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To amend sections 3772.03 and 3772.99 of the Revised | 1 |
Code to create penalties related to casino gaming | 2 |
and transacting with a casino facility and to | 3 |
require the Casino Control Commission to include | 4 |
in its annual report to the General Assembly | 5 |
information regarding prosecutions for conduct | 6 |
that is subject to those penalties. | 7 |
Section 1. That sections 3772.03 and 3772.99 of the Revised | 8 |
Code be amended to read as follows: | 9 |
Sec. 3772.03. (A) To ensure the integrity of casino gaming, | 10 |
the commission shall have authority to complete the functions of | 11 |
licensing, regulating, investigating, and penalizing casino | 12 |
operators, management companies, holding companies, key employees, | 13 |
casino gaming employees, and gaming-related vendors. The | 14 |
commission also shall have jurisdiction over all persons | 15 |
participating in casino gaming authorized by Section 6(C) of | 16 |
Article XV, Ohio Constitution, and this chapter. | 17 |
(B) All rules adopted by the commission under this chapter | 18 |
shall be adopted under procedures established in Chapter 119. of | 19 |
the Revised Code. The commission may contract for the services of | 20 |
experts and consultants to assist the commission in carrying out | 21 |
its duties under this section. | 22 |
(C) Within six months of September 10, 2010, the commission | 23 |
shall adopt initial rules as are necessary for completing the | 24 |
functions stated in division (A) of this section and for | 25 |
addressing the subjects enumerated in division (D) of this | 26 |
section. | 27 |
(D) The commission shall adopt, and as advisable and | 28 |
necessary shall amend or repeal, rules that include all of the | 29 |
following: | 30 |
(1) The prevention of practices detrimental to the public | 31 |
interest; | 32 |
(2) Prescribing the method of applying, and the form of | 33 |
application, that an applicant for a license under this chapter | 34 |
must follow as otherwise described in this chapter; | 35 |
(3) Prescribing the information to be furnished by an | 36 |
applicant or licensee as described in section 3772.11 of the | 37 |
Revised Code; | 38 |
(4) Describing the certification standards and duties of an | 39 |
independent testing laboratory certified under section 3772.31 of | 40 |
the Revised Code and the relationship between the commission, the | 41 |
laboratory, the gaming-related vendor, and the casino operator; | 42 |
(5) The minimum amount of insurance that must be maintained | 43 |
by a casino operator, management company, holding company, or | 44 |
gaming-related vendor; | 45 |
(6) The approval process for a significant change in | 46 |
ownership or transfer of control of a licensee as provided in | 47 |
section 3772.091 of the Revised Code; | 48 |
(7) The design of gaming supplies, devices, and equipment to | 49 |
be distributed by gaming-related vendors; | 50 |
(8) Identifying the casino gaming that is permitted, | 51 |
identifying the gaming supplies, devices, and equipment, that are | 52 |
permitted, defining the area in which the permitted casino gaming | 53 |
may be conducted, and specifying the method of operation according | 54 |
to which the permitted casino gaming is to be conducted as | 55 |
provided in section 3772.20 of the Revised Code, and requiring | 56 |
gaming devices and equipment to meet the standards of this state; | 57 |
(9) Tournament play in any casino facility; | 58 |
(10) Establishing and implementing a voluntary exclusion | 59 |
program that provides all of the following: | 60 |
(a) Except as provided by commission rule, a person who | 61 |
participates in the program shall agree to refrain from entering a | 62 |
casino facility. | 63 |
(b) The name of a person participating in the program shall | 64 |
be included on a list of persons excluded from all casino | 65 |
facilities. | 66 |
(c) Except as provided by commission rule, no person who | 67 |
participates in the program shall petition the commission for | 68 |
admittance into a casino facility. | 69 |
(d) The list of persons participating in the program and the | 70 |
personal information of those persons shall be confidential and | 71 |
shall only be disseminated by the commission to a casino operator | 72 |
and the agents and employees of the casino operator for purposes | 73 |
of enforcement and to other entities, upon request of the | 74 |
participant and agreement by the commission. | 75 |
(e) A casino operator shall make all reasonable attempts as | 76 |
determined by the commission to cease all direct marketing efforts | 77 |
