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The Committee on Regulated Industries (Geller) recommended the

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following amendment:

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     Senate Amendment (with title amendment)

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     Delete everything after the enacting clause

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and insert:

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     Section 1.  Subsections (2), (4), and (7) of section

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849.086, Florida Statutes, are amended, present subsections (9)

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through (17) of that section are redesignated as subsections (10)

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through (18), respectively, and a new subsection (9) is added to

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that section, to read:

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     849.086  Cardrooms authorized.--

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     (2)  DEFINITIONS.--As used in this section:

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     (a)  "Authorized game" means a game or series of games of

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poker or dominoes which are played in a nonbanking manner.

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     (b)  "Banking game" means a game in which the house is a

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participant in the game, taking on players, paying winners, and

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collecting from losers or in which the cardroom establishes a

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bank against which participants play.

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     (c)  "Cardroom" means a facility where authorized games are

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played for money or anything of value and to which the public is

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invited to participate in such games and charged a fee for

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participation by the operator of such facility. Authorized games

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and cardrooms do not constitute casino gaming operations.

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     (d)  "Cardroom management company" means any individual not

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an employee of the cardroom operator, any proprietorship,

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partnership, corporation, or other entity that enters into an

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agreement with a cardroom operator to manage, operate, or

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otherwise control the daily operation of a cardroom.

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     (e)  "Cardroom distributor" means any business that

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distributes cardroom paraphernalia such as card tables, betting

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chips, chip holders, dominoes, dominoes tables, drop boxes,

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banking supplies, playing cards, card shufflers, and other

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associated equipment to authorized cardrooms.

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     (f)  "Cardroom operator" means a licensed pari-mutuel

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permitholder which holds a valid permit and license issued by the

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division pursuant to chapter 550 and which also holds a valid

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cardroom license issued by the division pursuant to this section

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which authorizes such person to operate a cardroom and to conduct

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authorized games in such cardroom.

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     (g) "Celebrity/charity poker tournament" means a game of

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poker which is played without limits on the amount wagered in any

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game or series of games or without limits on the rounds of

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betting established in this section if a minimum of 70 percent of

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the net proceeds from each poker tournament is donated to a

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charitable organization organized pursuant to section 501(c)(3)

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of the Internal Revenue Code.

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     (h)(g) "Division" means the Division of Pari-mutuel

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Wagering of the Department of Business and Professional

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Regulation.

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     (i)(h) "Dominoes" means a game of dominoes typically played

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with a set of 28 flat rectangular blocks, called "bones," which

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are marked on one side and divided into two equal parts, with

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zero to six dots, called "pips," in each part. The term also

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includes larger sets of blocks that contain a correspondingly

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higher number of pips. The term also means the set of blocks used

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to play the game.

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     (j)(i) "Gross receipts" means the total amount of money

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received by a cardroom from any person for participation in

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authorized games.

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     (k) "High-stakes poker tournament" means a game of poker

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which is played without limits on the amount wagered in any game

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or series of games or without limits on the rounds of betting

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established in this section.

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     (l)(j) "House" means the cardroom operator and all

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employees of the cardroom operator.

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     (m)(k) "Net proceeds" means the total amount of gross

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receipts received by a cardroom operator from cardroom operations

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less direct operating expenses related to cardroom operations,

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including labor costs, admission taxes only if a separate

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admission fee is charged for entry to the cardroom facility,

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gross receipts taxes imposed on cardroom operators by this

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section, the annual cardroom license fees imposed by this section

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on each table operated at a cardroom, and reasonable promotional

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costs excluding officer and director compensation, interest on

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capital debt, legal fees, real estate taxes, bad debts,

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contributions or donations, or overhead and depreciation expenses

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not directly related to the operation of the cardrooms.

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     (n)(l) "Rake" means a set fee or percentage of the pot

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assessed by a cardroom operator for providing the services of a

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dealer, table, or location for playing the authorized game.

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     (o)(m) "Tournament" means a series of games that have more

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than one betting round involving one or more tables and where the

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winners or others receive a prize or cash award.

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     (4)  AUTHORITY OF DIVISION.--The Division of Pari-mutuel

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Wagering of the Department of Business and Professional

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Regulation shall administer this section and regulate the

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operation of cardrooms under this section and the rules adopted

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pursuant thereto, and is hereby authorized to:

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     (a)1. Adopt rules, including, but not limited to: the

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issuance of cardroom and employee licenses for cardroom

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operations; the operation of a cardroom; recordkeeping and

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reporting requirements; and the collection of all fees and taxes

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imposed by this section.

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     2. Adopt rules for the operation of high-stakes poker

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tournaments and charity/celebrity poker tournaments, including,

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but not limited to, the amount of betting units and payout

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scales.

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     (b)  Conduct investigations and monitor the operation of

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cardrooms and the playing of authorized games therein.

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     (c)  Review the books, accounts, and records of any current

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or former cardroom operator.

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     (d)  Suspend or revoke any license or permit, after hearing,

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for any violation of the provisions of this section or the

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administrative rules adopted pursuant thereto.

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     (e)  Take testimony, issue summons and subpoenas for any

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witness, and issue subpoenas duces tecum in connection with any

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matter within its jurisdiction.

