By Sibley S.B. No. 1701
75R8615 MWV-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the regulation of gambling and gambling devices.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Chapter 47, Penal Code, is amended to read as
1-5 follows:
1-6 CHAPTER 47. GAMBLING
1-7 Sec. 47.01. Definitions. In this chapter:
1-8 (1) "Bet" means an agreement to win or lose a thing
1-9 [something] of value solely or partially by chance. A bet does not
1-10 include:
1-11 (A) contracts of indemnity or guaranty, or life,
1-12 health, property, or accident insurance; or
1-13 (B) an offer of a prize, award, or compensation
1-14 to the actual contestants in a bona fide contest for the
1-15 determination of skill, speed, strength, or endurance or to the
1-16 owners of animals, vehicles, watercraft, or aircraft entered in a
1-17 contest[; or]
1-18 [(C) an offer of merchandise, with a value not
1-19 greater than $25, made by the proprietor of a bona fide carnival
1-20 contest conducted at a carnival sponsored by a nonprofit religious,
1-21 fraternal, school, law enforcement, youth, agricultural, or civic
1-22 group, including any nonprofit agricultural or civic group
1-23 incorporated by the state before 1955, if the person to receive the
1-24 merchandise from the proprietor is the person who performs the
2-1 carnival contest].
2-2 (2) "Bookmaking" means:
2-3 (A) to receive, [and] record, or [to] forward
2-4 [more than] five or more bets or offers to bet in a period of 24
2-5 hours;
2-6 (B) to receive, [and] record, or [to] forward
2-7 one or more bets or offers to bet totaling [more than] $1,000 or
2-8 more in a period of 24 hours; or
2-9 (C) a scheme by three or more persons to
2-10 receive, record, or forward one or more bets or offers [a bet or an
2-11 offer] to bet.
2-12 (3) "Gambling place" means any real estate, building,
2-13 room, tent, vehicle, boat, computer, or other property whatsoever,
2-14 one of the uses of which is the making or settling of bets,
2-15 bookmaking, [or] the conducting of a lottery, [or] the playing of a
2-16 gambling device, or other gambling [devices].
2-17 (4) "Gambling device" means any electronic,
2-18 electromechanical, or mechanical contrivance [not excluded under
2-19 Paragraph (B)] that for a consideration affords the player an
2-20 opportunity to obtain a thing [anything] of value, the award of
2-21 which is determined solely or partially by chance, even though
2-22 accompanied by some skill, whether or not the prize is
2-23 automatically paid by the contrivance. The term:
2-24 (A) includes a slot machine, gray machine, video
2-25 lottery machine, or a[, but is not limited to,] gambling device
2-26 version [versions] of bingo, keno, blackjack, lottery, roulette,
2-27 video poker, or similar electronic, electromechanical, or
3-1 mechanical game or facsimile game that:
3-2 (i) operates solely or partially by
3-3 chance; [games, or facsimiles thereof, that operate by chance or
3-4 partially so,]
3-5 (ii) [that] as a result of the play or
3-6 operation of the game, allows the player to collect [award] credits
3-7 or free games;
3-8 (iii) records[, and that record] the
3-9 number of free games or credits collected; [so awarded] and
3-10 (iv) allows the amendment, cancellation,
3-11 or removal of the free games or credits; and
3-12 (B) does not include an amusement machine or a
3-13 purported amusement machine [any electronic, electromechanical, or
3-14 mechanical contrivance designed, made, and adapted solely for bona
3-15 fide amusement purposes if the contrivance rewards the player
3-16 exclusively with noncash merchandise prizes, toys, or novelties, or
3-17 a representation of value redeemable for those items, that have a
3-18 wholesale value available from a single play of the game or device
3-19 of not more than 10 times the amount charged to play the game or
3-20 device once or $5, whichever is less].
3-21 (5) "Altered gambling equipment" means any contrivance
3-22 that has been altered in some manner contrary to the express or
3-23 commonly understood rules of the game. The term includes,
3-24 [including,] but is not limited to, shaved dice, loaded dice,
3-25 magnetic dice, mirror rings, electronic sensors, shaved cards,
3-26 marked cards, and any other equipment altered or designed to
3-27 enhance the actor's chances of winning contrary to the express or
4-1 commonly understood rules of the game.
4-2 (6) "Gambling paraphernalia" means:
4-3 (A) any book, instrument, or apparatus by means
4-4 of which one or more bets have been or may be recorded or
4-5 registered; or
4-6 (B) any record, ticket, certificate, bill, slip,
4-7 token, writing, scratch sheet, or other means of carrying on
4-8 bookmaking or [,] wagering pools, lotteries, numbers, policy, or
4-9 similar games.
4-10 (7) "Lottery" means any scheme or procedure whereby
4-11 one or more prizes are distributed by chance among persons who have
4-12 paid or promised consideration for a chance to win a thing
4-13 [anything] of value. The term includes a[, whether such] scheme or
4-14 procedure such as [is called] a pool, lottery, raffle, gift, gift
4-15 enterprise, sale, policy game, or some other name.
4-16 (8) "Private place" means a place to which the public
4-17 does not have access. The term does not include [and excludes,
4-18 among other places,] streets, highways, restaurants, taverns,
4-19 nightclubs, schools, hospitals, and the common areas of apartment
4-20 houses, hotels, motels, office buildings, transportation
4-21 facilities, and shops.
4-22 (9) "Thing of value" means any benefit. The term[,
4-23 but] does not include an unrecorded and immediate right of replay
4-24 not exchangeable for value.
4-25 (10) "Amusement machine" means an electronic,
4-26 electromechanical, or mechanical contrivance or device designed,
4-27 made, or adapted solely for a bona fide amusement purpose, if:
5-1 (A) the machine is used to reward a player
5-2 exclusively;
5-3 (B) the machine:
5-4 (i) is designed so that skill is a
5-5 substantial factor determining the outcome of the play of the
5-6 machine;
5-7 (ii) is registered with the comptroller's
5-8 office; and
5-9 (iii) has affixed a valid tax exempt stamp
5-10 or current tax stamp issued under Article 8817, Revised Statutes;
5-11 and
5-12 (C) the machine:
5-13 (i) is not a gray machine or a video
5-14 lottery machine;
5-15 (ii) cannot accept more than one coin or
5-16 token to influence the outcome of a single play of the game;
5-17 (iii) does not have an internal retention
5-18 mechanism that controls or determines the outcome of the play of
5-19 the machine; and
5-20 (iv) does not allow amendment,
5-21 cancellation, or removal of the number of free games or credits
5-22 that a player has accumulated as a result of the play of the
5-23 machine.
5-24 (11) "Purported amusement machine" means a contrivance
5-25 or device represented by the contrivance's or device's owner or
5-26 operator to be an amusement machine if the person's representation
5-27 would create a reasonable belief by another of the machine's
6-1 status.
6-2 (12) "Carnival game" means a game or contest that is:
6-3 (A) operated or conducted as bona fide amusement
6-4 at a carnival sponsored by a nonprofit religious, fraternal,
6-5 school, law enforcement, youth, agricultural, or civic group or
6-6 organization; and
6-7 (B) designed so that skill is a substantial
6-8 factor determining outcome of the game or contest.
