00 SENATE CS FOR CS FOR HOUSE BILL NO. 44(FIN) 01 "An Act relating to reporting by permittees, licensees, and vendors; relating to 02 municipal regulation of charitable gaming; providing that a political group is not 03 a qualified organization for purposes of charitable gaming, other than raffles, and 04 relating to those raffles; relating to identification to the public of each permittee 05 that will benefit from the sale of each pull-tab series and each bingo session; 06 providing that the proceeds from charitable gaming, other than certain raffles 07 conducted by a political organization, may not be contributed to a political party 08 or other political group; and providing for an effective date." 09 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 10 * Section 1. AS 05.15.060(a) is amended to read: 11  (a) The department shall adopt regulations under AS 44.62 (Administrative 12 Procedure Act) necessary to carry out this chapter covering, but not limited to, 13  (1) the issuance, renewal, and revocation of permits, licenses, and 14 vendor registrations; 01  (2) a method of ascertaining net proceeds, the determination of items 02 of expense that may be incurred or paid, and the limitation of the amount of the items 03 of expense to prevent the proceeds from the activity permitted from being diverted to 04 noncharitable, noneducational, nonreligious, or profit-making organizations, individuals, 05 or groups; 06  (3) the immediate revocation of permits, licenses, and vendor 07 registrations authorized under this chapter if this chapter or regulations adopted under 08 it are violated; 09  (4) the requiring of detailed, sworn, financial reports of operations from 10 permittees and licensees including detailed statements of receipts and payments; 11  (5) the investigation of permittees, licensees, registered vendors, and 12 their employees, including the fingerprinting of those permittees, licensees, registered 13 vendors, and employees whom the department considers it advisable to fingerprint; 14  (6) the method and manner of conducting authorized activities and 15 awarding of prizes or awards, and the equipment that may be used; 16  (7) the number of activities that may be held, operated, or conducted 17 under a permit during a specified period; however, the department may not allow more 18 than 14 bingo sessions a month and 35 bingo games a session to be conducted under 19 a permit; the holders of a multiple-beneficiary permit under AS 05.15.100(d) may hold, 20 operate, or conduct the number of sessions and games a month equal to the number 21 allowed an individual permittee per month multiplied by the number of holders of the 22 multiple-beneficiary permit; 23  (8) a method of accounting for receipts and disbursements by operators, 24 including the keeping of records and requirements for the deposit of all receipts in a 25 bank; 26  (9) the disposition of funds in possession of a permittee, a person, 27 municipality, or qualified organization that possesses an operator's license, or a 28 registered vendor at the time a permit, a license, or a vendor registration is 29 surrendered, revoked, or invalidated; 30  (10) restrictions on the participation by employees of the Department 31 of Fish and Game in salmon classics; and in king salmon classics, and by employees 01 of Douglas Island Pink and Chum in king salmon classics; 02  (11)  the requiring of reports of donations or contributions in excess 03 of $100 in the aggregate a year by permittees to a political candidate; reports 04 must include all donations or contributions made from the last date covered by 05 any previous report to three days before the due date of the report and shall be 06 made at the following times: (A) 30 days before an election involving the 07 candidate; (B) one week before an election involving the candidate; (C) 10 days 08 after an election involving the candidate; and (D) February 15 for donations and 09 contributions made that were not reported during the previous year; the 10 department shall, for a period of time set by the department, suspend or revoke 11 the permit of a permittee that fails to report at the times and in the manner 12 provided in this paragraph; 13   (12) the identification of all financial accounts of the permittee into 14 which charitable gaming proceeds are deposited or transferred and providing for 15 examination by the department of those accounts to ensure that proceeds are not 16 diverted or transferred to any purpose or use not permitted by this chapter; 17   (13) a requirement that a permittee, licensee, or vendor that 18 donates or contributes the proceeds of charitable gaming to a candidate must 19 inform the candidate that the donation or contribution is a proceed of charitable 20 gaming; 21  (14) other matters the department considers necessary to carry out this 22 chapter or protect the best interest of the public. 