to a person participating in the program. | 78 |
(f) A casino operator shall not cash the check of a person | 79 |
participating in the program or extend credit to the person in any | 80 |
manner. However, the program shall not exclude a casino operator | 81 |
from seeking the payment of a debt accrued by a person before | 82 |
participating in the program. | 83 |
(g) Any and all locations at which a person may register as a | 84 |
participant in the program shall be published. | 85 |
(11) Requiring the commission to adopt standards regarding | 86 |
the marketing materials of a licensed casino operator, including | 87 |
allowing the commission to prohibit marketing materials that are | 88 |
contrary to the adopted standards; | 89 |
(12) Requiring that the records, including financial | 90 |
statements, of any casino operator, management company, holding | 91 |
company, and gaming-related vendor be maintained in the manner | 92 |
prescribed by the commission and made available for inspection | 93 |
upon demand by the commission, but shall be subject to section | 94 |
3772.16 of the Revised Code; | 95 |
(13) Permitting a licensed casino operator, management | 96 |
company, key employee, or casino gaming employee to question a | 97 |
person suspected of violating this chapter; | 98 |
(14) The chips, tokens, tickets, electronic cards, or similar | 99 |
objects that may be purchased by means of an agreement under which | 100 |
credit is extended to a wagerer by a casino operator; | 101 |
(15) Establishing standards for provisional key employee | 102 |
licenses for a person who is required to be licensed as a key | 103 |
employee and is in exigent circumstances and standards for | 104 |
provisional licenses for casino gaming employees who submit | 105 |
complete applications and are compliant under an instant | 106 |
background check. A provisional license shall be valid not longer | 107 |
than three months. A provisional license may be renewed one time, | 108 |
at the commission's discretion, for an additional three months. In | 109 |
establishing standards with regard to instant background checks | 110 |
the commission shall take notice of criminal records checks as | 111 |
they are conducted under section 311.41 of the Revised Code using | 112 |
electronic fingerprint reading devices. | 113 |
(16) Establishing approval procedures for third-party | 114 |
engineering or accounting firms, as described in section 3772.09 | 115 |
of the Revised Code; | 116 |
(17) Prescribing the manner in which winnings, compensation | 117 |
from casino gaming, and gross revenue must be computed and | 118 |
reported by a licensee as described in Chapter 5753. of the | 119 |
Revised Code; | 120 |
(18) Prescribing conditions under which a licensee's license | 121 |
may be suspended or revoked as described in section 3772.04 of the | 122 |
Revised Code; | 123 |
(19) Prescribing the manner and procedure of all hearings to | 124 |
be conducted by the commission or by any hearing examiner; | 125 |
(20) Prescribing technical standards and requirements that | 126 |
are to be met by security and surveillance equipment that is used | 127 |
at and standards and requirements to be met by personnel who are | 128 |
employed at casino facilities, and standards and requirements for | 129 |
the provision of security at and surveillance of casino | 130 |
facilities; | 131 |
(21) Prescribing requirements for a casino operator to | 132 |
provide unarmed security services at a casino facility by licensed | 133 |
casino employees, and the training that shall be completed by | 134 |
these employees; | 135 |
(22) Prescribing standards according to which casino | 136 |
operators shall keep accounts and standards according to which | 137 |
casino accounts shall be audited, and establish means of assisting | 138 |
the tax commissioner in levying and collecting the gross casino | 139 |
revenue tax levied under section 5753.02 of the Revised Code; | 140 |
(23) Defining penalties for violation of commission rules and | 141 |
a process for imposing such penalties subject to the review of the | 142 |
joint committee on gaming and wagering; | 143 |
(24) Establishing standards for decertifying contractors that | 144 |
violate statutes or rules of this state or the federal government; | 145 |
(25) Establishing standards for the repair of casino gaming | 146 |
equipment; | 147 |
(26) Establishing procedures to ensure that casino operators, | 148 |
management companies, and holding companies are compliant with the | 149 |
compulsive and problem gambling plan submitted under section | 150 |
