Missouri Revised Statutes

Chapter 313
Licensed Gaming Activities

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Gaming commission, established, members,appointment--meetings--powers, duties--assigned to department ofpublic safety--compensation, expenses--restrictedactivities--contracts, permissible--criminal records ofapplicants open to commission.

313.004. 1. There is hereby created the "Missouri Gaming Commission" consisting of five members appointed by the governor, with the advice and consent of the senate. Each member of the Missouri gaming commission shall be a resident of this state. No member shall have pled guilty to or shall have been convicted of a felony or gambling-related offense. Not more than three members shall be affiliated with the same political party. No member of the commission shall be an elected official. The overall membership of the commission shall reflect experience in law enforcement, civil and criminal investigation and financial principles.

2. The initial members of the commission shall be appointed within thirty days of April 29, 1993. Of the members first appointed, one shall be appointed for a one-year term, two shall be appointed for a two-year term and two shall be appointed for a three-year term. Thereafter, all members appointed shall serve for a three-year term. No person shall serve as a member more than six years. The governor shall designate one of the members as the chair. The governor may remove any member of the commission from office for malfeasance or neglect of duty in office. The governor may also replace any member of the commission, with the advice and consent of the senate, when any responsibility concerning the state lottery, pari-mutuel wagering or any other form of gaming is placed under the jurisdiction of the commission.

3. The commission shall meet at least quarterly in accordance with its rules. In addition, special meetings may be called by the chair or any two members of the commission upon twenty-four-hour written notice to each member. No action of the commission shall be binding unless taken at a meeting at which at least three of the five members are present and shall vote in favor thereof.

4. The commission shall perform all duties and have all the powers and responsibilities conferred and imposed upon it relating to excursion gambling boats and, after June 30, 1994, the lawful operation of the game of bingo under this chapter. Within the commission, there shall be established a division of gambling and after June 30, 1994, the division of bingo. Subject to appropriations, the commission may hire an executive director and any employees as it may deem necessary to carry out the commission's duties. The commission shall have authority to require investigations of any employee or applicant for employment as deemed necessary and use such information or any other information in the determination of employment. The commission shall promulgate rules and regulations establishing a code of ethics for its employees which shall include, but not be limited to, restrictions on which employees shall be prohibited from participating in or wagering on any game or gaming operation subject to the jurisdiction of the commission. The commission shall determine if any other employees of the commission or any licensee of the commission shall participate or wager in any operation under the jurisdiction of the commission.

5. On April 29, 1993, all the authority, powers, duties, functions, records, personnel, property, matters pending and all other pertinent vestiges of the state tourism commission relating to the regulation of excursion gambling boats and, after June 30, 1994, of the department of revenue relating to the regulation of the game of bingo shall be transferred to the Missouri gaming commission.

6. The commission shall be assigned to the department of public safety as a type III division, but the director of the department of public safety has no supervision, authority or control over the actions or decisions of the commission.

7. Members of the Missouri gaming commission shall receive as compensation, the amount of one hundred dollars for every day in which the commission holds a meeting, when such meeting is subject to the recording of minutes as provided in chapter 610, and shall be reimbursed for reasonable expenses incurred in the performance of their duties. The chair shall receive as additional compensation one hundred dollars for each month such person serves on the commission in that capacity.

8. No member or employee of the commission shall be appointed or continue to be a member or employee who is licensed by the commission as an excursion gambling boat operator or supplier and no member or employee of the commission shall be appointed or continue to be a member or employee who is related to any person within the second degree of consanguinity or affinity who is licensed by the commission as an excursion gambling boat operator or supplier. The commission shall determine by rule and regulation appropriate restrictions on the relationship of members and employees of the commission to persons holding or applying for occupational licenses from the commission or to employees of any licensee of the commission. No peace officer, as defined by section 590.010, who is designated to have direct regulator authority related to excursion gambling boats shall be employed by any excursion gambling boat or supplier licensed by the commission while employed as a peace officer. No member or employee of the commission or any employee of the state attorney general's office or the state highway patrol who has direct authority over the regulation or investigation of any applicant or licensee of the commission or any peace officer of any city or county which has approved excursion boat gambling shall accept any gift or gratuity from an applicant or licensee while serving as a member or while under such employment. Any person knowingly in violation of the provisions of this subsection is guilty of a class A misdemeanor. Any such member, officer or employee who personally or whose prohibited relative knowingly violates the provisions of this subsection, in addition to the foregoing penalty, shall, upon conviction, immediately and thereupon forfeit his office or employment.

9. The commission may enter into agreements with the Federal Bureau of Investigation, the Federal Internal Revenue Service, the state attorney general or any state, federal or local agency the commission deems necessary to carry out the duties of the commission. No state agency shall count employees used in any agreements entered into with the commission against any personnel cap authorized by any statute. Any consideration paid by the commission for the purpose of entering into, or to carry out, any agreement shall be considered an administrative expense of the commission. When such agreements are entered into for responsibilities relating to excursion gambling boats, the commission shall require excursion gambling boat licensees to pay for such services under rules and regulations of the commission. The commission may provide by rules and regulations for the offset of any prize or winnings won by any person making a wager subject to the jurisdiction of the commission, when practical, when such person has an outstanding debt owed the state of Missouri.

10. No person who has served as a member or employee of the commission, as a member of the general assembly, as an elected or appointed official of the state or of any city or county of this state in which the licensing of excursion gambling boats has been approved in either the city or county or both or any employee of the state highway patrol designated by the superintendent of the highway patrol or any employee of the state attorney general's office designated by the state attorney general to have direct regulatory authority related to excursion gambling boats shall, while in such office or during such employment and during the first two years after termination of his office or position, obtain direct ownership interest in or be employed by any excursion gambling boat licensed by the commission or which has applied for a license to the commission or enter into a contractual relationship related to direct gaming activity. A "direct ownership interest" shall be defined as any financial interest, equitable interest, beneficial interest, or ownership control held by the public official or employee, or such person's family member related within the second degree of consanguinity or affinity, in any excursion gambling boat operation or any parent or subsidiary company which owns or operates an excursion gambling boat or as a supplier to any excursion gambling boat which has applied for or been granted a license by the commission, provided that a direct ownership interest shall not include any equity interest purchased at fair market value or equity interest received as consideration for goods and services provided at fair market value of less than one percent of the total outstanding shares of stock of any publicly traded corporation or certificates of partnership of any limited partnership which is listed on a regulated stock exchange or automated quotation system. Any person who knowingly violates the provisions of this subsection is guilty of a class E felony. Any such member, officer or employee who personally and knowingly violates the provisions of this subsection, in addition to the foregoing penalty, shall, upon conviction, immediately and thereupon forfeit his office or employment. For purposes of this subsection, "appointed official" shall mean any official of this state or of any city or county authorized under subsection 10 of section 313.812 appointed to a position which has discretionary powers over the operations of any licensee or applicant for licensure by the commission. This shall only apply if the appointed official has a direct ownership interest in an excursion gambling boat licensed by the commission or which has applied for a license to the commission to be docked within the jurisdiction of his or her appointment. No elected or appointed official, his or her spouse or dependent child shall, while in such office or within two years after termination of his or her office or position, be employed by an applicant for an excursion gambling boat license or an excursion gambling boat licensed by the commission. Any other person related to an elected or appointed official within the second degree of consanguinity or affinity employed by an applicant for an excursion gambling boat license or excursion gambling boat licensed by the commission shall disclose this relationship to the commission. Such disclosure shall be in writing and shall include who is employing such individual, that person's relationship to the elected or appointed official, and a job description for which the person is being employed. The commission may require additional information as it may determine necessary.

11. The commission may enter into contracts with any private entity the commission deems necessary to carry out the duties of the commission, other than criminal law enforcement, provision of legal counsel before the courts and other agencies of this state, and the enforcement of liquor laws. The commission may require provisions for special auditing requirements, investigations and restrictions on the employees of any private entity with which a contract is entered into by the commission.

12. Notwithstanding the provisions of chapter 610 to the contrary, all criminal justice records shall be available to any agency or commission responsible for licensing or investigating applicants or licensees applying to any gaming commission of this state.

(L. 1993 S.B. 10 & 11, A.L. 1994 S.B. 740, A.L. 2014 S.B. 491)

Effective 1-01-17

Definitions.

313.005. As used in sections 313.005 to 313.080, the following terms shall mean:

(1) "Bingo", a game in which each participant receives one or more cards, including, but not limited to, pull-tab cards, marked off into twenty-five squares arranged on five horizontal rows of five squares each; or, one or more cards marked off into twenty-five squares arranged on five horizontal rows of five squares each which are not pull-tab cards and, in addition thereto, one or more pull-tab cards. Each square is designated by number, letter or by a combination of numbers and letters, except that the center square on the card shall be designated with the word "free". No two cards shall be identical. As the announcer of the game announces a number, letter or a combination of numbers and letters, each player covers the square corresponding to the announced number, letter or combination by marking such card in ink. The numbers, letters or combination of numbers and letters which are announced shall appear on an object selected by chance, either manually or mechanically, from a receptacle containing the objects bearing numbers, letters or combinations of numbers and letters. The winner of each game shall be the player or players who are first to properly cover a predetermined and announced pattern of squares upon the card or cards used by such player or players. A prize or prizes may be awarded to the winner or winners of a game;

(2) "Bingo card", an individual game face marked off into twenty-five squares arranged on five horizontal rows of five squares each, one or more of which may be contained on a bingo sheet;

(3) "Bingo card monitoring device", a technology aid which allows a bingo player to enter bingo numbers as they are announced at a bingo occasion and which marks or otherwise conceals those numbers on bingo cards which are electronically stored in and displayed on the device. A bingo card monitoring device shall not include any device into which currency, coin, tokens, or electronic funds transfer may be inserted or from which currency, coin, tokens, or any receipt for monetary value can be dispensed or which, once provided to a bingo player, is capable of communicating with any other bingo card monitoring device or any other form of electronic device or computer. A bingo card monitoring device shall only be permitted to monitor bingo games and not used for any games or themes;

(4) "Bingo equipment", all paraphernalia used to conduct a bingo game including selection equipment, number display boards, and bingo cards and faces and other such related equipment as may be defined by the rules and regulations of the commission. This definition does not include audio or video equipment which plays no part in the conduct of the game other than communicating the progress of the game or items used to mark numbers on the cards;

(5) "Bingo sheet", a disposable piece of paper containing one or more bingo cards;

(6) "Charitable organization", any organization which is organized and operated for the relief of poverty, distress, or other condition of public concern within this state or organized for financially supporting the activities of a charitable organization as hereinbefore defined. In order to qualify as a charitable organization, no part of the net earnings of the organization may inure to the benefit of any private shareholder or individual member of the organization. Charitable organizations must have obtained an exemption from the payment of federal income taxes as provided in Section 501(c)(3) of the Internal Revenue Code of 1954, as amended;

(7) "Commission", the Missouri gaming commission;

(8) "Director", the director or other person in charge of the regulation of the game of bingo, as designated by the Missouri gaming commission;

(9) "Fraternal organization", any organization within this state operating under the lodge system which exists for the common benefit, brotherhood or other interest of its members except college fraternities and sororities and of which no part of the net earnings inures to the benefit of any private shareholder or any individual member of such organization and which has been exempted from the payment of federal income tax as provided in Section 501(c)(5), 501(c)(8), or 501(c)(10) Internal Revenue Code of 1954, as amended;

(10) "Hall provider", a person or business entity which leases premises in which bingo games are conducted;

(11) "Pull-tab card", any disposable card or ticket which accords a person an opportunity to win something of value by opening, pulling, detaching, or otherwise removing tabs from the card or ticket to reveal a set of numbers, letters, symbols, or configurations, or any combination thereof. The term "pull-tab card" shall include any card known as a pickle ticket, pickle, break-open, or pull-tab card;

(12) "Religious organization", any organization, church, body of communicants, or group, gathered in common membership for mutual support and edification in piety, worship and religious observances. Such an organization may be a society of individuals united for religious purposes at a definite place. In order to qualify as a religious organization, no part of the net earnings of the organization may inure to the benefit of any private shareholder or any individual member of such organization. Religious organizations shall maintain an established place of worship within this state and shall have a regular schedule of services or meetings at least on a weekly basis. Religious organizations must have obtained an exemption from the payment of federal income taxes as provided by Section 501(c)(3) or Section 501(d) of the Internal Revenue Code of 1954, as amended;

(13) "Service organization", any organization commonly known as a civic club or county fair or other organization if such organization is a religious, charitable, fraternal, veteran or service organization as described in Article III, Section 39(a) of the Missouri Constitution and of which no part of the net earnings inures to the benefit of any private shareholder or individual member of such organization. Service organizations must have obtained an exemption from the payment of federal income taxes as provided in Section 501(c)(4), 501(c)(5) or 501(c)(7) of the Internal Revenue Code of 1954, as amended;

(14) "Supplier", a person or business entity that sells, markets or otherwise provides bingo equipment or supplies to any bona fide religious, charitable, fraternal, veteran or service organization;

(15) "Veterans' organization", a post or organization of veterans, or an auxiliary unit or society of, or a trust or foundation for, any such post or organization:

(a) Organized in the United States or any of its possessions;

(b) In which at least seventy-five percent of the members of which are war veterans and substantially all of the other members of which are individuals who are veterans (but not war veterans) or are cadets, or are spouses, widows or widowers of war veterans of such individuals; and

(c) In which no part of the net earnings of which inures to the benefit of any private shareholder or individual and which has been exempted from payment of federal income taxes as provided by Section 501(c)(19) of the Internal Revenue Code of 1954, as amended.

(L. 1981 H.B. 322 § 1, A.L. 1982 H.B. 1503, A.L. 1984 S.B. 720, A.L. 1986 S.B. 461, A.L. 1993 S.B. 10 & 11, A.L. 1994 S.B. 427, A.L. 2010 S.B. 940)

Bingo proceeds for education fund, established, purpose.

313.007. 1. Notwithstanding any other provisions of law to the contrary, all net proceeds derived from the state taxes contained in this chapter relating to bingo shall be deposited in the "Bingo Proceeds for Education Fund", which is hereby created in the state treasury. Moneys in this fund shall be considered state funds pursuant to Article IV, Section 15 of the Missouri Constitution. All interest received on bingo proceeds for education fund shall be credited to the bingo proceeds for education fund. Appropriations of the moneys deposited in the bingo proceeds for education fund shall be pursuant to state law. The provisions of section 33.080 requiring all unexpended balances remaining in various state funds to be transferred and placed to the credit of the ordinary revenue fund of this state at the end of each biennium shall not apply to the bingo proceeds for education fund. All net tax receipts collected pursuant to subsection 10 of section 313.057 shall be paid over immediately to the state treasurer to be deposited to the credit of the bingo proceeds for education fund.

2. This section shall become effective July 1, 1993*.

(L. 1993 S.B. 10 & 11, A.L. 1994 S.B. 427)

Effective 6-28-94

*This section was amended by S.B. 427, 1994, with an emergency clause, and was signed by the governor June 28, 1994.

Gaming commission bingo fund abolished and transferred to gamingcommission fund when, used for certain purposes.

313.008. All revenue received by the commission from license fees, penalties, and administrative fees authorized under the provisions of sections 313.005 to 313.085 shall be deposited in the state treasury to the credit of the "Gaming Commission Fund", and upon appropriation may be used for the purposes specified in section 313.835.

(L. 1994 S.B. 427, A.L. 2000 S.B. 902, A.L. 2010 H.B. 1965)

Bingo, who may conduct game--joint license, procedure--abbreviatedlicenses, fees limitations, exemptions.

313.010. 1. Any bona fide religious, charitable, fraternal, veteran or service organization, which has been in existence for at least five years immediately prior to making an application for a license and which, during that period, has had twenty bona fide members, may conduct the game of bingo upon receiving a license from the commission. Any combination of unlicensed but eligible organizations, not to exceed five, may join in making an application and may receive a single license to conduct the game of bingo. Any information or report required by sections 313.005 to 313.080 from an organization shall contain the required information regarding all of the organizations joined in the license and all requirements under sections 313.005 to 313.080 shall apply with respect to all joined organizations and the membership thereof.

2. Notwithstanding any other provisions to the contrary, the commission shall require only an abbreviated license, pursuant to the provisions of section 313.020, and an abbreviated licensing fee of ten dollars per event, for any bona fide religious, charitable, fraternal, veteran or service organization which conducts a bingo game on not more than fifteen occasions annually at which only pull-tab cards may be used. The organization shall have been in existence for at least five years immediately prior to the first occasion on which such organization conducts a bingo pull-tab game and during this period shall have had twenty bona fide members. For the purposes of this subsection, "occasion" means an event having a duration of less than twenty-four hours. An organization that has been granted an abbreviated license shall be exempt from the provisions of subdivisions (11) and (14) of section 313.040.

(L. 1981 H.B. 322 § 2, A.L. 1983 H.B. 95 & 223, A.L. 1993 S.B. 10 & 11, A.L. 1996 H.B. 1159, A.L. 2010 S.B. 940)

Progressive bingo games, permitted, defined.

313.013. Any organization licensed to conduct bingo games pursuant to sections 313.005 to 313.085 may also conduct progressive bingo games as defined by this section. A progressive bingo game may include, but shall not be limited to, any coverall or blackout game or other game where a stated quantity of numbers are called and, if no winner occurs, prizes are added to the next session's occasion conducted by that charity.

(L. 1996 H.B. 1159 § 1)

License--fee--expiration--special license, fairs, celebrations,requirements, fee, annual report, when.

313.015. 1. The commission shall issue a license for the conducting of bingo to any bona fide religious, charitable, fraternal, veteran or service organization or to any combination of eligible organizations, not to exceed five, which submits an application on a form prescribed by the director and which satisfies the director that such organization meets all of the requirements of sections 313.005 to 313.080. The burden of proof is at all times on the applicant to demonstrate by clear and convincing evidence its suitability to be licensed. Each license so issued shall expire at midnight one year from its date of issuance. The commission, in its sole discretion, may reopen licensure hearings for any licensee at any time.

2. An applicant may hold only one license and that license may not be transferred or assigned to any other organization other than the organization named in the license. Each licensed organization shall pay to the director an annual, nonrefundable license fee of fifty dollars to be paid into the state treasury to the credit of the gaming commission fund. The director may, upon application made by a county fair organization or by any organization qualified to receive a regular license, issue a special license authorizing such organization to conduct bingo for the period of any fair, picnic, festival or celebration conducted by such qualified organization not exceeding one week and which is held not more than once annually, and a special licensee shall be exempt from the provisions of subdivisions (7), (11), and (14) of section 313.040. Each organization receiving a special license shall pay to the director a fee of twenty-five dollars, to be paid into the state treasury to the credit of the gaming commission fund.

3. Any organization that obtains more than three special bingo licenses during any calendar year shall be required to file an annual report as required in section 313.045.

(L. 1981 H.B. 322 § 3, A.L. 1983 H.B. 95 & 223, A.L. 1993 S.B. 10 & 11, A.L. 1994 S.B. 427, A.L. 1996 H.B. 1159, A.L. 2010 S.B. 940)

Application for license, contents--false statement on application,penalty--renewal, information required--abbreviated license,application contents.

313.020. 1. The application form for licensure under sections 313.005 to 313.080 shall be prescribed by the commission and shall contain the following information:

(1) The name and address of the organization;

(2) A copy of the document from the United States Internal Revenue Service which grants the applicant tax-exempt status and the federal identification number;

(3) A statement that the organization has been in continuing existence in this state for five years immediately preceding the making of the application and that it has had during that period a bona fide membership of at least twenty persons;

(4) A statement as to whether the organization has had any previous application refused, revoked or suspended;

(5) A statement of the purpose for which the bingo proceeds will be used;

(6) A copy of the articles of incorporation and certificate of incorporation of the organization, if applicable;

(7) A sworn statement signed by the chief officer and the secretary of the organization verifying that the statements contained in the application are true;

(8) The name and address of a person authorized to receive service of process on behalf of the organization;

(9) Such other information deemed necessary by the commission.

2. The commission shall issue an abbreviated license for conducting bingo pull-tab card games to any organization which submits an application on a form prescribed by the director and which satisfies the director that such organization meets the requirements for an abbreviated license pursuant to the provisions of section 313.010. The application for an abbreviated license shall contain only the following information:

(1) The name and address of the organization;

(2) A statement that the organization satisfies the requirements established by section 313.010, for an abbreviated license, and all other applicable requirements for conducting bingo games pursuant to the provisions of sections 313.005 to 313.085;

(3) The location where the bingo pull-tab game will occur;

(4) The approximate date when the bingo pull-tab game will occur;

(5) The signature of the chief officer or secretary of the organization verifying that the statements contained in the application are true.

3. A person who knowingly makes a false statement on an application is guilty of a class A misdemeanor and shall not ever again be considered for application by the commission, nor shall such person ever again assist in any manner with the management, conduct or operation of any game.

4. A renewal application shall only include any changes in the information required to be submitted with the initial application.

(L. 1981 H.B. 322 § 4, A.L. 1993 S.B. 10 & 11, A.L. 1994 S.B. 427, A.L. 1996 H.B. 1159)

Leases, approval by commission--percentage of gross receipts as rentprohibited--lessors and suppliers may not operate games.

313.025. 1. If any applicant for licensure or organization licensed under sections 313.005 to 313.080 proposes to conduct bingo on leased premises or use leased equipment, the terms of the lease shall be reduced to writing and a copy of the lease shall be submitted to the commission. The commission may approve or disapprove any such lease. No lease which has been approved by the commission shall be amended, modified or renewed in any manner until such amendments, modifications or renewals have been approved by the commission. No lease providing for a rental arrangement for premises or equipment for use in the game shall provide for payment in excess of the reasonable market rental rate for such premises or equipment and in no case shall any payment be based on a percentage of gross receipts or proceeds. The reasonable market rental rate shall be determined by the commission.

2. If any applicant for licensure or any organization licensed under the provisions of sections 313.005 to 313.080 proposes to purchase or lease bingo supplies, bingo equipment, or bingo services or premises in which bingo will be conducted, the applicant or licensee may be required at the discretion of the commission to submit in writing a detailed listing of the supplies to be purchased or leased together with the quoted price therefor and a copy of the lease, if such supplies are to be leased. No purchase or lease of bingo supplies shall provide for payment in excess of the reasonable market purchase price or reasonable market rental rate for such equipment and in no case shall any payment be based on a percentage of gross receipts or proceeds. The reasonable market purchase price or reasonable market rental rate shall be determined by the commission.

3. Persons who lease premises, sell or lease supplies or equipment, or furnish commodities or services to sponsoring organizations to conduct bingo games shall take no part in operating such bingo games.

(L. 1981 H.B. 322 § 5, A.L. 1984 S.B. 720, A.L. 1993 S.B. 10 & 11)

Effective 7-1-94

Change in officers to be reported to commission--license to bedisplayed.

313.030. Any organization licensed to play bingo which changes any of its officers, directors or officials during the term of the bingo license shall immediately report the names and addresses of such individuals to the director, along with a sworn statement of each such individual as required on forms furnished by the director. Each licensee shall display the license in a prominent place in the area where it is to conduct bingo. The license issued by the commission shall authorize the licensee to conduct only the game commonly known as bingo.

(L. 1981 H.B. 322 § 6, A.L. 1993 S.B. 10 & 11)

Effective 7-1-94

Ineligible persons and organizations--revocation, eligibility forrelicensure.

313.035. 1. The following persons and organizations are not eligible for any license under the provisions of sections 313.005 to 313.080 and shall not participate in the management, conduct or operation of any game:

(1) Any person who has been convicted of a felony;

(2) Any person who is or has been a professional gambler or gambling promoter;

(3) Any person who has ever purchased a tax stamp for wagering or gambling activity;

(4) Any person who has been convicted of or pleaded nolo contendere to any illegal gambling activity or forfeited bond for not appearing while charged with any illegal gambling activity;

(5) Any person the commission has determined, based on the person's prior activities or criminal record, if any, poses a threat to the public interest or to the effective regulation and control of bingo, or creates or enhances the dangers of unsuitable, unfair, or illegal practices, methods, and activities in the conduct of bingo or the carrying on of the business and financial arrangements incidental to the conduct of bingo;

(6) Any firm, organization or corporation in which a person defined in subdivision (5) of this subsection is an officer, director or employee, whether compensated or not;

(7) Any firm, organization or corporation in which a person defined in subdivision (5) of this subsection is to participate in the management or operations of a bingo game;

(8) Any person who, at the time of the application for renewal of a bingo license, would not be eligible for such license upon first application.

