Legislature(1995 - 1996)
1996-02-28 House Journal
Full Journal pdf1996-02-28 House Journal Page 2917 HB 307 The following was read the second time: HOUSE BILL NO. 307 An Act prohibiting the sale of pull-tabs; and providing for an effective date. with the: Journal Page JUD RPT CS(JUD) NT 4DP 1DNP 1NR 1626 FISCAL NOTE (REV) 1627 FIN RPT CS(FIN) NT 7DP 1NR 2AM 2824 ZERO FISCAL NOTE (REV) 2825 Representative Vezey moved and asked unanimous consent that the following committee substitute be adopted in lieu of the original bill: CS FOR HOUSE BILL NO. 307(FIN) An Act relating to accounting for charitable gaming proceeds; providing that a political use is not an authorized use of charitable gaming proceeds; prohibiting the contribution of charitable gaming proceeds to candidates for certain public offices, their campaign organizations, or to political groups; providing that a political group is not a qualified organization for purposes of charitable gaming; and providing for an effective date. There being no objection, it was so ordered. Amendment No. 1 was offered by Representative Finkelstein: Page 1, line 3, following "proceeds" (title amendment): Insert ", other than proceeds from raffles and lotteries," 1996-02-28 House Journal Page 2918 HB 307 Page 1, line 5, following "gaming" (title amendment): Insert ", other than raffles and lotteries; relating to raffles and lotteries" Page 3, line 7, through page 4, line 8: Delete all material and insert: "* Sec. 2. AS05.15.100 is amended by adding a new subsection to read: (e) The department may issue a permit to a political organization for activities conducted under AS05.15.155. A permit issued under this subsection gives the political organization the privilege of conducting raffles and lotteries but no other forms of charitable gaming. A political organization receiving a permit under this subsection must satisfy all the requirements of this chapter relating to permittees. A political organization may not hold or otherwise participate in a multiple-beneficiary permit. * Sec. 3. AS05.15.115 is amended by adding a new subsection to read: (e) A political organization holding a permit to conduct raffles and lotteries under AS05.15.100(e) may not enter into a contract with an operator to conduct, on behalf of the political organization, the raffles and lotteries permitted under the authority of the permit. * Sec. 4. AS05.15.150 is amended to read: Sec. 05.15.150. LIMITATION ON USE OF PROCEEDS. (a) The authority to conduct the activity authorized by this chapter is contingent upon the dedication of the net proceeds of the charitable gaming activity to the awarding of prizes to contestants or participants and to ªPOLITICAL,ß educational, civic, public, charitable, patriotic, or religious uses in the state. "Educational [POLITICAL, EDUCATIONALß, civic, public, charitable, patriotic, or religious uses" means uses benefiting persons either by bringing them under the influence of education or religion or relieving them from disease, suffering, or constraint, or by assisting them in establishing themselves in life, or by providing for the promotion of the welfare and well-being of the membership of the organization within their own community, ªOR THROUGH AIDING CANDIDATES FOR PUBLIC OFFICE OR GROUPS THAT SUPPORT CANDIDATES FOR PUBLIC OFFICE,ß or by erecting or maintaining public buildings or works, or lessening the burden on government, but does not include 1996-02-28 House Journal Page 2919 HB 307 (1) the direct or indirect (A) payment of any portion of the net proceeds of a bingo or pull-tab game to a lobbyist registered under AS24.45; (B) contribution of any portion of the net proceeds of a charitable gaming activity to (i) a candidate for a public office of the state or a political subdivision of the state or to the candidate's campaign organization; (ii) a political party as defined under AS15.60; (iii) an organization or club organized under or formally affiliated with a political party; (iv) a political group as defined under AS15.60; or (v) a