An Act To Make Technical Changes to the Gambling Laws
Maine Legislature, Session 122, LD 1748
Committee: Legal and Veterans Affairs
Sponsors: GAGNON
Amends: 5 MRSA §12004-A, 8 MRSA §1002, 8 MRSA §1001, 8 MRSA §1003, 8 MRSA §1011, 8 MRSA §1018, 8 MRSA §1020, 8 MRSA §1032, 8 MRSA §1036, 25 MRSA §1542-A

Legislative Document 
No. 1748 
S.P.665 
In Senate, December 30,2005 
An Act To Make Technical Changes to the Gambling Laws 
Submitted by the Department of Public Safety pursuant to Joint Rule 204. 
Received by the Secretary of the Senate on December 28,2005. Referred to the Committee 
on Legal and Veterans Affairs pursuant to Joint Rule 308.2 and ordered printed pursuant to 
Joint Rule 401. 
Presented by Senator GAGNON of Kennebec. 
Printed on recycled paper 
JOY J. O'BRIEN 
Secretary of the Senate 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 5 MRSA §12004-A, sub-§47 is enacted to read: 
47. 
Gambling 
Control Board 
$35/Day 
MRSA §1002 
Sec. 2. 8 MRSA §1001, sub-§21, as enacted by PL 2003, c. 687, 
Pt. A, §5 and affected by Pt. B, §ll, is amended to read: 
21. Gross slot machine income. 
"Gross slot machine income" 
means 
the total value of 
money, 
tokens, 
credits or 
similar 
objects or things of value used to actually play a slot machine 
m~B~s-m9ReY7-€~~~~-~-~~~~~&-~-wiBBeFs before payback 
is distributed to a player. 
Sec.3. 8 MRSA §lOOl, sub-§29-A is enacted to read: 
29-A. 
Ret slot machine income. 
"Net slot machine income" 
means money, 
tokens, credits or similar objects or things of 
value used to play a slot machine minus money, credits or prizes 
paid out to winners. 
Sec. 4. 8 MRSA §1003, sub-§2, ,Q, as enacted by PL 2003, c. 
687, Pt. A, §5 and affected by Pt. B, §11, is amended to read: 
Q. Certify monthly to the department a full and complete 
statement of all slot machine revenue, credits disbursed by 
licensees, 
administrative expenses 
and the allocation of 
~F9SS slot machine income for the preceding month; 
Sec. 5. 8 MRSA §1003. sub-§2, ,R, as enacted by PL 2003, c. 
687, Pt. A, §5 and affected by Pt. B, §ll, is amended to read: 
R. Submit by March 15th an annual report to the Governor and 
the 
joint 
standing 
committee 
of 
the 
Legislature 
having 
jurisdiction over gambling affairs on slot machine revenue, 
credits disbursed by slot machine operators, administrative 
expenses and the allocation of ~F966 slot machine income for 
the preceding year; 
Sec. 6. 8 MRSA §1011, sub-§4, as enacted by PL 2003, c. 687, 
Pt. A, §5 and affected by Pt. B, §11, is amended to read: 
4. 
Requirement for license; 
agreement with municipality 
where slot machines are located. 
A slot machine operator shall 
enter into an agreement with the municipality where the slot 
machine operator I s slot machines are located that provides for 
revenue sharing or other compensation, including, but not limited 
to, 
a provision requiring the preparation, in conjunction with 
• 
.. 
the municipality, of a security plan for the premises on which 
the slot machines are located. 
The revenue-sharing agreement 
must provide for a minimum payment to the municipality of 3% of 
the ~e~a*-~Fess net slot machine income derived from the machines 
located in the municipality. 
Sec. 7. 8 MRS A §l018, sub-§l, as enacted by PL 2003, c. 687, 
Pt. A, §5 and affected by Pt. B, §ll, is amended to read: 
1. Fees. 
The application fee for a license and the annual 
fee for a registered slot machine under this chapter are as set 
out in this subsection. 
A. 
The 
initial registration fee 
for 
a 
registered slot 
machine is $100. 
