MISSISSIPPI LEGISLATURE

1998 Regular Session

To: Ways and Means

By: Representative Clark

AN ACT TO CODIFY SECTIONS 75-76-401, 75-76-403, 75-76-405, 75-76-407, 75-76-409, 75-76-411, 75-76-413, 75-76-415 AND 75-76-417, MISSISSIPPI CODE OF 1972, TO PROVIDE FOR THE REGULATION AND LICENSING OF VIDEO COIN MACHINE OPERATIONS BY THE MISSISSIPPI GAMING COMMISSION; TO AUTHORIZE THE MISSISSIPPI GAMING COMMISSION TO PROMULGATE RULES AND REGULATIONS TO CARRY OUT THE PROVISIONS OF THIS ACT; TO LEGALIZE THE MANUFACTURE, SALE, DISTRIBUTION, OWNERSHIP AND OPERATION OF ELECTRONIC VIDEO COIN MACHINES; TO DESIGNATE THE TYPES OF ESTABLISHMENTS WHERE SUCH MACHINES MAY BE LOCATED; TO PROVIDE PENALTIES FOR THE VIOLATION OF THIS ACT; TO PROVIDE FOR A REFERENDUM ON THE QUESTION OF ALLOWING LEGAL GAMING IN THE FORM OF ELECTRONIC VIDEO COIN MACHINES WITHIN A COUNTY; TO AMEND SECTIONS 97-33-1, 97-33-7, 97-33-17, 95-3-25, 67-1-71, 87-1-5, 21-19-19 AND 75-76-5, MISSISSIPPI CODE OF 1972, TO CONFORM TO THE PROVISIONS OF THIS ACT; AND FOR RELATED PURPOSES.  

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. The following shall be codified as Section 75-76-401, Mississippi Code of 1972:

75-76-401. This act shall be known and may be cited as the "Electronic Video Coin Machine Act of 1998."

SECTION 2. The following shall be codified as Section 75-76-403, Mississippi Code of 1972:

75-76-403. As used in Sections 1 through 9 of this act, the following definitions shall have the meanings ascribed herein unless the context clearly requires otherwise:

(a) "Commission" means the Mississippi Gaming Commission.

(b) "Distributor" means an individual, partnership or corporation licensed under this act to buy, sell, lease, repair or distribute electronic video coin machines. The term excludes machine owners and manufacturers.

(c) "Gross proceeds" means the total amount of money placed into electronic video coin machines.

(d) "Incentive" means a consideration, including a premium or bonus in cash or advance commission on merchandise, offered from a machine owner to a licensee in order to solicit its business.

(e) "Licensee" means an individual, partnership or corporation that has been issued a license by the Mississippi Gaming Commission for the placement and operation of electronic video coin machines on the premises of the individual, partnership or corporation.

(f) "Licensed premises" means any restaurant, bar, lounge, tavern, motel, hotel, club, fraternal order or any other premises that has a license for the sale of alcoholic beverages, light wine or beer for on-premises consumption.

(g) "Machine owner" means an individual, partnership or corporation which is licensed under this act and which owns and operates, leases, services and maintains electronic video coin machines for placement in licensed premises.

(h) "Manufacturer" means an individual, partnership or corporation which is licensed under this act and which manufactures or assembles and programs electronic video coin machines.

(i) "Net proceeds" means gross proceeds after awards have been paid.

(j) "Person" means a corporation, partnership and association, as well as a natural person.

(k) "Electronic video coin machine" means any electronic video game machine authorized pursuant to the provisions of this act that, upon insertion of cash, is available to play or simulate the play of a card game utilizing a video display and microprocessors in which, by the skill of the player or by chance, or both, the player may receive free games or credits that can be redeemed for cash. The term does not include a machine that directly dispenses coins, cash, tokens or anything of value or any slot amusement machine as defined in Section 27-27-3. All machines must contain electronic information verifying transmitting components as required by the Mississippi Gaming Commission.

SECTION 3. The following shall be codified as Section 75-76-405, Mississippi Code of 1972:

75-76-405. (1) The commission shall administer the provisions of this act.

(2) The commission shall:

(a) Provide for licensing and for distribution of revenue;

(b) Prescribe all necessary application and reporting forms;

(c) Grant or deny license applications;

(d) Prescribe restrictions on advertising electronic video coin machine devices by licensees; and

(e) Prescribe types of electronic video coin machines to be used.

(3) The commission may not deny any application or limit, condition or restrict any license except for nonconformance with this act. An applicant shall not be granted a license under the provisions of this act unless the applicant has demonstrated to the commission that he is suitable for licensing pursuant to the suitability provisions of this act. For purposes of this act, suitability for licensing shall mean that the applicant or licensee:

(a) Is a person of good character, honesty, and integrity;

(b) Is a person whose prior activities, arrest, or criminal record, if any, reputation, habits, and associations do not pose a threat to the public interest of this state or to the effective regulation of the activities authorized by this act, and do not create or enhance the dangers of unsuitability, unfair, or illegal practices, methods, and operations in the activities authorized by this act;

(c) Is likely to conduct business as authorized by this act in compliance with the provisions of this act;

(d) Is not prohibited from making application or disqualified from licensure under the provisions of this act; and

(e) Has not been convicted in any jurisdiction of any of the following offenses within ten (10) years prior to the date of application or less than ten (10) years has elapsed between the date of application and the successful completion or service of any sentence, deferred, adjudication, or a period of probation or parole for any of the following crimes:

(i) Any offense punishable by imprisonment for more than one (1) year;

(ii) Theft or any crime involving false statements or declarations; or

(iii) Gambling as defined by the laws or ordinances of any municipality, any county, any state, or the United States.

