H. B. 2558
(By Delegates DeLong, Ennis, Swartzmiller and Fragale)
[Introduced February 21, 2005; referred to the
Committee on the Judiciary then Finance.]
A BILL to amend and reenact §29-22B-1101 of the Code of West
Virginia, 1931, as amended, relating to the limitation of the
number and location of video lottery terminals.
Be it enacted by the Legislature of West Virginia:
of the Code of West Virginia, 1931, as
amended, be amended and reenacted to read as follows:
ARTICLE 22B. LIMITED VIDEO LOTTERY.
PART 11. ALLOCATION AND DISTRIBUTION
OF VIDEO LOTTERY TERMINALS.
§29-22B-1101. Limitation on number and location of video lottery
(a) The Lottery Commission may not authorize the placement of
more than nine thousand video lottery terminals in restricted
access adult-only facilities in this state.
(b) No person may directly or indirectly operate more than
seven and one-half percent of the number of video lottery terminals
authorized in this section, which shall be located only in
restricted access adult-only facilities.
(c) No licensed limited video lottery retailer may be
authorized to have on the premises for which the license was
issued, more than five video lottery terminals except that a
fraternal society or veteran's organization that is: (A) A
fraternal beneficiary society that is exempt from federal income
tax under section 501(c)(8) of the Internal Revenue Code of 1986,
as amended; (B) a domestic fraternal society that is exempt from
federal income tax under section 501(c)(10), or (C) a veterans'
organization that is exempt from federal income tax under section
501(c)(19) of the Internal Revenue Code may be authorized to have
on the premises for which the license was issued not more than ten
video lottery terminals: Provided, That a veteran's organization or
fraternal society operating ten video lottery terminals may apply
for additional video lottery terminals, not to exceed a total of
fifteen, if that permittee provides the Lottery Commission proof of
donations to charitable organizations of one hundred-fifty thousand
dollars or more in the preceding fiscal year: Provided, however,
That each additional video terminal awarded to that permittee
increases the permittee's charitable contribution requirement by
ten thousand dollars per fiscal year. Failure to meet minimum donation requirements results in the loss of one video terminal
below the minimum donation required for that number of machines.
(d) Veteran's organizations or fraternal societies applying
for additional video lottery terminals shall provide proof of
donations and license fee renewal to the Lottery Commission for
verification and approval and may only receive additional video
terminals if they are available and their issuance is not in
contravention of the requirements of this statute or any other
governing limited video lottery.
NOTE: The purpose of this bill is to allow veteran's
organizations and fraternal societies to operate more than ten
video lottery terminals if they can show proof of charitable
donations meeting or exceeding $150,000 in the previous fiscal
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would