Florida Senate - 2008 COMMITTEE AMENDMENT
Bill No. SB 1380
854032
Senate
Comm: RCS
2/6/2008
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House
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The Committee on Regulated Industries (Jones) recommended the
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following amendment:
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Senate Amendment (with directory and title amendments)
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Delete everything after the enacting clause?
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and insert:
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Section 1. Electronic gaming machines authorized.-An
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electronic gaming machine licensee may possess electronic gaming
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machines and operate electronic gaming machines at an eligible
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facility, as defined by this act, where the licensee is
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authorized to conduct pari-mutuel wagering activities pursuant
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to chapter 550, Florida Statutes. Notwithstanding any other
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provision of law, it is not a crime for a person to participate
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in electronic gaming at a facility licensed to possess
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electronic gaming machines or to operate electronic gaming
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machines as described in this act.
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Section 2. Definitions.--As used in this act, the term:
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(1) "Bingo or game of bingo" means bingo as defined in s.
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849.0931(1), Florida Statutes, whether or not electronic,
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computer, or other technological aids are used in connection the
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game of bingo. Such aids may include the use of entertainment
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displays, including spinning reels, video displays of reels,
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associated bonus displays, and video poker. In order for a game
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of bingo to take place, at least two live players must be
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competing for a common prize. As such, player gaming machines
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that contain the game of bingo may not be house-banked games and
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may not be electronic or electromechanical facsimiles of any
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game of chance. Bingo consists of players competing against
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other players for prizes resulting from a random draw or
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electronic determination and release or announcement of numbers
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or other designations necessary to form the pre-designated game-
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winning pattern on an electronic bingo card. A game ends when a
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participating player receives a pre-designated game-winning
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pattern and consolation prizes, if any, are awarded.
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(2) "Bonus prize" means a prize awarded in a bingo game in
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addition to the game-winning prize. The bonus prize may be based
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on different pre-designated and pre-announced patterns from the
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game-winning pattern, on achieving a winning pattern in a
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specified quantity of numbers or designations drawn or
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electronically determined and released, or on any combination of
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these conditions. A bonus prize may be awarded as an interim
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prize while players are competing for the game-winning prize or
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as a consolation prize after a player has won the game-winning
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prize.
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(3) "Designated electronic gaming machine area" means any
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area of a facility of an electronic gaming machine licensee in
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which electronic gaming may be conducted in accordance with this
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act.
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(4) "Distributor" means any person who sells, leases,
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offers, or otherwise provides, distributes, or services any
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electronic gaming machine or associated equipment, software, or
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other functions required for use or play of electronic gaming
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machines in this state. A manufacturer may be a distributor
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within the state.
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(5) "Division" means the Division of Pari-mutuel Wagering
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of the Department of Business and Professional Regulation.
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(6) "Electronic game" means an electronically simulated
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bingo game played on an electronic gaming machine that, upon
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insertion of a ticket or electronic card, is available to play
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or simulate a game of bingo played on a network of electronic
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gaming machines. No electronic game shall enter the state until
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it has been tested and certified by a licensed testing
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laboratory, and certified for play in the state. Electronic
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games simulating the game of bingo may not be house-banked.
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Bonus prizes and progressive prizes may be awarded to players at
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any licensed facility, and a player may receive a payoff in the
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form of tickets that may be exchanged for cash, merchandise, or
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other items of value.
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(7) "Electronic gaming machine" means a player station,
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machine, or device, including associated equipment that is
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required to operate the player station, machine, or device, upon
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which an electronic game is played or operated. An electronic
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gaming machine may use spinning reels, video displays, video
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poker, or other similar technologies available now or in the
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future to convey outcomes to a player if the results displayed
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at the gaming machine are based upon simulated bingo game play,
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as approved by the department. No electronic game shall enter
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the state until it has been tested and certified by a licensed
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testing laboratory, and certified for play in the state. An
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electronic gaming machine must display one or more bingo cards
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to be used in the game before numbers or other designations for
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the game are randomly drawn. Any card in use by a player must be
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visible to the player during game play. All electronic gaming
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machines must be directly linked to a central computer for
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purposes of security, monitoring, and auditing. The central
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computer may not limit a facility's ability to deploy its
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electronic player tracking or electronic gaming accounting
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system. However, such systems must use a widely accepted open
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communications protocol to ensure interoperability among all
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manufacturers and to provide a player with the ability to
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seamlessly alternate play between the electronic gaming machines
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and electronic gaming machines of different licensed
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manufacturers. An electronic gaming machine is not a coin-
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operated amusement machine as defined in s. 212.02, Florida
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Statutes, and does not include an amusement game or machine as
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described in s. 849.161, Florida Statutes.
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(8) "Electronic gaming machine facility" means an eligible
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facility at which electronic gaming machines as defined in this
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act are lawfully offered for play.
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(9) "Electronic gaming machine license" means a license
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issued by the division authorizing a licensee under chapter 550,
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Florida Statutes, to place and operate electronic gaming
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machines in an eligible facility.
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(10) "Electronic gaming machine revenues" means all cash
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and property, except nonredeemable credits, received by the
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electronic gaming machine licensee from the operation of
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electronic gaming machines, less the amount of cash, cash
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equivalents, credits, and prizes paid to winners of electronic
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games.
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(11) "Eligible facility" means any facility at which a
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licensee under chapter 550, Florida Statutes, conducted, during
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calendar year 2007, a full schedule of live racing or games, as
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defined in s. 550.002(11), Florida Statutes, including races or
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games under s. 550.475, Florida Statutes, or was authorized to
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conduct limited intertrack wagering under s. 550.6308, Florida
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Statutes, and which is not a slot machine facility licensed
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under chapter 551, Florida Statutes. A pari-mutuel facility may
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become an eligible facility if it meets the requirements of this
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subsection for the preceding 3 consecutive calendar years prior
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to submitting an application for a license to conduct electronic
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gaming.
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(12) "Game-winning pattern" means a predetermined pattern
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on an electronic bingo card. Each game must have one game-
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winning pattern or arrangement that must be common to all
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players and may be won by multiple players simultaneously. A
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game-winning prize must be awarded in every game. The pattern
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designated as the game-winning pattern need not pay the highest
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prize available in the game. Other patterns may be designated
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for the award of bonus prizes in addition to the prize to be
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awarded based on the game-winning pattern.
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(13) "Manufacturer" means any person who manufactures,
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builds, rebuilds, fabricates, assembles, produces, programs,
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designs, or modifies any electronic gaming machine or associated
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equipment for use or play in this state for gaming purposes. A
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manufacturer may be a distributor within the state.
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(14) "Nonredeemable credits" means electronic gaming
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machine operating credits that cannot be redeemed for cash or
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any other thing of value by an electronic gaming machine, kiosk,
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or the electronic gaming machine licensee and that are provided
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free to patrons. Such credits are not nonredeemable credits
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until they are metered as credit into an electronic gaming
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machine and recorded in the facility-based monitoring system.
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(15) "Progressive prize" means an established prize for a
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bingo game, funded by a percentage of each player's purchase or
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wager within one or more licensed facilities for a specific
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progressive bingo game, which is awarded to a player for
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obtaining a specific pre-designated and pre-announced pattern
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having a specified quantity of numbers or designations randomly
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drawn and released or electronically determined or randomly
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drawn and released or electronically determined in a specified
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sequence. The progressive prize must be rolled over to each
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subsequent specific progressive bingo game until it is won.
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Section 3. Powers and duties of the division and the
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Department of Law Enforcement.?-
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(1) The division shall adopt, pursuant to ss. 120.536(1)
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and 120.54, Florida Statutes, rules necessary to implement,
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administer, and regulate the operation of electronic gaming
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machines in this state. The rules must include:
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(a) Procedures for applying for and renewing electronic
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gaming machine licenses.
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(b) Technical requirements and qualifications to receive
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an electronic gaming machine license or electronic gaming
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machine occupational license.
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(c) Procedures to ensure that no electronic game or
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electronic gaming machine shall enter the state and be offered
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for play until it has been tested and certified by a licensed
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testing laboratory for play in the state. The procedures shall
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address measures to scientifically test and technically evaluate
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electronic gaming machines for compliance with this act. The
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division may contract with an independent testing laboratory to
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conduct any necessary testing. The independent testing
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laboratory must have a national reputation indicating that it is
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demonstrably competent and qualified to scientifically test and
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evaluate electronic games and electronic gaming machines and to
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perform the functions required by this act. An independent
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testing laboratory may not be owned or controlled by a licensee.
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The selection of an independent testing laboratory for any
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purpose related to the conduct of electronic gaming machines by
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a licensee shall be made from a list of laboratories approved by
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the division. The division shall adopt rules regarding the
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testing, certification, control, and approval of electronic
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games and electronic gaming machines.
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(d) Procedures relating to electronic gaming machine
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revenues, including verifying and accounting for such revenues,
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auditing, and collecting taxes and fees.
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(e)1. Procedures for regulating, managing, and auditing
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the operation, financial data, and program information relating
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to electronic gaming machines that enable the division and the
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Department of Law Enforcement to audit the operation, financial
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data, and program information of an electronic gaming machine
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licensee required by the division or the Department of Law
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Enforcement.
