May 1, 2014, Introduced by Rep. MacGregor and referred to the Committee on Families, Children, and Seniors.
A bill to amend 1996 IL 1, entitled
"Michigan gaming control and revenue act,"
by amending the title and section 3 (MCL 432.203), as amended by
1997 PA 69, and by adding section 9e.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
TITLE
An act to provide for the licensing, regulation, and control
of casino gaming operations, manufacturers and distributors of
gaming devices and gaming related equipment and supplies, and
persons who participate in gaming; to provide for the distribution
of revenue for public education, public safety, and economic
development;
authorizing to authorize limited casino operations
within
the in this state; of Michigan; to create and vest authority
for the licensing, regulation, and control of casino gaming in the
Michigan gaming control board; to provide for the promulgation of
rules; to provide for the powers and duties of certain state and
local governmental officers and entities; to restrict certain
political contributions; to establish a code of ethics for and
license
certain persons involved in gaming; to
create certain
funds; to impose and authorize certain taxes and fees; to impose
penalties; to authorize conservators under certain circumstances;
and to make an appropriation.
Sec. 3. (1) Casino gaming is authorized to the extent that it
is conducted in accordance with this act.
(2) Except as provided in subsection (5) and section 9e, this
act does not apply to any of the following:
(a) The pari-mutuel system of wagering used or intended to be
used in connection with race meetings as authorized under the horse
racing law of 1995, 1995 PA 279, MCL 431.301 to 431.336.
(b) Lottery games authorized under the McCauley-Traxler-Law-
Bowman-McNeely lottery act, 1972 PA 239, MCL 432.1 to 432.47.
(c)
Bingo, or millionaire parties, or
any other activities
authorized under the Traxler-McCauley-Law-Bowman bingo act, 1972 PA
382, MCL 432.101 to 432.120.
(d) Gambling on Native American land and land held in trust by
the United States for a federally recognized Indian tribe on which
gaming may be conducted under the Indian gaming regulatory act,
Public Law 100-497, 102 Stat. 2467.
(e) Recreational card playing, bowling, redemption games, and
occasional promotional activities under sections 303a, 310a, 310b,
372, and 375 of the Michigan penal code, 1931 PA 328, MCL 750.303a,
750.310a, 750.310b, 750.372, and 750.375.
(3) Any other law that is inconsistent with this act does not
apply to casino gaming as provided for by this act.
(4)
This act and rules promulgated by the board shall apply to
all persons who are licensed or otherwise participate in gaming
under this act.
(5) If a federal court or agency rules or federal legislation
is enacted that allows a state to regulate gambling on Native
American land or land held in trust by the United States for a
federally recognized Indian tribe, the legislature shall enact
legislation creating a new act consistent with this act to regulate
casinos that are operated on Native American land or land held in
trust by the United States for a federally recognized Indian tribe.
The legislation shall be passed by a simple majority of members
elected to and serving in each house.
Sec. 9e. (1) A licensee shall intercept winnings to pay past-
due support as required by this section.
(2) The department of human services shall create and
maintain, or shall contract with a private or public entity to
create and maintain, a secure, electronically accessible registry
containing information regarding individuals who have past-due
support. The registry must be capable of performing the following
functions:
(a) On receipt of information under subsection (5)(a), if the
wagerer is listed in the registry, informing the person that
submitted the information of the wagerer's past-due support and the
account number or identifier assigned to the past-due support.
(b) Providing a person that submits information under
subsection (5)(a) with a notice of intercept form in a standard
format developed by the department of human services that informs a
wagerer identified under subdivision (a) of the right to a review
by the department of human services as provided in this section.
(3) The department of human services shall regularly enter
information into the registry, including at least all of the
following:
(a) The name and social security number of each individual who
has past-due support.
(b) The account number or identifier assigned by the
department of human services to the past-due support.
(c) The amount of the past-due support.
(d) Any other information necessary to effectuate the purposes
of this section.
(4) The department shall assist the department of human
services to the extent necessary to effectuate the purposes of this
section.
(5) Before paying winnings in an amount equal to or greater
than the amount for which the licensee is required to file a form
W-2G or substantially equivalent form with the United States
internal revenue service, a licensee shall follow the following
procedure:
(a) The licensee shall obtain the name, address, date of
birth, and social security number of the wagerer and electronically
submit the information to the registry.
(b) If the registry informs the licensee that the wagerer is
not listed in the registry or if the licensee is not able to obtain
information from the registry on a real-time basis after attempting
in good faith to do so, the licensee may pay the winnings to the
wagerer.
(c) If the registry informs the licensee that the wagerer is
listed in the registry, the licensee shall not pay the winnings to
the wagerer unless the amount of the payment exceeds the amount of
past-due support and the fee imposed under subsection (8), in which
case the licensee may pay the wagerer the amount of the winnings
that exceeds the amount of the past-due support and the fee.
