An Act To An Act To Establish a Competitive Bidding Process for the Operation of a Resort-style Casino in Southern Maine
Maine Legislature, Session 127, LD 1280
Committee Amendment CA_B_H492 (House)
Amends: 5 MRSA §12004-G, 8 MRSA §1001, 8 MRSA §1003, 8 MRSA §1005-A, 8 MRSA §1011, 8 MRSA §1011-A, 8 MRSA §1018, 8 MRSA §1019, 8 MRSA §1020, 8 MRSA §1036, 8 MRSA §1036-A, 37-B MRSA §515

COMMITTEE AMENDMENT ,B" to H.P. 876, L.D. 1280, Bill, 
Provide Income Tax Relief by Expanding Gaming Opportunities" 
Amend the bill by strikjng out the title and substituting the following: 
"An Act To 
'An Act To Establish a Competitive Bidding Process for the Operation of a Resort-
style Casino in Southern Maine' 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 5 MRSA §12004-G, sub-§32-A is enacted to read: 
32-A. 
Sport and 
Entertainment 
Casino Development Legislative Per 
Commission 
Diem and Expenses 
Sec. 2. 8 MRSA §1001, sub-§6-A is enacted to read: 
MRSA § 1005-A 
6-A. Commission. "Commission" means the Casino Development Commission 
created under section 1005-A. 
Sec. 3. 8 MRSA §1003, sub-§2, ~, as enacted by PL 2003, c. 687, Pt. A, §5 and 
affected by Pt. B, § 11, is amended to read: 
B. Hear and decide all license and registration applications under this chapter iffiEl 
issues affecting the granting, suspension, revooation or rene'NaI of lioenses and 
registratiohs, including but not limited to applications received by the board from a 
person awarded the privilege by the commission to submit an application to operate a 
casino; 
Sec. 4. 8 MRSA §1003, sub-§2, ~-1 is enacted to read: 
B-1. Hear and decide issues affecting the granting, suspension, revocation 01' renewal 
of licenses and registrations; 
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COMMITTEE AMENDMENT~' to H.P. 876, L.D. 1280 
Sec. 5. 8 MRSA §1005-A is enacted to read: 
§100S-A. Casino Development Commission 
1. Establishment. The Casino Development Comn1ission, established in Title 5, 
section 12004-G, subsection 32-A, shall Cain out the functions specified in this chapter 
with regard to awarding the privilege to apply for a casino or slot machine operator 
license through a competitive bid process and establishing a contract with the winning 
bidder upon issuance of a casino operator license by the board. The commission is 
affiliated with the board as specified in this chapter. 
2. Members. The commission consists of 5 members appointed by the Governor. 
All members must be membe~'s of the general pubiic withOlit arfiiiation to the gaming, or 
hospitality industry. At least 3 of the commission members must have training or 
experience in at least one of the following fields: corporate finance, eC()llomics, law, 
economic qevelopment or accounting. A municipal employee,. county employee, elected 
official or candidate for elective office may not serve asa commission member. 
3. Term of office. Members of the commission serve 3-year tenus, except that the 
Governor shall initially appoint one member for a 
t~rm of one year, 2m'embers for a tenn 
of 2 years and 2 members for a term of 3 years. A vacancy is filled by appointment for 
the remainder of the unexpired term of that member. Members whose terms expire serve 
until their successors are appointed and confirmed. Members may serve no more than 2 
full consecutive terms on the commission. 
4. Confirmation. Appointees to the commission must ~e reviewed by the joint 
standing committee of the Legislature having jurisdiction over gambling matters and are 
subject to confirmation by the Senate. 
S. Chair. The commission members shall elect one member to serve as chair for at 
least a 2-year term. 
6. Quorum. An action of the commission is not binding unless taken at a meeting at 
which at least 3 of the 5 members are present. 
7. Conflict of interest. In addition to the restrictions imposed pursuant to Title 5, 
section 18, a commission member may not participate in any I11atter before the 
commission in which the commission member has a personal bias or any other conflict of 
interest as the commission determines, either on the commission's own motion or in 
response to a written complaint. During a commission member's term of service and for 5 
years after the end of that commission member's service, any person with a direct and 
substantial interest in a gambling activity or gambling facility, including accommodations 
and amenities associated with a gambling facility, may not employ or be represented by 
the commission member or a member of the commission member's immediate family. 
For the purposes of this subsection, "direct and substantial" means ownership or control 
of more than 10% of the voting securities of a gambling facility, of an associated 
accommodation or associated amenity of a gambling facility or of an entity in contract, 
consort or cooperation with a gambling facility key executive. 
Sec. 6. 8 MRSA §1011, sub-§2-B, as enacted by PL 2011, c. 699, § 1, is repealed. 
Sec. 7. 8 MRSA §1011, sub-§2-C is enacted to read: 
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2-C. Persons eligible for casino operator license on or after January 1, 2015. 
Beginning Jamia.ry 1,2015, the board may not accept an aI?Plicationfor an initial license 
to operate a casino, slot machine facility or any other gan1bling facility for which the 
board has licensing; authority, unless tl1at armlication is subi11itted by a successful bidder 
for the privilege to submit an application to the board cl10sen pursuant to section 10 11-A 
and the applicant has received approval by the voters of the municipality where the casino 
will be located. 
Sec. 8. 8 MRSA §1011-A is enacted to read: 
§10,u-A. 
