AN ACT Relating to
clarifying the state's public policy on gambling by restricting the frequency
of lottery games, addressing problem and compulsive gambling, and enhancing the
enforcement of the state's gambling laws; amending RCW 9.46.010, 67.70.010, 67.70.040,
67.70.190, 9.46.0241, 9.46.220, 9.46.221, 9.46.222, 9.46.080, 9.46.235,
9.46.260, and 10.105.900; reenacting and amending RCW 9A.82.010; adding new
sections to chapter 9.46 RCW; creating new sections; repealing RCW 9.46.230;
prescribing penalties; and declaring an emergency.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF
WASHINGTON:
NEW SECTION. Sec.
1. The legislature intends
with this act to clarify the state's public policy on gambling regarding the
frequency of state lottery drawings, the means of addressing problem and
compulsive gambling, and the enforcement of the state's gambling laws. This
act is intended to clarify the specific types of games prohibited in chapter
9.46 RCW and is not intended to add to existing law regarding prohibited
activities. The legislature recognizes that slot machines, video pull-tabs,
video poker, and other electronic games of chance have been considered to be
gambling devices before the effective date of this act.
Sec. 2. RCW 9.46.010 and 1975
1st ex.s. c 259 s 1 are each amended to read as follows:
The public policy of
the state of Washington on gambling is to keep the criminal element out of
gambling and to promote the social welfare of the people by limiting the nature
and scope of gambling activities and by strict regulation and control.
It is hereby declared
to be the policy of the legislature, recognizing the close relationship between
professional gambling and organized crime, to restrain all persons from seeking
profit from professional gambling activities in this state; to restrain all
persons from patronizing such professional gambling activities; to safeguard
the public against the evils induced by common gamblers and common gambling
houses engaged in professional gambling; and at the same time, both to preserve
the freedom of the press and to avoid restricting participation by individuals
in activities and social pastimes, which activities and social pastimes are
more for amusement rather than for profit, do not maliciously affect the
public, and do not breach the peace.
The legislature further
declares that the raising of funds for the promotion of bona fide charitable or
nonprofit organizations is in the public interest as is participation in such
activities and social pastimes as are hereinafter in this chapter authorized.
The legislature further
declares that the conducting of bingo, raffles, and amusement games and the
operation of punch boards, pull-tabs, card games and other social pastimes,
when conducted pursuant to the provisions of this chapter and any rules and
regulations adopted pursuant thereto, are hereby authorized, as are only such
lotteries for which no valuable consideration has been paid or agreed to be
paid as hereinafter in this chapter provided.
The legislature further
declares that fishing derbies shall not constitute any form of gambling and
shall not be considered as a lottery, a raffle, or an amusement game and shall
not be subject to the provisions of this chapter or any rules and regulations
adopted hereunder.
All factors incident to
the activities authorized in this chapter shall be closely controlled, and the
provisions of this chapter shall be liberally construed to achieve such end.
Sec. 3. RCW 67.70.010 and 1987 c
511 s 1 are each amended to read as follows:
For the purposes of
this chapter:
(1)
"Commission" means the state lottery commission established by this
chapter;
(2) (("Lottery"
or "state lottery" means the lottery established and operated
pursuant to this chapter;
(3))) "Director" means the director of the
state lottery established by this chapter;
(3)
"Lottery" or "state lottery" means the lottery established
and operated pursuant to this chapter;
(4) "On-line
game" means a lottery game in which a player pays a fee to a lottery
retailer and selects a combination of digits, numbers, or symbols, type and
amount of play, and receives a computer-generated ticket with those selections,
and the lottery separately draws or selects the winning combination or
combinations.
Sec. 4. RCW 67.70.040 and 1991 c
359 s 1 are each amended to read as follows:
The commission shall
have the power, and it shall be its duty:
(1) To promulgate such
rules governing the establishment and operation of a state lottery as it deems
necessary and desirable in order that such a lottery be initiated at the
earliest feasible and practicable time, and in order that such lottery produce
the maximum amount of net revenues for the state consonant with the dignity of
the state and the general welfare of the people. Such rules shall include, but
shall not be limited to, the following:
(a) The type of lottery
to be conducted which may include the selling of tickets or shares. The use of
electronic or mechanical devices or video terminals which allow for individual
play against such devices or terminals shall be prohibited. Approval of the
legislature shall be required before entering any agreement with other state
lotteries to conduct shared games;
(b) The price, or
prices, of tickets or shares in the lottery;
(c) The numbers and
sizes of the prizes on the winning tickets or shares;
(d) The manner of
selecting the winning tickets or shares;
(e) The manner and time
of payment of prizes to the holder of winning tickets or shares which, at the
director's option, may be paid in lump sum amounts or installments over a
period of years;
(f) The frequency of
the drawings or selections of winning tickets or shares((, without
limitation)). Approval of the legislature is required before conducting
any on-line game in which the drawing or selection of winning tickets occurs
more frequently than once every twenty-four hours;
(g) Without limit as to
number, the type or types of locations at which tickets or shares may be sold;
(h) The method to be
used in selling tickets or shares;
(i) The licensing of
agents to sell or distribute tickets or shares, except that a person under the
age of eighteen shall not be licensed as an agent;
(j) The manner and
amount of compensation, if any, to be paid licensed sales agents necessary to
provide for the adequate availability of tickets or shares to prospective
buyers and for the convenience of the public;
(k) The apportionment
of the total revenues accruing from the sale of lottery tickets or shares and
from all other sources among: (i) The payment of prizes to the holders of winning
tickets or shares, which shall not be less than forty-five percent of the gross
annual revenue from such lottery, ((less amounts of unclaimed prizes
deposited in the general fund under RCW 67.70.190 during the fiscal year ending
June 30, 1989,)) (ii) transfers to the lottery administrative account
created by RCW 67.70.260, and (iii) transfer to the state's general fund.