6-9 (13) "Casino game" means one of the traditional
6-10 gambling games, including acey-deucey, baccarat, beat the banker,
6-11 blackjack, chemin de fer, chuck-a-luck or Chinese chuck-a-luck (dai
6-12 shu), craps, dice, fan-tan, faro, klondike, monte, pai gou,
6-13 panguingui, poker, red dog, roulette, seven-and-a-half, Texas
6-14 hold-em, twenty-one, or wheel of fortune, or other similar gambling
6-15 games.
6-16 (14) "Gray machine" means an electronic,
6-17 electromechanical, or mechanical contrivance or device, regardless
6-18 of whether the machine is in working order, requires some act of
6-19 manipulation, repair, adjustment, or modification to render it
6-20 operational, or may sell, dispense, award, or otherwise deliver a
6-21 thing of value on a basis other than chance, that:
6-22 (A) contains or is readily adaptable to contain
6-23 a circuit, meter, or switch capable of removing or recording the
6-24 removal of credits or free games earned by a player, other than by
6-25 removal during the course of continuous play; or
6-26 (B) plays or simulates a casino game, bingo, or
6-27 keno.
7-1 (15) "Gambling" means the offense as provided by
7-2 Section 47.02.
7-3 (16) "Single play" means the insertion of a coin or
7-4 token into a contrivance, device, or machine that allows the player
7-5 to take part in one turn, chance, or play of the contrivance,
7-6 device, or machine.
7-7 (17) "Video lottery machine" means an electronic video
7-8 game machine, including a video poker, keno, or blackjack machine,
7-9 utilizing a video display and microprocessor that, on insertion of
7-10 a coin or token, is available to play or simulate the play of a
7-11 video game in which:
7-12 (A) the player may receive a free game or credit
7-13 that is redeemable for cash, coins, tokens, coupons, or another
7-14 representation of value; or
7-15 (B) the machine directly dispenses cash, coins,
7-16 tokens, coupons, or another representation of value.
7-17 Sec. 47.02. Gambling. (a) A person commits an offense if
7-18 the person [he:]
7-19 [(1)] makes a bet on:
7-20 (1) the partial or final result of a game or contest;
7-21 or
7-22 (2) [on] the performance of a participant in a game or
7-23 contest[;]
7-24 [(2) makes a bet on the result of any political
7-25 nomination, appointment, or election or on the degree of success of
7-26 any nominee, appointee, or candidate; or]
7-27 [(3) plays and bets for money or other thing of value
8-1 at any game played with cards, dice, balls, or any other gambling
8-2 device].
8-3 (b) It is an affirmative [a] defense to prosecution under
8-4 this section:
8-5 (1) that:
8-6 (A) [(1)] the actor engaged in social gambling
8-7 in a private place;
8-8 (B) [(2)] no person received any economic
8-9 benefit other than personal winnings; and
8-10 (C) [(3)] except for the advantage of skill or
8-11 luck, the risks of losing and the chances of winning were the same
8-12 for all participants;
8-13 (2) [. (c) It is a defense to prosecution under this
8-14 section] that the actor reasonably believed that the conduct was
8-15 subject to a defensive issue described in Section 47.11; or
8-16 (3) that the only thing of value the actor reasonably
8-17 believed could be won was from playing an amusement machine or
8-18 carnival game and:
8-19 (A) the thing of value was a noncash merchandise
8-20 prize, toy, novelty, or a representation of value redeemable only
8-21 for those items, that had a wholesale value available from a single
8-22 play of the machine or game of not more than 10 times the amount
8-23 charged for a single play on the machine or game or $15, whichever
8-24 is less; and
8-25 (B) the actor received the merchandise, prize,
8-26 toy, novelty, or representation of value from the owner or
8-27 operator of the machine or game immediately after winning the
9-1 single play on the machine or game.
9-2 (c) It is a defense to prosecution under this section that
9-3 the conduct:
9-4 (1) was authorized or permitted under the Bingo
9-5 Enabling Act (Article 179d, Vernon's Texas Civil Statutes);
9-6 (2) was authorized or permitted under the Texas Racing
9-7 Act (Article 179e, Vernon's Texas Civil Statutes);
9-8 (3) was authorized or permitted under the Charitable
9-9 Raffle Enabling Act (Article 179f, Revised Statutes);
9-10 (4) was authorized or permitted under [(3) consisted
9-11 entirely of participation in the state lottery authorized by] the
9-12 State Lottery Act (Chapter 466, Government Code);
9-13 [(4) was permitted under the Texas Racing Act (Article
9-14 179e, Vernon's Texas Civil Statutes); or]
9-15 (5) consisted entirely of participation in a drawing
9-16 for hunting privileges authorized under the Parks and Wildlife
9-17 Code; or
9-18 (6) was expressly authorized or permitted by other
9-19 law.
9-20 (d) Except as provided by Subsection (e), an [An] offense
9-21 under this section is a Class C misdemeanor.
9-22 (e) An offense under this section is a Class B misdemeanor
9-23 if the value of the bets made or things of value received by an
9-24 actor was $50 or more [It is a defense to prosecution under this
9-25 section that a person played for something of value other than
9-26 money using an electronic, electromechanical, or mechanical
9-27 contrivance excluded from the definition of "gambling device" under
10-1 Section 47.01(4)(B)].
10-2 Sec. 47.03. Gambling Promotion. (a) A person commits an
10-3 offense if the person [he] intentionally or knowingly does any of
10-4 the following acts with the intent to further gambling:
10-5 (1) operates or participates in the earnings of a
10-6 gambling place;
10-7 (2) engages in bookmaking; or
10-8 (3) for gain:
10-9 (A) [,] becomes a custodian of anything of value
10-10 bet or offered to be bet;
10-11 (B) [(4)] sells a chance or bet; or
10-12 (C) [chances on the partial or final result of
10-13 or on the margin of victory in any game or contest or on the
10-14 performance of any participant in any game or contest or on the
10-15 result of any political nomination, appointment, or election or on
10-16 the degree of success of any nominee, appointee, or candidate; or]
10-17 [(5) for gain,] sets up or promotes any lottery or
10-18 sells or offers to sell or knowingly possesses for transfer, or
10-19 transfers any card, stub, ticket, check, or other device designed
10-20 to serve as evidence of participation in any lottery.
10-21 (b) An offense under this section is a state jail felony
10-22 [Class A misdemeanor].
10-23 Sec. 47.04. Keeping a Gambling Place. (a) A person commits
10-24 an offense if, with intent to further gambling, the person [he]
10-25 knowingly uses or permits another to use property owned or under
10-26 the person's control as a gambling place [any real estate,
10-27 building, room, tent, vehicle, boat, or other property whatsoever
11-1 owned by him or under his control, or rents or lets any such
11-2 property with a view or expectation that it be so used].
11-3 (b) [It is an affirmative defense to prosecution under this
11-4 section that:]
11-5 [(1) the gambling occurred in a private place;]
11-6 [(2) no person received any economic benefit other
11-7 than personal winnings; and]
11-8 [(3) except for the advantage of skill or luck, the
11-9 risks of losing and the chances of winning were the same for all
11-10 participants.]
11-11 [(c)] An offense under this section is a Class A
11-12 misdemeanor.
