senate Bill S7506

Signed By Governor
2011-2012 Legislative Session

Relates to restrictions upon the conduct of games of chance

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Archive: Last Bill Status - Signed by Governor


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed by Governor

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Sep 07, 2012 signed chap.455
Aug 27, 2012 delivered to governor
Jun 21, 2012 returned to senate
passed assembly
ordered to third reading rules cal.584
substituted for a10411
Jun 12, 2012 referred to racing and wagering
delivered to assembly
passed senate
ordered to third reading cal.1199
committee discharged and committed to rules
May 30, 2012 referred to racing, gaming and wagering

Votes

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Co-Sponsors

S7506 - Bill Details

See Assembly Version of this Bill:
A10411
Law Section:
General Municipal Law
Laws Affected:
Amd ยง189, Gen Muni L

S7506 - Bill Texts

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Relates to restrictions upon the conduct of games of chance.

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BILL NUMBER:S7506

TITLE OF BILL:
An act to amend the general municipal law, in relation to restrictions
upon games of chance

PURPOSE OF THE BILL:
Technical amendments to permit authorized organizations that operate
without profit to its members to increase their revenues by increasing
the total aggregate value of prizes awarded by raffle that such author-
ized organizations may award.

SUMMARY OF SPECIFIC PROVISIONS:
These technical amendments would permit authorized organizations to
increase their revenues by increasing the total aggregate value of
prizes awarded by raffle, under the current statutory limits to two
million dollars.

JUSTIFICATION:
The Buffalo Sabres Foundation (an authorized organization) currently
conducts 50/50 split club raffles at each Buffalo Sabres home game. The
proceeds from each raffle help offset the cost of operating the Buffalo
Junior Sabres, a scholarship program for Western New York area high
school students as well as donations to entities such as Roswell Park
Cancer Research Institute and St. Mary's Hospital.

Started in 2007, the raffles have generated hundreds of thousands of
dollars for the Foundation, as well as hundreds of thousands of dollars
in winning prize money. The success of these raffles has generated
interest from other New York based sports franchises, such as the New
York Islanders and Buffalo Bills who are interested in running similar
raffles. The Foundation's raffles continue to grow in popularity and as
such they are currently exceeding the aggregate statutory limits
currently set forth.

In 2010 this section of the General Municipal Law was amended increasing
the aggregate value from $100,000 to $500,000. Within as little as two
years the Foundation has once again pushed up against the statutory
limits on aggregate prize awards. Additionally, the Racing and Wagering
Board has recently approved the use of automated devices for selling
raffle tickets. This will permit the Foundation to sell more tickets
over a longer period of time at each game. Estimates are that overall
sales will likely increase by 20%. Given these numbers it is clear that
the Sabres Foundation and other potential charitable organizations in
New York State need the $500,000 prize threshold to be increased to two
million dollars.

Throughout the course of the NHL hockey season the Sabres Foundation has
opportunities (New Year's Eve, Playoff Games, Special Anniversary dates,
etc.) to offer guaranteed minimum raffle prizes. On more than one occa-
sion the raffle prize has pushed up against the $50,000 limit that

currently exists. To take advantage of those opportunities the $50,000
limit on a single prize should be increased to $100,000.

PRIOR LEGISLATIVE HISTORY:
New bill.

FISCAL IMPLICATIONS:
An increase in aggregate prize money awarded will result in additional
revenues to the New York State Racing and Wagering Board, as well as
additional taxable revenue from the prize winners.

LOCAL FISCAL IMPLICATIONS:
This amendment would provide additional monies to charitable insti-
tutions located throughout the Western New York region.

EFFECTIVE DATE:
This act shall take effect immediately.

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                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7506

                            I N  S E N A T E

                              May 30, 2012
                               ___________

Introduced  by  Sen. MAZIARZ -- read twice and ordered printed, and when
  printed to be committed to the Committee on Racing, Gaming and  Wager-
  ing

AN  ACT  to amend the general municipal law, in relation to restrictions
  upon games of chance

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1. Subdivisions 5 and 8 of section 189 of the general munici-
pal law, subdivision 5 as amended by chapter 337 of the laws of 1998 and
subdivision 8 as amended by chapter 302 of the laws of 2010, are amended
to read as follows:
  5. No single prize awarded by games of chance other than raffle  shall
exceed  the  sum  or  value  of  three  hundred dollars, except that for
merchandise wheels, no single prize shall exceed the sum or value of two
hundred fifty dollars. No single prize awarded by  raffle  shall  exceed
the  sum  or value of [fifty] ONE HUNDRED thousand dollars[, except that
an authorized organization may award by raffle a single prize  having  a
value  of up to and including one hundred thousand dollars if its appli-
cation for a license filed pursuant to section  one  hundred  ninety  of
this  article includes a statement of its intent to award a prize having
such value].  No single wager shall exceed  six  dollars  and  for  bell
jars,  coin  boards, or merchandise boards, no single prize shall exceed
five hundred dollars provided, however, that such limitation  shall  not
apply  to  the  amount  of  money  or value paid by the participant in a
raffle in return for a ticket or other  receipt.  For  coin  boards  and
merchandise  boards,  the  value  of  a prize shall be determined by its
costs to the authorized organization or, if  donated,  its  fair  market
value.
  8.  Except  for merchandise wheels and raffles, no series of prizes on
any one occasion shall aggregate more than four hundred dollars when the
licensed authorized organization conducts five single types of games  of
chance  during  any  one  license period. Except for merchandise wheels,
raffles and bell jars, no series of prizes on  any  one  occasion  shall
aggregate  more  than  five hundred dollars when the licensed authorized

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD15972-01-2

S. 7506                             2

organization conducts less than five single types of  games  of  chance,
exclusive  of  merchandise wheels, raffles and bell jars, during any one
license period. No authorized organization shall award by raffle  prizes
with an aggregate value in excess of [five hundred thousand] TWO MILLION
dollars during any one license period.
  S 2. This act shall take effect immediately.

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