Transfers to the state general fund shall be made in compliance with RCW
43.01.050;
(l) Such other matters
necessary or desirable for the efficient and economical operation and
administration of the lottery and for the convenience of the purchasers of
tickets or shares and the holders of winning tickets or shares.
(2) To ensure that in
each place authorized to sell lottery tickets or shares, on the back of the
ticket or share, and in any advertising or promotion there shall be
conspicuously displayed an estimate of the probability of purchasing a winning
ticket.
(3) To amend, repeal,
or supplement any such rules from time to time as it deems necessary or
desirable.
(4) To advise and make
recommendations to the director for the operation and administration of the
lottery.
Sec. 5. RCW 67.70.190 and 1988 c
289 s 802 are each amended to read as follows:
(((1)))
Unclaimed prizes shall be retained in the state lottery account for the person
entitled thereto for one hundred eighty days after the drawing in which the
prize is won, or after the official end of the game for instant prizes. If no
claim is made for the prize within this time, the prize shall be retained in
the state lottery fund for further use as prizes((, except as provided in
subsection (2) of this section)), and all rights to the prize shall be
extinguished.
(((2) During the
fiscal year ending June 30, 1989, moneys from unclaimed prizes shall be used as
follows:
(a) Fifty percent of
the moneys, not exceeding one million dollars, shall be deposited quarterly in
the general fund.
(b) The remainder of
the moneys shall be retained in the state lottery account for further use as
prizes.))
NEW SECTION. Sec.
6. The legislature
recognizes that some individuals in this state are problem or compulsive
gamblers. Because the state promotes and regulates gambling through the
activities of the state lottery commission, the Washington horse racing
commission, and the Washington state gambling commission, the state has the
responsibility to continue to provide resources for the support of services for
problem and compulsive gamblers. Therefore, the Washington state gambling
commission, the Washington horse racing commission, and the state lottery
commission shall jointly develop informational signs concerning problem and
compulsive gambling which include a toll-free hot line number for problem and
compulsive gamblers. The signs shall be placed in the establishments of
gambling licensees, horse racing licensees, and lottery retailers.
NEW SECTION. Sec.
7. A new section is added
to chapter 9.46 RCW to read as follows:
(1) The following are
subject to seizure and forfeiture and no property right exists in them:
(a) All gambling
devices as defined in this chapter;
(b) All furnishings,
fixtures, equipment, and stock, including without limitation furnishings and
fixtures adaptable to nongambling uses and equipment and stock for printing,
recording, computing, transporting, or safekeeping, used in connection with
professional gambling or maintaining a gambling premises;
(c) All conveyances,
including aircraft, vehicles, or vessels, that are used, or intended for use,
in any manner to facilitate the sale, delivery, receipt, or operation of any
gambling device, or the promotion or operation of a professional gambling activity,
except that:
(i) A conveyance used
by any person as a common carrier in the transaction of business as a common
carrier is not subject to forfeiture under this section unless it appears that
the owner or other person in charge of the conveyance is a consenting party or
privy to a violation of this chapter;
(ii) A conveyance is
not subject to forfeiture under this section by reason of any act or omission
established by the owner thereof to have been committed or omitted without the
owner's knowledge or consent;
(iii) A forfeiture of a
conveyance encumbered by a bona fide security interest is subject to the
interest of the secured party if the secured party neither had knowledge of nor
consented to the act or omission; and
(iv) If the owner of a
conveyance has been arrested under this chapter the conveyance in which the
person is arrested may not be subject to forfeiture unless it is seized or
process is issued for its seizure within ten days of the owner's arrest;
(d) All books, records,
and research products and materials, including formulas, microfilm, tapes, and
electronic data that are used, or intended for use, in violation of this
chapter;
(e) All moneys,
negotiable instruments, securities, or other tangible or intangible property of
value at stake or displayed in or in connection with professional gambling
activity or furnished or intended to be furnished by any person to facilitate
the promotion or operation of a professional gambling activity;
(f) All tangible or
intangible personal property, proceeds, or assets acquired in whole or in part
with proceeds traceable to professional gambling activity and all moneys,
negotiable instruments, and securities used or intended to be used to
facilitate any violation of this chapter. A forfeiture of money, negotiable
instruments, securities, or other tangible or intangible property encumbered by
a bona fide security interest is subject to the interest of the secured party
if, at the time the security interest was created, the secured party neither
had knowledge of nor consented to the act or omission. Personal property may
not be forfeited under this subsection (1)(f), to the extent of the interest of
an owner, by reason of any act or omission that that owner establishes was
committed or omitted without the owner's knowledge or consent; and
(g) All real property,
including any right, title, and interest in the whole of any lot or tract of
land, and any appurtenances or improvements that:
(i) Have been used with
the knowledge of the owner for the manufacturing, processing, delivery,
importing, or exporting of any illegal gambling equipment, or operation of a
professional gambling activity that would constitute a felony violation of this
chapter; or
(ii) Have been acquired
in whole or in part with proceeds traceable to a professional gambling
activity, if the activity is not less than a class C felony.
