Legislature(2005 - 2006)BELTZ 211

04/11/2006 01:30 PM Senate LABOR & COMMERCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 439 INSURANCE PRODUCT REGULATION COMPACT TELECONFERENCED
Heard & Held
*+ SB 282 BROADCASTING PROMOTING CHARITABLE GAMING TELECONFERENCED
Heard & Held
+= HB 122 NATIONAL GUARD INSURANCE & OTHER RELIEF TELECONFERENCED
Heard & Held
Confirmation:
Board of Chiropractic Examiners
Jeffrey Garness
Bills Previously Heard/Scheduled
Including But Not Limited to:
+= SB 311 ATHLETIC COMMISSION; BOXING & WRESTLING TELECONFERENCED
Heard & Held
+= SB 312 CONCERT OR ATHLETIC EVENT PROMOTERS TELECONFERENCED
Moved CSSB 312(L&C) Out of Committee
+= SB 309 CONSTR. TRAINING GRANT;UNEMPLOYMENT COMP. TELECONFERENCED
Moved CSSB 309(L&C) Out of Committee
        SB 282-BROADCASTING PROMOTING CHARITABLE GAMING                                                                     
                                                                                                                              
CHAIR BUNDE announced SB 282 to be up for consideration.                                                                        
                                                                                                                                
SENATOR  GARY  STEVENS, sponsor  of  SB  282, explained  that  it                                                               
levels the playing field for  broadcasters to promote raffles and                                                               
lotteries in this state. Currently,  radio and TV are banned from                                                               
advertising  charitable  games  whereas newspapers  are  free  to                                                               
advertise  the same  activities.   Statutes also  impede stations                                                               
from assisting not-for-profit organizations  in raising money and                                                               
may  also deny  broadcasters equal  protection under  the federal                                                               
and  state constitutions  sections dealing  with broadcast  media                                                               
that  are  also engaged  with  print  media. For  example,  local                                                               
church raffles cannot be promoted  by local radio and TV stations                                                               
and Boy Scout fund raisers  involving raffles may not be included                                                               
in public  service announcements; not-for-profit groups,  such as                                                               
the  Boys  and Girls  Clubs,  are  excluded from  promoting  fund                                                               
raisers involving games  of chance on radio and TV  - even though                                                               
they can advertise in the  print media; various statewide events,                                                               
such as the Iditarod, may not be promoted by broadcasters.                                                                      
                                                                                                                                
2:55:55 PM                                                                                                                    
SENATOR SEEKINS  asked if lotteries  were legal in Alaska  and if                                                               
he anticipated any lotteries arriving from outside the state.                                                                   
                                                                                                                                
SENATOR  GARY  STEVENS  replied  that  radio  broadcasters  could                                                               
better  answer that  question and  he did  not anticipate  out of                                                               
state lotteries coming to the state.                                                                                            
                                                                                                                                
CHAIR  BUNDE thought  that "lottery"  and "raffle"  might need  a                                                               
definition.                                                                                                                     
                                                                                                                                
SENATOR  SEEKINS asked  him to  explain how  this related  to the                                                               
Iditarod.                                                                                                                       
                                                                                                                                
REPRESENTATIVE GARY  STEVENS replied that various  statewide fund                                                               
raising activities  such as the  Iditarod may not be  promoted by                                                               
broadcasters.                                                                                                                   
                                                                                                                                
SENATOR SEEKINS  recalled that certain Calcutta-type  events were                                                               
allowed  last year  for groups  like the  Iditarod -  that really                                                               
weren't a lottery process.                                                                                                      
                                                                                                                                
2:58:30 PM                                                                                                                    
CHAIR BUNDE  noted that he  had received information  saying that                                                               
rat racing  was prohibited  from advertising.  He then  asked the                                                               
Department  of Revenue  representative  about  the definition  of                                                               
raffle and lottery.                                                                                                             
                                                                                                                                
2:59:07 PM                                                                                                                    
DAN  STICKLE, Economist,  Department of  Revenue, explained  that                                                               
raffle and  lottery were  defined the same  way in  AS 05.15.690,                                                               
Section  38, as  "the selling  of  rights to  participate in  the                                                               
awarding of prizes  in a game of chance conducted  by the drawing                                                               
for prizes by lot."                                                                                                             
                                                                                                                                
3:00:20 PM                                                                                                                    
CHAIR  BUNDE asked  if  the  impetus behind  the  bill was  equal                                                               
access to advertising dollars by broadcast media.                                                                               
                                                                                                                                
REPRESENTATIVE GARY STEVENS replied yes.                                                                                        
                                                                                                                                
3:01:30 PM                                                                                                                    
DENNIS   BOOKEY,   General    Manager,   Morris   Communications,                                                               
Anchorage,  said he  manages six  radio stations.  He also  has a                                                               
personal interest in  an AM/FM small operation in  Kodiak. He was                                                               
the past  president of the Alaska  Broadcasters' Association when                                                               
the  original  statute was  enacted.  He  said that  broadcasters                                                               
aren't asking to  expand gaming, but just don't want  one form of                                                               
media  to  be excluded  over  another.  Most  of this  is  public                                                               
service oriented; the money isn't very significant.                                                                             
                                                                                                                                
3:03:03 PM                                                                                                                    
CHAIR BUNDE asked why the original prohibition was created.                                                                     
                                                                                                                                
MR. BOOKEY  replied that  the FCC  had regulations  against this,                                                               
but  the  federal government  realized  that  the restriction  on                                                               
broadcasters for a charitable nonprofit  organization did not fit                                                               
with the times  and changed the law. It gave  states time to come                                                               
up  with their  own law.  At  first broadcasters  wanted to  take                                                               
advantage of the change by doing  some games of chance on the air                                                               
since  they   were  already  nonprofits.  The   Attorney  General                                                               
suggested  that while  there was  nothing in  the law  precluding                                                               
them from doing it,  it might be a good idea to  get a law saying                                                               
they could.  The current  statute brought that  point up,  but an                                                               
amendment was added  that precluded it and  broadcasters were not                                                               
able to stop it.  He said, "So, it kind of  got convoluted in the                                                               
process."                                                                                                                       
                                                                                                                                
3:04:45 PM                                                                                                                    
CHAIR BUNDE asked if this legislation had a companion bill.                                                                     
                                                                                                                                
SENATOR GARY STEVENS replied yes.                                                                                               
                                                                                                                                
CHAIR BUNDE  said he  didn't understand  the prohibition  for the                                                               
animal classics.  He asked Senator  Gary Stevens to  explore that                                                               
for the next meeting.                                                                                                           
                                                                                                                                
SENATOR ELLIS  asked if  there is any  limitation on  these being                                                               
501(c)(3)s  or some  other  category in  state  or could  outside                                                               
charitable interests run  their games here and  advertise if this                                                               
were to be allowed.                                                                                                             
                                                                                                                                
SENATOR GARY  STEVENS responded  that he would  find that  out as                                                               
well for the next meeting.                                                                                                      
                                                                                                                                
3:05:39 PM                                                                                                                    
CHAIR BUNDE said he would hold SB 282 for a future meeting.                                                                     

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