11-13 Sec. 47.05. Communicating Gambling Information. (a) A
11-14 person commits an offense if, with the intent to further gambling,
11-15 the person [he] knowingly:
11-16 (1) communicates information as to bets, betting odds,
11-17 or changes in betting odds; or
11-18 (2) [he knowingly] provides, installs, or maintains
11-19 equipment for the transmission or receipt of [such] information
11-20 described by Subdivision (1).
11-21 (b) [It is an exception to the application of Subsection (a)
11-22 that the information communicated is intended for use in placing a
11-23 lawful wager under Article 11, Texas Racing Act (Article 179e,
11-24 Vernon's Texas Civil Statutes), and is not communicated in
11-25 violation of Section 14.01 of that Act.]
11-26 [(c)] An offense under this section is a Class A
11-27 misdemeanor.
12-1 Sec. 47.06. POSSESSION OF GAMBLING DEVICE OR[,] EQUIPMENT[,
12-2 OR PARAPHERNALIA]. (a) A person commits an offense if, with the
12-3 intent to further gambling, the person [he] knowingly owns,
12-4 manufactures, transfers commercially, or possesses:
12-5 (1) a [any] gambling device that the person [he] knows
12-6 is designed for gambling purposes; or
12-7 (2) [any] equipment that the person [he] knows is
12-8 designed as a subassembly or essential part of a gambling device.
12-9 (b) If an amusement machine or purported amusement machine
12-10 does not have a tax permit or tax exempt permit attached in
12-11 compliance with Article 8806, Revised Statutes, and the machine
12-12 allows amendment, cancellation, or removal of free games or credits
12-13 or has an internal retention mechanism that controls or determines
12-14 the outcome of the play of the machine:
12-15 (1) the machine is presumed to be a gambling device;
12-16 and
12-17 (2) the actor is presumed to have possessed the device
12-18 with the intent to further gambling. [A person commits an offense
12-19 if, with the intent to further gambling, he knowingly owns,
12-20 manufactures, transfers commercially, or possesses any altered
12-21 gambling equipment that he knows is designed for gambling purposes
12-22 or any equipment that he knows is designed as a subassembly or
12-23 essential part of such device.]
12-24 (c) [A person commits an offense if, with the intent to
12-25 further gambling, the person knowingly owns, manufactures,
12-26 transfers commercially, or possesses gambling paraphernalia.]
12-27 [(d) It is a defense to prosecution under Subsections (a)
13-1 and (c) that:]
13-2 [(1) the device, equipment, or paraphernalia is used
13-3 for or is intended for use in gambling that is to occur entirely in
13-4 a private place;]
13-5 [(2) a person involved in the gambling does not
13-6 receive any economic benefit other than personal winnings; and]
13-7 [(3) except for the advantage of skill or luck, the
13-8 chance of winning is the same for all participants.]
13-9 [(e)] An offense under this section is a state jail felony
13-10 [Class A misdemeanor.]
13-11 [(f) It is a defense to prosecution under Subsection (a) or
13-12 (c) that the person owned, manufactured, transferred, or possessed
13-13 the gambling device, equipment, or paraphernalia for the sole
13-14 purpose of shipping it to another jurisdiction where the possession
13-15 or use of the device, equipment, or paraphernalia was legal.]
13-16 [(g) A district or county attorney is not required to have a
13-17 search warrant or subpoena to inspect a gambling device or gambling
13-18 equipment or paraphernalia on an ocean-going vessel that enters the
13-19 territorial waters of this state to call at a port in this state].
13-20 Sec. 47.07. POSSESSION OF ALTERED GAMBLING EQUIPMENT. (a)
13-21 A person commits an offense if, with the intent to further
13-22 gambling, the person knowingly owns, manufactures, transfers
13-23 commercially, or possesses:
13-24 (1) altered gambling equipment that the person knows
13-25 is designed for gambling purposes; or
13-26 (2) equipment that the person knows is designed as a
13-27 subassembly or essential part of altered gambling equipment.
14-1 (b) An offense under this section is a felony of the third
14-2 degree.
14-3 Sec. 47.08. POSSESSION OF GAMBLING PARAPHERNALIA. (a) A
14-4 person commits an offense if, with the intent to further gambling,
14-5 the person knowingly owns, manufactures, transfers commercially, or
14-6 possesses gambling paraphernalia.
14-7 (b) An offense under this section is a Class A misdemeanor.
14-8 Sec. 47.09. Evidence. In any prosecution under this chapter
14-9 in which it is relevant to prove the occurrence of a sporting
14-10 event, nomination, appointment, election, or other public event,
14-11 game, or contest, a published report of its occurrence in a daily
14-12 newspaper, magazine, or other periodically printed publication of
14-13 general circulation shall be admissible in evidence. The [and is
14-14 prima facie evidence that the] event, nomination, appointment,
14-15 election, or other public event, game, or other contest is presumed
14-16 to have occurred if the report is published.
14-17 Sec. 47.10. [Sec. 47.08.] Testimonial Immunity. (a) A
14-18 party to an offense under this chapter may be required to furnish
14-19 evidence or testify about the offense.
14-20 (b) A party to an offense under this chapter may not be
14-21 prosecuted for any offense about which the party [he] is required
14-22 to furnish evidence or testify, and the evidence and testimony may
14-23 not be used against the party in any adjudicatory proceeding except
14-24 a prosecution for aggravated perjury.
14-25 (c) In [For purposes of] this section, "adjudicatory
14-26 proceeding" means a proceeding before a court or any other agency
14-27 of government in which the legal rights, powers, duties, or
15-1 privileges of specified parties are determined.
15-2 (d) A conviction under this chapter may be had upon the
15-3 uncorroborated testimony of a party to the offense.
15-4 Sec. 47.11. [Sec. 47.09.] OTHER DEFENSIVE ISSUES [DEFENSES].
15-5 (a) It is an exception to the application of [a defense to
15-6 prosecution under] this chapter that the actor's conduct did not
15-7 involve gambling or the intent to further gambling[:]
15-8 [(1) was authorized under:]
15-9 [(A) the Bingo Enabling Act (Article 179d,
15-10 Vernon's Texas Civil Statutes);]
15-11 [(B) the Texas Racing Act (Article 179e,
15-12 Vernon's Texas Civil Statutes); or]
15-13 [(C) the Charitable Raffle Enabling Act (Article
15-14 179f, Revised Statutes);]
15-15 [(2) consisted entirely of participation in the state
15-16 lottery authorized by Chapter 466, Government Code; or]
15-17 [(3) was a necessary incident to the operation of the
15-18 state lottery and was directly or indirectly authorized by:]
15-19 [(A) Chapter 466, Government Code;]
15-20 [(B) the lottery division of the comptroller's
15-21 office;]
15-22 [(C) the comptroller; or]
15-23 [(D) the director of the lottery division].
