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The Committee on Regulated Industries (Haridopolos) recommended

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the following amendment:

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     Senate Amendment

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     Delete line(s) 6208-6359

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and insert:

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be exchanged for merchandise limited to noncash prizes, including

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gift cards and gift certificates, toys, novelties, and Florida

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lottery products only, excluding cash and packaged alcoholic

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beverages, provided the cost value of the merchandise or prize

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awarded in exchange for such points or coupons does not exceed 75

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cents on any game played.

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     2. Nothing contained in this chapter shall be taken or

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construed as applicable to any retail dealer who operates as a

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truck stop, as defined in chapter 336 and which operates a

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minimum of 6 functional diesel fuel pumps, having amusement games

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or machines which operate by means of the insertion of a coin or

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other currency and which by application of skill may entitle the

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person playing or operating the game or machine to receive points

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or coupons which may be exchanged for merchandise limited to

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noncash prizes, toys, novelties, and Florida Lottery products,

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excluding alcoholic beverages, provided the cost value of the

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merchandise or prize awarded in exchange for such points or

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coupons does not exceed 75 cents on any game played. This

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paragraph subparagraph applies only to games and machines that

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which are operated for the entertainment of the general public

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and tourists as bona fide amusement games or machines. This

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subsection does shall not apply, however, to any game or device

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defined as a gambling device in 24 U.S.C. s. 1171, which requires

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identification of each device by permanently affixing seriatim

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numbering and name, trade name, and date of manufacture under s.

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1173, and registration with the United States Attorney General,

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unless excluded from applicability of the chapter under s. 1178.

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This subsection does shall not be construed to authorize video

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poker games or any other game or machine that may be construed as

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a gambling device under Florida law.

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     (b)  Nothing in this subsection shall be taken or construed

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as applicable to a coin-operated game or device designed and

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manufactured only for bona fide amusement purposes which game or

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device may by application of skill entitle the player to replay

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the game or device at no additional cost, if the game or device:

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can accumulate and react to no more than 15 free replays; can be

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discharged of accumulated free replays only by reactivating the

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game or device for one additional play for such accumulated free

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replay; can make no permanent record, directly or indirectly, of

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free replays; and is not classified by the United States as a

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gambling device in 24 U.S.C. s. 1171, which requires

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identification of each device by permanently affixing seriatim

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numbering and name, trade name, and date of manufacture under s.

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1173, and registration with the United States Attorney General,

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unless excluded from applicability of the chapter under s. 1178.

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This subsection does shall not be construed to authorize video

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poker games, or any other game or machine that may be construed

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as a gambling device under Florida law.

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     (2) As used in this section, the term:

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(a) "Arcade amusement center" as used in this section means

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a place of business licensed by the department having at least 50

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coin-operated amusement games or machines on premises which are

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operated for the entertainment of the general public and tourists

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as a bona fide amusement facility.

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     (b) "Application of skill" means that the playing public

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may attain, through the exercise of skill or judgment, a better

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measure of success in playing the game than could be

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mathematically expected on the basis of random chance alone.

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     (c) "Department" means the Department of Gaming Control.

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     (d) "Skill-based machine" means a machine that meets the

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definition of "application of skill," as defined in paragraph

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(b).

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     (3) The department shall adopt, pursuant to ss. 120.536(1)

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and 120.54, all rules necessary to implement, administer, and

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regulate skill-based gaming as authorized in this section. Such

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rules must include:

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     (a) Technical requirements, qualifications, and procedures

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necessary to receive a skill-based gaming license.

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     (b) Procedures to scientifically test and technically

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evaluate skill-based machines for compliance with this chapter.

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The division may contract with an independent testing laboratory

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to conduct any necessary testing under this section. The

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independent testing laboratory must have a national reputation

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for testing skill-based machines, and be demonstrably competent

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and qualified to scientifically test and evaluate slot machines

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for compliance with this chapter and to otherwise perform the

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functions assigned to it in this chapter. A licensee may not own

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or control an independent testing laboratory. The use of an

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independent testing laboratory for any purpose related to the

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conduct of skill-based gaming by a licensee under this section

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shall be made from a list of one or more laboratories approved by

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the division.

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     (c) Procedures relating to machine revenues, including

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verifying and accounting for such revenues, auditing, and

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collecting taxes and fees consistent with this section.

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     (d) Procedures for regulating, managing, and auditing the

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operation, financial data, and program information relating to

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skill-based machine gaming which allow the department to audit

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the operation, financial data, and program information of a slot

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machine licensee, as required by the department, and provide the

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department with the ability to monitor, at any time on a real-

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time basis, wagering patterns, payouts, tax collection, and

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compliance with any rules adopted by the department for the

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regulation and control of machines operated under this section.

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     (e) Procedures for requiring licensees to maintain

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specified records and submit any data, information, record, or

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report, including financial and income records, required by this

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chapter or determined by the division to be necessary to the

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proper implementation and enforcement of this chapter.

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     (f) Minimum standards for security of the facilities.

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     (4) The department shall conduct such investigations as are

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necessary to fulfill its responsibilities under the provisions of

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this section.

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     (5) The department and local law enforcement agencies shall

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have concurrent jurisdiction to investigate criminal violations

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of this chapter and may investigate any other criminal violation

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of law occurring at the facilities of a licensee, and such

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investigations may be conducted in conjunction with the

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appropriate state attorney.

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     (6)(a) The department and local law enforcement agencies

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shall have unrestricted access to a licensee's facility at all

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times and shall require of each licensee strict compliance with

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the laws of this state relating to the transaction of such

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business. The department and local law enforcement agencies may:

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     1. Inspect and examine premises where skill-based machines

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are offered for play.

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     2. Inspect skill-based machines and related equipment and

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supplies.

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     (b) In addition, the department may:

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     1. Collect taxes, assessments, fees, and penalties.

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     2. Deny, revoke, suspend, or place conditions on the

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license of a person who violates any provision of this chapter or

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rule adopted pursuant thereto.

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     3. Revoke or suspend the license of any person who is no

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longer qualified or who is found, after receiving a license, to

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have been unqualified at the time of application for the license.

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     (7) This section does not:

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     (a) Prohibit the department or any law enforcement

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authority from conducting investigations of criminal activities

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occurring at the facility of a licensee;

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     (b) Restrict access to the licensee's facility by the

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department or any law enforcement authority; or

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     (c) Restrict access by the department or law enforcement

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authorities to information and records necessary to the

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investigation of criminal activity which are contained within the

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licensee's facility.

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     (8)(a) Upon submission of the initial application for a

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skill-based machine operator and annually thereafter, on the

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anniversary date of the issuance of the initial license, the

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operator shall pay to the Division of Licensing and Enforcement a

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nonrefundable license fee to be determined by the division for

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the following 12 months of licensure. The license fee shall be

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deposited into the Pari-mutuel Wagering Trust Fund of the

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department to be used for investigations, regulation of the

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machines, and enforcement of the provisions under this chapter.

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These payments shall be accounted for separately from taxes or

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fees paid pursuant to chapter 550.

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     (b) Before January 1, 2009, the Division of Licensing and

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Enforcement shall evaluate the license fee and shall make

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recommendations to the President of the Senate and the Speaker of

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the House of Representatives regarding the optimum level of

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operator license fees in order to adequately support the

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regulatory program.

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     (9)(a) The tax rate on skill-based machine revenues at each

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facility shall be 4 percent.

3/24/2008  11:11:00 AM     26-05523-08