Introduced Version






SENATE BILL No. 367

_____


DIGEST OF INTRODUCED BILL



Citations Affected: IC 4-30-16-3; IC 4-33-12-6; IC 12-7-2-91; IC 12-21-2-3; IC 12-23.

Synopsis: Gambling addiction services. Creates the pathological gambling addiction fund. Requires the division of mental health to allocate at least 40% (instead of 25%) of its riverboat admissions tax allocation to the prevention and treatment of compulsive gambling. Allocates one-half of this money to the pathological gambling addiction fund and one-half to the addiction services fund. Requires the division of mental health to develop and administer, either directly or by contract, programs for the diagnosis, treatment, and prevention of pathological gambling addiction disorders. Limits to $1,000,000 the amount of money the division of mental health may in a state fiscal year allocate to certified providers for pathological gambling addiction services. Requires the division of mental health to submit an annual report to the governor and the legislative council regarding pathological gambling addiction.

Effective: July 1, 2000.





Riegsecker




    January 10, 2000, read first time and referred to Committee on Health and Provider Services.







Introduced

Second Regular Session 111th General Assembly (2000)


PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in this style type.
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SENATE BILL No. 367



    A BILL FOR AN ACT to amend the Indiana Code concerning gambling addiction.

Be it enacted by the General Assembly of the State of Indiana:

    SECTION 1. IC 4-30-16-3, AS AMENDED BY P.L.273-1999, SECTION 49, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2000]: Sec. 3. (a) The commission shall transfer the surplus revenue in the administrative trust fund as follows:
        (1) Before the last business day of January, April, July, and October, the commission shall transfer to the treasurer of state, for deposit in the Indiana state teachers' retirement fund (IC 21-6.1-2), an amount equal to the lesser of:
            (A) seven million five hundred thousand dollars ($7,500,000); or
            (B) the additional quarterly contribution needed so that the ratio of the unfunded liability of the Indiana state teachers' retirement fund compared to total active teacher payroll is as close as possible to but not greater than the ratio that existed on the preceding July 1.
        On or before June 15 of each year, the board of trustees of the Indiana state teachers' retirement fund shall submit to the

treasurer of state, each member of the pension management oversight commission, and the auditor of state its estimate of the quarterly amount needed to freeze the unfunded accrued liability of the pre-1996 account (as defined in IC 21-6.1-1-6.9) as a percent of payroll. The estimate shall be based on the most recent actuarial valuation of the fund. Notwithstanding any other law, including any appropriations law resulting from a budget bill (as defined in IC 4-12-1-2), the money transferred under this subdivision shall be set aside in a special account to be used as a credit against the unfunded accrued liability of the pre-1996 account (as defined in IC 21-6.1-1-6.9) of the Indiana state teachers' retirement fund. The money transferred is in addition to the appropriation needed to pay benefits for the state fiscal year.
        (2) Before the last business day of January, April, July, and October, the commission shall transfer:
            (A) two million five hundred thousand dollars ($2,500,000) of the surplus revenue to the treasurer of state for deposit in the "k" portion of the pension relief fund (IC 5-10.3-11); and
            (B) five million dollars ($5,000,000) of the surplus revenue to the treasurer of state for deposit in the "m" portion of the pension relief fund (IC 5-10.3-11).
        (3) Before the last business day of January, April, July, and October, the commission shall transfer one hundred twenty-five thousand dollars ($125,000) of the surplus revenue to the treasurer of state for deposit in the pathological gambling addiction fund (IC 12-23-2.5-2).
         (4) The surplus revenue remaining in the fund on the last day of January, April, July, and October after the transfers under subdivisions (1), and (2), and (3) shall be transferred by the commission to the treasurer of state for deposit on that day in the build Indiana fund.
    (b) The commission may make transfers to the treasurer of state more frequently than required by subsection (a). However, the number of transfers does not affect the amount that is required to be transferred for the purposes listed in subsection (a)(1), and (a)(2), and (a)(3). Any amount transferred during the month in excess of the amount required to be transferred for the purposes listed in subsection (a)(1), and (a)(2), and (a)(3) shall be transferred to the build Indiana fund.
    SECTION 2. IC 4-33-12-6 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2000]: Sec. 6. (a) The department shall place in the state general fund the tax revenue collected under this chapter.


