SB 105-2_ Filed 04/20/2011, 11:14 Brown C


Text Box


    PREVAILED      Roll Call No. _______
    FAILED        Ayes _______
    WITHDRAWN        Noes _______
    RULED OUT OF ORDER


[

HOUSE MOTION ____

]

MR. SPEAKER:

    I move that Engrossed Senate Bill 105 be amended to read as follows:

    Delete the title and insert the following:
    A BILL FOR AN ACT to amend the Indiana Code concerning state and local administration.

SOURCE: Page 1, line 1; (11)MO010505.1. -->     Page 1, between the enacting clause and line 1, begin a new paragraph and insert:
SOURCE: IC 4-33-2-17; (11)MO010505.1. -->     "SECTION 1. IC 4-33-2-17, AS AMENDED BY SEA 47-2011, SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 17. "Riverboat" means any of the following on which lawful gambling is authorized under this article:
        (1) A self-propelled excursion boat located in a county described in IC 4-33-1-1(1) or IC 4-33-1-1(2) that complies with IC 4-33-6-6(a).
        (2) A casino located in a historic hotel district.
        (3) A permanently moored craft operating from a county described in IC 4-33-1-1(1) or IC 4-33-1-1(2).
         (4) A casino located in Gary.
SOURCE: IC 4-33-2-20; (11)MO010505.2. -->     SECTION 2. IC 4-33-2-20 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 20. "Home" means the city or county that is designated as the home of a riverboat by IC 4-33-9-17.
SOURCE: IC 4-33-4-1; (11)MO010505.3. -->     SECTION 3. IC 4-33-4-1 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 1. (a) The commission has the following powers and duties for the purpose of administering, regulating, and enforcing the system of riverboat gambling established

under this article:
        (1) All powers and duties specified in this article.
        (2) All powers necessary and proper to fully and effectively execute this article.
        (3) Jurisdiction and supervision over the following:
            (A) All riverboat gambling operations in Indiana.
            (B) All persons on riverboats where gambling operations are conducted.
        (4) Investigate and reinvestigate applicants and license holders and determine the eligibility of applicants for licenses or operating agent contracts.
        (5) Select among competing applicants the applicants that promote the most economic development in a home dock area and that best serve the interests of the citizens of Indiana.
        (6) Take appropriate administrative enforcement or disciplinary action against a licensee or an operating agent.
        (7) Investigate alleged violations of this article.
        (8) Establish fees for licenses issued under this article.
        (9) Adopt appropriate standards for the design, appearance, aesthetics, and construction for riverboats and facilities.
        (10) Conduct hearings.
        (11) Issue subpoenas for the attendance of witnesses and subpoenas duces tecum for the production of books, records, and other relevant documents.
        (12) Administer oaths and affirmations to the witnesses.
        (13) Prescribe a form to be used by an operating agent or a licensee involved in the ownership or management of gambling operations as an application for employment by potential employees.
        (14) Revoke, suspend, or renew licenses issued under this article.
        (15) Hire employees to gather information, conduct investigations, and carry out other tasks under this article.
        (16) Take any reasonable or appropriate action to enforce this article.
    (b) Applicants and license holders shall reimburse the commission for costs related to investigations and reinvestigations conducted under subsection (a)(4).

SOURCE: IC 4-33-4-13; (11)MO010505.3. -->     SECTION 3. IC 4-33-4-13, AS AMENDED BY SEA 47-2011, SECTION 3, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 13. (a) This section does not apply to a riverboat:
         (1) located in a historic hotel district; or
        (2) described in IC 4-33-2-17(4).