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2. Procedures to allow the division and the Department of
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Law Enforcement to monitor, at any time on a real-time basis,
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wagering patterns, payouts, tax collection, and compliance with
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division rules, including the ability of the division or the
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Department of Law Enforcement to suspend play immediately on
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particular electronic gaming machines if such monitoring of the
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facilities-based computer system indicates possible tampering
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with or manipulation of the electronic gaming machines or the
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ability to immediately suspend play of the entire operation if
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the tampering or manipulation is of the computer system. The
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division shall notify the Department of Law Enforcement or the
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Department of Law Enforcement shall notify the division, as
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appropriate, when there is a suspension of play under this
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paragraph. The division and the Department of Law Enforcement
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shall exchange information that is necessary for and cooperate
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in the investigation of the circumstances requiring suspension
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of play.
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(f) Procedures to require each licensee, at the licensee's
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expense, to supply the division a bond having the penal sum of
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$2 million payable to the Governor for each year of the
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licensee's electronic gaming machine operations. Any bond shall
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be issued by a surety approved by the division and the Chief
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Financial Officer, conditioned to pay the Chief Financial
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Officer as treasurer of the division. The licensee must keep its
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books and records and make reports as provided in this act and
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conduct electronic gaming machine operations in conformity with
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this act and other provisions of law. Such bond shall be
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separate from the bond required in s. 550.125, Florida Statutes.
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(g) Procedures to require licensees to maintain specified
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records and submit any data, information, record, or report,
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including financial and income records, required by this act or
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rules of the division.
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(h) A requirement that the payout percentage of an
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electronic gaming machine be no less than 85 percent. The
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theoretical payout percentage will be determined using standard
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methods of probability theory.
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(i) Minimum standards for security of the facilities,
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including floor plans, security cameras, and other security
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equipment.
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(j) Procedures to require electronic gaming machine
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licensees to implement and establish drug-testing programs for
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all electronic gaming machine occupational licensees.
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(2) The division shall conduct investigations necessary to
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fulfill its responsibilities under this act.
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(3) The Department of Law Enforcement and local law
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enforcement agencies have concurrent jurisdiction to investigate
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criminal violations of this act and may investigate any other
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criminal violation of law occurring at the facilities of an
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electronic gaming machine licensee. Such investigations may be
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conducted in conjunction with the appropriate state attorney.
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(4)(a) The division, the Department of Law Enforcement,
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and local law enforcement agencies have unrestricted access to
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an electronic gaming machine licensee's facility at all times
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and shall require each electronic gaming machine licensee to
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strictly comply with the laws of this state relating to the
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transaction of such business. The division, the Department of
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Law Enforcement, and local law enforcement agencies may:
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1. Inspect and examine premises where electronic gaming
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machines are offered for play.
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2. Inspect electronic gaming machines and related
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equipment and supplies.
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(b) In addition, the division may:
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1. Collect taxes, assessments, fees, and penalties.
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2. Deny, revoke, suspend, or place conditions on the
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license of a person who violates this act or rules adopted
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pursuant thereto.
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(5) The division shall revoke or suspend the license of
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any person who is no longer qualified or who is found, after
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receiving a license, to have been unqualified at the time of
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application for the license.
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(6) This section does not:
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(a) Prohibit the Department of Law Enforcement or any law
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enforcement authority whose jurisdiction includes a licensed
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facility from conducting investigations of criminal activities
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occurring at the facility;
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(b) Restrict access to an electronic gaming machine
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licensee's facility by the Department of Law Enforcement or any
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local law enforcement authority whose jurisdiction includes the
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electronic gaming machine licensee's facility; or
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(c) Restrict access by the Department of Law Enforcement
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or local law enforcement authorities to information and records
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necessary to the investigation of criminal activity which are
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contained within the electronic gaming machine licensee's
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facility.
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Section 4. License to conduct electronic gaming.--
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(1) Upon application and a finding by the division after
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investigation that the application is complete and the applicant
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is qualified and payment of the initial license fee, the
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division may issue a license to conduct electronic gaming in any
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designated electronic gaming machine area of an eligible
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facility.
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(2) An electronic gaming machine license may be issued
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only to a person or entity licensed to conduct pari-mutuel
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wagering under chapter 550, Florida Statutes, and electronic
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gaming may be operated only at the eligible facility at which
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the licensee is authorized to conduct pari-mutuel wagering
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activities.
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(3) As a condition of licensure and to maintain continued
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authority for the conduct of electronic gaming, an electronic
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gaming machine licensee shall:
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(a) Continue to comply with this act.
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(b) Continue to comply with chapter 550, Florida Statutes,
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where applicable, and maintain the pari-mutuel permit and
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license in good standing pursuant to chapter 550, Florida
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Statutes. Notwithstanding any contrary provision of law, a pari-
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mutuel permitholder may, within 60 days after the effective date
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of this act, amend its pari-mutuel wagering operating license.
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The division shall issue a new license to the permitholder to
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effectuate any approved change.
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(c) Conduct no fewer than a full schedule of live racing
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or games as defined in s. 550.002(11), Florida Statutes,
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including conducting races or games under s. 550.475, Florida
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Statutes, or be authorized to conduct limited intertrack
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wagering under s. 550.6308, Florida Statutes, at the eligible
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facility. A permitholder's responsibility to conduct such number
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of live races or games shall be reduced by the number of races
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or games that could not be conducted due to the direct result of
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fire, war, hurricane, or other disaster or event beyond the
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control of the permitholder.
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(d) Upon approval of any changes relating to the pari-
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mutuel permit by the division, provide appropriate current and
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accurate documentation, on a timely basis, to the division to
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maintain the electronic gaming machine license. Changes in
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ownership or interest in an electronic gaming machine license of
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5 percent or more of the stock or other evidence of ownership or
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equity in the electronic gaming machine license or of any parent
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corporation or other business entity that owns or controls the
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electronic gaming machine license must be approved by the
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division prior to such change, unless the owner is an existing
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holder of the license who was previously approved by the
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division. Any changes in ownership or interest in an electronic
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gaming machine license of less than 5 percent, unless such
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change results in a cumulative total of 5 percent or more, shall
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be reported to the division within 20 days after the change. The
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division may conduct an investigation to ensure that the license
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is properly updated to show the change in ownership or interest.
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Reporting is not required if the person is holding 5 percent or
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less equity or securities of a corporate owner of the electronic
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gaming machine licensee that has its securities registered
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pursuant to section 12 of the Securities Exchange Act of 1934,
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15 U.S.C. ss. 78a-78kk, and if such corporation or entity files
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with the United States Securities and Exchange Commission the
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reports required by section 13 of that act or if the securities
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of the corporation or entity are regularly traded on an
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established securities market in the United States. A change in
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ownership or interest of less than 5 percent which results in a
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cumulative ownership or interest of 5 percent or more must be
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approved by the division prior to such change unless the owner
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is an existing holder of the license who was previously approved
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by the division.
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(e) Allow the division and the Department of Law
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Enforcement unrestricted access to and right of inspection of
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facilities of an electronic gaming machine licensee in which any
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activity relative to the operation of electronic gaming machines
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is conducted.
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(f) Ensure that the facilities-based computer system that
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the licensee will use for operational and accounting functions
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of the electronic gaming machine facility is specifically
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structured to facilitate regulatory oversight. The facilities-
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based computer system shall be designed to give the division and
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the Department of Law Enforcement the ability to monitor, at any
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time on a real-time basis, the wagering patterns, payouts, tax
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collection, and such other operations as are necessary to
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determine whether the facility is in compliance with statutory
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provisions and rules adopted by the division for the regulation
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and control of electronic gaming machines. The division and the
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Department of Law Enforcement shall have continuous access to
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this system, including the ability of the division or the
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Department of Law Enforcement to suspend play immediately on
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particular electronic gaming machines if monitoring of the
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system indicates possible tampering with or manipulation of
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those electronic gaming machines or the ability to immediately
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suspend play of the entire operation if the tampering or
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manipulation is of the computer system. The computer system
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shall be reviewed and approved by the division to ensure
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necessary access, security, and functionality. The division may
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adopt rules to provide for the approval process.
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(g) Ensure that each electronic gaming machine and
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electronic game is protected from manipulation or tampering to
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affect the random probabilities of winning plays. The division
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or the Department of Law Enforcement may suspend play upon
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reasonable suspicion of any manipulation or tampering. When play
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has been suspended on any electronic gaming machine, the
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division or the Department of Law Enforcement may examine any
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electronic gaming machine to determine whether the machine has
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been tampered with or manipulated and whether the machine should
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be returned to operation.
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(h) Submit a security plan, including the facilities'
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floor plans, the locations of security cameras, and a listing of
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all security equipment that is capable of observing and
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electronically recording activities being conducted in the
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facilities of the electronic gaming machine licensee. The
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security plan must meet the minimum security requirements as
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determined by the division under this act, and be implemented
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prior to operation of electronic gaming machine games. The
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electronic gaming machine licensee's facilities must adhere to
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the security plan at all times. Any changes to the security plan
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must be submitted by the licensee to the division before they
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are implemented. The division shall furnish copies of the
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security plan and changes in the plan to the Department of Law
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Enforcement.
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(i) Create and file with the division a written policy
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for:
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1. Creating opportunities to purchase from vendors in this
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state, including minority vendors.
