REDEMPTION COUPONS: PRIZE VALUE H.B. 4932 (S-2): FLOOR SUMMARY
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House Bill 4932 (Substitute S-2 as reported)
Sponsor: Representative Tory Rocca
House Committee: Regulatory Reform
Senate Committee: Economic Development and Regulatory Reform

CONTENT
The bill would amend the Michigan Penal Code to double the maximum value of accumulated redemption coupon prizes, under an exemption from the Code's gambling prohibitions.


Chapter 44 (Gambling) of the Code prohibits certain operations and activities relating to gambling, although the chapter does not apply to a redemption game if particular conditions are met. One of those conditions is that the redemption value of coupons or other representations of value awarded for a successful single play of a game does not exceed 15 times the amount charged for a single play or $3.75, whichever is less. Players, however, may accumulate coupons or other representations of value for redemption for noncash prizes, toys, or novelties of a greater value, but not more than $250 wholesale value. The bill would increase that amount to $500. Also, under the bill, the single-play redemption value could not exceed 15 times the amount charged for a single play or "a $3.75-per-play average", whichever was less.

("Redemption game" means a single-player or multiplayer mechanical, electronic, or manual amusement device involving a game whose object is throwing, rolling, bowling, shooting, placing, propelling, or stopping a ball or other object into, upon, or against a hole or other target. It does not include a game such as roulette, beano, cards, dice, wheel of fortune, video poker, a slot machine, or another game in which winning depends primarily upon fortuitous or accidental circumstances beyond the player's control. The term also does not mean a game that includes a mechanical or physical device that directly or indirectly impairs or thwarts the skill of the player.)


MCL 750.310b Legislative Analyst: Patrick Affholter

FISCAL IMPACT
The bill would have an indeterminate fiscal impact on local government. There are no data to indicate how many offenders would not be convicted of gambling offenses involving an accumulation of redemption coupons or other representations of value worth more than $250 but not more than $500. To the extent that the bill would decrease convictions, local governments would incur decreased costs of misdemeanor probation and incarceration in local facilities, which vary by county. Public libraries would receive reduced penal fine revenue.


Date Completed: 8-5-09 Fiscal Analyst: Lindsay Hollander

Analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent. hb4932/0910