HB 1383 - AS INTRODUCED

2001 SESSION

01-2154

08/04

HOUSE BILL 1383

AN ACT relative to lucky 7.

SPONSORS: Rep. Heon, Straf 14

COMMITTEE: Ways and Means

ANALYSIS

This bill allows the playing of lucky 7 style games through mechanical means.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

01-2154

08/04

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand One

AN ACT relative to lucky 7.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Administration and Enforcement. Amend RSA 287-E:16 to read as follows:

287-E:16 Administration and Enforcement. The sweepstakes commission shall administer and the commissioner of safety shall enforce this subdivision relating to the sale of lucky 7 tickets and the operation of lucky 7 vending machines.

2 New Paragraph; Definitions. Amend RSA 287-E:16-a by inserting after paragraph III the following new paragraph:

IV. "Lucky 7 vending machine" means a machine in which a coin is deposited and pays a prize according to the matching symbols on wheels spun by a handle.

3 Licenses. Amend RSA 287-E:17 to read as follows:

287-E:17 Lucky 7 Licenses Required. No person shall sell lucky 7 tickets or allow operation of a lucky 7 vending machine without a current and valid lucky 7 license issued under this chapter.

4 Rulemaking. Amend RSA 287-E:18, III to read as follows:

III. The sale of lucky 7 tickets or lucky 7 vending machines.

5 New Paragraph; Rulemaking. Amend RSA 287-E:18 by inserting after paragraph V the following new paragraph:

VI. The licensing of manufacturers and distributors of lucky 7 vending machines.

6 Lucky 7 Licenses. Amend RSA 287-E:20 to read as follows:

287-E:20 Lucky 7 Licenses. The commission may issue a lucky 7 license to a charitable organization for the sale of lucky 7 or similar tickets and operation of a lucky 7 vending machine under the following conditions:

I. The license shall specify where the tickets or machine operation may be offered for sale, provided that the license shall not authorize a charitable organization to sell lucky 7 tickets or operate a lucky 7 vending machine except at a place where a bingo game has been authorized, or in a town or city which has authorized the sale of lucky 7 tickets and operation of lucky 7 vending machines under RSA 287-E:27.

II. The price of any lucky 7 ticket pack, [or] ticket card, or single play of a lucky 7 vending machine shall not exceed $.50.

III. The license shall not be transferable, shall expire on the last day of the month for which it was issued, and shall only be valid for one location. A separate license shall be obtained for each location at which lucky 7 tickets are to be sold or lucky 7 vending machines are operated.

IV. At least 45 percent of the gross revenues from the sale of lucky 7 tickets shall be paid as prizes.

V. Lucky 7 licenses shall be prominently displayed in the area in which the lucky 7 tickets are sold or lucky 7 vending machines are operated.

VI. Only charitable organizations as defined in RSA 287-E:1, V shall be eligible for licensing.

7 Distributors and Manufactures. Amend the introductory paragraph of RSA 287-E:23 and RSA 287-E:23, I to read as follows:

287-E:23 Distributors and Manufacturers of Tickets and Lucky 7 Vending Machines. The commission shall license distributors and manufacturers to supply lucky 7 tickets and lucky 7 vending machines sold in this state. Every lucky 7 ticket or lucky 7 vending machine sold in this state shall be purchased from a licensed distributor and manufactured by a licensed manufacturer. A license shall be issued to a distributor or manufacturer under the following conditions; provided that the commission may, by rule, establish additional qualifications for licenses:

I. The applicant for a distributor's license shall pay to the commission an annual license or license renewal fee of $10,000. Such fee shall authorize the distribution of lucky 7 or similar break-open tickets within the state of New Hampshire and the warehousing of lucky 7 or similar break-open tickets or lucky 7 vending machines for subsequent sale out of state.

8 Financial Reports and Inspections. Amend RSA 287-E:24 to read as follows:

287-E:24 Financial Reports and Inspections.

I. A charitable organization shall submit a complete financial report for each license issued under RSA 287-E:20 to the commission within 15 days after the expiration date of the license.

II. The financial report shall be completed by the treasurer of the charitable organization or a duly authorized officer, director, or official of the charitable organization who shall certify such accounting under oath.

III. The financial report shall include:

(a) A complete statement of all revenues and expenses.

(b) A record of the amount of prizes awarded.

(c) The names and addresses of the members who participated in the sale of lucky 7 tickets or the operation of lucky 7 vending machines.

(d) The name and address of the distributor from whom the lucky 7 tickets or lucky 7 vending machines were purchased.

IV. All expenses and all cash prizes over $500 shall be paid by check, and the charitable organization shall retain canceled checks for the payment of expenses and prizes for a period of 2 years.

V. All financial reports filed by charitable organizations shall be maintained by the commission for a period of one year from the date of filing and shall be open to public inspection.

VI. All financial records pertaining to the sale of lucky 7 tickets or operation of lucky 7 vending machines shall be maintained by the treasurer of the charitable organization or other duly authorized director, officer or official of the charitable organization and shall be made available to representatives of the commission or the commissioner of safety upon request.

VII. A charitable organization shall maintain complete and accurate documentation of all revenues and expenses contained in the financial reports for at least 2 years from the date the financial report is filed.

9 Referendum. Amend RSA 287-E:27, I(a) to read as follows:

287-E:27 Referendum.

I.(a) Any city or town desiring to adopt the provisions of RSA 287-E may do so by presenting the following question to the voters: "Shall we adopt the provisions of RSA 287-E relative to the conduct of games of bingo and the sale of lucky 7 tickets and operation of lucky 7 vending machines?"

10 Continuing Operation. Amend RSA 287-E:27-a to read as follows:

287-E:27-a Continuing Bingo and Lucky 7 Where Established. Any city or town currently conducting bingo or lucky 7 or lucky 7 vending machines shall be allowed to continue such activities until and unless rescinded pursuant to RSA 287-E:27, IV.

11 Application. Amend RSA 287-E:28 to read as follows:

287-E:28 Application of Chapter. The provisions of RSA 647 relative to gambling offenses shall not apply to bingo games or to the sale of lucky 7 tickets or lucky 7 vending machines if such bingo games and lucky 7 ticket sales or lucky 7 vending machines are conducted in strict compliance with the provisions of this chapter.

12 Effective Date. This act shall take effect 60 days after its passage.