CHAPTER301


99-S 276
Enacted 7/2/99


A N     A C T

RELATING TO STATE LOTTERY

Introduced By: Senators Bates, Goodwin and Damiani

Date Introduced : January 28, 1999

It is enacted by the General Assembly as follows:

SECTION 1. Section 42-61-2 of the General Laws in Chapter 42-61 entitled "State Lottery" is hereby amended to read as follows:

42-61-2. Powers and duties of commission. -- The commission shall meet with the director of lotteries appointed under section42-61-3 not less than {DEL once each month DEL}, {ADD nine (9) times each year, ADD} for the purpose of promulgating and reviewing rules and regulations relating to the lotteries, to make recommendations and set policy for lotteries, to approve or reject actions of the director and to transact other business that may be properly brought before the commission. The rules and regulations promulgated by the commission shall include but not be limited to:

(1) The types of lotteries to be conducted;

(2) The price of tickets or shares in the lotteries;

(3) The number and size of the prizes on the winning tickets or shares;

(4) The manner of selecting the winning tickets or shares;

(5) The manner of payment of prizes to the holders of winning tickets or shares;

(6) The frequency of the drawings or selections of winning tickets or shares;

(7) The number and types of location at which tickets or shares may be sold;

(8) The method to be used in selling tickets or shares;

(9) The licensing of agents to sell tickets or shares, except that a person under the age of eighteen (18) shall not be licensed as an agent;

(10) The license fee to be charged to agents;

(11) The manner in which the proceeds of the sale of lottery tickets or shares are maintained, reported, and otherwise accounted for;

(12) The manner and amount of compensation to be paid licensed sales agents necessary to provide for the adequate availability of tickets or shares to prospective buyers and for the convenience of the general public;

(13) The apportionment of the total annual revenue accruing from the sale of lottery tickets or shares and from all other sources for the payment of prizes to the holders of winning tickets or shares, for the payment of costs incurred in the operation and administration of the lotteries, including the expense of the commission and the costs resulting from any contract or contracts entered into for promotional, advertising, consulting, or operational services or for the purchase or lease of facilities, lottery equipment, and materials, for the repayment of moneys appropriated to the lottery fund;

(14) The superior court upon petition of the majority of the commission after a hearing may issue subpoenas to compel the attendance of witnesses and the production of documents, papers, books, records, and other evidence before it in any matter over which it has jurisdiction, control or supervision. If a person subpoenaed to attend in the proceeding or hearing fails to obey the command of the subpoena without reasonable cause, or if a person in attendance in the proceeding or hearing refuses without lawful cause to be examined or to answer a legal or pertinent question or to exhibit any book, account, record, or other document when ordered to do so by the court, that person may be punished for contempt of the court;

(15) No action of the commission shall be binding unless taken at a meeting at which at least five (5) of the members are present and a majority of those present and voting are in favor of the action of the commission. The rules and regulations promulgated by the commission or any amendments, revisions, supplements, or repeal thereof, shall be immediately transmitted, and under the certification of the executive secretary of the commission, to the secretary of state for filing;

(16) The manner, standards, and specification for a process of competitive bidding for commission purchases and contracts; and

(17) The sale of commercial advertising space on the reverse side of, or in other available areas upon, lottery tickets provided that all net revenue derived from the sale of the advertising space shall be deposited immediately into the state's general fund and shall not be subject to the provisions of section 42-61-15 of this chapter.

SECTION 2. This act shall take effect upon passage.



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