Real property forfeited
under this chapter that is encumbered by a bona fide security interest remains
subject to the interest of the secured party if the secured party, at the time
the security interest was created, neither had knowledge of nor consented to
the act or omission. Property may not be forfeited under this subsection, to
the extent of the interest of an owner, by reason of any act or omission committed
or omitted without the owner's knowledge or consent.
(2)(a) A law
enforcement officer of this state may seize real or personal property subject
to forfeiture under this chapter upon process issued by any superior court
having jurisdiction over the property. Seizure of real property includes the
filing of a lis pendens by the seizing agency. Real property seized under this
section may not be transferred or otherwise conveyed until ninety days after
seizure or until a judgment of forfeiture is entered, whichever is later, but
real property seized under this section may be transferred or conveyed to any
person or entity who acquires title by foreclosure or deed in lieu of
foreclosure of a bona fide security interest.
(b) Seizure of personal
property without process may be made if:
(i) The seizure is
incident to an arrest or a search under a search warrant or an inspection under
an administrative inspection warrant;
(ii) The property
subject to seizure has been the subject of a prior judgment in favor of the
state in a criminal injunction or forfeiture proceeding based upon this
chapter;
(iii) A law enforcement
officer has probable cause to believe that the property is directly or
indirectly dangerous to health or safety; or
(iv) The law
enforcement officer has probable cause to believe that the property was used or
is intended to be used in violation of this chapter.
(3) In the event of
seizure under subsection (2) of this section, proceedings for forfeiture are
deemed commenced by the seizure. The law enforcement agency under whose
authority the seizure was made shall cause notice to be served within fifteen
days following the seizure on the owner of the property seized and the person
in charge thereof and any person having any known right or interest therein,
including any community property interest, of the seizure and intended
forfeiture of the seized property. Service of notice of seizure of real
property must be made according to the rules of civil procedure. However, the
state may not obtain a default judgment with respect to real property against a
party who is served by substituted service absent an affidavit stating that a
good faith effort has been made to ascertain if the defaulted party is
incarcerated within the state, and that there is no present basis to believe
that the party is incarcerated within the state. Notice of seizure in the case
of property subject to a security interest that has been perfected by filing a
financing statement in accordance with chapter 62A.9 RCW, or a certificate of
title, must be made by service upon the secured party or the secured party's
assignee at the address shown on the financing statement or the certificate of
title. The notice of seizure in other cases may be served by any method
authorized by law or court rule including but not limited to service by
certified mail with return receipt requested. Service by mail is deemed
complete upon mailing within the fifteen-day period following the seizure.
(4) If no person
notifies the seizing law enforcement agency in writing of the person's claim of
ownership or right to possession of items specified in subsection (1) (c), (e),
(f), or (g) of this section within forty-five days of the seizure in the case
of personal property and ninety days in the case of real property, the item
seized is deemed forfeited. The community property interest in real property
of a person whose spouse committed a violation giving rise to seizure of the
real property may not be forfeited if the person did not participate in the
violation.
(5) If any person
notifies the seizing law enforcement agency in writing of the person's claim of
ownership or right to possession of items specified in subsection (1) (b), (c),
(d), (e), (f), or (g) of this section within forty-five days of the seizure in
the case of personal property and ninety days in the case of real property, the
person or persons must be afforded a reasonable opportunity to be heard as to
the claim or right. The hearing must be before the chief law enforcement
officer of the seizing agency or the chief law enforcement officer's designee,
except if the seizing agency is a state agency as defined in RCW 34.12.020(4),
the hearing must be before the chief law enforcement officer of the seizing
agency or an administrative law judge appointed under chapter 34.12 RCW, except
that any person asserting a claim or right may remove the matter to a court of
competent jurisdiction. Removal of any matter involving personal property may
only be accomplished according to the rules of civil procedure. The person
seeking removal of the matter must serve process against the state, county,
political subdivision, or municipality that operates the seizing agency, and any
other party of interest, in accordance with RCW 4.28.080 or 4.92.020, within
forty-five days after the person seeking removal has notified the seizing law
enforcement agency of the person's claim of ownership or right to possession.