3772.18 of the Revised Code; | 151 |
(27) Prescribing, for institutional investors in or holding | 152 |
companies of a casino operator, management company, holding | 153 |
company, or gaming-related vendor that fall below the threshold | 154 |
needed to be considered an institutional investor or a holding | 155 |
company, standards regarding what any employees, members, or | 156 |
owners of those investors or holding companies may do and shall | 157 |
not do in relation to casino facilities and casino gaming in this | 158 |
state, which standards shall rationally relate to the need to | 159 |
proscribe conduct that is inconsistent with passive institutional | 160 |
investment status; | 161 |
(28) Providing for any other thing necessary and proper for | 162 |
successful and efficient regulation of casino gaming under this | 163 |
chapter. | 164 |
(E) The commission shall employ and assign gaming agents as | 165 |
necessary to assist the commission in carrying out the duties of | 166 |
this chapter. In order to maintain employment as a gaming agent, | 167 |
the gaming agent shall successfully complete all continuing | 168 |
training programs required by the commission and shall not have | 169 |
been convicted of or pleaded guilty or no contest to a | 170 |
disqualifying offense as defined in section 3772.07 of the Revised | 171 |
Code. | 172 |
(F) The commission, as a law enforcement agency, and its | 173 |
gaming agents, as law enforcement officers as defined in section | 174 |
2901.01 of the Revised Code, shall have authority with regard to | 175 |
the detection and investigation of, the seizure of evidence | 176 |
allegedly relating to, and the apprehension and arrest of persons | 177 |
allegedly committing gaming offenses, and shall have access to | 178 |
casino facilities to carry out the requirements of this chapter. | 179 |
(G) The commission may eject or exclude or authorize the | 180 |
ejection or exclusion of and a gaming agent may eject a person | 181 |
from a casino facility for any of the following reasons: | 182 |
(1) The person's name is on the list of persons voluntarily | 183 |
excluding themselves from all casinos in a program established | 184 |
according to rules adopted by the commission; | 185 |
(2) The person violates or conspires to violate this chapter | 186 |
or a rule adopted thereunder; or | 187 |
(3) The commission determines that the person's conduct or | 188 |
reputation is such that the person's presence within a casino | 189 |
facility may call into question the honesty and integrity of the | 190 |
casino gaming operations or interfere with the orderly conduct of | 191 |
the casino gaming operations. | 192 |
(H) A person, other than a person participating in a | 193 |
voluntary exclusion program, may petition the commission for a | 194 |
public hearing on the person's ejection or exclusion under this | 195 |
chapter. | 196 |
(I) A casino operator or management company shall have the | 197 |
same authority to eject or exclude a person from the management | 198 |
company's casino facilities as authorized in division (G) of this | 199 |
section. The licensee shall immediately notify the commission of | 200 |
an ejection or exclusion. | 201 |
(J) The commission shall submit a written annual report with | 202 |
the governor, president and minority leader of the senate, speaker | 203 |
and minority leader of the house of representatives, and joint | 204 |
committee on gaming and wagering before the first day of September | 205 |
each year. The annual report shall cover the previous fiscal year | 206 |
and shall include | 207 |
(1) A statement describing the receipts and disbursements of | 208 |
the commission | 209 |
(2) Relevant financial data regarding casino gaming, | 210 |
including gross revenues and disbursements made under this | 211 |
chapter | 212 |
(3) Actions taken by the commission | 213 |
(4) An update on casino operators', management companies', | 214 |
and holding companies' compulsive and problem gambling plans and | 215 |
the voluntary exclusion program and list | 216 |
(5) Information regarding prosecutions for conduct described | 217 |
in division (H) of section 3772.99 of the Revised Code, including, | 218 |
but not limited to, the total number of prosecutions commenced and | 219 |
the name of each person prosecuted; | 220 |
(6) Any additional information that the commission considers | 221 |
useful or that the governor, president or minority leader of the | 222 |
senate, speaker or minority leader of the house of | 223 |
representatives, or joint committee on gaming and wagering | 224 |
requests. | 225 |