15-24 (b) It is an affirmative defense to prosecution under
15-25 Sections 47.03, 47.04, 47.06, and 47.08 [47.06(a), and 47.06(c)]
15-26 that the gambling device, equipment, or paraphernalia is aboard an
15-27 ocean-going vessel that enters the territorial waters of this state
16-1 to call at a port in this state if:
16-2 (1) before the vessel enters the territorial waters of
16-3 this state, the district attorney or, if there is no district
16-4 attorney, the county attorney for the county in which the port is
16-5 located receives notice of the existence of the device, equipment,
16-6 or paraphernalia on board the vessel and of the anticipated dates
16-7 on which the vessel will enter and leave the territorial waters of
16-8 this state;
16-9 (2) the portion of the vessel in which the device,
16-10 equipment, or paraphernalia is located is locked or otherwise
16-11 physically secured in a manner that makes the area inaccessible to
16-12 anyone other than the master and crew of the vessel at all times
16-13 while the vessel is in the territorial waters of this state;
16-14 (3) no person other than the master and crew of the
16-15 vessel is permitted to enter or view the portion of the vessel in
16-16 which the device, equipment, or paraphernalia is located while the
16-17 vessel is in the territorial waters of this state; and
16-18 (4) the device, equipment, or paraphernalia is not
16-19 used for gambling or other gaming purposes while the vessel is in
16-20 the territorial waters of this state.
16-21 (c) [Sec. 47.10. AMERICAN DOCUMENTATION OF VESSEL
16-22 REQUIRED.] If 18 U.S.C. Section 1082 is repealed, the affirmative
16-23 defense [defenses] provided by Subsection (b) applies [Section
16-24 47.09(b) apply] only if the vessel is documented under the laws of
16-25 the United States.
16-26 (d) A district attorney, criminal district attorney, or
16-27 county attorney is not required to have a search warrant or
17-1 subpoena to inspect a gambling device, equipment, or paraphernalia
17-2 on an ocean-going vessel that enters the territorial waters of this
17-3 state to call at a port in this state.
17-4 (e) It is an affirmative defense to prosecution under
17-5 Sections 47.06 and 47.08 that the actor owned, manufactured,
17-6 transferred commercially, or possessed the gambling device,
17-7 equipment, or paraphernalia for the sole purpose of shipping it for
17-8 repair or to another jurisdiction where the possession or use of
17-9 the gambling device, equipment, or paraphernalia was legal.
17-10 (f) It is an affirmative defense to prosecution under this
17-11 chapter that the actor reasonably believed the conduct was:
17-12 (1) permitted by federal law; or
17-13 (2) not prohibited by federal law and was:
17-14 (A) engaged in by the actor while on Indian
17-15 tribal lands;
17-16 (B) subject to tribal authority; and
17-17 (C) permitted by a compact entered into between
17-18 the state and tribal authorities under federal law.
17-19 Sec. 47.12. ENHANCED PENALTY. An offense under this chapter
17-20 is:
17-21 (1) increased one level to the punishment prescribed
17-22 for the next highest category of offense if the value of the bets
17-23 made or things of value received is $20,000 or more but less than
17-24 $100,000;
17-25 (2) increased two levels to the punishment prescribed
17-26 for the second highest category of offense if the value of the bets
17-27 made or things of value received is $100,000 or more but less than
18-1 $200,000; and
18-2 (3) increased three levels to the punishment
18-3 prescribed for the third highest category of offense if the value
18-4 of the bets made or things of value received is $200,000 or more.
18-5 Sec. 47.13. AGGREGATION. When bets are made or things of
18-6 value are received in violation of this chapter under one scheme or
18-7 continuing course of conduct, whether from the same or several
18-8 sources, the conduct may be considered as one offense and the
18-9 amounts aggregated in determining punishment under this chapter.
18-10 SECTION 2. Article 18.18, Code of Criminal Procedure, is
18-11 amended to read as follows:
18-12 Art. 18.18. DISPOSITION OF GAMBLING DEVICE, EQUIPMENT, OR
18-13 PARAPHERNALIA, PROHIBITED WEAPON, CRIMINAL INSTRUMENT, AND OTHER
18-14 CONTRABAND. (a) In this article:
18-15 (1) "Attorney representing the state" means a district
18-16 attorney, criminal district attorney, county attorney, or municipal
18-17 attorney with prosecutorial jurisdiction over a case that has been
18-18 or could be filed involving the item of contraband in question as
18-19 an element of the case's charging instrument.
18-20 (2) "Contraband" means:
18-21 (A) [Following the final conviction of a person
18-22 for possession of] a gambling device or equipment, altered gambling
18-23 equipment, or gambling paraphernalia;
18-24 (B) gambling proceeds used in or obtained
18-25 through a violation of Chapter 47, Penal Code;
18-26 (C) [, for an offense involving] a criminal
18-27 instrument, as that term is defined in Section 16.01, Penal Code;
19-1 (D) [for an offense involving] an obscene device
19-2 or material, as those terms are defined in Section 43.21, Penal
19-3 Code;
19-4 (E) a prohibited weapon described in Section
19-5 46.05, Penal Code; or
19-6 (F) a fighting dog or dog-fighting equipment.
19-7 (3) "Fighting dog" means a dog trained, being trained,
19-8 or intended to be trained or used to fight with another dog or
19-9 animal in violation of Chapter 42, Penal Code, or other law.
19-10 (4) "Dog-fighting equipment" means:
19-11 (A) a device or equipment used for training or
19-12 handling a fighting dog, including a harness, treadmill, cage,
19-13 decoy, pen, any house or structure for keeping a fighting dog,
19-14 feeding apparatus, or training pen;
19-15 (B) a device or equipment used for transporting
19-16 a fighting dog, including a motor vehicle or other vehicle, and its
19-17 appurtenances that are used or intended to be used for transporting
19-18 a fighting dog; or
19-19 (C) a device or equipment used or intended to be
19-20 used to promote or advertise an exhibition of dog fighting,
19-21 including a printing press or similar equipment, paper, ink, or
19-22 photography equipment.
19-23 (5) "Gambling," "gambling device," "altered gambling
19-24 equipment," "gambling paraphernalia," "amusement machine," and
19-25 "purported amusement machine" have the meanings assigned by Section
19-26 47.01, Penal Code.
19-27 (b)(1) Except as provided by Subsection (c), the court
20-1 entering an order of deferred adjudication or [the] judgment of
20-2 conviction, or an order placing a person on community supervision,
20-3 in an offense involving contraband shall order that the contraband
20-4 [machine, device, gambling equipment or gambling paraphernalia,
20-5 instrument, obscene device or material] be destroyed or forfeited
20-6 to the state.
20-7 (2) A [Not later than the 30th day after the final
20-8 conviction of a person for an offense involving a prohibited
20-9 weapon, the] court entering the order of deferred adjudication, or
20-10 [judgment of] conviction or an order placing a person on community
20-11 supervision under this article shall enter its order on its own
20-12 motion, on the motion of the [prosecuting] attorney representing
20-13 the state in the case, or on the motion of the law enforcement
20-14 agency initiating the complaint after [on] notice to the
20-15 [prosecuting] attorney representing the state in the case, if the
20-16 attorney [prosecutor] fails to move for the order.
20-17 (3) The court shall enter an order under this
20-18 subsection not later than the 30th day after the date the court
20-19 entered its underlying order of deferred adjudication or
20-20 conviction, or an order placing a person on community supervision,
20-21 subject to this article.