(4) Any person who was denied a license shall have the right to a hearing before the commission. An aggrieved party shall have the right to appeal the decision on license denial to that court having jurisdiction over the applicant or the premises of the license.

(5) The commission shall prescribe necessary machine accounting information. Central auditing is required and the commission shall provide licensed manufacturers, or manufacturers applying for licensure, the protocol documentation necessary to enable their electronic video coin machines to communicate with the commission's central computer in providing the auditing program information and controls approved by the commission. All electronic video coin machines shall be set at a minimum win percentage of no less than eighty percent (80%). All electronic video coin machines shall have metering devices to verify the winning percentages.

(6) The commission shall investigate all persons granted licenses for violations of this act and shall hold hearings in which to consider these matters. Hearings and appeals shall be conducted in the same manner as set forth in subsection (4) of this section. The commission shall have the authority to suspend or revoke a license if it finds that a violation of this act has occurred. No license shall be suspended or revoked until a hearing is completed. The fine for a violation of the provisions of this act or of regulations adopted under this act shall not exceed Ten Thousand Dollars ($10,000.00) for the first offense and Fifteen Thousand Dollars ($15,000.00) for each subsequent violation.

(7) The commission shall prescribe rules and regulations for the conduct of the officers, employees and agents of the commission.

(8) The commission shall promulgate rules and regulations necessary to carry out the provisions of this act. The commission shall not promulgate any rules and regulations in conflict with the provisions of this act, and if any such rule or regulation conflicts with the provisions of this act, the provisions of this act shall control.

SECTION 4. The following shall be codified as Section 75-76-407, Mississippi Code of 1972:

75-76-407. (1) A person may not manufacture, assemble, program, produce or sell an electronic video coin machine in this state unless the person has a valid manufacturer's license issued under Section 5(1)(a) of this act. A manufacturer may only sell electronic video coin machines for use in this state to persons having a valid distributor's or machine owner's license.

(2) A person may not sell, service, distribute, lease, repair or market an electronic video coin machine in this state unless the person has a valid distributor's license issued under Section 5(1)(b) of this act. A distributor may only sell electronic video coin machines for use in this state to persons having a valid distributor's or machine owner's license. This section does not preclude a machine owner from selling used electronic video coin machines that the owner purchased new and operated for at least two (2) years.

(3) A person may not own, operate, service, maintain, lease or place an electronic video coin machine unless he has a valid machine owner's license issued under Section 5(1)(c) of this act. A machine owner can only place electronic video coin machines for use in this state in locations where the licensee has a valid license.

(4) A person may not offer, enable or allow the playing of electronic video coin machines unless that location has a valid license issued under Section 5(1)(d) of this act.

(5) A person may not manipulate the outcome or payoff of an electronic video coin machine through interference with the proper functioning of the mechanism.

(6) Any person who operates, sells or uses electronic video coin machines or any other types of video lottery machines that are not approved for operation by this act and regulations promulgated by the commission is in violation of this act. All grey area machines must be removed from this state prior to the effective date of this act.

(7) A person who violates this section commits a misdemeanor and, upon conviction, shall be sentenced to pay a fine of Ten Thousand Dollars ($10,000.00) or to imprisonment as permitted by law, or both.

SECTION 5. The following shall be codified as Section 75-76-409, Mississippi Code of 1972:

75-76-409. (1) After approving the proper applications, the commission shall issue the following licenses:

(a) A manufacturer's license to a person who manufactures or assembles electronic video coin machines for use in Mississippi.

(b) A distributor's license to a person who buys, sells, leases, services or repairs electronic video coin machines in Mississippi.

(c) A machine owner's license to a person who owns, operates, leases, services or maintains electronic video coin machines for placement in a licensed premises. Every electronic video coin machine in use in this state must have a current license displayed on the machine. Every electronic video coin machine licensed under this act must be manufactured by an individual, partnership or corporation licensed under paragraph (a) of this subsection (1). This type of license will allow a machine owner to sell used electronic video coin machines that the owner purchased new and operated for at least two (2) years.

(d) A licensee must have obtained a license under this act in order to have electronic video coin machines on its premises.

(2) The Legislature establishes two (2) categories of licenses which may be issued to licensees for the placement of electronic video coin machines at or on licensed premises. Those categories are as follows:

(a) A restaurant, bar, lounge, tavern, motel, hotel, club, fraternal order, or any other premises that has a license for the sale of alcoholic beverages, light wine or beer for on-premises consumption may be granted a license by the commission for the placement of electronic video coin machines in the licensed premises. The number of electronic video coin machines placed at a licensed premises in the category as defined in this paragraph (a) of this subsection (2) shall be based on the number of square feet of area licensed for on-premises consumption as follows:

(i) If the licensed premises has Two Thousand Five Hundred (2,500) or less square feet of area licensed for on-premises consumption, then not more than six (6) electronic video coin machines may be placed in or on the licensed premises and made operational at the same time.

(ii) If the licensed premises has more than two thousand five hundred (2,500), but less than five thousand (5,000) square feet of area licensed for on-premises consumption, then not more than twelve (12) electronic video coin machines may be placed in or on the licensed premises and made operational at the same time.