The annual renewal fee is all-~r-se~ 
9y-~~~~~-~he-~~r-e~~a*-~~-~he-~~~--~-~Ae-~~-e~ 
*ieellsill~-6~e~-ma£hJ~e£-~~~~~~-G~~iG~~-~he-ees~s 
e~-~~&i&~r~~-~~-£~~~--ffiaeRille--~~&&&&-~-~he--~e~a* 
1l~geF-e~-~~-~~-~~~~-~he-geaFa $100 for each 
registered slot machine. 
B. 
The 
initial 
application 
fee 
for 
a 
slot 
machine 
distributor license is $200,000. 
The annual renewal fee is 
aR-~ffie~~~7-~-&~-F~*es-~-~~~rGr-e~~a*-~~~~~&~-~e 
~Re--~~-~---~~&&aS~~--6*e~--~~--G~r~~r&--aRa 
ae~eFffiiRea-~-G~~iG~~-~Ae-~~-ef-~4mJ~J£~e~J~~-~~-s*e~ 
ffiaeRiRe-~~~~~-~J£~£e£--9y-~~-~e~a~--&am9&r-~--s*e~ 
ffiaeRiRe-ais~Fi9~~eFs-*ieeRsea-9Y-~Re-geaFa $75,000. 
C. 
The initial application fee for a slot machine operator 
license is $200,000. 
The annual renewal fee is $75,000 plus 
an amount, set by rules of the board, equal to the cost to 
the board of licensing slot machine operators and determined 
by dividing the costs of administering the slot machine 
operator 
licenses 
by 
the 
total 
number 
of 
slot machine 
operators licensed by the board. 
D. 
The annual application fee for a license for a gambling 
services vendor is $2,000 . 
E. 
The ~nnual application fee for an employee license under 
section 1015 is $250. 
In addition to the application fee for a license or annual fee 
for a registered slot machine, the board may charge a one-time 
application 
fee 
for 
a 
license 
or 
registration 
listed 
in 
paragraphs A to E in an amount equal to the projected cost of 
processing 
the 
application 
and 
performing 
any 
background 
investigations. 
If the actual cost exceeds the projected cost, 
an additional fee may be charged to meet the actual cost. 
If the 
projected cost exceeds the actual cost, the difference may be 
refunded to the applicant. 
All fees collected pursuant to this 
section must be deposited directly to the General Fund, except 
that $25,000 
of 
the 
annual 
renewal 
fee 
for 
a 
slot machine 
operator must be deposited to the Gross Slot Income Other Special 
Revenue Fund account wi thin the Gambling Control Board to be 
transferred to the municipality in which the slot machines are 
operated, in accordance with subsection 2. 
All application and 
registration fees are nonrefundable and are due upon submission 
of the application. 
Sec. 8. 8 MRSA §1018, sub-§6, as enacted by PL 2003, c. 687, 
Pt. A, §5 and affected by Pt. B, §ll, is amended to read: 
6. 
Rules. 
Rules adopted pursuant to this section are majeF 
sy~s~aR~iye routine technical rules. except that a rule adopted 
pursuant to subsection 1 that proposes to establish a fee for 
renewal that exceeds $10,000 is a 
major substantive rule in 
accordance with Title 5, chapter 375, subchapter 2-A. 
Sec. 9. 8 MRSA §1020, sub-§3, as enacted by PL 2003, c. 687, 
Pt. A, §5 and affected by Pt. B, §ll, is amended to read: 
3. 
Limits 
on 
total 
slot machines. 
The 
board 
shall 
determine the number of slot machines to be registered in the 
State. 
The board shall make this determination based upon the 
minimum ~Fess ~ slot machine income, when distributed pursuant 
to section 1036, necessary to maintain the harness horse racing 
industry in this State, except that: 
A. 
The total number of slot machines registered in the 
State may not exceed 1,500; and 
B. 
A slot machine operator may not operate more than 1,500 
slot machines at anyone commercial track. 
Sec. 10. 8 MRSA §1032, as enacted by PL 2003, c. 687, Pt. A, 
§5 and affected by Pt. B, §ll, is amended to read: 
§I032. 
Payment of credits by slot machine operator 
A slot machine operator shall redeem credits for players who 
earn credits on a slot machine located on the premises of that 
slot machine operator in accordance with rules adopted by the 
board. 
Notwithstanding Title 33, 
chapter 41, 
a slot machine 
operator may not redeem a credit slip more than 365 days from the 
date of issuance. 
