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BILL ANALYSIS

 

 

Senate Research Center                                                                                                     H.B. 2509

81R13185 E                                                                                                  By: Geren (Wentworth)

                                                                                                                                       State Affairs

                                                                                                                                              5/2/2009

                                                                                                                                           Engrossed

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Currently, two different statutes govern the minimum age at which a person may purchase a lottery ticket and the minimum age at which a person may directly receive lottery prize money.  The Texas Lottery Commission (commission) requested an advisory opinion from the attorney general on September 13, 2005, regarding the meaning of the term "minor" in Section 466.405 (Payment of Prize Awarded to Minor), Government Code, to determine whether the commission may award the cash equivalent of a prize to a person who is at least 18 years of age, rather than 21 years of age.  The attorney general issued an opinion on March 13, 2006, stating that the commission must award the cash equivalent of a prize to a person who is at least 18 years of age.

 

H.B. 2509 amends current law relating to the payment of a lottery prize awarded to a minor.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1.  Amends Sections 466.405(b) and (e), Government Code, as follows:

 

(b)  Authorizes the director of the lottery division (director) established by the Texas Lottery Commission to direct payment to the minor by depositing the amount of the prize in any financial institution, rather than bank, to the credit of an adult member of the minor's family or of the minor's guardian as custodian for the minor, if a minor is entitled to prize money on a winning ticket in an amount of $600 or more.

 

(e)  Redefines "adult," "custodian," "minor," and "member of the minor's family."  Defines "financial institution."  Deletes existing definition of "bank."  Makes nonsubstantive changes.

 

SECTION 2.  Effective date:  September 1, 2009.