(iii) If the licensed premises has five thousand (5,000) or more square feet, but less than seven thousand five hundred (7,500) square feet of area licensed for on-premises consumption, then not more than eighteen (18) electronic video coin machines may be placed in or on the licensed premises and made operational at the same time.

(iv) If the licensed premises has seven thousand five hundred (7,500) or more square feet of area licensed for on-premises consumption, then not more than twenty-four (24) electronic video coin machines may be placed in or on the licensed premises and made operational at the same time.

(b) A licensee owning or leasing a licensed premises, which is a hotel or motel, which has more than one (1) lounge or bar facility licensed for the sale of alcoholic beverages, light wine or beer for on-premises consumption on a single licensed premises may make available for play as many electronic video coin machines at each separate lounge or bar facility as is allowed for placement in accordance with the provisions of Section 5(2)(a) of this act. Each separate lounge or bar facility shall meet the following criteria:

(i) It must be a physically separate facility.

(ii) It must have separate beverage preparation areas.

(iii) It must prepare, dispense, and sell alcoholic beverages for on-premises consumption.

(iv) It must have a person whose primary duty is tending bar on duty while the lounge or facility is open for business.

(c) A person owning or leasing a qualified truck stop facility may be granted a license for the placement of not more than fifty (50) electronic video coin machines in his facility in an area separated for adult patronage only. As used in this section, a "qualified truck stop facility" means a facility which sells fuel, lubricating oil, and other vehicular merchandise, such as batteries, tires, or vehicle parts for eighteen-wheel tractor-trailers and which also meets all of the following criteria:

(i) The facility must be located in close proximity to a major county, state, federal, or interstate highway.

(ii) The facility must maintain average monthly fuel sales of at least fifty thousand (50,000) gallons of which ten thousand (10,000) gallons are diesel fuel.

(iii) The facility must have an on-site restaurant which provides full table service for sit-down meals and provides seating for at least twenty (20) patrons.

(iv) The facility must have the following amenities:

1. A separate trucker's television lounge;

2. Laundry facilities located in or on the premises;

3. Private showers for men and women not located in an area open to general public rest room facilities;

4. Separate truckers' telephones; and

5. Permanent above or below-ground storage facilities for fuel.

(3) Electronic video coin machines placed in a licensed premises which is a restaurant shall be operated and played only in the bar or lounge area, if applicable, or in a designated area, as approved by the commission, which is separated from restaurant patrons seated in the dining area of the restaurant.

(4) No machine owner may give, and no licensee may receive, an incentive.

SECTION 6. The following shall be codified as Section 75-76-411, Mississippi Code of 1972:

75-76-411. (1) Employees of the commission designated as enforcement agents shall be empowered to investigate the background and associates of every license applicant to whatever extent is deemed necessary by the commission. No investigation shall be undertaken before the submission of an application for a license by any person or party, and no investigation shall continue subsequent to the denial of a license or the withdrawal of a license application.

(2) Enforcement agents are peace officers and shall have police power and authority throughout this state to arrest, on view or under warrant, any person tampering with electronic video coin machines, attempting or conspiring to manipulate the outcome or the payoff of any machine, or manipulating the outcome or payoff of any machine by physical tampering or through the interference of the lawful or proper functioning of the mechanism by any means whatsoever.

(3) Enforcement agents may investigate any alleged illegal activities concerning electronic video coin machines and their operation, maintenance and placement. Findings shall be reported in writing to the commission, which shall relay any suspected criminal activity or violations of the law to the appropriate district attorney for prosecution.

(4) In addition to any other person authorized to enforce the provisions of this act, the Mississippi Highway Safety Patrol and local law enforcement officers are empowered to enforce this act.

(5) Any electronic video coin machine operated in violation of this act is subject to immediate seizure by any enforcement agent.

SECTION 7. The following shall be codified as Section 75-76-413, Mississippi Code of 1972:

75-76-413. (1) No person under twenty-one (21) years of age may use or play an electronic video coin machine. Any such person using or playing or attempting to use or play an electronic video coin machine, upon conviction, shall pay a fine of not more than One Thousand Dollars ($1,000.00).

(2) If a person under twenty-one (21) years of age plays or uses an electronic video coin machine on the premises of a licensee, whether or not the licensee is actually aware of such person's age, such licensee, upon conviction, shall pay a fine of not more than Five Thousand Dollars ($5,000.00). The establishment of the fact that a person under twenty-one (21) years of age falsely represented in writing that such person was twenty-one (21) years of age or older by a person allowing an underaged person to operate the electronic video coin machines constitutes a defense to prosecution under this subsection (2).

SECTION 8. The following shall be codified as Section 75-76-415, Mississippi Code of 1972:

75-76-415. An electronic video coin machine may not directly dispense coins, cash, tokens or any other article of exchange or value, except for receipt tickets. Such tickets shall be dispensed by pressing the ticket dispensing button on the machine at the end of one's turn or play. The ticket shall indicate the total amount of credits and the cash award, and the player shall turn in this ticket to the appropriate person at the licensee's establishment to receive the cash award. The commission may require additional information to be shown in the receipt ticket. The cost of the credit shall be Twenty-five Cents (254), and the number of credits played per game shall not exceed five (5). Electronic video coin machines shall not accept any money denomination in excess of a Twenty Dollar ($20.00) bill. No cash award for any individual game shall exceed Five Hundred Dollars ($500.00). All electronic video coin machines shall be designed and manufactured with total accountability, to include gross proceeds, net proceeds, net profits, winning percentages or any other information or data required by the commission. All machines shall have the ability to electronically verify and transmit to a central computer any information the commission requires.

