An Act To
Maine Legislature, Session 121, LD 1370
Committee Amendment CA_A_H535 (House)

COMMITTEE AMENDMENT "n" to 
Enact the Maine Tribal Gaming Act" 
LB. 1, L.D. 1370, "An Act To 
Amend the bill by striking out the title and substituting 
the following: 
'An Act To Enact the Maine Casino Gaming Act' 
Further amend the bill by striking out everything after the 
enacting clause and before the summary and inserting in its place 
the following: 
'Sec. 1. 25 MRSA Pt. 11 is enacted to read: 
PART 11 
GAMING 
CHAPTER 501 
MAINE CASINO GAMING ACT 
§5001. 
Short title 
This chapter may be known and cited as "the Maine Casino 
Gaming Act." 
§5002. 
Legislative intent 
This Act is intended to benefit the people of this State by 
promoting 
tourism 
and 
assisting 
economic 
development. 
The 
public's confidence and trust will be maintained only through: 
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1. 
Supervision. 
Comprehensive law enforcement supervision; 
2. 
Regulation. 
Strict regulation of facilities, persons, 
associations and gaming operations under this Act. 
§5003. 
Definitions 
As 
used in this chapter, 
unless 
the 
context 
otherwise 
indicates, the following terms have the following meanings. 
1. 
Affordable housing. 
"Affordable housing" means decent. 
safe 
and 
sanitary 
dwellings, 
apartments 
or 
other 
liying 
accommodations within the means of employees who may be employed 
by the gaming facility and related employer. 
2. 
Bazaar game. 
"Bazaar 
game" 
means 
a 
game, 
sport, 
amusement, diversion, scheme, plan, project, contest, undertaking 
or enterprise in which chance, 
fortune, 
luck or lot is the 
predominating factor or element in the winning or awarding of a 
prize but 
does 
not 
include 
a 
lottery or 
any 
game, 
sport, 
amusement, 
diyersion, 
scheme, 
plan, 
project, 
contest 
or 
undertaking in which the skill, accomplishment, art or adroitness 
of the operator or participant is the primary factor in the 
winning or awarding of a prize. 
3. 
Entexprise. 
"Enterprise" means an individual, trust. 
corporation, partnership or other legal entity of any kind. 
With 
respect to 
any corporation, 
"enterprise" includes 
each other 
corporation or other legal entity that, directly or indirectly, 
controls a majority of the voting interests in that corporation. 
With 
respect 
to 
any 
partnership, 
trust 
or 
other 
form 
of 
unincorporated business organization, "enterprise" includes each 
corporation or other legal entity that, directly or indirectly, 
controls a majority of the voting interests in that organization. 
4. 
Gaming. 
"Gaming" means 
any game of chance or other 
gaming or wagering activity, inclUding, but not limited to, those 
activities specifically identified in section 5005. 
5. 
Gaming employee. 
"Gaming employee" means any natural 
person 
employed 
in 
the 
operation 
or 
management 
of 
gaming 
facilities, whether employed by a licensed gaming operator or by 
an enterprise providing on-site seryices to the licensed gaming 
operator within a gaming facility. 
6. 
Gaming equipment. 
"Gaming equipment" means a machine or 
device that is specifically designed or manufactured for use in 
the operation of any gaming activity. 
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COMMITTEE AMENDMENT ,,~, to LB. 1, L.D. 1370 
7. 
Gaming facility. 
"Gaming facility" means 
a 
room or 
rooms in which gaming is conducted on the site. 
8. 
Gaming 
operation. 
"Gaming 
operation" 
means 
an 
enterprise operated by the licensed gaming operator on the site 
for the conduct of gaming in a gaming facility. 
9. 
Gaming school. 
"Gaming school" 
means 
an enterprise 
organized to provide specialized training to gaming employees for 
the conduct of gaming other than a 
program operated by the 
licensed gaming operator. 
10. 
Gaming services. 
"Gaming services" means the provision 
of goods or services to a licensed gaming operator directly in 
connection with the operation of gaming in a gaming facility, 
including 
maintenance 
or 
security 
services 
for 
the 
gaming 
facility, junket services, gaming schools, laboratory testing of 
gaming equipment including video facsimile machines and lottery 
tickets and the manufacture, distribution, maintenance or repair 
of gaming equipment, but not including professional or financial 
services provided by persons licensed or registered under the 
laws of the State, the Federal Government or other states of the 
United States. 
11. 
Junket 
services. 
"Junket 
services" 
means 
any 
arrangement to facilitate the attendance at a gaming facility of 
patrons selected by reason of their propensity to gamble by 
providing to such patrons any consideration, including cash or 
rebates 
or 
reduced 
charges 
for 
goods 
or 
services 
such 
as 
transportation, 
lodging, 
food, 
beverage 
or 
entertainment. 
"Junket services" does 
not include enterprises that function 
solely to provide common transportation to a gaming facility for 
the public without limitation to selected patrons. 
12. 
Labor 
market 
average 
weekly 
wage. 
"Labor 
market 
average weekly wage" means the average weekly wage as determined 
by the Department of Labor for the labor market or markets in 
which a site is located for the 12 most recently reported months 
preceding the date on which an application under section 5004 is 
filed. 
13. 
Labor 
market 
UD,empl~nt 
rate. 
"Labor 
market 
unemployment 
rate" 
means 
the 
average 
unemployment 
rate 
as 
determined by the Department of Labor for the labor market or 
markets in which a site is located for the 12 most recently 
reported months preceding the date on which an application under 
section 5004 is filed. 
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14. Licensed gaming operator. 
