BILL ANALYSIS
Senate Research Center S.B. 227
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
Currently, Texas collects a five percent fee on all bingo prizes.
As proposed, S.B. 227 requires the Texas Lottery Commission to collect a five percent fee on lottery prize winnings of $600 or more, and requires that the fees collected be deposited to the general revenue fund and appropriated only to fund the TEXAS Grants Program.
RULEMAKING AUTHORITY
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Subchapter I, Chapter 466, Government Code, by adding Section 466.4055, as follows:
Sec. 466.4055. PRIZE FEE. (a) Requires the director of the lottery division to collect from a person who is paid a prize of $600 or more a fee in the amount of five percent of the amount of the prize.
(b) Requires that fees collected under this section be deposited to the credit of the general revenue fund and be appropriated only to fund the TEXAS grant program administered under Subchapter M (Toward Excellence, Access, & Success (TEXAS) Grant Program), Chapter 56 (Student Financial Assistance), Education Code.
SECTION 2. Makes application of Section 466.4055, as added by this Act, prospective.
SECTION 3. Effective date: September 1, 2009.