(K) Notwithstanding any law to the contrary, beginning on | 226 |
July 1, 2011, the commission shall assume jurisdiction over and | 227 |
oversee the regulation of skill-based amusement machines as is | 228 |
provided in the law of this state. | 229 |
Sec. 3772.99. (A) The commission shall levy and collect | 230 |
penalties for noncriminal violations of this chapter. Noncriminal | 231 |
violations include using the term "casino" in any advertisement in | 232 |
regard to a facility operating video lottery terminals, as defined | 233 |
in section 3770.21 of the Revised Code, in this state. Moneys | 234 |
collected from such penalty levies shall be credited to the | 235 |
general revenue fund. | 236 |
(B) If a licensed casino operator, management company, | 237 |
holding company, gaming-related vendor, or key employee violates | 238 |
this chapter or engages in a fraudulent act, the commission may | 239 |
suspend or revoke the license and may do either or both of the | 240 |
following: | 241 |
(1) Suspend, revoke, or restrict the casino gaming operations | 242 |
of a casino operator; | 243 |
(2) Require the removal of a management company, key | 244 |
employee, or discontinuance of services from a gaming-related | 245 |
vendor. | 246 |
(C) The commission shall impose civil penalties against a | 247 |
person who violates this chapter under the penalties adopted by | 248 |
commission rule and reviewed by the joint committee on gaming and | 249 |
wagering. | 250 |
(D) A person who knowingly or intentionally does any of the | 251 |
following commits a misdemeanor of the first degree on the first | 252 |
offense and a felony of the fifth degree for a subsequent offense: | 253 |
(1) Makes a false statement on an application submitted under | 254 |
this chapter; | 255 |
(2) Permits a person less than twenty-one years of age to | 256 |
make a wager at a casino facility; | 257 |
(3) Aids, induces, or causes a person less than twenty-one | 258 |
years of age who is not an employee of the casino gaming operation | 259 |
to enter or attempt to enter a casino facility; | 260 |
(4) Enters or attempts to enter a casino facility while under | 261 |
twenty-one years of age, unless the person enters a designated | 262 |
area as described in section 3772.24 of the Revised Code; | 263 |
(5) Is a casino operator or employee and participates in | 264 |
casino gaming other than as part of operation or employment. | 265 |
(E) A person who knowingly or intentionally does any of the | 266 |
following commits a felony of the fifth degree on a first offense | 267 |
and a felony of the fourth degree for a subsequent offense. If the | 268 |
person is a licensee under this chapter, the commission shall | 269 |
revoke the person's license after the first offense. | 270 |
(1) Uses or possesses with the intent to use a device to | 271 |
assist in projecting the outcome of the casino game, keeping track | 272 |
of the cards played, analyzing the probability of the occurrence | 273 |
of an event relating to the casino game, or analyzing the strategy | 274 |
for playing or betting to be used in the casino game, except as | 275 |
permitted by the commission; | 276 |
(2) Cheats at a casino game; | 277 |
(3) Manufactures, sells, or distributes any cards, chips, | 278 |
dice, game, or device that is intended to be used to violate this | 279 |
chapter; | 280 |
(4) Alters or misrepresents the outcome of a casino game on | 281 |
which wagers have been made after the outcome is made sure but | 282 |
before the outcome is revealed to the players; | 283 |
(5) Places, increases, or decreases a wager on the outcome of | 284 |
a casino game after acquiring knowledge that is not available to | 285 |
all players and concerns the outcome of the casino game that is | 286 |
the subject of the wager; | 287 |
(6) Aids a person in acquiring the knowledge described in | 288 |
division (E)(5) of this section for the purpose of placing, | 289 |
increasing, or decreasing a wager contingent on the outcome of a | 290 |
casino game; | 291 |
(7) Claims, collects, takes, or attempts to claim, collect, | 292 |
or take money or anything of value in or from a casino game with | 293 |
the intent to defraud or without having made a wager contingent on | 294 |
winning a casino game; | 295 |
(8) Claims, collects, or takes an amount of money or thing of | 296 |
value of greater value than the amount won in a casino game; | 297 |
(9) Uses or possesses counterfeit chips, tokens, or cashless | 298 |
wagering instruments in or for use in a casino game; | 299 |
(10) Possesses a key or device designed for opening, | 300 |