Pri~lege to subm~t a casin~ oeerator license awlication for a southern 
casino pursuant to competitive bidding 
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The commission shall develop a request for proposals designed to encourage 
vigorous bidding for the' pu~po~e' of aw~~ding one bidder the pri~rii~o submit, an 
awlication to the G'oard for ac~sino'op~rator licei1s~. The c01~mission 'sl{all r~quest bids 
for the pl'iyiJege to- S~bl~h an'~pplic~ti.9'nto thf) b<?ard fo!: a res,ort-stYleca~inci in ,either 
York Count){ or Cumberland Collnt.y. A request for proposals must h~stntct potential 
bidd,ers tOI?I:opose t~1e s,cope, of the ga.mbl~ng facility and aI11enities to be offered in 
conjunction with the facility and, how the proposal will ensure that the proposed casino 
will provide the State with so~ial1y responsible economic, growth while operating as a 
successful business for the operator, considering license fees, minimum capital 
investment requirements, regulatory standards and required rates of revenue distribution. 
The commission may require submission of documented expert analysis from a bidder to 
support the proposals submitted by the bidder. 
1. 
Consideration of bids for privilege to submit casino operator license 
application to'ih,e b()ard. 
A bidder sc:eicing award of t,he privilege to submit an 
application to the board for a license to operate a casino in York County or Cumberland 
County shall comply with the requirements detennined, ~y the commission.. The 
commission shall require that a proposa.l for the privilege to submit an app'lication to the 
board f()r the operation of a casino include a nonrefundable ap.plication fee of $250,000 
and an agreement to pay the costs of the board for processing an application and 
performing background investigations, as described in section 1018, subsection 1, if 
awarded the privilege to submit an application to the board for a license to operate a 
casino. The co!nmission shall ensure that the request for proposals clearly identifies the 
deadline for submission and all bid requirements. The cOlnmission shall follow, as nearly 
as practicable, the provisions govemh1g competitive biddi\1g prescrib~d by Title 5, 
chapter 155, subchapter i-A and nlles adopted pursual1t to. that subchapter. 
2. 
Request for proposals; factors; southern casino. 
When considering bids 
received in response to a request for proposals prescribed in subsection 1 for a location in 
York County or Cumberland County, the commission shall consider the following: 
A. Business and market factors, including: 
(1) The bidder's commitment and capacity to make an initial minimum capital 
illvestment of $250,000,000 for a resort-style casino facility.' Land acquisition, 
license fees and off-site improvements are not considered to be part of the 
minimum capital investment; 
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(2) How the bidder's proposal can be expected to preserve existing jobs in the 
State and the number of net new full-time and part-time jobs that can be expected 
to be created by tl1e operation of the proposed facility; 
. 
(3) The extent to which tl1e bidder's market plans suit the character of the region 
and the local population in a way that encourages residents of the State to choose 
to patronize the bidder's proposed facility as opposed to gambling facilities in 
other states; . 
. 
(4) 
The potential created by the bidder's proposal to create cC)l11lnercial 
development opportunities in the host location and sUlTounding communities 
consistent with historic uses, regional character and local zoning and planning 
requirements; 
(5) The potential gross and net income to be generated by- the bidder based upon 
documented, expert market analysis; 
(6) The extentt9 which ~he biddel~'sproposecl facility can reasonably be expected 
to serve as a significa.nt regjonaJand national tourism destination; 
. 
(7) How the bidder's proposal will result in the highest potential benefit and the 
highest prospective total revenues to the State from a bidder based upon 
documented, expert financial analysis; 
. 
(8) The bidder's proposed capital investment in a gambling facility, proposed 
amenities associated with the facility and timing of capital investment 
expenditures in tenns of ensuring the facility is economically competitive in the 
State and regionally; and 
(9) Other factors, properly disclosed in the commission's request for proposals, 
that the commission detennines to be relevant; 
B. Economic development factors, including: 
(1) The bidder's workforce development plan and the extent to which it will 
maximize use of the State's existing labor force and create new jobs in the 
marketplace; 
(2) The impact on economic development, existing and planned, in the region of 
the proposed facility: and 
(3) O!her factors, properly disclosed in the commission's reque~t for proposals, 
that the commission detennines to be relevant; 
C. Site location factors, including: 
(1) 
The adequacy of transportation infrastructure surrounding the proposed 
location of the gambling facility; 
(2) . The need for additi()nal public infrastructure expenditures at or immediately 
surrounding the proposed location of the gambling facility; 
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(3) Any negative impact of the proposed location of the gambling facility on the 
municipality in which the facility is to be located, including but not limited to 
traffic congestion, \V'orsened road safety conditions and increased safety concerns 
for pedestriaI,l traffic; 
(4) The bidder's proposal,s f()r mitigating negative impacts identified under this 
paragraph; and 
(5) Other factors, properly disclosed in the commission's request for proposals, 
that the commission determines to be relevant; and 
D, Factors other than those liste,d in paragraphs A to C"including: 
{l) The bidder's plan to id,entify,addl'ess and minimize th.e potential for and 
existence of negative consequences associated with gambling and the operation 
of the bidder's proposed facility, including but not limited to a financial 
commitment to efforts to address pr()blem gambling prevei1tion, intervention, 
treatment and research; 
(2) ,The effects, both positive and negative, that can be reasonably anticipated to 
be experienced by the municipality in which the facility is located and the 
comn1lU1ities in the region; and 
0), The likelihood that th.e bidder will meet the casino ope!a~or license 
reguif(~m(!nts d,escribed in sectio.n 1,019' 
J. Bid award factor priorities; southern casino. The commission shall develou 
system of'assigning' points 'to the factors requin;d'to be cons~under' subs~"ili); 2, 
The commission is authorized to hire or enter into a contract with vendors ex;perienced in 
evaluating business plans for large-scale development and the impacts of de,'elopment on 
th.e local and region~l economies to assist with the consideratic)l1 ot bids and development 
of the point system required by this subsect,ion. 'Th,e development of a point system must 
ensure that factors that support the following are awarded the highest point value, with 
the criteria listed unde~ paragr~phs A and B receiving more points than those listed under 
paragraphs C and D: 
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A. The overall increase in the number of jobs created in the region that can be 
directly or indirectly attributed to the 'dev~lopm~nt and oper~tion or'the resort-style 
casino; 
B. The .positive impacts on economic development, existing and planned, from the 
development and oper!ltion of the resort-style casino in the immediate region and the 
potential to positively impact the state economy, including opportunities to pursue 
developments that will create ongoing sources of revenue and employment for the 
region separate from the resort-style casino; 
C" The maximum potential benefits from the operation of tlle proposed resort-style 
casino on year-round tourism in the region; and 
D: The representation 1;!nd incOJ;poration by the pr()posed resort-style ca.sino of the 
character of the State generally and, in particular, the character of the surrounding 
region consistent with historic uses, local planning and zoning requirelllents, 
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COMMITTEE AMENDMENT b" to H.P, 876, L.D, 1280 
4., Notice of award. Upon award of the privilege to submit an application for a 
casino operator license to the' board, the commission shall cite how the successful 
bidder's proposal supported the priorities described in subsection 3. 