The court to which the matter is to be removed must be the district court if
the aggregate value of personal property is within the jurisdictional limit set
forth in RCW 3.66.020. A hearing before the seizing agency and any appeal
therefrom must be under Title 34 RCW. In a court hearing between two or more
claimants to the article or articles involved, the prevailing party is entitled
to a judgment for costs and reasonable attorneys' fees. In cases involving
personal property, the burden of producing evidence is upon the person claiming
to be the lawful owner or the person claiming to have the lawful right to
possession of the property. In cases involving real property, the burden of
producing evidence is upon the law enforcement agency. The burden of proof
that the seized real property is subject to forfeiture is upon the law
enforcement agency. The seizing law enforcement agency shall promptly return
the article or articles to the claimant upon a final determination by the
administrative law judge or court that the claimant is the present lawful owner
or is lawfully entitled to possession thereof of items specified in subsection
(1) (b), (c), (d), (e), (f), or (g) of this section.
(6) If property is
forfeited under this chapter the seizing law enforcement agency may:
(a) Retain it for
official use or upon application by any law enforcement agency of this state
release the property to the agency for training or use in enforcing this
chapter;
(b) Sell that which is
not required to be destroyed by law and which is not harmful to the public; or
(c) Destroy any
articles that may not be lawfully possessed within the state of Washington, or
that have a fair market value of less than one hundred dollars.
(7)(a) If property is
forfeited, the seizing agency shall keep a record indicating the identity of
the prior owner, if known, a description of the property, the disposition of
the property, the value of the property at the time of seizure, and the amount
of proceeds realized from disposition of the property. The net proceeds of
forfeited property is the value of the forfeitable interest in the property
after deducting the cost of satisfying any bona fide security interest to which
the property is subject at the time of seizure, and in the case of sold
property, after deducting the cost of sale, including reasonable fees or
commissions paid to independent selling agents.
(b) Each seizing agency
shall retain records of forfeited property for at least seven years.
(c) Each seizing agency
shall file a report including a copy of the records of forfeited property with
the state treasurer the calendar quarter after the end of the fiscal year.
(d) The annual report
need not include a record of forfeited property that is still being held for
use as evidence during the investigation or prosecution of a case or during the
appeal from a conviction.
(8) The seizing law
enforcement agency shall retain forfeited property and net proceeds exclusively
for the expansion and improvement of gambling-related law enforcement
activity. Money retained under this section may not be used to supplant
preexisting funding sources.
(9) Gambling devices
that are possessed, transferred, sold, or offered for sale in violation of this
chapter are contraband and must be seized and summarily forfeited to the state.
Gambling equipment that is seized or comes into the possession of a law
enforcement agency, the owners of which are unknown, are contraband and must be
summarily forfeited to the state.
(10) Upon the entry of
an order of forfeiture of real property, the court shall forward a copy of the
order to the assessor of the county in which the property is located. The
superior court shall enter orders for the forfeiture of real property, subject
to court rules. The seizing agency shall file such an order in the county
auditor's records in the county in which the real property is located.
(11)(a) A landlord may
assert a claim against proceeds from the sale of assets seized and forfeited
under subsection (6)(b) of this section, only if:
(i) A law enforcement
officer, while acting in his or her official capacity, directly caused damage
to the complaining landlord's property while executing a search of a tenant's
residence; and
(ii) The landlord has
applied any funds remaining in the tenant's deposit, to which the landlord has
a right under chapter 59.18 RCW, to cover the damage directly caused by a law
enforcement officer before asserting a claim under this section.
(A) Only if the funds
applied under (a)(ii) of this subsection are insufficient to satisfy the damage
directly caused by a law enforcement officer, may the landlord seek
compensation for the damage by filing a claim against the governmental entity
under whose authority the law enforcement agency operates within thirty days
after the search; and
(B) Only if the
governmental entity denies or fails to respond to the landlord's claim within
sixty days of the date of filing, may the landlord collect damages under this
subsection by filing within thirty days of denial or the expiration of the
sixty-day period, whichever occurs first, a claim with the seizing law
enforcement agency. The seizing law enforcement agency shall notify the
landlord of the status of the claim by the end of the thirty-day period. This
section does not require the claim to be paid by the end of the sixty-day or
thirty-day period.
(b) For any claim filed
under (a)(ii) of this subsection, the law enforcement agency shall pay the
claim unless the agency provides substantial proof that the landlord either:
(i) Knew or consented
to actions of the tenant in violation of this chapter; or
(ii) Failed to respond
to a notification of the illegal activity, provided by a law enforcement agency
within seven days of receipt of notification of the illegal activity.
(12) The landlord's
claim for damages under subsection (11) of this section may not include a claim
for loss of business and is limited to:
(a) Damage to tangible
property and clean-up costs;
(b) The lesser of the
cost of repair or fair market value of the damage directly caused by a law
enforcement officer;
(c) The proceeds from
the sale of the specific tenant's property seized and forfeited under
subsection (6)(b) of this section; and
(d) The proceeds
available after the seizing law enforcement agency satisfies any bona fide
security interest in the tenant's property and costs related to sale of the
tenant's property as provided by subsection (7)(a) of this section.