"Licensed gaming operator" 
means 
a 
corporation, partnership, limited partnership, limited 
liability company or other entity established for the purpose of 
developing, 
owning or operating a 
gaming facility or gaming 
facilities or a gaming operation or gaming operations that is 
licensed by the state gaming agency to conduct gaming under this 
chapter. 
15. 
Lottexy. 
"Lottery" means any gaming for which tickets 
are 
sold, 
the 
winning 
ticket 
or 
tickets 
being 
secretly 
predetermined or ultimately selected in a 
chance drawing, 
in 
which the holders of winning tickets receive money or something 
of value. 
16. 
Principal. 
"Principal" 
means 
with 
respect 
to 
an 
enterprise: 
A. 
Each of its officers and directors: 
B. 
Each of its principal management employees, including 
any chief executive officer, chief financial officer, chief 
operating officer or general manager; 
C. 
Each of its general partners if the enterprise is a 
general or limited partnership: 
D. 
Each of its managing members if the enterprise is a 
limited liability company: 
E. 
Each of its shareholders who owns more than 10% of the 
shares of the enterprise if the enterprise is a corporation: 
F. 
Each of its owners or partners if the enterprise is an 
unincorporated business other than a limited partnership or 
a limited liability company; and 
G. 
Each person, other than a banking institution, pension 
fund, commercial finance company, equipment leasing company, 
investment bank, qualified institutional buyer as defined in 
Rule 
l44A of the United States Securities 
and Exchange 
Commission, insurance company, regulated investment company, 
other financial institution, state of the United States, 
political subdivision of a state of the United States and 
agency. authority or instrumentality of a state or political 
subdivision, that has provided financing for the enterprise 
constituting more than lOq,o of the total financing of the 
enterprise provided that a person who purchases indebtedness 
of an enterprise through a nationally recognized securities 
exchange 
or 
bond 
trading 
system 
is 
not 
considered 
a 
principal. 
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COMMITTEE AMENDMENT .. A 
.. to I.B. 1, L.D. 1370 
17. 
Site. 
"Site" means one or more contiguous parcels of 
land owned or leased by a 
licensed gaming operator wi thin a 
single city, town or plantation of the State or within 2 or more 
contiguous cities, towns or plantations of the State provided 
that the legislative body of each such city, town or plantation 
has approved the parcel or parcels for the conduct of all gaming 
operations permitted under this chapter. 
18. 
State. 
"State" means 
the State of Maine 
and its 
authorized officials, agents and representatives. 
19. 
State gaming agency. 
"State gaming agency" means the 
Department of Public Safety. 
20. 
State law enforcement agency. 
"State law enforcement 
agency" means the Maine State Police. 
21. 
Video 
facsimile. 
"Video 
facsimile" 
means 
any 
mechanical, electrical or other device, contrivance or machine 
that, upon insertion of a coin, currency, token or similar object 
or upon payment of any consideration whatsoever, is available to 
play or operate, the play or operation of which includes, but is 
not limited to, the playing of a facsimile of a game of chance or 
skill, and that may deliver or entitle the person playing or 
operating the machine to receive cash or tokens to be exchanged 
for cash or to receive any merchandise or thing of value, whether 
the payoff is made automatically from the machine or in any other 
manner whatsoever. 
§5004. 
Selection of licensed gaming qperator: site 
1. 
Selection of gamigg qperator to be licensed: rules. 
The 
state gaming 
agency 
shall 
adopt 
rules consistent with this 
chapter 
establishing 
the 
application 
procedure 
and 
minimum 
requi rements for selection as a licensed gaming operator. 
The 
state gaming agency may license only one gaming operator in the 
State and only one site. 
Selection must be thrQugh a competitive 
bid 
process 
in 
which 
at 
least 
the 
following 
factors 
are 
considered in making a selection that will maximize the benefit 
to the people of this State: 
A. 
The applicant has a legal interest in real property 
meeting the site selection criteria under subsection 2; and 
B. 
The amount of the fee to be paid under section 5014, 
subsection 3. 
2. 
Prohibited locations. 
The site may not be reservation 
lands of either the Penobscot Nation or the PasSamaquoddy Tribe, 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT "A" to 1. B . 1, L . D. 13 7 0 
may not be Indian lands within the meaning of 25 United States 
Code. Section 2703. may not be Indian country within the meaning 
of the Johnson Act. 15 United States Code. Section 1175 and may 
not 
be 
Passamaquoddy 
Indian 
territory 
or 
Penobscot 
Indian 
territory within the meaning of Title 30, section 6203. 
3. 
Site selection criteria: rules. 
The state gaming agency 
shall adopt rules for the selection of the site. 
In selecting 
the site. the state gaming agency shall give priority to sites 
that meet the following requirements: 
A. 
The site is within a labor market area for which the 
labor market unemployment rate is greater than the state 
unemployment 
rate 
at 
the 
time 
of 
application 
under 
subsection 1; 
B. 
The site is within a labor market area for which the 
labor market average weekly wage is below the state average 
weekly wage at the time of application under subsection I: 
C. 
The requirements contained in paragraphs A and B may be 
waived for a site that is within a labor market area that 
has 
sustained a 
greater than 
5% 
loss of popUlation or 
workforce during the 3-year period immediately preceding the 
time of application under subsection 1 if the loss is caused 
by business closings; and 
D. 
The site is located within reasonable commuting distance 
of 
a 
sufficient 
quantity 
of 
affordable 
housing 
to 
accommodate the projected number of employees. 
4. 
Economic 
deyelognent 
incentives: 
ineligibility. 
A 
licensed gaming operator is not eligible to receive any economic 
development incentives for which a recipient must report under 
Title 5, section 13070-J. 
5. 
Licensing agreement. 