The funds reserved for the payment of such a 
credit slip or expired unclaimed jackpot must be treated as gross 
slot machine income. 
.. 
.. 
.. 
Sec. 11. 8 MRSA §1036, sub-§I, as enacted by PL 2003, c. 687, 
Pt. A, §5 and affected by Pt. a, §ll, is amended to read: 
1. 
Distribution for administrative expenses of board. 
A 
slot machine operator shall collect and distribute 1% of aa;¥6tea 
gross slot machine income to the Treasurer of State for deposit 
in the 
General 
Fund 
for 
the administrative expenses of the 
board. 
~eF-~~-e~--~i&-~~~~~--~aQ}¥S~-~~-6~et 
maeaiRe-4Bee~e~-meaB~-~~~~~-~~~~~~-~*eB&r-eFeait6 
eF-~~~~--e9}ee~S-~--~hi~&-~--~~-~£eQ-~~-aet¥a~~y-~~-a 
6~et-maeaiRe-gefeFe-payaaek-i6-ai6tFia¥tea-te-a-p~ayeFT 
Sec. 12. 8 MRSA §1036, sub-§2, as amended by PL 2005, c. 109, 
§l, is further is amended to read: 
2. 
Distribution from 
commercial 
track. 
A slot machine 
operator shall collect and distribute 39% of the tetal-~Fess ~ 
slot machine 
income 
from slot machines operated by the slot 
machine operator to the board for distribution by the board as 
follows: 
A. 
Three percent of the teta~-~Fess net slot machine income 
must be deposited to the General Fund for administrative 
expenses 
of 
the 
board, 
including 
gambling 
addiction 
counseling services, in accordance with rules adopted by the 
board; 
a. 
Ten percent of the 
te~al-~Fe6s net slot machine income 
must be forwarded by the board to the Treasurer of State, 
who 
shall credit the 
money 
to 
the 
fund established in 
section 298 to supplement harness racing purses; 
C. 
Three percent of the teta~-~Fess net slot machine income 
must be credited by the board to the Sire Stakes 
Fund 
created in section 281; 
D. 
Three percent of the tetal-~Fess net slot machine income 
must be forwarded by the board to the Treasurer of State, 
who shall credit the money to the Agricultural Fair Support 
Fund established in Title 7, section 77; 
E. 
Ten percent of the 
tetal-~Fess net slot machine income 
must be forwarded by the board to the State Controller to be 
credited to the Fund for 
a Healthy Maine established by 
Title 
22, 
section 
1511 
and 
segregated 
into 
a 
separate 
account under Title 22, section 1511, subsection 11, with 
the use of funds in the account restricted to the purposes 
described in Title 22, section 1511, subsection 6, paragraph 
E; 
F. 
Two percent of the tetal-'3£e66 net slot machine income 
must be forwarded by the board to the University of Maine 
System Scholarship Fund created in Title 20-A, section 10909; 
G. 
One percent of the tetal-'3£e66 net slot machine income 
must be forwarded by the board to the board of trustees of 
the Maine Community College System to be applied by the 
board of trustees to fund its scholarships program under 
Title 20-A, section 12716, subsection 1; 
H. 
Four percent of the tetal-'3~e66 net slot machine income 
must be forwarded by the board to the Treasurer of State, 
who shall credit the money to the Fund to Encourage Racing 
at Maine' s 
Commercial Tracks, established in section 299; 
however, 
the 
payment 
required 
by 
this 
paragraph 
is 
terminated 
when 
all 
commercial 
tracks 
have 
obtained 
a 
license to operate slot machines in accordance with this 
chapter; 
I. 
Two percent of the 
tetal-'3~ess net slot machine income 
must be forwarded by the board to the Treasurer of State, 
who 
shall 
credit 
the 
money 
to 
the 
Fund 
to 
Stabilize 
Off-track Betting Facilities established by section 300, as 
long 
as 
a 
facility 
has 
conducted 
off-track 
wagering 
operations for a minimum of 250 days during the preceding 
l2-month period in which the first payment to the fund is 
required. 
After 48 months of receiving an allocation of the 
tetal--'3~ess 
net 
slot 
machine 
income 
from 
a 
licensed 
operator, 
the percent of tetal net slot machine 
income 
forwarded 
to 
the 
Fund 
to 
Stabilize 
Off-track 
Betting 
Facilities is reduced to 1% with the remaining 
1% 
to be 
forwarded to the State in accordance with subsection 1; and 
J. 