23 * Sec. 2. AS 05.15.100 is amended by adding a new subsection to read: 24  (e) The department may issue a permit to a political organization for activities 25 conducted under AS 05.15.155. A permit issued under this subsection gives the 26 political organization the privilege of conducting raffles but no other forms of 27 charitable gaming. A political organization receiving a permit under this subsection 28 must satisfy all the requirements of this chapter relating to permittees. A political 29 organization may not hold or otherwise participate in a multiple-beneficiary permit. 30 * Sec. 3. AS 05.15.115 is amended by adding a new subsection to read: 31  (e) A political organization holding a permit to conduct raffles under 01 AS 05.15.100(e) may not enter into a contract with an operator to conduct, on behalf 02 of the political organization, the raffles permitted under the authority of the permit. 03 * Sec. 4. AS 05.15.124 is amended to read: 04  Sec. 05.15.124. MUNICIPAL REGULATION OF OPERATORS, [OR] 05 VENDORS, AND MULTIPLE-BENEFICIARY CHARITABLE GAMING. A 06 municipality may by ordinance prohibit activities under this chapter from being 07 conducted within the municipality 08   (1) by an operator or a vendor; or 09  (2) under a multiple-beneficiary permit [FROM CONDUCTING 10 ACTIVITIES UNDER THIS CHAPTER WITHIN THE MUNICIPALITY]. 11 * Sec. 5. AS 05.15.124 is amended by adding a new subsection to read: 12  (b) A municipality may not prohibit activities from being conducted 13  (1) under a multiple-beneficiary permit unless it also prohibits activities 14 from being conducted by an operator; 15  (2) by an operator unless it also prohibits activities from being 16 conducted under a multiple-beneficiary permit. 17 * Sec. 6. AS 05.15.150(a) is amended to read: 18  (a) The authority to conduct the activity authorized by this chapter is 19 contingent upon the dedication of the net proceeds of the charitable gaming activity 20 to the awarding of prizes to contestants or participants and to political, educational, 21 civic, public, charitable, patriotic, or religious uses in the state. "Political, educational, 22 civic, public, charitable, patriotic, or religious uses" means uses benefiting persons 23 either by bringing them under the influence of education or religion or relieving them 24 from disease, suffering, or constraint, or by assisting them in establishing themselves 25 in life, or by providing for the promotion of the welfare and well-being of the 26 membership of the organization within their own community, or through aiding 27 candidates for public office [OR GROUPS THAT SUPPORT CANDIDATES FOR 28 PUBLIC OFFICE,] or by erecting or maintaining public buildings or works, or 29 lessening the burden on government, but does not include 30  (1) the direct or indirect 31   (A) payment of any portion of the net proceeds of a bingo or 01 pull-tab game to a lobbyist registered under AS 24.45; 02   (B) contribution of any portion of the net proceeds of a 03 charitable gaming activity to 04   (i) a political party as defined under AS 15.60; 05  (ii) an organization or club organized under or 06 formally affiliated with a political party; 07  (iii) a political group as defined under AS 15.60; 08  (iv) a group as defined under AS 15.13.130, including 09 a group that seeks to influence the opinions of voters concerning the 10 election of a candidate for public office, a constitutional 11 amendment, an initiative, or another ballot measure; or 12  (v) a campaign committee of a candidate for public 13 office whether the contribution is received by the campaign 14 committee or the candidate on behalf of the campaign committee; 15 or 16  (2) the erection, acquisition, improvement, maintenance, or repair of 17 real, personal, or mixed property unless it is used exclusively for one or more of the 18 permitted uses. 19 * Sec. 7. AS 05.15.150 is amended by adding a new subsection to read: 20  (c) For the purposes of (a)(1)(B) of this section, a contribution to a candidate 21 for public office is an indirect contribution to an entity described in (a)(1)(B) of this 22 section if the candidate gives the contribution to an entity described in (a)(1)(B) of this 23 section and the contributor knew or should have known that the candidate would give 24 the contribution to the entity. 