An Act Relating to the Establishment of Casinos
Sec. 1. 8 MRSA §1001, sub-§5-C is enacted to read:
Sec. 2. 8 MRSA §1001, sub-§5-D is enacted to read:
Sec. 3. 8 MRSA §1001, sub-§29-C is enacted to read:
Sec. 4. 8 MRSA §1001, sub-§43-C is enacted to read:
Sec. 5. 8 MRSA §1002, sub-§2, as enacted by PL 2003, c. 687, Pt. A, §5 and affected by Pt. B, §11, is repealed and the following enacted in its place:
(1) The gambling industry; and
(2) The harness racing industry.
(1) Substance abuse and gambling addiction services;
(2) Computer science or electronic monitoring and oversight of gambling;
(3) Corporate finance or accounting;
(4) Nonprofit gaming by veterans service organizations; and
(5) Law enforcement.
A member may not simultaneously serve on the board and any other board or commission established by the State.
Sec. 6. 8 MRSA §1003, sub-§1, ¶A, as amended by IB 2009, c. 2, §18, is further amended to read:
Sec. 7. 8 MRSA §1003, sub-§2, ¶H, as enacted by PL 2003, c. 687, Pt. A, §5 and affected by Pt. B, §11, is amended to read:
Sec. 8. 8 MRSA §1003, sub-§2, ¶I, as amended by IB 2009, c. 2, §19, is further amended to read:
(1) The practice of any fraud or deception upon a casino patron, a player of a slot machine or table game or a licensee;
(2) The presence or location of a slot machine or , table game or gambling activity in or at premises that may be unsafe due to fire hazard or other public safety conditions;
(3) The infiltration of organized crime into the ownership, distribution or operation of slot machines or table games and slot machine facilities or casinos; and
(4) The presence of disorderly persons in a location where at casinos and slot machines are in use machine facilities;
Sec. 9. 8 MRSA §1003, sub-§2, ¶J, as enacted by PL 2003, c. 687, Pt. A, §5 and affected by Pt. B, §11, is amended to read:
Sec. 10. 8 MRSA §1003, sub-§2, ¶L, as enacted by PL 2003, c. 687, Pt. A, §5 and affected by Pt. B, §11, is amended to read:
Sec. 11. 8 MRSA §1003, sub-§2, ¶O, as enacted by PL 2003, c. 687, Pt. A, §5 and affected by Pt. B, §11, is amended to read:
Sec. 12. 8 MRSA §1003, sub-§2, ¶Q, as amended by IB 2009, c. 2, §20, is further amended to read:
Sec. 13. 8 MRSA §1003, sub-§2, ¶R, as amended by IB 2009, c. 2, §21, is further amended to read:
Sec. 14. 8 MRSA §1003, sub-§3, ¶G, as amended by IB 2009, c. 2, §23, is further amended to read:
Sec. 15. 8 MRSA §1003, sub-§3, ¶H, as amended by IB 2009, c. 2, §24, is further amended to read:
Sec. 16. 8 MRSA §1003, sub-§3, ¶I, as amended by IB 2009, c. 2, §25, is further amended to read:
Sec. 17. 8 MRSA §1004, sub-§1, ¶D, as enacted by PL 2003, c. 687, Pt. A, §5 and affected by Pt. B, §11, is amended to read:
Sec. 18. 8 MRSA §1011, as amended by IB 2009, c. 2, §29, is further amended to read:
§ 1011. License to operate
The board shall exercise authority over the operation of casinos as governed by subchapter 7 and the licensing of all persons participating in the operation, distribution and maintenance of slot machines and table games and slot machine facilities and casinos and over the registration of slot machines and table games.
(1) No less than 50 acres in size; and
(2) Located not more than:
(a) Thirty miles from a Level I or Level II trauma center verified as such by the American College of Surgeons or successor organization;
(b) Fifteen miles from the main office of a county sheriff;
(c) Twenty-five miles from the main office of a state police field troop;
(d) Thirty miles from an interchange of the interstate highway system;
(e) Ten miles from a fire station;
(f) Ten miles from a facility at which harness racing was conducted pursuant to a license from the State Harness Racing Commission for the 2009 racing year; and
(g) One-half mile from a state highway as defined in Title 23, section 1903, subsection 15.