Once a gaming operator is licensed 
by the state gaming agency pursuant to this chapter. the licensed 
gaming operator and the state gaming agency shall enter into a 
licensing agreement that sets out the requirements and conditions 
of the license. including the gaming license fee to be paid to 
the State pursuant to section 5014. subsection 3. 
§5005. 
Authorized gaming operations 
1. 
Authorized games. 
The 
licensed gaming operator may 
conduct. 
on 
one 
site 
and 
subject 
to 
this 
chapter 
and 
notwithstanding any other provision of the laws of the State. any 
and 
all 
forms 
of 
gaming 
and 
wagering. 
including 
without 
limitation: 
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. to LB. 1, L.D. 1370 
A. 
Card games, 
table games 
gnd other games of chance, 
including 
without 
limitgtion 
blgckjgck, 
poker, 
dice, 
roulette, baccgrat, money wheels and bingo; 
B. 
Any 
bgzagr ggme, 
but only if conducted solely for 
merchgndise prizes; 
C. 
Any lottery game; and 
D. 
Video facsimiles, 
including without limitgtion video 
facsimiles of any card game, tgble game or other game of 
chance, 
including without limitgtion 
those 
described in 
parggraph A. 
2. 
Prohibition on attendance of minors. 
A person under the 
m~n~mum gge for purchase of alcoholic bevergges under the 19ws of 
the State may not be admitted into gny gaming facility other than 
fgcilities limited to the play of bazagr games or be permitted to 
place any wgger, directly or indirectly, other than on bazaar 
games, except that minors may receive lottery tickets or chances 
as gifts gnd minors may be employed in the gaming fgcilities if 
they are licensed in accordance with section 5007 and are not 
employed in serving intoxicating liguors and their employment is 
in gl1 respects in conformity with the laws and rules of the 
Stgte. 
3. 
ColI\Pliance with reporting requirements. 
The licensed 
gaming operator shgll comply with all applicable reporting and 
withholding reguirements of the Interngl Revenue Service relating 
to all forms of gaming conducted at the site, shall maintain 
accurate 
records of all such reports 
gnd 
returns 
and shgll 
implement policies gnd procedures gdeguate to ensure compliance 
with such obligations in its gaming opergtions. 
4. 
Expiration of authority. 
Unless extended, the guthority 
granted 
under 
this 
chgpter 
to 
conduct 
gaming 
opergtions 
termingtes on the 20th anniversgry of the date of legislative 
approval of the rules proposed by the stgte gaming agency under 
section 5010. 
§5QQ6. 
Law enforCement matters 
I. 
Application of existing laws. 
Title 17, chgpter 14 and 
Title 17-A, chgpter 39 do not apply to ggming conducted pursuant 
to this chgpter. 
2. 
Powers of state law enforCement officers. 
Officers of 
the state 19w enforcement ggency must be gccorded free access to 
gny ggming fgcilities for the purpose of mgintgining public order 
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COMMITTEE AMENDMENT .. If.. to 1. B. 1, L . D . 1370 
and public safety and enforcing applicable criminal laws of the 
State as permitted under this section; and personnel employed by 
the licensed gaming operator shall for such purposes provide 
officers of the state law enforcement agency access to locked and 
secure areas of the gaming facilities in accordance with the 
standards of management and operation adopted pursuant to section 
5009. 
The state law enforcement agency may station one or more 
officers at the site to coordinate law enforcement within the 
site generally. 
§5007. 
Licensing of gaming emplqyees 
1. 
Regyirements for elDplo.yee licensing. 
A person may not 
commence or continue employment as a gaming employee unless that 
person is the holder of a valid current gaming employee license 
issued by the state gaming 
agency in accordance with rules 
adopted by the state gaming agency pursuant to section 5010. 
2. 
License denial. 
The state gaming agency may deny a 
gaming employee license to an applicant who: 
A. 
Has 
been 
determined 
to 
be 
a 
person 
whose 
prior 
activities, criminal record, if any, or reputation, habits 
and associations pose a threat to the effective regulation 
of gaming or create or increase the danger of unfair or 
illegal practices, methods and activities in the conduct of 
the gaming activities permitted under this chapter: provided 
that the State may not apply standards for approval of 
licenses pursuant to this section more rigorously than those 
actually applied in the approval of employee licenses in 
gaming enterprises operated or regulated exclusively by the 
State: or 
B. 
Has 
failed 
to 
provide 
any 
information 
reasonably 
reguired 
to 
investigate 
the 
application 
for 
a 
gaming 
employee license or to reveal any fact material to such 
application or has furnished any information that is untrue 
or misleading in connection with such application. 
3. 
Revocation or suspension of license. 
The state gaming 
agency or the state law enforcement agency may investigate any 
person who holds a gaming employee license at any time and the 
state gaming agency may suspend or revoke any gaming employee 
license 
issued pursuant 
to 
this chapter if 
new 
information 
concerning facts arising either prior to or since the issuance of 
the 
original 
license 
or 
any 
license 
renewal 
comes 
to 
the 
attention of the state gaming agency, which information would 
justify denial of the original license or any license renewal 
pursuant to subsection 2. 
A license may not be 
revoked or 
suspended except after notice and hearing as generally reguired 
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COMMITTEE AMENDMENT "A" to LB. 1, L.D. 1370 
for similar administrative actions under the Maine Administrative 
Procedure Act. 
4. 
Appeal of license decisions. 
A decision of the state 
gaming agency to deny. suspend or revoke a license pursuant to 
this section. following any administrative review or appeal that 
may be permitted by the state gaming agency in accordance with 
procedures that it may establish, constitutes final agency action 
subject to judicial review in the manner provided by the laws of 
the State for judicial review of administrative actions affecting 
similar rights. 
5. 
Investigation of nongaming emplo.yees. 