(13) Subsections (11)
and (12) of this section do not limit any other rights a landlord may have
against a tenant to collect for damages. However, if a law enforcement agency
satisfies a landlord's claim under subsection (11) of this section, the rights
the landlord has against the tenant for damages directly caused by a law
enforcement officer under the terms of the landlord and tenant's contract are
subrogated to the law enforcement agency.
Sec. 8. RCW 9.46.0241 and 1987 c
4 s 11 are each amended to read as follows:
"Gambling
device," as used in this chapter, means: (1) Any device or mechanism the
operation of which a right to money, credits, deposits or other things of value
may be created, in return for a consideration, as the result of the operation
of an element of chance, including, but not limited to slot machines, video
pull-tabs, video poker, and other electronic games of chance; (2) any
device or mechanism which, when operated for a consideration, does not return
the same value or thing of value for the same consideration upon each operation
thereof; (3) any device, mechanism, furniture, fixture, construction or
installation designed primarily for use in connection with professional
gambling; and (4) any subassembly or essential part designed or intended for
use in connection with any such device, mechanism, furniture, fixture,
construction or installation. In the application of this definition, a pinball
machine or similar mechanical amusement device which confers only an immediate
and unrecorded right of replay on players thereof, which does not contain any
mechanism which varies the chance of winning free games or the number of free
games which may be won or a mechanism or a chute for dispensing coins or a
facsimile thereof, and which prohibits multiple winnings depending upon the
number of coins inserted and requires the playing of five balls individually
upon the insertion of a nickel or dime, as the case may be, to complete any one
operation thereof, shall not be deemed a gambling device: PROVIDED, That
owning, possessing, buying, selling, renting, leasing, financing, holding a
security interest in, storing, repairing and transporting such pinball machines
or similar mechanical amusement devices shall not be deemed engaging in
professional gambling for the purposes of this chapter and shall not be a
violation of this chapter: PROVIDED FURTHER, That any fee for the purchase or
rental of any such pinball machines or similar amusement devices shall have no
relation to the use to which such machines are put but be based only upon the
market value of any such machine, regardless of the location of or type of
premises where used, and any fee for the storing, repairing and transporting
thereof shall have no relation to the use to which such machines are put, but
be commensurate with the cost of labor and other expenses incurred in any such
storing, repairing and transporting.
NEW SECTION. Sec.
9. A new section is added
to chapter 9.46 RCW to read as follows:
Whoever knowingly owns,
manufactures, possesses, buys, sells, rents, leases, finances, holds a security
interest in, stores, repairs, or transports any gambling device or offers or
solicits any interest therein, whether through an agent or employee or
otherwise, is guilty of a felony and shall be fined not more than one hundred
thousand dollars or imprisoned not more than five years or both. However, this
section does not apply to persons licensed by the commission, or who are
otherwise authorized by this chapter, or by commission rule, to conduct
gambling activities without a license, respecting devices that are to be used,
or are being used, solely in that activity for which the license was issued, or
for which the person has been otherwise authorized if:
(1) The person is
acting in conformance with this chapter and the rules adopted under this
chapter; and
(2) The devices are a
type and kind traditionally and usually employed in connection with the
particular activity. This section also does not apply to any act or acts by
the persons in furtherance of the activity for which the license was issued, or
for which the person is authorized, when the activity is conducted in
compliance with this chapter and in accordance with the rules adopted under
this chapter. In the enforcement of this section direct possession of any such
a gambling device is presumed to be knowing possession thereof.
NEW SECTION. Sec.
10. A new section is added
to chapter 9.46 RCW to read as follows:
Whoever knowingly
prints, makes, possesses, stores, or transports any gambling record, or buys,
sells, offers, or solicits any interest therein, whether through an agent or
employee or otherwise, is guilty of a gross misdemeanor. However, this section
does not apply to records relating to and kept for activities authorized by
this chapter when the records are of the type and kind traditionally and
usually employed in connection with the particular activity. This section also
does not apply to any act or acts in furtherance of the activities when
conducted in compliance with this chapter and in accordance with the rules
adopted under this chapter. In the enforcement of this section direct
possession of any such a gambling record is presumed to be knowing possession
thereof.
Sec. 11. RCW 9.46.220 and 1991 c
261 s 10 are each amended to read as follows:
(1) A person is guilty
of professional gambling in the first degree if he or she engages in, or
knowingly causes, aids, abets, or conspires with another to engage in
professional gambling as defined in this chapter, and:
(a) While engaging in
professional gambling acts in concert with or conspires with five or more
people;
(b) Accepts wagers
exceeding five thousand dollars during any ((calendar month)) thirty-day
period on future contingent events; or
(c) Operates, manages,
or profits from the operation of a premises or location where persons are
charged a fee to participate in card games, lotteries, or other gambling
activities that are not authorized by this chapter or licensed by the commission.