For the purposes of this paragraph, distances are determined by measuring along the most commonly used roadway, as determined by the Department of Transportation;
Sec. 19. 8 MRSA §1020, sub-§3, as amended by IB 2009, c. 2, §37, is further amended to read:
Sec. 20. 8 MRSA c. 31, sub-c. 7 is enacted to read:
SUBCHAPTER 7
CASINOS
§ 1071. Casinos to be managed by the board
Notwithstanding Title 17-A, chapter 39, the board is responsible for the management and operation of up to 3 casinos in the State through state-contracted casino operators in accordance with this section.
§ 1072. Casino operator to have interest in only one casino
A casino operator may not have an interest in more than one casino in the State. This section does not preclude the slot machine operator of a slot machine facility licensed as of January 1, 2011 from having an interest in a casino.
§ 1073. Location of casinos
The board shall establish by rule 4 regions for the location of casinos. Each region must have a population center that can economically sustain a casino. A casino must be located at least 75 miles from another casino or slot machine facility. If a slot machine operator enters into a contract with the board to operate a casino under section 1071, subsection 6, the location of the slot machine facility must be considered one of the 4 regions. Rules adopted pursuant to this section are major substantive rules as defined in Title 5, chapter 375, subchapter 2-A.
§ 1074. State share of gaming revenue
A casino operated in the State shall distribute to the board the state share of net slot machine income and net table game revenue pursuant to contract under section 1071, subsection 6 to be deposited in equal proportions to the funds created by sections 1075, 1076 and 1077.
§ 1075. General purpose aid to education fund
A fund is established within the Department of Education to supplement and not supplant the state share of essential programs and services as required by Title 20-A, section 15671 to which the board shall credit a portion of the state share of net slot machine income and net table game revenue in accordance with section 1074.
§ 1076. Veterans tax exemption reimbursement fund
A fund is established within the Department of Administrative and Financial Services, Bureau of Revenue Services to reimburse municipalities for property tax exemptions granted to veterans in accordance with Title 36, chapter 105, subchapter 4 to which the board shall credit a portion of the state share of net slot machine income and net table game revenue in accordance with section 1074.
§ 1077. Homestead exemption reimbursement fund
A fund is established within the Department of Administrative and Financial Services, Bureau of Revenue Services to reimburse municipalities for resident homestead property tax exemptions in accordance with Title 36, chapter 105, subchapter 4-B to which the board shall credit a portion of the state share of net slot machine income and net table game revenue in accordance with section 1074.
Sec. 21. Report; legislation. By March 1, 2012 the Department of Public Safety, Gambling Control Board shall submit a report to the joint standing committee of the Legislature having jurisdiction over gambling matters describing the potential locations for casinos and the contents of the request for proposals to be submitted to potential casino operators. The board shall include with the report proposed legislation for the administration of oversight of casinos in the State.
Sec. 22. Transition clause. Notwithstanding the Maine Revised Statutes, Title 8, section 1002, subsection 2, members serving on the Gambling Control Board on the effective date of this Act continue to serve for the remainder of the terms for which they were appointed. After the expiration of the terms of members serving on the effective date of this Act, the appointment of members to fill vacancies on the Gambling Control Board must be made consistent with the provisions of Title 8, section 1002, subsection 2 as repealed and replaced by this Act.
SUMMARY
This bill authorizes the establishment of 3 casinos in the State subject to a competitive bidding process. A successful bidder would win the right to enter into a contract with the State to operate a casino for up to 20 years. A successful bidder is subject to a privilege fee of $5,000,000 to operate a casino. An existing slot machine operator would also be authorized to enter into a contract with the State to operate a casino at the existing slot machine facility without being subject to the competitive bidding process. The privilege fee for a casino that was an existing slot machine facility is $3,000,000. As determined by a contract with the State, the state share of net gaming revenue from the casinos would be divided equally among 3 funds that reimburse municipalities for education, veterans property tax exemptions and homestead property tax exemptions.