    (b) After consulting with the United States Army Corps of Engineers, the commission may do the following:
        (1) Determine the waterways that are navigable waterways for purposes of this article.
        (2) Determine the navigable waterways that are suitable for the operation of riverboats under this article.
        (3) Approve a plan submitted under IC 4-33-6-23 for:
            (A) the construction of a new permanently moored craft; or
            (B) the conversion of a self-propelled excursion boat into a permanently moored craft.
    (c) In determining the navigable waterways on which riverboats may operate, the commission shall do the following:
        (1) Obtain any required approvals from the United States Army Corps of Engineers for the operation of riverboats on those waterways.
        (2) Consider the economic benefit that riverboat gambling provides to Indiana.
        (3) Seek to ensure that all regions of Indiana share in the economic benefits of riverboat gambling.
SOURCE: IC 4-33-4-17; (11)MO010505.5. -->     SECTION 5. IC 4-33-4-17 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 17. (a) The commission shall decide promptly and in reasonable order all license applications.
    (b) Notwithstanding any provision of this article, no owner's license may be granted for any riverboat that is not to be docked in the city described under IC 4-33-6-1(a)(1) until the earlier of:
        (1) the issuance of an owner's license for a riverboat that is to be docked in the city described under IC 4-33-6-1(a)(1); or
        (2) September 1, 1994.
    (c) (b) A party aggrieved by an action of the commission denying, suspending, revoking, restricting, or refusing the renewal of a license may request a hearing before the commission. A request for a hearing must be made to the commission in writing not more than ten (10) days after service of notice of the action of the commission.
    (d) (c) The commission shall serve notice of the commission's actions to a party by personal delivery or by certified mail. Notice served by certified mail is considered complete on the business day following the date of the mailing.
    (e) (d) The commission shall conduct all requested hearings promptly and in reasonable order.
SOURCE: IC 4-33-5-1; (11)MO010505.6. -->     SECTION 6. IC 4-33-5-1 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 1. An applicant for a license or an operating agent contract under this article must provide the following information to the commission:
        (1) The name, business address, and business telephone number of the applicant.
        (2) An identification of the applicant.
        (3) The following information for an applicant that is not an individual:
            (A) The state of incorporation or registration.
            (B) The names of all corporate officers.
            (C) The identity of the following:
                (i) Any person in which the applicant has an equity interest of at least one percent (1%) of all shares. The identification must include the state of incorporation or registration if applicable. However, an applicant that has a pending registration statement filed with the Securities and Exchange Commission is not required to provide information under this item.
                (ii) The shareholders or participants of the applicant. An applicant that has a pending registration statement filed with the Securities and Exchange Commission is required to provide only the names of persons holding an interest of more than one percent (1%) of all shares.
        (4) An identification of any business, including the state of incorporation or registration if applicable, in which an applicant or the spouse or children of an applicant has an equity interest of more than one percent (1%) of all shares.
        (5) If the applicant has been indicted, been convicted, pleaded guilty or nolo contendere, or forfeited bail concerning a criminal offense other than a traffic violation under the laws of any jurisdiction. The applicant must include the following information under this subdivision:
            (A) The name and location of the following:
                (i) The court.
                (ii) The arresting agency.
                (iii) The prosecuting agency.
            (B) The case number.
            (C) The date and type of offense.
            (D) The disposition of the case.
            (E) The location and length of incarceration.
        (6) If the applicant has had a license or certificate issued by a licensing authority in Indiana or any other jurisdiction denied, restricted, suspended, revoked, or not renewed. An applicant must provide the following information under this subdivision:
            (A) A statement describing the facts and circumstances concerning the denial, restriction, suspension, revocation, or nonrenewal.
            (B) The date each action described in clause (A) was taken.
            (C) The reason each action described in clause (A) was taken.
        (7) If the applicant has:
            (A) filed or had filed against the applicant a proceeding in bankruptcy; or
            (B) been involved in a formal process to adjust, defer, suspend, or work out the payment of a debt;
        including the date of filing, the name and location of the court, and the case and number of the disposition.
        (8) If the applicant has filed or been served with a complaint or notice filed with a public body concerning:
            (A) a delinquency in the payment of; or
            (B) a dispute over a filing concerning the payment of;
        a tax required under federal, state, or local law, including the amount, type of tax, the taxing agency, and times involved.
        (9) A statement listing the names and titles of public officials or officers of units of government and relatives of the public officials or officers who directly or indirectly:
            (A) have a financial interest in;
            (B) have a beneficial interest in;
            (C) are the creditors of;
            (D) hold a debt instrument issued by; or
            (E) have an interest in a contractual or service relationship with;
        an applicant.
        (10) If an applicant for an operating agent contract or an owner's or a supplier's license has directly or indirectly made a political contribution, loan, donation, or other payment to a candidate or an office holder in Indiana not more than five (5) years before the date the applicant filed the application. An applicant must provide information concerning the amount and method of a payment described in this subdivision.
        (11) The name and business telephone number of the attorney who will represent the applicant in matters before the commission.
        (12) A description of a proposed or an approved riverboat gaming operation, including the following information:
            (A) The type of boat. riverboat.
            (B) The site or home dock location of the riverboat.
            (C) The expected economic benefit to local communities.
            (D) The anticipated or actual number of employees.
            (E) Any statements from the applicant concerning compliance with federal and state affirmative action guidelines.
            (F) Anticipated or actual admissions.
            (G) Anticipated or actual adjusted gross gaming receipts.
        (13) A description of the product or service to be supplied by the applicant if the applicant has applied for a supplier's license.
        (14) The following information from each licensee or operating agent involved in the ownership or management of gambling operations:
            (A) An annual balance sheet.
            (B) An annual income statement.
            (C) A list of the stockholders or other persons having at least a one percent (1%) beneficial interest in the gambling activities of the person who has been issued the owner's