One percent of the tetal-'3£e66 net slot machine income 
must be forwarded directly to the municipality in which the 
slot machines are located. 
Sec. 13. 17·A MRSA §954, as amended by PL 1975, c. 740, §95, 
is further amended to read: 
§954. 
Unlawful gambling 
1. 
Any person is guilty of unlawful gambling if fie .that 
person 
intentionally 
or 
knowingly 
advances 
or 
profits 
from 
unlawful gambling activity. 
I-A. 
A person is guilty of unlawful gambling if the person 
is under 21 years of age and plays a slot machine as defined in 
Title 8, section 1001, subsection 39. 
2. 
Unlawful gambling is a Class D crime. 
3. 
A person convicted of a violation under this section 
must 
forfeit 
to 
the 
State all 
income 
associated with that 
violation. 
Sec. 14. 25 MRSA §1542-A, sub-§3,'" is enacted to read: 
I. 
Trained personnel of the Department of Public Safety, 
Gambling Control Board shall take fingerprints of a person 
seeking licensure under Title 8. chapter 31. 
Sec. 15. 25 MRSA §1542-A, sub-§4, as amended by PL 2001, c. 
52, §8, is further amended to read: 
4. 
Duty to submit to State Bureau of Identification. 
It is 
the duty of the law enforcement agency taking the fingerprints as 
required by subsection 3, 
paragraphs A, 
Band G to transmit 
immediately to the State Bureau of Identification the criminal 
fingerprint record. Fingerprints taken pursuant to subsection 1, 
paragraph C, D, 
E or F or pursuant to subsection 5 may not be 
submitted to the State Bureau of Identification unless an express 
request is made by the commanding officer of the State Bureau of 
Identification. 
Fingerprints taken pursuant to 
subsection 1, 
paragraph G must be transmitted immediately to the State Bureau 
of Identification to enable the bureau to conduct state and 
national criminal history record checks for the Department of 
Education. 
The bureau may 
not use the fingerprints for 
any 
purpose other than that provided for under Title 20-A, section 
6103. 
The 
bureau 
shall 
retain the 
fingerprints, 
except 
as 
provided 
under 
Title 
20-A, 
section 
6103, 
subsection 
9. 
Fingerprints taken pursuant to subsection 1, paragraph 
I 
and 
subsection 3, paragraph I must be transmitted immediately to the 
State Bureau of Identification to enable the bureau to conduct 
state and national criminal history record checks for the court 
and the Department of Public Safety, 
Gambling Control Board, 
respectively. 
SUMMARY 
This bill makes the following changes to the laws concerning 
gambling. 
1. It authorizes members of the Department of Public Safety, 
Gambling Control Board to receive a per diem compensation of $35. 
2. 
It amends the definition of "gross slot machine income," 
establishes a definition of "net slot machine income" and amends 
the terms consistently to be consistent throughout the law. 
3. 
It establishes a fixed fee for reregistration of slot 
machines 
and 
provides 
that 
changes 
to 
the 
section 
of 
law 
governing registration fees and terms are routine technical rules 
as long as the fees established under that section do not exceed 
$10,000. 
4. 
It establishes the annual 
slot machine distributor license, 
application fees are annual fees. 
renewal fee of $75,000 for a 
and clarifies that certain 
5. 
It specifies that $25,000 of the annual renewal fee for 
a 
slot machine operator must 
be 
deposited in 
a 
fund to be 
transferred to the municipality in which the slot machine is 
located. 
6. 
It provides 
that, 
notwithstanding 
the 
law 
governing 
abandoned 
property, 
a 
slot machine 
operator 
may 
not 
redeem 
credits earned on slot machines more than 365 days after issuance. 
7. 
It expands the definition of the crime of "unlawful 
gambling" to include gambling at slot machines by persons under 
years of age, and requires that all income associated with a 
violation of unlawful gambling be forfeited to the State. 
8. 
It 
directs trained personnel of the Gambling Control 
Board to take fingerprints of persons seeking licensure under the 
Maine Revised Statutes, Title 8, 
chapter 31, 
and directs that 
such fingerprints 
be transmitted to 
the Department of Public 
Safety, State Bureau of Identification.