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A JOINT RESOLUTION
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proposing a constitutional amendment authorizing the legislature |
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to legalize the operation of video gaming in this state by persons |
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and organizations licensed to conduct bingo or lease bingo premises |
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and providing that federally recognized Indian tribes are not |
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prohibited from conducting gaming on certain Indian lands. |
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BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 47, Article III, Texas Constitution, is |
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amended by amending Subsection (a) and adding Subsection (f) to |
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read as follows: |
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(a) The Legislature shall pass laws prohibiting lotteries |
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and gift enterprises in this State other than those authorized by |
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Subsections (b), (d), [and] (e), and (f) of this section and Section |
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47a of this article. |
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(f) This section does not prohibit a federally recognized |
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Indian tribe from conducting video gaming on land in this state that |
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was held in trust or recognized as tribal land of the tribe by the |
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United States on January 1, 1998. The prohibitions provided by |
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Section 47a of this article do not apply to video gaming by an |
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Indian tribe on such land. |
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SECTION 2. Article III, Texas Constitution, is amended by |
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adding Section 47a to read as follows: |
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Sec. 47a. (a) In this section, "gross gaming income" means |
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the total amount of consideration paid to play a video gaming game |
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less any amounts paid for video gaming prizes. |
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(b) The legislature by general law in accordance with this |
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section may authorize the operation of video gaming in this state in |
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which individuals play games of chance, including games of chance |
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that require some skill, operated by persons licensed to conduct |
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video gaming. The law must: |
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(1) provide for the regulation of all video gaming by |
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this state; |
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(2) limit video gaming operations in this state to |
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gaming operated by persons or organizations that on January 1, |
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2011, were licensed to conduct bingo or to lease bingo premises |
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under state law; |
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(3) limit video gaming operations in this state to |
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gaming operations in counties, justice precincts, and incorporated |
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cities and towns that have held elections in which the conduct of |
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bingo games in the jurisdiction was approved by the voters of the |
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jurisdiction as required under Section 47(b) of this article; |
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(4) provide: |
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(A) a comprehensive licensing program, including |
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necessary background investigations, to govern a person who |
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conducts or assists in the conduct of video gaming operations in |
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this state or who manufactures, distributes, installs, repairs, or |
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alters video gaming games and equipment for use or play in this |
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state; and |
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(B) procedures for the approval, monitoring, and |
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inspection of video gaming operations as necessary to protect the |
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public health, welfare, and safety and the integrity of the state |
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and to prevent financial loss to this state; |
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(5) prohibit and impose criminal penalties for the |
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possession and operation of all gaming devices other than devices |
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operated in connection with authorized video gaming operations or |
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gaming devices otherwise authorized by state law; |
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(6) provide that not more than 20 percent of the gross |
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gaming income generated from video gaming operated by a licensed |
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person or organization be transferred to this state as provided by |
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general law; |
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(7) require that 10 percent of the gross gaming income |
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generated from video gaming operated by a licensed person or |
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organization at a location be transferred to: |
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(A) the charitable organization conducting bingo |
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at the location; or |
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(B) if more than one charitable organization is |
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conducting bingo at the location, the organizations in equal |
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amounts; |
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(8) limit the use by charitable organizations of video |
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gaming proceeds to the uses authorized by law for charitable bingo |
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proceeds; |
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(9) include responsible gaming provisions that: |
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(A) to protect the security and integrity of |
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video gaming, require mandatory exclusion of specified classes of |
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persons from playing a video gaming game; and |
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(B) allow persons to be excluded voluntarily; |
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(10) prohibit admission to video gaming premises by |
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any individual who is less than 18 years of age and prohibit the |
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play of a video gaming game by an individual who is less than 21 |
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years of age; |
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(11) prohibit the play of video gaming games by an |
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individual using any consideration borrowed from the person or |
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organization licensed to conduct video gaming or obtained through a |
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credit card or similar credit transaction; and |
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(12) require the regulatory agency that oversees video |
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gaming to: |
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(A) monitor the performance of video gaming |
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systems and to direct the disabling of a video system or any |
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component of the system when necessary to protect the security, |
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accounting, revenue collection, and integrity of video gaming |
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operations; or |
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(B) contract with a qualified person for the |
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person to perform the duties described by Paragraph (A) of this |
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subdivision. |
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(c) The general law authorizing the operation of video |
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gaming in this state may: |
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(1) require a manufacturer of video gaming equipment |
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to supply to this state, at no cost to the state, sufficient |
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equipment and software to allow the regulatory agency that oversees |
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video gaming to perform the agency's regulatory functions; |
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(2) authorize the regulatory agency that oversees |
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video gaming to adopt by reference all or part of the security, |
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accounting, and equipment standards adopted by another state, the |
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United States, or the National Indian Gaming Commission; and |
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(3) subject to the limitations provided by this |
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section and as required to protect the security, accounting, |
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revenue collection, and integrity of video gaming operations, |
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provide for rapid implementation of video gaming to expedite and |
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maximize the receipt of revenue by this state and charitable |
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organizations. |
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(d) In the absence of enabling legislation to implement |
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Subsection (b) of this section, the authority of this state to |
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authorize and regulate bingo games under Section 47(b) of this |
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article includes the authority of the state agency that regulates |
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bingo to adopt rules to implement video gaming operations in |
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accordance with Subsection (b) of this section. |
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(e) All shipments of video gaming equipment or other gaming |
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devices into, out of, or within this state authorized under this |
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section or a law enacted under this section are legal shipments of |
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the devices and are exempt from the provisions of 15 U.S.C. Sections |
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1171-1178 prohibiting the transportation of gambling devices. |
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(f) Subject to Subsection (g) of this section, the general |
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law authorizing the operation of video gaming in this state must |
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limit the number of video gaming terminals that may be located at a |
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video gaming premises as follows: |
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(1) not more than 30 video gaming terminals may be |
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operated at a video gaming premises where: |
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(A) a charitable organization conducts video |
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gaming at a bingo premises that is not leased from a licensed bingo |
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lessor; or |
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(B) one or more charitable organizations conduct |
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video gaming at a bingo premises leased from a licensed bingo lessor |
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who received not more than $30,000 from the organizations for lease |
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of the bingo premises in 2010; |
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(2) not more than 60 video gaming terminals may be |
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operated at a video gaming premises where one or more charitable |
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organizations conduct video gaming at a bingo premises leased from |
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a licensed bingo lessor who received more than $30,000 but not more |
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than $70,000 from the organizations for lease of the bingo premises |
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in 2010; and |
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(3) not more than 120 video gaming terminals may be |
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operated at a video gaming premises where one or more charitable |
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organizations conduct video gaming at a bingo premises leased from |
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a licensed bingo lessor that received more than $70,000 from the |
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organizations for lease of the bingo premises in 2010. |
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(g) The legislature by general law may increase the limits |
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on the number of video gaming terminals that may be operated at a |
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video gaming premises under Subsection (f) of this section, |
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provided the law does not authorize the number of video gaming |
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terminals at any video gaming premises to exceed those limits |
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before December 1, 2016. |
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SECTION 3. This proposed constitutional amendment shall be |
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submitted to the voters at an election to be held November 8, 2011. |
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The ballot shall be printed to permit voting for or against the |
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proposition: "The constitutional amendment authorizing the |
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legislature to legalize the operation of video gaming in this state |
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by persons and organizations licensed to conduct bingo or lease |
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bingo premises and providing that federally recognized Indian |
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tribes are not prohibited from conducting gaming on certain Indian |
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lands." |