entering, or affecting the operation of a casino game, drop box, | 301 |
or an electronic or a mechanical device connected with the casino | 302 |
game or removing coins, tokens, chips, or other contents of a | 303 |
casino game. This division does not apply to a casino operator, | 304 |
management company, or gaming-related vendor or their agents and | 305 |
employees in the course of agency or employment. | 306 |
(11) Possesses materials used to manufacture a device | 307 |
intended to be used in a manner that violates this chapter; | 308 |
(12) Operates a casino gaming operation in which wagering is | 309 |
conducted or is to be conducted in a manner other than the manner | 310 |
required under this chapter. | 311 |
(F) The possession of more than one of the devices described | 312 |
in division (E)(9), (10), or (11) of this section creates a | 313 |
rebuttable presumption that the possessor intended to use the | 314 |
devices for cheating. | 315 |
(G) A person who knowingly or intentionally does any of the | 316 |
following commits a felony of the third degree. If the person is a | 317 |
licensee under this chapter, the commission shall revoke the | 318 |
person's license after the first offense. A public servant or | 319 |
party official who is convicted under this division is forever | 320 |
disqualified from holding any public office, employment, or | 321 |
position of trust in this state. | 322 |
(1) Offers, promises, or gives anything of value or benefit | 323 |
to a person who is connected with the casino operator, management | 324 |
company, holding company, or gaming-related vendor, including | 325 |
their officers and employees, under an agreement to influence or | 326 |
with the intent to influence the actions of the person to whom the | 327 |
offer, promise, or gift was made in order to affect or attempt to | 328 |
affect the outcome of a casino game or an official action of a | 329 |
commission member, agent, or employee; | 330 |
(2) Solicits, accepts, or receives a promise of anything of | 331 |
value or benefit while the person is connected with a casino, | 332 |
including an officer or employee of a casino operator, management | 333 |
company, or gaming-related vendor, under an agreement to influence | 334 |
or with the intent to influence the actions of the person to | 335 |
affect or attempt to affect the outcome of a casino game or an | 336 |
official action of a commission member, agent, or employee; | 337 |
(H) A person who knowingly or intentionally does any of the | 338 |
following while participating in casino gaming or otherwise | 339 |
transacting with a casino facility as permitted by Chapter 3772. | 340 |
of the Revised Code commits a felony of the fifth degree on a | 341 |
first offense and a felony of the fourth degree for a subsequent | 342 |
offense: | 343 |
(1) Causes or attempts to cause a casino facility to fail to | 344 |
file a report required under 31 U.S.C. 5313(a) or 5325 or any | 345 |
regulation prescribed thereunder or section 1315.53 of the Revised | 346 |
Code, or to fail to file a report or maintain a record required by | 347 |
an order issued under section 21 of the "Federal Deposit Insurance | 348 |
Act" or section 123 of Pub. L. No. 91-508; | 349 |
(2) Causes or attempts to cause a casino facility to file a | 350 |
report required under 31 U.S.C. 5313(a) or 5325 or any regulation | 351 |
prescribed thereunder or section 1315.53 of the Revised Code, to | 352 |
file a report or to maintain a record required by any order issued | 353 |
under 31 U.S.C. 5326, or to maintain a record required under any | 354 |
regulation prescribed under section 21 of the "Federal Deposit | 355 |
Insurance Act" or section 123 of Pub. L. No. 91-508 that contains | 356 |
a material omission or misstatement of fact; | 357 |
(3) With one or more casino facilities, structures a | 358 |
transaction, is complicit in structuring a transaction, attempts | 359 |
to structure a transaction, or is complicit in an attempt to | 360 |
structure a transaction. | 361 |
(I) A person who is convicted of a felony described in this | 362 |
chapter may be barred for life from entering a casino facility by | 363 |
the commission. | 364 |
(J) As used in division (H) of this section: | 365 |
(1) To be "complicit" means to engage in any conduct of a | 366 |
type described in divisions (A)(1) to (4) of section 2923.03 of | 367 |
the Revised Code. | 368 |
(2) "Structure a transaction" has the same meaning as in | 369 |
section 1315.51 of the Revised Code. | 370 |
Section 2. That existing sections 3772.03 and 3772.99 of the | 371 |
Revised Code are hereby repealed. | 372 |