The state law 
enforcement agency may investigate misconduct of employees of the 
licensed gaming operator or any other entity who are not gaming 
employees but who are employed in ancillary facilities located 
within the 
Sarne 
building as 
any 
gaming facility: 
and 
such 
employees 
must 
be 
dismissed 
from 
such 
employment 
upon 
notification by the state law enforcement agency that their 
conduct in the course of their employment in such ancillary 
facilities poses a threat to the effective regulation of gaming 
or 
creates 
or 
enhances 
the 
dangers 
of 
unfair 
or 
illegal 
practices, 
methods 
and activities in the 
conduct of gaming, 
subject to the Same rights of appeal as are provided in the Maine 
Administrative Procedure Act. 
§5008. 
Registration of gaming services ente~rises 
1. 
Reqyirement for registration. 
An enterprise may not 
provide gaming services or gaming eguipment to the licensed 
gaming operator unless it is the holder of a valid current gaming 
services 
registration issued by the state gaming 
agency in 
accordance with rules adopted by the state gaming agency pursuant 
to section 5010. 
2. 
Denial of registration. 
The state gaming agency may 
deny a gaming services registration to any applicant upon its 
determination that the applicant or any principal identified with 
the applicant; 
A. 
Is a person or entity whose prior activities, criminal 
record, if any. or reputation. habits and associations pose 
a threat to the effective regulation of gaming or create or 
increase the danger of unfair or illegal practices, methods 
and activities in the conduct of the 
gaming activities 
permitted under this chapter. 
The State may not apply 
standards for approval of registrations pursuant to this 
section more rigorously than those actually applied in the 
approval of similar licenses in gaming enterprises operated 
or regulated exclusively by the State; or 
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COMMITTEE AMENDMENT ,,~, to LB. 1, L.D. 1370 
B. 
Has 
failed 
to 
provide 
any 
information 
reasonably 
required 
to 
investigate 
the 
application 
for 
a 
gaming 
services registration or to reveal any fact material to the 
application or has furnished any information that is untrue 
or misleading in connection with the application. 
3. 
Revocation or suspension of registration. 
The state 
gaming agency or the state law enforcement agency may investigate 
any enterprise or principal of such enterprise that holds a 
gaming services registration license at any time and the state 
gaming 
agency 
may 
suspend 
or 
revoke 
any 
gaming 
services 
registration issued pursuant to this chapter if new information 
concerning facts arising either prior to or since the issuance of 
the original registration or any registration renewal comes to 
the attention of the state gaming agency. which information would 
justify denial of such original registration or any registration 
renewal pursuant to subsection 2; provided that a registration 
may not be revoked or suspended except after such notice and 
hearing 
as 
is generally required 
for 
similar administrative 
actions 
under 
the 
administrative 
procedures 
applicable 
to 
agencies of the State; 
and provided that the enterprise is 
entitled to 
any payment 
due 
for 
services provided or goods 
delivered prior to the effective date of suspension or revocation 
of its registration. 
4. 
Ap,peal of registration decisions. 
A decision of the 
state gaming agency to deny. suspend or revoke a registration 
pursuant to this section. following any administrative review or 
appeal that may be permitted by the state gaming agency in 
accordance with procedures that it may establish. constitutes 
final agency action subject to judicial review in the manner 
provided by the Maine Administrative Procedure Act. 
5. 
Inyestigation of nongamjng enterprises. 
Any enterprise 
that provides goods or services to the licensed gaming operator 
other than gaming services or gaming equipment in a total amount 
exceeding the sum of $50.000 in a single calendar year and any 
labor organization seeking to represent employees of the licensed 
gaming 
operator 
must 
be 
identified 
by 
the 
licensed 
gaming 
operator to the state gaming agency and shall agree to cooperate 
with the state gaming agency and the state law enforcement agency 
in 
any 
investigation 
considered 
necessary 
by 
either 
agency 
relative to the fitness of the enterprise or labor organization 
to engage in business with a gaming operation or relative to the 
conduct of the enterprise or labor organization in connection 
with 
that 
activity. 
The 
state 
gaming 
agency 
may 
bar 
an 
enterprise 
from providing goods or services to the licensed 
gaming operator or a labor organization from receiving dues from 
licensed employees of the licensed gaming operator or may bar the 
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COMMITTEE AMENDMENT .. A 
.. to LB. 1, L.D. 1370 
principal of a labor organization from representing the employees 
upon a determination that the enterprise or labor organization or 
a principal of such labor organization is a person or entity 
whose prior activities, criminal record, if any, or reputation, 
habits and associations pose a threat to the effective regulation 
of gaming or create or enhance the dangers of unfair or illegal 
practices. 
methods 
and activities in the conduct of gaming: 
provided that the enterprise or labor organization may appeal a 
determination in the 
manner 
provided pursuant 
to 
the 
Maine 
Administrative Procedure Act. 
SSPP9. 
Standards of operation and management 
The state gaming agency shall adopt standards of operation 
and management to govern all gaming operations by the licensed 
gaming operator. 
The standards must protect the public interest 
in the integrity of the gaming operations and must reduce the 
dangers of unsuitable, unfair or illegal practices and methods 
and activities in the conduct of gaming. 
SSPIP. 
Rules 
Not later than 90 days after the effective date of this 
chapter. the state gaming agency shall propose rules providing 
for 
the 
application 
procedure 
and 
m~n~mum reguirements 
for 
selection as a licensed gaming operator. selection of the site, 
the licensing of gaming employees, 
the registration of gaming 
services enterprises and other aspects of the gaming facility. 
Rules proposed by the state gaming 
agency pursuant to this 
section are major substantive rules pursuant to Title 5. chapter 
375. subchapter 2-A. 
SSPll. 
State assessment for costs of oversight 
1. 