20-22 (4) [shall order that the prohibited weapon be
20-23 destroyed or forfeited to the law enforcement agency that initiated
20-24 the complaint.] If the court fails to enter the order subject to
20-25 this article within the time required by this subsection, any
20-26 magistrate in the county in which the offense occurred may enter
20-27 the order on the same motion as provided by Subdivision (2).
21-1 (c)(1) If the contraband is an obscene device or material,
21-2 the court may not order destruction or forfeiture before the 30th
21-3 day after the date of final adjudication or judgment of conviction
21-4 or the date all defendants have exhausted their appellate remedies
21-5 of right, whichever is later.
21-6 (2) If the contraband is a fighting dog, the court
21-7 shall [Following the final conviction of a person for an offense
21-8 involving dog fighting, the court entering the judgment of
21-9 conviction shall] order that the dog be destroyed, if necessary, or
21-10 [any dog-fighting equipment be destroyed or] forfeited to the
21-11 state.
21-12 (3) Destruction of dogs[, if necessary,] must be
21-13 carried out by a veterinarian licensed in this state or, if one is
21-14 not available, by trained personnel of a humane society or an
21-15 animal shelter.
21-16 (d)(1) Except as provided by Subdivision (2), a court
21-17 ordering forfeiture of contraband to the state under this article
21-18 [If forfeited, the court] shall order the contraband delivered to
21-19 the state, to a [any] political subdivision of the state, or to a
21-20 [any] state institution or agency.
21-21 (2) If the contraband is gambling proceeds, the court
21-22 may order them to be forfeited to the state or transmitted [were
21-23 seized, the court shall order them forfeited to the state and shall
21-24 transmit them] to the grand jury of the county in which they were
21-25 seized for use in investigating possible [alleged] violations of
21-26 the Penal Code by the grand jury or, with the written approval of
21-27 the foreman of the grand jury who received the funds, by the
22-1 attorney representing the state [, or to the state, any political
22-2 subdivision of the state, or to any state institution or agency].
22-3 (3) A court ordering forfeiture to the state under
22-4 this article:
22-5 (A) shall order the item of contraband to be
22-6 used only for an official purpose of the governmental entity or
22-7 officer receiving the item; and
22-8 (B) may not order or knowingly permit the item
22-9 of contraband to be converted to personal or private use by a
22-10 public servant.
22-11 (e) This article does not apply to an amusement machine or
22-12 purported amusement machine.
22-13 (f)(1) [(b)] If there is no prosecution, order of deferred
22-14 adjudication, order placing a person on community supervision, or
22-15 conviction following seizure of contraband, the magistrate to whom
22-16 the return was made shall notify in writing the owner, if
22-17 reasonably known, and the person found in possession of the
22-18 contraband of any proceeding under this article and shall order
22-19 each person so notified [alleged gambling device or equipment,
22-20 altered gambling equipment or gambling paraphernalia, gambling
22-21 proceeds, prohibited weapon, obscene device or material, criminal
22-22 instrument, or dog-fighting equipment] to show cause why the
22-23 contraband [property seized] should not be destroyed or [the
22-24 proceeds] forfeited.
22-25 (2) The magistrate, on the motion of the law
22-26 enforcement agency seizing the contraband [a prohibited weapon],
22-27 shall order the contraband [weapon] destroyed or forfeited to the
23-1 law enforcement agency seizing the contraband [weapon], unless a
23-2 person shows cause as to why the contraband [prohibited weapon]
23-3 should not be destroyed or forfeited.
23-4 (3) The [A] law enforcement agency shall make a motion
23-5 under this section not later than the 30th day after the date [in a
23-6 timely manner after the time at which] the agency was [is] informed
23-7 in writing by the attorney representing the state that no
23-8 prosecution, order of deferred adjudication, order placing a person
23-9 on community supervision, or conviction will arise from the
23-10 seizure.
23-11 (4) [(c)] The magistrate shall include in the notice
23-12 to each interested party:
23-13 (A) a detailed description of the contraband
23-14 [property] seized, including [and] the total amount of [alleged]
23-15 gambling proceeds;
23-16 (B) the name of the owner and person found in
23-17 possession of the contraband;
23-18 (C) the address or location where the contraband
23-19 was [property or proceeds were] seized; and
23-20 (D) the date and time of the seizure.
23-21 (5) The magistrate shall give timely notice of any
23-22 hearing or other proceeding under this article in a reasonable
23-23 manner to each appropriate law enforcement agency and the attorney
23-24 representing the state in the matter.
23-25 (6) [(d)] The magistrate shall send the notice by
23-26 registered or certified mail, return receipt requested, to the
23-27 owner or person found in possession at the address where the
24-1 contraband was [property or proceeds were] seized or to another
24-2 address determined by the court to be reasonable.
24-3 (7) If the owner is unknown and no one was found in
24-4 possession of the contraband, or the owner's and possessor's
24-5 address is unknown, the magistrate shall post the notice on the
24-6 courthouse door.
24-7 (g)(1) A [(e) Any] person interested in contraband subject
24-8 to a hearing under this article [the alleged gambling device or
24-9 equipment, altered gambling equipment or gambling paraphernalia,
24-10 gambling proceeds, prohibited weapon, obscene device or material,
24-11 criminal instrument, or dog-fighting equipment seized] must appear
24-12 before the magistrate on the 30th [20th] day following the date the
24-13 notice was mailed or posted and request a hearing.
24-14 (2) Failure to timely appear forfeits any interest the
24-15 person may have in the contraband [property or proceeds] seized,
24-16 and no person after failing to timely appear may contest
24-17 destruction or forfeiture.
24-18 (3) [(f)] If a person timely appears to show cause why
24-19 the contraband [property or proceeds] should not be destroyed or
24-20 forfeited, the magistrate shall conduct a hearing on the issue and
24-21 determine the nature of the contraband [property or proceeds] and
24-22 the person's interest in the contraband [therein].
24-23 (4) The magistrate shall, not later than the 30th day
24-24 after the date the hearing is concluded, order the contraband
24-25 disposed of in the same manner provided by Subsections (b), (c), or
24-26 (d), unless the owner or other [Unless the] person proves during
24-27 the hearing by a preponderance of the evidence that:
25-1 (A) a particular item of [the] property or
25-2 proceeds is not contraband; [gambling equipment, altered gambling
25-3 equipment, gambling paraphernalia, gambling device, gambling
25-4 proceeds, prohibited weapon, criminal instrument, or dog-fighting
25-5 equipment] and
25-6 (B) the owner or other person [that he] is
25-7 entitled to lawful possession of the item.
25-8 (5) The magistrate shall issue an order awarding each
25-9 particular item to a person making a proper showing under
25-10 Subdivision (4). [, the magistrate shall dispose of the property
25-11 or proceeds in accordance with Paragraph (a) of this article.]