2. Any bona fide religious, charitable, fraternal, veteran or service organization whose license has been revoked under sections 313.005 to 313.085 shall not be eligible for any license under sections 313.005 to 313.085 until such organization has demonstrated to the commission, through clear and convincing evidence, that the person or persons who were directly involved in the event or events which led to the revocation or had knowledge of the event or events which led to the revocation and failed to report such event or events to the commission, have been dismissed from any involvement, directly or indirectly, with the conducting of a bingo game for that organization or, if the organization owns the premises where bingo is conducted, that person or persons may not participate in the management, conduct or operation of any bingo game at that premises.

(L. 1981 H.B. 322 § 7, A.L. 1989 S.B. 153, A.L. 1994 S.B. 427)

Effective 6-28-94

Restrictions, penalties.

313.040. The conducting of bingo is subject to the following restrictions:

(1) (a) The entire net receipts over and above the actual cost of conducting the game shall be exclusively devoted to the lawful, charitable, religious or philanthropic purposes of the organization permitted to conduct that game and no receipts shall be used to compensate in any manner any person who works for or is in any way affiliated with the licensed organization. Any person who violates the provisions of this paragraph shall be guilty of a class E felony;

(b) Proceeds from the game of bingo may not be loaned to any person, except that this provision shall not prohibit the investment of the proceeds in any licensed banking or savings institution, instrument of the United States, Missouri, or any political subdivision thereof. Any person who violates the provisions of this paragraph shall be guilty of a class C misdemeanor; and

(c) The actual cost of conducting the game shall only include the following:

a. The cost of the prizes;

b. The purchasing of the bingo cards from a licensed supplier;

c. The purchasing or leasing of the equipment used in conducting the game;

d. The lease rental on the premises in which the game is conducted to include an allocation of utility costs, if applicable, costs of providing security, including the employment of a reasonable number of security personnel at a compensation level which complies with rules and regulations promulgated by the commission and such personnel is actually present and engaged in security duties, and bookkeeping and accounting expenses;

e. The actual cost of providing reasonable janitorial services. The cost of such services shall not be above the fair market rate charged for similar services in the community where the bingo game is being conducted;

f. Subject to constitutional restrictions, if any, the fair market cost of advertising each bingo occasion. Such advertising shall be procured in accordance with the rules and regulations of the commission;

(2) No person shall participate in conducting or managing the game of bingo except a person who has been a bona fide member of the licensed organization for at least two years immediately preceding such participation, who is not a paid staff person of the licensed organization employed and compensated specifically for conducting or managing the game of bingo and who volunteers the time and service necessary to conduct the game. Subject to constitutional restrictions, if any, no person shall participate in the actual operation of the game of bingo under the direction of a person conducting or managing the game of bingo, except a person who has been a bona fide member of the licensed organization for at least one year immediately preceding such participation, who is not a paid staff person of the licensed organization employed and compensated specifically for operating the game of bingo and who volunteers the time and service necessary to operate the game. If any post or organization, by its national charter, has established an auxiliary organization for spouses, then members of the auxiliary organization shall be considered bona fide members of the licensed organization and members of the post or organization shall be considered bona fide members of the auxiliary organization for the purposes of this subdivision. Any person who is a duly ordained member of the clergy and any person who is a full-time employee or staff member of the licensed organization employed for at least two years by that organization in a capacity not directly related to the conducting or managing of the game of bingo, who has specific assigned duties under a definite job description with the licensed organization, and who volunteers time and assistance to the organization without compensation for such time and assistance in the conducting and managing of the game of bingo by the organization shall not be considered a paid staff person for the purposes of this subdivision. No full-time employee or staff member shall volunteer such time and assistance to more than one organization nor more than one day in any week. The commission shall establish guidelines for the determination of whether a person is a paid staff person within the meaning of this subdivision and shall specifically approve any full-time employee or staff member of the organization before such employee or staff member may volunteer time and assistance in the conducting and managing of bingo games for any organization. The commission may suspend the approval of any employee or staff member;

(3) No person, firm, partnership or corporation shall receive any remuneration, profit or gift for participating in the management, conduct or operation of the game, including the granting or use of bingo cards without charge or at a reduced charge from the licensed organization or from any other source;

(4) The aggregate retail value of all prizes or merchandise awarded, except prizes or merchandise awarded by pull-tab cards and progressive bingo games, in any single day of bingo may not exceed the amount set by the commission per regulation;

(5) The number of games may not exceed sixty-two in any one day, including regular and special games. For purposes of this subdivision, the use of a pull-tab card and progressive bingo games shall not count as one of the sixty-two games per day, as limited by this subdivision, but no pull-tab card may be used except in conjunction with one of such sixty-two games;

(6) The price paid for a single bingo card under the license may not exceed one dollar. The commission may establish by rule or regulation the number of bingo cards which may be placed on a single bingo sheet. The price for a single pull-tab card may not exceed one dollar. A licensee may not require a player to purchase more than a standard pack in order to participate in the bingo occasion;

(7) The number of bingo days conducted by a licensee under the provisions of sections 313.005 to 313.080 shall be limited to two days per week;

(8) Any person, officer or director of any firm or corporation, and any partner of any partnership renting or leasing to a licensed organization equipment or premises for use in a game shall meet all the qualifications set forth in subdivisions (1) to (5) and (8) of subsection 1 of section 313.035 and shall not be a paid staff person of the licensee. Proof of compliance with this subdivision shall be submitted to the commission by the licensee in the manner required by the commission;

(9) Subject to constitutional restrictions, if any, an organization licensed to conduct bingo in the state of Missouri may advertise a bingo occasion or special event bingo if expenditures for advertisement do not exceed ten percent of the total amount expended from receipts of bingo conducted by the licensed organization for charitable, religious or philanthropic purposes;

(10) No person under the age of sixteen years may play or participate in the conducting of bingo. Any person under the age of sixteen years may be within the area where bingo is being played only when accompanied by his parent or guardian;

(11) No licensee shall lease premises in which it conducts bingo games from someone who is not a hall provider licensed by the commission;

(12) No licensee shall pay any consulting fees to any person for any service performed in relation to the bingo game;

(13) No licensee shall pay concession fees to any person who provides refreshments to the participants in the bingo game;

(14) No licensee shall conduct a bingo session at any time during the period between 1:00 a.m. and 7:00 a.m.;

(15) No licensee, while a bingo game is being conducted, shall knowingly permit entry to any part of the licensed premises to any person of notorious or unsavory reputation or who has an extensive police record or who has been convicted of a felony;

(16) No vending machine or any mechanized coin-operated machine may be used to sell pull-tab cards or to pay prize money, merchandise gifts or any other form of a prize;

(17) No rented or reusable bingo cards may be used to conduct any game. All games must be conducted with disposable paper bingo cards that are marked by permanent ink as prescribed by the rules and regulations of the commission, or by electronic bingo card monitoring device as approved by the commission;

(18) No licensee shall purchase or use any bingo supplies from a person who is not licensed by the state of Missouri as a bingo supplier.

(L. 1981 H.B. 322 § 8, A.L. 1983 H.B. 95 & 223, A.L. 1984 H.B. 1356 merged with S.B. 720, A.L. 1986 S.B. 461, A.L. 1987 S.B. 55, A.L. 1993 S.B. 10 & 11, A.L. 1994 S.B. 427, A.L. 1996 H.B. 1159, A.L. 2010 S.B. 940, A.L. 2014 S.B. 491)

Effective 1-01-17

Annual reports by certain licensees--contents.

313.045. Each regular bingo licensee and any special bingo licensee which conducts games on more than three occasions in any calendar year shall report quarterly to the commission on forms prescribed by the commission the following information:

(1) The number of games it has conducted during the reporting year;

(2) The location at which and the days it conducted games;

(3) The gross receipts it received from each game;

(4) An itemization of the cost of conducting each game, other than for prizes, and the name of the person to whom said expenses were paid;

(5) The purposes for which the net proceeds of the game were used and the amounts so used;

(6) Any other information that the director may require by rule or regulation.

(L. 1981 H.B. 322 § 9, A.L. 1984 S.B. 720, A.L. 1993 S.B. 10 & 11, A.L. 2010 S.B. 940)

Records to be kept--retention period.

313.050. Each licensee shall keep a complete record of bingo games conducted within the previous two years, except for the records stipulated as one-year retention by regulation. Such records shall be open to inspection by the commission.

(L. 1981 H.B. 322 § 10, A.L. 1993 S.B. 10 & 11, A.L. 2010 S.B. 940)

Grounds for disciplinary action against licensee.

313.052. A holder of any license shall be subject to imposition of penalties, suspension or revocation of such license, or other action for any act or failure to act by himself or his agents or employees, that is injurious to the public health, safety, good order and general welfare of the people of the state of Missouri, or that would discredit or tend to discredit charitable bingo operations in Missouri or the state of Missouri unless the licensee proves by clear and convincing evidence that he is* not guilty of such action. The commission shall take appropriate action against any licensee who violates the law or the rules and regulations of the commission. Without limiting other provisions of sections 313.005 to 313.085, the following acts or omissions may be grounds for such discipline:

(1) Failing to comply with or make provision for compliance with the provisions of sections 313.005 to 313.085, the rules and regulations of the commission or any federal, state or local law or regulation;

(2) Failing to comply with any rule, order or ruling of the commission or its agents pertaining to bingo;

(3) Receiving or purchasing goods or services from a person or business entity who does not hold a supplier's or manufacturer's license issued pursuant to sections 313.005 to 313.085, but who is required to hold such license by the provisions of sections 313.005 to 313.085 or the rules and regulations of the commission;

(4) Associating with, either socially or in business affairs, or employing persons of notorious or unsavory reputation or who have extensive police records, or who have failed to cooperate with any officially constituted investigatory or administrative body and would adversely affect public confidence and trust in gaming;

(5) Employing in any bingo operation any person known to have been found guilty of cheating or using any improper device in connection with any bingo game;

(6) Use of fraud, deception, misrepresentation or bribery in securing any permit or license issued pursuant to the provisions of sections 313.005 to 313.085;

(7) Obtaining or attempting to obtain any fee, charge, or other compensation by fraud, deception, or misrepresentation;

(8) Incompetence, misconduct, gross negligence, fraud, misrepresentation or dishonesty in the performance of the functions or duties regulated by the provisions of sections 313.005 to 313.085.

(L. 1994 S.B. 427)

Effective 6-28-94

*Words "they are" appear in original rolls.

Tax on organizations making certain prize awards--rate paid,when--delinquent, penalty.

313.055. 1. A tax is hereby imposed on each organization conducting the game of bingo which awards to winners of bingo games prizes or merchandise having an aggregate retail value of more than five thousand dollars annually and more than one hundred dollars in any single day. The tax shall be in the amount of two-tenths of one cent upon each bingo card and progressive bingo game card sold in Missouri to be paid by the supplier. The taxes, less two percent of the total amount paid which may be retained by the supplier, shall be paid on a monthly basis to the commission, by each supplier of bingo supplies and shall be due on the last day of the month following the month in which the bingo card was sold, with the date of sale being the date on the invoice evidencing the sale, along with such reports as may be required by the commission. The taxes shall be deposited in the state treasury, credited to the bingo proceeds for education fund.

2. All taxes not paid to the commission by the person or licensee required to remit the same on the date when the same becomes due and payable to the commission under the provisions of sections 313.005 to 313.085 shall bear interest at the rate to be set by the commission not to exceed two percent per calendar month, or fraction thereof, from and after such date until paid. In addition, the commission may impose a penalty not to exceed three times the amount of taxes due for failure to submit the reports required by this section and pay the taxes due.

(L. 1981 H.B. 322 § 11, A.L. 1984 S.B. 720, A.L. 1993 S.B. 10 & 11, A.L. 1994 S.B. 427, A.L. 1996 H.B. 1159, A.L. 2007 S.B. 613 Revision)

Suppliers license required, background checks required, exceptions tolicensure, qualifications, fee--records--pull-tab cards, taxon--restrictions on use--failure to pay tax, penalty.

313.057. 1. It is unlawful for any person, either as an owner, lessee or employee, to operate, carry on, conduct or maintain any form of manufacturing, selling, leasing or distribution of any bingo equipment or supplies without having first procured and maintained a Missouri bingo equipment and supplies manufacturer or supplier license.

2. The commission shall submit two sets of fingerprints for each key person, as defined in commission rules and regulations, of an entity or organization seeking issuance or renewal of a Missouri bingo equipment and supplies manufacturer or supplier license, for the purpose of checking the person's prior criminal history when the commission determines a nationwide check is warranted. The fingerprint cards and any required fees shall be sent to the Missouri state highway patrol's criminal records division. The first set of fingerprints shall be used for searching the state repository of criminal history information. The second set of fingerprints shall be forwarded to the Federal Bureau of Investigation, Identification Division, for the searching of the federal criminal history files. The patrol shall notify the commission of any criminal history information or lack of criminal history information discovered on the individual. Notwithstanding the provisions of section 610.120, all records related to any criminal history information discovered shall be accessible and available to the commission.

3. The holder of a state bingo license may, within two years of cessation of conducting bingo or upon specific approval by the commission, dispose of by sale in a manner approved by the commission, any or all of his bingo equipment and supplies, without a supplier's license. In case of foreclosure of a lien by a bank or other person holding a security interest for which bingo equipment is security in whole or in part for the lien, the commission may authorize the disposition of the bingo equipment without requiring a supplier's license.

4. Any person whom the commission determines to be a suitable person to receive a license pursuant to the provisions of this section may be issued a manufacturer's or supplier's license. The commission may require suppliers to post a bond with the commission in an amount and in the manner prescribed by the commission. The burden of proving his qualification to receive or hold a license pursuant to this section is at all times on the applicant or licensee.

5. The commission shall charge and collect from each applicant for a supplier's license a one-time application fee set by the commission, not to exceed five thousand dollars. The commission shall charge and collect an annual renewal fee for each supplier licensee not to exceed one thousand dollars. The applicant shall be responsible for the total cost of the criminal history investigation. If the cost of the investigation exceeds the total amount of fees filed by the applicant in this subsection, the commission may assess additional fees as it deems appropriate.

6. The commission shall charge and collect from each applicant for a manufacturer's license a one-time application fee set by the commission, not to exceed five thousand dollars. The commission shall charge and collect an annual renewal fee for each manufacturer licensee not to exceed one thousand dollars. The applicant shall be responsible for the total cost of the criminal history investigation. If the cost of the investigation exceeds the total amount of fees filed by the applicant in this subsection, the commission may assess additional fees as it deems appropriate.

7. The commission shall charge and collect from each applicant for a hall provider's license a one-time application fee set by the commission, not to exceed seven hundred fifty dollars. The commission shall charge and collect an annual renewal fee for each hall provider licensee not to exceed five hundred dollars.

8. All licenses issued pursuant to this section shall be issued for the calendar year and shall expire on December thirty-first of each year. Regardless of the date of application or issuance of the license, the fee to be charged and collected pursuant to this section shall be the full annual fee.

9. All license fees collected pursuant to this section shall be paid over immediately to the state treasurer to be deposited to the credit of the gaming commission fund.

10. All licensees pursuant to this section shall maintain for a period of not less than three years full and complete records of all business carried on in this state and shall make same available for inspection to any duly authorized representative of the commission. If a supplier does not receive payment in full from an organization within thirty days of the delivery of bingo supplies, the supplier shall notify the commission in writing, or in a manner specified by the commission in its rules and regulations, of the delinquency. Upon receipt of the notice of delinquency, the commission shall notify all suppliers that until further notice from the commission, all sales of bingo supplies to the delinquent organizations shall be on a cash-only basis. Upon receipt of the notice from the commission, no supplier may extend credit to the delinquent organization until such time as the commission approves credit sales. If a manufacturer does not receive payment in full from a supplier within ninety days of the delivery of bingo supplies, the manufacturer shall notify the commission in writing, or in a manner specified by the commission in its rules and regulations, of the delinquency. Upon receipt of the notice of delinquency, the commission shall notify all manufacturers that until further notice from the commission, all sales of bingo supplies to the delinquent supplier shall be on a cash-only basis. Upon receipt of the notice from the commission, no manufacturer may extend credit to the delinquent supplier until such time as the commission approves credit sales.

11. Until January 1, 1995, all suppliers shall pay a tax on all pull-tab cards distributed by them in the amount of ten dollars per box when sold by any organization licensed to conduct bingo pursuant to the provisions of sections 313.005 to 313.080. No box sold shall contain more than twenty-four hundred pull-tab cards. Beginning January 1, 1995, a tax is hereby imposed in the amount of two percent of the gross receipts of the retail sales value charged for each pull-tab card sold in Missouri to be paid by the supplier. The taxes, less two percent of the total amount paid which may be retained by the supplier, if timely filed and paid, shall be paid on a monthly basis to the commission by each supplier of pull-tabs and shall be due on the last day of each month following the month in which the pull-tabs were sold. The taxes shall be deposited in the state treasury, credited to the bingo proceeds for education fund. All pull-tab cards sold by suppliers in this state shall bear on the face thereof the amount for which such pull-tab cards will be sold. Each unit container shall contain cards printed in such a manner as to ensure that at least sixty percent of the gross revenues generated by the ultimate sale of such cards shall be returned to the final purchasers of such cards. Any supplier who fails to pay the tax imposed pursuant to this subsection shall have his license issued pursuant to this section revoked and shall be guilty of a class A misdemeanor.

(L. 1984 S.B. 720, A.L. 1986 S.B. 461, A.L. 1993 S.B. 10 & 11, A.L. 1994 S.B. 427, A.L. 1996 H.B. 1159, A.L. 2003 H.B. 523 merged with S.B. 294, A.L. 2010 S.B. 940)

Veterans' hospitals, exempt from frequency provisions--net receipts tobe given to hospital.

313.060. Veterans' organizations may conduct the game of bingo on a daily basis, for patients only, in federally designated veterans' hospitals. Such bingo games shall be exempt from the frequency provisions of subdivision* (7) of section 313.040. All net receipts over and above the actual cost of conducting the game as set by law shall be given to the hospital where the bingo game is conducted.

(L. 1981 H.B. 322 § 12)

*Word "subsection" is in original rolls

Rules and regulations, promulgation.

313.065. The administration of sections 313.005 to 313.080 shall be vested in the commission which shall have power to adopt and enforce rules and regulations to regulate and license the management, operation and conduct of games of bingo and participants therein and to properly administer and enforce the provisions of sections 313.005 to 313.080. No rule or portion of a rule promulgated under the authority of sections 313.005 to 313.080 shall become effective unless it has been promulgated pursuant to the provisions of section 536.024.

(L. 1981 H.B. 322 § 13, A.L. 1993 S.B. 10 & 11, A.L. 1995 S.B. 3)

Licenses, suspension or revocation, when.

313.070. Any license issued under sections 313.005 to 313.080 shall be suspended or revoked by the commission if it is found that the licensee or any person connected therewith has violated any provision of sections 313.005 to 313.080 or any rule or regulation of the commission adopted pursuant to sections 313.005 to 313.080.

(L. 1981 H.B. 322 § 14, A.L. 1984 S.B. 720, A.L. 1993 S.B. 10 & 11)

Effective 7-1-94

Bingo not deemed gambling--licensed sales or consumption of beer andalcoholic beverages not prohibited.

313.075. The conduct or playing games of bingo under the provisions of sections 313.005 to 313.080 does not constitute gambling or gambling activities and the power of the division of liquor control to prohibit the licensing of any premises on which gambling or gambling activities are conducted or played, or to prohibit the sale or consumption of beer or alcoholic beverage on any premises on which gambling or gambling activities are conducted or played, shall not apply where the only activity is the conduct or playing of games of bingo under the provisions of sections 313.005 to 313.080. Any licensee under sections 313.005 to 313.080 may, if such licensee meets all other requirements of the liquor licensing laws of this state, be licensed by the division of liquor control as provided in chapter 311, and the conduct or playing of games of bingo under the provisions of sections 313.005 to 313.080 shall not, by itself, be a reason for refusal to license or for suspension or revocation of a license under the provisions of chapter 311.

(L. 1981 H.B. 322 § 15, A.L. 2009 H.B. 132)

Violations, penalty.

313.080. Any person who violates any provision of sections 313.005 to 313.080 shall be guilty of a class A misdemeanor.

(L. 1981 H.B. 322 § 16)

Sales of bingo supplies exempt from certain taxes.

313.085. In addition to the exemptions granted under the provisions of section 144.030, there is hereby specifically exempted from the provisions of sections 144.010 to 144.525 and 144.600 to 144.745, section 238.235, and any local sales tax law, as defined in section 32.085, and from the computation of the tax levied, assessed or payable under sections 144.010 to 144.525 and 144.600 to 144.745, section 238.235, and any local sales tax law, as defined in section 32.085, all sales of bingo supplies, equipment or cards, including pull-tab cards, to any organization duly licensed to conduct bingo pursuant to sections 313.005 to 313.085.

(L. 1986 S.B. 461 § 1, A.L. 1993 H.B. 112, A.L. 1994 S.B. 427 merged with S.B. 740)

Effective 5-20-94 (S.B. 740)

6-28-94 (S.B. 427)

Citation of law.

313.200. Sections 313.200 to 313.350 shall be known and may be cited as the "State Lottery Law".

(L. 1985 S.B. 44 § 1)

Effective 6-11-85

Definitions.

313.205. As used in sections 313.200 to 313.350, the following words and terms shall have the meanings ascribed to them in this section unless the context clearly requires otherwise:

(1) "Commission" or "lottery commission", the three-member body appointed by the governor to manage and oversee the lottery and to appoint a director;

(2) "Commissioner", one of the members of the lottery commission appointed by the governor pursuant to the provisions of sections 313.200 to 313.350;

(3) "Director", the director of the state lottery appointed by the commission as the chief administrator of the state lottery;

(4) "Division", the division of the state lottery authorized by sections 313.200 to 313.350;

(5) "Lottery" or "state lottery", the state lottery established and operated pursuant to the provisions of sections 313.200 to 313.350;

(6) "Lottery contractor" or "lottery vendor", a person with whom the division has contracted to provide goods or services for the state lottery;

(7) "Lottery game" or "game", any procedure authorized by written rule of the commission whereby prizes are distributed among persons who have paid, or have unconditionally agreed to pay, for tickets or shares which provide the opportunity to win such prizes;

(8) "Lottery game retailer", any person with whom the lottery commission has contracted to sell tickets or shares in lottery games to the public;

(9) "Person", any natural person, firm, corporation, or other legal entity possessing a department of revenue retail sales license, as provided by law.

(L. 1985 S.B. 44 § 2)

Effective 6-11-85

Commission established--offices--assignment to department.

313.210. The "State Lottery Commission" is hereby created. The commission shall control and manage the state lottery. The principal office of the commission shall be located in Jefferson City in quarters provided by the division of facilities management, design and construction. That division shall also arrange for other needed office space for the commission or its staff. The commission shall be assigned to the department of revenue as a type III division, but the director of the department of revenue has no supervision, authority or control over the actions or decisions of the lottery commission or the director of the state lottery.

(L. 1985 S.B. 44 § 3, A.L. 2014 H.B. 1299 Revision)

Commission members--terms, qualifications--expense reimbursement.

313.215. The commission shall consist of five members appointed by the governor with advice and consent of the senate, no more than three of whom shall be of the same political party. Members shall be appointed for terms of three years except for the initial members, two of whom shall be appointed for a term of one year, two for a term of two years, and one for a term of three years. No person shall be appointed as a commissioner who has been convicted of a felony or gambling related offense. The commission shall elect one of its members as chairman of the commission. All appointments shall be made within thirty days after expiration of a term. Vacancies shall be filled within thirty days by the governor for the unexpired portion of the term. The governor may remove any commissioner for cause following a hearing. Commissioners shall not be compensated for their services, but shall be reimbursed for actual and necessary expenses incurred in the performance of their duties from the state lottery fund. Each member of the commission at the time of his appointment and qualification shall have been a resident of this state for at least five years next preceding his appointment and qualification and shall also be a registered voter and at least thirty years of age.

(L. 1985 S.B. 44 § 4, A.L. 1988 S.B. 643)

Effective 9-1-88

Rules and regulations--procedure generally, this chapter--backgroundchecks may be required, when.