Imposition 
of 
assessment 
for 
state 
regulatory 
expenditures. 
The 
State 
shall 
make 
annually 
an 
assessment 
sufficient 
to 
compensate 
the 
State 
for 
the 
reasonable 
and 
necessary costs of regUlating gaming operations and conducting 
law enforcement investigations pursuant to this chapter. 
The 
assessment 
must 
include 
any 
costs 
of 
fringe 
benefits 
for 
personnel. 
2. 
Procedure for assessments. 
On 
or before August 1st 
annually, 
starting with the first August 1st following 
the 
commencement of gaming operations under this chapter, the State 
shall render to the licensed gaming operator a statement of the 
total cost of regulation and law enforcement for the preceding 
fiscal year ending June 30th, together with proposed assessments 
for the forthcoming fiscal year based on the preceding fiscal 
year cost, except that, in the first year after the effective 
Page ll-LR2023(2) 
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date of this chapter. the assessment must be prospective and 
based upon a pro rata allocation of costs in the year in which 
this chapter becomes effectiyeand must be established following 
consultation with the licensed gaming operator. 
On September 1st 
annually, 
the State, 
after 
rece~v~ng any objections 
to 
the 
proposed assessments and making such changes or adjustments as 
may be indicated. shall provide a written notice that assesses 
the licensed gaming operator for the costs of regulation and law 
enforcement. 
Annually. the licensed gaming operator shall pay 
1/3 of the assessment within 20 days of the receipt of the 
written notice and shall pay the remaining 2/3 of the assessment 
in 2 egual payments on January 1st and April 1st. 
The payments 
must be deposited with the State Treasurer. 
The money deposited 
must be credited to the General Fund and must be accounted for as 
the State considers appropriate. 
3. 
Procedure for appeal of assessments. 
If the licensed 
gaming operator is aggrieved because of any assessment levied 
pursuant to this chapter, the licensed gaming operator. not later 
than one month from the time provided for the payment of the 
assessment. may appeal the assessment to the Superior Court for 
Kennebec County. 
4. 
Adjustment of excess assessments. 
In the event that the 
total assessment paid by the licensed gaming operator during any 
fiscal year of the State exceeds the reasonable and necessary 
costs 
of 
regulating 
gaming 
operations 
.and 
conducting 
law 
enforcement investigations pursuant to this chapter during that 
fiscal year, 
the State shall adjust the assessment for 
the 
succeeding fiscal year in the amount necessary to offset such 
excess assessment. 
If the licensed gaming operator is aggrieved 
because of any failure by the State to make such an adjustment. 
any claim for such an adjustment must be presented in the appeal 
of the assessment as provided in subsection 3. 
§5012. 
EnforCement 
1. 
State gaming agency. 
The state gaming agency shall 
employ nonuniformed inspectors who are present in all gaming 
facilities during all hours of operation and who are under the 
supervision of personnel accountable solely to the state gaming 
agency and not to any management employees of the licensed gaming 
operator. 
Such inspectors must have unfettered access to all 
areas 
of the 
gaming facilities at all times, 
and personnel 
employed by the licensed gaming operator shall for such purposes 
provide the inspectors access to locked and secure areas of the 
gaming facilities in accQrdance with the standards of management 
and operation adopted pursuant to section 5009. 
The inspectors 
shall report any failure by the licensed gaming operator to 
comply with this chapter. 
Inspectors assigned by the state 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT .. ri .. to LB. 1, L.D. 1370 
gaming agency shall also receive consumer complaints within the 
gaming 
facilities 
and 
shall 
assist 
in 
seeking 
voluntary 
resolution of such complaints. 
The state gaming 
agency may 
investigate any report of a failure to comply with this chapter 
or the applicable rules of the state gaming agency and may 
require the licensed gaming operator to correct the failure upon 
such 
terms 
and 
conditions 
as 
the 
state 
gaming 
agency 
may 
determine necessary. 
The licensed gaming operator shall prepare 
a 
plan for the protection of public safety and the physical 
security 
of 
patrons 
in 
its 
gaming 
facilities, 
following 
consultation and agreement with the state law enforcement agency, 
the security department of the licensed gaming operator and the 
state gaming agency. 
The licensed gaming operator shall provide 
the state gaming agency with copies of its floor plans and 
surveillance systems for its gaming facilities and confer with 
the state gaming agency regarding the adequacy of such plans and 
systems. 
The state gaming agency shall require that all security 
incidents and patron complaints reported by or to the security 
department of the licensed gaming operator be reported on a daily 
basis to the state gaming agency. 
2. 
Audit. 
State gaming agency personnel must have access 
to all areas of the gaming facilities without prior notice for 
the purpose of audits of the licensed gaming operator. 
Personnel 
employed by the state gaming agency may attend the regular count 
conducted by the licensed gaming operator in accordance with the 
standards of operation and management adopted pursuant to section 
5009. 
Personnel eIDJ?loyed by the state gaming agency may not 
interfere with the conduct of the gaming operations at the site 
except 
as 
may 
be 
required to 
perform the 
audit functions. 
Auditors employed by the state gaming agency must have unfettered 
access during ordinary hours of operation to inspect and copy all 
records, including computer log tapes, of the 1 icensed gaming 
operator. 
All records of the licensed gaming operator must be 
considered confidential 
and proprietary financial 
information 
belonging to the licensed gaming operator and must be protected 
by the State from public disclosure without the express written 
consent of the licensed gaming operator. 
The licensed gaming 
operator shall cause its gaming operations to be subjected to an 
annual audit by an independent certified public accountant in 
accordance with procedures adopted by the independent auditor 
following consultation with the state gaming agency. 
The audit 
must include any additional procedures required by the state 
gaming agency not otherwise required by the independent auditor, 
which additional procedures must be performed at the sole expense 
of the state gaming agency. 