SECTION 9. The following shall be codified as Section 75-76-417, Mississippi Code of 1972:

75-76-417. (1) Any person, corporation or other legal entity required to obtain a license to conduct legal gaming in the form of electronic video coin machines, as prescribed by House Bill No. , 1998 Regular Session, shall, before applying for such license, provide the commission with a written notice of intent to apply for a license. The "notice of intent to apply for a gaming license" shall be on a form prescribed by the executive director of the commission and shall state the county in which the intending licensee desires to conduct legal gaming in the form of electronic video coin machines. Within ten (10) days after receipt of a notice of intent to apply for a license, the commission shall require such person, corporation or legal entity to publish the notice once each week for three (3) consecutive weeks in a newspaper having general circulation in the county in which the intending licensee desires to conduct legal gaming in the form of electronic video coin machines.

(2) If no petition as prescribed in subsection (3) of this section is filed with the board of supervisors of the applicable county within thirty (30) days after the date of the last publication, the board of supervisors of such county shall adopt a resolution stating that no petition was timely filed and that legal gaming in the form of electronic video coin machines may henceforth be conducted in such county.

(3) If a petition signed by twenty percent (20%) or fifteen hundred (1500), whichever is less, of the registered voters of a county in which a notice of intent to apply for a license is published is filed within thirty (30) days of the date of the last publication with the circuit clerk of the applicable county, the board of supervisors of such county shall authorize the circuit clerk to hold an election on the proposition of allowing legal gaming in the form of electronic video coin machines to be conducted in the county. The circuit clerk shall certify to the board of supervisors the signatures and percentage of the petition not later than thirty (30) days after the last day for filing the petition with the circuit clerk. The referendum shall be held not less than thirty (30) days nor more than sixty (60) days after the certification by the circuit clerk to the board of supervisors of signatures and of the percentage; however, if the petition is certified within ninety (90) days of a general election, the referendum shall be held at the same time as the general election.

The referendum shall be advertised, held, conducted and the result thereof canvassed in the manner provided by law for advertising, holding and canvassing county elections.

(4) At such election, all qualified electors of such county may vote. The ballots used at such election shall have printed thereon a brief statement of the purpose of the election and the words "FOR LEGAL GAMING IN THE FORM OF ELECTRONIC VIDEO COIN MACHINES IN THE COUNTY AS PRESCRIBED BY LAW," and "AGAINST LEGAL GAMING IN THE FORM OF ELECTRONIC VIDEO COIN MACHINES IN THE COUNTY AS PRESCRIBED BY LAW." The voter shall vote by placing a cross (x) or check (/) mark opposite his choice on the proposition. If a majority of the qualified electors who vote in such election shall vote in favor of allowing legal gaming in the form of electronic video coin machines to be conducted then legal gaming in the form of electronic video coin machines may henceforth be conducted in the county. If less than a majority of the qualified electors who vote in such election shall vote in favor of allowing legal gaming in the form of electronic video coin machines to be conducted in the county, then gaming in the form of electronic video coin machines shall be prohibited in the county and no subsequent election on such issue shall be held for one (1) year.

(5) In any county in which no petition is timely filed after a notice of intent to apply for a gaming license is published, or in which an election is held on the proposition of allowing legal gaming in the form of electronic video coin machines to be conducted in the county and a majority of the qualified electors who vote in such election vote in favor of allowing legal gaming in the form of electronic video coin machines to be conducted in the county, no election shall thereafter be held in that county pursuant to this section on the proposition of allowing legal gaming in the form of electronic video coin machines to be conducted in that county.

SECTION 10. Section 97-33-1, Mississippi Code of 1972, is amended as follows:

97-33-1. If any person shall encourage, promote or play at any game, play or amusement, other than a fight or fighting match between dogs, for money or other valuable thing, or shall wager or bet, promote or encourage the wagering or betting of any money or other valuable things, upon any game, play, amusement, cockfight, Indian ball play, or duel, other than a fight or fighting match between dogs, or upon the result of any election, event or contingency whatever, upon conviction thereof, he shall be fined in a sum not more than Five Hundred Dollars ($500.00); and, unless such fine and costs be immediately paid, shall be imprisoned for any period not more than ninety (90) days. However, this section shall not apply to betting, gaming or wagering:

(a) On a cruise vessel as defined in Section 27-109-1 whenever such vessel is in the waters within the State of Mississippi, which lie adjacent to the State of Mississippi south of the three (3) most southern counties in the State of Mississippi, and in which the registered voters of the county in which the port is located have not voted to prohibit such betting, gaming or wagering on cruise vessels as provided in Section 19-3-79;

(b) On a vessel as defined in Section 27-109-1 whenever such vessel is on the Mississippi River or navigable waters within any county bordering on the Mississippi River, and in which the registered voters of the county in which the port is located have not voted to prohibit such betting, gaming or wagering on vessels as provided in Section 19-3-79; or

(c) That is legal under the laws of the State of Mississippi.

