Gambling suppliers-licensing.

WORKING DRAFT
2009
STATE OF
WYOMING
09LSO-0302

HOUSE BILL
NO.
HB0209

Gambling suppliers-licensing.

Sponsored by:
Representative(s)
Edmonds

A BILL

for

AN ACT relating to
gambling; providing for licensure of manufacturers and distributors of supplies for
bingo and pull tab
games
;
providing for enforcement of
gambling provisions by the department of revenue; granting rulemaking authority; providing for fees; providing for inspection of records of manufacturers, suppliers and organizations operating
bingo and pull tab
games; imposing penalties;
and providing for an effective date.

Be It Enacted by the Legislature of the State of
Wyoming
:

Section 1.

W.S. 6
‑
7
‑
201 through 6
‑
7
‑
2
07
are created to read:

ARTICLE 2
LICENSING
AND ENFORCEMENT

6
‑
7
‑
201.

Department of
r
evenue; duties; authority to issue subpoenas; refusal to comply.

(a)

The department of revenue shall:

(i)

Investigate the qualifications of applicants
for
licenses
as
manufacturers and distributors of equipment, devices and supplies for use in
bingo games and pull tab games
authorized under this chapter and review the merits of applications;

(ii)

Regulate and license manufacturers and distributors of equipment, devices and supplies for use in
bingo games and pull tab games
authorized under this chapter;

(iii)

Monitor the conduct or business of licensees under this
article
and organizations operating
bingo games and pull tab games
to the extent necessary to ensure compliance with this chapter and department rules and regulations;

(iv)

Enforce this chapter and department rules and regulations and assist local law enforcement in enforcing this chapter;

(v)

Promulgate rules and regulations necessary to carry out the provisions and responsibilities imposed by this chapter, including the establishment of application or renewal fees. Any funds collected by the department under this
article
shall be deposited in the general fund;

(vi)

Conduct necessary examinations, inspections and investigations for the enforcement of this chapter, applicable state law and
department
rules and regulations;

(vii)

Require that license applicants be fingerprinted for identification purposes as a condition of licensing
.

(b)

In any examination, inspection or investigation conducted pursuant to this chapter, the
department
may by subpoena require papers, records, files, correspondence, documents and other evidence relevant to the inquiry.

(c)

Upon refusal of any person to comply with any subpoena and upon application by the
department
, the district court of the county in which the examination, inspection or investigation is conducted or in which the person resides or may be found, may issue an order requiring the person to comply with the subpoena and produce evidence.

(d) As used in this
article
, "department" means the department of revenue.

6
‑
7
‑
20
2
.

Investigation and review of applications for licensure; determination; effect; conditions; investigation costs; appeal.

(a)

The
department
shall upon receipt of any application for any
manufacturer
or
distributor
license
under this
article
, investigate the qualifications of the applicant and the merits of the application including requiring fingerprints from
the applicant
.

(b)

Within a reasonable period of time not to exceed one hundred twenty (120) days following receipt of any application for a new license or within thirty (30) days following receipt of any applica
­
tion for license renewal, the
department
shall approv
e
or den
y
the application for licensure under this
article
together with its findings.

(c)

The
department
shall not approve any application if based upon the investigation conducted under
subsection
(a) of this section, it determines the prior activity or criminal record of the applicant:

(i)

Poses a threat to the public interest of the state or the effective regulation and control of authorized
bingo or pull tab games
; or

(ii)

Creates a danger of unlawful practices, methods or activities in the conduct of authorized
bingo or pull tab games
or in the conduct of business and financial arrangements incidental to
bingo or pull tab games
.

(d)

The cost of any necessary background investigation of any applicant under this section shall be pa
id by the applicant. The department
shall by rule and regulation establish the conditions and procedures for payment and may require payment in advance.

(e)

Any determination by the
department
under this
article
is subject to appeal in accordance with the Wyoming Administrative Procedure Act.

6
‑
7
‑
20
3
.

Inspections and examinations; audits; failure to permit entry; concurrent authority.

(a)

In enforcing this chapter, the
department
through its employees or agents may:

(i)

Enter and inspect at any time the premises upon which
bingo or pull tab games
are conducted or from which supplies, devices and equipment for
bingo or pull tab games
are manufactured, maintained or supplied;

(ii)

Examine the records, books of account and equipment, supplies or devices of any license applicant or licensee
or any organization operating
bingo or pull tab games
, as necessary to conduct examinations, inspec
­
tions and investigations under this
article
;

(iii)

Seize, remove and impound from the premises of any licensee
or organization operating
bingo or pull tab games
, equipment, supplies and devices for the purpose of examination and inspection;

(iv)

When warranted, conduct detailed investiga
­
tions and through the department of audit, conduct detailed audits
of licensees and organization
s
operating
bingo or pull tab games
.