The state gaming agency must be 
provided an opportunity to review the audit findings with the 
independent auditor prior to issuance of the audit report and 
must 
receive copies of the audit report, 
engagement letter, 
management's representation letter, lamrer ' s 
contingency letter 
COMMITTEE AMENDMENT 
tt\ ... ! 
COMMITTEE AMENDMENT .. ft· to LB. L L.n. 1370 
and such other workpapers as the state gaming agency considers 
necessary. 
3. 
Investigations; 
sul!poena 
powers. 
The 
state 
gaming 
agency may conduct such investigations and may employ subpoena 
powers with which it may be vested under the laws of the State as 
it considers 
appropriate 
to 
investigate violations 
of 
this 
chapter with respect to the licensed gaming operator. 
4. 
Enforcement authority of state gaming agency. 
If the 
state gaming agency determines that the licensed gaming operator 
is not in compliance with the provisions of this chapter, the 
state gaming agency shall deliver a notice of noncompliance to 
the licensed gaming operator setting forth the nature of the 
noncompliance and the action required to remedy the noncompliance 
before commencing any enforcement action. 
5. 
Civil penalties. 
Subject to 
such rules as 
may 
be 
adopted by the state gaming agency, the state gaming agency may 
levy and collect appropriate civil penalties, 
not to exceed 
$25,000 per violation, against the licensed gaming operator or 
any 
gaming 
services 
enterprise 
subject 
to 
section 
5008, 
subsection 1 for any violation of this chapter or standard of 
operation adopted under this chapter. 
A penalty may not be 
levied under this subsection except upon 
a written complaint 
delivered by the state gaming agency to the licensed gaming 
operator 
and, 
if applicable, 
the 
affected 
gaming 
services 
enterprise stating the alleged acts or omissions that provide the 
basis for 
the penalty and the specific statutory 
prov~s~ons 
alleged to have been violated. 
The state gaming agency shall, by 
rule, provide an opportunity for appeal and hearing before the 
state gaming agency of any penalty levied by the state gaming 
agency under this subsection. 
A decision of the state gaming 
agency to levy a civil penalty under this subsection, following 
any 
such review, 
constitutes final 
agency action subject to 
judicial 
review 
in 
the 
manner 
provided 
by 
the 
Maine 
Administrative Procedure Act. 
§5013. 
Application of state regulat,o~ standards 
1. 
Health and safety standards. 
A gaming facility is 
subject to the laws and rules of the State relating to public 
facilities with regard to building, sanitary and health standards 
and fire safety and to the laws and rules of the State relating 
to water discharges by public facilities. 
2. 
Regulation of alcoholic beverages. 
Service of alcoholic 
beverages within a gaming facility is subject to the laws and 
rules of the State applicable to the sale or distribution of 
alcoholic beverages. 
The price of an alcoholic beverage sold to 
Page l4-LR2023(2) 
COMMITTEE AMENDMENT 
-, 
\; 
COMMITTEE AMENDMENT .~. to I.B. 1, L.D. 1370 
a gaming customer in partial consideration for amounts wagered 
need not be billed by separate charge to the individual customer; 
provided that the price of each alcoholic beverage determined 
sold to a gaming customer in partial consideration for amounts 
wagered may be no less than the price reQuired for such sales 
pursuant to 
the 
laws 
of 
the State 
and 
must 
be 
separately 
accounted for by the licensed gaming operator. 
Any tax due under 
the laws of the State for the retail sale of such beverages must 
be paid with respect to such sales, and daily and monthly records 
must be maintained with respect to such sales and be available 
for inspection by the state gaming agency and by the Department 
of Public Safety, Bureau of LiQuor Enforcement. 
3. 
Traffic standards. 
The licensed gaming operator shall 
provide access from gaming facilities located on the site onto 
public highways of the State adeguate to meet standards of the 
Department of Transportation or shall enter into agreements with 
the Department of Transportation for the provision of such access 
by the State, 
including 
prov~s~ons for 
compensation 
by 
the 
licensed gaming operator of the costs incurred by the State in 
constructing such improvements to the public highways, including 
traffic control signals, as may be necessary. 
The State shall 
cooperate with the licensed gaming operator in providing at the 
expense 
of 
the 
licensed gaming 
operator 
such 
signs 
as 
are 
reasonable and appropriate in order to permit members of the 
traveling 
public 
to 
locate 
the 
site 
from 
the 
major 
road 
approaches. 
§50l4. 
State taxation and revenue sharing 
1. 
Prqperty taxes. 
All real or personal property owned by 
the licensed gaming operator in connection with gaming Qperations 
and 
other 
activities at 
the 
site is 
subject 
to 
levy 
and 
cQllection of real and personal property taxes by any taxing 
authorities, 
including municipalities having jurisdiction over 
the site. 
2. 
State corporation taJtes. 
The licensed gaming operator 
is subject to state corporation taxes in accordance with its 
particular 
form 
of 
organization. 
With 
respect 
to 
gaming 
operations and other activities at the site, the licensed gaming 
operator is subject to all sales and use taxes, including liQuor 
and tobacco taxes, of general application within the State. 
3. 
Gaming license fee. 
So long as no change in state law 
occurs to tax or exact any fee on the gaming operations or other 
activities at the site except as provided in subsections 1 and 2, 
the licensed gaming operator shall pay to the State an annual fee 
eQual to a percentage not less than 25% of the gross revenues of 
gaming operated by the licensed gaming operator, the fee to be 
Page l5-LR2023(2) 
COMM/rrEE AMENDMENT 
" 
~~\ 
COMMITTEE AMENDMENT .. /I .. to LB. 1, L.D. 1370 
deemed for all purposes of state law a valid business expense. 