group as defined under AS15.13.130, including a group that seeks to influence the opinions of voters concerning the election of a candidate for public office, a constitutional amendment, an initiative, or another ballot measure; or (2) the erection, acquisition, improvement, maintenance, or repair of real, personal, or mixed property unless it is used exclusively for one or more of the permitted uses. (b) The net proceeds derived from the activity must be devoted within one year to one or more of the uses stated in (a) of this section. If the net proceeds are derived from raffles and lotteries, the proceeds must be devoted within one year to one or more of the uses stated in (a) of this section or to political uses as provided in (c) of this section. A municipality or qualified organization desiring to hold the net proceeds for a period longer than one year must apply to the department for special permission and upon good cause shown the department may grant the request. * Sec. 5. AS05.15.150 is amended by adding a new subsection to read: (c) In addition to the uses specified in (a) of this section, a permittee may dedicate the net proceeds of raffles and lotteries to political uses within the state. In this subsection, "political uses" means uses benefiting persons through aiding candidates for public office or groups that support candidates for public office. 1996-02-28 House Journal Page 2920 HB 307 * Sec. 6. AS05.15 is amended by adding a new section to read: Sec. 05.15.155. POLITICAL ORGANIZATION RAFFLES AND LOTTERIES. A political organization that holds a permit under AS05.15.100(e) may conduct raffles and lotteries. Notwithstanding AS05.15.150, the authority to conduct the raffles and lotteries under this section is contingent upon the dedication of the net proceeds of the raffles and lotteries to political, educational, civic, public, charitable, patriotic, or religious uses in the state and to the awarding of prizes to contestants or participants. "Educational, civic, public, charitable, patriotic, or religious uses" means those uses described in AS05.15.150(a). "Political uses" has the meaning given in AS05.15.150(c). The net proceeds derived from raffles and lotteries under this subsection must be devoted within one year to one or more of the uses described in this section. A political organization desiring to hold the net proceeds for a period longer than one year must apply to the department for special permission and upon good cause shown the department may grant the request. * Sec. 7. AS05.15.690(34) is amended to read: (34) "political organization" means an organization or club organized under or formally affiliated with a political party as defined in AS15.60.010, that operates without profits to its members, and that has been in existence for a period of three years immediately before applying for a license; the organization may be a firm, corporation, company, association, or partnership;" Renumber the following bill sections accordingly. Page 4, line 18: Delete all material. Renumber the following bill section accordingly. Representative Finkelstein moved and asked unanimous consent Amendment No. 1 be adopted. Representative Toohey objected. The question being: Shall Amendment No. 1 be adopted? The roll was taken with the following result: 1996-02-28 House Journal Page 2921 HB 307 CSHB 307(FIN) Second Reading Amendment No. 1 YEAS: 18 NAYS: 22 EXCUSED: 0 ABSENT: 0 Yeas: Barnes, Brice, Brown, Davies, B.Davis, Elton, Finkelstein, Foster, Grussendorf, James, Kubina, Mackie, Mulder, Navarre, Nicholia, Robinson, Sanders, Willis Nays: Austerman, Bunde, G.Davis, Green, Hanley, Ivan, Kelly, Kohring, Kott, Long, Martin, Masek, Moses, Ogan, Parnell, Phillips, Porter, Rokeberg, Therriault, Toohey, Vezey, Williams And so, Amendment No. 1 was not adopted. Amendment No. 2 was offered by Representative Finkelstein: Page 1, lines 1 - 2 (title amendment): Delete "a political use is" Insert "contributions to candidates and their campaign organizations are" Page 1, line 4, following "offices" (title amendment): Delete "," Insert "or" Page 1, line 4 (title amendment): Delete ", or to political groups; providing that a" Insert ";" Page 1, line 5 (title amendment): Delete all material. Page 3, line 10: Delete "ªPOLITICALß" Insert "political," 1996-02-28 House Journal Page 2922 HB 307 Page 3, line 12: Delete "Educational ªPOLITICAL, EDUCATIONALß" Insert "Political, educational" Page 3, lines 17 - 18: Delete "ªOR THROUGH AIDING CANDIDATES FOR PUBLIC OFFICE OR GROUPS THAT SUPPORT CANDIDATES FOR PUBLIC OFFICE,ß" Insert "or through aiding ªCANDIDATES FOR PUBLIC OFFICE ORß groups that support candidates for public office," Page 3, line 26: Delete "(i)" Page 3, line 29, through page 4, line 5: Delete "(ii) a political party as defined under AS15.60; (iii) an organization or club organized under or formally affiliated with a political party; (iv) a political group as defined under AS15.60; or (v) a group as defined under AS15.13.130, including a group that seeks to influence the opinions of voters concerning the election of a candidate for public office, a constitutional amendment, an initiative, or another ballot measure;" Page 4, lines 9 - 18: Delete all material. Renumber the following bill section accordingly. Representative Finkelstein moved and asked unanimous consent Amendment No. 2 be adopted. Representative Hanley objected. Representative Kubina placed a call on the House and lifted the call. The question being: Shall Amendment No. 2 be adopted? The roll was taken with the following result: 1996-02-28 House Journal Page 2923 HB 307 CSHB 307(FIN) Second Reading Amendment No. 2 YEAS: 15 NAYS: 25 EXCUSED: 0 ABSENT: 0 Yeas: Barnes, Brice, Brown, Davies, B.Davis, Elton, Finkelstein, Grussendorf, Kubina, Long, Mackie, Nicholia, Robinson, Sanders, Willis Nays: Austerman, Bunde, G.Davis, Foster, Green, Hanley, Ivan, James, Kelly, Kohring, Kott, Martin, Masek, Moses, Mulder, Navarre, Ogan, Parnell, Phillips, Porter, Rokeberg, Therriault, Toohey, Vezey, Williams Williams changed from "Yea" to "Nay". And so, Amendment No. 2 was not adopted. Amendment No. 3 was offered by Representative Finkelstein: Page 1, line 1, following "Act" (title amendment): Insert "relating to pull-tab games;" Page 4, following line 8: Insert a new bill section to read: "* Sec. 3. AS05.15.187 is amended by adding a new subsection to read: (j) Before the sale of any pull-tab games, operators, vendors, and permittees shall clearly identify to the public the permittee that will benefit from the sale of that pull-tab series. The notice shall be posted so that it is clearly visible in a location in close proximity to where the sale of pull-tabs occurs." Renumber the following bill sections accordingly. Representative Finkelstein moved and asked unanimous consent than Amendment No. 3 be adopted. Representative Vezey objected. 1996-02-28 House Journal Page 2924 HB 307 The question being: Shall Amendment No. 3 be adopted? The roll was taken with the following result: CSHB 307(FIN) Second Reading Amendment No. 3 YEAS: 15 NAYS: 25 EXCUSED: 0 ABSENT: 0 Yeas: Barnes, Brice, Brown, Davies, B.Davis, Elton, Finkelstein, Grussendorf, Kubina, Long, Mackie, Nicholia, Robinson, Sanders, Willis Nays: Austerman, Bunde, G.Davis, Foster, Green, Hanley, Ivan, James, Kelly, Kohring, Kott, Martin, Masek, Moses, Mulder, Navarre, Ogan, Parnell, Phillips, Porter, Rokeberg, Therriault, Toohey, Vezey, Williams And so, Amendment No. 3 was not adopted. Amendment No. 4 was offered by Representative Brown: Page 1, line 1, following "Act" (title amendment): Insert "relating to the percentage of adjusted gross income that operators must pay to permittees; relating to authorized expenses of charitable gaming;" Page 3, following line 6: Insert a new bill section to read: "* Sec. 2. AS05.15.128(a) is amended to read: (a) The department shall revoke the license of an operator who does not (1) report an adjusted gross income of at least 15 percent of gross income annually based on the total operation of the operator; or (2) pay to each authorizing permittee annually at least 40 [30ß percent of the adjusted gross income, as determined under (1) of this subsection, from a pull-tab activity or at least 10 percent of the adjusted gross income, as determined under (1) of this subsection, from a gaming activity other than pull-tabs, received from activities conducted on behalf of the authorizing permittee." 