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2. Creating opportunities for employment of residents of
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this state, including minority residents.
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3. Ensuring opportunities for construction services from
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minority contractors.
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4. Ensuring that opportunities for employment are offered
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on an equal, nondiscriminatory basis.
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5. Training for employees on responsible gaming and
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working with a compulsive or addictive gambling prevention
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program to further its purposes as provided for in this act.
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6. The implementation of a drug-testing program that
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includes, but is not limited to requiring each employee to sign
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an agreement that he or she understands that the electronic
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gaming machine facility is a drug-free workplace.
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The electronic gaming machine licensee shall use the Internet-
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based job-listing system of the Agency for Workforce Innovation
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in advertising employment opportunities. Beginning in June 2009,
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each electronic gaming machine licensee shall submit an annual
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report to the division containing information indicating
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compliance with this paragraph in regard to minority persons.
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(j) Ensure that the payout percentage of an electronic
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gaming machine is no less than 85 percent. The theoretical
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payout percentage will be determined using standard methods of
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probability theory.
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(5) An electronic gaming machine license is not
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transferable.
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(6) An electronic gaming machine licensee shall keep and
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maintain permanent daily records of its electronic gaming
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machine operation and shall maintain such records for a period
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of not less than 5 years. These records must include all
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financial transactions and contain sufficient detail to
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determine compliance with this act. All records shall be
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available for audit and inspection by the division, the
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Department of Law Enforcement, or other law enforcement agencies
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during the licensee's regular business hours.
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(7) An electronic gaming machine licensee shall file with
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the division a monthly report containing the required records of
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such electronic gaming machine operation. The required reports
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shall be submitted on forms prescribed by the division and shall
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be due at the same time as the monthly pari-mutuel reports are
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due. Such reports are public records once filed.
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(8) An electronic gaming machine licensee shall file with
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the division an audit of the receipt and distribution of all
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electronic gaming machine revenues provided by an independent
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certified public accountant verifying compliance with all
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financial and auditing provisions of this act and rules adopted
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under this act. The audit must include verification of
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compliance with all statutes and rules regarding all required
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records of electronic gaming machine operations. Such audit
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shall be filed within 120 days after completion of the
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permitholder's fiscal year.
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(9) The division may share any information with the
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Department of Law Enforcement, any other law enforcement agency
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with jurisdiction over electronic gaming machines or pari-mutuel
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activities, or any other state or federal law enforcement agency
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the division or the Department of Law Enforcement deems
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appropriate. Any law enforcement agency having jurisdiction over
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electronic gaming machines or pari-mutuel activities may share
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with the division information obtained or developed by it.
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(10)(a) An electronic gaming machine license or renewal
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may not be issued to an applicant licensed under chapter 550,
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Florida Statutes, to conduct live pari-mutuel wagering races or
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games unless the applicant has on file with the division a
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binding written agreement between:
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1. The applicant and the Florida Horsemen's Benevolent and
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Protective Association, Inc., or the association representing a
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majority of the thoroughbred owners and trainers at the
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applicant's eligible facility; or
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2. The applicant and the Florida Standardbred Breeders and
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Owners Association, Inc., or the association representing a
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majority of the standardbred owners and trainers at the
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applicant's eligible facility; or
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3. The applicant and the Florida Greyhound Association,
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Inc., or the association representing a majority of the
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greyhound owners and trainers at the applicant's eligible
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facility; or
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4. The applicant and the Florida Quarter Horse Racing
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Association, Inc., or the association representing a majority of
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the quarter horse owners and trainers at the applicant's
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eligible facility; or
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5. The applicant and the International Jai Alai Players
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Association or a binding written agreement approved by a
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majority of the jai alai players at the applicant's eligible
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facility governing the payment of awards and purses on live
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thoroughbred, harness, quarter horse, and dog races or Jai Alai
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games conducted at the licensee's pari-mutuel facility.
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(b) An electronic gaming machine license or renewal thereof
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may not be issued to such an applicant unless the applicant has
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on file with the division a binding written agreement between
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the applicant and the Florida Thoroughbred Breeders'
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Association, Inc., the Florida Standardbred Breeders and Owners
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Association, Inc., the Florida Quarter Horse Racing Association,
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Inc., or the association representing a majority of the
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racehorse owners and breeders at the applicant's eligible
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facility governing the payment of breeders', stallion, and
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special racing awards on live thoroughbred races conducted at
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the licensee's pari-mutuel facility. The agreement governing
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purses and the agreement governing awards may direct the payment
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of such purses and awards from revenues generated by any
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wagering or games the applicant is authorized to conduct under
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state law. All purses and awards are subject to the terms of
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chapter 550, Florida Statutes. All sums for breeders', stallion,
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and special racing awards shall be remitted monthly to the
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Florida Thoroughbred Breeders' Association, Inc., for the
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payment of awards subject to the administrative fee authorized
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in s. 550.2625(3), Florida Statutes.
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(c) An electronic gaming machine license or renewal thereof
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may not be issued to an applicant licensed to conduct intertrack
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wagering under s. 550.6308, Florida Statutes, unless the
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applicant has on file with the division a binding written
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agreement between the applicant and the Florida Thoroughbred
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Breeders' Association, Inc., dedicating to the payment of
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breeders', stallion, and special racing awards on live
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thoroughbred races conducted in this state at least the same
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percentage of electronic gaming machine revenues as the highest
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percentage of electronic gaming machine revenues dedicated to
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purses and awards in a current agreement under this subsection
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by an applicant licensed under chapter 550, Florida Statutes, to
516
conduct live thoroughbred races, with at least half of such
517
funds distributed as special racing awards.
518
(d) The division shall suspend an electronic gaming
519
machine license if any agreement required under paragraph (a) is
520
terminated or otherwise ceases to operate or if the division
521
determines that the licensee is materially failing to comply
522
with the terms of such agreement. Any suspension shall take
523
place in accordance with chapter 120, Florida Statutes.
524
(e)1. If an agreement required under paragraph (a) cannot
525
be reached prior to the initial issuance of the electronic
526
gaming machine license, either party may request arbitration or,
527
in the case of a renewal, if such agreement is not in place 120
528
days prior to the scheduled expiration date of the electronic
529
gaming machine license, the applicant shall immediately ask the
530
American Arbitration Association to furnish a list of 11
531
arbitrators, each of whom shall have at least 5 years of
532
commercial arbitration experience and no financial interest in
533
or prior relationship with any party or with an affiliated or
534
related entity or principal. Each required party to the
535
agreement shall select a single arbitrator from the list within
536
10 days after receipt, and the persons selected shall choose one
537
additional arbitrator from the list within 10 days.
538
2. If an agreement required under paragraph (a) is not in
539
place 60 days after the request under subparagraph 1., in the
540
case of an initial electronic gaming machine license or, in the
541
case of a renewal, 60 days prior to the scheduled expiration
542
date of the license, the matter shall be immediately submitted
543
to mandatory binding arbitration. The three arbitrators selected
544
pursuant to subparagraph 1. shall conduct the arbitration
545
pursuant to the American Arbitration Association Commercial
546
Arbitration Rules and chapter 682, Florida Statutes.
547
3. At the conclusion of the proceedings, which may be no
548
later than 90 days after the request under subparagraph 1. in
549
the case of an initial electronic gaming machine license or, in
550
the case of a renewal, 30 days prior to the scheduled expiration
551
date of the electronic gaming machine license, the arbitration
552
panel shall present to the parties a proposed agreement that the
553
majority of the panel believes equitably balances the rights,
554
interests, obligations, and reasonable expectations of the
555
parties. The parties shall immediately enter into such
556
agreement, which shall satisfy the requirements of paragraph (a)
557
and permit issuance of the pending annual electronic gaming
558
machine license or renewal. The agreement shall be effective
559
until the last day of the license or renewal period or until the
560
parties enter into a different agreement. Each party shall pay
561
its respective costs of arbitration and shall pay one-half of
562
the costs of the arbitration panel, unless the parties otherwise
563
agree. If the agreement remains in place 120 days prior to the
564
scheduled issuance of the next annual license renewal, the
565
arbitration process established in this paragraph shall begin
566
again.
567
4. If neither agreement required under paragraph (a) is in
568
place by the deadlines established in this paragraph,
569
arbitration regarding each agreement will proceed independently,
570
with separate lists of arbitrators, arbitration panels,
571
arbitration proceedings, and resulting agreements.
572
5. With respect to the agreement required under paragraph
573
(a) governing the payment of purses, the arbitration and
574
resulting agreement is limited to the payment of purses from
575
electronic gaming machine revenues only.
576
(f) If any provision of this subsection or its application
577
to any person or circumstance is held invalid, the invalidity
578
does not affect other provisions or applications of this
579
subsection or act which can be given effect without the invalid
580
provision or application, and to this end the provisions of this
581
subsection are severable.
582
Section 5. Temporary licenses.--
583
(1) Notwithstanding any provision of s. 120.60, Florida
584
Statutes, to the contrary, the division may issue a temporary
585
occupational license upon receipt of a complete application and
586
a determination that the applicant has not been convicted of or
587
had adjudication withheld on any disqualifying criminal offense.