For purposes of this subsection, "gross revenues" means the total 
Sum wagered less amounts paid out as prizes. 
The fee is payable 
on or before the 15th day of each month. 
On each such day other 
than July 15th, the fee is that percentage as determined under 
the licensing agreement with the licensed gaming operator of the 
gross revenues of the licensed gaming operator from the operation 
of gaming during the portion of the fiscal year of the State 
concluding on the last day of the preceding calendar month. 
On 
July 15th of each year, the fee is that percentage as determined 
under the licensing agreement with the licensed gaming operator 
of the gross revenues of the licensed gaming operator from the 
operation of gaming during the preceding fiscal year of the 
State. 
In either case, the cumulative amount of the fee paid by 
the licensed gaming operator prior to such date with respect to 
the operation of gaming during the applicable fiscal year of the 
State must be deducted from the fee due on the 15th day of each 
month. 
The licensed gaming operator shall provide the State with 
detailed reporting of the gross 
revenues of gaming 
and 
the 
determination of the fee under this subsection, which is subject 
to audit by the State in accordance with this chapter. 
4. 
Use of revenue. 
The amounts paid to the State pursuant 
to subsection 3 must be deposited by the State Treasurer and 
allocated as follows: 
A. 
A portion of amounts paid to the State pursuant to 
subsection 3 must be allocated by the State in each year to 
pay for mitigation of costs resulting from gaming operations 
conducted pursuant to this chapter: and 
Bt 
Of the amounts paid to the State pursuant to subsection 
that are not allocated pursuant to paragraph A: 
(1) 
Ninety percent must be allocated each year to 
supplement, 
not 
supplant, 
the 
statutorily 
required 
deposits 
to 
be 
made 
to the 
Local 
Government 
Fund 
established under Title 30-A, section 5681 to be used 
for residential property tax relief: 
(2) 
Five percent must be allocated in each year to 
provide gambling addiction services; and 
(3) 
Five percent must be allocated in each year to the 
Maine State Grant Program, Title 20-A, chapter 419-A. 
5. 
Annual report. 
The Department of Administrative and 
Financial Services, Bureau of Revenue Services shall issue an 
annual report to the Legislature. on or before February 1st. that 
includes a detailed statement of the aggregate gross revenues 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT "A" to LB. 1, L.D. l370 
paid to the State pursuant to subsection 3 and the allocations 
made by the State pursuant to subsection 4. 
§S01S. 
Johnson Act exemption 
Pursuant to the provisions of 15 United States Code, Section 
1172 
governing 
the 
transportation 
of 
gambling 
devices 
in 
interstate and foreign commerce, 
the State exempts from that 
statyte 
the 
transportation 
of 
any 
gambling 
device 
used 
or 
intended for 
use at, 
and 
transported to or 
from, 
a 
gaming 
facility operated under this chapter. 
Sec. 2. Statutory referendum procedure; submission at statewide 
election; form of question; effective date. 
This Act must be submitted 
to the legal voters of the State of Maine at the next statewide 
election in the month of November following passage of this Act 
as 
a 
competing 
measure 
with 
Initiated Bill 
1, 
Legislative 
Document 1370 of the 121st Legislature, 
"An Act To Enact the 
Maine Tribal Gaming Act." 
The municipal officers of this State 
shall notify the inhabitants of their respective cities, towns 
and plantations to meet, in the manner prescribed by law for 
holding a 
statewide election, 
to vote 
on the acceptance or 
rejection of this Act by voting on the following question: 
"Do you want the Maine Casino Gaming Act to become law to 
allow a competitive bidding process to select the operator 
of a casino in Maine and to build the casino in an area with 
high unemployment, low wages and available housing?" 
The legal voters of each city, town and plantation shall vote by 
ballot on this question and the question established by the 
Secretary of State for Initiated Bill 1 and shall designate their 
choice by a cross or check mark placed within a corresponding 
square next to either the question relating to Initiated Bill 1, 
the question relating to the competing measure or an option 
against both Initiated Bill 1 and the competing measure. 
The 
ballots must be received, sorted, counted and declared in open 
ward, 
town 
and plantation meetings 
and returns made 
to the 
Secretary of State in the same manner as votes for members of the 
Legislature. The Governor shall review the returns and, if it 
appears that a majority of the legal votes are cast in favor of 
the Act, the Governor shall proclaim that fact without delay, and 
the Act takes effect 30 days after the date of the proclamation. 
The Secretary of State shall prepare and furnish to each city, 
town and plantation all ballots, returns and copies of this Act 
necessary to carry out the purpose of this referendum.' 
Page l7-LR2023(2) 
COMMITTEE AMENDMENT 
\: 
COMMITTEE AMENDMENT ,~ to I,B. 1, L.D. 1370 
SUMMARY 
This 
amendment 
is 
offered 
as 
a 
competing 
measure 
to 
Initiated Bill 1. 
It authorizes the state gaming agency to 
develop selection criteria and select and license, 
through 
a 
competitive bid process, a licensed gaming operator to operate a 
casino in Maine. 
The selection must maximize the benefit of the 
casino to the people of this State. 
Part of the selection 
criteria is the fee that the licensed gaming operator will pay 
from the gaming revenues. 
Other criteria include selection of a 
si te 
in 
an 
area 
in 
which 
there 
is 
higher 
than 
average 
unemployment, lower than average wages, a loss of population or 
workforce 
because 
of 
business 
closings 
and 
proximity 
to 
affordable housing. 
FISCAL ,"OTE REQURED 
(See attached)" 
COMMITTEE AMENDMENT 
Approved: 05127/03 .:Idac:.. 
