HOUSE BILL REPORT

                 SSB 6735

             As Reported By House Committee On:

                    Government Operations

Title:  An act relating to disclosure requirements for campaign contributions by gambling interests.

Brief Description:  Requiring disclosure of campaign contributions from gambling interests.

Sponsors:  Senate Committee on Labor, Commerce & Trade (originally sponsored by Senators Pelz, Sutherland, Hargrove, Schow, Smith and Fairley).

Brief History:

  Committee Activity:

Government Operations:  2/21/96, 2/23/96 [DP].

HOUSE COMMITTEE ON GOVERNMENT OPERATIONS

Majority Report:  Do pass.  Signed by 8 members:  Representatives Reams, Chairman; Cairnes, Vice Chairman; Goldsmith, Vice Chairman; Hargrove; Honeyford; Hymes; Mulliken and D. Schmidt.

Minority Report:  Do not pass.  Signed by 4 members:  Representatives Rust, Ranking Minority Member; R. Fisher; Van Luven and Wolfe.

Staff:  Steve Lundin (786-7127).

Background:  The Public Disclosure Act requires the disclosure of campaign contributions.

Summary of Bill:  Whenever a gambling interest makes a contribution of $100 or more in the aggregate to a candidate, bona fide political party, political committee, or a caucus political committee, the contribution must be accompanied by an affirmative disclosure that the contribution is from a gambling interest and must indicate the percentage of the contributor's annual gross revenues that are attributable to gambling.

A copy of the disclosure must be filed with the Public Disclosure Commission within 10 days of the date the contribution is made.

A gambling interest is defined to be (1) a licensee under the 1973 Gambling Act, except for a bona fide charitable or nonprofit organization or a person operating amusement games; (2) a person or business licensed by the Horse Racing Commission to hold a meet; (3) a person or business with which a federally recognized Indian tribe has a contractual agreement to develop or operate a class III gaming establishment on Indian lands; (4) an Indian tribe that is party to a compact with the state of Washington under the federal Indian Gaming Regulatory Act; (5) a manufacturer or distributor of gambling devices, equipment, or paraphernalia; or (6) persons or businesses involved in the management or operation of gambling devices.

Political candidates and their treasurers are required specifically to disclose all contributions from gambling interests. This disclosure process is added to their ongoing reporting requirements.

The Gambling Commission may deny or revoke a license from any person or organization that does not disclose political contributions.  The Gambling Commission is authorized to inform licensees of their obligation to disclose contributions to political candidates.

Appropriation:  None.

Fiscal Note:  Available.

Effective Date:  The bill takes effect on January 1, 1997.

Testimony For:  None.

Testimony Against:  None.

Testified:  None.