313.220. 1. The commission shall promulgate such rules and regulations governing the establishment and operation of a state lottery as it deems necessary and desirable to fully implement the mandate of the people expressed in the approval of the lottery amendment to Article III of the Missouri Constitution. Such rules and regulations shall be designed so that a lottery may be initiated at the earliest feasible and practicable time. No rule or portion of a rule promulgated under the authority of this chapter shall become effective unless it has been promulgated pursuant to the provisions of section 536.024.

2. The commission shall have the authority to require a fingerprint background check on any person seeking employment or employed by the commission, any person seeking contract with or contracted to the commission and any person seeking license from or licensed by the commission. The background check shall include a check of the Missouri criminal records repository and when the commission deems it necessary to perform a nationwide criminal history check, a check of the Federal Bureau of Investigation's criminal records file. Fingerprints shall be submitted to the Missouri criminal records repository as required. Notwithstanding the provisions of section 610.120, the commission shall have access to closed criminal history information when fingerprints are submitted.

(L. 1985 S.B. 44 § 5, A.L. 1988 S.B. 643, A.L. 1993 S.B. 52, A.L. 1995 S.B. 3, A.L. 2003 S.B. 294)

Commission meetings--quorum.

313.225. The commission shall meet at least quarterly in accordance with its rules therefor. No action of the commission shall be binding unless taken at a meeting at which at least three of the five members are present and shall vote in favor thereof.

(L. 1985 S.B. 44 § 6, A.L. 1988 S.B. 643)

Effective 9-1-88

Duties of commission--nepotism prohibited for employees of lotteryand commission.

313.230. The commission shall:

(1) Issue rules and regulations concerning the operation of the Missouri state lottery. The rules and regulations shall include, but shall not be limited to, the following:

(a) The type of lottery to be conducted, except no lottery may use any coin- or token-operated amusement device and no lottery game shall be based in any form on the outcome of sporting events. However, it shall be legal to use clerk- or player-activated terminals, which are coin- or currency-operated, to dispense lottery tickets;

(b) The price, or prices, of tickets or shares in the lottery;

(c) The numbers and sizes of the prizes on the winning tickets or shares;

(d) The manner of selecting the winning tickets or shares;

(e) The manner of payment of prizes to the holders of winning tickets or shares;

(f) The frequency of the drawings or selections of winning tickets or shares, without limitation;

(g) The types or numbers of locations at which tickets or shares may be sold and the method to be used in selling tickets or shares;

(h) The method to be used in selling tickets or shares;

(i) The licensing of lottery game retailers to sell tickets or shares;

(j) The manner and amount of compensation, including commissions, ticket discounts, incentives and any other remuneration, to be paid to or retained by lottery game retailers;

(k) The apportionment of the total revenues accruing from the sale of lottery tickets or shares and from all other sources among:

a. The payment of prizes to the holders of winning tickets or shares;

b. The payment of costs incurred in the operation and administration of the lottery, including the expenses of the commission and the costs resulting from any contract or contracts entered into for promotional, advertising or operational services or for the purchase or lease of lottery equipment and materials;

c. For the repayment to the general revenue fund of any amount appropriated for initial start-up of the lottery; and

d. For timely transfer to the state lottery fund as provided by law;

(l) Such other matters necessary or desirable for the efficient and economical operation and administration of the lottery and for the convenience of the purchasers of tickets or shares and the holders of winning tickets or shares. The commission may disburse money for payment of lottery prizes;

(2) Amend, repeal, or supplement any such rules and regulations from time to time as it deems necessary or desirable;

(3) Advise and make recommendations to the director regarding the operation and administration of the lottery;

(4) Report quarterly to the governor and the general assembly the total lottery revenues, prize disbursements and other expenses for the preceding quarter, and to make an annual report, which shall include a full and complete statement of lottery revenues, prize disbursements and other expenses, to the governor and the general assembly, and including such recommendations for changes in sections 313.200 to 313.350 as it deems necessary or desirable;

(5) Report to the governor and general assembly any matters which shall require immediate changes in the laws of this state in order to prevent abuses and evasions of sections 313.200 to 313.350 or rules and regulations promulgated thereunder or to rectify undesirable conditions in connection with the administration or operation of the lottery;

(6) Carry on a continuous study and investigation of the lottery throughout the state and to make a continuous study and investigation of the operation and the administration of similar laws which may be in effect in other states or countries, any literature on the subject which from time to time may be published or available, any federal laws which may affect the operation of the lottery, and the reaction of Missouri citizens to existing and potential features of the lottery with a view to recommending or effecting changes that will tend to serve the purposes of sections 313.200 to 313.350;

(7) Ensure that all employees of the state lottery commission hired after July 12, 1990, shall not be related to any member of the state lottery commission or any employee of the state lottery commission within the third degree of consanguinity or affinity.

(L. 1985 S.B. 44 § 7, A.L. 1988 S.B. 643, A.L. 1990 S.B. 504, A.L. 1993 S.B. 215)

Director--appointment, qualifications, compensation.

313.235. The commission shall appoint a director. The director shall perform his duties subject to the direction of the commission. He may be removed by the commission for good cause shown after notice and an opportunity to be heard. He shall be qualified to direct the operations of a state-operated lottery. No person shall be appointed as lottery director who has been convicted of a felony or any gambling-related offense. The director shall receive a salary as set by the commission and subject to appropriation. He shall devote his entire time and attention to the duties of his office, and he shall not engage in any other profession or occupation.

(L. 1985 S.B. 44 § 8)

Effective 6-11-85

Duties of director.

313.240. The director shall, subject to the approval of the commission, perform all duties, exercise all powers, and assume and discharge all responsibilities to carry out the purpose of sections 313.200 to 313.350. The director shall act as secretary of the commission and keep all books, records, files and documents of the commission. The director shall supervise and administer the operation of the lottery in accordance with the provisions of sections 313.200 to 313.350 and the rules and regulations promulgated by the commission.

(L. 1985 S.B. 44 § 9)

Effective 6-11-85

Personnel--employment, qualifications, compensation.

313.245. The director shall employ such professional, clerical, technical and administrative personnel as may be necessary to carry out the provisions of sections 313.200 to 313.350. No person shall be employed by the lottery who has been convicted of a felony. Any person employed by the lottery in a management or policy-making position shall be a resident of this state or become a Missouri resident within six months of his appointment. Personnel shall be employed without regard to any political affiliation. Personnel shall receive a salary comparable to the salaries received by other state employees doing comparable duties.

(L. 1985 S.B. 44 § 10)

Effective 6-11-85

Budget preparation.

313.250. The director shall annually prepare and submit to the commission, for its approval, a proposed budget for the ensuing fiscal year, which budget shall present a complete financial plan setting forth all proposed expenditures and anticipated revenues of the state lottery.

(L. 1985 S.B. 44 § 11)

Effective 6-11-85

Licenses--issuance, suspension, revocation--allocation--qualificationsof licensees--commission may sell tickets, when--bond.

313.255. 1. The director shall issue, suspend, revoke, and renew licenses for lottery game retailers pursuant to rules and regulations adopted by the commission. Such rules shall specify that at least ten percent of all licenses awarded to lottery game retailers in constitutional charter cities not within a county and constitutional charter cities with a population of at least four hundred fifty thousand not located wholly within a county of the first class with a charter form of government shall be awarded to minority-owned and -controlled business enterprises. Licensing rules and regulations shall include requirements relating to the financial responsibility of the licensee, the accessibility of the licensee's place of business or activity to the public, the sufficiency of existing licenses to serve the public interest, the volume of expected sales, the security and efficient operation of the lottery, and other matters necessary to protect the public interest and trust in the lottery and to further the sales of lottery tickets or shares. Lottery game retailers shall be selected without regard to political affiliation.

2. The commission may sell lottery tickets at its office and at special events.

3. The commission shall require every retailer to post a bond, a bonding fee or a letter of credit in such amount as may be required by the commission, and upon licensure shall prominently display his license, or a copy thereof, as provided in the rules and regulations of the commission.

4. All licenses for lottery game retailers shall specify the place such sales shall take place.

5. A lottery game retailer license shall not be assignable or transferable.

6. A license shall be revoked upon a finding that the licensee:

(1) Has knowingly provided false or misleading information to the commission or its employees;

(2) Has been convicted of any felony; or

(3) Has endangered the security of the lottery.

7. A license may be suspended, revoked, or not renewed for any of the following causes:

(1) A change of business location;

(2) An insufficient sales volume;

(3) A delinquency in remitting money owed to the lottery; or

(4) Any violation of any rule or regulation adopted pursuant to this section by the commission.

(L. 1985 S.B. 44 § 12, A.L. 1988 S.B. 643)

Effective 9-1-88

Restrictions for licensees.

313.260. 1. No license shall be issued to any person to engage in business primarily as a lottery game retailer.

2. No person shall be licensed as a lottery game retailer who:

(1) Has been convicted of a felony;

(2) Is or has been a professional gambler or gambling promoter;

(3) Has been convicted of bookmaking or any other form of illegal gambling;

(4) Has been convicted of a crime involving fraud or misrepresentation;

(5) Has purchased a federal tax stamp for wagering or gambling activity;

(6) Has been convicted of or pleaded nolo contendere to any illegal gambling activity;

(7) Has had his ticket retailer's license revoked by the commission;

(8) Is a lottery contractor or lottery vendor;

(9) Is an employee of the commission or any spouse, child, brother, sister, or parent of an employee of the commission; or

(10) Is under the age of twenty-one;

(11) Is a firm, corporation or organization in which a person defined in subdivision (1), (2), (3), or (4) of this subsection is to participate in the management or sales of lottery tickets or shares.

(L. 1985 S.B. 44 § 13)

Effective 6-11-85

Denial of license, grounds--cause to be cited.

313.265. No person otherwise qualified under the provisions of sections 313.200 to 313.350 shall be denied a license as a lottery game retailer except for cause or for refusal to acquire such equipment and materials or meet such minimum sales requirements as the commission may deem necessary for a person to conduct a lottery game on his business premises. The reason for denial of a license shall be specified in writing by the commission.

(L. 1985 S.B. 44 § 14)

Effective 6-11-85

Purchase of goods and services--minority contracts, expirationdate--investigation costs--bond--termination of vendor'scontract.

313.270. 1. The director, pursuant to rules and regulations issued by the commission, may directly purchase or lease such goods or services as are necessary for effectuating the purposes of sections 313.200 to 313.350, including procurements which integrate functions such as lottery game design, supply of goods and services, and advertising. The lottery commission by approved rule may purchase goods made in the United States and sold by a Missouri business to be given away as prizes within the provisions of section 313.321. Contracts shall be awarded to lottery contractors or lottery vendors on the basis of lowest and best bid on an evaluated basis in order to maximize revenues to the lottery fund. The director may also utilize state purchasing procedures. The director shall award at least ten percent of the aggregate dollar amount of all contracts to provide goods and services to the lottery to minority business enterprises as defined by the office of administration and shall award at least five percent of the aggregate dollar amount of all contracts to provide goods and services to the lottery to women business enterprises as defined by the office of administration. No contract awarded or entered into by the director may be assigned by the holder thereof except by specific approval of the commission.

2. Any contract awarded to any lottery contractor or vendor shall provide that such contractor or vendor shall award a minimum of ten percent of his subcontracted business to minority business enterprises as defined by the office of administration and shall award a minimum of five percent of his subcontracted business to women business enterprises as defined by the office of administration. This section shall not apply to multistate lottery.

3. Any lottery vendor which enters into a contract to supply lottery materials, services or equipment for use in the operation of the state lottery shall first disclose such information as the commission may require, by rule and regulation, concerning the selection of lottery vendors.

4. The costs of any investigation into the background of the applicant seeking a contract shall be assessed against the applicant and shall be paid by the applicant at the time of billing by the state.

5. Performance bonds shall be posted by each contractor with the commission with a surety acceptable to the commission in an amount as may be required by the commission, but not to exceed the expected total value of the contract. The contract of any lottery contractor who does not comply with such requirements may be terminated by the commission. The commission may terminate the contract of any lottery vendor who:

(1) Is convicted of any felony;

(2) Is convicted of any gambling-related offense;

(3) Is convicted of any crime involving fraud or misrepresentation;

(4) Fails to comply with the rules and regulations of the commission existing at the time the contract was entered into; or

(5) Fails to periodically update any disclosure requirements.

6. The provisions in this section requiring that certain percentages of lottery contracts and subcontracts be awarded to businesses owned and controlled by women or ethnic and racial minorities shall expire on January 1, 2005.

(L. 1985 S.B. 44 § 15, A.L. 1988 S.B. 643, A.L. 2000 S.B. 902)

Expiration date: 1-01-05 for certain contracts

Financial interests and gifts prohibited.

313.275. 1. No member of the commission or employee of the commission, including the director, and no member of their immediate families, shall have any personal pecuniary interest in any lottery or in the sale of any lottery tickets or shares or in any corporation, association, or firm contracting with the state to supply gaming equipment or materials for use in the operation of the lottery or in any corporation, association, or firm licensed as a lottery game retailer.

2. No member of the commission or employee of the commission, including the director, and no member of their immediate families, shall receive any gift, gratuity, or other thing of value from any person, corporation, association, or firm contracting with the state to supply gaming equipment or materials for use in the operation of the lottery or from any person, corporation, association, or firm licensed as a lottery game retailer.

3. No member of the commission or employee of the commission, including the director, and no member of their immediate families, shall be eligible to receive any prize awarded in such a lottery.

4. No person, firm, association, or corporation contracting to supply gaming equipment or materials to the state for use in the operation of the state lottery shall be directly connected with any person, firm, association, or corporation licensed as a lottery game retailer or a member of the commission, the director or its employees.

(L. 1985 S.B. 44 § 16)

Effective 6-11-85

Sale of tickets to minors.

313.280. No ticket or share shall be sold to any person under the age of eighteen, but this shall not be deemed to prohibit the purchase of a ticket or share for the purpose of making a gift by a person eighteen years of age or older to a person less than that age. The license of any licensee who knowingly sells or offers to sell a lottery ticket or share to any person under the age of eighteen shall be suspended or forfeited as prescribed by the rules adopted by the commission.

(L. 1985 S.B. 44 § 17)

Effective 6-11-85

Prizes not assignable except to revokable living trusts or personalcustodian, requirements--death of prize winner, how prize is paid.

313.285. 1. No prize, nor any portion of a prize, nor any right of any person to a prize awarded shall be assignable, except that a prize may be paid for the use and benefit of the prize winner to the trustee of a revocable living trust established by the prize winner or a personal custodian appointed by the prize winner under the Missouri personal custodian law, chapter 404. The prize winner's request to the director that payment be made to a trustee or personal custodian shall be submitted in a notarized letter together with a copy of the trust or written agreement with the personal custodian.

2. Any prize or portion thereof remaining unpaid at the death of a prize winner shall be paid as follows:

(1) To the estate of the deceased prize winner;

(2) To the trustee under a revocable living trust established by the deceased prize winner as settlor, provided that a copy of the trust has been filed with the director along with a notarized letter of direction from the settlor and no written notice of revocation has been received by the director prior to the settlor's death; or

(3) To the surviving beneficiaries shown in a written beneficiary designation that has been executed by the prize winner and submitted to the director before the prize winner's death. If a trustee is named a beneficiary, a copy of the will or instrument creating the trust shall be filed with the director before payment is made to the trustee.

3. Notwithstanding any other provision of this section, any person pursuant to an appropriate judicial order may be paid the prize to which the winner is entitled. The commission and the director shall be discharged of all further liability upon payment of a prize pursuant to this section. Any ticket or share may be purchased by two or more persons and any prize payable therefor shall be made in accordance with the ownership percentages of such ticket or share.

4. A beneficiary designation submitted by a prize winner is revocable by the beneficiary during lifetime and is governed by the nonprobate transfers law, chapter 461. The rules provided in section 461.062 shall apply in addition to any rules adopted by the director and approved by the commission that are made a part of the beneficiary designation.

5. Persons who begin to receive payment of the prize after the prize winner's death shall be treated as the prize winner for the purpose of this section and may provide for disposition of any portion of the prize remaining unpaid at their death by will, trust or beneficiary designation.

(L. 1985 S.B. 44 § 18, A.L. 1990 S.B. 504, A.L. 1993 S.B. 215)

(2015) Section's prohibition against assignment of any lottery prize was repealed by implication through subsequent passage of Uniform Commercial Code provision rendering ineffective any statute which restricted assignment or transfer of such an account. Clark v. Missouri Lottery Commission, 463 S.W.3d 843 (Mo.App.W.D.).

Ticket or share pricesfixed--counterfeiting prohibited--penalty.

313.290. 1. No person shall sell a ticket or share at a price other than that fixed by rule or regulation of the commission. No person other than a licensed lottery game retailer shall sell lottery tickets or shares, but nothing in this section shall be construed to prevent any person from giving lottery tickets or shares to another as a gift. Any violation of this section is a class A misdemeanor.

2. Any person who falsely or fraudulently makes, forges, alters or counterfeits, or causes or procures to be made, forged, altered or counterfeited, any state lottery ticket, or any part thereof, or who knowingly and willfully utters, publishes, passes or tenders as true, any forged, altered or counterfeited state lottery ticket is guilty of a class D felony. Any person who with intent to defraud secures, manufactures, or causes to be secured or manufactured, or has in his possession any counterfeit state lottery ticket or device, is guilty of a class E felony.

(L. 1985 S.B. 44 § 19, A.L. 2014 S.B. 491)

Effective 1-01-17

Payment of prizes to minors and disabled adults under personalcustodian law.

313.295. 1. If the person entitled to a prize, or payment of the prize after the prize winner's death, is* under the age of eighteen years or is a disabled adult person, the payment of the prize shall be made by delivery of a check or draft payable to the order of the minor's or disabled adult person's conservator, if any.

2. If the minor or disabled adult person does not have a conservator, payments not over ten thousand dollars may be made to a guardian, an adult member of the person's family or a financial institution as custodian for the minor under the Missouri transfers to minors law, or as custodian for the disabled adult person under the Missouri personal custodian law. If the payment is over ten thousand dollars and is not paid to a conservator, trustee or personal custodian designated by the prize winner, or a financial institution, the approval of the probate division of the circuit court shall first be obtained for any payment to a custodian, under subsection 3 of section 404.031, for minors and subsection 2 of section 404.490 for disabled adult persons, and payment shall be made in accordance with the court's order.

3. The commission and the director shall be discharged of all further liability upon payment of a prize to a minor or disabled adult person pursuant to this section.

(L. 1985 S.B. 44 § 20, A.L. 1993 S.B. 215)

*Word "if" appears in original rolls, an apparent typographical error.

Unclaimed prizes--moneys to revert to state lottery fund.

313.300. Unclaimed prize money shall be retained by the commission for the person entitled thereto for one hundred eighty days after the time at which the prize was awarded. If no claim is made for the prize within one hundred eighty days, the prize money shall be reverted to the state lottery fund.

(L. 1985 S.B. 44 § 21, A.L. 1988 S.B. 643, A.L. 2002 S.B. 1248, A.L. 2007 S.B. 613 Revision)

Duties of attorney general and highway patrol.

313.310. 1. The attorney general shall provide legal services for the commission. The attorney general shall make reasonable efforts to ensure that there is continuity in the legal services provided, and that the attorneys providing legal services to the commission have expertise in such field. No counsel outside the attorney general's office shall be employed to provide legal services for the commission or director without the expressed approval of the attorney general. The attorney general may hire any expert counsel necessary to protect the state's interest.

2. The commission or director may request that the attorney general make investigations, on behalf of and in the name of the commission, and bring suits or institute proceedings for any of the purposes necessary and proper for carrying out the functions of the division.

3. The Missouri state highway patrol, including the division of drug and crime control, shall have authority to make investigations relative to the operation and administration of Missouri gaming operations as authorized by law and to report suspected violations of state law or federal law to the proper prosecuting authorities. In the event that a violation of state law is reported to the proper prosecuting authority and no prosecution is commenced within thirty days for alleged violations, the attorney general shall have authority to commence prosecution for alleged violations of the state lottery law or other criminal statutes alleged to have been violated. The cost of personnel and related expenses in the Missouri state highway patrol, including the division of drug and crime control, to accomplish the purposes of this section shall be paid within the limits of appropriations from general revenue, or from such other funding as may be authorized by the general assembly.

(L. 1985 S.B. 44 § 23, A.L. 1988 S.B. 643)

Effective 9-1-88

Duties of state auditor--other audits--reports to be filed.

313.315. 1. The state auditor shall conduct a biennial audit of all accounts and transactions of the state lottery pursuant to section 29.200 and such other special audits as he may deem necessary. The auditor or his agents conducting an audit shall have access and authority to examine any and all records of the commission, its distributing agencies, lottery vendors or lottery ticket sales agents that relate to the operation, administration, or promotion of the lottery.

2. The commission shall employ an independent firm of accountants to conduct an annual audit of all accounts and transactions of the lottery. Expenses for conducting an audit pursuant to this subsection shall be paid from the state lottery fund.

3. All audit reports shall be presented to the general assembly pursuant to section 181.100 and to the commission, the governor, the commissioner of administration, the state treasurer, attorney general, and the state auditor.

(L. 1985 S.B. 44 § 24)

Effective 6-11-85

State lottery fund, established--distribution of funds--imprest prizefund, created, uses--collection, investment, use of lotteryfunds--taxation, set-off of prizes, when--restrictions forlicensees.

313.321. 1. The money received by the Missouri state lottery commission from the sale of Missouri lottery tickets and from all other sources shall be deposited in the "State Lottery Fund", which is hereby created in the state treasury. At least forty-five percent, in the aggregate, of the money received from the sale of Missouri lottery tickets shall be appropriated to the Missouri state lottery commission and shall be used to fund prizes to lottery players. Amounts in the state lottery fund may be appropriated to the Missouri state lottery commission for administration, advertising, promotion, and retailer compensation. The general assembly shall appropriate remaining moneys not previously allocated from the state lottery fund by transferring such moneys to the general revenue fund. The lottery commission shall make monthly transfers of moneys not previously allocated from the state lottery fund to the general revenue fund as provided by appropriation.

2. The commission may also purchase and hold title to any securities issued by the United States government or its agencies and instrumentalities thereof that mature within the term of the prize for funding multiyear payout prizes.

3. The "Missouri State Lottery Imprest Prize Fund" is hereby created. This fund is to be established by the state treasurer and funded by warrants drawn by the office of administration from the state lottery fund in amounts specified by the commission. The commission may write checks and disburse moneys from this fund for the payment of lottery prizes only and for no other purpose. All expenditures shall be made in accordance with rules and regulations established by the office of administration. Prize payments may also be made from the state lottery fund. Prize payouts made pursuant to this section shall be subject to the provisions of section 143.781. Prize payouts made pursuant to this section shall be subject to set off for:

(1) Delinquent child support payments as assessed by a court of competent jurisdiction or pursuant to section 454.410;

(2) Unpaid health care services provided by hospitals and health care providers under the procedure established in section 143.790; and

(3) Unpaid debts to a county jail as provided under section 221.070 and pursuant to the procedure established in section 488.5028.

4. Funds of the state lottery commission not currently needed for prize money, administration costs, commissions and promotion costs shall be invested by the state treasurer in interest-bearing investments in accordance with the investment powers of the state treasurer contained in chapter 30. All interest earned by funds in the state lottery fund shall accrue to the credit of that fund.

5. No state or local sales tax shall be imposed upon the sale of lottery tickets or shares of the state lottery or on any prize awarded by the state lottery. No state income tax or local earnings tax shall be imposed upon any lottery game prizes which accumulate to an amount of less than six hundred dollars during a prize winner's tax year. The state of Missouri shall withhold for state income tax purposes from a lottery game prize or periodic payment of six hundred dollars or more an amount equal to four percent of the prize.

6. The director of revenue is authorized to enter into agreements with the lottery commission, in conjunction with the various state agencies pursuant to sections 143.782 to 143.788, in an effort to satisfy outstanding debts to the state from the lottery winning of any person entitled to receive lottery payments which are subject to federal withholding. The director of revenue is also authorized to enter into agreements with the lottery commission in conjunction with the department of health and senior services pursuant to section 143.790 in an effort to satisfy outstanding debts owed to hospitals and health care providers for unpaid health care services of any person entitled to receive lottery payments which are subject to federal withholding.

7. In addition to the restrictions provided in section 313.260, no person, firm, or corporation whose primary source of income is derived from the sale or rental of sexually oriented publications or sexually oriented materials or property shall be licensed as a lottery game retailer and any lottery game retailer license held by any such person, firm, or corporation shall be revoked.

