House Bill 858

AN ACT TO AMEND SECTIONS 75-76-129 AND 75-76-177, MISSISSIPPI CODE OF 1972, TO IMPOSE AN ADDITIONAL LICENSE FEE ON THE GROSS REVENUE OF GAMING LICENSEES; TO PROVIDE THAT THE REVENUE COLLECTED FROM THE ADDITIONAL FEE SHALL BE DEPOSITED INTO THE MISSISSIPPI PROBLEM GAMBLING PREVENTION AND TREATMENT FUND; TO REQUIRE THE DEPARTMENT OF MENTAL HEALTH TO DEVELOP AND IMPLEMENT A PROBLEM GAMBLING PREVENTION AND TREATMENT PROGRAM TO HELP PERSONS AVOID DEVELOPING GAMBLING PROBLEMS AND TO ASSIST PERSONS WHO ARE IN NEED OF SERVICES AS A RESULT OF GAMBLING HAVING AN ADVERSE EFFECT ON THEIR LIVES; TO CREATE THE MISSISSIPPI PROBLEM GAMBLING PREVENTION AND TREATMENT FUND; TO PROVIDE THAT MONIES IN SUCH FUND SHALL BE USED BY THE DEPARTMENT OF MENTAL HEALTH IN THE DEVELOPMENT, IMPLEMENTATION AND ADMINISTRATION OF THE PROBLEM GAMBLING PREVENTION AND TREATMENT PROGRAM; AND FOR RELATED PURPOSES.

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

SECTION 1. Section 75-76-129, Mississippi Code of 1972, is amended as follows:

[Through June 30, 2022, this section shall read as follows:]

75-76-129. On or before the last day of each month all taxes, fees, interest, penalties, damages, fines or other monies collected by the State Tax Commission during that month under the provisions of this chapter, with the exception of (a) the local government fees imposed under Section 75-76-195, * * * (b) an amount equal to Three Million Dollars ($3,000,000.00) of the revenue collected pursuant to the fee imposed under Section 75-76-177(1)(c), or an amount equal to twenty-five percent (25%) of the revenue collected pursuant to the fee imposed under Section 75-76-177(1)(c), whichever is the greater amount, and (c) the revenue collected pursuant to the fee imposed under Section 75-76-177(2) shall be paid by the State Tax Commission to the State Treasurer to be deposited in the State General Fund. The local government fees shall be distributed by the State Tax Commission pursuant to Section 75-76-197. An amount equal to Three Million Dollars ($3,000,000.00) of the revenue collected during that month pursuant to the fee imposed under Section 75-76-177(1)(c) shall be deposited by the State Tax Commission into the bond sinking fund created in Section 65-39-3. The revenue collected during that month pursuant to the fee imposed under Section 75-76-177(1)(c) that is in excess of Three Million Dollars ($3,000,000.00), but is less than twenty-five percent (25%) of the amount of revenue collected during that month, shall be deposited into the State Highway Fund to be used exclusively for the reconstruction and maintenance of highways of the State of Mississippi. The revenue collected during that month pursuant to the fee imposed under Section 75-76-177(2) shall be deposited by the State Tax Commission into the Mississippi Problem Gambling Prevention and Treatment Fund and created in Section 3 of House Bill No. ____, 2003 Regular Session.

[From and after July 1, 2022, this section shall read as follows:]

75-76-129. On or before the last day of each month, all taxes, fees, interest, penalties, damages, fines or other monies collected by the State Tax Commission during that month under the provisions of this chapter, with the exception of (a) the local government fees imposed under Section 75-76-195, and (b) the revenue collected pursuant to the fee imposed under Section 75-76-177(2), shall be paid by the State Tax Commission to the State Treasurer to be deposited in the State General Fund. The local government fees shall be distributed by the State Tax Commission pursuant to Section 75-76-197. The revenue collected during that month pursuant to the fee imposed under Section 75-76-177(2) shall be deposited by the State Tax Commission into the Mississippi Problem Gambling Prevention and Treatment Fund and created in Section 3 of House Bill No. ____, 2003 Regular Session.

SECTION 2. Section 75-76-177, Mississippi Code of 1972, is amended as follows:

75-76-177. (1) From and after August 1, 1990, there is hereby imposed and levied on each gaming licensee a license fee based upon all the gross revenue of the licensee as follows:

(a) Four percent (4%) of all the gross revenue of the licensee which does not exceed Fifty Thousand Dollars ($50,000.00) per calendar month;

(b) Six percent (6%) of all the gross revenue of the licensee which exceeds Fifty Thousand Dollars ($50,000.00) per calendar month and does not exceed One Hundred Thirty-four Thousand Dollars ($134,000.00) per calendar month; and

(c) Eight percent (8%) of all the gross revenue of the licensee which exceeds One Hundred Thirty-four Thousand Dollars ($134,000.00) per calendar month.

(2) There is imposed and levied on each gaming licensee an additional license fee as follows:

(a) From and after July 1, 2003, through June 30, 2004, a license fee of one-twelfth of one percent (1/12 of 1%) of all the gross revenue of the licensee per calendar month.

(b) From and after July 1, 2004, a license fee of one-thirty-fifth of one percent (1/35 of 1%) of all the gross revenue of the licensee per calendar month.

The license fee imposed and levied under this subsection (2) shall be in addition to the license fee imposed and levied under subsection (1) of this section.

(3) All revenue received from any game or gaming device which is leased for operation on the premises of the licensee-owner to a person other than the owner thereof or which is located in an area or space on such premises which is leased by the licensee-owner to any such person, must be attributed to the owner for the purposes of this section and be counted as part of the gross revenue of the owner. The lessee is liable to the owner for his proportionate share of such license fees.

(4) If the amount of license fees required to be reported and paid pursuant to this section is later determined to be greater or less than the amount actually reported and paid by the licensee, the Chairman of the State Tax Commission shall:

(a) Assess and collect the additional license fees determined to be due, with interest thereon until paid; or

(b) Refund any overpayment, with interest thereon, to the licensee.

Interest must be computed, until paid, at the rate of one percent (1%) per month from the first day of the first month following either the due date of the additional license fees or the date of overpayment.

(5) Failure to pay the fees provided for in this section when they are due for continuation of a license shall be deemed a surrender of the license.

SECTION 3. (1) (a) The Department of Mental Health shall develop and implement a problem gambling prevention and treatment program to help persons avoid developing gambling problems and to assist persons who are in need of services as a result of gambling having an adverse effect on their lives.

(b) The Department of Mental Health shall promulgate rules and regulations necessary for the development, implementation and administration of the problem gambling prevention and treatment program.

(2) There is created in the State Treasury a special fund to be known as the "Mississippi Problem Gambling Prevention and Treatment Fund." The fund shall consist of monies deposited therein as provided under Section 75-76-129, and any other funds made available by the Legislature. Monies in the fund shall be expended by the Department of Mental Health, upon appropriation by the Legislature, for the development, implementation and administration of the problem gambling prevention and treatment program. Unexpended amounts remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund, and any interest earned or investment earnings on amounts in the fund shall be deposited to the credit of the fund.

SECTION 4. This act shall take effect and be in force from and after July 1, 2003.