588
The temporary occupational license remains valid until the
589
division grants an occupational license or notifies the
590
applicant of its intended decision to deny the license pursuant
591
to the provisions of s. 120.60, Florida Statutes. The division
592
shall adopt rules to administer this subsection. However, not
593
more than one temporary license may be issued for any person in
594
any year.
595
(2) A temporary license issued under this section is
596
nontransferable.
597
Section 6. Electronic gaming machine license renewal.--
598
(1) An electronic gaming machine license is effective for
599
1 year after issuance and shall be renewed annually. The
600
application for renewal must contain all revisions to the
601
information submitted in the prior year's application which are
602
necessary to maintain such information as accurate and current.
603
(2) The applicant for renewal shall attest that any
604
information changes do not affect such applicant's
605
qualifications for license renewal.
606
(3) Upon determination by the division that the
607
application for renewal is complete and qualifications have been
608
met, including payment of the renewal fee, the license shall be
609
renewed.
610
Section 7. License fee; tax rate; penalties.--
611
(1) LICENSE FEE.--
612
(a) Upon submission of the initial application for an
613
electronic gaming machine license and annually thereafter, on
614
the anniversary date of the issuance of the initial license, the
615
licensee must pay to the division a nonrefundable license fee of
616
$3 million for the succeeding 12 months of licensure. The fee
617
shall be deposited into the Pari-mutuel Wagering Trust Fund of
618
the Department of Business and Professional Regulation to be
619
used by the division and the Department of Law Enforcement for
620
investigations, regulation of electronic gaming, and enforcement
621
of electronic gaming provisions. These payments shall be
622
accounted for separately from taxes or fees paid pursuant to the
623
provisions of chapters 550 or 551, Florida Statutes.
624
(b) The division shall evaluate the license fee and submit
625
recommendations in the legislative budget request regarding the
626
optimum level of electronic gaming machine license fees required
627
to adequately support the electronic gaming machine regulatory
628
program.
629
(c) Notwithstanding s. 550.135(2), Florida Statutes, all
630
fees and fines collected pursuant to this chapter shall remain
631
in the Pari-Mutuel Wagering Trust Fund for use by the Division
632
for regulation of electronic gaming machines and electronic
633
games.
634
(2) TAX ON ELECTRONIC GAMING MACHINE REVENUES.--
635
(a) The tax rate on electronic gaming machine revenues at
636
each facility shall be 35 percent.
637
(b) The electronic gaming machine revenue tax imposed by
638
this section shall be paid to the division for deposit into the
639
Pari-mutuel Wagering Trust Fund for immediate transfer by the
640
Chief Financial Officer for deposit into the Educational
641
Enhancement Trust Fund of the Department of Education. Any
642
interest earnings on the tax revenues shall also be transferred
643
to the Educational Enhancement Trust Fund.
644
(c)1. Funds transferred to the Educational Enhancement
645
Trust Fund shall be used to supplement public education funding
646
statewide.
647
2. If necessary to comply with any covenant established
648
pursuant to s. 1013.68(4), s. 1013.70(1), or s. 1013.737(3),
649
Florida Statutes, funds transferred to the Educational
650
Enhancement Trust Fund shall first be available to pay debt
651
service on lottery bonds issued to fund school construction in
652
the event lottery revenues are insufficient for such purpose or
653
to satisfy debt service reserve requirements established in
654
connection with lottery bonds. Moneys available pursuant to this
655
subparagraph are subject to annual appropriation by the
656
Legislature.
657
(3) PAYMENT AND DISPOSITION OF TAXES.--Payment for the tax
658
on electronic gaming machine revenues imposed by this section
659
shall be paid to the division. The division shall deposit such
660
funds with the Chief Financial Officer, to the credit of the
661
Pari-mutuel Wagering Trust Fund. The electronic gaming machine
662
licensee shall remit to the division payment for the tax on
663
electronic gaming machine revenues by 3 p.m. Wednesday of each
664
week for taxes imposed and collected for the preceding week
665
ending on Sunday. The electronic gaming machine licensee shall
666
file a report under oath by the 5th day of each calendar month
667
for all taxes remitted during the preceding calendar month. Such
668
payments shall be accompanied by a report under oath showing all
669
electronic gaming machine activities for the preceding calendar
670
month and such other information as may be prescribed by the
671
division.
672
(4) FAILURE TO PAY TAX; PENALTIES.--An electronic gaming
673
machine licensee who does not make tax payments required under
674
this section is subject to an administrative penalty of up to
675
$10,000 for each day the tax payment is not remitted. All
676
administrative penalties imposed and collected shall be
677
deposited into the Pari-mutuel Wagering Trust Fund of the
678
Department of Business and Professional Regulation. If an
679
electronic gaming machine licensee does not pay penalties
680
imposed by the division, the division may suspend, revoke, or
681
refuse to renew the license of the electronic gaming machine
682
licensee.
683
(5) SUBMISSION OF FUNDS.--The division may require
684
electronic gaming machine licensees to remit taxes, fees, fines,
685
and assessments by electronic funds transfer.
686
Section 8. Electronic gaming machine occupational license;
687
findings; application; fee.--
688
(1) The Legislature finds that licensees under this
689
section require heightened state scrutiny, including the
690
submission by individual licensees or persons associated with
691
those entities described in this act of fingerprints for a
692
criminal history record check.
693
(2)(a) The following electronic gaming machine
694
occupational licenses shall be issued to applicants that, by
695
virtue of the positions they hold, might be granted access to
696
electronic gaming machine areas or to any other person or entity
697
in one of the following categories:
698
1. General occupational licenses for general employees,
699
including food service, maintenance, and other similar service
700
and support employees having access to the electronic gaming
701
machine area.
702
2. Professional occupational licenses for any person,
703
proprietorship, partnership, corporation, or other entity that
704
is authorized by an electronic gaming machine licensee to
705
manage, oversee, or otherwise control daily operations as an
706
electronic gaming machine manager, floor supervisor, security
707
personnel, or other similar position of oversight of gaming
708
operations, or any person who is not an employee of the
709
electronic gaming machine licensee and who provides maintenance,
710
repair, or upgrades or otherwise services an electronic gaming
711
machine or other electronic gaming machine equipment.
712
3. Business occupational licenses for any electronic
713
gaming machine management company or company associated with
714
electronic gaming, any person who manufactures, distributes, or
715
sells electronic gaming machines, electronic gaming machine
716
paraphernalia, or other associated equipment to electronic
717
gaming machine licensees, or any company that sells or provides
718
goods or services associated with electronic gaming to
719
electronic gaming machine licensees.
720
(b) The division may issue one license in order to combine
721
licenses under this section with pari-mutuel occupational
722
licenses and cardroom licenses pursuant to s. 550.105(2)(b),
723
Florida Statutes. The division shall adopt rules pertaining to
724
occupational licenses under this subsection. Such rules may
725
specify requirements and restrictions for licensed occupations
726
and categories, procedures to apply for a license or combination
727
of licenses, disqualifying criminal offenses for a licensed
728
occupation or categories of occupations, and which types of
729
occupational licenses may be combined into a single license
730
under this section. The fingerprinting requirements of
731
subsection (7) apply to any combination license that includes
732
electronic gaming machine license privileges. The division may
733
not adopt a rule allowing the issuance of an occupational
734
license to any person who does not meet the minimum background
735
qualifications of this section.
736
(c) Electronic gaming machine occupational licenses are
737
not transferable.
738
(3) An electronic gaming machine licensee may not employ
739
or otherwise allow a person to work at a licensed facility
740
unless such person holds the appropriate valid occupational
741
license. An electronic gaming machine licensee may not contract
742
or otherwise conduct business with a business required to hold
743
an electronic gaming machine occupational license unless the
744
business holds such a license. An electronic gaming machine
745
licensee may not employ or otherwise allow a person to work in a
746
supervisory or management professional level at a licensed
747
facility unless such person holds a valid electronic gaming
748
machine occupational license. All electronic gaming machine
749
occupational licensees, while present in electronic gaming
750
machine areas, shall display on their persons their occupational
751
license identification cards.
752
(4)(a) A person seeking an electronic gaming machine
753
occupational license or renewal thereof shall apply on forms
754
prescribed by the division and include payment of the
755
appropriate application fee. Initial and renewal applications
756
for electronic gaming machine occupational licenses must contain
757
all information that the division, by rule, requires.
758
(b) An electronic gaming machine license or combination
759
license is valid for the same term as a pari-mutuel occupational
760
license issued pursuant to s. 550.105(1), Florida Statutes.
761
(c) Pursuant to rules adopted by the division, any person
762
may apply for and, if qualified, be issued an electronic gaming
763
machine occupational license valid for a period of 3 years upon
764
payment of the full occupational license fee for each of the 3
765
years for which the license is issued. The electronic gaming
766
machine occupational license is valid during its specified term
767
at any licensed facility where electronic gaming machine gaming
768
is authorized to be conducted.
769
(d) The electronic gaming machine occupational license fee
770
for initial application and annual renewal shall be determined
771
by rule of the division but may not exceed $50 for a general or
772
professional occupational license for an employee of the
773
electronic gaming machine licensee or $1,000 for a business
774
occupational license for nonemployees of the licensee who
775
provide goods or services to the electronic gaming machine
776
licensee. License fees for general occupational licenses shall
777
be paid by the electronic gaming machine licensee. Failure to
778
pay the required fee constitutes grounds for disciplinary action
779
by the division against the electronic gaming machine licensee,
780
but it is not a violation of this act or rules of the division
781
by the general occupational licensee and does not prohibit the
782
initial issuance or the renewal of the general occupational
783
license.
