Source: http://lis.virginia.gov/cgi-bin/legp604.exe?191+ful+HB1638
Timestamp: 2019-02-17 23:40:36
Document Index: 242020940

Matched Legal Cases: ['§ 2', '§ 58', '§ 2', '§ 58', '§ 2', '§ 58', '§ 18', '§ 58', '§ 23', '§ 58', '§ 30', '§ 23', '§ 30', '§ 2', '§ 2', '§ 30', '§ 58', '§ 58', '§ 58', '§ 58', '§ 2', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 2', '§ 58', '§ 58', '§ 18', '§ 59', '§ 59', '§ 18', '§ 59', '§ 59', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 37', '§ 58', '§ 23', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 58', '§ 5361', '§ 58', '§ 58', '§ 58', '§ 58', '§ 59']

HOUSE BILL NO. 1638 Offered January 9, 2019 Prefiled November 20, 2018 A BILL to amend and reenact §§ 2.2-3711, 18.2-334.3, 23.1-3131, 30-309, 30-310, 37.2-304, 58.1-4000, 58.1-4002, 58.1-4007, 58.1-4027, 59.1-364, and 59.1-569 of the Code of Virginia; to amend the Code of Virginia by adding in Chapter 3 of Title 11 a section numbered 11-16.1, by adding in Article 1 of Chapter 3 of Title 37.2 a section numbered 37.2-314.1, by adding a section numbered 58.1-4015.1, and by adding in Chapter 40 of Title 58.1 an article numbered 2, consisting of sections numbered 58.1-4030 through 58.1-4045; and to repeal § 58.1-4007.2 of the Code of Virginia, relating to Virginia Lottery; repeal prohibition against sale of lottery tickets over the Internet; sports betting; Problem Gambling Treatment and Support Fund; Major Research Project Subfund; Sports Betting Operations Fund; penalties. ---------- Patron-- Sickles ---------- Referred to Committee on Rules ----------
1. That §§ 2.2-3711, 18.2-334.3, 23.1-3131, 30-309, 30-310, 37.2-304, 58.1-4000, 58.1-4002, 58.1-4007, 58.1-4027, 59.1-364, and 59.1-569 of the Code of Virginia are amended and reenacted and that the Code of Virginia is amended by adding in Chapter 3 of Title 11 a section numbered 11-16.1, by adding in Article 1 of Chapter 3 of Title 37.2 a section numbered 37.2-314.1, by adding a section numbered 58.1-4015.1, and by adding in Chapter 40 of Title 58.1 an article numbered 2, consisting of sections numbered 58.1-4030 through 58.1-4045, as follows:
52. Deliberations of the Virginia Lottery Board in an appeal conducted pursuant to § 58.1-4007 regarding the denial of, revocation of, suspension of, or refusal to renew a permit related to sports betting and any discussion, consideration, or review of matters related to investigations excluded from mandatory disclosure under subdivision 1 of § 2.2-3705.3.
This chapter shall not apply to any sports betting or related activity that is lawful under Article 2 (§ 58.1-4030 et seq.) of Chapter 40 of Title 58.1.
§ 18.2-334.3. Exemptions to article; lottery; sports betting.
1. Any lottery conducted by the Commonwealth of Virginia pursuant to Article 1 (§ 58.1-4000 et seq.) of Chapter 40 of Title 58.1; or
§ 23.1-3131. Virginia Research Investment Fund; Major Research Project Subfund.
D. 1. There is hereby created in the state treasury a special nonreverting revolving fund to be known as the Major Research Project Subfund (the Subfund). The Subfund shall be established on the books of the Comptroller and shall be a subfund of the Fund. All moneys appropriated by the General Assembly for the Subfund, all tax revenue accruing to the Subfund pursuant to § 58.1-4037, and any gifts, donations, grants, bequests, and other funds received on its behalf shall be paid into the state treasury and credited to the Subfund. Interest and other income earned on the Subfund shall be credited to the Subfund. Any moneys remaining in the Subfund, including interest and other income thereon, at the end of each fiscal year shall not revert to the general fund but shall remain in the Subfund.
§ 30-309. MEI Project Approval Commission; membership; terms; compensation and expenses; definition.
A. The MEI Project Approval Commission (the Commission) is established as an advisory commission in the legislative branch of state government. The purpose of the Commission shall be to review financing for individual incentive packages, including but not limited to packages offering tax incentives, for economic development projects (including but not limited to MEI projects) for which (i) one or more of the incentives in the incentive package is not authorized under current law or an amendment by the General Assembly is being sought to one or more currently existing incentives included as part of the incentive package or; (ii) the aggregate amount of incentives to be provided by the Commonwealth in the incentive package, including grants, tax incentives such as credits and exemptions, general or nongeneral funds, proceeds from bonds, rights to lease property at below fair market value, or any other incentives from the Commonwealth, is in excess of $10 million in value; or (iii) the incentive package to be provided includes a grant or loan from the Major Research Project Subfund established in § 23.1-3131.