(L. 1986 H.B. 1652, A.L. 1988 S.B. 643, A.L. 2007 H.B.818, A.L. 2013 S.B. 42)

Commission may contract operation of lottery to private organization,how.

313.322. Notwithstanding the provisions of sections 313.200 to 313.350, the lottery commission may contract the operation of the state lottery and any multistate lottery to a private organization on the basis of public bids, the best bid being to the organization which, under bond, can guarantee the state the highest return to the general revenue fund or public expenditure funds as may be designated in sections 313.200 to 313.350.

(L. 1988 S.B. 643)

Effective 9-1-88

Commission may subpoena records and witnesses--failure to obey.

313.325. The commission may issue subpoenas to compel the attendance of witnesses and the production of documents, papers, books, records and other evidence before it in any matter over which it has jurisdiction, control or supervision. The commission may administer oaths and affirmations to persons whose testimony is required. If a person subpoenaed to attend in any such proceeding or hearing fails to obey the command of the subpoena without reasonable cause, or if a person in attendance in any such proceeding or hearing refuses, without lawful cause, to be examined or to answer a legal or pertinent question or to exhibit any book, account, record or other document when ordered so to do by the commission, the commission may apply to any judge of the circuit court, upon proof by affidavit of the facts, for an order returnable in not more than ten days, or as the court shall prescribe, directing such person to show cause before the court why he should not comply with such subpoena or such order. Upon return of the order, the court before whom the matter shall come on for hearing shall examine such person under oath, and if the court shall determine, after giving such person an opportunity to be heard, that he refused without legal excuse to comply with such subpoena or such order of the director, the court may order such person to comply therewith forthwith and any failure to obey the order of the court may be punished as a contempt of the court.

(L. 1985 S.B. 44 § 26)

Effective 6-11-85

Constitutional prohibition construed--no denial of liquor license.

313.340. 1. Notwithstanding any other provision of law to the contrary, participation by a person, firm, corporation or organization in any aspect of the state lottery in accordance with sections 313.200 to 313.350 shall not be construed to be a lottery or gift enterprise in violation of Article III, Section 39 of the Constitution of Missouri.

2. The sale of lottery tickets or shares in accordance with sections 313.200 to 313.350 shall not constitute a valid reason to refuse to issue or renew or to revoke or suspend any license or permit issued under the provisions of chapter 311.

(L. 1985 S.B. 44 § 29, A.L. 2009 H.B. 132)

Licenses and contracts may be denied to persons owing debt to state.

313.345. No license or contract shall be granted to any person in default in the payment of any obligation or debt due the state, provided no applicant shall be deemed in default in the payment of any obligation or debt due to the state as long as there is pending a hearing of any kind relevant to such matter.

(L. 1985 S.B. 44 § 30)

Effective 6-11-85

Venue for civil actions--advancement on docket.

313.350. Any civil action brought on any question in connection with the lottery shall be filed in the circuit court of Cole County, and all such suits shall be given priority and advanced on the court docket and shall be heard and decided by the court as quickly as possible.

(L. 1985 S.B. 44 § 31)

Effective 6-11-85

Lottery commission to submit plan, how approved.

313.351. Prior to implementing any plan to allow state lottery prize winners who are currently receiving annuity payments to receive a single cash payment in lieu of remaining annuity payments, the state lottery commission shall submit to the president pro tempore of the senate, the speaker of the house of representatives, and the commissioner of the office of administration the details of the plan and its estimated effect on the level of total state revenues as defined in Article X, Section 17 of the Missouri Constitution as well as the benefits of allowing financial institutions which are FDIC insured to participate in such plan. No such plan which permits the option of receiving a single cash payment in lieu of remaining annuity payments shall be implemented unless approved by the general assembly by concurrent resolution and submitted to the governor in accordance with the provisions of Article IV, Section 8 of the Missouri Constitution.

(L. 1999 S.B. 386 § 3)

CROSS REFERENCE:

Commission may allow pre-October 22, 1998, lottery winners receiving annual payments to elect to receive a single cash payment, expiration date.

Definitions.

313.500. As used in sections 313.500 to 313.710, unless the context clearly indicates that a different meaning is intended, the following terms mean:

(1) "Breakage", the odd cents by which the amount payable on each dollar wagered exceeds a multiple of ten cents;

(2) "Commission", the Missouri gaming commission, created in section 313.004, or its designate;

(3) "County", any county in the state of Missouri or the city of St. Louis;

(4) "Horse", any equine, ass, mule, pony, or hybrid thereof;

(5) "Organization", any individual, political subdivision, state agency, partnership, unincorporated association, firm, or corporation licensed by the commission to conduct a horse racing meeting;

(6) "Pari-mutuel wagering", a form of wagering on the outcome of horse races in which those who wager purchase tickets of various denominations on a horse or horses in one or more races, all wagers are pooled, and when the outcome of the race has been declared official, the total wagers comprising each pool, less such amounts provided herein or which are provided by law or rule, will be distributed to holders of winning tickets on the winning horse or horses;

(7) "Public official", any elected member of the executive branch of state government and any director of a state department, any judge other than a judge of the municipal division of a circuit court, and any elected member of the legislative branch of state government;

(8) "Race meet" or "race meeting", the whole period of time, whether consecutive dates or those instances where nonconsecutive dates are granted, for which a race track license to race has been granted to any one organization by the commission;

(9) "Racing", any type of horse racing.

(L. 1986 S.B. 572, A.L. 1995 H.B. 574)

Horse racing commission established.

313.510. There is hereby created the "Missouri Horse Racing Commission", which shall consist of five members appointed by the governor with the advice and consent of the senate. The commission shall oversee the development and administration of the pari-mutuel horse racing industry in Missouri. The commission shall be assigned to the Missouri gaming commission.

(L. 1986 S.B. 572, A.L. 1995 H.B. 574)

Employees--executive director of gaming commission, duties.

313.520. 1. The horse racing commission shall not hire any person to be an employee of the commission.

2. The duties of the executive director of the gaming commission, in addition to all other duties prescribed by law, shall include the following:

(1) Taking and preserving records of all proceedings before the commission, maintaining its books, documents, and records, and making them available for public inspection;

(2) If so designated by the commission, acting as a hearing officer in hearings;

(3) Acting as the commission's chief personnel officer and supervising the employment, conduct, duties, and discipline of commission employees; and

(4) Performing other duties as directed by the commission.

3. Except as provided in subdivision (7) of section 313.560, the officials at any race meeting, as this term is customarily understood in racing, including by way of enumeration only and not in limitation, placing judges, patrol judges, clerks of the scales, starters and assistants, handicapper, timer, paddock judge, veterinarians, racing secretary and clerk of the course shall be paid by the race track licensee.

(L. 1986 S.B. 572, A.L. 1995 H.B. 574)

Revenues from horse racing--horse racing fund, established.

313.530. Except as provided in section 313.620, all revenues derived or generated from the licensing of race tracks and authorization of races under sections 313.500 to 313.710 and all moneys received by the state, the commission or the director of revenue from pari-mutuel wagering pools shall be deposited by the director of revenue in the state treasury to be held in a special account to be known as the "Missouri Horse Racing Fund". Interest earned on the Missouri horse racing fund shall be credited to that fund. The money in the Missouri horse racing fund shall be deposited in the state treasury and invested by the state treasurer, subject to appropriation as provided by the constitution and laws enacted pursuant thereto.

(L. 1986 S.B. 572, A.L. 1987 S.B. 384)

Effective 6-9-87

Commission, powers--rules and regulations--stewards, delegation ofauthority to--appeals from stewards' decisions.

313.540. The commission shall have powers to prescribe and enforce rules and regulations governing horse races and race meetings. Such rules and regulations shall contain criteria to be used by the commission for decisions on approving and revoking race track licenses and setting racing dates. The commission may delegate to the stewards such of the commission's powers and duties as may be necessary to carry out and effectuate the purposes of sections 313.500 to 313.710. Any decision or action of such stewards may be appealed to the commission or may be reviewed by the commission on its own initiative.

(L. 1986 S.B. 572)

Effective 5-6-86

Subpoenas, penalty for refusal to testifyor produce records--penalty for false testimony.

313.550. 1. The commission may issue subpoenas for the attendance of witnesses or the production of any records, books, memoranda, documents, or other papers or things, to enable any of them to effectually discharge its or his duties, and may administer oaths or affirmations as necessary in connection therewith. In addition, the commission shall have the authority to issue subpoenas under section 536.077 in contested cases.

2. Any person subpoenaed who fails to appear at the time and place specified in answer to the subpoena and to bring any papers or things specified in the subpoena, or who upon such appearance, refuses to testify or produce such records or things, upon conviction, is guilty of a class A misdemeanor.

3. Any person who testifies falsely under oath in any proceeding before, or any investigation by, the commission, its secretary, or the stewards, upon conviction, shall be guilty of a class E felony.

(L. 1986 S.B. 572, A.L. 2014 S.B. 491)

Effective 1-01-17

Commission, powers.

313.560. The commission shall have all powers necessary and proper to fully and effectively execute the provisions of sections 313.500 to 313.710 including, but not limited to, the following:

(1) The provisions of chapter 34 to the contrary notwithstanding, the executive director, pursuant to rules and regulations issued by the commission, may directly purchase or lease such goods or services as are necessary for effectuating the purposes of sections 313.500 to 313.710, provided however, that the board of public buildings shall provide the principal office space for the commission's staff. Contracts shall be awarded on the basis of lowest and best bid. The executive director shall use state purchasing procedures except for professional services or emergency purchases necessary for the race meet authorized pursuant to section 34.100. No contract awarded or entered into by the executive director may be assigned by the holder thereof except with specific approval of the commission;

(2) The commission is vested with the power to enter without a search warrant the office, horse race track, facilities, other places of business, residences, tack rooms, vehicles and any other premises under the control of any licensee on the grounds of a licensed association at all reasonable hours to determine whether there has been compliance with the provisions of sections 313.500 to 313.710 and rules and regulations promulgated thereunder, and to discover any contraband as described in chapter 195 or in rules promulgated pursuant to sections 313.500 to 313.710;

(3) The commission is vested with the authority to investigate alleged violations of the provisions of sections 313.500 to 313.710, its reasonable rules and regulations, orders and final decisions; the commission shall take appropriate disciplinary action, including suspension or revocation of the license, against any race track licensee or occupation licensee for violation thereof or institute appropriate legal action for the enforcement thereof pursuant to subdivision (10) of this section;

(4) The commission may eject or exclude from any race meeting or licensee grounds or any part thereof, any occupation licensee or any other individual whose conduct or reputation is such that his presence on licensee grounds may, in the opinion of the commission, call into question the honesty and integrity of horse racing or interfere with the orderly conduct of horse racing; provided, however, that no person shall be excluded or ejected from licensee grounds on the grounds of race, color, creed, national origin, ancestry, or sex. The commission shall by rule provide for an expedited hearing for any occupation licensee excluded pursuant to this subsection;

(5) The commission is vested with the power to acquire, establish, maintain and operate, or provide by contract testing laboratories and related facilities, for the purpose of conducting saliva, blood, urine and other tests on the horses run or to be run in any race meeting and to lease or purchase all equipment and supplies deemed necessary or desirable in connection with any such testing laboratories and related facilities and all such tests. The commission shall explore the feasibility of establishing such a testing facility at and in conjunction with the University of Missouri, College of Veterinary Medicine. The race track licensee shall on a per sample basis pay a fee as determined by the commission for such laboratory testing services;

(6) The commission may require that the records, including financial or other statements of any race track licensee under sections 313.500 to 313.710, shall be kept in such manner as prescribed by the commission and that any race track licensee submit to the commission on or before March fifteenth of each year, for the preceding fiscal year of the licensee an annual audited balance sheet and profit and loss statement and any other information the commission deems necessary in order to effectively administer sections 313.500 to 313.710 and all rules, regulations, orders and final decisions promulgated under sections 313.500 to 313.710. The fiscal year for any licensee shall be the calendar year;

(7) The commission shall require that there shall be three stewards at each horse race meeting, who shall be appointed by the commission. They shall be paid for by the state and shall be considered state employees for all purposes. Stewards appointed by the commission, while performing duties required by sections 313.500 to 313.710 or by the commission, shall be entitled to the same rights and immunities as granted to commission members and employees under section 313.570;

(8) The commission is vested with the power to impose civil penalties of up to five thousand dollars against individuals and up to ten thousand dollars against organizations for each violation of any provision of sections 313.500 to 313.710, any rules adopted by the commission, any lawful order of the commission or any other action which, in the commission's discretion, is found to be a detriment or impediment to horse racing. Such penalties, when recovered, shall be paid into the Missouri horse racing fund. Any civil penalties so imposed shall be sued for by the attorney general in the name of the state;

(9) The commission may request that the attorney general make investigations, on behalf of and in the name of the commission, and bring suits or institute proceedings for any of the purposes necessary and proper for carrying out the functions of the commission;

(10) The commission may request that the Missouri state highway patrol investigate or participate in such matters as it deems necessary. The Missouri state highway patrol shall have authority to investigate the commission relative to the operation and administration of sections 262.260 to 262.270 and 313.500 to 313.710, and to report suspected violations of state law or federal law by the commission to the proper prosecuting authorities. In the event that a violation of state law is reported to the proper prosecuting authority and no prosecution is commenced within thirty days for alleged violations, the attorney general shall have authority to commence prosecution for alleged violations of sections 262.260 to 262.270 and 313.500 to 313.710 or other criminal statutes alleged to have been violated. The cost of personnel and related expenses in the Missouri state highway patrol, including the division of drug and crime control, to accomplish the purposes of this section shall be paid within the limits of appropriations from general revenue, or from such other funding as may be authorized by the general assembly.

(L. 1986 S.B. 572, A.L. 1987 S.B. 384)

Effective 6-9-87

Members or employees subject to civil action, attorney general torepresent.

313.570. Any commission member or employee who is subject to any civil action arising from any act executed, pursuant to sections 313.500 to 313.710, by him while serving in his official capacity as a commission member or employee shall be represented by the attorney general. All costs of defending such suits and satisfaction of any judgment rendered shall be paid as provided in section 105.711.

(L. 1986 S.B. 572, A.L. 1995 H.B. 574)

Track license required--grounds for refusal to issue, qualifications.

313.580. 1. Pari-mutuel wagering shall only be conducted within the grounds or enclosure of a race track licensed by the commission and shall only be conducted with respect to horse races and race meetings which have been authorized by the commission at such licensed race track. No organization shall conduct pari-mutuel wagering on horse racing without a valid race track license issued by the commission with respect to the conduct of horse racing and race meets authorized by the commission. Any organization desiring to conduct pari-mutuel wagering on horse racing shall apply to the commission for a race track license and shall provide the information required by the commission before a license may be issued.

2. The commission shall not issue any race track license to any individual or organization:

(1) Who has or which has an officer, director, or stockholder who has been convicted of a felony;

(2) Who has or which has an officer, director, or stockholder who has been convicted of or pleaded nolo contendere to any illegal gambling activity; or

(3) Who is or which has an officer, director, or stockholder who is not of good moral character.

As used in this subsection, the term "stockholder" shall mean record owners of any class of stock, and beneficial owners of any class of stock as provided in subsection 4 of section 313.600, which constitutes two percent or more of the licensee's stock.

3. The commission shall not issue any license for a race track unless the commission has first determined:

(1) That the applicant would be a suitable licensee;

(2) That a licensed race track at the proposed location would be in the public interest;

(3) That the proposed race track operation is economically feasible;

(4) That the proposed race track's establishment would not be detrimental to the development of a sound horse racing program for Missouri;

(5) That any financing of applicant's proposed operations is adequate and comes from a source that is not detrimental to the public interest; and

(6) That the applicant has complied with all requisite provisions of law and of rules and regulations promulgated by the commission.

4. If any organization is ineligible to be granted a race track license because of any of the matters set forth in this section, any other affiliated organization or person that is either controlled, directly or indirectly, by such ineligible organization or person shall also be ineligible.

5. The commission shall only license the number of race tracks and authorize the number of races which it determines to be in the public interest and economically feasible.

(L. 1986 S.B. 572)

Effective 5-6-86

Track license--bond required, purpose.

313.590. A race track licensed under section 313.580 shall post a bond payable to the state of Missouri, before the license is issued, in an amount set by the commission, with sureties to be approved by the commission. The bond shall be used to guarantee that the licensee faithfully makes the payments, keeps its books and records and makes reports, and conducts its racing activity in conformity with sections 313.500 to 313.710 and the rules adopted by the commission. The bond shall not be cancelled or assigned by a surety on less than thirty days' notice in writing to the commission. If a bond is cancelled and the licensee fails to file a new bond with the commission in the required amount on or before the effective date of cancellation, the licensee's license shall be revoked. The total and aggregate liability of the surety on the bond is limited to the amount specified in the bond.

(L. 1986 S.B. 572)

Effective 5-6-86

Track license--restrictions on transfer of ownership, record keepingrequirements--disclosure requirements.

313.600. 1. Whenever any organization has been granted a race track license to conduct a horse race meeting, no officer or director of such organization, or person who will thereby become the owner or holder, directly or indirectly, of five percent or more of the shares of stock or certificates or other evidence of ownership in such organization, may become the owner or holder, directly or indirectly, of any such shares of stock or certificates or other evidence of ownership without first having obtained the approval of the commission. The commission may, after hearing, revoke or suspend a race track license granted to any organization which shall register on its books in the name of any such officer, director or person its share of stock or certificate or other evidence of ownership of any interest in the organization without the prior approval of the commission or which shall knowingly permit any such officer, director or person to be directly or indirectly interested in its share of stock or certificates or other evidences of ownership of any interest in the organization without reporting the same to the commission or which violates any rules or regulations of the commission.

2. Whenever the commission shall give to any officer or director of any organization, or person who will thereby become the owner or holder, directly or indirectly, of five percent or more of the shares of stock or certificates or other evidences of ownership of any interest in an organization, its approval to own or hold the shares of stock or certificates or other evidences of ownership of any interest in any such organization, it shall, by registered mail, notify the organization of such approval. Under no circumstances shall the commission give such approval to any such officer, director or person who has been convicted of or is under an indictment for a crime involving moral turpitude or has violated any provisions of the racing law of any state or any rules or regulations of the commission of any state.

3. The commission shall require all licensees, including any officers and stockholders thereof, to disclose fully to the commission all financial interests that they may have in horse racing.

4. The commission shall require each licensee under this section to maintain records of owners of stock of the licensee so that the names of all persons, including corporations, trusts, estates, and partnerships, who are the beneficial owners of the stock are disclosed, regardless of the manner in which, or whether, the ownership interest is stated or registered on the stock of the licensee. Beneficial ownership includes, but is not limited to record ownership and:

(1) Stock or other ownership in one or more entities in a chain of parent and subsidiary or affiliated entities, any one of which participates in the capital or profits of a licensee, regardless of the percentage of ownership involved; or

(2) Any interest which entitles a person to benefits substantially equivalent to ownership by reason of any contract, understanding, relationship, agreement or other arrangement even though the person is not the record owner. Unless there are special circumstances, securities held by an individual's spouse or relatives, including children, living in the home, are beneficially owned by the individual.

5. In addition to any other action which is necessary to obtain disclosure of beneficial ownership of stock, the commission shall require each licensee, at least once every calendar year, to obtain, pursuant to written notice to the record owners of all stock of the licensee, an affidavit from each record owner owning two percent or more, sworn to under the penalty of perjury, stating to the best of the affiant's knowledge, information and belief:

(1) Whether any person other than the affiant has any right of beneficial ownership of any kind in the stock held in the name of the affiant;

(2) The name and address of the other person; and

(3) The amount and nature of the ownership.

6. If the licensee receives information indicating that a person other than the record owner has a beneficial ownership interest in stock of the licensee, the licensee shall request promptly by written notice to the other person, that this person submit to the licensee within sixty days from the date of the notice an affidavit, sworn to under the penalty of perjury, stating to the best of the affiant's knowledge, information and belief:

(1) Whether the affiant has any right of ownership in stock of the licensee attributed to the affiant in the notice and the amount and nature of the ownership;

(2) Whether any person other than the affiant and the record owner has any right of ownership of any kind in stock of the licensee attributed to the affiant by the notice to the affiant; and

(3) The amount and nature of the ownership of any other person.

7. Notwithstanding the affidavit requirements of this subsection, the commission may limit the ownership that must be reported in an affidavit to two percent or more of the beneficial ownership of the licensee.

8. Each licensee shall submit the ownership records and affidavits required by this section to the commission annually and at the other times required by the commission. Any change in the record ownership or beneficial ownership of stock of any licensee shall be reported promptly to the commission. Upon the failure of any licensee to maintain and report records of ownership of stock, as required by this subsection, or the failure of any licensee to make a reasonable effort to obtain the affidavits required by this subsection, the commission shall suspend or revoke the license of the track for a period determined by the commission.

9. All statements required to be filed with the commission shall be filed under oath and shall be signed by the officers of the corporation, or, if unincorporated, by the owner or all the partners, general and limited, of the licensee.

(L. 1986 S.B. 572)

Effective 5-6-86

Track license--financial interest by public officials prohibited,grounds for suspension or revocation.

313.605. 1. In addition to the provisions of subsection 1 of this section, no organization shall be granted a race track license to hold a race meeting in this state and the commission may revoke or suspend a race track license if any public official of the state or his or her spouse, children or parents hold any financial interest, directly or indirectly, in the shares of stock or certificates or other evidences of ownership in the organization.

2. No organization which has been granted a race track license to hold a race meeting shall give to any public official or his or her spouse, children or parents, directly or indirectly, for or without consideration any interest in shares of stock or certificates or other evidences of ownership in the organization. The commission shall, after hearing, revoke the race track license granted to an organization which has violated this subsection.

(L. 1986 S.B. 572)

Effective 5-6-86

Track license--failure to secure, penalty.

313.610. Any organization conducting a horse race or race meeting at which pari-mutuel wagering is conducted without a valid license issued pursuant to sections 262.260 to 262.270 and 313.500 to 313.710 shall upon conviction be guilty of a class B felony.

(L. 1986 S.B. 572)

Effective 5-6-86

Fees.

313.620. 1. The commission shall prescribe by rule the amount and frequency of application fees and per day licensing fees for race tracks where pari-mutuel wagering is permitted.

2. The commission may prescribe by rule license fees for race meets with respect to which pari-mutuel wagering is conducted.

3. All funds received from application fees, per day licensing fees and other licensing fees shall be deposited in the state treasury to the credit of the general revenue fund, and shall not be transferred except by appropriation as provided by the constitution and laws enacted pursuant thereto.

(L. 1986 S.B. 572)

Effective 5-6-86

Admissions tax--state aid to municipalities and counties for certainservices and facilities, source, amount available.

313.630. In lieu of any state or local sales tax on the gross receipts from admissions paid by persons attending the races and in lieu of any state or local amusement or entertainment tax, there is hereby imposed on each organization licensed to conduct horse races under the provisions of sections 313.510 to 313.710 a tax equal to ten percent of all moneys received each day from admissions paid by persons attending the races for deposit in the state treasury to the credit of the general revenue fund. The general assembly shall appropriate money from general revenue, up to one-half of the amount credited annually pursuant to this section, to municipalities and counties in the area in which races are conducted to assist the funding of services and facilities required by the conduct of racing in such municipality or county. Any county or municipal racing authority shall be subject to the rules and regulations of the commission.

(L. 1986 S.B. 572, A.L. 1995 H.B. 574)

Track licensee--record keeping requirements, accounting to commission.

313.631. Every organization licensed to conduct horse races under the provisions of sections 262.260 to 262.270 and 313.500 to 313.710 shall so keep its books and records as to clearly show the true number of admissions, the total amount of money contributed to each pari-mutuel pool on each race separately, and the amount of money received daily from admission fees and within thirty days after the conclusion of every race meeting, shall submit to the commission a complete accounting of all such receipts and admissions.

(L. 1986 S.B. 572)

Effective 5-6-86

Approval by commission, required, when.

313.632. All contracts and agreements for the payment of money and all salaries, fees and compensation paid by any organization licensed as hereinbefore provided, and all proposed extensions, additions, or improvements to the buildings, stables, improvements or tracks upon property owned or leased by such licensee shall be subject to the approval of the commission.

(L. 1986 S.B. 572)

Effective 5-6-86

Occupational licenses, required, exceptions--application forms,information required, fees--grounds for refusal--grounds forsuspension or revocation--affirmative action plan.