Office of Fiscal and Program Review 
LD 1370 
An Act to Enact the Maine Casino Gaming Act 
LR2023(02) 
Fiscal Note for Initiated Bill as Amended by Committee Amendment" " 
Committee: Judiciary 
Fiscal Note Required: Yes 
Fiscal Note 
Initiated Bill - Potential Referendum Costs 
Potential Costs - General Fund 
Potential Revenue Increase - Other Special Revenue Funds 
Correctional and Judicial Impact Statements 
Potential increase of criminal and civil cases filed in the courts. 
Referendum Costs 
MonthNear 
Nov-03 
Election Type 
Question 
General 
Initiated Bill 
Length 
Standard 
The Secretary of State's budget includes sufficient funds to accommodate one ballot of average length for the general 
election in November. If the number or size of the referendum questions increases the ballot length, an additional 
appropriation of $8,000 or more may be required. If the number of questions exceeds the limit that can be printed on 
one ballot, the Secretary of State will require an additional appropriation of $121 ,392 for the cost of a second ballot. 
This is a competing measure to the original initiated bill. If enacted by the Legislature, this amended bill and the 
original initiated bill must both be submitted to the voters in November 2003, resulting in at least two questions on the 
ballot in November. The final costs to the Secretary of State will depend on the total number of questions on the 
statewide ballot and can not be determined at this time. 
Fiscal Detail and Notes 
The implementation of this bill is contingent upon approval by the voters, by the local governmental body where the 
casino is proposed and by a vote of the Penobscot Nation and the Passamaquoddy Tribe. 
If these contingencies are met, this bill will increase dedicated revenue collected by the State. The State's share of the 
revenue will vary depending on the location and size of the casino and resort. The revenue received by the State, 
equal to 25% of the gross revenue of video facsimile, will be distributed as follows: 90% to the Local Government 
Fund; 5% for gambling addiction services; and 5% to the Finance Authority of Maine for enhancing postsecondary 
opportunities for students. 
LR2023(2) - Fiscal Note - Page 1 of 2 
In addition, this bill establishes an assessment for state regulatory and law enforcement expenditures that will be 
received as General Fund revenue. The amount of the additional costs that will be incurred by the Department of 
Public Safety will be $2,279,656 for the first full year of operation and $2,260,312 for each year thereafter. The 
additional costs for the Department of the Attorney General will be $366,240 for the first full year of operation an 
each year thereafter. If this bill is approved by the voters, the Second Regular Session of the 121st Legislature will 
be required to appropriate these amounts to the aforementioned departments. The Bureau of Revenue Services can 
absorb the costs pertaining to this bill within currently budgeted resources. The shift of expenditures from Lottery 
ticket sales and Pari-mutuel wagering to the casino will reduce both General Fund and dedicated revenue. 
Presented below is an example of the potential revenue that may be generated by a casino assuming that it is located 
in southern Maine with a facility that includes a 200,000 square-foot casino, 875-room hotel, 2,000-seat theater, 
100,000 square-foot convention center, 20,000 square-foot spa and 10 restaurants and nightclubs. 
Year 1 
Year 2 
Year 3 
Year 4 
YearS 
Gaming Revenue - Total 
$495,600,000 
$548,200,000 
$575,610,000 
$592,900,000 
$610,700,000 
Share from Video Facsimile 
$386,568,000 
$427,596,000 
$448,975,800 
$462,462,000 
$476,346,000 
25% Annual Fee to State 
$96,900,000 
$106,800,000 
$112,200,000 
$115,600,000 
$119,100,000 
Required Distribution of Annual Fee to State: 
90% to Local Gov't Fund 
$87,210,000 
$96,120,000 
$100,980,000 
$104,040,000 
$107,190,000 
5% to Gambling Addiction 
$4,845,000 
$5,340,000 
$5,610,000 
$5,780,000 
$5,955,000 
5% to FAME to Non-profits 
$4,845,000 
$5,340,000 
$5,610,000 
$5,780,000 
$5,955,000 
Impact on Lottery - Diverted "Gaming/Gambling" Revenue to Casino 
5% of Gross Revenue 
$24,780,000 
$27,410,000 
$28,780,500 
$29,645,000 
$30,535,0()u 
25% General Fund Transfer 
($6,195,000) 
($6,852,500) 
($7,195,125) 
($7,411,250) 
($7,633,750) 
Impact on Harness Racing - Diverted "Gaming/Gambling" Revenue to Casino 
2% of Gross Revenue 
$9,912,000 
$10,964,000 
$11,512,200 
$11,858,000 
$12,214,000 
Loss of Revenue from diverted revenue by Fundi Account: 
General Fund 
($148,680) 
($164,460) 
($172,683) 
($177,870) 
($183,210) 
Other Special Revenue Funds 
- Purse Supplements 
($178,416) 
($197,352) 
($207,220) 
($213,444) 
($219,852) 
- Sire Stakes Fund 
($98,129) 
($108,544) 
($113,971) 
($117,394) 
($120,919) 
- Agricultural Support Fund 
($113,988) 
($126,086) 
($132,390) 
($136,367) 
($140,461) 
- Racetracks 
($122,909) 
($135,954) 
($142,751) 
($147,039) 
($151,454) 
- Promotional Board 
($247,800) 
($274,100) 
($287,805) 
($296,450) 
($305,350) 
Subtotal Dedicated Revenue 
($761,242) 
($842,035) 
($884,l37) 
($910,694) 
($938,035) 
Annual Assessment for Law Enforcement and Regulatory Costs: 
- Maine State Police 
$2,279,656 
$2,260,312 
$2,260,312 
$2,260,312 
$2,260,312 
- Attorney General 
$366,420 
$366,420 
$366,420 
$366,420 
$366,420 
LR2023(2) - Fiscal Note - Page 2 of 2