An Act To Establish a Comprehensive Gaming Policy
Sec. 1. 5 MRSA §12004-G, sub-§32-A is enacted to read:
| Sport and Entertainment | Casino Site Location Commission | Legislative Per Diem and Expenses | 8 MRSA §1005-A |
Sec. 2. 8 MRSA §1001, sub-§6-A is enacted to read:
Sec. 3. 8 MRSA §1003, sub-§2, ¶B, as enacted by PL 2003, c. 687, Pt. A, §5 and affected by Pt. B, §11, is amended to read:
Sec. 4. 8 MRSA §1003, sub-§2, ¶B-1 is enacted to read:
Sec. 5. 8 MRSA §1005-A is enacted to read:
§ 1005-A. Casino Site Location Commission
Sec. 6. 8 MRSA §1011, sub-§2-B, as enacted by PL 2011, c. 699, §1, is repealed.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:
Sec. 8. 8 MRSA §1011-A is enacted to read:
§ 1011-A. Privilege to submit a casino operator license application pursuant to competitive bidding
The commission shall develop a request for proposals designed to encourage vigorous bidding for the purpose of awarding the privilege to submit an application to the board for a casino operator license. The commission shall request bids for the privilege to submit an application to the board for a resort-style casino in the southern region of the State and for the privilege to submit an application to the board for a casino in the northern region of the State. A request for proposals must instruct potential bidders to propose the scope of the gambling facility and amenities to be offered in conjunction with the facility and how the proposal will ensure that the proposed casino will provide the State with socially 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.
(1) The bidder's experience operating a commercial track in the southern region;
(2) How the bidder's proposal will sustain and enhance the sport of harness racing in the State and the associated businesses that benefit from a robust harness racing industry;
(3) The bidder's commitment and capacity to make an initial minimum capital investment 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;
(4) 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;
(5) The potential gross and net income to be generated by the bidder based upon documented, expert market analysis;
(6) The extent to which the 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;
(7) The extent to which the bidder's proposed facility can reasonably be expected to serve as a significant regional and national tourism destination;
(8) The potential created by the bidder's proposal to create commercial development opportunities in the host location and surrounding communities consistent with historic uses, regional character and local zoning and planning requirements;
(9) The bidder's proposed capital investment in a gambling facility, proposed amenities associated with the facility and the timing of capital investment expenditures in terms of ensuring the facility is economically competitive in the State and regionally;
(10) 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 the operation of the proposed facility; and
(11) Other factors, properly disclosed in the commission's request for proposals that the commission determines to be relevant to business and market factors;
(1) The bidder's workforce development plan and the extent to which it will maximize use of the State's existing labor force;
(2) The impact on economic development, existing and planned, in the region of the proposed facility; and
(3) Other factors, properly disclosed in the commission's request for proposals that the commission determines to be relevant to economic development;
(1) The adequacy of transportation infrastructure surrounding the proposed location of the gambling facility;
(2) The need for additional public infrastructure expenditures at or immediately surrounding the proposed location of the gambling facility;
(3) Any negative impact of the proposed location of the gambling facility on the municipality in which the facility is located, including but not limited to traffic congestion, road safety conditions and increased safety concerns for pedestrian traffic;
(4) The bidder's proposals for 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 to site location factors; and
(1) The bidder's plan to identify, address and minimize the 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 problem gambling prevention, intervention, treatment and research; and
(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 communities in the region.
(1) The bidder's commitment and capacity to make an initial minimum capital investment of $25,000,000 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;
(2) The potential gross and net income to be generated by the bidder based upon documented, expert market analysis;
(3) The extent to which the 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 gaming facilities in other states or provinces;
(4) The extent to which the bidder's proposed facility can reasonably be expected to serve as a regional recreational gambling destination;
(5) The bidder's proposed capital investment in a gambling facility, proposed amenities associated with the facility and the timing of capital investment expenditures in terms of ensuring the facility is profitable; and
(6) Other factors, properly disclosed in the commission's request for proposals that the commission determines to be relevant to business and market factors;
(1) The bidder's workforce development plan and the extent to which it will maximize use of the region's existing labor force;
(2) The impact on economic development, existing and planned, in the region of the proposed facility; and
(3) Other factors, properly disclosed in the commission's request for proposals that the commission determines to be relevant to economic development;
(1) The adequacy of transportation routes leading to the proposed location of the gambling facility;
(2) Any negative impact of the proposed location of the gambling facility on the municipality in which the facility is located, including but not limited to traffic congestion, road safety conditions and increased safety concerns for pedestrian traffic;
(3) Either the proximity of the proposed location of the gambling facility to major transportation routes and the Canadian border, which could maximize patronage from cross-border traffic, or whether the facility will be located where gaming is conducted by a federally recognized Indian tribe regardless of whether that facility will be within 30 miles of a casino that was licensed prior to January 1, 2015;
(4) The bidder's proposals for 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 to site location factors; and
(1) How the proposed facility will provide the greatest benefit to one or all federally recognized Indian tribes in the State, particularly by proposing operation and ownership by one or more federally recognized Indian tribes in the State;
(2) The bidder's plan to identify, address and minimize the 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 problem gambling prevention, intervention, treatment and research; and
(3) 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 communities in the region.