313.640. 1. Every individual participating in horse racing, whether as a race track licensee, holder of any interest in a race track license, association employee, concessionaire contract holder, and owner or general manager of same, concessionaire employee, or racing official, and all other individuals whose duties require them to be present on association premises during racing hours, or to regularly visit such premises during racing hours, are required to have an occupation license from the commission authorizing them to be employed on the licensed premises and to practice their business, profession or skill. The following individuals are not required to obtain an occupation license:

(1) Public officers and public employees engaged in the performance of their official duties; and

(2) Individuals exempted by the commission.

License applicants shall be required to furnish to the commission a set of fingerprints and a recent photograph and shall be required to be refingerprinted or rephotographed periodically.

2. Each application for an occupation license shall be on forms prescribed by the commission. Such occupation license, when issued, shall be for a period up to one year, except that the commission in its discretion may grant up to three-year licenses. The application shall be accompanied by a license fee which shall be set by the commission. Each applicant shall set forth in the application his full name and address, and if he has been issued prior occupation licenses or has been licensed in any other state under any other name, such name, his age, whether a permit or license issued to him in any other state has been suspended or revoked and if so whether such suspension or revocation is in effect at the time of the application, and such other information as the commission may require. The commission shall also determine fees for registration of stable names. Fees collected for registration of stable names shall be deposited in the state treasury to the credit of general revenue and subject to appropriation as provided by law.

3. The commission may in its discretion refuse an occupation license to any individual:

(1) Who has been convicted of a crime;

(2) Who is unqualified to perform the duties required of such applicant;

(3) Who fails to disclose or states falsely any information called for in the application;

(4) Who has been found guilty of a violation of sections 313.500 to 313.710 or of the rules and regulations of the commission;

(5) Whose occupation license or permit has been suspended, revoked or denied for just cause in any state;

(6) Who is a past or present member or participant in organized crime as such membership or participant may be found or determined by the commission;

(7) Who is an illegal alien;

(8) Who is an employee of the commission or any spouse, child, brother, sister, or parent of an employee or member of the commission; or

(9) For any other just cause.

4. The commission may suspend or revoke any occupation license:

(1) For violation of any of the provisions of sections 313.500 to 313.710; or

(2) For violation of any of the rules or regulations of the commission; or

(3) For any cause which, if known to the commission, would have justified the commission in refusing to issue such occupation license; or

(4) For any other just cause.

5. At least eighty percent of all individuals employed directly at each and every race meeting by an organization licensed to conduct horse racing under sections 313.500 to 313.710 shall be residents of the state of Missouri for a period of ninety days next preceding the date of employment and during the course of employment.

6. In acting on applications for organization licenses, the commission shall require all applicants to implement a good faith affirmative action effort to recruit, train and upgrade minorities in all classifications of employment by the applicant. The applicant shall furnish the commission with a description of plans for compliance with all laws pertaining to discrimination, equal employment, and affirmative action; policies regarding recruitment, use, and advancement of minorities; policies with respect to minority contracting; a copy of Equal Employment Opportunity Statement and Policy of the applicant dated and signed by the chief executive officer; and a copy of Affirmative Action Policy and Procedures dated and signed; and identification of the affirmative action officer, including name, title, address, and telephone number.

(L. 1986 S.B. 572, A.L. 1987 S.B. 384)

Effective 6-9-87

Refusal, revocation or suspension of occupationlicense--procedure--appeal, standard of review.

313.650. 1. In the event the commission, for violation of the provisions of sections 313.500 to 313.710 or the rules and regulations of the commission or other just cause, refuses, revokes or suspends an occupation license, or the stewards at any race meeting suspends an occupation license, then the occupation license of the person shall be suspended pending a hearing of the commission.

2. The commission's hearings practice and procedure are as provided in the commission's rules.

3. All decisions, orders, or findings issued by any steward may be appealed to the commission. The provisions of chapter 536, except those provisions in conflict with sections 313.500 to 313.710, any rule promulgated by the commission, or any civil rule hereafter adopted which supercedes an applicable provision of chapter 536 shall apply to and govern the proceedings of the commission.

4. Final decisions of the commission shall be subject to judicial review pursuant to a petition filed in the circuit court in the county in which the hearing is held, and by delivery of copies of the petition to each party of record, within thirty days after the mailing or delivery of the final decision and notice thereof in such a case. Review under this section shall be exclusive, and decisions of the commission reviewable under this section shall not be reviewable in any other proceeding, and no other official or court shall have power to review any such decision by an action in the nature of mandamus or otherwise except under the provisions of this section or on appeal. The party seeking review shall be responsible for the filing of the transcript and record of all proceedings before the commission with the appropriate appellate court. The final decision of the commission shall be affirmed, unless there is no substantial evidence to support it, it is against the weight of the evidence, it erroneously declares the law, or it erroneously applies the law.

(L. 1986 S.B. 572)

Effective 5-6-86

Pari-mutuel wagering--deductions from pool, definitions--paymentof tax, amount due--permitted use of breakage and unclaimedwinnings--breed incentive moneys not to lapse into general revenue.

313.652. 1. Any organization licensed by the commission to conduct a horse race meeting may provide places in the race meeting grounds or enclosure and may conduct and supervise therein the pari-mutuel system of wagering by patrons of the horse races conducted by such organization licensee at such meeting.

2. No other place or method of betting, pool making, wagering or gambling shall be used or permitted by the race track licensee. Each race track licensee shall deduct the following amounts on all races conducted by it: eighteen percent of the regular mutuel pool, twenty percent of the multiple mutuel pool involving two horses, and twenty-five percent of the multiple mutuel pool involving three or more horses. "Regular mutuel pool" means a separate wagering pool in which an interest is represented by a single ticket evidencing a single wager on one horse. "Multiple mutuel pool" means a separate wagering pool in which an interest is represented by a single wager on two or more horses. For the first one hundred million dollars of the total pari-mutuel pool for the licensed race meeting, each race track licensee shall apply the amounts deducted as follows:

(1) One percent of the regular mutuel pools, one and one-quarter percent of the multiple mutuel pools involving two horses, and one and one-half percent of the multiple mutuel pools involving three or more horses shall be paid to the commission;

(2) Eight percent of the regular mutuel pools, eight and three-quarters percent of the multiple mutuel pools involving two horses, and eleven percent of the multiple mutuel pools involving three or more horses shall be allocated for purse money. The formula for distribution of the purse money shall be determined by an agreement between an organization representing the horsemen and the tracks, the agreement to be subject to the approval of the commission;

(3) One-half of one percent of the regular mutuel pools, three-quarters of one percent of the multiple mutuel pools involving two horses, and one percent of the multiple mutuel pools involving three or more horses shall be used for breeder incentives. The method of payment and distribution of breeder incentives shall be set forth by the commission in rules;

(4) Eight and one-half percent of the regular mutuel pools, nine and one-quarter percent of the multiple mutuel pools involving two horses, and eleven and one-half percent of the multiple mutuel pools involving three or more horses shall be retained by the licensee.

3. For the next fifty million dollars of the total pari-mutuel pool for the licensed race meeting, each race track licensee shall apply the amount deducted as follows:

(1) Two percent of the regular mutuel pools, two percent of the multiple mutuel pools involving two horses, and two percent of the multiple mutuel pools involving three or more horses shall be paid to the commission;

(2) Seven and one-half percent of the regular mutuel pools, eight and one-half percent of the multiple mutuel pools involving two horses, and ten and one-half percent of the multiple mutuel pools involving three or more horses shall be allocated for purse money. The formula for distribution of the purse money shall be determined by an agreement between an organization representing the horsemen and the tracks, the agreement to be subject to the approval of the commission;

(3) One-half of one percent of the regular mutuel pools, three-quarters of one percent of the multiple mutuel pools involving two horses, and one percent of the multiple mutuel pools involving three or more horses shall be used for breeder incentives. The method of payment and distribution of breeder incentives shall be set forth by the commission in rules;

(4) Eight percent of the regular mutuel pools, eight and three-quarters percent of the multiple mutuel pools involving two horses, and eleven and one-half percent of the multiple mutuel pools involving three or more horses shall be retained by the licensee.

4. For all amounts of the total pari-mutuel pool for the licensed race meeting in excess of one hundred fifty million dollars, each race track licensee shall apply the amount deducted as follows:

(1) Four percent of the regular mutuel pools, four percent of the multiple mutuel pools involving two horses, and four percent of the multiple mutuel pools involving three or more horses shall be paid to the commission;

(2) Six and one-half percent of the regular mutuel pools, seven and one-quarter percent of the multiple mutuel pools involving two horses, and nine and one-half percent of the multiple mutuel pools involving three or more horses shall be allocated for purse money. The formula for distribution of the purse money shall be determined by an agreement between an organization representing the horsemen and the tracks, the agreement to be subject to the approval of the commission;

(3) One-half of one percent of the regular mutuel pools, three-quarters of one percent of the multiple mutuel pools involving two horses, and one percent of the multiple mutuel pools involving three or more horses shall be used for breeder incentives. The method of payment and distribution of breeder incentives shall be set forth by the commission in rules;

(4) Seven percent of the regular mutuel pools, eight percent of the multiple mutuel pools involving two horses, and ten and one-half percent of the multiple mutuel pools involving three or more horses shall be retained by the licensee.

5. Each race track licensee shall pay to the commission, within three days after each day of racing, a tax at the rate specified in this section on the total amount of money wagered on all races that day. The payment of the tax shall be accompanied by a statement of the race track licensee, or his duly authorized agent under oath, showing the amount of money wagered that day.

6. Breakage paid in the Missouri horse racing fund shall not be specially allocated for purse money for special races, for breeder and owner awards and for horse racing development; however, breakage may be used for these purposes.

7. Unclaimed winnings paid into the Missouri horse racing fund shall not be specially allocated for purse money for special races, for breeder and owner awards and for horse racing development; however, unclaimed winnings may be used for these purposes.

8. All moneys provided for breeder incentives shall not lapse and interest earned on such moneys shall be credited the account. The provisions of section 33.080 to the contrary notwithstanding, these funds shall not be transferred and placed to the credit of the general revenue fund at the end of each biennium.

(L. 1986 S.B. 521 § 313.800, A.L. 1987 S.B. 384, A.L. 1995 H.B. 574)

Simulcast races, pari-mutuel wagering.

313.655. 1. An organization licensed to conduct racing in this state, with the approval of the commission, may contract to conduct pari-mutuel wagering on a simulcast of horse races held at race tracks in this state or other states or countries where the conduct of racing and wagering is permitted by law.

2. Any wagering made under this section shall take place within the confines of the licensee's race track pursuant to rules promulgated by the commission. The licensed race track may simulcast up to, but not more than the number of days in which it conducts live racing.

3. Computation of the total takeout and breakage for wagering made under this section shall be the same as that normally applicable to racing conducted by the licensee.

4. After deducting from the takeout the applicable tax of this state on the entire pari-mutuel pool, the amount to be paid under the terms of the contract to the race track from which the race or races will be simulcast, and the cost of transmission, the remainder shall be allocated in the same proportions as normally applicable to racing conducted by the licensee.

5. The terms and conditions of any contract with a race track made under this section are subject to the approval of the respective groups which represent a majority of the horsemen racing at the track licensed by the commission and a majority of the applicable breeders in this state.

6. The provisions of the Federal Interstate Horseracing Act of 1978, Title 15, Sections 3001 through 3007, U.S. Code, shall be instructive regarding the intent of this section.

(L. 1986 S.B. 572, A.L. 1987 S.B. 384, A.L. 1995 H.B. 574)

Off-track wagering prohibited, penalty.

313.660. 1. No individual shall for a fee, directly or indirectly, accept anything of value to be wagered or to be transmitted or delivered for wager in any pari-mutuel system of wagering on horse racing or for a fee deliver anything of value which has been received outside of the enclosure of a race track holding a horse race licensed under sections 313.500 to 313.710 to be placed as wagers in the pari-mutuel pool within such enclosure.

2. Any individual violating the provisions of this section shall upon conviction be guilty of a class D felony.

(L. 1986 S.B. 572, A.L. 2014 S.B. 491)

Effective 1-01-17

Pari-mutuel wagering or prizes given by charities not deemed gambling,when--not grounds for denial of liquor or beer licenses.

313.665. 1. Notwithstanding any other provision of law to the contrary, pari-mutuel wagering on horses at licensed tracks shall not be considered to be "gambling" as that term is used in any law or regulation.

2. Pari-mutuel wagering conducted in accordance with the provisions of sections 313.500 to 313.710 shall not constitute a valid reason to refuse to issue or renew or to revoke or suspend any license or permit issued under the provisions of chapter 311.

3. The giving of door prizes or other gifts by lot or chance after payment of a price by members or guests of a charitable organization which has obtained an exemption from payment of federal income taxes as provided in section 501(c)(3) of the Internal Revenue Code of 1954, as amended, shall not constitute a valid reason to refuse to issue or renew or to revoke or suspend any license or permit issued under the provisions of chapter 311.

(L. 1987 S.B. 384, A.L. 2009 H.B. 132)

Minors--prohibited from betting--presence prohibited, exceptions.

313.670. 1. No race track licensee shall knowingly permit any individual under the age of eighteen years unless accompanied by a parent or guardian over the age of eighteen to be admitted to any pari-mutuel wagering area during a race meeting, nor shall any race track licensee knowingly permit any person under the age of eighteen years to wager on any horse race conducted by the organization licensee.

2. No individual under the age of eighteen years shall knowingly make or attempt to make any wager on any horse race subject to the provisions of sections 262.260 to 262.270 and 313.500 to 313.710.

3. Any individual who violates this section shall upon conviction be guilty of a class A misdemeanor.

(L. 1986 S.B. 572)

Effective 5-6-86

Names of horses--registered name required to be used, penalty.

313.680. 1. No individual shall knowingly enter or cause to be entered for competition any horse under any other name than its registered name, or out of its proper class, for any purse, prize, premium, stake, or sweepstakes offered to the winner of a contest of speed at any race meeting held by a race track licensee.

2. The name of any horse, for the purpose of entry for competition in any contest of speed, shall be the name under which the horse has been registered and has publicly performed.

3. Any individual convicted of violating the provisions of this section shall be guilty of a class B felony.

(L. 1986 S.B. 572)

Effective 5-6-86

Bribery of track officials prohibited--passing of altered orfraudulent betting tickets prohibited--unauthorized sale of admissiontickets prohibited--penalties.

313.690. 1. No person shall, directly or indirectly, accept anything of value to be wagered, or willfully or knowingly alter or attempt to alter the outcome of any horse race or engage or conspire with or aid, assist, or abet any other person in the commission of any corrupt act or practice, including but not limited to:

(1) The giving or offering or promising to directly or indirectly give a bribe in any form to, or the extorting of any promise from any person having official duties in relation to any race or race horse or to any trainer, jockey, or agent or to any other person having charge of, or access to, any race horse; or

(2) The passing or attempting to pass or the cashing or attempting to cash any altered or fraudulent pari-mutuel ticket; or

(3) The unauthorized sale or the attempt to make an unauthorized sale of any race track admission ticket.

2. Any person who violates the provisions of this section shall upon conviction be guilty of a class B felony.

3. The commission shall suspend or revoke the license of any organization convicted of violating the provisions of this section.

(L. 1986 S.B. 572)

Effective 5-6-86

Drugs or medications, unauthorized use prohibited, penalty.

313.700. No drug or medication shall be administered to any horse entered for competition in any horse race unless that specific drug or medication has been individually approved by the commission for use at times permitted by rule or rules promulgated by the commission. Any individual found guilty of administering a foreign substance to a horse entered to race, with the intent to affect the result of the race in which the horse is entered, shall be guilty of a class B felony.

(L. 1986 S.B. 572)

Effective 5-6-86

Missouri-bred horses, program to encourage.

313.710. A program to encourage and award the owners and breeders of Missouri-bred horses that win horse races in this state may be established by rules and regulations promulgated by the commission.

(L. 1986 S.B. 572)

Effective 5-6-86

Missouri breeders fund,created--administration--costs--audit--rules--fund not to lapseinto general revenue fund.

313.720. 1. There is hereby created a "Missouri Breeders Fund", which shall not represent revenue collected and moneys received by the state.

2. The fund shall consist of those funds set aside for breeder incentives as provided in section 313.710, such registration fees for the owners and breeders of Missouri bred horses as the commission may provide by rule, such gifts, or bequests as the fund may from time to time receive and such funds as the general assembly may provide. Any gift or bequest shall be credited to such account as the donor or devisee may provide. If no specific account is provided by the donor or designee, such gift or bequest shall be divided equally among the three accounts.

3. The Missouri breeders fund shall be administered by the commission, with the advice and assistance of advisory committees designated for that purpose by the rules of the commission. The commission shall, at least biennially, carry out such audits as provided by rule. The costs of administration shall be borne by the fund. The commission shall have authority to promulgate such rules as may be necessary or desirable for the efficient operation of the Missouri breeders fund and to provide incentives for breeders and owners of Missouri bred horses.

4. The Missouri breeders fund shall not lapse and the interest earned on such fund shall be credited to the fund. The provisions of section 33.080 to the contrary notwithstanding, funds in the Missouri breeders fund shall not be transferred and placed to the credit of the general revenue fund at the end of each biennium.

(L. 1987 S.B. 384, A.L. 1995 H.B. 574)

Licensing of additional excursion gambling boats restricted, when.

313.780. The Missouri gaming commission shall not authorize additional excursion gambling boat licenses after November 4, 2008, that exceed the number of licenses which have been approved for excursion gambling boats already built and those under construction. For purposes of this section, "under construction" means an excursion gambling boat that has a license application approved by the commission for priority investigation and is under construction at the approved site prior to November 4, 2008. If one or more excursion gambling boat licenses issued under chapter 313 is forfeited, surrendered, revoked, not renewed, or expires then the commission may issue a new license to replace the license that was forfeited, surrendered, revoked, not renewed, or expired.

(L. 2008 Adopted by Initiative, Proposition A, § 3, November 4, 2008)

Definitions--additional games of skill, commission approval,procedures.

313.800. 1. As used in sections 313.800 to 313.850, unless the context clearly requires otherwise, the following terms mean:

(1) "Adjusted gross receipts", the gross receipts from licensed gambling games and devices less winnings paid to wagerers;

(2) "Applicant", any person applying for a license authorized under the provisions of sections 313.800 to 313.850;

(3) "Bank", the elevations of ground which confine the waters of the Mississippi or Missouri Rivers at the ordinary high water mark as defined by common law;

(4) "Capital, cultural, and special law enforcement purpose expenditures" shall include any disbursement, including disbursements for principal, interest, and costs of issuance and trustee administration related to any indebtedness, for the acquisition of land, land improvements, buildings and building improvements, vehicles, machinery, equipment, works of art, intersections, signing, signalization, parking lot, bus stop, station, garage, terminal, hanger, shelter, dock, wharf, rest area, river port, airport, light rail, railroad, other mass transit, pedestrian shopping malls and plazas, parks, lawns, trees, and other landscape, convention center, roads, traffic control devices, sidewalks, alleys, ramps, tunnels, overpasses and underpasses, utilities, streetscape, lighting, trash receptacles, marquees, paintings, murals, fountains, sculptures, water and sewer systems, dams, drainage systems, creek bank restoration, any asset with a useful life greater than one year, cultural events, and any expenditure related to a law enforcement officer deployed as horse-mounted patrol, school resource or drug awareness resistance education (D.A.R.E) officer;

(5) "Cheat", to alter the selection of criteria which determine the result of a gambling game or the amount or frequency of payment in a gambling game;

(6) "Commission", the Missouri gaming commission;

(7) "Credit instrument", a written check, negotiable instrument, automatic bank draft or other authorization from a qualified person to an excursion gambling boat licensee or any of its affiliated companies licensed by the commission authorizing the licensee to withdraw the amount of credit extended by the licensee to such person from the qualified person's banking account in an amount determined under section 313.817 on or after a date certain of not more than thirty days from the date the credit was extended, and includes any such writing taken in consolidation, redemption or payment of a previous credit instrument, but does not include any interest-bearing installment loan or other extension of credit secured by collateral;

(8) "Dock", the location in a city or county authorized under subsection 10 of section 313.812 which contains any natural or artificial space, inlet, hollow, or basin, in or adjacent to a bank of the Mississippi or Missouri Rivers, next to a wharf or landing devoted to the embarking of passengers on and disembarking of passengers from a gambling excursion but shall not include any artificial space created after May 20, 1994, and is located more than one thousand feet from the closest edge of the main channel of the river as established by the United States Army Corps of Engineers;

(9) "Excursion gambling boat", a boat, ferry or other floating facility licensed by the commission on which gambling games are allowed;

(10) "Fiscal year" shall for the purposes of subsections 3 and 4 of section 313.820 mean the fiscal year of a home dock city or county;

(11) "Floating facility", any facility built or originally built as a boat, ferry or barge licensed by the commission on which gambling games are allowed;

(12) "Gambling excursion", the time during which gambling games may be operated on an excursion gambling boat whether docked or during a cruise;

(13) "Gambling game" includes, but is not limited to, games of skill or games of chance on an excursion gambling boat but does not include gambling on sporting events; provided such games of chance are approved by amendment to the Missouri Constitution;

(14) "Games of chance", any gambling game in which the player's expected return is not favorably increased by his or her reason, foresight, dexterity, sagacity, design, information or strategy;

(15) "Games of skill", any gambling game in which there is an opportunity for the player to use his or her reason, foresight, dexterity, sagacity, design, information or strategy to favorably increase the player's expected return; including, but not limited to, the gambling games known as "poker", "blackjack" (twenty-one), "craps", "Caribbean stud", "pai gow poker", "Texas hold'em", "double down stud", and any video representation of such games;

(16) "Gross receipts", the total sums wagered by patrons of licensed gambling games;

(17) "Holder of occupational license", a person licensed by the commission to perform an occupation within excursion gambling boat operations which the commission has identified as requiring a license;

(18) "Licensee", any person licensed under sections 313.800 to 313.850;

(19) "Mississippi River" and "Missouri River", the water, bed and banks of those rivers, including any space filled by the water of those rivers for docking purposes in a manner approved by the commission but shall not include any artificial space created after May 20, 1994, and is located more than one thousand feet from the closest edge of the main channel of the river as established by the United States Army Corps of Engineers;

(20) "Supplier", a person who sells or leases gambling equipment and gambling supplies to any licensee.

2. In addition to the games of skill defined in this section, the commission may approve other games of skill upon receiving a petition requesting approval of a gambling game from any applicant or licensee. The commission may set the matter for hearing by serving the applicant or licensee with written notice of the time and place of the hearing not less than five days prior to the date of the hearing and posting a public notice at each commission office. The commission shall require the applicant or licensee to pay the cost of placing a notice in a newspaper of general circulation in the applicant's or licensee's home dock city or county. The burden of proof that the gambling game is a game of skill is at all times on the petitioner. The petitioner shall have the affirmative responsibility of establishing his or her case by a preponderance of evidence including:

(1) Is it in the best interest of gaming to allow the game; and

(2) Is the gambling game a game of chance or a game of skill?

All testimony shall be given under oath or affirmation. Any citizen of this state shall have the opportunity to testify on the merits of the petition. The commission may subpoena witnesses to offer expert testimony. Upon conclusion of the hearing, the commission shall evaluate the record of the hearing and issue written findings of fact that shall be based exclusively on the evidence and on matters officially noticed. The commission shall then render a written decision on the merits which shall contain findings of fact, conclusions of law and a final commission order. The final commission order shall be within thirty days of the hearing. Copies of the final commission order shall be served on the petitioner by certified or overnight express mail, postage prepaid, or by personal delivery.

(L. 1991 H.B. 149 § 1 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 1, A.L. 1994 S.B. 740, A.L. 2005 H.B. 58 merged with H.B. 186 merged with S.B. 272, A.L. 2014 S.B. 741, A.L. 2016 S.B. 833)

Law not applicable to lottery, bingo or pari-mutuel wagering.

313.802. Sections 313.800 to 313.840 do not apply to the state lottery, bingo, or to the pari-mutuel system of wagering used or intended to be used pursuant to this chapter.

(L. 1991 H.B. 149 § 2 Adopted by Referendum, Proposition A, November 3, 1992)

Two thousand feet artificial space may be created, certain licensees.

313.803. Notwithstanding the provisions of section 313.800, any person or business entity who has filed for an excursion gambling license with the Missouri gaming commission prior to May 10, 1994, shall be allowed to create an artificial space up to two thousand feet from the closest edge of the main channel of the river as established by the United States Army Corps of Engineers.