    (b) Except as provided by subsection (c), the treasurer of state shall quarterly pay the following amounts:
        (1) One dollar ($1) of the admissions tax collected by the licensed owner for each person embarking on a riverboat during the quarter shall be paid to:
            (A) the city in which the riverboat is docked, if the city:
                (i) is described in IC 4-33-6-1(a)(1) through IC 4-33-6-1(a)(4) or in IC 4-33-6-1(b); or
                (ii) is contiguous to the Ohio River and is the largest city in the county; and
            (B) the county in which the riverboat is docked, if the riverboat is not docked in a city described in clause (A).
        (2) One dollar ($1) of the admissions tax collected by the licensed owner for each person embarking on a riverboat during the quarter shall be paid to the county in which the riverboat is docked. In the case of a county described in subdivision (1)(B), this one dollar ($1) is in addition to the one dollar ($1) received under subdivision (1)(B).
        (3) Ten cents ($0.10) of the admissions tax collected by the licensed owner for each person embarking on a riverboat during the quarter shall be paid to the county convention and visitors bureau or promotion fund for the county in which the riverboat is docked.
        (4) Fifteen cents ($0.15) of the admissions tax collected by the licensed owner for each person embarking on a riverboat during a quarter shall be paid to the state fair commission, for use in any activity that the commission is authorized to carry out under IC 15-1.5-3.
        (5) Ten cents ($0.10) of the admissions tax collected by the licensed owner for each person embarking on a riverboat during the quarter shall be paid to the division of mental health. The division shall allocate at least twenty-five forty percent (25%) (40%) of the funds derived from the admissions tax to the prevention and treatment of compulsive gambling as follows:
            (A) one-half (1/2) to the addiction services fund established by IC 12-23-2-2; and
            (B) one-half (1/2) to the pathological gambling addiction fund established by IC 12-23-2.5-2.

        (6) Sixty-five cents ($0.65) of the admissions tax collected by the licensed owner for each person embarking on a riverboat during the quarter shall be paid to the Indiana horse racing commission to be distributed as follows, in amounts determined by the Indiana

horse racing commission, for the promotion and operation of horse racing in Indiana:
            (A) To one (1) or more breed development funds established by the Indiana horse racing commission under IC 4-31-11-10.
            (B) To a racetrack that was approved by the Indiana horse racing commission under IC 4-31. The commission may make a grant under this clause only for purses, promotions, and routine operations of the racetrack. No grants shall be made for long term capital investment or construction and no grants shall be made before the racetrack becomes operational and is offering a racing schedule.
    (c) With respect to tax revenue collected from a riverboat that operates on Patoka Lake, the treasurer of state shall quarterly pay the following amounts:
        (1) The counties described in IC 4-33-1-1(3) shall receive one dollar ($1) of the admissions tax collected for each person embarking on the riverboat during the quarter. This amount shall be divided equally among the counties described in IC 4-33-1-1(3).
        (2) The Patoka Lake development account established under IC 4-33-15 shall receive one dollar ($1) of the admissions tax collected for each person embarking on the riverboat during the quarter.
        (3) The resource conservation and development program that:
            (A) is established under 16 U.S.C. 3451 et seq.; and
            (B) serves the Patoka Lake area;
        shall receive forty cents ($0.40) of the admissions tax collected for each person embarking on the riverboat during the quarter.
        (4) The state general fund shall receive fifty cents ($0.50) of the admissions tax collected for each person embarking on the riverboat during the quarter.
        (5) The division of mental health shall receive ten cents ($0.10) of the admissions tax collected for each person embarking on the riverboat during the quarter. The division shall allocate at least twenty-five forty percent (25%) (40%) of the funds derived from the admissions tax to the prevention and treatment of compulsive gambling as follows:
            (A) one-half (1/2) to the addiction services fund established by IC 12-23-2-2; and
            (B) one-half (1/2) to the pathological gambling addiction fund established by IC 12-23-2.5-2.

    (d) Money paid to a unit of local government under subsection

(b)(1) through (b)(2) or subsection (c)(1):
        (1) must be paid to the fiscal officer of the unit and may be deposited in the unit's general fund or riverboat fund established under IC 36-1-8-9, or both;
        (2) may not be used to reduce the unit's maximum or actual levy under IC 6-1.1-18.5; and
        (3) may be used for any legal or corporate purpose of the unit, including the pledge of money to bonds, leases, or other obligations under IC 5-1-14-4.
    (e) Money paid by the treasurer of state under subsection (b)(3) shall be:
        (1) deposited in:
            (A) the county convention and visitor promotion fund; or
            (B) the county's general fund if the county does not have a convention and visitor promotion fund; and
        (2) used only for the tourism promotion, advertising, and economic development activities of the county and community.
    (f) Money received by the division of mental health under subsections (b)(5) and (c)(5):
        (1) is annually appropriated to the division of mental health;
        (2) shall be distributed to the division of mental health at times during each state fiscal year determined by the budget agency; and
        (3) shall be used by the division of mental health for programs and facilities for the prevention and treatment of addictions to drugs, alcohol, and compulsive gambling, including the creation and maintenance of a toll free telephone line to provide the public with information about these addictions. The division shall allocate at least twenty-five forty percent (25%) (40%) of the money received to the prevention and treatment of compulsive gambling as follows:
            (A) one-half (1/2) to the addiction services fund established by IC 12-23-2-2; and
            (B) one-half (1/2) to the pathological gambling addiction fund established by IC 12-23-2.5-2.