784
(5) The division may:
785
(a) Deny an application for, or revoke, suspend, or place
786
conditions or restrictions on, a license of an applicant or
787
licensee that has been refused a license by another state gaming
788
commission, governmental department, agency, or other authority
789
exercising regulatory jurisdiction over the gaming of another
790
state or jurisdiction; or
791
(b) Deny an application for, or suspend, or place
792
conditions on a license of any applicant or licensee that is
793
under suspension or has unpaid fines in another state or
794
jurisdiction.
795
(6)(a) The division may deny, suspend, revoke, or refuse
796
to renew any electronic gaming machine occupational license if
797
the applicant or licensee has violated this act or the rules
798
governing the conduct of persons connected with electronic games
799
or electronic gaming. In addition, the division may deny,
800
suspend, revoke, or refuse to renew any electronic gaming
801
machine occupational license if the applicant or licensee has
802
been convicted under the laws of this state or of another state,
803
or under the laws of the United States, of a capital felony, a
804
felony, or an offense in another state which would be a felony
805
under the laws of this state involving arson; trafficking in,
806
conspiracy to traffic in, smuggling, importing, conspiracy to
807
smuggle or import, or delivery, sale, or distribution of a
808
controlled substance; racketeering; or a crime showing a lack of
809
good moral character, or has had a gaming license revoked by
810
this state or another jurisdiction for any gaming-related
811
offense.
812
(b) The division may deny, revoke, or refuse to renew any
813
electronic gaming machine occupational license if the applicant
814
or licensee has been convicted of a felony or misdemeanor in
815
this state, in another state, or under the laws of the United
816
States if such felony or misdemeanor is related to gambling or
817
bookmaking as described in s. 849.25, Florida Statutes.
818
(c) As used in this subsection, the term "convicted" means
819
having been found guilty, with or without adjudication of guilt,
820
as a result of a jury verdict, nonjury trial, or entry of a plea
821
of guilty or nolo contendere.
822
(7) Fingerprints for electronic gaming machine
823
occupational license applications shall be taken in a manner
824
approved by the division and shall be submitted electronically
825
to the Department of Law Enforcement for state processing and to
826
the Federal Bureau of Investigation for national processing for
827
a criminal history record check. All persons as specified in s.
828
550.1815(1)(a), Florida Statutes, employed by or working within
829
licensed premises shall submit fingerprints for a criminal
830
history record check and may not have been convicted of any
831
disqualifying criminal offenses specified in subsection (6).
832
Division employees and law enforcement officers assigned to work
833
within such premises as part of their official duties are
834
excluded from the criminal history record check requirements. As
835
used in this subsection, the term "convicted" means having been
836
found guilty, with or without adjudication of guilt, as a result
837
of a jury verdict, nonjury trial, or entry of a plea of guilty
838
or nolo contendere.
839
(a) Fingerprints shall be taken in a manner approved by
840
the division upon initial application, or as required thereafter
841
by rule of the division, and shall be submitted electronically
842
to the Department of Law Enforcement for state processing. The
843
Department of Law Enforcement shall forward the fingerprints to
844
the Federal Bureau of Investigation for national processing. The
845
results of the criminal history record check shall be returned
846
to the division for screening. Licensees shall provide necessary
847
equipment, approved by the Department of Law Enforcement, to
848
facilitate such electronic submission. The division requirements
849
shall be instituted in consultation with the Department of Law
850
Enforcement.
851
(b) The cost of processing fingerprints and conducting a
852
criminal history record check for a general occupational license
853
shall be paid by the electronic gaming machine licensee. The
854
cost of processing fingerprints and conducting a criminal
855
history record check for a business or professional occupational
856
license shall be paid by the person being checked. The
857
Department of Law Enforcement may invoice the division for the
858
fingerprints submitted each month.
859
(c) All fingerprints submitted to the Department of Law
860
Enforcement shall be retained by the Department of Law
861
Enforcement and entered into the statewide automated fingerprint
862
identification system as authorized by s. 943.05(2)(b), Florida
863
Statutes, and shall be available for all purposes and uses
864
authorized for arrest fingerprint cards in the statewide
865
automated fingerprint identification system pursuant to s.
866
943.051, Florida Statutes.
867
(d) The Department of Law Enforcement shall search all
868
arrest fingerprints received pursuant to s. 943.051, Florida
869
Statutes, against the fingerprints retained in the statewide
870
automated fingerprint identification system. Any arrest record
871
that is identified with the retained fingerprints of a person
872
subject to the criminal history screening requirements shall be
873
reported to the division. Each licensed facility shall pay a fee
874
for the cost of retention of the fingerprints and the ongoing
875
searches under this paragraph. The division shall forward the
876
fee to the Department of Law Enforcement. The amount of the fee
877
to be imposed for such searches and the procedures for the
878
retention of licensee fingerprints shall be as established by
879
rule of the Department of Law Enforcement. The division shall
880
inform the Department of Law Enforcement of any change in the
881
license status of licensees whose fingerprints are retained.
882
(e) The division shall request the Department of Law
883
Enforcement to forward the fingerprints to the Federal Bureau of
884
Investigation for a national criminal history records check
885
every 3 years following issuance of a license. If the
886
fingerprints of a person who is licensed have not been retained
887
by the Department of Law Enforcement, the person must file a
888
complete set of fingerprints as provided in paragraph (a). The
889
division shall collect the fees for the cost of the national
890
criminal history record check and shall forward the payment to
891
the Department of Law Enforcement. The cost of processing
892
fingerprints and conducting a criminal history record check for
893
a general occupational license shall be paid by the electronic
894
gaming machine licensee. The cost of processing fingerprints and
895
conducting a criminal history record check for a business or
896
professional occupational license shall be paid by the person
897
being checked. The Department of Law Enforcement may invoice the
898
division for the fingerprints submitted each month. Under
899
penalty of perjury, each person who is licensed or fingerprinted
900
must agree to inform the division within 48 hours if he or she
901
is convicted of or enters a plea of guilty or nolo contendere to
902
any disqualifying offense, regardless of adjudication.
903
(8) All moneys collected pursuant to this section shall be
904
deposited into the Pari-mutuel Wagering Trust Fund.
905
(9) The division may deny, revoke, or suspend any
906
occupational license if the applicant or licensee accumulates
907
unpaid obligations, defaults in obligations, or issues drafts or
908
checks that are dishonored or for which payment is refused
909
without reasonable cause.
910
(10) The division may fine or suspend, revoke, or place
911
conditions upon the license of any licensee who provides false
912
information under oath regarding an application for a license or
913
an investigation by the division.
914
(11) The division may impose a civil fine of up to $5,000
915
for each violation of this act or the rules of the division in
916
addition to or in lieu of any other penalty. The division may
917
adopt a penalty schedule for violations for which it would
918
impose a fine in lieu of a suspension and adopt rules allowing
919
for the issuance of citations, including procedures to address
920
such citations, to persons who violate such rules. In addition
921
to any other penalty provided by law, the division may exclude
922
from all licensed electronic gaming machine facilities in this
923
state, for a period not to exceed the period of suspension,
924
revocation, or ineligibility, any person whose occupational
925
license application has been refused or who has been declared
926
ineligible to hold an occupational license or whose occupational
927
license has been suspended or revoked by the division.
928
Section 9. Prohibited relationships.--
929
(1) A person employed by or performing any function on
930
behalf of the division may not:
931
(a) Be an officer, director, owner, or employee of any
932
person or entity licensed by the division.
933
(b) Have or hold any interest, direct or indirect, in or
934
engage in any commerce or business relationship with any person
935
licensed by the division.
936
(2) A manufacturer or distributor of electronic gaming
937
machines may not enter into any contract with an electronic
938
gaming machine licensee which provides for any revenue sharing
939
that is directly or indirectly calculated on the basis of a
940
percentage of electronic gaming machine revenues. Any maneuver,
941
shift, or device whereby this subsection is violated is a
942
violation of this act and renders any such agreement void.
943
(3) A manufacturer or distributor of electronic gaming
944
machines or equipment necessary for the operation of electronic
945
gaming machines or an officer, director, or employee of any such
946
manufacturer or distributor may not have any ownership or
947
financial interest in an electronic gaming machine license or
948
any business owned by an electronic gaming machine licensee.
949
(4) An employee of the division or relative living in the
950
same household as the employee may not wager on an electronic
951
gaming machine located at a facility licensed by the division.
952
(5) An occupational licensee or relative living in the
953
same household as the licensee may not wager on an electronic
954
gaming machine located at a facility operated by such licensee.
955
Section 10. Prohibited acts; penalties.--
956
(1) Except as otherwise provided by law and in addition to
957
any other penalty, a person who knowingly makes or causes to be
958
made, or aids, assists, or procures another to make, a false
959
statement in any report, disclosure, application, or other
960
document required under this act or under any rule adopted under
961
this act is subject to an administrative fine or civil penalty
962
of up to $10,000.