5. Contract required; southern casino. A ,Person who is selected as the winning 
bidder for the pfiviiegeto 8ubrnIt an application to the board for a casino operator licens'e 
shall agree to enter into a contract with the commission that oljlig~tes the casino operator 
to the proposals made in the bid submitted in accordance with this section. In addition, 
the contract must include: 
A. A frame'INC?rk. ()freasonable fi!1.anci!!-l p~l'lalties for failure of the casino operator to 
comply with tl1e terms of the contrac! and the c;ircllmstances under which failure to 
comply with terms ()f the ccmtract justifies withholding all net slot machine income 
and net table game income until th~ terms of the contract are satisfied; and 
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B. Annual reinvestment requirements that direct the c.asino operator, beginning no 
sooner than 5 years after commencing operation of slot machines at the casino, to 
either make capital improvements to the casirio facility or deposit with the board, in 
an account described in section 1018, subsection 2-B, an amount no less than 3 % but 
no greater than 4% of net slot machine income and net table game income generated 
by the casino d~ring the p'reYi'o{~~'y~ar. " ,'" 
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The commission shall consult with the Office of the Attorney General during the 
negotiation and ex{(cution of the c:ontract. The,contract must be a1mroved by the Attorney 
General. The casino operator ,licen~e issued by the board does not take effect and the 
board may not accept the licel1s.e fee required under section 1018, subsection 1, paragraph 
C-2 until the contract is executed. 
Sec. 9. 8 MRSA §l018, sub-§l, ,C, as enacted by PL 2003, c. 687, Pt. A, §5 and 
affected by Pt. B, § 11, is amended to read: 
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. This paragraph applies to slot machine 
operator licenses issued before January 1, 2015. 
Sec. 10. 8 MRSA §1018, sub-§l, ,C-l, as amended by PL 2011, c. 417, §4, is 
further amended to read: 
C-l. The initial application fee for a casino operator license is $225,000, except that 
the initial application fee for an applicant that is a cOlmnercial track that was licensed 
to operate siot machines as of January 1,2011 is $25,000. The annual renewal fee is 
$80,000 plus an amount, set by rules of the board, equal to the cost to the board of 
licensing casino operators and determined by dividing the costs of administering the 
casino operator licenses by the total number of casino operators licensed by the 
board. In addition, a casino operator shall pay an initial gaming table fee of $100,000 
for the privilege to operate each gaming table for a period of 20 years as long as the 
casino operator is licensed. Each gaming table is also subject to an annual gaming 
table renewal fee of $1,000. The gaming table fees authorize the casino operator to 
conduct any authorized table game at the gaming table during the 20-year period. A 
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casino licensed in accordance with section 1011, subsection 2-A, paragraph A is not 
required to pay the gaming table fees until after one calendar year of table game 
operation. Fees collected in accordance with this paragraph must be deposited to the 
Gambling Control Boarq aqministrative expenses Other Special Revenue Funds 
account, which is a nonlapsing dedicated account. 'This paragraph applies to casino 
operator licenses issued before January 1, 2015. 
Sec. 11. 8 MRSA §1018, sub-§l, ~~C-2, C-3 and C-4 are enacted to read: 
C-2, 
The fee for a casino operator license for a casino in york County or 
Cumberland County, issued in accordance with section lOll-A, is $10,000,000, The 
license fee must be deposited, in accordance Yiith section 10I8-A The license fee is 
separate from the nonrefundable almlication fee required pursuant to section lOll-A, 
subsection 1 a11(1 the payment of costs to the board for processing the application and 
performing background investigati~ns, 
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C-3. The renewal fee for a casino operator license for a casino in York COID1ty or 
Cumberland County, issued in accon:lance with section 10 II-A, is $250,000 due 5 
years after the initial fee required under paragraph C-2, 
C-4, The annual registration fee for a slot machine and a table game operated at a 
casino licensed on or after J~nuary 1,2615 is $100. 