1996-02-28 House Journal Page 2925 HB 307 Renumber the following bill sections accordingly. Page 4, following line 8: Insert a new bill section to read: "* Sec. 4. AS 05.15.160(c) is amended to read: (c) The total amount of authorized expenses that may be incurred under (a) of this section in connection with a pull-tab activity may not exceed 60 ª70ß percent of the adjusted gross income from that pull-tab activity." Renumber the following bill sections accordingly. Representative Brown moved and asked unanimous consent that Amendment No. 4 be adopted. Representative Porter objected. The question being: Shall Amendment No. 4 be adopted? The roll was taken with the following result: CSHB 307(FIN) Second Reading Amendment No. 4 YEAS: 16 NAYS: 24 EXCUSED: 0 ABSENT: 0 Yeas: Austerman, Barnes, Brice, Brown, Davies, B.Davis, Elton, Finkelstein, Grussendorf, Kubina, Long, Navarre, Nicholia, Robinson, Sanders, Willis Nays: Bunde, G.Davis, Foster, Green, Hanley, Ivan, James, Kelly, Kohring, Kott, Mackie, Martin, Masek, Moses, Mulder, Ogan, Parnell, Phillips, Porter, Rokeberg, Therriault, Toohey, Vezey, Williams And so, Amendment No. 4 was not adopted. Amendment No. 5 was offered by Representative Brown: Page 1, line 1, after "Act" (title amendment): Insert "relating to the pull-tab tax;" 1996-02-28 House Journal Page 2926 HB 307 Page 4, after line 8: Insert a new bill section to read: "* Sec. 3. AS05.15.184 is amended to read: Sec. 05.15.184. PULL-TAB TAX. A pull-tab distributor shall collect a tax of five ªTHREEß percent of an amount equal to the gross receipts less prizes awarded on each series of pull-tabs distributed. The pull-tab distributor shall pay to the department the tax collected in the preceding month at the time that the report under AS05.15.183(d) is filed with the department." Renumber the following bill sections accordingly. Representative Brown moved and asked unanimous consent that Amendment No. 5 be adopted. Representative Martin objected. The question being: Shall Amendment No. 5 be adopted? The roll was taken with the following result: CSHB 307(FIN) Second Reading Amendment No. 5 YEAS: 13 NAYS: 27 EXCUSED: 0 ABSENT: 0 Yeas: Brice, Brown, Davies, B.Davis, Elton, Finkelstein, Grussendorf, Long, Navarre, Nicholia, Robinson, Sanders, Willis Nays: Austerman, Barnes, Bunde, G.Davis, Foster, Green, Hanley, Ivan, James, Kelly, Kohring, Kott, Kubina, Mackie, Martin, Masek, Moses, Mulder, Ogan, Parnell, Phillips, Porter, Rokeberg, Therriault, Toohey, Vezey, Williams And so, Amendment No. 5 was not adopted. 1996-02-28 House Journal Page 2927 HB 307 Amendment No. 6 was offered by Representative Finkelstein: Page 4, line 19: Delete "This Act takes effect January 1, 1997" Insert "Sections 1 - 4 of this Act take effect only if Initiative 95- CFPO, relating to election campaign financing and the Alaska Public Offices Commission, is approved by the voters, or a bill that is substantially the same as the initiative is passed by the Nineteenth Alaska State Legislature and enacted into law. * Sec. 6. If secs. 1 - 4 of this Act take effect under sec. 5 of this Act, they take effect the first day of January following the voter approval or enactment described in sec.5 of this Act" Representative Finkelstein moved and asked unanimous consent that Amendment No. 6 be adopted. Representative Porter objected. The question being: Shall Amendment No. 6 be adopted? The roll was taken with the following result: CSHB 307(FIN) Second Reading Amendment No. 6 YEAS: 12 NAYS: 28 EXCUSED: 0 ABSENT: 0 Yeas: Brice, Brown, Davies, B.Davis, Elton, Finkelstein, Grussendorf, Kubina, Long, Nicholia, Robinson, Willis Nays: Austerman, Barnes, Bunde, G.Davis, Foster, Green, Hanley, Ivan, James, Kelly, Kohring, Kott, Mackie, Martin, Masek, Moses, Mulder, Navarre, Ogan, Parnell, Phillips, Porter, Rokeberg, Sanders, Therriault, Toohey, Vezey, Williams And so, Amendment No. 6 was not adopted. 