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A BILL TO BE ENTITLED
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AN ACT
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relating to contracting with a lottery operator by the Texas |
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Lottery Commission. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. The heading to Section 466.014, Government Code, |
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is amended to read as follows: |
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Sec. 466.014. POWERS AND DUTIES OF COMMISSION AND EXECUTIVE |
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DIRECTOR; LOTTERY OPERATOR. |
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SECTION 2. Section 466.014, Government Code, is amended by |
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amending Subsection (b) and adding Subsections (d) and (e) to read |
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as follows: |
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(b) The executive director may contract with or employ a |
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person to perform a function, activity, or service in connection |
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with the operation of the lottery as prescribed by the executive |
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director. A person with whom the executive director contracts to |
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operate a lottery must be eligible for a sales agent license under |
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Section 466.155, except that when applying Section |
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466.155(a)(2)(A) to the lottery operator, Section |
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466.155(a)(1)(D)(ii) does not apply. |
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(d) Notwithstanding any other law, the executive director |
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may contract with a lottery operator to act as a sales retailer or |
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license a lottery operator as a sales agent under terms, |
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conditions, and rates and at locations approved by the executive |
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director. |
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(e) This section does not authorize a lottery operator to |
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sell a lottery ticket through the Internet. |
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SECTION 3. Section 466.155(a), Government Code, is amended |
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to read as follows: |
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(a) After a hearing, the director shall deny an application |
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for a license or the commission shall suspend or revoke a license if |
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the director or commission, as applicable, finds that the applicant |
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or sales agent: |
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(1) is an individual who: |
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(A) has been convicted of a felony, criminal |
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fraud, gambling or a gambling-related offense, or a misdemeanor |
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involving moral turpitude, if less than 10 years has elapsed since |
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the termination of the sentence, parole, mandatory supervision, or |
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probation served for the offense; |
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(B) is or has been a professional gambler; |
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(C) is married to an individual: |
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(i) described in Paragraph (A) or (B); or |
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(ii) who is currently delinquent in the |
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payment of any state tax; |
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(D) is an officer or employee of: |
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(i) the commission; or |
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(ii) a lottery operator; or |
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(E) is a spouse, child, brother, sister, or |
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parent residing as a member of the same household in the principal |
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place of residence of a person described by Paragraph (D); |
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(2) is not an individual, and an individual described |
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in Subdivision (1): |
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(A) is an officer or director of the applicant or |
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sales agent; |
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(B) holds more than 10 percent of the stock in the |
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applicant or sales agent; |
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(C) holds an equitable interest greater than 10 |
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percent in the applicant or sales agent; |
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(D) is a creditor of the applicant or sales agent |
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who holds more than 10 percent of the applicant's or sales agent's |
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outstanding debt; |
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(E) is the owner or lessee of a business that the |
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applicant or sales agent conducts or through which the applicant |
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will conduct a ticket sales agency; |
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(F) shares or will share in the profits, other |
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than stock dividends, of the applicant or sales agent; or |
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(G) participates in managing the affairs of the |
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applicant or sales agent; |
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(3) has been finally determined to be: |
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(A) delinquent in the payment of a tax or other |
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money collected by the comptroller, the Texas Workforce Commission, |
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or the Texas Alcoholic Beverage Commission; |
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(B) in default on a loan made under Chapter 52, |
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Education Code; or |
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(C) in default on a loan guaranteed under Chapter |
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57, Education Code; |
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(4) is a person whose location for the sales agency is: |
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(A) a location licensed for games of bingo under |
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Chapter 2001, Occupations Code; |
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(B) on land that is owned by: |
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(i) this state; or |
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(ii) a political subdivision of this state |
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and on which is located a public primary or secondary school, an |
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institution of higher education, or an agency of the state; or |
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(C) a location for which a person holds a wine and |
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beer retailer's permit, mixed beverage permit, mixed beverage late |
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hours permit, private club registration permit, or private club |
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late hours permit issued under Chapter 25, 28, 29, 32, or 33, |
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Alcoholic Beverage Code; or |
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(5) has violated this chapter or a rule adopted under |
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this chapter. |
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SECTION 4. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2011. |