license or operating agent contract.
            (D) Any other information the commission considers necessary for the effective administration of this article.

SOURCE: IC 4-33-6-1; (11)MO010505.7. -->     SECTION 7. IC 4-33-6-1, AS AMENDED BY P.L.233-2007, SECTION 14, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 1. (a) The commission may issue to a person a license to own a riverboat subject to the numerical and geographical limitation of owner's licenses under this section, section 3.5 of this chapter, and IC 4-33-4-17. However, not more than ten (10) owner's licenses may be in effect at any time. Except as provided in subsection (b), Those ten (10) licenses are The licenses may be allocated as follows:
        (1) Not more than two (2) licenses for a riverboat that operates from the largest city located in the counties described under IC 4-33-1-1(1). not more than two (2) riverboats that are authorized to operate in Gary in accordance with either of the following:
            (A) Two (2) riverboats may be operated from docks on Lake Michigan at the sites approved before January 1, 2011.
            (B) Only one (1) riverboat may be operated within the city limits after December 31 of the calendar year in which gambling operations commence at an inland casino approved under section 24 of this chapter.

        (2) One (1) license for a riverboat that operates from the second largest city located in the counties described under IC 4-33-1-1(1). Hammond.
        (3) One (1) license for a riverboat that operates from the third largest city located in the counties described under IC 4-33-1-1(1). East Chicago.
        (4) One (1) license for a city located in the counties described under IC 4-33-1-1(1). This license may not be issued to a city described in subdivisions (1) through (3). a riverboat that operates from Michigan City.
        (5) A total of five (5) licenses for riverboats that operate upon the Ohio River from the following counties:
            (A) Vanderburgh County.
            (B) Harrison County.
            (C) Switzerland County.
            (D) Ohio County.
            (E) Dearborn County.
        The commission may not issue a license to an applicant if the issuance of the license would result in more than one (1) riverboat operating from a county described in this subdivision.
    (b) If a city described in subsection (a)(2) or (a)(3) conducts two (2) elections under section 20 of this chapter, and the voters of the city do

not vote in favor of permitting riverboat gambling at either of those elections, the license assigned to that city under subsection (a)(2) or (a)(3) may be issued to any city that:
        (1) does not already have a riverboat operating from the city; and
        (2) is located in a county described in IC 4-33-1-1(1).
    (c) (b) In addition to its power to issue owner's licenses under subsection (a), the commission may also enter into a contract under IC 4-33-6.5 with respect to the operation of one (1) riverboat on behalf of the commission in a historic hotel district.
    (d) (c) A person holding an owner's license may not move the person's riverboat from the county in which the riverboat was docked on January 1, 2007, to any other county.
     (d) The maximum number of owner's licenses that may be in effect at any time after December 31 of the calendar year in which gambling operations commence at an inland casino in Gary is nine (9).