1996-02-28 House Journal Page 2928 HB 307 Amendment No. 7 was offered by Representative Finkelstein: Page 1, line 1, following Act (title amendment): Insert prohibiting the sale of pull-tabs as a charitable gaming activity; Page 1, line 8 through page 4, line 19: Delete all references to pull-tabs. Representative Finkelstein moved and asked unanimous consent that Amendment No. 7 be adopted. Representative Martin objected. The question being: Shall Amendment No. 7 be adopted? The roll was taken with the following result: CSHB 307(FIN) Second Reading Amendment No. 7 YEAS: 11 NAYS: 29 EXCUSED: 0 ABSENT: 0 Yeas: Barnes, Brown, B.Davis, Elton, Finkelstein, Kott, Navarre, Nicholia, Parnell, Robinson, Sanders Nays: Austerman, Brice, Bunde, Davies, G.Davis, Foster, Green, Grussendorf, Hanley, Ivan, James, Kelly, Kohring, Kubina, Long, Mackie, Martin, Masek, Moses, Mulder, Ogan, Phillips, Porter, Rokeberg, Therriault, Toohey, Vezey, Williams, Willis And so, Amendment No. 7 was not adopted. Amendment No. 8 was offered by Representative Finkelstein: Page 1, line 3, following proceeds (title amendment): Insert , other than proceeds from raffles 1996-02-28 House Journal Page 2929 HB 307 Page 4, line 8, following uses.: Insert new bill sections to read: * Sec. 3. AS 05.15.100 is amended by adding a new subsection to read: (e) The department may issue a permit to a political organization for activities conducted under AS 05.15.155. A permit issued under this subsection gives the political organization the privilege of conducting raffles but no other forms of charitable gaming. A political organization receiving a permit under this subsection must satisfy all the requirements of this chapter relating to permittees. A political organization may not hold or otherwise participate in a multiple-beneficiary permit. * Sec. 4. AS 05.15.115 is amended by adding a new subsection to read: (e) A political organization holding a permit to conduct raffles under AS 05.15.100(e) may not enter into a contract with an operator to conduct, on behalf of the political organization, the raffles permitted under the authority of the permit. Renumber the following bill sections accordingly. Representative Finkelstein moved and asked unanimous consent that Amendment No. 8 be adopted. Representative Vezey objected. The question being: Shall Amendment No. 8 be adopted? The roll was taken with the following result: CSHB 307(FIN) Second Reading Amendment No. 8 YEAS: 13 NAYS: 26 EXCUSED: 0 ABSENT: 1 Yeas: Barnes, Brice, Brown, Davies, B.Davis, Elton, Finkelstein, Grussendorf, Mackie, Navarre, Nicholia, Robinson, Willis 1996-02-28 House Journal Page 2930 HB 307 Nays: Austerman, Bunde, G.Davis, Foster, Green, Hanley, Ivan, James, Kelly, Kohring, Kott, Long, Martin, Masek, Moses, Mulder, Ogan, Parnell, Phillips, Porter, Rokeberg, Sanders, Therriault, Toohey, Vezey, Williams Absent: Kubina And so, Amendment No. 8 was not adopted. Representative Vezey moved and asked unanimous consent that CSHB 307(FIN) be considered engrossed, advanced to third reading and placed on final passage. Objection was heard. The question being: Shall CSHB 307(FIN) be advanced to third reading on the same day? The roll was taken with the following result: CSHB 307(FIN) Second Reading Advance to Third Reading YEAS: 24 NAYS: 12 EXCUSED: 0 ABSENT: 4 Yeas: Austerman, Barnes, Bunde, Foster, Green, Hanley, Ivan, James, Kelly, Kohring, Kott, Martin, Masek, Moses, Mulder, Ogan, Parnell, Phillips, Porter, Rokeberg, Therriault, Toohey, Vezey, Williams Nays: Brown, Davies, B.Davis, Elton, Finkelstein, Grussendorf, Long, Mackie, Navarre, Nicholia, Robinson, Willis Absent: Brice, G.Davis, Kubina, Sanders And so, lacking the necessary 30 votes, CSHB 307(FIN) failed to advance and will be in third reading on tomorrows calendar.