E. Legislative members of the Commission shall receive such compensation as provided in § 30-19.12, and nonlegislative members shall receive such compensation as provided in § 2.2-2813.
F. As used in this chapter, "MEI project" means the same as that term is defined in § 2.2-2260.
§ 30-310. Review of incentive packages.
There is hereby created in the state treasury a special nonreverting fund to be known as the Problem Gambling Treatment and Support Fund, referred to in this section as "the Fund." The Fund shall be established on the books of the Comptroller. All moneys required to be deposited into the Fund pursuant to subsection B of § 58.1-4037 shall be paid into the state treasury and credited to the Fund. Interest earned on moneys in the Fund shall remain in the Fund and be credited to it. Any moneys remaining in the Fund, including interest thereon, at the end of each fiscal year shall not revert to the general fund but shall remain in the Fund. Moneys in the Fund shall be used solely for the purposes of (i) providing counseling and other support services for compulsive and problem gamblers, (ii) developing and implementing problem gambling treatment and prevention programs, and (iii) providing grants to supporting organizations that provide assistance to compulsive gamblers. Expenditures and disbursements from the Fund shall be made by the State Treasurer on warrants issued by the Comptroller upon written request signed by the Commissioner.
§ 58.1-4000. Short title.
"Department" means the independent agency responsible for the administration of the Virginia Lottery created in this chapter article and sports betting pursuant to Article 2 (§ 58.1-4030 et seq.).
A. The Board shall have the power to adopt regulations governing the establishment and operation of a lottery pursuant to this article and sports betting pursuant to Article 2 (§ 58.1-4030 et seq.). The regulations governing the establishment and operation of the lottery and sports betting shall be promulgated by the Board after consultation with the Director. Such regulations shall be in accordance with the Administrative Process Act (§ 2.2-4000 et seq.). The regulations shall provide for all matters necessary or desirable for the efficient, honest, and economical operation and administration of the lottery and sports betting and for the convenience of the purchasers of tickets or shares, and the holders of winning tickets or shares, and sports bettors. The regulations, which may be amended, repealed, or supplemented as necessary, shall include, but not be limited to, the following:
14. The operation of sports betting pursuant to Article 2 (§ 58.1-4030 et seq.).
D. The Board shall hear and decide an appeal of any denial by the Director of the licensing or revocation of a license of a lottery agent pursuant to subdivision A 10 of subsection A of this section and subdivision B 5 of subsection B of § 58.1-4006 of this chapter. The Board shall hear and decide an appeal of any penalty, denial of a permit or renewal, or suspension or revocation of a permit imposed by the Director pursuant to Article 2 (§ 58.1-4030 et seq.).
1. Except as provided by regulation of the Board, an individual who participates in the voluntary exclusion program agrees to refrain from buying lottery tickets or shares and from participating in sports betting, as defined in § 58.1-4030.
3. The name of a person participating in the program shall be included on a list of excluded persons. The list of persons entering the voluntary exclusion program and the personal information of the participants shall be confidential, with dissemination by the Board limited to sales agents and permit holders, as defined in § 58.1-4030, for purposes of enforcement. The Board shall disseminate the list to other parties upon request by the participant and agreement by the Board.
§ 58.1-4027. Judicial review.
The action of the Board in (i) granting, or in refusing to grant, or denying a license or registration or in suspending or revoking any license or registration under the provisions of this chapter article and (ii) granting, denying, suspending, or revoking any permit or imposing any penalty pursuant to Article 2 (§ 58.1-4030 et seq.) shall be subject to review in accordance with the provisions of the Administrative Process Act (§ 2.2-4000 et seq.). Such review shall be limited to the evidential record of the proceedings provided by the Board. Both the petitioner and the Board shall have the right to appeal to the Court of Appeals from any order of the court.
§ 58.1-4030. Definitions.
2. Uncollectible gaming receivables. Uncollectible gaming receivables shall not exceed two percent, or a different percentage as determined by the Board pursuant to subsection F of § 58.1-4007, of gross revenue minus all cash paid out as winnings to bettors.
"Professional sports" means an athletic event involving at least two human competitors who receive compensation, in excess of their expenses, for participating in such event. "Professional sports" does not include charitable gaming, as defined in § 18.2-340.16; fantasy contests, as defined in § 59.1-556; or horse racing, as defined in § 59.1-365.
"Sports betting" means placing wagers on professional sports and college sports. "Sports betting" does not include participating in charitable gaming authorized by Article 1.1:1 (§ 18.2-340.15) of Chapter 8 of Title 18.2; wagering on horse racing authorized by Chapter 29 (§ 59.1-364 et seq.) of Title 59.1; or participating in fantasy contests authorized by Chapter 51 (§ 59.1-556 et seq.) of Title 59.1.