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Sec. 12. 8 MRSA §1018, sub-§I-A, as enacted by PL 2011, c, 699, §2, is 
repealed, 
Sec. 13. 8 MRSA §1018, sub-§2, as enacted by PL 2003, c. 687, Pt. A, §5 and 
affected by Pt. B, § 11, is amended to read: 
2. Term of license issued bef..,re January 1, 2015; renewal, renewal fees. 
Al+ 
Except for slot machine operator licenses and casino operator licenses issued on or after 
January 1, 2015, licenses issued by the board under this chapter are effective for one year, 
unless revoked or sun-endered pursuant to subchapter 5, Upon proper application and 
payment of the req\lired fees and taxes and in accordance with nJIes adopted by the board, 
the bo~rd may renew a license for an additional ye~r if municipal approval has been 
obtained as provided in section lQ12, The board shall transfer $25,000 of the renewal fee 
required by subsection 1, paragraph C to the municipality in which the slot machines are 
1 
operated. 
Sec. 14. 8 MRSA §1018, sub-§§2-A, 2-B and 3-A are enacted to read: 
2-A. Term..,f license, issued on or after January 1, 2015. A casino operator 
license issued by the board' pursuant to section iOlCsubsection 2-C is effective fo[5 
years after the date of issuance unless revoked or sun-endered pursuant to subchapter 5. 
2-B. Annual reinvestment requirements; southern casino. A casino operator 
licensed by the board pursuant to section 10 11, subsection 2-C operating a casino in York 
County or Cumberland County may deposit with the board the percentage of net slot 
machine income and net table game income required as an annual reinvestment pursuant 
to the contract executed in accordance with section lOll-A, subsection 5. The board 
shall hold the funds in an interest-bearing, nonlapsing aCCOlmt. The casino operator may 
request funds from the account for the purpose of making capital investments or 
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improvements to the casino facility. If there are funds in the account and the casino 
ceases operation for a p~~iod of more than 90 days, the funds must be deposited to the 
General Fund. 
3-A. Licensee other than the original applicant; contract applicable. If a person 
initialiyliceilsed to op~rate 'a'casino 'aft~:rJ~nuarY'l, 20 i Sin York County'or Cuinberland 
County surrenders the license or the license is revoked, a subsequent licensee authorized 
by the board to operate the casino in accordance with this chapter is subject to the terms' 
of the contractrequired byalld ex~c~lt~dunder section lO11~A, subsection 5. 
A 
subsequent licensee is required to submit an application to the board and is subject to the 
li~ensing qualificatiol1s12rescrib,c:d u~~er sec~ion 10 i6.' , 
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Sec. 15. 8 l\1RSA §1018-A is enacted to read: 
illI8-A. Host mu~~ci:t?ality a,nd coun,!Yn,.v~nueloss mitigation 
The portio11 of the license fee submitted in accordance with section 1018, subsection 
1, paragraph C-2 that is not deposited to the General Fund must be deposited into a 
nonlapsing, dedicate~ account to b~ admh~iste~ed by the board. 
The purpose of the 
account is to maintain the level of revenue distributed to host municipalities under section 
11, 'subsection < 
section 1036, subsectiol1 2', paragraph J; and section 103 6, subse~tion 
2-A, paragraph F and to a host county under section 1036, subsection 2-A, paragraph J in 
which a casino was initially licensed to operate prior to January 1, 2015, 
Upon 
commencement of -the operation of slot n~ac~ines at a casino in York County or 
Cumberland County, the board shalldetermine the distribution amount by calculating the 
average annual distribution to the municipality or county from the last 5 full calendar 
y~ars in which distributi.ons :were recei"ed.The ~o,ard shCill detennine thedish'ibution 
amounts and make distributi<ms within 90 days of the conunencement of the operation of 
slot machines at a casino operated in York County or Cumberland County. Distributions 
made to a municipality or county in accordance with this section continue until 100% of 
the' amount of the 'license fee deposited into the account 'is distributed. Distributions 
required under this 'section continue regardless ~{whether a 
~asino initiaily licensecLQrior 
to january 1,' 2015 fi.:01n,:Vhich the distrib'uti'ons' to a ~nunicipality or countY were made 
ceases operation' ~fter theco~mence~~nt' of siot Illachhle' operation at aC1l:sino in York 
County or Cumberland County. 
Sec. 16. 8 MRSA §1019, sub-§6, as amended by PL 2011, c. 417, §5, is repealed. 
Sec. 17. 8 MRS A §1019, sub~§7, as amended byPL2011, c. 417, §6, is repealed. 
Sec. 18. 8 MRSA §1020, su1:>-§3, as amended by PL 2011, c. 585, §8, is further 
amended to read: 
3. Limits on total slot machines. The board shall determine the number of slot 
machines to be registered in the State for casinos initially licensed prior to J anua!.Y.-l., 
2015. 
The board shall make this detennination based upon the minimum net slot 
machine income, when distributed pursuant to section 1036, necessary to maintain the 
harness horse racing industry in this State, except that: 
A. 
Except for slot machines used for training and educational purposes at 
postsecondary institutions as provided by section 1011, subsection I-B, the total 
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number of slot machines registered in the State for. operation at casinos initially 
licensed prior to January 1,2015 may not exceed 3,000; and 
B. 
A slot machine operator initially licensed prior to J anualY 1, 2015 may not 
operate more than 1,500 slot machines at anyone commercial track and a casino 
operator initiallylicensed prior to January 1,2015 may not operate more than 1,500 
slot machines at a casino. 
. 