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     (f)  Monitor and ensure the proper collection of taxes and

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fees imposed by this section. Permitholder internal controls are

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mandated to ensure no compromise of state funds. To that end, a

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roaming division auditor shall will monitor and verify the cash

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flow and accounting of cardroom revenue for any given operating

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day.

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     (7)  CONDITIONS FOR OPERATING A CARDROOM.--

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     (a)  A cardroom may be operated only at the location

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specified on the cardroom license issued by the division, and

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such location may only be the location at which the pari-mutuel

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permitholder is authorized to conduct pari-mutuel wagering

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activities pursuant to such permitholder's valid pari-mutuel

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permit or as otherwise authorized by law.

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     (b) Any cardroom operator horserace, greyhound race, or

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jai alai permitholder licensed under this section may operate a

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cardroom at the pari-mutuel facility daily throughout the year.

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The cardroom may be open a cumulative amount of 18 hours per day

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on Monday through Friday and 24 hours per day on Saturday and

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Sunday and on the holidays specified in s. 110.117(1) on any day

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for a cumulative amount of 12 hours if the permitholder meets the

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requirements under paragraph (5)(b).

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     (c)  A cardroom operator must at all times employ and

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provide a nonplaying dealer for each table on which authorized

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card games which traditionally use a dealer are conducted at the

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cardroom. Such dealers may not have a participatory interest in

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any game other than the dealing of cards and may not have an

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interest in the outcome of the game. The providing of such

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dealers by a licensee does not constitute the conducting of a

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banking game by the cardroom operator.

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     (d)  A cardroom operator may award giveaways, jackpots, and

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prizes to a player who holds certain combinations of cards

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specified by the cardroom operator.

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     (e)  Each cardroom operator shall conspicuously post upon

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the premises of the cardroom a notice which contains a copy of

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the cardroom license; a list of authorized games offered by the

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cardroom; the wagering limits imposed by the house, if any; any

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additional house rules regarding operation of the cardroom or the

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playing of any game; and all costs to players to participate,

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including any rake by the house. In addition, each cardroom

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operator shall post at each table a notice of the minimum and

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maximum bets authorized at such table and the fee for

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participation in the game conducted.

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     (f)  The cardroom facility is subject to inspection by the

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division or any law enforcement agency during the licensee's

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regular business hours. The inspection must specifically include

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the permitholder internal control procedures approved by the

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division.

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     (g)  A cardroom operator may refuse entry to or refuse to

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allow any person who is objectionable, undesirable, or disruptive

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to play, but such refusal may not be on the basis of race, creed,

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color, religion, gender, national origin, marital status,

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physical handicap, or age, except as provided in this section.

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     (9) CHARITY/CELEBRITY POKER TOURNAMENTS AND HIGH-STAKES

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POKER TOURNAMENTS.--

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     (a) A cardroom operator may host a charity/celebrity poker

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tournament six times each year for 8 consecutive calendar days at

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a pari-mutuel facility that is authorized to operate cardrooms

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during the hours that the pari-mutuel facility is open to conduct

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business. Such a tournament may be conducted only once in any 2-

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month period. Any payments made to charitable organizations

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pursuant to this part shall not be calculated as gross receipts

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for purposes of tax payments to the state under s.849.086(13)(a).

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     (b) A cardroom operator may host a televised high-stakes

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poker tournament twice each year for 8 consecutive calendar days

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at a pari-mutuel facility that is authorized to operate cardrooms

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during the hours that the pari-mutuel facility is open to conduct

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business. Such a tournament may be conducted only once in any 6-

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month period.

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     (c) A high-stakes poker tournament shall consist of a

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series of games played at multiple tables. Tournaments shall be

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played only with tournament chips that shall be provided to all

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participants in exchange for an entry fee and any subsequent

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rebuys. All players shall receive an equal number of tournament

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chips for their entry fee. Tournament chips shall have no cash

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value and shall represent tournament points only. There shall be

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no limitation on the number of tournament chips that can be used

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for a bet except as determined by the cardroom operator.

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Tournament chips may never be redeemed for cash or any other

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thing of value. The entry fee for a tournament shall be decided

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by the cardroom operator, but the entry fee may not exceed

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$10,000 in value and subsequent rebuys may not exceed 50 percent

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of the required entry fee. The distribution of prizes and cash

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awards shall be determined by the cardroom operator before entry

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fees are accepted. For purposes of tournament play only, the term

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"gross receipts" for the tournament means the total amount

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received by the cardroom operator for all entry fees, player

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rebuys, and fees for participation in tournaments, less the total

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amount paid to the winners or others as prizes. The total number

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of players that may enter the tournament shall be decided by the

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cardroom operator, but the total number of players may not exceed

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1,000.

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     Section 2.  This act shall take effect July 1, 2008.

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================ T I T L E  A M E N D M E N T ================

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And the title is amended as follows:

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     Delete everything before the enacting clause

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and insert:

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A bill to be entitled

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An act relating to cardrooms; amending s. 849.086, F.S.;

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providing definitions; authorizing cardroom operators to

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host charity/celebrity poker tournaments and televised

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high-stakes poker tournaments at certain pari-mutuel

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facilities; providing limitations; authorizing the

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Division of Pari-mutuel Wagering of the Department of

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Business and Professional Regulation to adopt rules

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governing the operation of tournaments; providing an

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effective date.

3/31/2008  4:48:00 PM     31-06220-08