(6) If the registry informs a licensee that a wagerer is
listed in the registry, the department of human services has a
valid claim against the winnings in the amount of the wagerer's
past-due support.
(7) A licensee shall intercept from any winnings an amount
equal to the amount of a claim created under subsection (6) and
shall provide the notice of intercept provided to the licensee
under subsection (2)(b) to the wagerer. Within 3 business days
after intercepting an amount under this subsection, the licensee
shall transmit the amount intercepted to the state disbursement
unit with a copy of the notice of intercept and a report of the
name, address, and social security number of the wagerer, the
account number or identifier assigned to the past-due support, the
amount intercepted, the date of interception, and the name and
location of the licensee.
(8) A licensee may retain $10.00 from any amount of winnings
that exceeds the amount of the wagerer's past-due support to cover
the cost of the licensee's compliance with this section.
(9) A wagerer from whose winnings an amount was withheld under
this section may, within 15 calendar days after receipt of a notice
of intercept under subsection (7), request, in writing, that the
department of human services review the intercept. The wagerer
shall include a copy of the notice of intercept with the written
review request. A challenge to an intercept is governed by this act
and is not subject to chapter 4 of the administrative procedures
act of 1969, 1969 PA 306, MCL 24.271 to 24.287.
(10) The state disbursement unit shall hold an amount that a
licensee transmits under subsection (7) until after the time that
the wagerer has to request a review under subsection (9).
(11) Within 15 calendar days after receiving a written request
for a review under subsection (7), the department of human services
shall conduct a review to determine whether there was a mistake in
the wagerer's identity or in the amount of the past-due support and
issue a decision. The review decision is final agency action.
(12) If a wagerer disagrees with a review decision issued
under subsection (11), the wagerer may challenge the intercept by
filing an action in the circuit court that issued a support order
that is an underlying basis for the intercept. The wagerer must
file an action under this subsection within 21 days after the
department of human services sends the wagerer notice of its review
decision and shall give the department of human services notice of
filing the action.
(13) A licensee may provide to the department, the department
of human services, or the registry operator any information
necessary to effectuate the intent of this section and the
department, the department of human services, or the registry
operator may provide to the licensee any information necessary to
effectuate the intent of this section.
(14) Information obtained by the department, the department of
human services, or the registry operator from a licensee under this
section and information obtained by a licensee from the department,
the department of human services, or the registry operator under
this section is confidential and may be used only for the purposes
set forth in this section. An employee or former employee of the
department, the department of human services, the registry
operator, or a licensee who knowingly or intentionally discloses
any such information is guilty of a misdemeanor punishable by
imprisonment for not more than 93 days or a fine of not more than
$500.00, or both.
(15) A licensee, the department, the department of human
services, and the registry operator are not liable for any action
taken in good faith to comply with this section. A licensee that
does not make a good faith effort to obtain information from the
registry as required by this section or intercept and transmit the
amount of a claim created under subsection (6) is liable to the
department of human services for the amount the licensee was
required to intercept and transmit to the department of human
services under this section and any court costs, interest, and
reasonable attorney fees.
(16) The chairperson shall attempt to enter into an agreement
with each Indian tribe that conducts gambling games in this state
for the tribe to voluntarily intercept winnings to pay past-due
support. A voluntary agreement entered into under this subsection
must require the intercept and payment of money intercepted to be
performed in the same manner as is required for the intercept and
payment of money intercepted by a licensee under this section.
(17) By January 31, 2016 and January 31 of each even-numbered
year after 2016, the department of human services shall report to
the legislature and the governor on all of the following:
(a) The number of names of wagerers submitted by licensees to
the registry under this section in each of the preceding 2 calendar
years.
(b) The number of wagerers who were found to be listed in the
registry after the submission of their names in each of the
preceding 2 calendar years.
(c) The amount of winnings withheld by licensees under this
section in each of the preceding 2 calendar years.
(18) The department of human services, the department, and the
licensees shall cooperate with each other to create the registry
and make it capable of performing the functions described in
subsection (2) and to create any other systems necessary to
implement this section. The department of human services shall have
the registry fully operational by January 1, 2016. Other than the
provisions relating to the creation of the registry, this section
applies 90 days after the department of human services notifies the
licensees that the registry is fully operable.
(19) As used in this section:
(a) "Licensee" means the holder of a casino license issued
under section 6.
(b) "Registry" means the registry created and maintained under
subsection (2).
(c) "Registry operator" means the department of human services
or a public or private entity with whom the department of human
services enters into a contract to maintain the registry under
subsection (2).
(d) "State disbursement unit" means that term as defined in
section 2a of the friend of the court act, 1982 PA 294, MCL
552.502a.
(e) "Support" means that term as defined in section 2a of the
friend of the court act, 1982 PA 294, MCL 552.502a.