(L. 1982 H.B. 1713, et al. § 8, A.L. 1983 H.B. 559, A.L. 1986 S.B. 727, A.L. 1991 H.B. 294 & 405, A.L. 1992 S.B. 661 & 620, A.L. 1994 H.B. 1248 & 1048 § 135.230 subsec. 2)

Powers of commission--boats to cruise, exceptions.

313.805. The commission shall have full jurisdiction over and shall supervise all gambling operations governed by sections 313.800 to 313.850. The commission shall have the following powers and shall promulgate rules and regulations to implement sections 313.800 to 313.850:

(1) To investigate applicants and determine the priority and eligibility of applicants for a license and to select among competing applicants for a license the applicant which best serves the interests of the citizens of Missouri;

(2) To license the operators of excursion gambling boats and operators of gambling games within such boats, to identify occupations within the excursion gambling boat operations which require licensing, and adopt standards for licensing the occupations including establishing fees for the occupational licenses and to license suppliers;

(3) To adopt standards under which all excursion gambling boat operations shall be held and standards for the facilities within which the gambling operations are to be held. Notwithstanding the provisions of chapter 311 to the contrary, the commission may authorize the operation of gambling games on an excursion gambling boat which is also licensed to sell or serve alcoholic beverages, wine, or beer. The commission shall regulate the wagering structure for gambling excursions, provided that the commission shall not establish any regulations or policies that limit the amount of wagers, losses, or buy-in amounts;

(4) To enter the premises of excursion gambling boats, facilities, or other places of business of a licensee within this state to determine compliance with sections 313.800 to 313.850;

(5) To investigate alleged violations of sections 313.800 to 313.850 or the commission rules, orders, or final decisions;

(6) To assess any appropriate administrative penalty against a licensee, including, but not limited to, suspension, revocation, and penalties of an amount as determined by the commission up to three times the highest daily amount of gross receipts derived from wagering on the gambling games, whether unauthorized or authorized, conducted during the previous twelve months as well as confiscation and forfeiture of all gambling game equipment used in the conduct of unauthorized gambling games. Forfeitures pursuant to this section shall be enforced as provided in sections 513.600 to 513.645;

(7) To require a licensee, an employee of a licensee or holder of an occupational license to remove a person violating a provision of sections 313.800 to 313.850 or the commission rules, orders, or final orders, or other person deemed to be undesirable from the excursion gambling boat or adjacent facilities;

(8) To require the removal from the premises of a licensee, an employee of a licensee, or a holder of an occupational license for a violation of sections 313.800 to 313.850 or a commission rule or engaging in a fraudulent practice;

(9) To require all licensees to file all financial reports required by rules and regulations of the commission;

(10) To issue subpoenas for the attendance of witnesses and subpoenas duces tecum for the production of books, records, and other pertinent documents, and to administer oaths and affirmations to the witnesses, when, in the judgment of the commission, it is necessary to enforce sections 313.800 to 313.850 or the commission rules;

(11) To keep accurate and complete records of its proceedings and to certify the records as may be appropriate;

(12) To ensure that the gambling games are conducted fairly. No gambling device shall be set to pay out less than eighty percent of all wagers;

(13) To require all licensees of gambling game operations to use a cashless wagering system whereby all players' money is converted to physical or electronic tokens, electronic cards, or chips which only can be used on the excursion gambling boat;

(14) To require excursion gambling boat licensees to develop a system, approved by the commission, that allows patrons the option to prohibit the excursion gambling boat licensee from using identifying information for marketing purposes. The provisions of this subdivision shall apply only to patrons giving identifying information for the first time. Such system shall be submitted to the commission by October 1, 2000, and approved by the commission by January 1, 2001. The excursion gambling boat licensee shall use identifying information obtained from patrons who have elected to have marketing blocked under the provisions of this section only for the purposes of enforcing the requirements contained in sections 313.800 to 313.850. This section shall not prohibit the commission from accessing identifying information for the purposes of enforcing section 313.004 and sections 313.800 to 313.850;

(15) To determine which of the authorized gambling games will be permitted on any licensed excursion gambling boat;

(16) Excursion gambling boats shall cruise, unless the commission finds that the best interest of Missouri and the safety of the public indicate the need for continuous docking of the excursion gambling boat in any city or county authorized pursuant to subsection 10 of section 313.812. The commission shall base its decision to allow continuously docked excursion gambling boats on any of the following criteria: the docking location or the excursion cruise could cause danger to the boat's passengers, violate federal law or the law of another state, or cause disruption of interstate commerce or possible interference with railway or barge transportation. In addition, the commission shall consider economic feasibility or impact that would benefit land-based development and permanent job creation. The commission shall not discriminate among applicants for continuous-docking excursion gambling that are similarly situated with respect to the criteria set forth in this section;

(17) The commission shall render a finding concerning the possibility of continuous docking, as described in subdivision (15) of this section, within thirty days after a hearing on any request from an applicant or licensee. Such hearing may be held prior to any final action on licensing to assist an applicant and any city or county in the finalizing of their economic development plan;

(18) To require any applicant for a license or renewal of a license to operate an excursion gambling boat to provide an affirmative action plan which has as its goal the use of best efforts to achieve maximum employment of African-Americans and other minorities and maximum participation in the procurement of contractual purchases of goods and services. This provision shall be administered in accordance with all federal and state employment laws, including Title VII of the Civil Rights Act of 1964, as amended by the Civil Rights Act of 1991. At license renewal, the licensee will report on the effectiveness of the plan. The commission shall include the licensee's reported information in its annual report to the joint committee on gaming and wagering;

(19) To take any other action as may be reasonable or appropriate to enforce sections 313.800 to 313.850 and the commission rules.

(L. 1991 H.B. 149 § 3 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 3, A.L. 1994 S.B. 740, A.L. 2000 S.B. 902, A.L. 2008 Adopted by Initiative, Proposition A, November 4, 2008, A.L. 2010 S.B. 984)

Excursion gambling boat license, application, fee--occupationallicense, application, fee--supplier license, application,fee--limited license, allowed, when.

313.807. 1. A person may apply to the commission for a license to conduct gambling games on an excursion gambling boat or to operate an excursion gambling boat as provided in sections 313.800 to 313.850. The application for such licenses shall be filed with the commission and shall identify the excursion gambling boat upon which gambling games will be authorized, shall specify the exact location where the excursion gambling boat will be docked, shall specify the extent of the land-based economic development or impact and an affirmative action plan for ownership, contracting and recruiting, training and hiring of minorities and women in all employment classifications for that area, a lease with a home dock city or county, or in lieu thereof a resolution adopted by a city or county supporting or opposing the docking and land-based economic development or impact plan of the operator, and shall be in a form and contain information as the commission prescribes. If a city or county fails to pass a resolution, such action shall not adversely affect the application which shall be deemed complete. The applicant for such license shall file with the application a nonrefundable fee of fifty thousand dollars or fifteen thousand dollars for each person to be investigated, whichever amount is greater. The applicant shall be responsible for the total cost of the investigation. If the cost of the investigation exceeds the total amount of fees filed by the applicant in this subsection, the commission may assess additional fees as it deems appropriate; however, if the applicant is denied a license, the applicant shall be entitled to a refund of the difference between the application fee and the actual cost of the investigation. The initial license and first subsequent license renewal of an excursion gambling boat operator shall be for a period of one year. Thereafter, license renewal periods shall be four years. However, the commission may reopen licensing hearings at any time. The annual fee for anyone licensed pursuant to this subsection shall be set by the commission at a minimum of twenty-five thousand dollars.

2. A person may apply to the commission for a license to conduct an occupation within excursion gambling boat operations which the commission has identified as requiring a license. The commission shall establish and charge holders of occupational licenses an annual license fee for each occupation in amounts determined appropriate by the commission and shall be charged each year the license is in effect. The commission shall set a nonrefundable filing fee to cover the cost of any investigation. Each applicant for a license pursuant to this subsection shall biennially file for a license.

3. A supplier shall biennially apply for a license. The application fee shall be a nonrefundable amount set by the commission to cover the cost of any investigation. The annual fee for such license shall be set by the commission. The commission shall set all standards for equipment and supplies.

4. A licensee licensed to conduct gambling games shall acquire all gambling games or implements of gambling from a licensed supplier or from a person or entity approved by the commission. A licensee shall not sell or give gambling games or implements of gambling to another licensee without the commission's prior written approval. Any licensed supplier shall have a registered agent within this state.

5. The commission may issue a limited license to operate an excursion gambling boat as defined pursuant to subdivision (7) of section 313.800 at a dock other than its home dock, if such city or county where such dock is located has approved gambling games on excursion gambling boats pursuant to subsection 10 of section 313.812.

6. Prior to granting a license for an excursion gambling boat, the commission shall ensure that the applicant complies with all local zoning laws, provided that such laws were not changed to the detriment of the applicant having an ownership interest, including without limitation, an option to purchase, a contingent purchase agreement, leasehold interest or contingent leasehold interest, that is the subject of the zoning law change when such law is enacted subsequent to the filing of such application. Nothing in this section shall be construed to prohibit a change in local law in favor of the applicant having the ownership interest in the property.

(L. 1991 H.B. 149 § 4 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 4, A.L. 2000 S.B. 902, A.L. 2012 H.B. 1644)

Application, contents, fingerprints submission--investigation,commission may conduct--false information on application, penalty.

313.810. 1. A person shall not be issued a license to conduct gambling games on an excursion gambling boat or a license to operate an excursion gambling boat, an occupational license, or a supplier license unless the person has completed and signed an application on the form prescribed and published by the commission. The application shall include the full name, residence, date of birth and other personal identifying information as the commission deems necessary, including but not limited to, the information specified in section 313.847. The application shall also indicate whether the applicant has any of the following:

(1) A record of conviction of a felony; or

(2) A current addiction to a controlled substance.

2. The commission shall submit two sets of fingerprints for any person seeking employment with the commission or any person who is seeking the issuance or renewal of a license issued by the commission, for the purpose of checking the person's prior criminal history when the commission determines a nationwide check is warranted. The fingerprint cards and any required fees shall be sent to the Missouri state highway patrol's central repository. The first set of fingerprints shall be used for searching the state repository of criminal history information. The second set of fingerprints shall be forwarded to the Federal Bureau of Investigation, Identification Division, for the searching of the federal criminal history files. The patrol shall notify the commission of any criminal history information or lack of criminal history information discovered on the individual. Notwithstanding the provisions of section 610.120, all records related to any criminal history information discovered shall be accessible and available to the commission.

3. It is the burden of the applicant to show by clear and convincing evidence his suitability as to character, experience and other factors as may be deemed appropriate by the commission.

4. Before a license is granted, the commission shall conduct a thorough investigation of the applicant for a license to operate a gambling game operation on an excursion gambling boat. The applicant shall provide information on a form as required by the commission.

5. A person who knowingly makes a false statement on an application is guilty of a class A misdemeanor and shall not ever again be considered for application by the commission.

6. The licensee shall permit the commission or commission employees designated to inspect the licensee or holder's person, personal property, excursion gambling boat and effects at any time.

(L. 1991 H.B. 149 § 5 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 5, A.L. 2003 H.B. 523 merged with S.B. 294)

Number of licenses granted in city or county, commission to determine,limits--city or county may submit plan,recommendations--conditions of operator license--boats,requirements--ineligibility for license--local option, boats mayonly be locked after voter approval, ballot, prior election,effect of--licensees may be disciplined, when.

313.812. 1. The commission may issue licenses pursuant to subsection 1 of section 313.807 when it is satisfied that the applicant has complied with all rules and regulations, including an update of all information provided to the commission in the licensee's initial application. The commission shall decide the number, location and type of excursion gambling boat in a city or county under subsection 10 of this section. The license shall set forth the name of the licensee, the type of license granted, the place where the excursion gambling boat will operate and dock, including the docking of an excursion gambling boat which is continuously docked, and other information the commission deems appropriate. The commission shall have the ultimate responsibility of deciding the number, location, and type of excursion gambling boats licensed in a city or county; however, any city or county which has complied with the provisions of subsection 10 of this section shall submit to the commission a plan outlining the following:

(1) The recommended number of licensed excursion gambling boats operating in such city or county;

(2) The recommended licensee or licensees operating in such city or county;

(3) The community's economic development or impact and affirmative action plan concerning minorities' and women's ownership, contracting and employment for the waterfront development;

(4) The city or county proposed sharing of revenue with any other municipality;

(5) Any other information such city or county deems necessary; and

(6) Any other information the commission may determine is necessary.

The commission shall provide for due dates for receiving such plan from the city or county.

2. A license to operate an excursion gambling boat shall only be granted to an applicant upon the express conditions that:

(1) The applicant shall not, by a lease, contract, understanding, or arrangement of any kind, grant, assign, or turn over to a person the operation of an excursion gambling boat licensed under this section or of the system of wagering described in section 313.817. This section does not prohibit a management contract with a person licensed by the commission; and

(2) The applicant shall not in any manner permit a person other than the licensee and the management licensee to have a share, percentage, or proportion of the money received for admissions to the excursion gambling boat.

3. The commission shall require, as a condition of granting a license, that an applicant operate an excursion gambling boat which, as nearly as practicable, resembles or is a part of Missouri's or the home dock city's or county's riverboat history.

4. The commission shall encourage through its rules and regulations the use of Missouri resources, goods and services in the operation of any excursion gambling boat.

5. The excursion gambling boat shall provide for nongaming areas, food service and a Missouri theme gift shop. The amount of space used for gaming shall be determined in accordance with all rules and regulations of the commission and the United States Coast Guard safety regulations.

6. A license to operate gambling games or to operate an excursion gambling boat shall not be granted unless the applicant has, through clear and convincing evidence, demonstrated financial responsibility sufficient to meet adequately the requirements of the proposed enterprise.

7. Each applicant shall establish by clear and convincing evidence its fitness to be licensed. Without limitation, the commission may deny a license based solely on the fact that there is evidence that any of the following apply:

(1) The applicant has been suspended from operating an excursion gambling boat or a game of chance or gambling operation in another jurisdiction by a board or commission of that jurisdiction;

(2) The applicant is not the true owner of the enterprise proposed;

(3) The applicant is not the sole owner, and other persons have ownership in the enterprise, which fact has not been disclosed;

(4) The applicant is a corporation that is not publicly traded and ten percent or more of the stock of the corporation is subject to a contract or option to purchase at any time during the period for which the license is to be issued unless the contract or option was disclosed to the commission and the commission approved the sale or transfer during the period of the license;

(5) The applicant has knowingly made a false statement of a material fact to the commission; or

(6) The applicant has failed to meet a valid, bona fide monetary obligation in connection with an excursion gambling boat.

8. A license shall not be granted if the applicant has not established the applicant's good repute and moral character or if the applicant has pled guilty to, or has been convicted of, a felony. No licensee shall employ or contract with any person who has pled guilty to, or has been convicted of, a felony to perform any duties directly connected with the licensee's privileges under a license granted pursuant to this section, except that employees performing nongaming related occupations as determined by the commission shall be exempt from the requirements of this subsection.

9. Except as provided in section 313.817, a licensee shall not lend to any person money or any other thing of value for the purpose of permitting that person to wager on any gambling game authorized by law. This does not prohibit credit card or debit card transactions or cashing of checks. Any check cashed, other than a credit instrument, must be deposited within twenty-four hours. Except for any credit instrument, the commission may require licensees to verify a sufficient account balance exists before cashing any check. Any licensee who violates the provisions of this subsection shall be subject to an administrative penalty of five thousand dollars for each violation. Such administrative penalties shall be assessed and collected by the commission.

10. Gambling excursions including the operation of gambling games on an excursion gambling boat which is not continuously docked shall be allowed only on the Mississippi River and the Missouri River. No license to conduct gambling games on an excursion gambling boat in a city or county shall be issued unless and until the qualified voters of the city or county approve such activities pursuant to this subsection. The question shall be submitted to the qualified voters of the city or county at a general, primary or special election upon the motion of the governing body of the city or county or upon the petition of fifteen percent of the qualified voters of the city or county determined on the basis of the number of votes cast for governor in the city or county at the last election held prior to the filing of the petition. The question shall be submitted in substantially the following form:

Shall the City (County) of ..................... allow the licensing of excursion gambling boats or floating facilities as now or hereafter provided by Missouri gaming law in the city (county)?

[ ] YES [ ] NO

If a majority of the votes cast on the question by the qualified voters voting thereon are in favor of the question, then the commission may license excursion gambling boats in that city or county and such boats may operate on the Mississippi River and the Missouri River. If a majority of the votes cast on the question by the qualified voters voting thereon are opposed to the question, then the commission shall not license such excursion gambling boats in such city or county unless and until the question is again submitted to and approved by a majority of the qualified voters of the city or county at a later election.

Excursion gambling boats may only dock in a city or unincorporated area of a county which approves licensing of such excursion gambling boats pursuant to this subsection, but gambling operations may be conducted at any point on the Mississippi River or the Missouri River during an excursion. Those cities and counties which have approved by election pursuant to this subsection, except those cities or counties which have subsequently rejected by election, the licensing of any type of excursion gambling boats in the city or county prior to April 6, 1994, are exempt from any local election requirement of this section as such previous election shall have the same effect as if held after May 20, 1994.

11. If a docking fee is charged by a city or a county, a licensee operating an excursion gambling boat shall pay the docking fee prior to the start of the excursion season.

12. Any licensee shall not be delinquent in the payment of property taxes or other taxes or fees or in the payment of any other contractual obligation or debt due or owed to the state or a political subdivision of the state.

13. An excursion gambling boat licensed by the state shall meet all of the requirements of chapter 306 and is subject to an inspection of its sanitary facilities to protect the environment and water quality by the commission or its designee before a license to operate an excursion gambling boat is issued by the commission. Licensed excursion gambling boats shall also be subject to such inspections during the period of the license as may be deemed necessary by the commission. The cost of such inspections shall be paid by the licensee.

14. A holder of any license shall be subject to imposition of penalties, suspension or revocation of such license, or if the person is an applicant for licensure, the denial of the application, for any act or failure to act by himself or his agents or employees, that is injurious to the public health, safety, morals, good order and general welfare of the people of the state of Missouri, or that would discredit or tend to discredit the Missouri gaming industry or the state of Missouri unless the licensee proves by clear and convincing evidence that it is not guilty of such action. The commission shall take appropriate action against any licensee who violates the law or the rules and regulations of the commission. Without limiting other provisions of this subsection, the following acts or omissions may be grounds for such discipline:

(1) Failing to comply with or make provision for compliance with sections 313.800 to 313.850, the rules and regulations of the commission or any federal, state or local law or regulation;

(2) Failing to comply with any rule, order or ruling of the commission or its agents pertaining to gaming;

(3) Receiving goods or services from a person or business entity who does not hold a supplier's license but who is required to hold such license by the provisions of sections 313.800 to 313.850 or the rules and regulations of the commission;

(4) Being suspended or ruled ineligible or having a license revoked or suspended in any state of gaming jurisdiction;

(5) Associating with, either socially or in business affairs, or employing persons of notorious or unsavory reputation or who have extensive police records, or who have failed to cooperate with any officially constituted investigatory or administrative body and would adversely affect public confidence and trust in gaming;

(6) Employing in any gambling games' operation or any excursion gambling boat operation, any person known to have been found guilty of cheating or using any improper device in connection with any gambling game;

(7) Use of fraud, deception, misrepresentation or bribery in securing any permit or license issued pursuant to sections 313.800 to 313.850;

(8) Obtaining or attempting to obtain any fee, charge, or other compensation by fraud, deception, or misrepresentation;

(9) Incompetence, misconduct, gross negligence, fraud, misrepresentation or dishonesty in the performance of the functions or duties regulated by sections 313.800 to 313.850.

(L. 1991 H.B. 149 § 6 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 6, A.L. 1994 S.B. 740, A.L. 2000 S.B. 902, A.L. 2014 S.B. 741)

Commission authorized to promulgate rules allowing problemgambler to self-exclude--violation of self-exclusion, penalty.

313.813. The commission may promulgate rules allowing a person that is a problem gambler to voluntarily exclude him/herself from an excursion gambling boat. Any person that has been self-excluded is guilty of trespassing in the first degree pursuant to section 569.140 if such person enters an excursion gambling boat.

(L. 2000 S.B. 902 § 313.833)

Bond, or other surety, licensee to post, when, may be used forexpansion or modification--limitations.

313.815. A licensee licensed to operate gambling games under sections 313.800 to 313.850 shall post a bond or other form of surety from a firm licensed to conduct a surety business in this state, as approved by the commission, to the state of Missouri before the license is issued in a sum as the commission shall fix, with sureties approved by the commission. The bond or other form of surety approved by the commission shall be used to guarantee that the licensee faithfully makes the payments, keeps its books and records and makes reports, and conducts its gambling games in conformity with sections 313.800 to 313.850 and the rules adopted by the commission. The bond or other form of surety may be used to guarantee the completion of any expansion or modification of a gaming facility in a time period which shall be determined by the commission or three years from August 28, 2000, whichever is later. Failure to complete an approved expansion or modification of a gaming facility within such time period as aforesaid may be considered sufficient grounds for not renewing the license for that gaming facility. The bond or other form of surety approved by the commission shall not be cancelled by a surety on less than thirty days' notice in writing to the commission. If a bond or other form of surety approved by the commission is cancelled and the licensee fails to file a new bond or other form of surety approved by the commission with the commission in the required amount on or before the effective date of cancellation, the licensee's license shall be revoked. The total and aggregate liability of the surety on the bond or other form of surety approved by the commission is limited to the amount specified in the bond or other form of surety approved by the commission.

(L. 1991 H.B. 149 § 7 Adopted by Referendum, Proposition A, November 3, l992, A.L. 1993 S.B. 10 & 11 § 7, A.L. 2000 S.B. 902)

Wagering, conduct of, requirements--persons under twenty-one years ofage not allowed to wager or be employed as a dealer--invasion ofprivacy protections--presentation of false identification amisdemeanor--credit instruments, use of, requirements.

313.817. 1. Except as permitted in this section, the licensee licensed to operate gambling games shall permit no form of wagering on gambling games.

2. The licensee may receive wagers only from a person present on a licensed excursion gambling boat.

3. Wagering shall not be conducted with money or other negotiable currency. The licensee shall exchange the money or credit instrument of each wagerer for electronic or physical tokens, chips, or other forms of credit to be wagered on the gambling games. The licensee shall exchange the tokens, chips, or other forms of wagering credit for money at the request of the wagerer.

4. A person under twenty-one years of age shall not make a wager on an excursion gambling boat and shall not be allowed in the area of the excursion boat where gambling is being conducted; provided that employees of the licensed operator of the excursion gambling boat who have attained eighteen years of age shall be permitted in the area in which gambling is being conducted when performing employment-related duties, except that no one under twenty-one years of age may be employed as a dealer or accept a wager on an excursion gambling boat. The governing body of a home dock city or county may restrict the age of entrance onto an excursion gambling boat by passage of a local ordinance.

5. In order to help protect patrons from invasion of privacy and the possibility of identity theft, patrons shall not be required to provide fingerprints, retinal scans, biometric forms of identification, any type of patron-tracking cards, or other types of identification prior to being permitted to enter the area where gambling is being conducted on an excursion gambling boat or to make a wager, except that, for purposes of establishing that a patron is at least twenty-one years of age as provided in subsection 4 above, a licensee operating an excursion gambling boat shall be authorized to request such patron to provide a valid state or federal photo identification or a valid passport. This section shall not prohibit enforcement of identification requirements that are required by federal law. This section shall not prohibit enforcement of any Missouri statute requiring identification of patrons for reasons other than being permitted to enter the area of an excursion gambling boat where gambling is being conducted or to make a wager.

6. A licensee shall only allow wagering and conduct gambling games at the times allowed by the commission.

7. It shall be unlawful for a person to present false identification to a licensee or a gaming agent in order to gain entrance to an excursion gambling boat, cash a check or verify that such person is legally entitled to be present on the excursion gambling boat. Any person who violates the provisions of this subsection shall be guilty of a class B misdemeanor for the first offense and a class A misdemeanor for second and subsequent offenses.