This section shall not apply to electronic video coin machines licensed pursuant to the provisions of House Bill

SECTION 11. Section 97-33-7, Mississippi Code of 1972, is amended as follows:

97-33-7. (1) It shall be unlawful for any person or persons, firm, copartnership, or corporation to have in possession, own, control, display, or operate any cane rack, knife rack, artful dodger, punch board, roll down, merchandise wheel, slot machine, pinball machine, or similar device or devices. Provided, however, that this section shall not be so construed as to make unlawful the ownership, possession, control, display or operation of any antique coin machine as defined in Section 27-27-12, or any music machine or bona fide automatic vending machine where the purchaser receives exactly the same quantity of merchandise on each operation of said machine. Any slot machine other than an antique coin machine as defined in Section 27-27-12 which delivers, or is so constructed as that by operation thereof it will deliver to the operator thereof anything of value in varying quantities, in addition to the merchandise received, and any slot machine other than an antique coin machine as defined in Section 27-27-12 that is constructed in such manner as that slugs, tokens, coins or similar devices are, or may be, used and delivered to the operator thereof in addition to merchandise of any sort contained in such machine, is hereby declared to be a gambling device, and shall be deemed unlawful under the provisions of this section. Provided, however, that pinball machines which do not return to the operator or player thereof anything but free additional games or plays shall not be deemed to be gambling devices, and neither this section nor any other law shall be construed to prohibit same.

(2) No property right shall exist in any person, natural or artificial, or be vested in such person, in any or all of the devices described herein that are not exempted from the provisions of this section; and all such devices are hereby declared to be at all times subject to confiscation and destruction, and their possession shall be unlawful, except when in the possession of officers carrying out the provisions of this section. It shall be the duty of all law-enforcing officers to seize and immediately destroy all such machines and devices.

(3) A first violation of the provisions of this section shall be deemed a misdemeanor, and the party offending shall, upon conviction, be fined in any sum not exceeding Five Hundred Dollars ($500.00), or imprisoned not exceeding three (3) months, or both, in the discretion of the court. In the event of a second conviction for a violation of any of the provisions of this section, the party offending shall be subject to a sentence of not less than six (6) months in the county jail, nor more than two (2) years in the State Penitentiary, in the discretion of the trial court.

(4) Notwithstanding any provision of this section to the contrary, it shall not be unlawful to operate any equipment or device described in subsection (1) of this section or any gaming, gambling or similar device or devices by whatever name called while:

(a) On a cruise vessel as defined in Section 27-109-1 whenever such vessel is in the waters within the State of Mississippi, which lie adjacent to the State of Mississippi south of the three (3) most southern counties in the State of Mississippi, and in which the registered voters of the county in which the port is located have not voted to prohibit such betting, gaming or wagering on cruise vessels as provided in Section 19-3-79;

(b) On a vessel as defined in Section 27-109-1 whenever such vessel is on the Mississippi River or navigable waters within any county bordering on the Mississippi River, and in which the registered voters of the county in which the port is located have not voted to prohibit such betting, gaming or wagering on vessels as provided in Section 19-3-79; or

(c) That is legal under the laws of the State of Mississippi.

(5) Notwithstanding any provision of this section to the contrary, it shall not be unlawful (a) to own, possess, repair or control any gambling device, machine or equipment on board any cruise vessel in this state of not less than one hundred fifty (150) feet in overall length or vessel in this state of not less than one hundred fifty (150) feet in overall length or on the business premises appurtenant to any such cruise vessel or vessel during any period of time in which such cruise vessel or vessel is being constructed, repaired, maintained or operated in this state; (b) to install any gambling device, machine or equipment on board any cruise vessel in this state of not less than one hundred fifty (150) feet in overall length or vessel in this state of not less than one hundred fifty (150) feet in overall length; (c) to possess or control any gambling device, machine or equipment during the process of procuring or transporting such device, machine or equipment for installation on any such cruise vessel or vessel; or (d) to store in a warehouse or other storage facility any gambling device, machine, equipment, or part thereof, regardless of whether the county or municipality in which the warehouse or storage facility is located has approved gaming aboard cruise vessels or vessels, provided that such device, machine or equipment is operated only in a county or municipality that has approved gaming aboard cruise vessels or vessels. Any gambling device, machine or equipment that is owned, possessed, controlled, installed, procured, repaired, transported or stored in accordance with this subsection shall not be subject to confiscation, seizure or destruction, and any person, firm, partnership or corporation which owns, possesses, controls, installs, procures, repairs, transports or stores any gambling device, machine or equipment in accordance with this subsection shall not be subject to any prosecution or penalty under this section. Any person constructing or repairing such cruise vessels or vessels within a municipality shall comply with all municipal ordinances protecting the general health or safety of the residents of the municipality.

(6) This section shall not apply to electronic video coin machines licensed pursuant to the provisions of House Bill

SECTION 12. Section 97-33-17, Mississippi Code of 1972, is amended as follows:

97-33-17. (1) All monies exhibited for the purpose of betting or alluring persons to bet at any game, and all monies staked or betted, shall be liable to seizure by any sheriff, constable, or police officer, together with all the appliances used or kept for use in gambling, or by any other person; and all the monies so seized shall be accounted for by the person making the seizure, and all appliances seized shall be destroyed; provided, however, this section shall not apply to betting, gaming or wagering on:

(a) A cruise vessel as defined in Section 27-109-1 whenever such vessel is in the waters within the State of Mississippi, which lie adjacent to the State of Mississippi south of the three (3) most southern counties in the State of Mississippi, and in which the registered voters of the county in which the port is located have not voted to prohibit such betting, gaming or wagering on cruise vessels as provided in Section 19-3-79;

(b) A vessel as defined in Section 27-109-1 whenever such vessel is on the Mississippi River or navigable waters within any county bordering on the Mississippi River, and in which the registered voters of the county in which the port is located have not voted to prohibit such betting, gaming or wagering on vessels as provided in Section 19-3-79; or

(c) That is legal under the laws of the State of Mississippi.