963
(2) Except as otherwise provided by law and in addition to
964
any other penalty, a person who possesses an electronic gaming
965
machine without a license required by this act or who possesses
966
an electronic gaming machine at a location other than at the
967
electronic gaming machine licensee's facility is subject to an
968
administrative fine or civil penalty of up to $10,000 per
969
machine. This prohibition does not apply to:
970
(a) Electronic gaming machine manufacturers or
971
distributors that hold appropriate licenses who are authorized
972
to maintain an electronic gaming machine storage and maintenance
973
facility in this state. The division may adopt rules regarding
974
security, inspection, and access to the storage facility.
975
(b) Certified educational facilities that are authorized
976
by the division to maintain electronic gaming machines for the
977
sole purpose of education and licensure of electronic gaming
978
machine technicians, inspectors, or investigators. The division
979
and the Department of Law Enforcement may possess electronic
980
gaming machines for training and testing purposes. The division
981
may adopt rules regarding the regulation of such electronic
982
gaming machines used for the sole purpose of education and
983
licensure of electronic gaming machine technicians, inspectors,
984
or investigators.
985
(3) A person who knowingly excludes or attempts to
986
exclude, anything of value from the deposit, counting,
987
collection, or computation of revenues from electronic gaming
988
machine activity, or a person who by trick, sleight-of-hand
989
performance, fraud or fraudulent scheme, or device wins or
990
attempts to win, for himself or herself or for another, money or
991
property or a combination thereof, or reduces or attempts to
992
reduce a losing wager in connection with electronic gaming
993
commits a felony of the third degree, punishable as provided in
994
s. 775.082, s. 775.083, or s. 775.084, Florida Statutes.
995
(4) Any person who manipulates or attempts to manipulate
996
the outcome, payoff, or operation of an electronic gaming
997
machine by physical tampering or the use of an object,
998
instrument, or device, whether mechanical, electrical, or
999
magnetic, or by other means, commits a felony of the third
1000
degree, punishable as provided in s. 775.082, s. 775.083, or s.
1001
775.084, Florida Statutes.
1002
(5) Theft of electronic gaming machine proceeds or
1003
property belonging to an electronic gaming machine operator,
1004
licensee, or licensed facility by an employee of the operator or
1005
facility or by an officer, partner, owner, or employee of a
1006
person contracted to provide services to the operator or
1007
facility constitutes a felony of the third degree, punishable as
1008
provided in s. 775.082 or s. 775.083, Florida Statutes.
1009
(6)(a) A law enforcement officer or electronic gaming
1010
machine operator who has probable cause to believe that a person
1011
has committed a violation of subsection (3), subsection (4), or
1012
subsection (5) and that officer or operator can recover the lost
1013
proceeds from the activity by taking the person into custody
1014
may, for the purpose of attempting to effect the recovery of the
1015
proceeds, take into custody on the premises and detain the
1016
person in a reasonable manner for a reasonable time. If the
1017
operator takes the person into custody, a law enforcement
1018
officer shall be called to the scene immediately. The taking
1019
into custody and detention by a law enforcement officer or
1020
electronic gaming machine operator, if done in compliance with
1021
this subsection, does not render such law enforcement officer,
1022
or the officer's agency, or the electronic gaming machine
1023
operator criminally or civilly liable for false arrest, false
1024
imprisonment, or unlawful detention.
1025
(b) A law enforcement officer may arrest, on or off the
1026
premises and without warrant, any person if the officer has
1027
probable cause to believe that person has violated subsection
1028
(3), subsection (4), or subsection (5).
1029
(c) A person who resists the reasonable effort of a law
1030
enforcement officer or electronic gaming machine operator to
1031
take into custody a person who is violating subsection (3),
1032
subsection (4), or subsection (5) commits a misdemeanor of the
1033
first degree, punishable as provided in s. 775.082 or s.
1034
775.083, Florida Statutes, unless the person did not know or
1035
have reason to know that the person seeking to take him or her
1036
into custody was a law enforcement officer or electronic gaming
1037
machine operator.
1038
(7) Penalties imposed and collected under this section
1039
must be deposited into the Pari-mutuel Wagering Trust Fund of
1040
the Department of Business and Professional Regulation.
1041
Section 11. Legal devices.--Notwithstanding any provision
1042
of law to the contrary, electronic gaming machines manufactured,
1043
sold, distributed, possessed, or operated pursuant to this act
1044
are lawful in this state. No electronic game or electronic
1045
gaming machine shall enter the state until it has been tested
1046
and certified by a licensed testing laboratory, and certified
1047
for play in the state. The division shall adopt rules regarding
1048
the testing, certification, control, and approval of electronic
1049
games and electronic gaming machines entering, departing, or
1050
moving within the state.
1051
Section 12. Exclusions of certain persons.--In addition to
1052
the power to exclude certain persons, the division may exclude
1053
any person from a facility of an electronic gaming machine
1054
licensee in this state for conduct that would constitute, if the
1055
person were a licensee, a violation of this act or the rules of
1056
the division. The division may exclude a person who has been
1057
ejected from a gaming facility or who has been excluded from a
1058
gaming facility in another state by the governmental authority
1059
exercising regulatory jurisdiction over the gaming in such other
1060
state. This section does not abrogate the common law right of an
1061
electronic gaming machine licensee to exclude a patron.
1062
Section 13. Persons prohibited from operating electronic
1063
gaming machines.--
1064
(1) A person who has not attained 21 years of age may not
1065
operate or play an electronic gaming machine or have access to
1066
the designated electronic gaming machine area of a facility of
1067
an electronic gaming machine licensee.
1068
(2) An electronic gaming machine licensee or agent or
1069
employee of an electronic gaming machine licensee may not
1070
knowingly allow a person who has not attained 21 years of age:
1071
(a) To play or operate an electronic gaming machine.
1072
(b) To be employed in any position allowing or requiring
1073
access to the designated gaming area of a facility of an
1074
electronic gaming machine licensee.
1075
(c) To have access to the designated electronic gaming
1076
machine area of a facility of an electronic gaming machine
1077
licensee.
1078
(3) A licensed facility shall post clear and conspicuous
1079
signage within the designated electronic gaming machine areas
1080
which states:
1081
1082
THE PLAYING OF ELECTRONIC GAMING MACHINES BY PERSONS UNDER
1083
THE AGE OF 21 IS AGAINST FLORIDA LAW (CITE TO FLORIDA
1084
STATUTES SECTION). PROOF OF AGE MAY BE REQUIRED AT ANY
1085
TIME.
1086
1087
Section 14. Electronic gaming machine areas.--
1088
(1) An electronic gaming machine licensee may make
1089
available for play up to 2,000 electronic gaming machines within
1090
the eligible facility of the electronic gaming machine licensee
1091
in a designated electronic gaming machine area. No more than
1092
2,000 electronic gaming machines shall be authorized at a
1093
facility regardless of the number of permitholders conducting
1094
operations at that facility.
1095
(2) The electronic gaming machine licensee shall display
1096
pari-mutuel races or games within the designated electronic
1097
gaming machine areas and offer patrons within such areas the
1098
opportunity to wager on live, intertrack, and simulcast races
1099
offered to the patrons.
1100
(3) The division shall require the posting of signs
1101
warning of the risks and dangers of gambling, showing the odds
1102
of winning, and informing patrons of the toll-free telephone
1103
number available to provide information and referral services
1104
regarding compulsive or problem gambling.
1105
(4) Designated electronic gaming machine areas may be
1106
located within the current live gaming facility or an existing
1107
building that is contiguous and connected to the live gaming
1108
facility. If such gaming area is to be located in a building
1109
that is not yet constructed, the new building must be contiguous
1110
and connected to the live gaming facility.
1111
(5) An electronic gaming machine licensee shall provide
1112
adequate office space at no cost to the division and the
1113
Department of Law Enforcement for the oversight of electronic
1114
gaming machine operations. The division shall adopt rules
1115
establishing criteria for adequate space, configuration, and
1116
location and needed electronic and technological requirements.
1117
Section 15. Days and hours of operation.--Electronic
1118
gaming machine areas may be open daily throughout the year. They
1119
may be open a cumulative total of 18 hours per day on Monday
1120
through Friday and 24 hours per day on Saturday and Sunday and
1121
on holidays specified in s. 110.117(1), Florida Statutes.
1122
Section 16. Penalties.--The division may revoke or suspend
1123
an electronic gaming machine license issued under this act upon
1124
the willful violation by the licensee of any provision of this
1125
act or rule adopted under this act. In lieu of suspending or
1126
revoking an electronic gaming machine license, the division may
1127
impose a civil penalty against the licensee for such violation.
1128
Except as otherwise provided in this act, the division may not
1129
impose a penalty that exceeds $100,000 for each count or
1130
separate offense. All fines collected must be deposited into the
1131
Pari-mutuel Wagering Trust Fund of the Department of Business
1132
and Professional Regulation.
1133
Section 17. Compulsive or addictive gambling prevention
1134
program.--
1135
(1) Each electronic gaming machine licensee shall offer
1136
training to employees on responsible gaming and shall work with
1137
a compulsive or addictive gambling prevention program to
1138
recognize problem gaming situations and implement responsible
1139
gaming programs and practices.