8. Credit instruments executed on or after August 28, 2016, are valid contracts creating debt that is enforceable by legal process. A licensee may accept credit instruments from a qualified person in exchange for currency, chips, tokens, or electronic tokens that can be wagered on gambling games at the licensee's excursion gambling boat. For the purposes of this subsection, "qualified person" means a person who has completed a credit application provided by the licensee and who is determined by the licensee, after performing a credit check and applying usual standards to establish creditworthiness, to qualify for a line of credit and in an amount to be determined by the licensee under the restrictions in subsection 9 of this section based on such person's demand deposit account or accounts, including any checking account and savings account. Once the licensee makes the determination that a person is a qualified person, additional credit checks are not required. Approval to accept a credit instrument from a qualified person shall be made by the holder of an occupational license. If a new credit instrument is issued to consolidate or replace an existing credit instrument or instruments, the new credit instrument shall use the oldest date of the credit instrument or instruments being replaced. A lost or destroyed credit instrument shall remain valid and enforceable if the party seeking enforcement can prove its existence and terms. Any person who violates this subsection is subject only to the penalties provided in section 313.812. The commission shall have no authority to determine the validity or enforceability of a credit instrument or the enforceability of the debt that the credit instrument represents. Failure to comply with any regulation promulgated by the commission shall not impact the validity or enforceability of the credit instrument or the debt that the credit instrument represents.

9. In addition to the other creditor protections contained in this section, a licensee shall not lend anything of value or extend credit to any person for the purpose of permitting that person to wager on any gambling game except through the use of a credit instrument. Credit* instruments of ten thousand dollars or less may be accepted only if the licensee determines the qualified person's creditworthiness to be at least twice the amount of the credit instrument or ten thousand dollars, whichever is less. Credit* instruments of more than ten thousand dollars may be accepted only if the licensee determines the qualified person's creditworthiness to be equal or in excess of the amount of the credit instrument. No** credit instrument shall be secured by any individual's house or other real property, tangible personal property, investments, IRAs, a 401(k), pensions or other retirement accounts, any college savings plans, or any assets whatsoever other than a demand deposit account or accounts. All credit instruments shall provide that any credit extended shall be due no later than thirty days from the date credit is extended. Credit instruments shall be considered an unsecured loan and shall not bear interest.

10. No credit shall be extended to a person who is intoxicated.

(L. 1991 H.B. 149 § 8 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 8, A.L. 2000 S.B. 902, A.L. 2008 Adopted by Initiative, Proposition A, November 4, 2008, A.L. 2014 S.B. 741, A.L. 2016 S.B. 833)

*Word "; credit" appears in original rolls.

**Words "; and no" appear in original rolls.

Admission fee, amount, division of--licensees subject to all othertaxes, collection of nongaming taxes by department of revenue.

313.820. 1. An excursion boat licensee shall pay to the commission an admission fee of two dollars for each person embarking on an excursion gambling boat with a ticket of admission. One dollar of such fee shall be deposited to the credit of the gaming commission fund as authorized pursuant to section 313.835, and one dollar of such fee shall not be considered state funds and shall be paid to the home dock city or county. Subject to appropriation, one cent of such fee deposited to the credit of the gaming commission fund may be deposited to the credit of the compulsive gamblers fund created pursuant to the provisions of section 313.842. Nothing in this section shall preclude any licensee from charging any amount deemed necessary for a ticket of admission to any person embarking on an excursion gambling boat. If tickets are issued which are good for more than one excursion, the admission fee shall be paid to the commission for each person using the ticket on each excursion that the ticket is used. If free passes or complimentary admission tickets are issued, the excursion boat licensee shall pay to the commission the same fee upon these passes or complimentary tickets as if they were sold at the regular and usual admission rate; however, the excursion boat licensee may issue fee-free passes to actual and necessary officials and employees of the licensee or other persons actually working on the excursion gambling boat. The issuance of fee-free passes is subject to the rules of the commission, and a list of all persons to whom the fee-free passes are issued shall be filed with the commission.

2. All licensees are subject to all income taxes, sales taxes, earnings taxes, use taxes, property taxes or any other tax or fee now or hereafter lawfully levied by any political subdivision; however, no other license tax, permit tax, occupation tax, excursion fee, or taxes or fees shall be imposed, levied or assessed exclusively upon licensees by a political subdivision. All state taxes not connected directly to gambling games shall be collected by the department of revenue. Notwithstanding the provisions of section 32.057 to the contrary, the department of revenue may furnish and the commission may receive tax information to determine if applicants or licensees are complying with the tax laws of this state; however, any tax information acquired by the commission shall not become public record and shall be used exclusively for commission business.

(L. 1991 H.B. 149 § 9 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 9, A.L. 2000 S.B. 902, A.L. 2005 H.B. 58 merged with H.B. 186 merged with S.B. 272, A.L. 2006 S.B. 561, A.L. 2008 H.B. 1804)

(2000) Imposition of admission fees does not violate either the commerce clause or takings clause. President Riverboat Casino-Missouri, Inc. v. Missouri Gaming Commission, 13 S.W.3d 635 (Mo.banc).

Sales tax exemption, state or local admission fee--additionaladmission fee imposed by licensee not exempt.

313.821. 1. In addition to the exemptions granted under the provisions of section 144.030, there shall also be specifically exempted from the provisions of sections 66.600 to 66.635, sections 67.500 to 67.545, 67.547, 67.581, 67.582, 67.671 to 67.685, 67.700 to 67.729, 67.730 to 67.739, and 67.782, sections 92.400 to 92.420, sections 94.500 to 94.570, 94.600 to 94.655, and 94.700 to 94.755, and sections 144.010 to 144.510 and 144.600 to 144.745, and from the computation of the tax levied, assessed or payable under sections 66.600 to 66.635, sections 67.500 to 67.545, 67.547, 67.581, 67.582, 67.671 to 67.685, 67.700 to 67.729, 67.730 to 67.739, and 67.782, sections 92.400 to 92.420, sections 94.500 to 94.570, 94.600 to 94.655, and 94.700 to 94.755, and sections 144.010 to 144.510 and 144.600 to 144.745, any state or local admission fees imposed upon excursion gambling boat operators to be collected from each passenger boarding such excursion gambling boats.

2. Nothing in this section shall exempt from the taxes referenced in subsection 1 of this section any fees of admission voluntarily charged by excursion boat gambling operators to passengers boarding such excursion gambling boats.

(L. 1994 S.B. 740 § 1)

Effective 5-20-94

Adjusted gross receipts, tax on, rate, collection procedures--portionto home dock city or county, procedure--gaming proceeds foreducation fund, created, purpose--audit of certain educationfunds.

313.822. A tax is imposed on the adjusted gross receipts received from gambling games authorized pursuant to sections 313.800 to 313.850 at the rate of twenty-one percent. The taxes imposed by this section shall be returned to the commission in accordance with the commission's rules and regulations who shall transfer such taxes to the director of revenue. All checks and drafts remitted for payment of these taxes and fees shall be made payable to the director of revenue. If the commission is not satisfied with the return or payment made by any licensee, it is hereby authorized and empowered to make an assessment of the amount due based upon any information within its possession or that shall come into its possession. Any licensee against whom an assessment is made by the commission may petition for a reassessment. The request for reassessment shall be made within twenty days from the date the assessment was mailed or delivered to the licensee, whichever is earlier. Whereupon the commission shall give notice of a hearing for reassessment and fix the date upon which the hearing shall be held. The assessment shall become final if a request for reassessment is not received by the commission within the twenty days. Except as provided in this section, on and after April 29, 1993, all functions incident to the administration, collection, enforcement, and operation of the tax imposed by sections 144.010 to 144.525 shall be applicable to the taxes and fees imposed by this section.

(1) Each excursion gambling boat shall designate a city or county as its home dock. The home dock city or county may enter into agreements with other cities or counties authorized pursuant to subsection 10 of section 313.812 to share revenue obtained pursuant to this section. The home dock city or county shall receive ten percent of the adjusted gross receipts tax collections, as levied pursuant to this section, for use in providing services necessary for the safety of the public visiting an excursion gambling boat. Such home dock city or county shall annually submit to the commission a shared revenue agreement with any other city or county. All moneys owed the home dock city or county shall be deposited and distributed to such city or county in accordance with rules and regulations of the commission. All revenues provided for in this section to be transferred to the governing body of any city not within a county and any city with a population of over three hundred fifty thousand inhabitants shall not be considered state funds and shall be deposited in such city's general revenue fund to be expended as provided for in this section.

(2) The remaining amount of the adjusted gross receipts tax shall be deposited in the state treasury to the credit of the "Gaming Proceeds for Education Fund" which is hereby created in the state treasury. Moneys deposited in this fund shall be kept separate from the general revenue fund as well as any other funds or accounts in the state treasury, shall be used solely for education pursuant to the Missouri Constitution and shall be considered the proceeds of excursion boat gambling and state funds pursuant to Article IV, Section 15 of the Missouri Constitution. All interest received on the gaming proceeds for education fund shall be credited to the gaming proceeds for education fund. Appropriation of the moneys deposited into the gaming proceeds for education fund shall be pursuant to state law.

(3) The state auditor shall perform an annual audit of the gaming proceeds for education fund, which shall include the evaluation of whether appropriations for elementary and secondary education have increased and are being used as intended. The state auditor shall make copies of each audit available to the public and to the general assembly.

(L. 1991 H.B. 149 § 10 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 10, A.L. 2000 S.B. 902, A.L. 2008 Adopted by Initiative, Proposition A, November 4, 2008, A.L. 2009 S.B. 291)

Effective 7-13-09

Boat and game operator licensees to furnish reports tocommission--commission security staff to be on boat, costs paidby boat licensee.

313.824. Gambling excursion boat and gambling game operator licensees shall furnish to the commission reports and information as the commission may require with respect to its activities. The commission shall establish by rules and regulations the amount of staff necessary to protect the public on any excursion gambling boat. The excursion gambling boat licensee shall reimburse the commission for the full cost of such staff.

(L. 1991 H.B. 149 § 11 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 11)

Effective 4-29-93

Audit of licensee, contents, procedure.

313.825. In accordance with the rules established by the commission, after the end of each calendar quarter, the licensee shall transmit to the commission an audit of compliance and of the financial transactions and condition of the licensee's total operations for the calendar quarter. Any audits shall be conducted by certified public accountants registered or licensed in the state of Missouri under chapter 326 and approved by the commission. The compensation for each certified public accountant shall be paid directly by the licensee to the certified public accountant.

(L. 1991 H.B. 149 § 12 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 12, A.L. 2000 S.B. 902)

Tax withholdings, electronic gaming device jackpots and table gamejackpots in excess of certain amount, percentage.

313.826. Each excursion gambling boat licensed by the commission shall withhold for state income tax purposes from electronic gaming device jackpots or table game jackpots of twelve hundred dollars or more an amount equal to four percent of the prize. Withholdings made pursuant to this section shall be subject to the withholding tax provisions pursuant to sections 143.191 to 143.261, including section 143.261.

(L. 2003 H.B. 600)

Effective 7-01-03

Prohibited acts, penalties--commission torefer violations to attorney general and prosecutingattorney--venue for actions.

313.830. 1. A person is guilty of a class E felony for any of the following:

(1) Operating a gambling excursion where wagering is used or to be used without a license issued by the commission;

(2) Operating a gambling excursion where wagering is permitted other than in the manner specified by section 313.817; or

(3) Acting, or employing a person to act, as a shill or decoy to encourage participation in a gambling game.

2. A person is guilty of a class B misdemeanor for the first offense and a class A misdemeanor for the second and subsequent offenses for any of the following:

(1) Permitting a person under the age of twenty-one to make a wager while on an excursion gambling boat;

(2) Making or attempting to make a wager while on an excursion gambling boat when such person is under the age of twenty-one years; or

(3) Aiding a person who is under the age of twenty-one in entering an excursion gambling boat or in making or attempting to make a wager while on an excursion gambling boat.

3. A person wagering or accepting a wager at any location outside the excursion gambling boat is in violation of section 572.040.

4. A person commits a class E felony and, in addition, shall be barred for life from excursion gambling boats under the jurisdiction of the commission, if the person:

(1) Offers, promises, or gives anything of value or benefit to a person who is connected with an excursion gambling boat operator including, but not limited to, an officer or employee of a licensee or holder of an occupational license pursuant to an agreement or arrangement or with the intent that the promise or thing of value or benefit will influence the actions of the person to whom the offer, promise, or gift was made in order to affect or attempt to affect the outcome of a gambling game, or to influence official action of a member of the commission;

(2) Solicits or knowingly accepts or receives a promise of anything of value or benefit while the person is connected with an excursion gambling boat including, but not limited to, an officer or employee of a licensee, or holder of an occupational license, pursuant to an understanding or arrangement or with the intent that the promise or thing of value or benefit will influence the actions of the person to affect or attempt to affect the outcome of a gambling game, or to influence official action of a member of the commission;

(3) Uses a device to assist in any of the following:

(a) In projecting the outcome of the game;

(b) In keeping track of the cards played;

(c) In analyzing the probability of the occurrence of an event relating to the gambling game; or

(d) In analyzing the strategy for playing or betting to be used in the game, except as permitted by the commission;

(4) Cheats at a gambling game;

(5) Manufactures, sells, or distributes any cards, chips, dice, game or device which is intended to be used to violate any provision of sections 313.800 to 313.850;

(6) Instructs a person in cheating or in the use of a device for that purpose with the knowledge or intent that the information or use conveyed may be employed to violate any provision of sections 313.800 to 313.850;

(7) Alters or misrepresents the outcome of a gambling game on which wagers have been made after the outcome is made sure but before it is revealed to the players;

(8) Places a bet after acquiring knowledge, not available to all players, of the outcome of the gambling game which is the subject of the bet or to aid a person in acquiring the knowledge for the purpose of placing a bet contingent on that outcome;

(9) Claims, collects, or takes, or attempts to claim, collect, or take, money or anything of value in or from the gambling games, with intent to defraud, without having made a wager contingent on winning a gambling game, or claims, collects, or takes an amount of money or thing of value of greater value than the amount won;

(10) Knowingly entices or induces a person to go to any place where a gambling game is being conducted or operated in violation of the provisions of sections 313.800 to 313.850 with the intent that the other person plays or participates in that gambling game;

(11) Uses counterfeit chips or tokens in a gambling game;

(12) Knowingly uses, other than chips, tokens, coin, of other methods of credit approved by the commission, legal tender of the United States of America, or to use coin not of the denomination as the coin intended to be used in the gambling games;

(13) Has in the person's possession any device intended to be used to violate a provision of sections 313.800 to 313.850;

(14) Has in the person's possession, except a gambling licensee or employee of a gambling licensee acting in furtherance of the employee's employment, any key or device designed for the purpose of opening, entering, or affecting the operation of a gambling game, drop box, or an electronic or mechanical device connected with the gambling game or for removing coins, tokens, chips or other contents of the gambling game; or

(15) Knowingly makes a false statement of any material fact to the commission, its agents or employees.

5. The possession of one or more of the devices described in subdivision (3), (5), (13) or (14) of subsection 4 of this section permits a rebuttable inference that the possessor intended to use the devices for cheating.

6. Except for wagers on gambling games or exchanges for money or a credit instrument as provided in section 313.817, or as payment for food or beverages on the excursion gambling boat, a licensee who exchanges tokens, chips, or other forms of credit to be used on gambling games for anything of value commits a class B misdemeanor.

7. If the commission determines that reasonable grounds to believe that a violation of sections 313.800 to 313.850 has occurred or is occurring which is a criminal offense, the commission shall refer such matter to both the state attorney general and the prosecuting attorney or circuit attorney having jurisdiction. The state attorney general and the prosecuting attorney or circuit attorney with such jurisdiction shall have concurrent jurisdiction to commence actions for violations of sections 313.800 to 313.850 where such violations have occurred.

8. Venue for all crimes committed on an excursion gambling boat shall be the jurisdiction of the home dock city or county or such county where a home dock city is located.

(L. 1991 H.B. 149 § 14 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 14, A.L. 2000 S.B. 902, A.L. 2010 S.B. 984, A.L. 2014 S.B. 491 merged with S.B. 741)

Effective 1-01-17

Forfeitures for illegal activities, enforcement procedures.

313.832. 1. Anything of value, including all traceable proceeds including but not limited to real and personal property, moneys, negotiable instruments, securities, and conveyances, is subject to forfeiture if the item was used for any of the following:

(1) In exchange for a bribe intended to affect the outcome of a gambling game; or

(2) In exchange for or to facilitate a violation of sections 313.800 to 313.840.

2. All moneys, coin, and currency found in close proximity of wagers, or of records of wagers are presumed forfeited. The burden of proof is upon the claimant of the property to rebut this presumption.

3. Subsections 1 and 2 of this section do not apply if the act or omission which would give rise to the forfeiture was committed or omitted without the owner's knowledge or consent.

4. Forfeitures under this section shall be enforced as provided under sections 513.600 to 513.645.

(L. 1991 H.B. 149 § 15 Adopted by Referendum, Proposition A, November 3, 1992)

Gaming commission fund created, purpose, expenditures--disposition ofproceeds of gaming commission fund.

313.835. All revenue received by the commission from license fees, penalties, administrative fees, reimbursement by any excursion gambling boat operators for services provided by the commission and admission fees authorized pursuant to the provisions of sections 313.800 to 313.850, except that portion of the admission fee, not to exceed one cent, that may be appropriated to the compulsive gamblers fund as provided in section 313.820, shall be deposited in the state treasury to the credit of the "Gaming Commission Fund" which is hereby created for the sole purpose of funding the administrative costs of the commission, subject to appropriation. Moneys deposited into this fund shall not be considered proceeds of gambling operations. Moneys deposited into the gaming commission fund shall be considered state funds pursuant to Article IV, Section 15 of the Missouri Constitution. All interest received on the gaming commission fund shall be credited to the gaming commission fund. In each fiscal year, total revenues to the gaming commission fund for the preceding fiscal year shall be compared to total expenditures and transfers from the gaming commission fund for the preceding fiscal year. The remaining net proceeds in the gaming commission fund shall be distributed in the following manner:

(1) The first five hundred thousand dollars shall be appropriated on a per capita basis to cities and counties that match the state portion and have demonstrated a need for funding community neighborhood organization programs for the homeless and to deter gang-related violence and crimes;

(2) The remaining net proceeds in the gaming commission fund for fiscal year 2013 and each fiscal year thereafter shall be distributed as follows:

(a) The first five million dollar portion shall be transferred to the access Missouri financial assistance fund, established pursuant to the provisions of sections 173.1101 to 173.1107, and additional moneys as annually appropriated by the general assembly shall be appropriated to such fund;

(b) The second three million dollar portion shall be transferred to the veterans' commission capital improvement trust fund created in section 42.300;

(c) The third four million dollar portion shall be transferred to the Missouri National Guard trust fund created in section 41.214, and additional moneys as appropriated by the general assembly may be appropriated to such fund, up to one million five hundred thousand dollars annually;

(d) Subject to appropriations, one hundred percent of remaining net proceeds in the gaming commission fund, after the appropriations are made pursuant to the provisions of paragraphs (a), (b), and (c) of this subdivision, shall be transferred to the veterans' commission capital improvement trust fund created in section 42.300.

(L. 1991 H.B. 149 § 16 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 16, A.L. 1994 S.B. 427 merged with S.B. 740, A.L. 1996 H.B. 832, A.L. 1998 H.B. 1519 & 1165, A.L. 2000 S.B. 902, A.L. 2001 H.B. 207, A.L. 2003 H.B. 444 merged with S.B. 219, A.L. 2007 H.B. 654 & 938 merged with S.B. 389, A.L. 2010 H.B. 1893 merged with H.B. 1965, A.L. 2012 H.B. 1731)

Effective 5-30-12

CROSS REFERENCES:

Nonseverability clause, 313.836

Revenue received by the gaming commission from license fees, penalties and administrative fees pursuant to bingo statutes to be deposited in the gaming commission fund, 313.008

Nonseverability clause--veteran's commission capital improvement trustfund and early childhood education funding.

313.836. Notwithstanding the provisions of section 1.140 to the contrary, the provisions of this act* shall be nonseverable, and if any provision is for any reason held to be invalid, such decision shall invalidate all of the remaining provisions of this act*.

(L. 2012 H.B. 1731 § 1)

Effective 5-30-12

*"This act" (H.B. 1731, 2012) contained numerous sections. Consult Disposition of Sections table for a definitive listing.

Report to general assembly, when, contents.

313.837. The commission shall report to the general assembly every October first, the number of excursion gambling boat licenses which the commission has issued, the status of the competitiveness of Missouri excursion gambling boats when compared to the gaming tax rate of adjoining states and the effects of loss of limits imposed by subdivision (3) of section 313.805 on the competitiveness of the gaming industry in Missouri. The report shall contain any recommendations for changes in the adjusted gross receipts tax rate as provided in section 313.822, an account of the commission's actions, its financial position and results of operation and any recommendations for legislation which the commission deems advisable.

(L. 1991 H.B. 149 § 17 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 17, A.L. 2000 S.B. 902)

Liquor licenses on boats and premises, commission toauthorize--microbrewer's license issued, when--judicial review ofall commission decisions, appeal.

313.840. 1. The conduct of or playing of any games on any licensed excursion gambling boat does not constitute gambling or gambling activities and the power of the division of liquor control to prohibit the licensing of any premises on which gambling or gambling activities are conducted or played, or to prohibit the consumption or sale of beer or alcoholic beverage on any premises, shall not apply where the premises is duly licensed by the commission. Notwithstanding the provisions of chapter 311, the commission shall be the sole liquor licensing authority for liquor service aboard any excursion gambling boat and any facility neighboring an excursion gambling boat which is owned and operated by an excursion gambling boat licensee. The division of liquor control may issue a microbrewer's license pursuant to section 311.195 for manufacturing on the premises of such boat or neighboring facility. The commission shall establish rules and regulations for the service of liquor on any premises licensed for the service of liquor by the commission, except that no rule or regulation adopted by the commission shall allow any person under the age of twenty-one to consume alcoholic beverages on any premises licensed for the service of liquor by the commission. All criminal provisions of chapter 311 shall be applicable to liquor service aboard any premises licensed for the service of liquor by the commission.

2. Judicial review of all commission decisions relating to excursion gambling boat operations shall be directly to the state court of appeals for the western district of Missouri and shall not be subject to the provisions of chapter 621.

(L. 1991 H.B. 149 § 19 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 19, A.L. 1994 S.B. 651, A.L. 2001 S.B. 556, A.L. 2009 H.B. 132)

Compulsive gamblers fund, created, purpose--programs may beestablished--department of mental health to administer--fundnot to lapse into general revenue.

313.842. There may be established programs which shall provide treatment, prevention and education services for compulsive gambling. As used in this section, "compulsive gambling" means a condition suffered by a person who is chronically and progressively preoccupied with gambling and the urge to gamble. Subject to appropriation, such programs shall be funded from the one-cent admission fee authorized pursuant to section 313.820, and in addition, may be funded from the taxes collected and distributed to any city or county under section 313.822. Such moneys shall be submitted to the state and credited to the "Compulsive Gamblers Fund", which is hereby established within the department of mental health. Notwithstanding the provisions of section 33.080 to the contrary, moneys in the fund at the end of any biennium shall not be transferred to the credit of the general revenue fund. The department of mental health shall administer programs, either directly or by contract, for compulsive gamblers. The commission may administer programs to educate the public about problem gambling and promote treatment programs offered by the department of mental health. In addition, the commission shall administer the voluntary exclusion program for problem gamblers authorized by section 313.833.

(L. 1991 H.B. 149 § 20 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1996 H.B. 1081 merged with H.B. 1159, A.L. 2000 S.B. 902)

Excursion gambling boat may offer child-care services,restrictions--licensure, space, times and days.

313.843. Any excursion gambling boat, as defined in section 313.800, may offer child-care services for its employees if licensed by the department of health and senior services pursuant to sections 210.201 to 210.259. Child-care services may only be offered for children of excursion gambling boat patrons if such child-care services:

(1) Are licensed by the department of health and senior services pursuant to sections 210.201 to 210.259;

(2) The area where such child-care services are offered is a minimum of eight thousand square feet; and

(3) Are not offered after eleven o'clock p.m. on days which immediately precede days which public elementary and secondary schools in the county in which the licensee is located are scheduled to be in session, and are not offered after one o'clock a.m. on other days.

(L. 2000 S.B. 902)

Rules, procedure.

313.845. No rule or portion of a rule promulgated under the authority of sections 313.800 to 313.850 shall become effective unless it has been promulgated pursuant to the provisions of section 536.024.