SOURCE: IC 4-33-6-4; (11)MO010505.8. -->     SECTION 8. IC 4-33-6-4 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 4. (a) In determining whether to grant an owner's license to an applicant, the commission shall consider the following:
        (1) The character, reputation, experience, and financial integrity of the following:
            (A) The applicant.
            (B) A person that:
                (i) directly or indirectly controls the applicant; or
                (ii) is directly or indirectly controlled by the applicant or by a person that directly or indirectly controls the applicant.
        (2) The facilities or proposed facilities for the conduct of riverboat gambling.
        (3) The highest prospective total revenue to be collected by the state from the conduct of riverboat gambling.
        (4) The good faith affirmative action plan of each applicant to recruit, train, and upgrade minorities in all employment classifications.
        (5) The financial ability of the applicant to purchase and maintain adequate liability and casualty insurance.
        (6) If the applicant has adequate capitalization to provide and maintain a riverboat for the duration of the license.
        (7) The extent to which the applicant exceeds or meets other standards adopted by the commission.
    (b) This subsection does not apply to:
        (1) a licensed owner constructing a new riverboat under section 24 of this chapter; or
        (2) a person applying for an owner's license to assume control of a riverboat on which gambling games have been conducted under an owner's license issued to another person.

In an application for an owner's license, the applicant must submit to the commission a proposed design of the riverboat and the dock. The commission may not grant a license to an applicant if the commission determines that it will be difficult or unlikely for the riverboat to depart from the dock.
SOURCE: IC 4-33-6-5; (11)MO010505.9. -->     SECTION 9. IC 4-33-6-5 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 5. (a) This section does not apply to an application concerning a riverboat described in IC 4-33-2-17(4).
    (b)
In an application for an owner's license, the applicant must state the dock at which the riverboat is based and the navigable waterway on which the riverboat will operate.
SOURCE: IC 4-33-6-6; (11)MO010505.5. -->     SECTION 5. IC 4-33-6-6, AS AMENDED BY SEA 47-2011, SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 6. (a) Except as provided in subsection subsections (c) and (d), a riverboat that operates in a county described in IC 4-33-1-1(1) or IC 4-33-1-1(2) must:
        (1) have either:
            (A) a valid certificate of inspection from the United States Coast Guard for the carrying of at least five hundred (500) passengers; or
            (B) a valid certificate of compliance with marine structural and life safety standards determined by the commission; and
        (2) be at least one hundred fifty (150) feet in length.
    (b) This subsection applies only to a riverboat that operates on the Ohio River. A riverboat must replicate, as nearly as possible, historic Indiana steamboat passenger vessels of the nineteenth century. However, steam propulsion or overnight lodging facilities are not required under this subsection.
    (c) A riverboat described in IC 4-33-2-17(3) must have a valid certificate of compliance with the marine structural and life safety standards determined by the commission under IC 4-33-4-13.5 for a permanently moored craft.
     (d) A riverboat constructed under section 24 of this chapter must comply with all applicable building codes and any construction and safety requirements imposed by the commission.
SOURCE: IC 4-33-6-10; (11)MO010505.11. -->     SECTION 11. IC 4-33-6-10 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 10. (a) An owner's license issued under this chapter permits the holder to own and operate one (1) riverboat and equipment for each license.
    (b) The holder of an owner's license issued under this chapter may implement flexible scheduling for the operation of the holder's riverboat under section 21 of this chapter.
    (c) Except as provided in subsections (d) and (e), an owner's license issued under this chapter must specify the place where the riverboat must operate and dock. However,
     (d) The commission may permit the a riverboat to dock at a temporary dock in the applicable city for a specific period of time not to exceed one (1) year after the owner's license is issued.
    (e) An owner's license issued with respect to a riverboat constructed under section 24 of this chapter must specify the site of the riverboat.