Sec. 19. 8 MRSA §1036, as amended by PL 2013, c. 118, §§1 and 2 and c. 128, 
§ 1, is further amended to read: 
§1036. Allocation of funds 
1. Distribution for administrative expenses of board. A Except as provided by 
section 1036-A, a slot machine operator licensed under section 1011, subsection 2 or a 
casino operator that is a commercial track that was licensed to operate slot machines 
under section 1011, subsection 2 on January 1, 2011 shall collect and distribute 1 % of 
gross slot machine income to the Treasurer of State for deposit in the General Fund for 
the administrative expenses of the board. 
2. Distribution of net slot machine income from casino with commen;ial track. 
A Except as provided by section 1036-A, a slot machine operator licensed under section 
1011, subsection 2 or a casino operator that is a commercial track that was licensed to 
operate slot machines under section 1011, subsection 2 on January 1, 2011 shall collect 
and distribute 39% of the net slot machine income from slot machines operated by the 
slot machine operator to the board for distri1:;lution by the boarc;l as follows: 
A. Three percent of the net slot machine income must be deposited to the General 
Fund for administrative expenses of the board in accordance with mles adopted by 
the board, except that of the amount calclliated pursuant to this paragraph, the 
following amounts must be transferred annually to the Gambling Addiction 
Prevention and Treatment Fund establishec;l by Title 5, section 20006-B: 
(1) For the fiscal year beginning July 1,2011, $50,000; 
(2) For the fiscal year beginning July 1, 2012, $50,000; and 
(3) For the fiscal year beginning July 1, 2013 and for each fiscal year thereafter, 
$100,000; 
B. Ten percent of the 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 net slot machine income must be credited by the board to the 
Sire Stakes Fund created in section 281; 
D. Three percent of the 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 
Fllnd established in Title 7, section 91; 
E. Ten percent of the net slot machine income mllst be forwardec;l by the board to the 
State Controller and except as otherwise provided in this paragraph credited to the 
Fund for a Healthy Maine established 1:;ly Title 22, section 1511 and segregated into a 
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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. For the fiscal years ending June 30, 2010, June 30, 2011 and June 30, 
2012, the amount credited annually by the State Controller to the Fund for a Healthy 
Maine under this paragraph may not exceed $4,500,000 annually and any funds in 
excess of $4,500,000 annually during these fiscal years must be credited as General 
Fund undedicateq revenije, and, for the fiscal year ending June 30, 2013, the amount 
credited by the State Controller to the Fund for a Healthy Maine under this paragraph 
is $0; 
F. Two percent of the 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 
and to the Board of Trustees of the; Maine Maritime Academy to be applied by the 
board of trustees to fund its scholarship program. The slot machine income under 
this paragraph must be distributed as follows: 
(1) The University of Maine System share is the total amount of the distribution 
mUltiplied by the ratio of enrolled students in the system to the total number of 
enrolled students both in the system and at the Maine Maritime Academy; and 
(2) The Maine Maritime Academy share is the total amount of the distribution 
multiplied by the ratio of enrolled stlJdents at the academy to the total number of 
enrolled students both in the system and at the academy; 
G. One percent of the 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 tmstees to fund its scholarships program tmder Title 20-A, section 12716, 
subsection 1; 
H. Four percent of the net slot machine income llTijst be fon¥ardeq 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, in which case, that 
4% of the net slot machine income must be credited to the General Fund as 
undedicated revenue; 
1. Two percent of the 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 12-month 
period in which the first payment to the fund is required. 
After 48 months of 
receiving an allocation of the net slot machine income from a licensed operator, the 
percent of 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 net slot machine income must be forwarded directly to the 
municipality in which the slot machines are located. 
COMMITTEE AMENDMENT 
R QFs 
COMMITTEE AMENDMENT ,13" to H.P. 876, L.D. 1280 
2-A. Distrib1Jtion from casino of slot machine income. A Except as provided by 
section 1036-A, a casino operator shall colhect and distribute 46% of the net slot machine 
income from slot machines operated by the casino operator to the board for distribution 
by the board as follows: 
A. Twenty-five percent of the net slot machine income must be fOlwarded directly 
by the board to the Treasurer of State, who shall credit the money to the Depaliment 
of Educatio'n, to be used to supplement and not to supplant funding for essential 
programs and services for kindergarten to grade 12 under Title 20-A, chapter 606-B; 
B. Four percent of the 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 and to the Board of Trustees of the Maine Maritime Academy to be applied by 
the board of trustees to fund its scholarship program. The slot machine income under 
this paragraph m\lst be distributed as follows: 
(1) The University of Maine System share is the total amount of the distribution 
mUltiplied by the ratio of enrolled stlJdents in the system to the total number of 
enrolled students both in the system and at the Maine Maritime Academy; and 
(2) The Maine Maritime Academy share is the total amount of the distribution 
multiplied by the ratio of enrolled swdents at the academy to the total number o( 
enrolled students both in the system and at the academy; 
C. Three percent of the net slot machine income must be fonvarded by the board to 
the Bqard 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; 
D. Four percent of the net slot machine income must be fonvarded by the board to 
the Treasurer of State, who shall distribute the funds to the tribal governments of the 
Penobscot Nation and the Passamaquoddy Tribe; 
E. Three percent of the 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 mles adopted by the board; 
F. Two percent of the net slot machine income ml}st be forwarded directly to the 
municipality in which the ((asino is located; 
G. One percent of the net slot machine income m\lst 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 91; 
H. One percent of the net slot machindncome 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; 
I. One percent of the net slot machine income must be credited by the board to the 
Sire Stakes Fund created in section 281; 
J. One percent of the net slot machine income must be forwarded directly to the 
county in which the casino is located to pay for mitigation of costs resulting from 
gaming qperations; 
COMMITTEE AMENDMENT 
ROF,~ 
II 
COMMTTIEE AMENDMENT ,6, to H.P. 876, L.D. 1280 
L. 