§ 58.1-4031. Powers and duties of the Director related to sports betting; reporting.
B. The Board may establish a program, to be directed by the Director, under which the Department operates a sports betting platform. Any revenue received from such platform shall be distributed according to the formula described in § 58.1-4037.
§ 58.1-4032. Applications for sports betting permits; penalty.
D. The Director shall issue no more than five permits pursuant to this section; however, if a permit is revoked, expires, or otherwise becomes not effective, such permit shall not count against the limit. If there are more than five applicants, the Director shall issue permits to those five applicants who he determines will be best able to meet the duties of a permit holder, as specified in § 58.1-4034, and maximize tax revenue pursuant to § 58.1-4036.
E. The Director shall approve an application and grant a permit within 60 days of receipt unless (i) he is prohibited from issuing additional permits pursuant to the provisions of subsection D or (ii) he finds grounds for denial as described in subsection F. The Director's action shall be final unless appealed in accordance with § 58.1-4007.
1. The Director reasonably believes the applicant will be unable to satisfy the duties of a permit holder as described in subsection A of § 58.1-4034;
§ 58.1-4033. Renewals of permits.
A. A permit issued pursuant to § 58.1-4032 shall be valid for three years from the date issued.
C. The Director may deny a permit renewal if he finds grounds for denial as described in subsection F of § 58.1-4032. The Director's action shall be final unless appealed in accordance with § 58.1-4007.
§ 58.1-4034. Duties of permit holders.
3. Prevent betting on events that is prohibited by § 58.1-4038, underage betting as prohibited by § 58.1-4039, and bets by persons who are prohibited from sports betting by § 58.1-4040;
§ 58.1-4035. Civil penalties; suspension and revocation of permits.
If the Director determines that a permit holder has violated this article, he may, with at least 15 days' notice and a hearing, (i) suspend or revoke the permit holder's permit and (ii) impose a monetary penalty of not more than $1,000 for each violation of this article. The Director's action shall be final unless appealed in accordance with § 58.1-4007.
§ 58.1-4036. Tax on adjusted gross revenue.
§ 58.1-4037. Distribution of tax revenue.
A. The Department shall allocate 2.5 percent of the tax revenue collected pursuant to § 58.1-4036 to the Sports Betting Operations Fund established pursuant to § 58.1-4042.
B. The Department shall allocate 2.5 percent of the tax revenue collected pursuant to § 58.1-4036 to the Problem Gambling Treatment and Support Fund established pursuant to § 37.2-314.1.
C. The Department shall allocate the remaining 95 percent of the tax revenue collected pursuant to § 58.1-4036 to the Major Research Project Subfund established pursuant to § 23.1-3131.
§ 58.1-4038. Events on which betting is prohibited; penalty.
§ 58.1-4039. Underage betting prohibited; penalty.
§ 58.1-4040. Persons prohibited from sports betting; penalty.
§ 58.1-4041. Operation and advertising of unpermitted facilities prohibited; penalty.
§ 58.1-4042. Sports Betting Operations Fund.
There is hereby created in the state treasury a special nonreverting fund to be known as the Sports Betting Operations Fund, referred to in this section as "the Fund." The Fund shall be established on the books of the Comptroller. All revenues allocated by the Department under § 58.1-4037 for deposit into the Fund shall be paid into the state treasury and credited to the Fund. Interest earned on moneys in the Fund shall remain in the Fund and be credited to it. Any moneys remaining in the Fund, including interest thereon, at the end of each fiscal year shall not revert to the general fund but shall remain in the Fund. Moneys in the Fund shall be used by the Lottery to fund its operations as it relates to the administration and regulation of sports betting pursuant to this article. Expenditures and disbursements from the Fund shall be made by the State Treasurer on warrants issued by the Comptroller upon written request signed by the chairman of the Board.
§ 58.1-4043. Liquidity pools.
§ 58.1-4044. Intermediate routing of electronic data.
All sports betting shall be initiated and received within Virginia unless otherwise permitted by federal law. Consistent with the intent of the United States Congress as expressed in the Unlawful Internet Gambling Act, 31 U.S.C. § 5361 et seq., the intermediate routing of electronic data relating to lawful intrastate sports betting authorized under this article shall not determine the location in which such bet is initiated and received.
§ 58.1-4045. Certain provisions in Article 1 (§ 58.1-4000 et seq.) to apply, mutatis mutandis.
Except as provided in this article, the provisions of Article 1 (§ 58.1-4000 et seq.) shall apply to sports betting under this article. The Board shall promulgate regulations to interpret and clarify the applicability of Article 1 to this article.
D. This section shall not apply to any sports betting or related activity that is lawful under Article 2 (§ 58.1-4030 et seq.) of Chapter 40 of Title 58.1.
§ 59.1-569. Fantasy contests not illegal gambling or sports betting.