    (d) (f) An owner's initial license expires five (5) years after the effective date of the license.
SOURCE: IC 4-33-6-18; (11)MO010505.12. -->     SECTION 12. IC 4-33-6-18 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 18. (a) This subsection applies to cities described in section 1(a)(1) through 1(a)(4) or section (1)(b) of this chapter. The commission may not issue a license authorizing a riverboat to dock in a city unless the legislative body of the city has approved an ordinance permitting the docking of riverboats in the city.
    (b) This subsection applies to a county described in section 1(a)(5) of this chapter if the largest city in the county is contiguous to the Ohio River. The commission may not issue a license authorizing a riverboat to dock in the county unless an ordinance permitting the docking of riverboats in the county has been approved by the legislative body of the largest city in the county. The license must specify that the home dock of the riverboat is to be located in the largest city in the county.
    (c) This subsection applies to a county described in section 1(a)(5) of this chapter if the largest city in the county is not contiguous to the Ohio River. The commission may not issue a license authorizing a riverboat to dock in the county unless an ordinance permitting the docking of riverboats in the county has been approved by the county fiscal body.
    (d) This subsection applies to a county in which a historic hotel district is located. The commission may not enter into a contract under IC 4-33-6.5 for the operation of a riverboat in the county unless an ordinance permitting the docking operation of riverboats in the county has been approved by the county fiscal body.
     (e) An ordinance adopted before January 1, 2011, authorizing a riverboat to dock in a city is sufficient to authorize the operation of a riverboat described in IC 4-33-2-17(4) in the city.
SOURCE: IC 4-33-6-21; (11)MO010505.13. -->     SECTION 13. IC 4-33-6-21 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 21. (a) A licensed owner may submit a plan for flexible scheduling to the commission by a date designated by the commission. Upon receipt of an appropriate plan, the commission shall authorize flexible scheduling and the licensed owner shall implement the flexible scheduling plan by the date designated by the commission.
    (b) A licensed owner that:
        (1) submits a plan for flexible scheduling to the commission may include provisions; or
        (2) has implemented a flexible scheduling plan may amend the plan to include provisions;
to conduct gambling operations for up to twenty-four (24) hours a day. Upon receipt of a plan or an amendment to a plan concerning operating hours, the commission shall authorize the licensed owner to implement the plan or amendment for the days and hours specified in the plan or amendment. The licensed owner shall implement the provisions related to operating days and hours by the date designated by the commission. If the licensed owner fails or ceases to operate in accordance with the authorized provisions concerning operating days and hours, the commission may rescind the authorization.
     (c) Notwithstanding subsection (a), a licensed owner operating a riverboat described in IC 4-33-2-17(4) shall implement flexible scheduling.
SOURCE: IC 4-33-6-24; (11)MO010505.14. -->     SECTION 14. IC 4-33-6-24 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 24. (a) This section applies only to a licensed owner that operates a riverboat gambling operation in Gary.
    (b) A licensed owner may submit to the commission a plan for the construction of an inland casino within the city limits of the city of Gary. The plan must include the proposed design of the casino and any related facilities and amenities.
    (c) If the commission determines that the plan:
        (1) promotes economic development within the city of Gary; and
        (2) satisfies the requirements of this section;
the commission shall approve the licensed owner's plan. However, not more than one (1) riverboat gambling operation may be relocated under this section.
    (d) The commission shall evaluate an inland casino plan submitted under this section using the following criteria:
        (1) The proposed facilities of the casino and any related facilities and amenities.
        (2) The highest prospective total revenue to be collected by the state from the conduct of gambling at the casino.
        (3) The good faith affirmative action plan of the licensed owner to recruit, train, and upgrade minorities in all employment classifications.
        (4) The financial ability of the licensed owner to purchase and maintain adequate liability and casualty insurance.
        (5) If the applicant has adequate capitalization to provide and maintain a casino for the duration of the license.
        (6) The extent to which the applicant exceeds or meets other standards adopted by the commission.

     (e) If the commission approves a licensed owner's plan to relocate a riverboat gambling operation under this section, the commission may not renew an owner's license for a second

riverboat gambling operation located in Gary for a calendar year beginning after December 31 of the calendar year in which gambling operations commence at an inland casino in Gary.