25-12 [(g) For purposes of this article:]
25-13 [(1) "criminal instrument" has the meaning defined in
25-14 the Penal Code;]
25-15 [(2) "gambling device or equipment, altered gambling
25-16 equipment or gambling paraphernalia" has the meaning defined in the
25-17 Penal Code;]
25-18 [(3) "prohibited weapon" has the meaning defined in
25-19 the Penal Code; and]
25-20 [(4) "dog-fighting equipment" means:]
25-21 [(A) equipment used for training or handling a
25-22 fighting dog, including a harness, treadmill, cage, decoy, pen,
25-23 house for keeping a fighting dog, feeding apparatus, or training
25-24 pen;]
25-25 [(B) equipment used for transporting a fighting
25-26 dog, including any automobile, or other vehicle, and its
25-27 appurtenances which are intended to be used as a vehicle for
26-1 transporting a fighting dog;]
26-2 [(C) equipment used to promote or advertise an
26-3 exhibition of dog fighting, including a printing press or similar
26-4 equipment, paper, ink, or photography equipment; or]
26-5 [(D) a dog trained, being trained, or intended
26-6 to be used to fight with another dog.]
26-7 [(6) "obscene device or material" means a device or
26-8 material introduced into evidence and thereafter found obscene by
26-9 virtue of a final judgment after all appellate remedies have been
26-10 exhausted.]
26-11 SECTION 3. Article 8801, Revised Statutes, is amended by
26-12 amending Subdivision (3) and adding Subdivision (8) to read as
26-13 follows:
26-14 (3) The term "coin-operated machine" means every
26-15 machine or device of any kind or character which is operated by or
26-16 with coins, or metal slugs, tokens or checks, "amusement machine,"
26-17 "music coin-operated machines," and "skill or pleasure
26-18 coin-operated machines" as those terms are hereinafter defined,
26-19 shall be included in such terms.
26-20 (8) The terms "amusement machine," "purported
26-21 amusement machine," and "gambling device" have the meanings
26-22 assigned by Section 47.01, Penal Code.
26-23 SECTION 4. Article 8806, Revised Statutes, is amended by
26-24 adding Subsections (3), (4), and (5) to read as follows:
26-25 (3) The owner of a tax exempt amusement machine:
26-26 (A) shall register the machine with the comptroller;
26-27 (B) shall obtain and affix to the machine a tax exempt
27-1 permit from the comptroller;
27-2 (C) shall affix the tax exempt permit in the manner
27-3 provided by Subsection (1); and
27-4 (D) may not affix a tax exempt permit in violation of
27-5 Subsection (2).
27-6 (4) By attaching or affixing a tax permit or a tax exempt
27-7 permit to an amusement machine, the person:
27-8 (A) consents to an inspection of the machine at any
27-9 reasonable time by the attorney general or comptroller, an
27-10 authorized representative of the attorney general or comptroller,
27-11 or a peace officer;
27-12 (B) declares the machine to be an amusement machine or
27-13 purported amusement machine; and
27-14 (C) declares the machine is not an illegal gambling
27-15 device or other contrivance owned, operated, exhibited, displayed,
27-16 purchased, acquired, received, handled, possessed, or controlled in
27-17 violation of Chapter 47, Penal Code.
27-18 (5) The comptroller shall:
27-19 (A) prepare a tax exempt permit similar in style and
27-20 quality to a tax permit, except that it shall be of a different
27-21 color and contain the words "TAX EXEMPT AMUSEMENT MACHINE"; and
27-22 (B) issue, for a fee not to exceed the actual costs of
27-23 printing and mailing the permit, a tax exempt permit without an
27-24 expiration date to a person entitled to a permit for each amusement
27-25 machine the person claims to own.
27-26 SECTION 5. Article 8810, Revised Statutes, is amended to
27-27 read as follows:
28-1 Art. 8810. RECORDS. (a) Every owner of a ["owner" of one
28-2 or more] coin-operated machine [machines in this State] shall keep
28-3 for the inspection at all reasonable times by the Attorney General
28-4 and the Comptroller, [or] their authorized representatives, or a
28-5 peace officer, a complete, itemized record maintained in accordance
28-6 with accepted auditing and accounting practices of each [and every
28-7 such] machine owned, operated, exhibited, displayed, purchased,
28-8 acquired, received, handled, possessed, or controlled by the person
28-9 [handled, exhibited or displayed] in this State.
28-10 (b) A [Such] record under this article shall:
28-11 (1) be kept at a permanent address [in this State,
28-12 which address shall be] designated on the application for a
28-13 license; and
28-14 (2) [shall] include [the following information]:
28-15 (A) a description of the [The kind of each such]
28-16 machine, including whether the machine is tax exempt;
28-17 (B) the date the machine was purchased,
28-18 acquired, [or] received, or brought into this state;
28-19 (C) [in Texas,] the date the machine was placed
28-20 in operation;
28-21 (D) [,] the location of the [or locations of
28-22 each] machine including county, city, street, and physical mailing
28-23 address, if different; and
28-24 (E) [and/or rural route number,] the name and
28-25 [complete] address of each [and every] operator and owner [, the
28-26 full name and address of the owner,] or, if the owner is not [other
28-27 than] an individual, each officer or director or other individual
29-1 who holds a similar rank or title [the principal officers or
29-2 members thereof and their addresses].
29-3 (c) A person must keep a record [the records] required by
29-4 this article while [section as long as] the person owns the machine
29-5 and for two years after the date the person ceases to own, operate,
29-6 exhibit, display, handle, possess, or control the machine.
29-7 SECTION 6. Article 8811, Revised Statutes, is amended to
29-8 read as follows:
29-9 Art. 8811. VIOLATIONS OF ACT; PENALTY; ENFORCEMENT. (a) An
29-10 owner [If any "owner"] of a coin-operated machine may not operate,
29-11 exhibit, display, possess, or control or [within this State shall
29-12 (a)] permit any coin-operated machine under his control to be
29-13 operated, exhibited, [or] displayed, possessed, or controlled by
29-14 another if the machine does not have the required [within this
29-15 State without said] permit [being] permanently attached as required
29-16 by this chapter.
29-17 (b) A person may not:
29-18 (1) operate, [thereto, or (b) if any person shall]
29-19 exhibit, or display [within this State any coin-operated machine
29-20 without having annexed or attached thereto a permit issued by the
29-21 Comptroller showing the payment of the tax due thereon for the
29-22 current year, or (c) if any person exhibits or displays] a
29-23 coin-operated machine that:
29-24 (A) is not registered with the Comptroller; or
29-25 (B) does not have a required permit permanently
29-26 attached as required by this chapter;
29-27 (2) [, or (d) shall] fail to keep a record as required
30-1 by this chapter;
30-2 (3) refuse or fail [such records, or (e) shall refuse
30-3 or fail] to present [such records] for inspection a record required
30-4 by this chapter upon the demand of the Attorney General or
30-5 Comptroller, their [or an] authorized representative, or a peace
30-6 officer;
30-7 (4) [of the Comptroller, or (f) if any person in this
30-8 State shall] use any artful device or deceptive practice to conceal
30-9 any violation of this chapter;
30-10 (5) [Chapter, or (g)] mislead the Attorney General or
30-11 Comptroller, their [or an] authorized representative, or a peace
30-12 officer [of the Comptroller] in the enforcement of this chapter; or
30-13 (6) [Chapter, or (h) if any person in this State
30-14 shall] fail to comply with the provisions of this chapter or a rule
30-15 adopted [Chapter, or violate the same, or (i) if any person in this
30-16 State shall fail to comply with the rules and regulations
30-17 promulgated] by the Comptroller.
