Relates to restrictions upon the conduct of games of chance.

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S7506-2011 Actions

• Sep 7, 2012: SIGNED CHAP.455
• Aug 27, 2012: DELIVERED TO GOVERNOR
• Jun 21, 2012: returned to senate
• Jun 21, 2012: passed assembly
• Jun 21, 2012: ordered to third reading rules cal.584
• Jun 21, 2012: substituted for a10411
• Jun 12, 2012: referred to racing and wagering
• Jun 12, 2012: DELIVERED TO ASSEMBLY
• Jun 12, 2012: PASSED SENATE
• Jun 12, 2012: ORDERED TO THIRD READING CAL.1199
• Jun 12, 2012: COMMITTEE DISCHARGED AND COMMITTED TO RULES
• May 30, 2012: REFERRED TO RACING, GAMING AND WAGERING

S7506-2011 Meetings

Rules: Jun 18, 2012

S7506-2011 Calendars

Floor Calendar: Jun 12, 2012

S7506-2011 Votes

S7506-2011 Memo

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.

S7506-2011 Text

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

                                    7506

                              I N  SENATE

                                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.