SOURCE: IC 4-33-9-17; (11)MO010505.15. -->     SECTION 15. IC 4-33-9-17 IS ADDED TO THE INDIANA CODE AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 17. The following are designated as the homes of each riverboat operating under this article:
        (1) The city in which a riverboat described in IC 4-33-2-17(1) or IC 4-33-2-17(3) is docked if the riverboat is docked in:
            (A) a city adjacent to Lake Michigan; or
            (B) the largest city of a county adjacent to the Ohio River.
        (2) The county in which a riverboat described in IC 4-33-2-17(1) or IC 4-33-2-17(3) is docked if the riverboat:
            (A) is docked in a county that is adjacent to the Ohio River; but
            (B) not docked in the largest city of that county.
        (3) The county in which the riverboat described in IC 4-33-2-17(2) is located.
        (4) The city in which the riverboat described in IC 4-33-2-17(4) is located.

SOURCE: IC 4-33-11-2; (11)MO010505.16. -->     SECTION 16. IC 4-33-11-2 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 2. An appeal of a final rule or order of the commission may be commenced under IC 4-21.5 in the circuit court of the county containing the dock where or site of the riverboat. is based.
SOURCE: IC 4-33-13-5; (11)MO010505.17. -->     SECTION 17. IC 4-33-13-5, AS AMENDED BY P.L.96-2010, SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 5. (a) This subsection does not apply to tax revenue remitted by an operating agent operating a riverboat in a historic hotel district. After funds are appropriated under section 4 of this chapter, each month the treasurer of state shall distribute the tax revenue deposited in the state gaming fund under this chapter to the following:
        (1) The first thirty-three million dollars ($33,000,000) of tax revenues collected under this chapter shall be set aside for revenue sharing under subsection (e).
        (2) Subject to subsection (c), twenty-five percent (25%) of the remaining tax revenue remitted by each licensed owner shall be paid:
            (A) to the city that is designated as the home dock of the riverboat from which the tax revenue was collected, in the case of a riverboat located in:
                (i) a city described in IC 4-33-12-6(b)(1)(A); or
                (ii) a city located in a county having a population of more than four hundred thousand (400,000) but less than seven hundred thousand (700,000); or
            (B) to the county that is designated as the home dock of the riverboat from which the tax revenue was collected, in the case of a riverboat whose home dock is not in a city that is not described in clause (A).
        (3) Subject to subsection (d), the remainder of the tax revenue remitted by each licensed owner shall be paid to the state general fund. In each state fiscal year, the treasurer of state shall make the transfer required by this subdivision not later than the last business day of the month in which the tax revenue is remitted to the state for deposit in the state gaming fund. However, if tax revenue is received by the state on the last business day in a month, the treasurer of state may transfer the tax revenue to the state general fund in the immediately following month.
    (b) This subsection applies only to tax revenue remitted by an operating agent operating a riverboat in a historic hotel district. After funds are appropriated under section 4 of this chapter, each month the treasurer of state shall distribute the tax revenue remitted by the operating agent under this chapter as follows:
        (1) Thirty-seven and one-half percent (37.5%) shall be paid to the state general fund.
        (2) Nineteen percent (19%) shall be paid to the West Baden Springs historic hotel preservation and maintenance fund established by IC 36-7-11.5-11(b). However, at any time the balance in that fund exceeds twenty million dollars ($20,000,000), the amount described in this subdivision shall be paid to the state general fund.
        (3) Eight percent (8%) shall be paid to the Orange County development commission established under IC 36-7-11.5.
        (4) Sixteen percent (16%) shall be paid in equal amounts to each town that is located in the county in which the riverboat is located and contains a historic hotel. The following apply to taxes received by a town under this subdivision:
            (A) At least twenty-five percent (25%) of the taxes must be transferred to the school corporation in which the town is located.
            (B) At least twelve and five-tenths percent (12.5%) of the taxes imposed on adjusted gross receipts received after June 30, 2010, must be transferred to the Orange County development commission established by IC 36-7-11.5-3.5.
        (5) Nine percent (9%) shall be paid to the county treasurer of the county in which the riverboat is located. The county treasurer shall distribute the money received under this subdivision as follows:
            (A) Twenty-two and twenty-five hundredths percent (22.25%) shall be quarterly distributed to the county treasurer of a county having a population of more than thirty-nine thousand