Sec. 9. 8 MRSA §1018, sub-§1, ¶C, as enacted by PL 2003, c. 687, Pt. A, §5 and affected by Pt. B, §11, is amended to read:
Sec. 10. 8 MRSA §1018, sub-§1, ¶C-1, as amended by PL 2011, c. 417, §4, is further amended to read:
Sec. 11. 8 MRSA §1018, sub-§1, ¶¶C-2, C-3 and C-4 are enacted to read:
Sec. 12. 8 MRSA §1018, sub-§1-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:
Sec. 14. 8 MRSA §1018, sub-§2-A is enacted to read:
Sec. 15. 8 MRSA §1019, sub-§7, as amended by PL 2011, c. 417, §6, is repealed.
Sec. 16. 8 MRSA §1036, sub-§1, as amended by PL 2011, c. 417, §7, is further amended to read:
Sec. 17. 8 MRSA §1036, sub-§2, as amended by PL 2013, c. 118, §1, is further amended to read:
(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;
(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 students at the academy to the total number of enrolled students both in the system and at the academy;
Sec. 18. 8 MRSA §1036, sub-§2-A, as amended by PL 2013, c. 118, §2, is further amended to read:
(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 students at the academy to the total number of enrolled students both in the system and at the academy;
If a recipient of net slot machine income in paragraph D, H or I owns or receives funds from a slot machine 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 must be retained by the Oxford County casino operator.
Sec. 19. 8 MRSA §1036, sub-§2-B, as amended by PL 2011, c. 417, §9, is further amended to read:
Sec. 20. 8 MRSA §1036, sub-§2-C, as amended by PL 2013, c. 128, §1, is further amended to read:
Sec. 21. 8 MRSA §1036-A is enacted to read:
§ 1036-A. Distributions of slot machine and table game revenue upon operation of a casino or slot machine facility licensed after January 1, 2015
The board 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 other gambling facility subject to licensure by the board initially licensed after January 1, 2015. Slot machine and table game revenues collected by a casino operator or slot machine facility operator in accordance with section 1036, subsections 1, 2, 2-A, 2-B and 2-C must be held by the board until a distribution of slot machine and table game revenue is established by the Legislature that provides for a distribution of slot machine and table game revenue that applies, in the same manner, to each casino, slot machine facility or gambling facility licensed in accordance with this chapter.
Sec. 22. Joint Standing Committee on Veterans and Legal Affairs authorized to submit legislation. The Joint Standing Committee on Veterans and Legal Affairs is authorized to submit a bill establishing a manner of distribution of slot machine and table game revenue that will apply to each casino, slot machine facility or gambling facility operated in this State to the Second Regular Session of the 127th Legislature.
SUMMARY
This bill authorizes the Department of Public Safety, Gambling Control Board to issue 2 casino licenses, one in the southern region of the State, which includes York County and Cumberland County, and one in the northern region of the State, which includes Penobscot County, Washington County and Aroostook County. In order to be eligible to apply for a casino license, an applicant must be awarded the privilege to submit an application pursuant to a competitive bidding process. The competitive bidding process is administered by a site location commission established by this bill. The Casino Site Location Commission consists of 5 members appointed by the Governor subject to review by the joint standing committee of the Legislature having jurisdiction over casino gaming and confirmation by the Senate. The bill provides that commission members may not have a conflict of interest and are prohibited from representing or being employed by gambling interests during their term on the commission and for 5 years after their term ends.
Under the bill, a successful bidder for a casino in the southern region of the State must propose a capital investment of at least $250,000,000 exclusive of license fees, land acquisition and off-site improvements. The initial fee for a southern region casino is $5,000,000 for a 5-year license term in addition to a $250,000 application fee and $100,000 investigative fee. The renewal fee for a southern region casino is $250,000.
A successful bidder for a casino in the northern region of the State must propose a minimum capital investment of $25,000,000 exclusive of license fees, land acquisition and off-site improvements. The initial fee for a northern region casino is $1,000,000 for a 5-year license term in addition to a $100,000 application fee and a $100,000 investigative fee. The renewal fee for a northern region casino is $100,000.
The bill provides factors that the commission is directed to consider when reviewing bids for the privilege to submit an application to operate a casino. Examples of those factors include: how the proposal from a bidder will result in the highest potential benefit to the State based on documented, expert market analyses, the potential of the proposed facility to serve as a tourism destination and how the proposal will preserve existing jobs and preserve new full-time jobs in the State. For a casino bid in the southern region, the commission must consider the bidder’s experience operating a commercial harness racing track and how the casino will benefit the harness racing industry and associated businesses. For the casino bid in the northern region, the commission is directed to consider how the proposal will provide the greatest benefit to one or all of the federally recognized Indian tribes in the State, particularly by proposing operation and ownership by one or more of the tribes. With regard to the location of a northern region casino, the commission is directed to consider either the proposed facility's proximity to the Canadian border and major transportation routes or whether it will be located where gaming is currently conducted by a federally recognized Indian tribe regardless of whether that facility will be within 30 miles of a casino licensed prior to January 1, 2015.
Finally, the bill provides that the required revenue distributions from casinos licensed before January 1, 2015 be held by the Gambling Control Board until a uniform distribution structure of slot machine and table game revenue is enacted by the Legislature.