(2) However, this
section shall not apply to those activities enumerated in RCW 9.46.0305 through
9.46.0361 or to any act or acts in furtherance of such activities when
conducted in compliance with the provisions of this chapter and in accordance
with the rules adopted pursuant to this chapter.
(3) Professional
gambling in the first degree is a class B felony subject to the penalty set
forth in RCW 9A.20.021.
Sec. 12. RCW 9.46.221 and 1991 c
261 s 11 are each amended to read as follows:
(1) A person is guilty
of professional gambling in the second degree if he or she engages in or
knowingly causes, aids, abets, or conspires with another to engage in
professional gambling as defined in this chapter, and:
(a) While engaging in
professional gambling acts in concert with or conspires with less than five
people;
(b) Accepts wagers
exceeding two thousand dollars during any ((calendar month)) thirty-day
period on future contingent events;
(c) Maintains a
"gambling premises" as defined in this chapter; or
(d) Maintains gambling
records as defined in RCW ((9.46.020)) 9.46.0253.
(2) However, this
section shall not apply to those activities enumerated in RCW 9.46.0305 through
9.46.0361 or to any act or acts in furtherance of such activities when
conducted in compliance with the provisions of this chapter and in accordance
with the rules adopted pursuant to this chapter.
(3) Professional
gambling in the second degree is a class C felony subject to the penalty set
forth in RCW 9A.20.021.
Sec. 13. RCW 9.46.222 and 1991 c
261 s 12 are each amended to read as follows:
(1) A person is guilty
of professional gambling in the third degree if he or she engages in, or
knowingly causes, aids, abets, or conspires with another to engage in
professional gambling as defined in this chapter((;)), and:
(a) His or her conduct
does not constitute first or second degree professional gambling;
(b) He or she operates
any of the unlicensed gambling activities authorized by this chapter in a
manner other than as prescribed by this chapter; or
(c) He or she is
directly employed in but not managing or directing any gambling operation.
(2) This section shall
not apply to those activities enumerated in RCW 9.46.0305 through 9.46.0361 or
to any acts in furtherance of such activities when conducted in compliance with
the provisions of this chapter and the rules adopted pursuant to this chapter.
(3) Professional
gambling in the third degree is a gross misdemeanor subject to the penalty
established in RCW 9A.20.021.
Sec. 14. RCW 9.46.080 and 1981 c
139 s 6 are each amended to read as follows:
The commission shall
employ a full time director, who shall be the administrator for the commission
in carrying out its powers and duties and who shall issue rules and regulations
adopted by the commission governing the activities authorized hereunder and
shall supervise commission employees in carrying out the purposes and
provisions of this chapter. In addition, the director shall employ a deputy
director, ((two)) not more than three assistant directors,
together with such investigators and enforcement officers and such staff as the
commission determines is necessary to carry out the purposes and provisions of
this chapter. The director, the deputy director, ((both)) the
assistant directors, and personnel occupying positions requiring the performing
of undercover investigative work shall be exempt from the provisions of chapter
41.06 RCW, as now law or hereafter amended. Neither the director nor any
commission employee working therefor shall be an officer or manager of any bona
fide charitable or bona fide nonprofit organization, or of any organization which
conducts gambling activity in this state.
The director, subject
to the approval of the commission, is authorized to enter into agreements on
behalf of the commission for mutual assistance and services, based upon actual
costs, with any state or federal agency or with any city, town, or county, and
such state or local agency is authorized to enter into such an agreement with
the commission. If a needed service is not available from another agency of
state government within a reasonable time, the director may obtain that service
from private industry.
Sec. 15. RCW 9.46.235 and 1987 c
191 s 1 are each amended to read as follows:
(1) For purposes of a
prosecution under ((RCW 9.46.230(4))) section 9 of this act or a
seizure, confiscation, or destruction order under ((RCW 9.46.230(1))) section
7 of this act, it shall be a defense that the gambling device involved is
an antique slot machine and that the antique slot machine was not operated for
gambling purposes while in the owner's or defendant's possession. Operation of
an antique slot machine shall be only by free play or with coins provided at no
cost by the owner. No slot machine, having been seized under this chapter, may
be altered, destroyed, or disposed of without affording the owner thereof an
opportunity to present a defense under this section. If the defense is
applicable, the antique slot machine shall be returned to the owner or
defendant, as the court may direct.
(2) ((RCW
9.46.230(2))) Section 7 of this act shall have no application to any
antique slot machine that has not been operated for gambling purposes while in
the owner's possession.
(3) For the purposes of
this section, a slot machine shall be conclusively presumed to be an antique
slot machine if it is at least twenty-five years old.
(4) Sections 7 and 9
of this act do not apply to gambling devices on board a passenger cruise ship which
has been registered and bonded with the federal maritime commission, if the
gambling devices are not operated for gambling purposes within the state.