Begimling July 1, 2013, 1/2 of 1 % of the net slot machine income must be 
forwarded by the board to the Treasurer of State, who shall credit the money to the 
Maine Milk Pool, Other Special Revenue Funds account within the Department of 
Agriculture, Conservation and Forestry to help fund dairy farm stabilization pursuant 
to Title 7, sections 3l53-B and 3153-0; and 
M. Beginning July 1, 2013, 1/2 of 1 % of the net slot machine income must be 
forwarded by the board to the Treasurer of State, who .shall credit the money to the 
Daily Improvement Fund established under Title 10, section 1023-P. 
If a recipient of net slot machine income in paragraph D, H or I owns or receives funds 
from a slot maQhine facility or casino, other than the casino in Oxford County or the slot 
machine facility in Bangor, then the recipient may not receive funds under this 
subsection, and those funds ml,lst be retained by the Oxford County casino operator. 
2-B. Distribution from casino of table game incQrne. A Except ~'ovided by 
section 103 6-A, a casino operator lic;ensed in accordance with section 1011, subsection 
2-A, paragraph A shall collect and distribute 16% of the net table game income from 
table ganws operated by the casino operator to the board for distribution by the board as 
follows: 
A. Ten percent ofthe net table game income must be forwarded directly by the board 
to the Treasurer of State, who shall credit the money to the Department of Education, 
to be used to suppl((ment and not to supplant funding for essential programs and 
services for kindergarten to grade 12 under Title 20-A, chapter 606-B; 
B. Three Percent of the net table game income must be deposited to the Gambling 
Control Board administrative expenses Other Special Revenue Funds account, which 
is a nonlapsing dedicated account; 
C. 
Two percent of the net table game income must be forwarded directly to the 
municipality in which the table games are located; and 
D,. One percent of the net table game income must be forwarded directly to the 
county in which the table games are located to pay for mitigation of costs resulting 
from gaming operations. 
2-C. Distribution of table game incQme from casino with a commercial track. A 
Except as provided by section 1036-A, a casino operator that is a commercial track and 
w~s licensed to operate slot ~achines on January 1, 2011 shall collect and distribute 16% 
of the net table game income from table games operated· by the casino operator to the 
board for distribution by the board as follows: 
A. Nine percent of the net table game 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; 
B. Three percent of the net table game income must be deposited to the Gambling 
Control Board administrative expenses Other Special Revenue Funds account, which 
is a nonlapsing dedicated account; 
C. 
Two percent of the net table game income must be forwarded directly to the 
municipality in which the table games are located; and 
COMMITTEE AMENDMENT 
RO~S 
COMMITTEE AMENDMENT ..0, to H,P, 876, L.D, 1280 
D, Two percent of net table game income must be deposited into the Coordinated 
Veterans Assistance Fund established in Title 37-B, section 514, 
2-D. Distribution of slot machine and table game income from a casino in York 
. 
.~!"'!".--.. 
..> 
.FF'~~ 
~, 
",. 
., 
••• 
County ()r C.umperland GOUJ1ty.~ ,A c:asitl0 ~perator lisensed tooperate a casino i.nYork 
County or Cumberland COUl1W pursuant to section 10 ll-A shall collect and distribute 
40% of net slot machine income and 16% of net table game income to the board, The 
distributions must be held' by th~ board until. a distribution is . established by the 
Legislature for net slot machine income and net table game income generated by a casino, 
The net table. game income must be transferred by the board to the Fund to Reform 
Veterans Services established under Title 37-B, section 515, 
3. 
Failure to deposit funds. 
A slot machine operator or casino operator who 
knowingly or intentionally fails to Gomply with this section commits a Class C crime, In 
addition to any other sanction available qy law, the license of the operator may be 
revoked by the board and the slot machines or table games operated by that slot machine 
operator or casino operator may be disabled, and the slot machines or table games, slot 
machines' or table games' proceeds and associated equipment may be confiscated by the 
board and are subject to forfeiture under Title 17-A, section 959 or 960, 
4. Late payments. The board may adopt rules establishing the dates on which 
payments required by this section are due, All payments not remitted when due must be 
paid together with interest on the unpaid balance at a rate of 1.5% per month. 
Sec. 20. 8 MRSA §1036-A is enacted to read: 
ill,36-A. Distributions of slot machine and table game income uPI!!!, w,ration of a 
c~s~no, ga,mbJing facility ()r slot machine facili~cE!ns~!~er Ja!ll!!rll 
2015 
The b()ard may not make distributions as provided by section 1036, subsections 1, 2, 
2-A, 2-B and 2-C after the commencement of operations of a casino, slot machine facility 
or g~lllbling facility subject to licensure by th.e board initially licensed after January 1, 
2015. Net slot machine income and net table game income collected by a casino operator 
or slot machine facility operat!)r in accorqance w:ith section 1036, subsections. 1,2, 2 -A, 
2-B and 2-C must be held by the board until a distriblltion of net slot machine income and 
net table game income is establi,shed py'the Legislature that provides for a distribution of 
net slot machine income and net table game income that applies, in the same manner, to 
each casi~o, slot machine' facility orga~b1ing facility licensed in' accordance with this 
chapter, 
Sec. 21. 37-B MRSA §515 is enacted to read: 
§515. Fund to Reform Veterans Services 
The Fund to Reform Veterans Services is established to develo~ coordinated 
delivery system of benefits and services to veterans in the State. The fund is a dedicated 
nonlapsing account. . Benefits and services to be coordinated within this system are not 
limited to those established and administered by the State, but may also include those ' 
provided by federal agencies, service-oriented nonprofit organizations and veterans' 
service organizations, The director shall administer the fund, 
COMMITTEE AMENDMENT 
R(9PS 
COMMITTEE AMENDMENT "8,, to H.P. 876, L.D. 1280 
Sec. 22. 