30-18 (c) The [, or violate the same, the] Comptroller, in
30-19 addition to the other remedies provided in this chapter, [Chapter]
30-20 may assess a civil penalty of not more than $2,000 against a person
30-21 who violates Subsection (a) or (b) [in the sum of not less than
30-22 Fifty Dollars ($50) nor more than Two Thousand Dollars ($2,000)].
30-23 (d) Each day's violation shall constitute a separate
30-24 violation [offense] and incur another penalty.
30-25 (e) If a penalty assessed under this article is [, which,
30-26 if] not paid within an allotted time determined by the Comptroller,
30-27 it may be recovered by the Comptroller in any manner available for
31-1 the recovery of delinquent taxes under Subtitle B, Title 2, Tax
31-2 Code, or in a suit by the Attorney General [of this State] in a
31-3 court [of competent jurisdiction] in Travis County[, Texas].
31-4 (f) In this article, "required permit" means a stamp showing
31-5 payment of the tax due on a machine for the current year or the tax
31-6 exempt status of the machine.
31-7 SECTION 7. Article 8812, Revised Statutes, is amended to
31-8 read as follows:
31-9 Art. 8812. OFFENSES; PENALTY. (a) A person commits an
31-10 offense if the person knowingly violates Article 8811 of this
31-11 chapter.
31-12 (b) An offense under this article is [If any person shall
31-13 exhibit or display within this State any coin-operated machine
31-14 without having paid the tax due thereon for the current year, or
31-15 (b) if any person required to keep records of coin-operated
31-16 machines in this State shall falsify such records or (c) shall fail
31-17 to keep such records, or (d) shall refuse or fail to present such
31-18 records for inspection upon the demand of the comptroller or an
31-19 authorized representative of the comptroller, or (e) if any person
31-20 in this State shall use any artful device or deceptive practice to
31-21 conceal any violation of this Chapter, or (f) mislead the
31-22 comptroller or an authorized representative of the comptroller in
31-23 the enforcement of this Chapter, or (g) if any person in this State
31-24 shall fail to comply with the provisions of this Chapter, or
31-25 violate the same, or (h) if any person in this State shall fail to
31-26 comply with the rules and regulations promulgated by the
31-27 comptroller, or violate the same, he shall be guilty of] a Class C
32-1 misdemeanor.
32-2 SECTION 8. Section 1(a), Article 8817, Revised Statutes, is
32-3 amended to read as follows:
32-4 Sec. 1(a). CONSTRUCTION. In this chapter [Notwithstanding
32-5 any language in this Chapter or any other Chapter to the contrary,]
32-6 the term "music or skill or pleasure coin-operated machine"
32-7 includes a [shall include] coin-operated billiard or pool game and
32-8 an amusement machine or purported amusement machine, as those terms
32-9 are defined in Section 47.01, Penal Code. The term does not
32-10 include a [and pool games and shall exclude] coin-operated
32-11 amusement machine [machines] designed exclusively for operation by
32-12 children.
32-13 SECTION 9. Section 4, Article 8817, Revised Statutes, is
32-14 amended to read as follows:
32-15 Sec. 4. POWERS OF COMPTROLLER. The [In addition to its
32-16 other authority, the] Comptroller may, for the purpose of
32-17 administering this chapter:
32-18 (1) prescribe [all] necessary [regulations and] rules
32-19 to ensure that all persons affected by this chapter are afforded
32-20 due process of law;
32-21 (2) hold hearings and prescribe rules of procedure and
32-22 evidence for the conduct of hearings;
32-23 (3) issue, refuse to issue, cancel, suspend, or revoke
32-24 a license, tax permit, tax exempt permit, or registration
32-25 certificate;
32-26 (4) prescribe the procedure for registration of music
32-27 and skill or pleasure coin-operated machines and the method of
33-1 securely attaching tax permits or tax exempt permits and posting of
33-2 licenses and registration certificates;
33-3 (5) disclose confidential information to appropriate
33-4 officials;
33-5 (6) seize and administratively forfeit or destroy an
33-6 illegal amusement machine or purported amusement machine that is
33-7 owned, operated, exhibited, displayed, purchased, acquired,
33-8 received, handled, possessed, or controlled in violation of this
33-9 chapter or Chapter 47, Penal Code; and
33-10 (7) [(6)] prescribe the form and content of:
33-11 (a) license applications;
33-12 (b) registration certificates;
33-13 (c) tax permits and tax exempt permits;
33-14 (d) reports concerning the location of
33-15 coin-operated machines; and
33-16 (e) reports of the consideration of each party
33-17 to contracts concerning the placement of coin-operated machines in
33-18 establishments owned by a person other than the licensee.
33-19 SECTION 10. Section 8, Article 8817, Revised Statutes, is
33-20 amended by adding Subdivision (6) to read as follows:
33-21 (6) A corporation or association that owns or operates
33-22 an amusement machine under Subdivision (3) must register the
33-23 machine with the comptroller and permanently attach or affix a tax
33-24 exempt permit in the same manner as a tax permit under Article 8806
33-25 of this chapter.
33-26 SECTION 11. Section 12(2), Article 8817, Revised Statutes,
33-27 is amended to read as follows:
34-1 (2) The application shall designate a single individual who
34-2 is responsible for keeping a record and reporting to the
34-3 Comptroller the following information regarding each music or skill
34-4 or pleasure coin-operated machine owned, operated, exhibited,
34-5 displayed, purchased, acquired, received, handled, possessed, or
34-6 controlled by the licensee:
34-7 (a) the make, type, and serial number of machine;
34-8 (b) the date put in operation;
34-9 (c) the dates of the first, and the most recent
34-10 registration of the machine;
34-11 (d) the specific location of each machine;
34-12 (e) a declaration of whether the machine is an
34-13 amusement machine;
34-14 (f) a declaration of whether the machine is a tax
34-15 exempt amusement machine; and
34-16 (g) any change in ownership of a machine.
34-17 SECTION 12. Section 15, Article 8817, Revised Statutes, is
34-18 amended by adding Subsection (5) to read as follows:
34-19 (5) A person who owns, operates, exhibits, displays,
34-20 purchases, acquires, receives, handles, possesses, or controls a
34-21 tax exempt amusement machine under the provisions of Section 8(6)
34-22 of this article shall apply for a one-time tax exempt amusement
34-23 machine license.
34-24 SECTION 13. Section 16, Article 8817, Revised Statutes, is
34-25 amended by adding Subsection (5) to read as follows:
34-26 (5) The tax exempt amusement machine license fee is $25.
34-27 This fee may only be charged one time.
35-1 SECTION 14. Section 16A, Article 8817, Revised Statutes, is
35-2 amended by amending Subsection (1) and adding Subsection (7) to
35-3 read as follows:
35-4 (1) Except as provided by Subsection (7), a [A] person who
35-5 owns, operates, or exhibits a coin-operated machine [machines] is
35-6 exempt from the licensing and record keeping requirements imposed
35-7 by this Article if the person:
35-8 (a) [he] operates or exhibits the person's [his]
35-9 machines exclusively on premises occupied by the person [him], and
35-10 in connection with the person's [his] business; [and]
35-11 (b) [he] owns no machine subject to the occupation tax
35-12 imposed by this chapter located on the business premises of another
35-13 person; and
35-14 (c) [he] has no financial interest, direct or
35-15 indirect, in the coin-operated music, skill, or pleasure machine
35-16 industry, except for the interest the person [he] owns in the
35-17 person's [his] machines used exclusively on premises occupied by
35-18 the person [him].