(2) Nothing in this section shall apply to any gambling device, machine or equipment that is owned, possessed, controlled, installed, procured, repaired or transported in accordance with subsection (4) of Section 97-33-7.

SECTION 13. Section 95-3-25, Mississippi Code of 1972, is amended as follows:

95-3-25. Any building, club, vessel, boat, place or room, wherein is kept or exhibited any game or gaming table, commonly called A.B.C. or E.O. roulette, or rowley-powley, or rouquetnoir, roredo, keno, monte, or any faro-bank, dice, or other game, gaming table, or bank of the same or like kind, or any other kind or description of gambling device under any other name whatever, and any such place where information is furnished for the purpose of making and settling bets or wagers on any horse race, prize fight, or on the outcome of any like event, or where bets or wagers are arranged for, made or settled, shall be deemed to be a common nuisance and may be abated by writ of injunction, issued out of a court of equity upon a bill filed in the name of the state by the Attorney General, or any district or county attorney, whose duty requires him to prosecute criminal cases on behalf of the state in the county where the nuisance is maintained, or by any citizen or citizens of such county, such bill to be filed in the county in which the nuisance exists. And all rules of evidence and of practice and procedure that pertain to courts of equity generally in this state may be invoked and applied in any injunction procedure hereunder. The provisions of this section shall not apply to any form of gaming or gambling that is legal under the laws of the State of Mississippi or to a cruise vessel or vessel as defined in Section 27-109-1 and shall not apply to any cruise vessel or vessel having on board any gambling device, machine or equipment that is owned, possessed, controlled, installed, procured, repaired or transported in accordance with subsection (4) of Section 97-33-7. This section shall not apply to electronic video coin machines licensed pursuant to the provisions of House Bill No. , 1998 Regular Session.

Upon the abatement of any such nuisance, any person found to be the owner, operator or exhibitor of any gambling device described in the first paragraph of this section may be required by the court to enter into a good and sufficient bond in such amount as may be deemed proper by the court, to be conditioned that the obligor therein will not violate any of the laws of Mississippi pertaining to gaming or gambling for a period of not to exceed two (2) years from the date thereof. The failure to make such bond shall be a contempt of court and for such contempt the person or party shall be confined in the county jail until such bond is made, but not longer than two (2) years. Said bond shall be approved by the clerk of the court where the proceedings were had and shall be filed as a part of the record of such case.

SECTION 14. Section 67-1-71, Mississippi Code of 1972, is amended as follows:

67-1-71. The commission may revoke or suspend any permit issued by it for a violation by the permittee of any of the provisions of this chapter or of the regulations promulgated under it by the commission.

Permits must be revoked or suspended for the following causes:

(a) Conviction of the permittee for the violation of any of the provisions of this chapter;

(b) Willful failure or refusal by any permittee to comply with any of the provisions of this chapter or of any rule or regulation adopted pursuant thereto;

(c) The making of any materially false statement in any application for a permit;

(d) Conviction of one or more of the clerks, agents or employees of the permittee, of any violation of this chapter upon the premises covered by such permit within a period of time as designated by the rules or regulations of the commission;

(e) The possession on the premises of any retail permittee of any alcoholic beverages upon which the tax has not been paid;

(f) The willful failure of any permittee to keep the records or make the reports required by this chapter, or to allow an inspection of such records by any duly authorized person;

(g) The suspension or revocation of a permit issued to the permittee by the federal government, or conviction of violating any federal law relating to alcoholic beverages;

(h) The failure to furnish any bond required by this chapter within fifteen (15) days after notice from the commission; and

(i) The conducting of any form of illegal gambling on the premises of any permittee or on any premises connected therewith or the presence on any such premises of any gambling device with the knowledge of the permittee.

The provisions of item (i) of this section shall not apply to gambling or the presence of any gambling devices, with knowledge of the permittee, on board a cruise vessel in the waters within the State of Mississippi, which lie adjacent to the State of Mississippi south of the three (3) most southern counties in the State of Mississippi, or on any vessel as defined in Section 27-109-1 whenever such vessel is on the Mississippi River or navigable waters within any county bordering on the Mississippi River. The commission may, in its discretion, issue on-premises retailer's permits to a common carrier of the nature described in this paragraph. The provisions of item (i) of this section shall not apply to electronic video coin machines licensed pursuant to the provisions of House Bill No. , 1998 Regular Session.

No permit shall be revoked except after a hearing by the commission with reasonable notice to the permittee and an opportunity for him to appear and defend.

In addition to the causes specified in this section and other provisions of this chapter, the commission shall be authorized to suspend the permit of any permit holder for being out of compliance with an order for support, as defined in Section 93-11-153. The procedure for suspension of a permit for being out of compliance with an order for support, and the procedure for the reissuance or reinstatement of a permit suspended for that purpose, and the payment of any fees for the reissuance or reinstatement of a permit suspended for that purpose, shall be governed by Section 93-11-157 or 93-11-163, as the case may be. If there is any conflict between any provision of Section 93-11-157 or 93-11-163 and any provision of this chapter, the provisions of Section 93-11-157 or 93-11-163, as the case may be, shall control.