six hundred (39,600) but less than forty thousand (40,000) for appropriation by the county fiscal body after receiving a recommendation from the county executive. The county fiscal body for the receiving county shall provide for the distribution of the money received under this clause to one (1) or more taxing units (as defined in IC 6-1.1-1-21) in the county under a formula established by the county fiscal body after receiving a recommendation from the county executive.
            (B) Twenty-two and twenty-five hundredths percent (22.25%) shall be quarterly distributed to the county treasurer of a county having a population of more than ten thousand seven hundred (10,700) but less than twelve thousand (12,000) for appropriation by the county fiscal body after receiving a recommendation from the county executive. The county fiscal body for the receiving county shall provide for the distribution of the money received under this clause to one (1) or more taxing units (as defined in IC 6-1.1-1-21) in the county under a formula established by the county fiscal body after receiving a recommendation from the county executive.
            (C) Fifty-five and five-tenths percent (55.5%) shall be retained by the county in which the riverboat is located for appropriation by the county fiscal body after receiving a recommendation from the county executive.
        (6) Five percent (5%) shall be paid to a town having a population of more than two thousand two hundred (2,200) but less than three thousand five hundred (3,500) located in a county having a population of more than nineteen thousand three hundred (19,300) but less than twenty thousand (20,000). At least forty percent (40%) of the taxes received by a town under this subdivision must be transferred to the school corporation in which the town is located.
        (7) Five percent (5%) shall be paid to a town having a population of more than three thousand five hundred (3,500) located in a county having a population of more than nineteen thousand three hundred (19,300) but less than twenty thousand (20,000). At least forty percent (40%) of the taxes received by a town under this subdivision must be transferred to the school corporation in which the town is located.
        (8) Five-tenths percent (0.5%) of the taxes imposed on adjusted gross receipts received after June 30, 2010, shall be paid to the Indiana economic development corporation established by IC 5-28-3-1.
    (c) For each city and county receiving money under subsection (a)(2), the treasurer of state shall determine the total amount of money paid by the treasurer of state to the city or county during the state fiscal year 2002. The amount determined is the base year revenue for the city

or county. The treasurer of state shall certify the base year revenue determined under this subsection to the city or county. The total amount of money distributed to a city or county under this section during a state fiscal year may not exceed the entity's base year revenue. For each state fiscal year, the treasurer of state shall pay that part of the riverboat wagering taxes that:
        (1) exceeds a particular city's or county's base year revenue; and
        (2) would otherwise be due to the city or county under this section;
to the state general fund instead of to the city or county.
    (d) Each state fiscal year the treasurer of state shall transfer from the tax revenue remitted to the state general fund under subsection (a)(3) to the build Indiana fund an amount that when added to the following may not exceed two hundred fifty million dollars ($250,000,000):
        (1) Surplus lottery revenues under IC 4-30-17-3.
        (2) Surplus revenue from the charity gaming enforcement fund under IC 4-32.2-7-7.
        (3) Tax revenue from pari-mutuel wagering under IC 4-31-9-3.
The treasurer of state shall make transfers on a monthly basis as needed to meet the obligations of the build Indiana fund. If in any state fiscal year insufficient money is transferred to the state general fund under subsection (a)(3) to comply with this subsection, the treasurer of state shall reduce the amount transferred to the build Indiana fund to the amount available in the state general fund from the transfers under subsection (a)(3) for the state fiscal year.
    (e) Before August 15 of each year, the treasurer of state shall distribute the wagering taxes set aside for revenue sharing under subsection (a)(1) to the county treasurer of each county that does not have a riverboat according to the ratio that the county's population bears to the total population of the counties that do not have a riverboat. Except as provided in subsection (h), the county auditor shall distribute the money received by the county under this subsection as follows:
        (1) To each city located in the county according to the ratio the city's population bears to the total population of the county.
        (2) To each town located in the county according to the ratio the town's population bears to the total population of the county.
        (3) After the distributions required in subdivisions (1) and (2) are made, the remainder shall be retained by the county.
    (f) Money received by a city, town, or county under subsection (e) or (h) may be used for any of the following purposes:
        (1) To reduce the property tax levy of the city, town, or county for a particular year (a property tax reduction under this subdivision does not reduce the maximum levy of the city, town, or county under IC 6-1.1-18.5).
        (2) For deposit in a special fund or allocation fund created under

