Citations Affected: IC 4-33; IC 12-23.
Synopsis: Riverboat admissions tax for mental health. Requires all
riverboat admissions taxes paid to the division of mental health and
addiction to be used for the prevention and treatment of compulsive
gambling. (Current law requires at least 25% of the taxes to be
dedicated to the prevention and treatment of compulsive gambling.)
Adjusts the spending provisions of the addiction services fund to
account for the admissions tax requirement.
Effective: July 1, 2008.
January 8, 2008, read first time and referred to Committee on Commerce, Public Policy
& Interstate Cooperation.
January 24, 2008, reported favorably _ Do Pass.
A BILL FOR AN ACT to amend the Indiana Code concerning
taxation.
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) Except as provided in subsection (k), one dollar ($1) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
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) Except as provided in subsection (k), ten cents ($0.10) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the county convention and visitors bureau or
promotion fund for the county in which the riverboat is docked.
(4) Except as provided in subsection (k), fifteen cents ($0.15) of
the admissions tax collected by the licensed owner for each
person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during a quarter that has
implemented flexible scheduling under IC 4-33-6-21;
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) Except as provided in subsection (k), ten cents ($0.10) of the
admissions tax collected by the licensed owner for each person:
(A) embarking on a gambling excursion during the quarter; or
(B) admitted to a riverboat during the quarter that has
implemented flexible scheduling under IC 4-33-6-21;
shall be paid to the division of mental health and addiction. The
division shall allocate at least twenty-five percent (25%) all of the
funds derived from the admissions tax to the prevention and
treatment of compulsive gambling.
(6) Except as provided in subsection (k) and section 7 of this
chapter, sixty-five cents ($0.65) of the admissions tax collected
by the licensed owner for each person embarking on a gambling
excursion during the quarter or admitted to a riverboat during the
quarter that has implemented flexible scheduling under
IC 4-33-6-21 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 located in
a historic hotel district, the treasurer of state shall quarterly pay the
following amounts:
(1) Twenty-five Twenty-two percent (25%) (22%) of the
admissions tax collected during the quarter shall be paid to the
county treasurer of the county in which the riverboat is docked.
The county treasurer shall distribute the money received under
this subdivision as follows:
(A) Twenty Twenty-two and seventy-five hundredths percent
(20%) (22.75%) 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 Twenty-two and seventy-five hundredths percent
(20%) (22.75%) 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.
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) Sixty Fifty-four and five-tenths percent (60%) (54.5%)
shall be retained by the county where the riverboat is docked
for appropriation by the county fiscal body after receiving a
recommendation from the county executive. The county fiscal
body shall provide for the distribution of part or all of the
money received under this clause to the following under a
formula established by the county fiscal body:
(i) (2) Five percent (5%) of the admissions tax collected during
the quarter 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 twenty
percent (20%) of the taxes received by a town under this
subdivision must be transferred to the school corporation in
which the town is located.
(ii) (3) Five percent (5%) of the admissions tax collected during
the quarter 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
twenty percent (20%) of the taxes received by a town under this
subdivision must be transferred to the school corporation in
which the town is located.
(2) Sixteen (4) Twenty percent (16%) (20%) of the admissions tax
collected during the quarter shall be paid in equal amounts to
each town that:
(A) is located in the county in which the riverboat docks; and
(B) contains a historic hotel.
The town council shall appropriate a part of the money received
by the town under this subdivision to the budget of the town's
tourism commission. At least twenty percent (20%) of the taxes
received by a town under this subdivision must be transferred to
the school corporation in which the town is located.
(3) Nine (5) Ten percent (9%) (10%) of the admissions tax
collected during the quarter shall be paid to the historic hotel
preservation Orange County development commission
established under IC 36-7-11.5. At least one-third (1/3) of the
taxes paid to the Orange County development commission under
this subdivision must be transferred to the Orange County
convention and visitors bureau.
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.
(e) Money paid to a unit of local government under subsection
(b)(1) through (b)(2), (c)(1) through (c)(2), (c)(4), or (d)(1) through
(d)(2):
(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 levy under
IC 6-1.1-18.5 but may be used at the discretion of the unit to
reduce the property tax levy of the unit for a particular year;
(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; and
(4) is considered miscellaneous revenue.
(f) Money paid by the treasurer of state under subsection (b)(3) or
(d)(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.
(g) Money received by the division of mental health and addiction
under subsections (b)(5) and (d)(6):
(1) is annually appropriated to the division of mental health and
addiction;
(2) shall be distributed to the division of mental health and
addiction at times during each state fiscal year determined by the
budget agency; and
(3) shall be used by the division of mental health and addiction
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.
compulsive gambling. The division shall allocate at least
twenty-five percent (25%) all of the money received to the
prevention and treatment of compulsive gambling.
(h) This subsection applies to the following:
the program or service without regard to the family income of the
individual.