35-19 (7) An amusement machine or purported amusement machine, as
35-20 defined by Section 47.01, Penal Code, is not excepted by this
35-21 section and the owner shall register each machine and obtain an
35-22 appropriate tax permit or tax exempt permit for each machine.
35-23 SECTION 15. Section 18, Article 8817, Revised Statutes, is
35-24 amended to read as follows:
35-25 Sec. 18. LICENSE AS CONSENT TO ENTRY. Acceptance of a tax
35-26 permit, tax exempt permit, license, or registration certificate
35-27 issued under this Article constitutes consent by the licensee or
36-1 registration certificate holder that the Attorney General or
36-2 Comptroller or their authorized representative or any peace officer
36-3 may freely enter upon the licensed business premises during normal
36-4 business hours for the purpose of ensuring compliance with this
36-5 chapter and Chapter 47, Penal Code.
36-6 SECTION 16. Article 8817, Revised Statutes, is amended by
36-7 adding Section 18A to read as follows:
36-8 Sec. 18A. SEIZURE, FORFEITURE, OR DESTRUCTION OF ILLEGAL
36-9 AMUSEMENT MACHINES. (1) The attorney general or comptroller, or
36-10 their authorized representative, or a peace officer may seize an
36-11 amusement machine without a warrant or other court order under this
36-12 section.
36-13 (2) An amusement machine is subject to seizure under this
36-14 section if the machine is:
36-15 (A) made available for operation in a public place
36-16 without a license, registration, or permit required by this
36-17 chapter;
36-18 (B) made available for operation in a place that the
36-19 owner or operator permits access by a customer, without a license,
36-20 registration, or permit required by this chapter;
36-21 (C) purported by the owner or operator to another to
36-22 be a bona fide amusement machine and the machine is a gambling
36-23 device, altered gambling device, video lottery machine, or gray
36-24 machine, as those terms are defined under Section 47.01, Penal
36-25 Code;
36-26 (D) used to reward a person other than the player;
36-27 (E) designed so that skill is not a substantial factor
37-1 determining outcome of the play of the machine;
37-2 (F) capable of accepting more than one coin or token
37-3 to influence the outcome of a single play of the game;
37-4 (G) equipped with an internal retention mechanism that
37-5 controls or determines the outcome of the play of the machine; or
37-6 (H) capable of allowing amendment, cancellation, or
37-7 removal of the number of free games or credits the player has
37-8 accumulated as a result of the play of the machine.
37-9 (3) A person seizing a machine under this section shall,
37-10 before the 30th day after the date of seizure, notify the
37-11 comptroller and hold the machine for disposition by the comptroller
37-12 or deliver the machine to the comptroller.
37-13 (4) A machine seized under this section may be forfeited to
37-14 the state or destroyed after an administrative hearing conducted by
37-15 the comptroller under this chapter that determines the machine was
37-16 owned, operated, exhibited, displayed, purchased, acquired,
37-17 received, handled, possessed, or controlled in violation of this
37-18 chapter, a rule adopted under this chapter, or Chapter 47, Penal
37-19 Code.
37-20 SECTION 17. Section 20(1), Article 8817, Revised Statutes,
37-21 is amended to read as follows:
37-22 (1) The Comptroller may refuse to issue or renew a tax
37-23 permit, tax exempt permit, license, or registration certificate or
37-24 may revoke or suspend a tax permit, tax exempt permit, license, or
37-25 registration certificate issued under this Article [pursuant to the
37-26 authority of this Article] if:
37-27 (a) the licensee or applicant has violated this
38-1 chapter, a rule adopted under this chapter, or Chapter 47, Penal
38-2 Code, other than a fine only misdemeanor [a provision of this
38-3 Article or a regulation promulgated pursuant to the authority of
38-4 this Article];
38-5 (b) the licensee or applicant has failed to answer a
38-6 question, or made a false statement in, or in connection with, his
38-7 application or renewal;
38-8 (c) the licensee or applicant extends credit without
38-9 registering his intent to do so with the consumer credit
38-10 commission;
38-11 (d) the licensee or applicant uses coercion to
38-12 accomplish a purpose or to engage in conduct regulated by the
38-13 Comptroller;
38-14 (e) a contract or agreement between the licensee or
38-15 applicant and a location owner contains a restriction, of any kind
38-16 and to any degree, on the right of the location owner to purchase,
38-17 agree to purchase, or use a product, commodity, or service not
38-18 regulated under the terms of this Article; or
38-19 (f) failure to suspend or revoke the license would be
38-20 contrary to the intent and purpose of this Article.
38-21 SECTION 18. Section 22(1), Article 8817, Revised Statutes,
38-22 is amended to read as follows:
38-23 (1) An applicant, licensee, permit, or registration
38-24 certificate holder is entitled to at least 20 days' written notice
38-25 and, if requested, a hearing in the following instances:
38-26 (a) after an application for an original or renewal
38-27 permit, license, or registration certificate has been refused;
39-1 (b) before the Comptroller may revoke a permit,
39-2 license, or registration certificate;
39-3 (c) before the Comptroller may invoke any other
39-4 sanction provided by this chapter, including forfeiture or
39-5 destruction, other than the sealing of a machine.
39-6 SECTION 19. Section 23(1), Article 8817, Revised Statutes,
39-7 is amended to read as follows:
39-8 (1) The Comptroller shall deliver to the applicant,
39-9 licensee, or permit or registration certificate holder a written
39-10 copy of the order refusing an application or renewal application,
39-11 revoking a permit, license, or registration certificate, or
39-12 imposing any other sanction provided by this chapter, including
39-13 forfeiture or destruction, other than the sealing of a machine.
39-14 SECTION 20. Subchapter G, Chapter 466, Government Code, is
39-15 amended by adding Section 466.318 to read as follows:
39-16 Sec. 466.318. VIDEO LOTTERY MACHINE PROHIBITED. (a) A
39-17 person commits an offense if the person owns, operates, exhibits,
39-18 installs, sets up, uses, or permits another to operate, exhibit,
39-19 install, set up, or use a lottery game using a video lottery
39-20 machine.
39-21 (b) In this section, "video lottery machine" has the meaning
39-22 assigned by Section 47.01, Penal Code.
39-23 (c) An offense under this section is a Class A misdemeanor.
39-24 SECTION 21. This Act takes effect September 1, 1997.
39-25 SECTION 22. (a) The change in law made by this Act applies
39-26 only to an offense committed on or after the effective date of this
39-27 Act. For purposes of this section, an offense is committed before
40-1 the effective date of this Act if any element of the offense occurs
40-2 before the effective date.
40-3 (b) An offense committed before the effective date of this
40-4 Act is covered by the law in effect when the offense was committed,
40-5 and the former law is continued in effect for this purpose.
40-6 SECTION 23. The importance of this legislation and the
40-7 crowded condition of the calendars in both houses create an
40-8 emergency and an imperative public necessity that the
40-9 constitutional rule requiring bills to be read on three several
40-10 days in each house be suspended, and this rule is hereby suspended.