25 * Sec. 8. AS 05.15 is amended by adding a new section to read: 26  Sec. 05.15.155. POLITICAL ORGANIZATION RAFFLES. A political 27 organization that holds a permit under AS 05.15.100(e) may conduct raffles. The 28 authority to conduct the raffles under this section is contingent upon the dedication of 29 the net proceeds of the raffles to political, educational, civic, public, charitable, 30 patriotic, or religious uses in the state, and to the awarding of prizes to contestants or 31 participants. "Political, educational, civic, public, charitable, patriotic, or religious 01 uses" means those uses described in AS 05.15.150(a), but is not limited by 02 AS 05.15.150(a)(1)(B) and (c) and includes aiding groups that support candidates for 03 public office or political organizations. The net proceeds derived from raffles under 04 this subsection must be devoted within one year to one or more of the uses described 05 in this section. A political organization desiring to hold the net proceeds for a period 06 longer than one year must apply to the department for special permission and upon 07 good cause shown the department may grant the request. 08 * Sec. 9. AS 05.15.180(f) is amended to read: 09  (f) A person under the age of 19 years may not play a bingo game.  Before 10 a bingo session begins, the identity of each permittee that will benefit from that 11 session shall be announced to the public. 12 * Sec. 10. AS 05.15.187 is amended by adding a new subsection to read: 13  (j) Prior to the sale of any pull-tab games, operators, vendors and permittees 14 shall clearly identify to the public the permittee that will benefit from the sale of that 15 pull-tab series. Such notice shall be posted so that it is clearly visibly in a location in 16 close proximity to where the sale of pull-tabs occurs. 17 * Sec. 11. AS 05.15 is amended by adding a new section to article 4 to read: 18  Sec. 05.15.670. REPORTS PUBLIC RECORDS. All reports of permittees, 19 licensees, and vendors under this chapter are public records. 20 * Sec. 12. AS 05.15.690(32) is amended to read: 21  (32) "political organization" means an organization or club organized 22 under or formally affiliated with a political party as defined in AS 15.60.010, that 23 operates without profits to its members, and that has been in existence for a 24 period of three years immediately before applying for a license; the organization 25 may be a firm, corporation, company, association, or partnership; 26 * Sec. 13. AS 05.15.690(34) is amended to read: 27  (34) "qualified organization" means a bona fide civic or service 28 organization or a bona fide religious, charitable, fraternal, veterans, labor, 29 [POLITICAL,] or educational organization, police or fire department and company, 30 dog mushers' association, outboard motor association, or fishing derby or nonprofit 31 trade association in the state, that operates without profits to its members and that has 01 been in existence continually for a period of three years immediately before applying 02 for a license; the organization may be a firm, corporation, company, association, or 03 partnership; 04 * Sec. 14. AS 09.25.100 is amended to read: 05  Sec. 09.25.100. DISPOSITION OF TAX INFORMATION.  Except as 06 provided in (b) of this section, information [INFORMATION] in the possession of 07 the Department of Revenue that discloses the particulars of the business or affairs of 08 a taxpayer or other person is not a matter of public record, except for purposes of 09 investigation and law enforcement. The information shall be kept confidential except 10 when its production is required in an official investigation or court proceeding. These 11 restrictions do not prohibit the publication of statistics presented in a manner that 12 prevents the identification of particular reports and items, or prohibit the publication 13 of tax lists showing the names of taxpayers who are delinquent and relevant 14 information that may assist in the collection of delinquent taxes. 15 * Sec. 15. AS 09.25.100 is amended by adding a new subsection to read: 16  (b) This section does not apply to information received by the Department of 17 Revenue from reporting by permittees, licensees, and vendors under AS 05.15. 18 * Sec. 16. This Act takes effect January 1, 1996.