1140
(2) The division shall, subject to competitive bidding,
1141
contract for services related to the prevention of compulsive
1142
and addictive gambling. The contract shall require an
1143
advertising program to encourage responsible gaming practices
1144
and publicize a gambling telephone help line. Such
1145
advertisements must be made both publicly and inside the
1146
designated electronic gaming machine areas of the licensee's
1147
facilities. The terms of any contract for such services shall
1148
include accountability standards for any private provider. The
1149
failure of a private provider to meet any material term of the
1150
contract, including the accountability standards, constitutes a
1151
breach of contract or grounds for nonrenewal.
1152
(3) The compulsive or addictive gambling prevention
1153
program shall be funded from an annual nonrefundable regulatory
1154
fee of $250,000 paid by each licensee.
1155
Section 18. Caterer's license.--An electronic gaming
1156
machine licensee is entitled to a caterer's license pursuant to
1157
s. 565.02, Florida Statutes, on days on which the pari-mutuel
1158
facility is open to the public for electronic gaming machine
1159
play.
1160
Section 19. Prohibited activities and devices;
1161
exceptions.--
1162
(1) Complimentary or reduced-cost alcoholic beverages may
1163
not be served to persons in the designated electronic gaming
1164
machine area. Alcoholic beverages served to persons in the
1165
designated electronic gaming machine area shall cost at least
1166
the same amount as alcoholic beverages served to the general
1167
public at any bar within the facility.
1168
(2) An electronic gaming machine licensee may not make
1169
loans, provide credit, or advance cash to enable a person to
1170
play an electronic gaming machine. This subsection does not
1171
prohibit automated ticket redemption machines that dispense cash
1172
from the redemption of tickets from being located in the
1173
designated electronic gaming machine area.
1174
(3) An automated teller machine or similar device designed
1175
to provide credit or dispense cash may not be located within the
1176
designated electronic gaming machine area of a facility of an
1177
electronic gaming machine licensee.
1178
(4)(a) An electronic gaming machine licensee may not
1179
accept or cash a check from any person within the designated
1180
electronic gaming machine area of a facility.
1181
(b) Except as provided in paragraph (c) for employees of
1182
the facility, an electronic gaming machine licensee may not
1183
accept or cash for any person within the facility a government-
1184
issued check, third-party check, or payroll check made payable
1185
to an individual.
1186
(c) Outside the designated electronic gaming machine area,
1187
an electronic gaming machine licensee or operator may accept or
1188
cash a check for an employee of the facility who is prohibited
1189
from wagering on an electronic gaming machine under s.
1190
551.108(5), Florida Statutes, a check made directly payable to a
1191
person licensed by the division, or a check made directly
1192
payable to the licensee or operator from:
1193
1. A pari-mutuel patron; or
1194
2. A pari-mutuel facility in any state.
1195
(d) Unless accepting or cashing a check is prohibited by
1196
this subsection, an electronic gaming machine licensee or
1197
operator may accept and deposit in its accounts checks received
1198
in the normal course of business.
1199
(5) An electronic gaming machine, or the computer
1200
operating system linking the electronic gaming machine, may be
1201
linked to any other electronic gaming machine or computer
1202
operating system within this state.
1203
(6) An electronic gaming machine located within a licensed
1204
facility may accept only tickets or an electronic payment system
1205
for wagering and return or deliver payouts to the players in the
1206
form of tickets that may be exchanged for cash, merchandise, or
1207
other items of value. The use of coins, currency, credit or
1208
debit cards, tokens, or similar objects is prohibited. However,
1209
an electronic credit system may be used for receiving wagers and
1210
making payouts.
1211
Section 20. Rulemaking.--The division may adopt rules
1212
pursuant to ss. 120.536(1) and 120.54, Florida Statutes, to
1213
administer this act.
1214
Section 21. The Legislature finds and declares that it has
1215
exclusive authority over the conduct of all wagering occurring
1216
at electronic gaming machine facilities in this state. Only the
1217
Division of Pari-mutuel Wagering and other authorized state
1218
agencies may administer this act and regulate the electronic
1219
gaming machine industry, including operation of electronic
1220
gaming machine facilities, games, electronic gaming machines,
1221
and facilities-based computer systems authorized in this act and
1222
the rules adopted by the division.
1223
Section 22. Exception to s. 849.0931, Florida Statutes.-
1224
This act shall not apply to the use of player operated bingo
1225
aides used in bingo games conducted by charitable, nonprofit, or
1226
veterans' organizations authorized to conduct bingo under s.
1227
849.0931, Florida Statutes.
1228
Section 23. Paragraph (w) is added to subsection (1) of
1229
section 215.22, Florida Statutes, to read:
1230
215.22 Certain income and certain trust funds exempt.--
1231
(1) The following income of a revenue nature or the
1232
following trust funds shall be exempt from the appropriation
1233
required by s. 215.20(1):
1234
(w) Taxes imposed on electronic gaming and electronic
1235
gaming machines at eligible pari-mutuel facilities.
1236
Section 24. Subsection (2) of section 849.15, Florida
1237
Statutes, is amended to read:
1238
849.15 Manufacture, sale, possession, etc., of coin-
1239
operated devices prohibited.--
1240
(2) Pursuant to section 2 of that chapter of the Congress
1241
of the United States entitled "An act to prohibit transportation
1242
of gaming devices in interstate and foreign commerce," approved
1243
January 2, 1951, being ch. 1194, 64 Stat. 1134, and also
1244
designated as 15 U.S.C. ss. 1171-1177, the State of Florida,
1245
acting by and through the duly elected and qualified members of
1246
its Legislature, does hereby in this section, and in accordance
1247
with and in compliance with the provisions of section 2 of such
1248
chapter of Congress, declare and proclaim that any county of the
1249
State of Florida within which slot machine gaming is authorized
1250
pursuant to chapter 551 or electronic gaming is authorized is
1251
exempt from the provisions of section 2 of that chapter of the
1252
Congress of the United States entitled "An act to prohibit
1253
transportation of gaming devices in interstate and foreign
1254
commerce," designated as 15 U.S.C. ss. 1171-1177, approved
1255
January 2, 1951. All shipments of gaming devices, including slot
1256
machines and electronic gaming machines, into any county of this
1257
state within which slot machine gaming is authorized pursuant to
1258
chapter 551 or electronic gaming is authorized at eligible pari-
1259
mutuel facilities and the registering, recording, and labeling
1260
of which have been duly performed by the manufacturer or
1261
distributor thereof in accordance with sections 3 and 4 of that
1262
chapter of the Congress of the United States entitled "An act to
1263
prohibit transportation of gaming devices in interstate and
1264
foreign commerce," approved January 2, 1951, being ch. 1194, 64
1265
Stat. 1134, and also designated as 15 U.S.C. ss. 1171-1177,
1266
shall be deemed legal shipments thereof into this state provided
1267
the destination of such shipments is an eligible slot machine
1268
facility as defined in s. 551.102, an eligible electronic gaming
1269
machine facility, a certified educational facility, or the
1270
facility of a slot machine manufacturer or slot machine
1271
distributor as provided in s. 551.109(2)(a), a certified
1272
educational facility, or the facility of an electronic gaming
1273
machine manufacturer or electronic gaming machine distributor
1274
authorized to possess electronic gaming machines as provided in
1275
the act authorizing electronic gaming machines at eligible pari-
1276
mutuel facilities.
1277
Section 25. Subsections (1) and (2) of section 895.02,
1278
Florida Statutes, are amended to read:
1279
895.02 Definitions.--As used in ss. 895.01-895.08, the
1280
term:
1281
(1) "Racketeering activity" means to commit, to attempt to
1282
commit, to conspire to commit, or to solicit, coerce, or
1283
intimidate another person to commit:
1284
(a) Any crime that is chargeable by indictment or
1285
information under the following provisions of the Florida
1286
Statutes:
1287
1. Section 210.18, relating to evasion of payment of
1288
cigarette taxes.
1289
2. Section 403.727(3)(b), relating to environmental
1290
control.
1291
3. Section 409.920 or s. 409.9201, relating to Medicaid
1292
fraud.
1293
4. Section 414.39, relating to public assistance fraud.
1294
5. Section 440.105 or s. 440.106, relating to workers'
1295
compensation.
1296
6. Section 443.071(4), relating to creation of a
1297
fictitious employer scheme to commit unemployment compensation
1298
fraud.
1299
7. Section 465.0161, relating to distribution of medicinal
1300
drugs without a permit as an Internet pharmacy.
1301
8. Sections 499.0051, 499.0052, 499.00535, 499.00545, and
1302
499.0691, relating to crimes involving contraband and
1303
adulterated drugs.
1304
9. Part IV of chapter 501, relating to telemarketing.
1305
10. Chapter 517, relating to sale of securities and
1306
investor protection.
1307
11. Section 550.235, s. 550.3551, or s. 550.3605, relating
1308
to dogracing and horseracing.
1309
12. Chapter 550, relating to jai alai frontons.
1310
13. Section 551.109, relating to slot machine gaming.
1311
14. Chapter 552, relating to the manufacture,
1312
distribution, and use of explosives.
1313
15. Chapter 560, relating to money transmitters, if the
1314
violation is punishable as a felony.