IC 8-22-3.5, IC 36-7-14, IC 36-7-14.5, IC 36-7-15.1, and IC 36-7-30 to provide funding for debt repayment.
        (3) To fund sewer and water projects, including storm water management projects.
        (4) For police and fire pensions.
        (5) To carry out any governmental purpose for which the money is appropriated by the fiscal body of the city, town, or county. Money used under this subdivision does not reduce the property tax levy of the city, town, or county for a particular year or reduce the maximum levy of the city, town, or county under IC 6-1.1-18.5.
    (g) This subsection does not apply to an entity receiving money under IC 4-33-12-6(c). Before September 15 of each year, the treasurer of state shall determine the total amount of money distributed to an entity under IC 4-33-12-6 during the preceding state fiscal year. If the treasurer of state determines that the total amount of money distributed to an entity under IC 4-33-12-6 during the preceding state fiscal year was less than the entity's base year revenue (as determined under IC 4-33-12-6), the treasurer of state shall make a supplemental distribution to the entity from taxes collected under this chapter and deposited into the state general fund. Except as provided in subsection (i), the amount of an entity's supplemental distribution is equal to:
        (1) the entity's base year revenue (as determined under IC 4-33-12-6); minus
        (2) the sum of:
            (A) the total amount of money distributed to the entity during the preceding state fiscal year under IC 4-33-12-6; plus
            (B) any amounts deducted under IC 6-3.1-20-7.
    (h) This subsection applies only to a county containing a consolidated city. The county auditor shall distribute the money received by the county under subsection (e) as follows:
        (1) To each city, other than a consolidated city, located in the county according to the ratio that the city's population bears to the total population of the county.
        (2) To each town located in the county according to the ratio that the town's population bears to the total population of the county.
        (3) After the distributions required in subdivisions (1) and (2) are made, the remainder shall be paid in equal amounts to the consolidated city and the county.
    (i) This subsection applies only to the Indiana horse racing commission. For each state fiscal year the amount of the Indiana horse racing commission's supplemental distribution under subsection (g) must be reduced by the amount required to comply with IC 4-33-12-7(a).

SOURCE: IC 4-33-13-6; (11)MO010505.18. -->     SECTION 18. IC 4-33-13-6 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 6. (a) Money paid to a

unit of local government under this chapter:
        (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.
    (b) This chapter does not prohibit the city or county designated as the home dock of the riverboat from entering into agreements with other units of local government in Indiana or in other states to share the city's or county's part of the tax revenue received under this chapter.

SOURCE: IC 4-33-14-9; (11)MO010505.19. -->     SECTION 19. IC 4-33-14-9 IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 9. (a) This section applies to a person holding an owner's licenses for riverboats operated from a city described under IC 4-33-6-1(a)(1) through IC 4-33-6-1(a)(3). a licensed owner who owns a riverboat located in East Chicago, Gary, or Hammond.
    (b) The commission shall require persons holding owner's licenses a licensed owner to adopt policies concerning the preferential hiring of residents of the city in which the riverboat docks is located for riverboat jobs.
SOURCE: IC 4-33-21-7; (11)MO010505.20. -->     SECTION 20. IC 4-33-21-7, AS ADDED BY P.L.142-2009, SECTION 16, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]: Sec. 7. (a) A trustee acting under the authority of this chapter must fulfill the trustee's duties as a fiduciary for the owner of the riverboat. In addition, the trustee shall consider the effect of the trustee's actions upon:
        (1) the amount of taxes remitted by the trustee under IC 4-33-12 and IC 4-33-13;
        (2) the riverboat's dock city or and county in which the riverboat is located;
        (3) the riverboat's employees; and
        (4) the creditors of the owner of the riverboat.

    (b) In balancing the interests described in subsection (a), a trustee shall conduct gambling operations on the riverboat in a manner that enhances the credibility and integrity of riverboat gambling in Indiana while minimizing disruptions to tax revenues, incentive payments, employment, and credit obligations.".
    Renumber all SECTIONS consecutively.
    (Reference is to ESB 105 as printed April 18, 2011.)

________________________________________

Representative Brown C


MO010505/DI 92     2011