SECTION 15. Section 87-1-5, Mississippi Code of 1972, is amended as follows:

87-1-5. If any person, by playing at any game whatever, or by betting on the sides or hands of such as do play at any game, or by betting on any horse race or cockfight, or at any other sport or pastime, or by any wager whatever, shall lose any money, property, or other valuable thing, real or personal, and shall pay or deliver the same or any part thereof, the person so losing and paying or delivering the same, or his wife or children, may sue for and recover such money, property, or other valuable thing so lost and paid or delivered, or any part thereof, from the person knowingly receiving the same, with costs. However, this section shall not apply to betting, gaming or wagering:

(a) On a cruise vessel as defined in Section 27-109-1 whenever such vessel is in the waters within the State of Mississippi, which lie adjacent to the State of Mississippi south of the three (3) most southern counties in the State of Mississippi;

(b) On a vessel as defined in Section 27-109-1 whenever such vessel is on the Mississippi River or navigable waters within any county bordering on the Mississippi River; or

(c) That is legal under the laws of the State of Mississippi.

This section shall not apply to electronic video coin machines licensed pursuant to the provisions of House Bill

SECTION 16. Section 21-19-19, Mississippi Code of 1972, is amended as follows:

21-19-19. Except as otherwise provided in this section, the governing authorities of municipalities shall have the power to restrain, prohibit and suppress blind-tigers, bucket-shops, slaughterhouses, houses of prostitution, disreputable houses, games and gambling houses and rooms, dance houses and rooms, keno rooms, and all kinds of indecency and other disorderly practices, and disturbance of the peace, and to provide for the punishment of the persons engaged therein.

This section shall not apply to electronic video coin machines licensed pursuant to the provisions of House Bill

SECTION 17. Section 75-76-5, Mississippi Code of 1972, is amended as follows:

75-76-5. As used in Sections 75-76-1 through 75-76-313, unless the context requires otherwise:

(a) "Applicant" means any person who has applied for or is about to apply for a state gaming license, registration or finding of suitability under the provisions of this chapter or approval of any act or transaction for which approval is required or permitted under the provisions of this chapter.

(b) "Application" means a request for the issuance of a state gaming license, registration or finding of suitability under the provisions of this chapter or for approval of any act or transaction for which approval is required or permitted under the provisions of this chapter but does not include any supplemental forms or information that may be required with the application.

(c) "Associated equipment" means any equipment or mechanical, electromechanical or electronic contrivance, component or machine used remotely or directly in connection with gaming or with any game, race book or sports pool that would not otherwise be classified as a gaming device, including dice, playing cards, links which connect to progressive slot machines, equipment which affects the proper reporting of gross revenue, computerized systems of betting at a race book or sports pool, computerized systems for monitoring slot machines, and devices for weighing or counting money.

(d) "Chairman," through September 30, 1993, means the Chairman of the State Tax Commission, and thereafter means the Chairman of the Mississippi Gaming Commission.

(e) "Commission" or "Mississippi Gaming Commission," through September 30, 1993, means the State Tax Commission, and thereafter means the Mississippi Gaming Commission.

(f) "Commission member," through September 30, 1993, means a member of the State Tax Commission, and thereafter means a member of the Mississippi Gaming Commission.

(g) "Credit instrument" means a writing which evidences a gaming debt owed to a person who holds a license at the time the debt is created, and includes any writing taken in consolidation, redemption or payment of a prior credit instrument.

(h) "Enforcement division" means a particular division supervised by the executive director that provides enforcement functions.

(i) "Establishment" means any premises wherein or whereon any gaming is done.

(j) "Executive director," through September 30, 1993, means the director appointed by the State Tax Commission pursuant to Section 75-76-15(1), and thereafter means the Executive Director of the Mississippi Gaming Commission.

(k) Except as otherwise provided by law, "game," or "gambling game" means any banking or percentage game played with cards, with dice or with any mechanical, electromechanical or electronic device or machine for money, property, checks, credit or any representative of value, including, without limiting the generality of the foregoing, faro, monte, roulette, keno, fan-tan, twenty-one, blackjack, seven-and-a-half, big injun, klondike, craps, poker, chuck-a-luck (dai shu), wheel of fortune, chemin de fer, baccarat, pai gow, beat the banker, panguingui, slot machine, or any other game or device approved by the commission. However, "game" or "gambling game" shall not include bingo games or raffles which are held pursuant to the provisions of Section 97-33-51.

The commission shall not be required to recognize any game hereunder with respect to which the commission determines it does not have sufficient experience or expertise.

(l) "Gaming" or "gambling" means to deal, operate, carry on, conduct, maintain or expose for play any game as defined in this chapter.

(m) "Gaming device" means any mechanical, electromechanical or electronic contrivance, component or machine used in connection with gaming or any game which affects the result of a wager by determining win or loss. The term includes a system for processing information which can alter the normal criteria of random selection, which affects the operation of any game, or which determines the outcome of a game. The term does not include a system or device which affects a game solely by stopping its operation so that the outcome remains undetermined, and does not include any antique coin machine as defined in Section 27-27-12.

(n) "Gaming employee" means any person connected directly with the operation of a gaming establishment licensed to conduct any game, including:

(i) Boxmen;

(ii) Cashiers;

(iii) Change personnel;

(iv) Counting room personnel;

(v) Dealers;

(vi) Floormen;

(vii) Hosts or other persons empowered to extend credit or complimentary services;

(viii) Keno runners;

(ix) Keno writers;

(x) Machine mechanics;

(xi) Security personnel;

(xii) Shift or pit bosses;

(xiii) Shills;

(xiv) Supervisors or managers; and

(xv) Ticket writers.