1315
16. Chapter 562, relating to beverage law enforcement.
1316
17. Section 624.401, relating to transacting insurance
1317
without a certificate of authority, s. 624.437(4)(c)1., relating
1318
to operating an unauthorized multiple-employer welfare
1319
arrangement, or s. 626.902(1)(b), relating to representing or
1320
aiding an unauthorized insurer.
1321
18. Section 655.50, relating to reports of currency
1322
transactions, when such violation is punishable as a felony.
1323
19. Chapter 687, relating to interest and usurious
1324
practices.
1325
20. Section 721.08, s. 721.09, or s. 721.13, relating to
1326
real estate timeshare plans.
1327
21. Chapter 782, relating to homicide.
1328
22. Chapter 784, relating to assault and battery.
1329
23. Chapter 787, relating to kidnapping or human
1330
trafficking.
1331
24. Chapter 790, relating to weapons and firearms.
1332
25. Section 796.03, s. 796.035, s. 796.04, s. 796.045, s.
1333
796.05, or s. 796.07, relating to prostitution and sex
1334
trafficking.
1335
26. Chapter 806, relating to arson.
1336
27. Section 810.02(2)(c), relating to specified burglary
1337
of a dwelling or structure.
1338
28. Chapter 812, relating to theft, robbery, and related
1339
crimes.
1340
29. Chapter 815, relating to computer-related crimes.
1341
30. Chapter 817, relating to fraudulent practices, false
1342
pretenses, fraud generally, and credit card crimes.
1343
31. Chapter 825, relating to abuse, neglect, or
1344
exploitation of an elderly person or disabled adult.
1345
32. Section 827.071, relating to commercial sexual
1346
exploitation of children.
1347
33. Chapter 831, relating to forgery and counterfeiting.
1348
34. Chapter 832, relating to issuance of worthless checks
1349
and drafts.
1350
35. Section 836.05, relating to extortion.
1351
36. Chapter 837, relating to perjury.
1352
37. Chapter 838, relating to bribery and misuse of public
1353
office.
1354
38. Chapter 843, relating to obstruction of justice.
1355
39. Section 847.011, s. 847.012, s. 847.013, s. 847.06, or
1356
s. 847.07, relating to obscene literature and profanity.
1357
40. Section 849.09, s. 849.14, s. 849.15, s. 849.23, or s.
1358
849.25, relating to gambling.
1359
41. Chapter 874, relating to criminal street gangs.
1360
42. Chapter 893, relating to drug abuse prevention and
1361
control.
1362
43. Chapter 896, relating to offenses related to financial
1363
transactions.
1364
44. Sections 914.22 and 914.23, relating to tampering with
1365
a witness, victim, or informant, and retaliation against a
1366
witness, victim, or informant.
1367
45. Sections 918.12 and 918.13, relating to tampering with
1368
jurors and evidence.
1369
46. Provisions of law relating to electronic gaming and
1370
electronic gaming machines at eligible pari-mutuel facilities.
1371
(b) Any conduct defined as "racketeering activity" under
1372
18 U.S.C. s. 1961(1).
1373
(2) "Unlawful debt" means any money or other thing of
1374
value constituting principal or interest of a debt that is
1375
legally unenforceable in this state in whole or in part because
1376
the debt was incurred or contracted:
1377
(a) In violation of any one of the following provisions of
1378
law:
1379
1. Section 550.235, s. 550.3551, or s. 550.3605, relating
1380
to dogracing and horseracing.
1381
2. Chapter 550, relating to jai alai frontons.
1382
3. Section 551.109, relating to slot machine gaming.
1383
4. Chapter 687, relating to interest and usury.
1384
5. Section 849.09, s. 849.14, s. 849.15, s. 849.23, or s.
1385
849.25, relating to gambling.
1386
6. Provisions of law relating to electronic gaming and
1387
electronic gaming machines at eligible pari-mutuel facilities.
1388
(b) In gambling activity in violation of federal law or in
1389
the business of lending money at a rate usurious under state or
1390
federal law.
1391
Section 26. (1) ____ full-time equivalent positions are
1392
authorized, and the sums of $_______ in recurring funds and
1393
$_______ in nonrecurring funds for the 2008-2009 fiscal year are
1394
appropriated from the Pari-mutuel Wagering Trust Fund of the
1395
Department of Business and Professional Regulation for the
1396
purpose of carrying out all regulatory activities provided in
1397
this act. The Executive Office of the Governor shall place these
1398
funds and positions in reserve until the Department of Business
1399
and Professional Regulation submits an expenditure plan for
1400
approval to the Executive Office of the Governor and the chair
1401
and vice chair of the Legislative Budget Commission in
1402
accordance with the provisions of s. 216.177, Florida Statutes.
1403
(2) The sums of $_______ in recurring funds and $_______
1404
in nonrecurring funds for the 2008-2009 fiscal year are
1405
appropriated from the Pari-mutuel Wagering Trust Fund of the
1406
Department of Business and Professional Regulation for transfer
1407
to the Department of Law Enforcement for the purpose of
1408
investigations, intelligence gathering, background
1409
investigations, and any other responsibilities as provided in
1410
this act. ____ full-time equivalent positions are authorized,
1411
and the sums of $ _______ in recurring funds and $ _______ in
1412
nonrecurring funds for the 2008-2009 fiscal year are
1413
appropriated from the Operating Trust Fund of the Department of
1414
Law Enforcement for the purpose of investigations, intelligence
1415
gathering, background investigations, and any other
1416
responsibilities as provided in this act. The Executive Office
1417
of the Governor shall place such funds and positions in reserve
1418
until the Department of Law Enforcement submits an expenditure
1419
plan for approval to the Executive Office of the Governor and
1420
the chair and vice chair of the Legislative Budget Commission in
1421
accordance with the provisions of s. 216.177, Florida Statutes.
1422
(3) The sum of $1 million is appropriated annually from
1423
the Pari-mutuel Wagering Trust Fund of the Department of
1424
Business and Professional Regulation from revenues received
1425
pursuant to s. 551.118, Florida Statutes, for contract services
1426
related to the prevention of compulsive and addictive gambling.
1427
Section 27. The Department of Business and Professional
1428
Regulation may expend the unreserved cash balance in the Pari-
1429
mutuel Wagering Trust Fund received from other revenue sources
1430
to implement electronic gaming regulation and investigations
1431
during fiscal year 2008-2009. Beginning as soon as is
1432
practicable, but no later than the 2009-2010 fiscal year, the
1433
department shall initiate repayment of such funds with
1434
electronic gaming machine license revenue sources until the full
1435
amount is reimbursed. The department shall submit a repayment
1436
plan for approval to the Executive Office of the Governor and
1437
the chair and vice chair of the Legislative Budget Commission in
1438
accordance with the provisions of s. 216.177, Florida Statutes.
1439
The repaid funds shall be subject to the requirements of s.
1440
550.135(2), Florida Statutes.
1441
Section 28. This act shall take effect upon becoming a
1442
law.
1443
1444
1445
1446
1447
================ T I T L E A M E N D M E N T ================
1448
And the title is amended as follows:
1449
Delete everything before the enacting clause?
1450
and insert:
1451
A bill to be entitled
1452
An act relating to electronic gaming machines; authorizing
1453
electronic gaming machines in certain pari-mutuel
1454
facilities; providing definitions; providing powers and
1455
duties of the Division of Pari-mutuel Wagering of the
1456
Department of Business and Professional Regulation and the
1457
Department of Law Enforcement; providing for rules;
1458
providing for licenses to conduct electronic gaming;
1459
providing for temporary licenses; providing for renewal of
1460
electronic gaming machine licenses; providing for license
1461
fees; providing for taxes; providing penalties; providing
1462
for occupational licenses; providing findings; providing
1463
for applications; providing for a fee; prohibiting certain
1464
relationships; prohibiting certain acts; providing
1465
penalties; providing for legality of electronic gaming
1466
machines; providing for exclusion of certain persons from
1467
the facilities; prohibiting persons under 21 years of age
1468
from operating electronic gaming machines; providing for
1469
electronic gaming machine areas within licensed gaming
1470
locations; providing for days and hours of operation of
1471
eligible facilities; providing for a compulsive-gambling-
1472
prevention program; providing penalties; providing for a
1473
caterer's license for food service at gambling
1474
establishments; prohibiting certain activities and
1475
devices; providing exceptions; providing for rules;
1476
providing for regulatory preemption to the state;
1477
providing exceptions to s. 849.0931, F.S.; amending s.
1478
215.22, F.S.; exempting taxes imposed on electronic gaming
1479
and electronic gaming machine revenue from specified
1480
service charges; amending s. 849.15, F.S.; providing for
1481
transportation of electronic gaming devices in accordance
1482
with federal law; amending s. 895.02, F.S.; providing that
1483
specified violations related to electronic gaming and
1484
electronic gaming machines constitute racketeering
1485
activity; providing that certain debt incurred in
1486
violation of specified provisions relating to electronic
1487
gaming and electronic gaming machines constitutes unlawful
1488
debt; authorizing additional positions and providing
1489
appropriations; providing for the use of certain
1490
unreserved funds in the Pari-mutuel Wagering Trust Fund;
1491
providing for repayment of such funds; providing an
1492
effective date.
2/5/2008 12:08:00 PM RI.RI.03893
CODING: Words stricken are deletions; words underlined are additions.