Joint Standing Committee on Veterans and Legal Affairs 
authorized to submit legislation. ThyJoint Standing Committee on Veterans and 
Legal Affairs is "authorized to submit Iygislation to the Second ·Regular Session of the 
l27th Legislature to implement the recorrunendations of thy Director of the Bureau of 
Maine Veterans' Services within the Department of Defense, Veterans and Emergency 
Management with regard to a comprehensive plan for the coordinated delivery system of 
benefits and services to veterans in the State under the Maine Revised Statutes, Title 
37-B, section 515. 
Sec. 23. Appropriations and allocations. The following appropriations and 
allocations are made. 
DEFENSE, VETERANS AND EMERGENCY MANAGEMENT, DEPARTMENT 
OF 
Veterans Services Q110 
Initiative: Establishes the Fund to Reform Veterans Services with a base allocation. 
OTHER SPECIAL REVENUE FUNDS 
All Other 
OTHER SPECIAL REVENUE FUNDS TOTAL 
2015-16 
$500 
$500 
2016-17 
$500 
$500 
Sec. 24. Statutory referendum procedl~re; submission at election; form of 
question; effective date. This Act must be submitted to the legal voters of the State at 
a statewide election held in the month of November following passage of this Act. The 
municipal officers of this State shall notify the inhabitants of their respective cities, towns 
and plantations to meet, in the manner presclibed by law for holding a statewide election, 
to vote on the aGceptance or rejection of this Act by voting on the following question: 
"Do you favor the operation of a resOli-style casino, licensed pursuant to 
a competitive bid process, in either York County or Cumberland 
County?" 
The legal voters of each city, town and plantation shall vote by ballot on this q\lestioll 
and designate their choice by a cross or check mark placed within a corresponding square 
below the word "Yes" or "No." 
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. If a majority of the legal votes are cast in favor of this Act, the 
34; 
Governor shall proclaim the result without delay and this Act becomes effective 30 days 
after the date of the proclamation . 
. 36 
The Secretary of State shall prepare and furnish to eaGh city, town and plantation all 
ballots, returns and copies of this Act necess'ary to cany out the purposes of this 
referendum.' 
. Page 14 - 127LRlS72(03)-1 
COMMITTEE AMENDMENT 
R OF:t~ 
COMMITTEE AMENDlvrENT ,8 .. to H.P. 876, L.D. 1280 
SUMMARY 
This amendment replaces the bill and is a minority report of the committee. The 
amendment establishes a competitive bid process for the operation of a resort-style casino 
in either York County or Cumberland County. The amendment establishes the Casino 
Development Commission, which is an independent board of 5 members appointed by 
the Governor and confim1ed by the Senate. The commission's purpose is to develop a 
request for proposals for the privilege to submit an application to the Gambling Control 
Board for a casino operator license. 
The fee to submit a bid is $250,000. 
The 
amendment provides for specific supporting infonnation to be submitted by the bidder 
and considered by the commission including the bidder's ability to make a minimum 
$250,000,000 capital investment in the resort-style casino and information regarding job 
creation, economic devc;lopment and plans to mitigate negative infrastructure impacts. 
Under the amendment, the commission is directed to develop a point system for the 
factors to be considered and give priority to factors that create Jobs, promote economic 
development, increase tourism am,! support a casino that fits the character of the State, 
with job creation and economic development being the highest priorities. The winning 
bidder must enter into a contract with the commission that obligates the casino operator to 
abide by the proposals made in the winning bid. Failure to abide by the tenl1S of the 
contract could result in financial penalties to the operator. 
The license fee for a casino under the amendment is $10,000,000, which is deposited 
into an account to be used to mitigate the impact oflost revenue on the municipalities and 
a county in which casinos are currently located due to the operation of the new resort-
style casino. Under the amendment, the Gambling Control Board will distribute money 
from the account to the municipalities and county based on past distribution amounts the 
municipalities and county had been receiving from the casino, with the intent of 
maintaining the same revenue stream. 
The amendment sets the distribution of net slot machine revenue at 40% and the 
distribution of net table game revenue at 16% for the resOli-style casino. Table game 
revenues would be deposited into a fund to develop a coordinated system of delivery of 
services and benefits to Maine veterans. Upon operation of slot machines at the resOli-
style casino, the board will hold distributions required of existing casinos until the 
Legislature establishes a single distribution stmcture that would apply to all casinos in the 
State. 
, The amendment also adds an appropriations and allocations section. 
Finally, the amendment makes enactment of this bill contingent upon the approval of 
the voters of the State ata statewide referendum election. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 06/18/15 
MaC! 