    SECTION 3. IC 12-7-2-91, AS AMENDED BY P.L.273-1999, SECTION 60, AND AS AMENDED BY P.L.273-1999, SECTION 164, IS AMENDED AND CORRECTED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2000]: Sec. 91. "Fund" means the following:
        (1) For purposes of IC 12-12-1-9, the fund described in IC 12-12-1-9.
        (2) For purposes of IC 12-13-8, the meaning set forth in

IC 12-13-8-1.
        (3) For purposes of IC 12-15-20, the meaning set forth in IC 12-15-20-1.
        (4) For purposes of IC 12-17-12, the meaning set forth in IC 12-17-12-4.
        (5) For purposes of IC 12-17.6, the meaning set forth in IC 12-17.6-1-3.
        (5) (6) For purposes of IC 12-18-4, the meaning set forth in IC 12-18-4-1.
        (6) (7) For purposes of IC 12-18-5, the meaning set forth in IC 12-18-5-1.
        (7) (8) For purposes of IC 12-19-3, the meaning set forth in IC 12-19-3-1.
        (8) (9) For purposes of IC 12-19-4, the meaning set forth in IC 12-19-4-1.
        (9) (10) (7) (8) For purposes of IC 12-19-7, the meaning set forth in IC 12-19-7-2.
        (10) (11) (8) (9) For purposes of IC 12-23-2, the meaning set forth in IC 12-23-2-1.
         (10) For purposes of IC 12-23-2.5, the meaning set forth in IC 12-23-2.5-2.
        (11) (12) (9) For purposes of IC 12-24-6, the meaning set forth in IC 12-24-6-1.
        (12) (13) (10) For purposes of IC 12-24-14, the meaning set forth in IC 12-24-14-1.
        (13) (14) (11) For purposes of IC 12-30-7, the meaning set forth in IC 12-30-7-3.
    SECTION 4. IC 12-21-2-3 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2000]: Sec. 3. (a) In addition to the general authority granted to the director under IC 12-8-8, the director shall do the following:
        (1) Organize the division, create the appropriate personnel positions, and employ personnel necessary to discharge the statutory duties and powers of the division or a bureau of the division.
        (2) Subject to the approval of the state personnel department, establish personnel qualifications for all deputy directors, assistant directors, bureau heads, and superintendents.
        (3) Subject to the approval of the budget director and the governor, establish the compensation of all deputy directors, assistant directors, bureau heads, and superintendents.
        (4) Study the entire problem of mental health, mental illness, and

addictions existing in Indiana.
        (5) Adopt rules under IC 4-22-2 for the following:
            (A) Standards for the operation of private institutions that are licensed under IC 12-25 for the diagnosis, treatment, and care of individuals with psychiatric disorders, addictions, or other abnormal mental conditions.
            (B) Licensing supervised group living facilities described in IC 12-22-2-3 for individuals who are mentally ill.
            (C) Certifying community residential programs described in IC 12-22-2-3 for individuals who are mentally ill.
            (D) Certifying community mental health centers to operate in Indiana.
        (6) Institute programs, in conjunction with an accredited college or university and with the approval, if required by law, of the commission for higher education under IC 20-12-0.5, for the instruction of students of mental health and other related occupations. The programs may be designed to meet requirements for undergraduate and postgraduate degrees and to provide continuing education and research.
        (7) Develop programs to educate the public in regard to the prevention, diagnosis, treatment, and care of all abnormal mental conditions.
        (8) Make the facilities of the Larue D. Carter Memorial Hospital available for the instruction of medical students, student nurses, interns, and resident physicians under the supervision of the faculty of the Indiana University School of Medicine for use by the school in connection with research and instruction in psychiatric disorders.
        (9) Institute a stipend program designed to improve the quality and quantity of staff that state institutions employ.
        (10) Establish, supervise, and conduct community programs, either directly or by contract, for the diagnosis, treatment, and prevention of psychiatric disorders.
        (11) Develop and administer, either directly or by contract, programs for the diagnosis, treatment, and prevention of pathological gambling addiction disorders.
         (12) Adopt rules under IC 4-22-2 concerning the records and data to be kept concerning individuals admitted to state institutions, community mental health centers, or managed care providers.
        (12) (13) Establish, maintain, and reallocate before July 1, 1996, one-third (1/3), and before January 1, 1998, the remaining two-thirds (2/3) of the following:


            (A) long term care service settings; and
            (B) state operated long term care inpatient beds;
        designed to provide services for patients with long term psychiatric disorders as determined by the quadrennial actuarial study under IC 12-21-5-1.5(9). A proportional number of long term care service settings and inpatient beds must be located in an area that includes a consolidated city and its adjacent counties.
        (13) (14) Compile information and statistics concerning the ethnicity and gender of a program or service recipient.
    (b) As used in this section, "long term care service setting" means the following:
        (1) The anticipated duration of the patient's mental health setting is more than twelve (12) months.
        (2) Twenty-four (24) hour supervision of the patient is available.
        (3) A patient in the long term care service setting receives:
            (A) active treatment if appropriate for a patient with a chronic and persistent mental disorder or chronic addictive disorder;
            (B) case management services from a state approved provider; and
            (C) maintenance of care under the direction of a physician.
        (4) Crisis care is available.
    (c) Funding for services under subsection (a)(12) (a)(13) shall be provided by the division through the reallocation of existing appropriations. The need of the patients is a priority for services. The division shall adopt rules to implement subsection (a)(12) (a)(13). before July 1, 1995.
    SECTION 5. IC 12-23-1-6 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2000]: Sec. 6. The division has the following powers:
        (1) Promoting unified programs for education and research, prevention and control, diagnosis, and treatment of substance and gambling abuse based on comprehensive plans developed by the division.
        (2) Assuring compliance with state rules and federal regulations for substance abuse services programs and revoking authorization of the programs upon a determination that the programs do not comply with the rules and regulations.
        (3) Making agreements and contracts with:
            (A) another department, authority, or agency of the state;
            (B) another state;
            (C) the federal government;
            (D) a state or private university; or
            (E) a public agency or private agency; facility;
        to effectuate the purposes of this article.
        (4) Directly or by contract, approving and certifying public and private facilities and services for the treatment, care, or rehabilitation of alcoholics, drug abusers, and compulsive gamblers in accordance with requirements established by the division and assigning or transferring individuals placed under the division's care or supervision to the facilities.
        (5) Requiring, as a condition of operation, that each public and private treatment facility, except facilities and services created and funded under IC 12-23-14 that do not provide treatment and rehabilitation services, be certified according to standards established by the division.
        (6) Maintaining a toll free telephone line that the public may use to obtain counseling and information about programs that help individuals with drug, alcohol, and gambling problems.
        (7) Adopting rules under IC 4-22-2 to implement this article.
    SECTION 6. IC 12-23-2.5 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2000]:
     Chapter 2.5. Pathological Gambling Addiction Fund
    Sec. 1. As used in this chapter, "fund" refers to the pathological gambling addiction fund established by section 2 of this chapter.
    Sec. 2. The pathological gambling addiction fund is established for the deposit of money transferred from the lottery administrative trust fund under IC 4-30-16-3 and taxes on riverboat admissions under IC 4-33-12-6.
    Sec. 3. Money in the fund at the close of a state fiscal year does not revert to the state general fund but shall be deposited in the addiction services fund established by IC 12-23-2-2.
    Sec. 4. The treasurer of state may invest the money in the fund in the same manner as other public funds may be invested.
    Sec. 5. The division shall use money in the fund for the purpose of developing and administering, either directly or by contract, programs for the diagnosis, treatment, and prevention of pathological gambling addiction disorders.
    Sec. 6. The division may not allocate more than one million dollars ($1,000,000) from the fund in any state fiscal year to eligible certified providers.
    Sec. 7. For each state fiscal year, the division may not spend more than an amount equal to five percent (5%) of the total amount received by the division from the fund established by

section 2 of this chapter for the administrative costs associated with the use of money received from the fund.
    Sec. 8. (a) On November 1 of each year, beginning November 1, 2001, the division shall submit an annual report to the governor and the legislative council regarding the prevalence of pathological gambling addiction in Indiana and the uses of the fund.
    (b) The report required under this section must include the following information for the previous state fiscal year:
        (1) The number and gender of patients served.
        (2) Patients' games of choice.
        (3) Treatment length, including whether treatment was on an inpatient or outpatient basis.
        (4) Incidence of co-morbidity.
        (5) Rates of recidivism.
    Sec. 9. The division shall adopt rules under IC 4-22-2 to implement this chapter, including the certification of public and private facilities that receive money from the fund for the treatment of pathological gambling addiction disorders.