LD 1169
pg. 31
Page 30 of 32 An Act To Permit Video Gaming for Money Conducted by Nonprofit Organizations ... Page 32 of 32
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LR 985
Item 1

 
OTHER SPECIAL REVENUE FUNDS$0$3,860,698

 
____________________

 
DEPARTMENT TOTAL - ALL FUNDS$0$3,860,698

 
SECTION TOTALS2004-052005-06

 
GENERAL FUND$0$2,988,818

 
OTHER SPECIAL REVENUE FUNDS04,349,040

 
____________________

 
SECTION TOTAL - ALL FUNDS$0$7,337,858

 
SUMMARY

 
This bill allows operation of video gaming terminals by
nonprofit organizations that are eligible for games of chance
licenses and that are exempt from federal tax under the Internal
Revenue Code, Section 501(c)(8), 501(c)(10) or 501(c)(19). These
sections of the tax code refer to fraternal benefit societies,
domestic fraternal societies and associations and veterans'
organizations. Organizations that currently have licenses for
electronic video machines but do not qualify under one of those
code sections may apply for an initial license while they seek
the required federal tax status. The organization applying for
the license must own or lease the premises on which the terminals
will be placed and must use the premises for its charitable or
nonprofit purpose.

 
Video gaming terminals operated by organizations licensed
under this bill must be owned or leased by the Department of
Administrative and Financial Services, Bureau of Alcoholic
Beverages and Lottery Operations. Video gaming terminal
manufacturers, wholesalers and operators must be licensed by the
Chief of the State Police, following background investigations of
the applicants and their major business partners. Local approval
is required for a license to operate video gaming terminals and
is also required for renewal of a license to operate video gaming
terminals, and municipal decisions are subject to appeal to the
Chief of the State Police in accordance with the Maine
Administrative Procedure Act.

 
The license specifies the number of video gaming terminals
allowed on the premises, and the maximum number of terminals
allowed is 5 per licensee. Terminals must be licensed by the
Chief of the State Police and must be connected to a computer
system operated by the Director of the Bureau of Alcoholic
Beverages and Lottery Operations within the Department of
Administrative and Financial Services. By the end of a 5-year
phase-in period, this computer
system must provide continuous


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