The term "gaming employee" also includes employees of manufacturers or distributors of gaming equipment within this state whose duties are directly involved with the manufacture, repair or distribution of gaming equipment.

"Gaming employee" does not include bartenders, cocktail waitresses or other persons engaged in preparing or serving food or beverages unless acting in some other capacity.

(o) "Gaming license" means any license issued by the state which authorizes the person named therein to engage in gaming.

(p) "Gross revenue" means the total of all of the following, less the total of all cash paid out as losses to patrons and those amounts paid to purchase annuities to fund losses paid to patrons over several years by independent financial institutions:

(i) Cash received as winnings;

(ii) Cash received in payment for credit extended by a licensee to a patron for purposes of gaming; and

(iii) Compensation received for conducting any game in which the licensee is not party to a wager.

For the purposes of this definition, cash or the value of noncash prizes awarded to patrons in a contest or tournament are not losses.

The term does not include:

(i) Counterfeit money or tokens;

(ii) Coins of other countries which are received in gaming devices;

(iii) Cash taken in fraudulent acts perpetrated against a licensee for which the licensee is not reimbursed; or

(iv) Cash received as entry fees for contests or tournaments in which the patrons compete for prizes.

(q) "Hearing examiner" means a member of the Mississippi Gaming Commission or other person authorized by the commission to conduct hearings.

(r) "Investigation division" means a particular division supervised by the executive director that provides investigative functions.

(s) "License" means a gaming license or a manufacturer's, seller's or distributor's license.

(t) "Licensee" means any person to whom a valid license has been issued.

(u) "License fees" means monies required by law to be paid to obtain or continue a gaming license or a manufacturer's, seller's or distributor's license.

(v) "Licensed gaming establishment" means any premises licensed pursuant to the provisions of this chapter wherein or whereon gaming is done.

(w) "Manufacturer's," "seller's" or "distributor's" license means a license issued pursuant to Section 75-76-79.

(x) "Navigable waters" shall have the meaning ascribed to such term under Section 27-109-1.

(y) "Operation" means the conduct of gaming.

(z) "Party" means the Mississippi Gaming Commission and any licensee or other person appearing of record in any proceeding before the commission; or the Mississippi Gaming Commission and any licensee or other person appearing of record in any proceeding for judicial review of any action, decision or order of the commission.

(aa) "Person" includes any association, corporation, firm, partnership, trust or other form of business association as well as a natural person.

(bb) "Premises" means land, together with all buildings, improvements and personal property located thereon, and includes all parts of any vessel or cruise vessel.

(cc) "Race book" means the business of accepting wagers upon the outcome of any event held at a track which uses the pari-mutuel system of wagering.

(dd) "Regulation" means a rule, standard, directive or statement of general applicability which effectuates law or policy or which describes the procedure or requirements for practicing before the commission. The term includes a proposed regulation and the amendment or repeal of a prior regulation but does not include:

(i) A statement concerning only the internal management of the commission and not affecting the rights or procedures available to any licensee or other person;

(ii) A declaratory ruling;

(iii) An interagency memorandum;

(iv) The commission's decision in a contested case or relating to an application for a license; or

(v) Any notice concerning the fees to be charged which are necessary for the administration of this chapter.

(ee) "Respondent" means any licensee or other person against whom a complaint has been filed with the commission.

(ff) "Slot machine" means any mechanical, electrical or other device, contrivance or machine which, upon insertion of a coin, token or similar object, or upon payment of any consideration, is available to play or operate, the play or operation of which, whether by reason of the skill of the operator or application of the element of chance, or both, may deliver or entitle the person playing or operating the machine to receive cash, premiums, merchandise, tokens or anything of value, whether the payoff is made automatically from the machine or in any other manner. The term does not include any antique coin machine as defined in Section 27-27-12.

(gg) "Sports pool" means the business of accepting wagers on sporting events, except for athletic events, by any system or method of wagering other than the system known as the "pari-mutuel method of wagering."

(hh) "Temporary work permit" means a work permit which is valid only for a period not to exceed ninety (90) days from its date of issue and which is not renewable.

(ii) "Vessel" or "cruise vessel" shall have the meanings ascribed to such terms under Section 27-109-1.

(jj) "Work permit" means any card, certificate or permit issued by the commission, whether denominated as a work permit, registration card or otherwise, authorizing the employment of the holder as a gaming employee. A document issued by any governmental authority for any employment other than gaming is not a valid work permit for the purposes of this chapter.

(kk) "School or training institution" means any school or training institution which is licensed by the commission to teach or train gaming employees pursuant to Section 75-76-34.

(ll) "Cheat" means to alter the selection of criteria that determine:

(i) The rules of a game; or

(ii) The amount or frequency of payment in a game.

SECTION 18. The Attorney General of the State of Mississippi shall submit this act, immediately upon approval by the Governor, or upon approval by the Legislature subsequent to a veto, to the Attorney General of the United States or to the United States District Court for the District of Columbia in accordance with the provisions of the Voting Rights Act of 1965, as amended and extended.

SECTION 19. This act shall take effect and be in force from and after the date it is effectuated under Section 5 of the Voting Rights Act of 1965, as amended and extended.