(L. 1991 H.B. 149 § 21 Adopted by Referendum, Proposition A, November 3, 1992, A.L. 1993 S.B. 10 & 11 § 21, A.L. 1994 S.B. 740, A.L. 1995 S.B. 3)

Public information on licensees, commission to provide on request,exceptions, limitations--costs.

313.847. 1. Notwithstanding any applicable statutory provision to the contrary, all investigatory, proprietary or application records, information and summaries in the possession of the commission or its agents may be treated by the commission as closed records not to be disclosed to the public; except that the commission shall, on written request from any person, provide such person with the following information furnished by an applicant or licensee:

(1) The name, business address and business telephone number of any applicant or licensee;

(2) An identification of any applicant or licensee, including, if an applicant or licensee is not an individual, the state of incorporation or registration, the corporate officers, and the identity of all shareholders or participants. If an applicant or licensee has a pending registration statement filed with the Securities and Exchange Commission, the names of those persons or entities holding interest must be provided;

(3) An identification of any business, including, if applicable, the state of incorporation or registration in which an applicant or licensee or an applicant's or licensee's spouse or children have an equity interest. If an applicant or licensee is a corporation, partnership or other business entity, the applicant or licensee shall identify any other corporation, partnership or business entity in which it has an equity interest, including, if applicable, the state of incorporation or registration. This information need not be provided by a corporation, partnership or other business entity that has a pending registration statement filed with the Federal Securities and Exchange Commission;

(4) Whether an applicant or licensee has been indicted, convicted, pleaded guilty or nolo contendere, or forfeited bail concerning any criminal offense under the laws of any jurisdiction, either felony or misdemeanor, except for traffic violations, including the date, the name and location of the court, arresting agency and prosecuting agency, the case number, the offense, the disposition and the location and length of incarceration;

(5) Whether an applicant or licensee has had any license or certificate issued by a licensing authority in this state or any jurisdiction denied, restricted, suspended, revoked or not renewed and a statement describing the facts and circumstances concerning the denial, restriction, suspension, revocation or nonrenewal, including the licensing authority, the date each such action was taken, and the reason for each such action;

(6) Whether an applicant or licensee has ever filed or had filed against it a proceeding in bankruptcy or has ever been involved in any formal process to adjust, defer, suspend or otherwise work out the payment of any debt, including the date of filing, the name and location of the court, the case and number of the disposition;

(7) Whether an applicant or licensee has filed, or been served with a complaint or other notice filed with any public body, regarding the delinquency in the payment of, or a dispute over the filings concerning the payment of, any tax required under federal, state or local law, including the amount, type of tax, the taxing agency and time periods involved;

(8) A statement listing the names and titles of all public officials or officers of any unit of government, and relatives of such public officials or officers who, directly or indirectly, own any financial interest in, have any beneficial interest in, are the creditors of or hold any debt instrument issued by, or hold or have any interest in any contractual or service relationship with, an applicant or licensee;

(9) Whether an applicant or licensee has made, directly or indirectly, any political contribution, or any loans, donations or other payments of one hundred dollars or more, to any candidate or office holder, within five years from the date of filing the application, including the amount and the method of payment;

(10) The name and business telephone number of the counsel representing an applicant or licensee in matters before the commission;

(11) A description of any proposed or approved riverboat gaming operation, including the type of boat, home dock location, expected economic benefit to the community, anticipated or actual number of employees, any statement from an applicant or licensee regarding compliance with federal and state affirmative action guidelines, projected or actual admissions and projected or actual adjusted gross gaming receipts; and

(12) A description of the product or service to be supplied by an applicant for a supplier's license.

2. Notwithstanding any applicable statutory provision to the contrary, the commission shall, on written request from any person, also provide the following information:

(1) The amount of the adjusted gross receipts tax and admission tax paid daily to the state by the holder of an excursion gambling boat license;

(2) Whenever the commission finds an applicant for an excursion gambling boat license unsuitable for licensing, a copy of the written letter outlining the reasons for the denial; and

(3) Whenever the commission has refused to grant leave for an applicant to withdraw his application, a copy of the letter outlining the reasons for the refusal.

3. Subject to the provisions of subsections 1 and 2 of this section, the commission shall not disclose any information which would be barred by:

(1) Chapter 610; or

(2) The statutes, rules, regulations or intergovernmental agreements of any jurisdiction.

4. The commission may assess fees for the copying of information in accordance with chapter 610.

(L. 1993 S.B. 10 & 11 § 22, A.L. 1994 S.B. 740)

Effective 5-20-94

Regulation of excursion gambling boats exempt from certain provisionsof administrative procedures law.

313.848. The proceedings and activities under sections 313.800 to 313.850 are exempt from the provisions of sections 536.063 to 536.077, and the commission shall not be required to use procedures prescribed by sections 536.063 to 536.077 with respect to its administration of sections 313.800 to 313.850.

(L. 1994 S.B. 427)

Effective 6-28-94

Severability clause.

313.850. The provisions of sections 313.800 to 313.850 are severable. If any provision of sections 313.800 to 313.850 is found by a court of competent jurisdiction to be unconstitutional, the remaining provisions are valid except to the extent that the court finds that the valid provisions, standing alone, are incomplete and are incapable of being executed in accordance with the legislative intent. The provisions of this section shall be operative notwithstanding the provisions of section 1.140 to the contrary.

(L. 1993 S.B. 10 & 11 § 23)

Effective 4-29-93

Citation of law.

313.900. Sections 313.900 to 313.955 shall be known and may be cited as the "Missouri Fantasy Sports Consumer Protection Act".

(L. 2016 H.B. 1941)

Definitions.

313.905. As used in sections 313.900 to 313.955, the following terms shall mean:

(1) "Authorized internet website", an internet website or any platform operated by a licensed operator;

(2) "Commission", the Missouri gaming commission;

(3) "Entry fee", anything of value including, but not limited to, cash or a cash equivalent that a fantasy sports contest operator collects in order to participate in a fantasy sports contest;

(4) "Fantasy sports contest", any fantasy or simulated game or contest with an entry fee, conducted on an internet website or any platform, in which:

(a) The value of all prizes and awards offered to the winning participants is established and made known in advance of the contest;

(b) All winning outcomes reflect in part the relative knowledge and skill of the participants and are determined predominantly by the accumulated statistical results of the performance of individuals, including athletes in the case of sports events; and

(c) No winnings outcomes are based on the score, point spread, or any performance of any single actual team or combination of teams or solely on any single performance of an individual athlete or player in any single actual event;

(5) "Fantasy sports contest operator", any person or entity that offers fantasy sports contests for a prize;

(6) "Highly experienced player", a person who has either:

(a) Entered more than one thousand contests offered by a single fantasy sports contest operator; or

(b) Won more than three fantasy sports prizes of one thousand dollars or more;

(7) "Licensed operator", a fantasy sports contest operator licensed pursuant to section 313.910 to offer fantasy sports contests for play on an authorized internet website in Missouri;

(8) "Minor", any person less than eighteen years of age;

(9) "Net revenue", for all fantasy sports contests, the amount equal to the total entry fees collected from all participants entering such fantasy sports contests less winnings paid to participants in the contests, multiplied by the resident percentage;

(10) "Player", a person who participates in a fantasy sports contest offered by a fantasy sports contest operator;

(11) "Prize", anything of value including, but not limited to, cash or a cash equivalent, contest credits, merchandise, or admission to another contest in which a prize may be awarded;

(12) "Registered player", a person registered pursuant to section 313.920 to participate in a fantasy sports contest on an authorized internet website;

(13) "Resident percentage", for all fantasy sports contests, the percentage, rounded to nearest one-tenth of one percent, of the total entry fees collected from Missouri residents divided by the total entry fees collected from all players, regardless of the players' location, of the fantasy sports contests; and

(14) "Script", a list of commands that a fantasy-sports-related computer program can execute to automate processes on a fantasy sports contest platform.

(L. 2016 H.B. 1941 § 313.910)

Fantasy sports contests not gambling--license required,procedure--contests on excursion gambling boats permitted.

313.910. 1. A fantasy sports contest conducted under this chapter is exempt from chapter 572, and does not constitute gambling for any purpose.

2. A fantasy sports contest operator shall apply for and receive a license from the commission prior to offering fantasy sports contests for play in Missouri.

3. The commission shall provide forms, to be completed by applicants and made available on the commission's website, on which the applicant shall demonstrate experience, reputation, competence, and financial responsibility consistent with the best interest of the Missouri fantasy sports industry and in compliance with the laws of the state.

4. The commission may, in its sole discretion, refuse to license any applicant or revoke or suspend the license of any applicant or licensee if the applicant or licensee, or an employee of the applicant or licensee:

(1) Has knowingly made a false statement of material fact or has deliberately failed to disclose any information requested;

(2) Is or has pled guilty or been convicted of any illegal, corrupt, or fraudulent act, practice, or conduct in connection with any fantasy sports contest in this or any other state or has pled guilty or been convicted of a felony, a crime of moral turpitude, or any criminal offense involving dishonesty or breach of trust within the ten years prior to the date of application for registration;

(3) Has at any time knowingly failed to comply with the provisions of this chapter or of any requirements of the commission;

(4) Has had a registration or permit to hold or conduct fantasy sports contests denied for just cause, suspended, or revoked in any other state or country;

(5) Has legally defaulted in the payment of any obligation or debt owed to the state of Missouri; or

(6) Is not qualified to do business in the state of Missouri or is not subject to the jurisdiction of the courts of the state of Missouri.

5. Fantasy sports contests, as defined in section 313.905, are authorized and may be conducted on an excursion gambling boat or adjacent property to the excursion gambling boat operated by entities licensed under this section and section 313.807. A person under twenty-one years of age shall not participate in fantasy sports contests on an excursion gambling boat.

(L. 2016 H.B. 1941 § 313.920)

Licensed operator to be identified on authorized website--operatorrequirements.

313.915. 1. In order to ensure the protection of registered players, an authorized internet website shall identify the person or entity that is the licensed operator.

2. A licensed operator shall ensure that fantasy sports contests on its authorized internet website comply with all of the following:

(1) All winning outcomes are determined by accumulated statistical results of fully completed contests or events, and not merely any portion thereof, except that fantasy participants may be credited for statistical results accumulated in a suspended or shortened contest or event which has been called on account of weather or other natural or unforeseen event;

(2) A licensed operator shall not allow registered players to select athletes through an autodraft that does not involve any input or control by a registered player, or to choose preselected teams of athletes;

(3) A licensed operator shall not offer or award a prize to the winner of, or athletes in, the underlying competition itself; and

(4) A licensed operator shall not offer fantasy sports contests based on the performances of participants in collegiate, high school, or youth athletics.

3. A licensed operator shall have procedures approved by the commission before operating in Missouri that:

(1) Prevents unauthorized withdrawals from a registered player's account by the licensed operator or others;

(2) Makes clear that funds in a registered player's account are not the property of the licensed operator and are not available to the licensed operator's creditors;

(3) Segregate player funds from operational funds;

(4) Maintain a reserve in the form of cash or cash equivalents in the amount of the deposits made to the accounts of fantasy sports contest players for the benefit and protection of the funds held in such accounts;

(5) Ensures any prize won by a registered player from participating in a fantasy sports contest is deposited into the registered player's account within forty-eight hours of winning the prize;

(6) Ensures registered players can withdraw the funds maintained in their individual accounts, whether such accounts are open or closed, within five business days of the request being made, unless the licensed operator believes in good faith that the registered player engaged in either fraudulent conduct or other conduct that would put the licensed operator in violation of sections 313.900 to 313.955, in which case the licensed operator may decline to honor the request for withdrawal for a reasonable investigatory period until its investigation is resolved if it provides notice of the nature of the investigation to the registered player. For the purposes of this provision, a request for withdrawal will be considered honored if it is processed by the licensed operator but delayed by a payment processor, credit card issuer or by the custodian of a financial account;

(7) Allows a registered player to permanently close their account at any time for any reason; and

(8) Offers registered players access to their play history and account details.

4. A licensed operator shall establish procedures for a registered player to report complaints to the licensed operator regarding whether his or her account has been misallocated, compromised, or otherwise mishandled, and a procedure for the licensed operator to respond to those complaints.

5. A registered player who believes his or her account has been misallocated, compromised, or otherwise mishandled should notify the commission. Upon notification, the commission may investigate the claim and may take any action the commission deems appropriate under subdivision (4) of section 313.950.

6. A licensed operator shall not issue credit to a registered player.

7. A licensed operator shall not allow a registered player to establish more than one account or user name on its authorized internet website.

(L. 2016 H.B. 1941 § 313.930)

Participant registration with licensed operator required--securitystandards--online self-exclusion form--certain advertisingprohibited--parental control procedures--use of scripts,monitoring--highly experienced players identified by symbol.

313.920. 1. A person shall register with a licensed operator prior to participating in fantasy sports contests on an authorized internet website.

2. A licensed operator shall implement appropriate security standards to prevent access to fantasy sports contests by a person whose location and age have not been verified in accordance with this section.

3. A licensed operator shall ensure that all individuals register before participating in a fantasy sports contest on an authorized internet website and provide their age and state of residence.

4. A licensed operator shall ensure that an individual is of legal age before participating in fantasy sports contest on an authorized internet website. In Missouri, the legal age to participate shall be eighteen years of age.

5. (1) The licensed operator shall develop an online self-exclusion form and a process to exclude from play any person who has filled out the form.

(2) A licensed operator shall retain each online self-exclusion form submitted to it in order to identify persons who want to be excluded from play. A licensed operator shall exclude those persons.

(3) A licensed operator shall provide a link on its authorized internet website to a compulsive behavior website and the online self-exclusion form described in subdivision (1) of this subsection.

6. A licensed operator shall not advertise fantasy sports contests in publications or other media that are aimed exclusively or primarily at persons less than eighteen years of age. A licensed operator's advertisement shall not depict persons under eighteen years of age, students, or settings involving a school or college. However, incidental depiction of nonfeatured minors shall not be a violation of this subsection.

7. A licensed operator shall not advertise fantasy sports contests to an individual by phone, email, or any other form of individually targeted advertisement or marketing material if the individual has self-excluded himself or herself pursuant to this section or if the individual is otherwise barred from participating in fantasy sports contests. A licensed operator shall also take reasonable steps to ensure that individuals on the involuntary exclusion list or disassociated persons list maintained by the commission are not subject to any form of individually targeted advertising or marketing.

8. A licensed operator shall not misrepresent the frequency or extent of winning in any fantasy sports contest advertisement.

9. A licensed operator shall clearly and conspicuously publish and facilitate parental control procedures to allow parents or guardians to exclude minors from access to any fantasy sports contest. Licensed operators shall take commercially reasonable steps to confirm that an individual opening an account is not a minor.

10. Licensed operators shall prohibit the use of scripts in fantasy sports contests that give players an unfair advantage over other players.

11. Licensed operators shall monitor fantasy sports contests to detect the use of unauthorized scripts and restrict players found to have used such scripts from further fantasy sports contests.

12. Licensed operators shall make all authorized scripts readily available to all fantasy sports players; provided, that a licensed operator shall clearly and conspicuously publish its rules on what types of scripts may be authorized in the fantasy sports contest.

13. Licensed operators shall clearly and conspicuously identify highly experienced players in fantasy sports contests by a symbol attached to a player's username, or by other easily visible means, on the licensed operator's authorized internet website.

14. Licensed operators shall offer some fantasy sports contests open only to beginner players and that exclude highly experienced players.

(L. 2016 H.B. 1941 § 313.940)

Participation prohibited for certain persons--confidentiality ofproprietary information.

313.925. 1. This section applies to all of the following persons:

(1) An officer of a licensed operator;

(2) A director of a licensed operator;

(3) A principal of a licensed operator;

(4) An employee of a licensed operator; and

(5) A contractor of a licensed operator with proprietary or nonpublic information.

2. A person listed in subsection 1 of this section shall not play any fantasy sports contest outside of private fantasy sports contests offered by the licensed operator exclusively for those listed.

3. A person listed in subsection 1 of this section shall not disclose proprietary or nonpublic information that may affect the play of fantasy sports contests to any individual authorized to play fantasy sports contests.

4. A licensed operator shall make the prohibitions in this section known to all affected individuals and corporate entities.

(L. 2016 H.B. 1941 § 313.950)

Compliance with all federal, state, and local laws and regulations.

313.930. Each licensed operator shall comply with all applicable federal, state, and* local laws and regulations, including without limitation laws and regulations applicable to tax withholdings and laws and regulations applicable to providing information about winnings and the withholding to taxing authorities.

(L. 2016 H.B. 1941 § 313.960)

*Word "and" does not appear in original rolls.

License required--application, fee--investigation permitted--operationfee--grandfather provision--fee upon cessation.

313.935. 1. No fantasy sports contest operator shall offer any fantasy sports contest in Missouri without first being licensed by the commission. A fantasy sports contest operator wishing to offer fantasy sports contests in this state shall annually apply to the commission for a license and shall remit to the commission an annual application fee of ten thousand dollars or ten percent of the applicant's net revenue from the previous calendar year, whichever is lower.

2. As part of the commission's investigation and licensing process, the commission may conduct an investigation of the fantasy sports contest operator's employees, officers, directors, trustees, and principal salaried executive staff officers. The applicant shall be responsible for the total cost of the investigation. If the cost of the investigation exceeds the application fee, the applicant shall remit to the commission the total cost of the investigation prior to any license being issued. The total cost of the investigation, paid by the applicant, shall not exceed fifty thousand dollars. All revenue received under this section shall be placed into the gaming commission fund created under section 313.835.

3. In addition to the application fee, a licensed operator shall also pay an annual operation fee, on April fifteenth of each year, in a sum equal to eleven and one-half percent of the licensed operator's net revenue from the previous calendar year. All revenue collected under this subsection shall be placed in the gaming proceeds for education fund created under section 313.822. If a licensed operator fails to pay the annual operation fee by April fifteenth, the licensed operator shall have its license immediately suspended by the commission until such payment is made.

4. Any fantasy sports contest operator already operating in the state prior to April 1, 2016, may operate until they have received or have been denied a license. Such fantasy sports contest operators shall apply for a license prior to October 1, 2016. Any fantasy sports contest operator operating under this subsection after August 28, 2016, shall pay the annual operation fee of eleven and one-half percent of its net revenue from August 28, 2016, until action is taken on its application. If a fantasy sports contest operator fails to pay its operation fee by April 15, 2017, the fantasy sports contest operator shall have its license immediately suspended by the commission, or if the fantasy sports contest operator has a pending application, its application shall be denied immediately.

5. If a fantasy sports contest operator ceases to offer fantasy sports contests in Missouri, the operator shall pay an operation fee equal to eleven and one-half percent of its net revenue for the period of the calendar year in which it offered fantasy sports contests in Missouri. Such payment shall be made within sixty days of the last day the fantasy sports contest operator offered fantasy sports contests in Missouri. After the expiration of sixty days, a penalty of five hundred dollars per day shall be assessed against the fantasy sports contest operator until the operation fee and any penalty is paid in full.

(L. 2016 H.B. 1941 § 313.970)

Annual financial audit required, operator to pay cost of audit.

313.940. A licensed operator shall contract annually with a certified public accountant to perform a financial audit of the licensed operator and the authorized internet website to ensure compliance with sections 313.900 to 313.955 and any rule governing sections 313.900 to 313.955. The licensed operator shall pay for the audit and submit, by March first of each year, the results of the audit to the commission.

(L. 2016 H.B. 1941 § 313.990)

Confidentiality of records, exceptions.

313.945. 1. Notwithstanding any applicable statutory provision to the contrary, all investigatory, proprietary, or application records, information, and summaries in the possession of the commission or its agents may be treated by the commission as closed records not to be disclosed to the public; except that the commission shall, on written request from any person, provide such person with the following information furnished by an applicant or licensee:

(1) The name, business address, and business telephone number of any applicant or licensee;

(2) An identification of any applicant or licensee, including, if an applicant or licensee is not an individual, the state of incorporation or registration, the corporate officers, and the identity of all shareholders or participants. If an applicant or licensee has a pending registration statement filed with the federal Securities and Exchange Division, the names of those persons or entities holding interest shall be provided;

(3) An identification of any business, including, if applicable, the state of incorporation or registration in which an applicant or licensee or an applicant's or licensee's spouse or children have an equity interest. If an applicant or licensee is a corporation, partnership, or other business entity, the applicant or licensee shall identify any other corporation, partnership, or business entity in which it has an equity interest, including, if applicable, the state of incorporation or registration. This information need not be provided by a corporation, partnership, or other business entity that has a pending registration statement filed with the federal Securities and Exchange Division;

(4) Whether an applicant or licensee has been indicted, convicted, pleaded guilty or nolo contendere, or forfeited bail concerning any criminal offense under the laws of any jurisdiction, either felony or misdemeanor, except for traffic violations, including the date, the name and location of the court, arresting agency and prosecuting agency, the case number, the offense, the disposition, and the location and length of incarceration;

(5) Whether an applicant or licensee has had any license or certificate issued by a licensing authority in this state or any jurisdiction denied, restricted, suspended, revoked, or not renewed and a statement describing the facts and circumstances concerning the denial, restriction, suspension, revocation, or nonrenewal, including the licensing authority, the date each such action was taken, and the reason for each such action;

(6) Whether an applicant or licensee has ever filed or had filed against it a proceeding in bankruptcy or has ever been involved in any formal process to adjust, defer, suspend, or otherwise work out the payment of any debt, including the date of filing, the name and location of the court, and the case and number of the disposition;

(7) Whether an applicant or licensee has filed or been served with a complaint or other notice filed with any public body regarding the delinquency in the payment of, or a dispute over, the filings concerning the payment of any tax required under federal, state, or local law, including the amount, type of tax, the taxing agency, and time periods involved;

(8) A statement listing the names and titles of all public officials or officers of any unit of government, and relatives of such public officials or officers who, directly or indirectly, own any financial interest in, have any beneficial interest in, are the creditors of or hold any debt instrument issued by, or hold or have any interest in any contractual or service relationship with, an applicant or licensee;

(9) The name and business telephone number of the attorney representing an applicant or licensee in matters before the commission.

2. Notwithstanding any applicable statutory provision to the contrary, the commission shall, on written request from any person, also provide the following information:

(1) The amount of the tax receipts paid to the state by the holder of a license;

(2) Whenever the commission finds an applicant for a license unsuitable for licensing, a copy of the written letter outlining the reasons for the denial; and

(3) Whenever the commission has refused to grant leave for an applicant to withdraw his application, a copy of the letter outlining the reasons for the refusal.

(L. 2016 H.B. 1941 § 313.1000)

Commission to supervise operators, licensees, and websites--powers andduties.

313.950. The commission shall have full jurisdiction over and shall supervise all licensed operators, other licensees, and authorized internet websites governed by sections 313.900 to 313.955. The commission shall have the following powers to implement sections 313.900 to 313.955:

(1) To investigate applicants;

(2) To license fantasy sports contest operators and adopt standards for licensing;

(3) To investigate alleged violations of sections 313.900 to 313.955 or the commission's rules, orders, or final decisions;

(4) To assess an appropriate administrative penalty of not more than ten thousand dollars per violation, not to exceed one hundred thousand dollars for violations arising out of the same transaction or occurrence, and take action including, but not limited to, the suspension or revocation of a license for violations of sections 313.900 to 313.955 or the commission's rules, orders, or final decisions;

(5) To issue subpoenas for the attendance of witnesses and subpoenas duces tecum for the production of books, records, and other pertinent documents, and to administer oaths and affirmations to the witnesses, when, in the judgment of the commission, it is necessary to enforce sections 313.900 to 313.955 or the commission rules;

(6) To take any other action as may be reasonable or appropriate to enforce sections 313.900 to 313.955 and the commission rules.

(L. 2016 H.B. 1941 § 313.1010)

Rulemaking authority.

313.955. 1. The commission shall have power to adopt and enforce rules and regulations:

(1) To regulate and license the management, operation, and conduct of fantasy sports contests and participants therein;

(2) To adopt responsible play protections for registered players; and

(3) To properly administer and enforce the provisions of sections 313.900 to 313.955.

2. The commission shall not adopt rules or regulations limiting or regulating the rules or administration of an individual fantasy sports contest, the statistical makeup of a fantasy sports contest, or the digital platform of a fantasy sports contest operator.

3. No rule or portion of a rule promulgated under the authority of sections 313.900 to 313.955 shall become effective unless it has been promulgated pursuant to the provisions of section 536.024.

(L. 2016 H.B. 1941 § 313.1020)


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