Alabama Conservatives Look to Block Gambling Activity
Gambling911.com has obtained this preemptory bill by Senator Erwin of Alabama which looks to prevent any future expansion of gambling within the state.
"I expect we'll see more preemptory bills like this from social conservative looking to block gaming expansion during the recession," said one industry expert we contacted this afternoon. He wished to remain anonymous.
"None of this would likely survive a court challenge or referendum anyway," the individual added.
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SB470
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107496-1
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By Senator Erwin (Constitutional Amendment)
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RFD: Tourism and Marketing
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First Read: 05-MAR-09
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107496-1:n:02/12/2009:MF/mfp LRS2009-1045
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SYNOPSIS: This bill proposes an amendment to Section
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65 of the Constitution of Alabama of 1901, now
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appearing as Section 65 of the Official
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Recompilation of the Constitution of Alabama of
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1901, as amended.
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This proposed amendment would specify that
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the Legislature would have no power to authorize
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any gambling activity including lotteries, gift
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enterprises, or other games of chance and would
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specify such activity is illegal. The proposed
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amendment would specify that the Legislature shall
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pass laws to further prohibit such gambling
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activity.
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The proposed amendment would provide what is
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deemed a game of chance.
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The proposed amendment would specify what
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entities may operate bingo games currently
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authorized by constitutional amendment.
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This proposed amendment would specify when
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it would be illegal to operate a sweepstakes and
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would specify applicable penalties.
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This proposed amendment would specify that
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no constitutional amendment currently in effect or
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subsequently ratified could authorize an electronic
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device to engage in bingo or any other gambling
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activity. The proposed amendment would preserve
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specified provisions to the extent such provisions
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allow pari-mutuel wagering or nonelectronic forms
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of gambling.
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This proposed amendment would provide that
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any proposed constitutional amendment authorizing
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any gambling activity would be subject to a
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statewide vote.
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A BILL
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TO BE ENTITLED
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AN ACT
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Proposing an amendment to Section 65 of the
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Constitution of Alabama of 1901, now appearing as Section 65
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of the Official Recompilation of the Constitution of Alabama
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of 1901, as amended; to further regulate and prohibit certain
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gambling activities; to provide for the application of certain
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constitutional amendments and laws; and to provide that any
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proposed constitutional amendment authorizing any gambling
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activity shall be subject to a statewide vote.
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BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
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Section 1. The following amendment to the
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Constitution of Alabama of 1901, as amended, is proposed and
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shall become valid as a part thereof when approved by a
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majority of the qualified electors voting thereon and in
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accordance with Sections 284, 285, and 287 of the Constitution
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of Alabama of 1901, as amended:
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PROPOSED AMENDMENT
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Section 65 of the Constitution of Alabama of 1901,
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now appearing as Section 65 of the Official Recompilation of
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the Constitution of Alabama of 1901, as amended, is amended to
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read as follows:
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"Section 65.
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"Part I. The legislature shall have no power to
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authorize any gambling activity, including, but not limited
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to, lotteries, or gift enterprises, or any other games of
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chance, including, but not limited to, pari-mutuel wagering
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for any purposes, and such activity shall be illegal. The
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legislature shall pass laws to further prohibit any gambling
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activity, including, but not limited to, the sale in this
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state of lottery or gift enterprise tickets, or tickets in any
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scheme in the nature of a lottery or of any other game of
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chance; and all acts, or parts of acts heretofore passed by
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the legislature of this state, authorizing a lottery or
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lotteries, and all acts amendatory thereof, or supplemental
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thereto, are hereby avoided void.
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"Part II. An act or activity shall be deemed a game
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of chance under this section if each of the following apply:
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"(a) It is played or engaged in for consideration or
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by staking or risking money or some other thing of value.
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"(b) It is played or engaged in for the purpose of
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obtaining money or other thing of value or results in the
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distribution of money or other thing of value.
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"(c) The outcome, measured by a single play or over
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multiple plays, is determined in material degree by chance,
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notwithstanding that the outcome is also determined in equal
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or greater degree by other factors.
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"Such games of chance do not include bona fide
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business transactions valid under the law of contracts,
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including, but not limited to, contracts for the purchase or
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sale at a future date of securities or commodities, and
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agreements to compensate for loss caused by the happening of
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chance, including, but not limited to, contracts of indemnity
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or guaranty and life, health, and accident insurance.
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"Part III. Bingo games currently authorized by
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constitutional amendment shall be operated only by a
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religious, charitable, educational, fraternal, or benevolent
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nonprofit organization which qualifies as an exempt
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organization under Section 501(c) of the Internal Revenue
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Code, or corresponding or future provision thereof, and all
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proceeds from any bingo game shall be used exclusively for the
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religious, charitable, educational, fraternal, or benevolent
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nonprofit organization.
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"Part IV. (a) It shall be illegal to operate or
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sponsor a sweepstakes if any of the following occurs:
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"(1) The person or entity that operates or sponsors
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the sweepstakes is primarily engaged in the business of
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gambling, operating a sweepstakes, operating coin-operated
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amusement machines, or pari-mutuel wagering.
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"(2) The payout of all sweepstakes sponsored by an
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entity over the course of one year exceeds one percent of the
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gross receipts of that sponsoring entity during that same
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year.
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"(3) The payout of all sweepstakes sponsored by an
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entity over the course of one year exceeds one percent of the
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total annual expenses of that sponsoring entity as reported on
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its federal tax returns during that same year.
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"(b) The gambling offenses listed in the criminal
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code, as amended, shall apply to an illegal sweepstakes.
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"Part V. No constitutional amendment currently in
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effect or subsequently ratified shall authorize any person or
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entity to use an electronic device to engage in bingo or any
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other gambling activity. Nothing in this section shall be
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construed as repealing the following to the extent they allow
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pari-mutuel wagering: Section 11-65-1 et seq.; Act 83-575; Act
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86-545, as amended; and Act 376 of 1975. Nothing in this
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section shall be construed as repealing the following to the
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extent they allow nonelectronic versions of gambling:
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Amendments 386, 387, 413, 440, 506, 508, 542, 549, 550, 565,
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569, 599, 600, 612, 674, 692, 732, 743, 744 of this
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constitution.
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"Part VI. Notwithstanding any other provision of
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this constitution or law, any proposed constitutional
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amendment authorizing any gambling activity shall be subject
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to a statewide vote. This part shall not be construed as
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repealing any local constitutional amendment or part thereof
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currently in effect."
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Section 2. An election upon the proposed amendment
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shall be held in accordance with Sections 284 and 285 of the
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Constitution of Alabama of 1901, now appearing as Sections 284
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and 285 of the Official Recompilation of the Constitution of
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Alabama of 1901, as amended, and the election laws of this
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state.
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Section 3. The appropriate election official shall
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assign a ballot number for the proposed constitutional
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amendment on the election ballot and shall set forth the
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following description of the substance or subject matter of
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the proposed constitutional amendment:
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"Proposing an amendment to the Constitution of
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Alabama of 1901, to regulate and prohibit certain gambling
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activities, including games of chance, bingo, and sweepstakes;
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to provide for the application of certain constitutional
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amendments and other laws; and to provide that any proposed
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constitutional amendment authorizing any gambling activity
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shall be subject to a statewide vote.
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"Proposed by Act ________."
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This description shall be followed by the following
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language:
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"Yes ( ) No ( )."
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This description shall be followed by the following
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language:
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"Yes ( ) No ( )."