WSR 04-17-124

PROPOSED RULES

GAMBLING COMMISSION


[ Filed August 17, 2004, 3:08 p.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 04-11-032.

Title of Rule and Other Identifying Information: New section WAC 230-04-208 Problem gambling fee.

Hearing Location(s): Best Western Icicle Inn, 505 Highway 2, Leavenworth, WA 98826, (509) 548-7000, on October 15, 2004, at 9:30 a.m.

Date of Intended Adoption: October 15, 2004.

Submit Written Comments to: Susan Arland, Rules Coordinator, P.O. Box 42400, Olympia, WA 98504, e-mail Susana@wsgc.wa.gov, fax (360) 486-3625, by October 1, 2004.

Assistance for Persons with Disabilities: Contact Shirley Corbett by October 1, 2004, TTY (360) 486-3637 or (360) 486-3447.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: ESHB 2459, supplemental budget fund transfer, passed during the 2004 legislative session. The bill was to remove $3 million from the commission's budget, with $500,000 of that amount directed to problem gambling treatment programs, if another bill passed (HB 2776). The commission sent a letter to the governor supporting problem gambling, but opposing the fund transfer. In the end, $2.5 million was transferred from the gambling revolving fund; however, the governor vetoed the transfer of $500,000 for problem gambling and requested the commission consider its contributions to problem gambling.

Reasons Supporting Proposal: The proposed rule would provide a stable funding source and raise approximately $232,000 for use toward problem gambling training, awareness services and a helpline. The fee would be assessed on charitable/nonprofit and commercial organizations, not individual licenses.

Statutory Authority for Adoption: RCW 9.46.070.

Statute Being Implemented: Nonapplicable.

Rule is not necessitated by federal law, federal or state court decision.

Name of Proponent: Washington State Gambling Commission, governmental.

Name of Agency Personnel Responsible for Drafting: Susan Arland, Rules Coordinator, Lacey, (360) 486-3466; Implementation: Rick Day, Director, Lacey, (360) 486-3446; and Enforcement: Neal Nunamaker, Deputy Director, Lacey, (360) 486-3452.

No small business economic impact statement has been prepared under chapter 19.85 RCW.

A cost-benefit analysis is not required under RCW 34.05.328.

August 17, 2004

Susan Arland

Rules Coordinator

OTS-7341.3


NEW SECTION
WAC 230-04-208   Problem gambling fee.   The legislature amended RCW 9.46.071 in 2003, to allow the gambling commission to contract with qualified entities to provide public awareness training and other services for problem gambling. To provide a funding source for such a contract, each organization applying for a gambling license or permit must pay a fee. The fee is nonrefundable. The fee will be paid with the original application and each subsequent renewal application. The license application will be deemed incomplete and will not be processed without this fee. The fee is imposed on applications received on or after June 30, 2005. The problem gambling fee is a percentage of each license fee as follows:


License Fee Percentage
Less than $2,000 2%
$2,000, but less than $5,000 2.5%
$5,000, but less than $7,000 3%
$7,000, but less than $9,500 3.5%
$9,500 or greater 4%

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