Sec. 16. RCW 9.46.260 and 1973
1st ex.s. c 218 s 26 are each amended to read as follows:
Proof of possession of
any device used for professional gambling or any record relating to
professional gambling specified in ((RCW 9.46.230)) section 9 of this
act is prima facie evidence of possession thereof with knowledge of its
character or contents.
Sec. 17. RCW 9A.82.010 and 1992 c
210 s 6 and 1992 c 145 s 13 are each reenacted and amended to read as follows:
Unless the context
requires the contrary, the definitions in this section apply throughout this
chapter.
(1)
"Creditor" means a person making an extension of credit or a person
claiming by, under, or through a person making an extension of credit.
(2) "Debtor"
means a person to whom an extension of credit is made or a person who
guarantees the repayment of an extension of credit or in any manner undertakes
to indemnify the creditor against loss resulting from the failure of a person
to whom an extension is made to repay the same.
(3) "Extortionate
extension of credit" means an extension of credit with respect to which it
is the understanding of the creditor and the debtor at the time the extension
is made that delay in making repayment or failure to make repayment could
result in the use of violence or other criminal means to cause harm to the person,
reputation, or property of any person.
(4) "Extortionate
means" means the use, or an express or implicit threat of use, of violence
or other criminal means to cause harm to the person, reputation, or property of
any person.
(5) "To collect an
extension of credit" means to induce in any way a person to make repayment
thereof.
(6) "To extend
credit" means to make or renew a loan or to enter into an agreement, tacit
or express, whereby the repayment or satisfaction of a debt or claim, whether
acknowledged or disputed, valid or invalid, and however arising, may or shall
be deferred.
(7) "Repayment of
an extension of credit" means the repayment, satisfaction, or discharge in
whole or in part of a debt or claim, acknowledged or disputed, valid or invalid,
resulting from or in connection with that extension of credit.
(8) "Dealer in
property" means a person who buys and sells property as a business.
(9) "Stolen
property" means property that has been obtained by theft, robbery, or
extortion.
(10) "Traffic"
means to sell, transfer, distribute, dispense, or otherwise dispose of stolen
property to another person, or to buy, receive, possess, or obtain control of
stolen property, with intent to sell, transfer, distribute, dispense, or
otherwise dispose of the property to another person.
(11)
"Control" means the possession of a sufficient interest to permit
substantial direction over the affairs of an enterprise.
(12)
"Enterprise" includes any individual, sole proprietorship,
partnership, corporation, business trust, or other profit or nonprofit legal
entity, and includes any union, association, or group of individuals associated
in fact although not a legal entity, and both illicit and licit enterprises and
governmental and nongovernmental entities.
(13) "Financial
institution" means any bank, trust company, savings and loan association,
savings bank, mutual savings bank, credit union, or loan company under the
jurisdiction of the state or an agency of the United States.
(14) "Criminal
profiteering" means any act, including any anticipatory or completed
offense, committed for financial gain, that is chargeable or indictable under
the laws of the state in which the act occurred and, if the act occurred in a
state other than this state, would be chargeable or indictable under the laws
of this state had the act occurred in this state and punishable as a felony and
by imprisonment for more than one year, regardless of whether the act is
charged or indicted, as any of the following:
(a) Murder, as defined
in RCW 9A.32.030 and 9A.32.050;
(b) Robbery, as defined
in RCW 9A.56.200 and 9A.56.210;
(c) Kidnapping, as
defined in RCW 9A.40.020 and 9A.40.030;
(d) Forgery, as defined
in RCW 9A.60.020 and 9A.60.030;
(e) Theft, as defined
in RCW 9A.56.030, 9A.56.040, 9A.56.060, and 9A.56.080;
(f) Child selling or
child buying, as defined in RCW 9A.64.030;
(g) Bribery, as defined
in RCW 9A.68.010, 9A.68.020, 9A.68.040, and 9A.68.050;
(h) Gambling, as
defined in RCW 9.46.220 and ((9.46.230)) sections 9 and 10 of this
act;
(i) Extortion, as
defined in RCW 9A.56.120 and 9A.56.130;
(j) Extortionate
extension of credit, as defined in RCW 9A.82.020;
(k) Advancing money for
use in an extortionate extension of credit, as defined in RCW 9A.82.030;
(l) Collection of an
extortionate extension of credit, as defined in RCW 9A.82.040;
(m) Collection of an
unlawful debt, as defined in RCW 9A.82.045;
(n) Delivery or
manufacture of controlled substances or possession with intent to deliver or
manufacture controlled substances under chapter 69.50 RCW;
(o) Trafficking in
stolen property, as defined in RCW 9A.82.050;
(p) Leading organized
crime, as defined in RCW 9A.82.060;
(q) Money laundering,
as defined in RCW 9A.83.020;
(r) Obstructing
criminal investigations or prosecutions in violation of RCW 9A.72.090,
9A.72.100, 9A.72.110, 9A.72.120, 9A.72.130, 9A.76.070, or 9A.76.180;
(s) Fraud in the
purchase or sale of securities, as defined in RCW 21.20.010;
(t) Promoting
pornography, as defined in RCW 9.68.140;
(u) Sexual exploitation
of children, as defined in RCW 9.68A.040, 9.68A.050, and 9.68A.060;
(v) Promoting
prostitution, as defined in RCW 9A.88.070 and 9A.88.080;
(w) Arson, as defined
in RCW 9A.48.020 and 9A.48.030;
(x) Assault, as defined
in RCW 9A.36.011 and 9A.36.021;
(y) Assault of a child,
as defined in RCW 9A.36.120 and 9A.36.130;
(z) A pattern of equity
skimming, as defined in RCW 61.34.020; or
(aa) Commercial
telephone solicitation in violation of RCW 19.158.040(1).