LD 1280 
LR1S72(03) 
An Act To Provide Income Tax Relief by Expanding Gaming Opportunities 
Fiscal Note for Bill as Amended by Committee Arnendmend) tH ~ 4q i) 
Committee: Veterans and Legal Affairs 
Fiscal Note Required: Yes 
Fiscal Note 
Contingent current biennium referendum costs - General Fund 
Contingent current biennium cost increase - Other Special Revenue Funds 
Contingent current biennium revenue decrease - General Fund 
Contingent current biennium revenue increase - Other Special Revenue Funds 
Appro~riations/ Allocations 
Other Special Revenue Funds 
Projections 
FY 2015-16 
FY 2016-17 
FY 2017-18 
$500 
$500 
$500 
Referendum Costs 
MonthlY ear 
Election Type 
Question 
Length 
Nov-15 
General 
Referendum 
Standard 
Projections 
FY 2018-19 
$500 
The Secretary of State's budget includes sufficient funds to accommodate one ballot of average length for the general 
election in November. Ifthe number or size ofthe referendum questions requires production and delivery of a second 
ballot, an additional appropriation of$107,250 may be required. 
Fiscal Detail and Notes 
The bill establishes the Fund to Reform Veterans Services in the Department of Defense, Veterans and Emergency 
Services with a base Other Special Revenue Funds (OSRF) allocation of$500 beginning in fiscal year 2015-16 in 
order to allow the department to spend any monies received. 
The bill creates a commission to use a competitive bid process to award the privilege to apply for the operation of a 
resort-style casino. Bidders will pay a $250,000 bidding fee to win the right to be the applicant. The fiscal note 
assumes this will be credited to the General Fund. The Gambling Control Board (GCB) will accept applications for a 
casino license in either York County or Cumberland County from the winning bidder as long as the voters of the 
municipality where the proposed casino will be located have voted to approve a casino'. Only one casino, in either 
York or Cumberland County, may be licensed. 
The facility would be taxed at the rate of 40% of net slot income and 16% of net table game income, The bill requires 
a casino, beginning no sooner than 5 years after operation of slot machines, to make capital improvements to the 
casino using 3% to 4% of both net slot machine and net table game income or direct those funds to the GCB, This 
fiscal note assumes that the facility will not direct these funds to the GCB. This fiscal note assumes a total of 1,000 
slot machines and 24 table games, generating an estimated annual revenue of $27,158,628 to the GCB and $1,735,181 
to the Fund to Reform Veterans Services. 
LR1572(03) - Fiscal Note - Page 1 of 2 
C"6hL~-4-qJ) 
Each non-refundable bid proposal will generate $250,000 in General Fund revenue. The casino operator license is 
$10,000,000 in OSRF revenue in the first year of the casino's operation. The $10,000,000 will be used to provide 
revenue to host municipalities and counties receiving distributions from either Hollywood Casino or Oxford Casino. 
$250,000 in OSRF revenue will be generated in the fifth year of the casino's operation from the renewal fee for the 
casino operator license. $102,400, will be generated annually from the registration fees of $1 00 per slot machine and 
per table game. Annual State costs associated with 5 inspectors, an auditor and other related expenses are estimated 
to be $523,510. 
WhiteSand Gaming's market feasibility study on expanded gaming in Maine estimated a 20% reduction in revenue to 
Oxford Casino if a new southern Maine casino were to open. This fiscal note assumes the same 20% reduction, 
resulting in an estimated annual General Fund revenue loss of $347,495 and OSRF revenue loss of $5,41 0,437. An 
assessment of the impact on revenues generated by Hollywood Casino has not been done at this time. 
Under current law, State revenue from both Oxford Casino and Hollywood Casino go to various funds, but this bill 
directs all State revenue from these casinos to go to the GCB until a.distribution of slot machine and table game 
revenue is established by the Legislature. The new distribution is required to be a uniform distribution of slot machine 
and table game revenue to each casino, slot machine facility or gambling facility. This results in an estimated annual 
General Fund revenue decrease of$8,223,744 and an annual OSRF revenue increase of$8,223,744. 
Summary of Casino Revenue 
Gross Slot Income (total value of money, tokens, credits and other value used to play slots) 
Player Payback - Slot Income 
Annual 
Estimate 
$659,190,000 
$591,293,430 
$67,896,570 
$27,158,628 
$40,737,942 
$10,844,880 
$1,735,181 
$9,109,699 
Net Slot Income 
Share of Net Slot Income for Distribution - 40% 
Operator Share of Net Slot Income - 60% 
Net Table Game Income 
Share of Net Table Game Income for Distribution - 16% 
Operator Share of Net Table Game Income - 84% 
State Revenues by Fund 
General Fund 
Oxford Casino revenue reduced 
Oxford Casino revenue was GF, now OSR 
Hollywood Casino revenue was GF, now OSR 
Total General Fund Revenue 
Bidding Fee - assumes 2 bidders 
Other Special Revenue Funds 
Gambling Control Board - Net Slot Income 
Fund to Reform Veterans Services - Net Table Game Income 
Gambling Control Board - Annual Registration Fees 
Oxford Casino revenue reduced 
Oxford Casino revenue was GF, now OSR 
Hollywood Casino revenue was GF, now OSR 
Total Other Special Revenue Funds Revenue 
Casino Operator License - 1st year only 
License Renewal Fee - due after 5 years 
Total Revenue All Funds 
Summary of State Expenditures 
Public Safety - Other Special Revenue Funds 
LRlS72(03) - Fiscal Note - Page 2 of2 
($347,495) 
($1,389,981) 
($6,833,763) 
($8,571,239) 
$500,000 (one-time) 
$27,158,628 
$1,735,181 
$102,400 
($5,410,437) 
$1,389,981 
$6,833,763 
$31,809,516 
$10,000,000 (one-time) 
$250,000 (one-time) 
$23,238,277 
$523,510