(b)

Upon request of the
department
, the department of audit shall conduct an audit of any license applicant or licensee
or any organization operating
bingo or pull tab games
as necessary to assist the
department
in enforcing this chapter.

(c)

Entry for purposes of inspection is authorized only during open business hours unless it is in the presence of the licensee
or organization operating
bingo or pull tab games
or
a
duly authorized representative of the licensee
or organization operating
bingo or pull tab games
, or unless the officer making entry does so under court order, under search warrant issued by a court of competent jurisdiction or has probable cause to believe that evidence of any violation of this chapter is within the place to be entered. Refusal to permit the entry of an agent of the
department
to the licensed premises or place of business for the purpose of inspection in accordance with this section is grounds for immediate license suspension.
Refusal to permit the entry of an agent of the department to the premises or place of business of an organization operating
bingo or pull tab games
for the purpose of inspection in accord
a
nce with this
section shall result in opening of a criminal investigation.

(d)

The
department
shall have concurrent authority and powers with the district attorneys in this state in the investigation of any criminal violation under this chapter. Upon refusal of any district attorney to act on any criminal violation of this chapter, the
department
may request the attorney general
to
act on behalf of the county, state or any agency thereof.

6
‑
7
‑
20
4
.

A
pplication for licenses and license
renewals; contents; submission to
department
; notification of change in application information; penalty.

(
a
)

To
manufacture or distribute
equipment, devices or
supplies for
any authorized
bingo or pull tab games
, an applicant for any license or license renewal under this
article
shall file written application with the
department
. The application shall be made under oath upon a form prepared by the
department
.

(
b
)

An applicant shall during pendency of the application, immediately notify the
department
of any change in the information stated in the application. If any substantial change occurs after license issuance or renewal, the change shall be reported to the
department
within ten (10) days after the date of the change. Failure to report any change in the information stated in the initial application or any substantial change after issuance or renewal of a license shall be grounds for denial of an application or revocation of an existing license.

(
c
)

Any person knowingly submitting an application containing false information in violation of this
article
is guilty of a felony punishable by a fine of not more than ten thousand dollars ($10,000.00), imprisonment for not more than three (3) years, or both.

6
‑
7
‑
2
05
.

Disposition of license fees
; terms of licenses
.

(a)

Fees authorized by this
article
shall be established by the
department
in amounts sufficient to ensure that the total revenue generated by the collection of such fees approximates the direct and indirect costs incurred by the
department
in carrying out its duties under this
article
. The amounts of all fees shall be reviewed annually by the
department
.

(
b
)

Any license issued or renewed under this
article
is considered a privilege to the holder and the term of the license is for
one
(
1
) year unless sooner revoked.

6
‑
7
‑
2
06
.

Transfer of license location or ownership prohibited; ownership transfer specified.

(a)

No license issued under this
article
shall be
transferred or sold.

(b)

A transfer or sale of a cumulative fifty percent (50%) or more of the ownership of a license is a transfer or sale for purposes of this section.

6
‑
7
‑
2
07
.

Suspension and revocation
; penalties
.

(a)

The department
may suspend or revoke any license issued under this chapter for any violation of this chapter or rule or regulation of the
department
.

Suspension or revocation by the
department
is subject to appeal in accordance with the Wyoming Administrative Procedure Act.

(
b
)

Any person violating any provision of this chapter for which no specific penalty is provided is guilty of a felony punishable by a fine of not more than one thousand dollars ($1,000.00), imprisonment for not more than five (5) years, or both. Each violation is a separate offense.

Section 2.

W.S. 7
‑
19
‑
201(a) by creating a new paragraph (xiii)
and
39
‑
11
‑
102(c)(xxiii) and by creating a new paragraph (xxv) are amended to read:

7
‑
19
‑
201.

State or national criminal history record information.

(a)

The following persons shall be required to submit to fingerprinting in order to obtain state and national criminal history record information:

(xii
i)

Persons applying to the
department of revenue
for a license to
manufacture or distribute supplies for

bingo or pull tab games
under W.S. 6
‑
7
‑
201 through 6
‑
7
‑
2
07
.

39
‑
11
‑
102.

Administration; confidentiality; department of revenue.

(c)

In addition to the other powers and duties imposed by law, the department shall:

(xxiii)

Review boundaries for proposed special districts pursuant to W.S. 22
‑
29
‑
109(a);

and

(xxv)

Enforce the provisions of W.S. 6
‑
7
‑
101 through 6
‑
7
‑
207.

Section
3
.

This act is effective July 1, 2009.

(END)

1
HB0209