(15) "Pattern of
criminal profiteering activity" means engaging in at least three acts of
criminal profiteering, one of which occurred after July 1, 1985, and the last
of which occurred within five years, excluding any period of imprisonment, after
the commission of the earliest act of criminal profiteering. In order to
constitute a pattern, the three acts must have the same or similar intent,
results, accomplices, principals, victims, or methods of commission, or be
otherwise interrelated by distinguishing characteristics including a nexus to
the same enterprise, and must not be isolated events. However, in any civil
proceedings brought pursuant to RCW 9A.82.100 by any person other than the
attorney general or county prosecuting attorney in which one or more acts of
fraud in the purchase or sale of securities are asserted as acts of criminal
profiteering activity, it is a condition to civil liability under RCW 9A.82.100
that the defendant has been convicted in a criminal proceeding of fraud in the purchase
or sale of securities under RCW 21.20.400 or under the laws of another state or
of the United States requiring the same elements of proof, but such conviction
need not relate to any act or acts asserted as acts of criminal profiteering
activity in such civil action under RCW 9A.82.100.
(16)
"Records" means any book, paper, writing, record, computer program,
or other material.
(17) "Documentary
material" means any book, paper, document, writing, drawing, graph, chart,
photograph, phonograph record, magnetic tape, computer printout, other data
compilation from which information can be obtained or from which information
can be translated into usable form, or other tangible item.
(18) "Unlawful
debt" means any money or other thing of value constituting principal or
interest of a debt that is legally unenforceable in the state in full or in
part because the debt was incurred or contracted:
(a) In violation of any
one of the following:
(i) Chapter 67.16 RCW
relating to horse racing;
(ii) Chapter 9.46 RCW
relating to gambling;
(b) In a gambling
activity in violation of federal law; or
(c) In connection with
the business of lending money or a thing of value at a rate that is at least
twice the permitted rate under the applicable state or federal law relating to
usury.
(19)(a)
"Beneficial interest" means:
(i) The interest of a
person as a beneficiary under a trust established under Title 11 RCW in which
the trustee for the trust holds legal or record title to real property;
(ii) The interest of a
person as a beneficiary under any other trust arrangement under which a trustee
holds legal or record title to real property for the benefit of the
beneficiary; or
(iii) The interest of a
person under any other form of express fiduciary arrangement under which one
person holds legal or record title to real property for the benefit of the
other person.
(b) "Beneficial
interest" does not include the interest of a stockholder in a corporation
or the interest of a partner in a general partnership or limited partnership.
(c) A beneficial
interest shall be considered to be located where the real property owned by the
trustee is located.
(20) "Real
property" means any real property or interest in real property, including
but not limited to a land sale contract, lease, or mortgage of real property.
(21)(a)
"Trustee" means:
(i) A person acting as
a trustee under a trust established under Title 11 RCW in which the trustee
holds legal or record title to real property;
(ii) A person who holds
legal or record title to real property in which another person has a beneficial
interest; or
(iii) A successor
trustee to a person who is a trustee under subsection (21)(a) (i) or (ii) of
this section.
(b) "Trustee"
does not mean a person appointed or acting as:
(i) A personal
representative under Title 11 RCW;
(ii) A trustee of any
testamentary trust;
(iii) A trustee of any
indenture of trust under which a bond is issued; or
(iv) A trustee under a
deed of trust.
Sec. 18. RCW 10.105.900 and 1993
c 288 s 1 are each amended to read as follows:
This chapter does not
apply to property subject to forfeiture under chapter 66.32 RCW, RCW 69.50.505,
9.41.098, ((9.46.230)) section 7 of this act, 9A.82.100,
9A.83.030, 7.48.090, or 77.12.101.
NEW SECTION. Sec.
19. RCW 9.46.230 and 1987 c
202 s 139, 1987 c 4 s 43, 1981 c 139 s 12, 1977 ex.s. c 326 s 16, 1974 ex.s. c
155 s 5, 1974 ex.s. c 135 s 5, & 1973 1st ex.s. c 218 s 23 are each
repealed.
NEW
SECTION. Sec. 20. This act is necessary for
the immediate preservation of the public peace, health, or safety, or support
of the state government and its existing public institutions, and shall take
effect immediately.
