one member in charge and at least one alternate member in charge." Renumber the following bill sections accordingly. Page 7, following line 17: Insert a new bill section to read: "* Sec. 12. AS05.15.112(b) is repealed and reenacted to read: (b) The member in charge is responsible for preparation, maintenance, and transmittal of all records and reports required of the permittee, and, if the permittee has entered into a contract with an operator under AS05.15.115, for monitoring the operator's performance under and compliance with that contract. The alternate members in charge are responsible for the duties of the member in charge in the absence of the member in charge. The member in charge and the alternate members in charge shall be members of the qualified organization or the board of directors of the qualified organization or employees of the municipality. In the case of a multiple beneficiary permit, the member in charge and the alternate members in charge shall be members of one of the qualified organizations of the board of directors of one of the qualified organizations or employers of one of the municipalities." Renumber the following bill sections accordingly. Page 7, following line 21: Insert a new bill section to read: 1993-05-08 House Journal Page 1739 HB 168 "* Sec. 14. AS05.15.112 is amended by adding a new subsection to read: (e) If a permittee's designated member in charge or sole alternate member in charge resigns or is no longer able to serve as member in charge or alternate member in charge, the permittee has six months to replace the member in charge or alternate member in charge with a person who meets the requirements of this section, and to notify the department of the replacement. If after six months the permittee has not replaced the member in charge or alternate member in charge with a person who meets the requirements of this section, or has not notified the department of the replacement, the permittee's permit is suspended until the requirements of this subsection are met." Renumber the following bill sections accordingly. Page 8, following line 3: Insert a new bill section to read: "* Sec. 16. AS05.15.122(b) is amended to read: (b) The department may issue an operator's license to a natural person, municipality, or qualified organization that (1) applies on the form provided by the department; (2) pays the annual fee of $500; (3) discloses the identity of persons employed by the applicant in a managerial or supervisory capacity; (4) submits proof of liability insurance satisfactory to the department; [AND] (5) posts a bond or security satisfactory to the department in the amount of $25,000 for each permit under which the operator operates up to a maximum of $100,000; and (6) if a natural person, has passed a test formulated by the department on the contents of this chapter and the regulations adopted under this chapter and administered by the department at least four times a year; or, if a municipality or qualified organization, has designated a municipal employee or member of the organization who has passed this test." Renumber the following bill sections accordingly. Page 19, following line 9: Insert a new bill section to read: 1993-05-08 House Journal Page 1740 HB 168 "* Sec. 40. TRANSITIONAL PROVISION. The Department of Commerce and Economic Development shall prepare the tests required by AS05.15.112(a), as amended by sec. 10 of this Act, and by AS05.15.122(b), as amended by sec.16 of this Act, so that they may first be offered no later than January 1994." Page 19, line 10: Delete "12 and 16" Insert " 2, 3, 10, 12, 14, 16, 18, and 22" Page 19, line 12: Delete "12 and 16" Insert "18 and 22" Page 19, following line 12: Insert a new bill section to read: "* Sec. 43. Sections 2, 3, 10, 12, 14, and 16 of this Act take effect January 1, 1995." Renumber the following bill section accordingly. Representative Nordlund moved and asked unanimous consent that Amendment No. 9 be adopted. Objection was heard. The question being: "Shall Amendment No. 9 be adopted?" The roll was taken with the following result: CSHB 168(FIN) am Second Reading Amendment No. 9 YEAS: 32 NAYS: 8 EXCUSED: 0 ABSENT: 0 Yeas: Barnes, Brice, Brown, Bunde, Carney, Davidson, Davies, B.Davis, G.Davis, Finkelstein, Green, Grussendorf, Hanley, Hoffman, James, Kott, Larson, Mackie, Martin, Menard, Moses, Mulder, Navarre, Nicholia, Nordlund, Parnell, Porter, Sitton, Therriault, Toohey, Ulmer, Willis 1993-05-08 House Journal Page 1741 HB 168 Nays: Foster, Hudson, MacLean, Olberg, Phillips, Sanders, Vezey, Williams And so, Amendment No. 9 was adopted, and the new title appears below: "An Act establishing a testing program for charitable gaming permittees and operators; relating to the duties of members in charge; allowing the holders of a multiple-beneficiary charitable gaming permit that consists entirely of noncommercial broadcasting stations or networks of such stations to sell a pull-tab series at more than one location during the same day if the sales are made at the customary business location of one or more of the holders, at another location by an employee of one of the stations or networks, or by a registered vendor; allowing permittees that are noncommercial broadcasting stations or networks of such stations to contract with vendors to sell pull-tabs on behalf of the permittee at certain retail establishments and eating establishments; requiring at least 50 percent of the net proceeds of certain activities conducted by noncommercial broadcasting stations and networks of those stations be placed in an endowment fund, the earnings of which may be used for the purposes, and under the procedures, provided by law; prohibiting a pull-tab game that provides a right to participate in a lottery if a prize or award in the lottery exceeds $250,000; requiring a vendor contracting with a permittee that is a noncommercial broadcasting station or a network of such stations to pay the permittee at least 80 percent of the ideal net for each pull-tab series delivered to the vendor by the permittee; 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 1993-05-08 House Journal Page 1742 HB 168 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 and increasing the annual licensing fee for 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 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 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 70 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; 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 payment of any portion of the net proceeds of a bingo or pull-tab game to a registered lobbyist; providing a penalty for false statements in gaming license applications; providing communities with the authority by local option election to prohibit charitable gaming within the community; and providing for an effective date." 1993-05-08 House Journal Page 1743 HB 168 Amendment No. 10 was offered by Representative Porter: Page 3, line 21, following "community;" (title amendment): Insert "providing for an advisory vote related to charitable gaming;" Page 19, following line 6: Insert new bill sections to read: "* Sec. 32. The lieutenant governor shall place before the qualified voters of the state at the November 1994 general election a question advisory to the legislature of whether noncommercial broadcasting stations and networks should be permitted to conduct statewide lotteries. The question shall appear on the ballot in the following form: