Hawaii Casino Gaming

Allows casino gaming in counties with population greater than
200,000 if majority of county voters approve.  Restricts
shipboard gaming to 3 ships and allows shipboard gaming only to
12/31/2005.  Allows land-based casino gaming with no specific
termination date.  Repeals Act on 12/31/2005 if the relevant
county voters have not approved casino gaming by that date.

HOUSE OF REPRESENTATIVES                H.B. NO.1600       
TWENTIETH LEGISLATURE, 1999                                
STATE OF HAWAII                                            

                   A  BILL  FOR  AN  ACT



 1      SECTION 1.  Chapter 46, Hawaii Revised Statutes, is amended
 2 by adding a new section to be appropriately designated and to
 3 read as follows:
 4      "46-     Gaming in counties; conditions.  Any other law to
 5 the contrary notwithstanding, upon approval of a majority of
 6 voters of a county defined in section    -2 voting in the next
 7 general election or in a special election after the effective
 8 date of Act    , Session Laws of Hawaii 1999, casino gaming as
 9 authorized by chapter     shall be allowed to be conducted in
10 that county."
11      SECTION 2.  The Hawaii Revised Statutes is amended by adding
12 a new chapter to be appropriately designated and to read as
13 follows:
14                             "CHAPTER
15                              GAMING
16         -1  Shipboard gaming authorized.  Any other law to the
17 contrary notwithstanding, shipboard gaming operations and the
18 system of wagering incorporated therein, as defined in this
19 chapter, are authorized in any county with a population of two

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 1 hundred thousand or more pursuant to section 46-    to the extent
 2 that they are carried out in accordance with this chapter from
 3 the effective date of this Act until December 31, 2005.
 4      Not more than three operator's licenses for gaming ships
 5 shall be allowed under this section.
 6         -2  Definitions.  As used in this chapter, unless the
 7 context otherwise requires:
 8      "Adjusted gross receipts" means the gross receipts less the
 9 total of all cash value of items awarded as losses to wagerers
10 and those amounts paid to purchase annuities to fund losses paid
11 to wagerers over several years by independent financial
12 institutions.  Deductible losses shall not include gifts, travel
13 expenses, food, refreshments, lodging, or services provided to a
14 person in an effort to encourage patronage at the gaming
15 facility.
16      "Board" means the Hawaii gaming board.
17      "Casino facility" means a freestanding, land-based structure
18 which may include structures with bars, restaurants, showrooms,
19 theaters, or other facilities, but does not include any detached
20 structure used for hotel or other transient accommodation lodging
21 purposes.
22      "Casino gaming" means the operation of games under this
23 chapter, including baccarat, twenty-one, poker, craps, slot

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 1 machine, video game of chance, roulette wheel, klondike table,
 2 pachinko, punch-board, faro layout, keno layout, numbers ticket,
 3 push card, jar ticket, pull tab, or other game of chance that is
 4 authorized by the board as a wagering device.
 5      "County" means a county having a population of at least two
 6 hundred thousand.
 7      "Department" means the department of business, economic
 8 development, and tourism.
 9      "Director" means the director of business, economic
10 development, and tourism.
11      "Dock" means the location where a gaming ship is moored.
12      "Gaming facility" means a gaming ship or a casino facility.
13      "Gaming facility master development plan" means the master
14 plan for a casino facility and related amenities, including
15 recreational facilities.
16      "Gaming ship" means a ship or boat licensed under this
17 chapter to provide shipboard gaming activity, with not less than
18 eight hundred gaming stations.
19      "Gross receipts" means the total of:
20      (1)  Cash received as winnings;
21      (2)  Cash received in payment for credit extended by a
22           licensee to a patron for purposes of gaming; and
23      (3)  Compensation received for conducting any game in which

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                                     H.B. NO.1600       

 1           the licensee is not party to a wager.
 2 Gross receipts do not include counterfeit money or tokens, coins
 3 of other countries which are received in gaming devices, cash
 4 taken in fraudulent acts perpetrated against a licensee for which
 5 the licensee is not reimbursed, and cash received as entry fees
 6 for contests or tournaments in which patrons compete for prizes.
 7      "Occupational license" means a license issued by the board
 8 to a person or entity to perform an occupation which the board
 9 has identified as requiring a license to engage in gaming in
10 Hawaii.
11      "Operator's license" means a license to operate and maintain
12 a gaming facility permitted under this chapter.
13      "Shipboard gaming" means the operation of casino games
14 aboard a ship licensed under this chapter, including but not
15 limited to, baccarat, twenty-one, poker, craps, slot machine,
16 video game of chance, roulette wheel, klondike table, pachinko,
17 punch-board, faro layout, keno layout, numbers ticket, push card,
18 jar ticket, pull tab, or other game of chance that is authorized
19 by the board as a wagering device.
20      "Supplier's license" means a license to furnish any
21 equipment, devices, or supplies to a licensed gaming operation
22 permitted under this chapter.
23         -3  Hawaii gaming board.(a)  There is established

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 1 within the department, for administrative purposes only, the
 2 Hawaii gaming board, which shall be a public body and a body
 3 corporate and politic, and which shall administer, regulate, and
 4 enforce the system of gaming established by this chapter.  Its
 5 jurisdiction shall extend to every person, association,
 6 corporation, partnership, and trust involved in gaming operations
 7 in the State.
 8      (b)  The board shall consist of six members to be appointed
 9 by the governor with the advice and consent of the senate under
10 section 26-34.  Of the six members, two shall be appointed from a
11 list submitted by the president of the senate, and two shall be
12 appointed from a list submitted by the speaker of the house of
13 representatives.  The members shall elect one from among them to
14 be the chairperson.
15      (c)  The term of office of board members shall be four
16 years, except that the terms of office of the board members
17 initially appointed shall be staggered with three members (one
18 each from the two persons appointed from the senate president's
19 list, the two persons appointed from the house speaker's list,
20 and the two appointed directly by the governor) serving four-year
21 terms and three members serving two-year terms.  Vacancies in the
22 board shall be filled for the unexpired term in a like manner as
23 the original appointments.

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 1      (d)  Each member of the board shall receive $300 for each
 2 day the board meets and for each day the member conducts any
 3 hearing pursuant to this chapter.  Each member shall also be
 4 reimbursed for all actual and necessary expenses incurred in the
 5 execution of official duties.
 6      (e)  No person shall be appointed a member of the board or
 7 continue to be a member of the board if:
 8      (1)  The person or the person's spouse, child, or parent is
 9           an official of, or a person financially interested in,
10           or has a financial relationship with, any gaming
11           operation subject to the jurisdiction of the board; or
12      (2)  The person is not of good moral character or has been
13           convicted of, or is under indictment for, a felony
14           under the laws of Hawaii or any other state, or the
15           United States.
16      (f)  No board member shall hold any other public office.
17 Any member of the board may be removed by the governor for
18 neglect of duty, misfeasance, malfeasance, or nonfeasance in
19 office.
20         -4  Board members; bond requirement.  Before assuming
21 the duties of office, each member of the board shall take an oath
22 that the member shall faithfully execute the duties of office
23 according to the laws of the State and shall file and maintain

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 1 with the director a bond in the sum of $25,000 with good and
 2 sufficient sureties.  The cost of any bond for any member of the
 3 board under this section shall be considered a part of the
 4 necessary expenses of the board.
 5         -5 Staff.(a)  The board shall appoint, without regard
 6 to chapters 76 and 77, an administrator who shall perform any and
 7 all duties that the board may assign.  The salary of the
 8 administrator shall be determined by the board.  The
 9 administrator shall keep records of all proceedings of the board
10 and shall preserve all records, books, documents, and other
11 papers belonging to the board or entrusted to its care.  The
12 administrator shall devote full time to the duties of the office
13 and shall not hold any other office or employment.
14      (b)  The board may employ personnel, including personnel
15 with law enforcement authority, that may be necessary to carry
16 out its duties.  No person shall be employed by the board who is,
17 or whose spouse, parent, or child is an official of, or has a
18 financial interest in, or has a financial relation with, any
19 operator engaged in gaming operations within the State.  Any
20 employee violating these prohibitions shall be subject to
21 termination of employment.
22         -6  Powers of the board.  The board shall have all
23 powers necessary and proper to fully and effectively supervise

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 1 all gaming operations, including, but not limited to the
 2 following:
 3      (1)  To determine the types and numbers of operator's
 4           licenses to be permitted under this chapter; provided
 5           that the total number of gaming ships operating under
 6           licenses granted under this chapter shall not exceed
 7           three;
 8      (2)  To adopt standards for the licensing of all persons
 9           under this chapter, to issue licenses, and to establish
10           and collect fees for such licenses;
11      (3)  To provide for the collection of all fees and taxes
12           imposed pursuant to this chapter;
13      (4)  To enter the office, gaming ships, gaming facilities,
14           or other places of business of a licensee, where
15           evidence of the compliance or noncompliance with this
16           chapter is likely to be found;
17      (5)  To investigate alleged violations of this chapter and
18           to take appropriate disciplinary action against a
19           licensee or a holder of an occupational license for a
20           violation, or institute appropriate legal action for
21           enforcement, or both;
22      (6)  To be present through its inspectors and agents any
23           time gaming operations are conducted for the purpose of

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 1           certifying the revenue thereof, receiving complaints
 2           from the public, and conducting such other
 3           investigations into the conduct of the gaming and the
 4           maintenance of the equipment as from time to time the
 5           board may deem necessary and proper;
 6      (7)  To require that the records, including financial or
 7           other statements of any licensee under this chapter, be
 8           kept in a manner prescribed by the board and that any
 9           licensee involved in the ownership or management of
10           gaming operations submit to the board an annual balance
11           sheet and profit and loss statement, a list of the
12           stockholders or other persons having a ten per cent or
13           greater beneficial interest in the gaming activities of
14           each licensee, and any other information the board
15           deems necessary in order to effectively administer this
16           chapter;
17      (8)  To conduct hearings, issue subpoenas for the attendance
18           of witnesses and subpoenas duces tecum for the
19           production of books, records, and other pertinent
20           documents, and to administer oaths and affirmations to
21           the witnesses, when, in the judgment of the board, it
22           is necessary to administer or enforce this chapter;
23      (9)  To prescribe an employment application form to be used

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 1           by any licensee involved in the ownership or management
 2           of gaming operations for hiring purposes;
 3     (10)  To eject or exclude or authorize the ejection or
 4           exclusion of, any person from gaming facilities where
 5           the person is in violation of this chapter or where the
 6           person's conduct or reputation is such that the
 7           person's presence within a gaming facility, in the
 8           opinion of the board, may call into question the
 9           honesty and integrity of the gaming operation or
10           interfere with the orderly conduct thereof; provided
11           that the propriety of that ejection or exclusion is
12           subject to subsequent hearing by the board;
13     (11)  To permit licensees of gaming operations to utilize a
14           wagering system whereby gamers' money may be converted
15           to tokens, electronic cards, or chips which shall be
16           used only for wagering in the gaming facility;
17     (12)  To suspend, revoke, or restrict licenses, to require
18           the removal of a licensee or an employee of a licensee
19           for a violation of this chapter or a board rule or for
20           engaging in a fraudulent practice;
21     (13)  To impose and collect fines against licensees for each
22           violation of this chapter, any rules adopted by the
23           board, any order of the board, or any action which in

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 1           the board's discretion, is a detriment or impediment to
 2           gaming operations;
 3     (14)  To hire employees to gather information, conduct
 4           investigations, and carry out any other tasks
 5           contemplated under this chapter;
 6     (15)  To establish minimum levels of insurance to be
 7           maintained by licensees;
 8     (16)  To delegate the execution of any of its powers for the
 9           purpose of administering and enforcing this chapter and
10           rules adopted under this chapter;
11     (17)  To adopt necessary rules under chapter 91 to implement
12           this chapter; and
13     (18)  To take any other action as may be reasonable or
14           appropriate to enforce this chapter and rules adopted
15           under this chapter.
16         -7  Meetings of the board.  The board shall hold at
17 least one meeting each quarter of the State's fiscal year.  In
18 addition, special meetings may be called by the chairperson or
19 any two board members upon seventy-two hours written notice to
20 each member.  All board meetings shall be subject to chapter 92.
21 Three members of the board shall constitute a quorum, and a
22 majority vote of the members present and constituting a quorum
23 shall be required for any final determination by the board.  The

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 1 board shall keep a complete and accurate record of all its
 2 meetings.
 3         -8  Annual report.  The board shall submit an annual
 4 report to the governor and the legislature not less than twenty
 5 days prior to the convening of each regular session of the
 6 legislature.  The annual report shall include:
 7      (1)  A statement of receipts and disbursements by the board;
 8      (2)  Actions taken by the board;
 9      (3)  Revenues collected from the taxes, fees, and fines
10           imposed under this chapter;
11      (4)  Amounts allocable to administrative and enforcement
12           costs; and
13      (5)  Any additional information and recommendations which
14           the board may deem valuable or which the governor or
15           the legislature may request.
16         -9  Hearings by the board.(a)  Upon order of the
17 board, one of the board members or a hearings officer designated
18 by the board may conduct any hearing provided for under this
19 chapter or by board rule and may recommend findings and decisions
20 to the board.  The board member or hearings officer conducting
21 the hearing shall have all powers and rights granted to the board
22 in this chapter.  The record made at the time of the hearing
23 shall be reviewed by the board, or a majority thereof, and the

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 1 findings and decision of the majority of the board shall
 2 constitute the order of the board in that case.
 3      (b)  Any party aggrieved by an action of the board denying,
 4 suspending, revoking, restricting, or refusing to renew a license
 5 may request a hearing before the board.  A request for a hearing
 6 must be made to the board in writing within five days after
 7 service of notice of the action of the board.  Notice of the
 8 action of the board shall be served either by personal delivery
 9 or by certified mail, postage prepaid, to the aggrieved party.
10 Notice served by certified mail shall be deemed complete on the
11 business day following the date of the mailing.  The board shall
12 conduct all requested hearings promptly and in an orderly
13 fashion.
14         -10  Disclosure of records.(a)  Notwithstanding any
15 other law to the contrary, the board upon written request from
16 any person, shall provide information furnished by an applicant
17 or licensee concerning the applicant or licensee, or the
18 applicant's or licensee's products, services, or gaming
19 enterprises, and business holdings, as follows:
20      (1)  The name, business address, and business telephone
21           number of any applicant or licensee;
22      (2)  An identification of any applicant or licensee
23           including, if an applicant or licensee is not an

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 1           individual or partnership, the state of incorporation
 2           or registration, the corporate officers, and the
 3           identity of all shareholders or participants;
 4      (3)  An identification of any business, including, if
 5           applicable, the state of incorporation or registration,
 6           in which an applicant or licensee or an applicant's or
 7           licensee's spouse or children has an equity interest of
 8           more than five per cent.  If an applicant or licensee
 9           is a corporation, partnership, or other business
10           entity, the applicant or licensee shall identify any
11           other corporation, partnership, or business entity in
12           which it has an equity interest of five per cent or
13           more, including, if applicable, the state of
14           incorporation or registration;
15      (4)  Whether an applicant or licensee has been indicted,
16           convicted, pleaded guilty or nolo contendere, or
17           forfeited bail concerning any criminal offense under
18           the laws of any jurisdiction, either felony or
19           misdemeanor (except for traffic violations), including
20           the date, the name, and location of the court,
21           arresting agency, and prosecuting agency, the case
22           number, the offense, the disposition, and the location
23           and length of incarceration;

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                                     H.B. NO.1600       

 1      (5)  A statement listing the names and titles of all public
 2           officials or officers of any unit of government, and
 3           relatives of public officials or officers who, directly
 4           or indirectly, own any financial interest in, have any
 5           beneficial interest in, are the creditors of or hold
 6           any debt instrument issued by, or hold or have any
 7           interest in any contractual or service relationship
 8           with, an applicant or licensee;
 9      (6)  Whether an applicant or licensee has made, directly or
10           indirectly, any political contribution, or any loans,
11           donations, or other payments, to any candidate or
12           office holder, within five years from the date of
13           filing the application, including the amount and the
14           method of payment;
15      (7)  The name and business telephone number of any attorney
16           representing an applicant or licensee in matters before
17           the board;
18      (8)  A description of any proposed or approved gaming
19           operation, expected economic benefit to the community,
20           anticipated or actual number of employees, statement
21           from an applicant or licensee stating the applicant or
22           licensee is in compliance with federal and state
23           affirmative action guidelines, projected or actual

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                                     H.B. NO.1600       

 1           admissions, and projected or actual adjusted gross
 2           gaming receipts; and
 3      (9)  A description of the product or service to be supplied
 4           by an applicant for a supplier's license.
 5      (b)  Notwithstanding any provision of law to the contrary,
 6 the board, on written request from any person, shall also provide
 7 the following information:
 8      (1)  The amount of the wagering tax and admission tax paid
 9           daily to the State by the holder of an operator's
10           license;
11      (2)  Whenever the board finds an applicant for an operator's
12           license unsuitable for licensing, a copy of the written
13           letter outlining the reasons for the denial; and
14      (3)  Whenever the board has refused to grant leave for an
15           applicant to withdraw an application, a copy of the
16           letter outlining the reasons for the refusal.
17      (c)  Subject to subsections (a) and (b), the board shall not
18 disclose any information which would be barred by:
19      (1)  Chapter 92F; or
20      (2)  The statutes, rules, regulations, or intergovernmental
21           agreements of any jurisdiction.
22      (d)  The board may assess fees for the copying of
23 information in accordance with chapter 92F.

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                                     H.B. NO.1600       

 1         -11  Application for operator's license.(a)  A
 2 qualified person may apply to the board for an operator's license
 3 to conduct a gaming operation.  The application shall be made on
 4 forms provided by the board and shall contain any information
 5 that the board prescribes, including the exact location of the
 6 gaming facility, a gaming facility master development plan if the
 7 facility has not been used or constructed for gaming under this
 8 chapter, detailed information regarding the ownership and
 9 management of the applicant, and detailed personal information
10 regarding the applicant.  Information provided on the application
11 shall be used as the basis for a thorough background
12 investigation which the board shall conduct with respect to each
13 applicant.  An incomplete application shall be cause for denial
14 of a license by the board.
15      (b)  Each applicant shall disclose the identity of every
16 person, association, trust, or corporation having a greater than
17 one per cent direct or indirect pecuniary interest in the gaming
18 operation with respect to which the license is sought.  If the
19 disclosed entity is a trust, the application shall disclose the
20 names and addresses of the beneficiaries; if a corporation, the
21 names and addresses of all stockholders and directors; if a
22 partnership, the names and addresses of all partners, both
23 general and limited.

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                                     H.B. NO.1600       

 1      (c)  An application fee of $50,000 shall be paid at the time
 2 of filing to defray the costs associated with the background
 3 investigation conducted by the board, and the search and
 4 classification of fingerprints obtained by the board with request
 5 to the application.  If the costs of the investigation exceed
 6 $50,000, the applicant shall pay the additional amount to the
 7 board.  If the costs of the investigation are less than $50,000,
 8 the applicant shall receive a refund of the remaining amount.
 9 All information, records, interviews, reports, statements,
10 memoranda, or other data supplied to or used by the board in the
11 course of its review or investigation of an application for a
12 license shall be privileged, strictly confidential, and shall be
13 used only for the purpose of evaluating an applicant.  The
14 information, records, interviews, reports, statements, memoranda,
15 or other date shall not be admissible as evidence, nor
16 discoverable in any action of any kind in any court or before any
17 tribunal, board, agency, or person, except for any action deemed
18 necessary by the board.
19      (d)  The licensed operator shall be the person primarily
20 responsible for the gaming facility itself.  The applicant shall
21 identify the gaming facility it intends to use and certify that
22 the facility:
23      (1)  Has the capacity of         persons; and

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 1      (2)  Is accessible to persons with disabilities.
 2      (e)  A person who knowingly makes a false statement on an
 3 application is guilty of a petty misdemeanor.
 4         -12  Operator's licenses; term; fee.(a)  No person
 5 shall operate and maintain a gaming facility in this State unless
 6 the person has first obtained an operator's license from the
 7 board pursuant to this section.  If the board finds that the
 8 applicant meets the eligibility requirements, the board shall
 9 issue an operator's license within ninety days upon payment by
10 the applicant of an annual fee of $25,000.  Licenses initially
11 issued for shipboard gaming shall be valid until December 31,
12 2005, as long as the board determines that the licensee continues
13 to meet all of the requirements of this chapter.
14      (b)  No person shall operate and maintain a casino facility
15 for casino gaming unless the person has first obtained an
16 operator's license from the board pursuant to this section.  An
17 operator's license shall be valid only for the casino facility
18 described in the license.
19      If the casino facility was not used or constructed by a
20 previous operator licensed under this chapter, the recipient of
21 the operator's license shall be required to implement a gaming
22 facility master development plan, which shall entail an
23 expenditure of at least $        , including all development

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 1 expenditures for construction of casino and related facilities
 2 and amenities and any other development infrastructure (including
 3 on- and off-site development improvements), and expenditures for
 4 any improvements exacted as a condition to any governmental
 5 approval, action, or permit, but excluding the costs of
 6 acquiring, subdividing, or rezoning land (other than land
 7 required to satisfy governmental exactions) and prior development
 8 expenditures for existing improvements to real property.  To
 9 secure this commitment, the holder of an operator's license shall
10 file a financial guarantee bond in the sum of $          with the
11 department in favor of the county for which the operator's
12 license is issued.
13      The casino facility may be on the same parcel, contiguous
14 parcels, or noncontiguous parcels from the rest of the facilities
15 described in the gaming facility master development plan.
16 Transient accommodation lodging shall not be permitted within the
17 casino facility.
18      An operator's license is issued to the operator and not to
19 the casino facility.  The board may authorize a licensed operator
20 to own and operate only one casino facility in any one county per
21 operator's license.
22      Not more than three operator's licenses for casino
23 facilities shall be allowed in any county that has satisfied the

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 1 requirements of section 46-   .
 2      (c)  The board shall establish a process to facilitate and
 3 expedite the approval of the necessary licenses and permits.
 4      (d)  An applicant shall be ineligible to receive an
 5 operator's license if:
 6      (1)  The person has been convicted of a felony under the
 7           laws of this State, any other state, or the United
 8           States;
 9      (2)  The person has been convicted of any violation under
10           part III, chapter 712, or substantially similar laws of
11           another jurisdiction;
12      (3)  The person has submitted an application for a license
13           under this chapter which contains false information;
14      (4)  The person is a member of the board;
15      (5)  A person described in paragraph (1), (2), (3), or (4)
16           is an officer, director, or managerial employee of a
17           firm or corporation applying for a license;
18      (6)  The firm or corporation employs a person described in
19           paragraph (1), (2), (3), or (4) who participates in the
20           management or operation of gaming operations authorized
21           under this chapter; or
22      (7)  A license of the person, firm, or corporation issued
23           under this chapter, or a license to own or operate

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 1           gaming facilities in any other jurisdiction, has been
 2           revoked.
 3      (e)  In determining whether to grant an operator's license
 4 to an applicant, the board shall consider:
 5      (1)  The character, reputation, experience, and financial
 6           integrity of the applicants and of any other or
 7           separate person that either:
 8           (A)  Controls, directly or indirectly, the applicant,
 9                or
10           (B)  Is controlled, directly or indirectly, by the
11                applicant or by a person that controls, directly
12                or indirectly, the applicant;
13      (2)  The facilities or proposed facilities for the conduct
14           of gaming;
15      (3)  The highest prospective total revenue to be derived by
16           the State from the conduct of gaming;
17      (4)  The financial ability of the applicant to purchase and
18           maintain adequate liability and casualty insurance;
19      (5)  Whether the applicant has adequate capitalization to
20           provide and maintain, for the duration of a license, a
21           gaming operation; and
22      (6)  The extent to which the applicant exceeds or meets
23           other standards for the issuance of an operator's

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                                     H.B. NO.1600       

 1           license which the board may adopt by rule.
 2      (f)  Each applicant shall submit with the application, on
 3 forms provided by the board, two sets of the applicant's
 4 fingerprints.
 5      (g)  In the application for an operator's license for a
 6 gaming ship, the applicant shall specify the dock at which the
 7 gaming ship will be moored.
 8      (h)  The board may revoke the operator's license for a
 9 gaming ship if the licensee fails to begin regular shipboard
10 gaming operations within six months of receipt of the board's
11 approval of the application upon a finding by the board that
12 license revocation is in the best interest of the State.
13      (i)  Nothing in this chapter shall be interpreted to
14 prohibit a licensed operator from operating a school for the
15 training of any occupational licensee.
16         -13  Bond of licensee.  Before an operator's license is
17 issued, the licensee shall file a bond in the sum of $200,000
18 with the department.  The bond shall be used to guarantee that
19 the licensee faithfully makes the payments, keeps books and
20 records, makes reports, and conducts games of chance in
21 conformity with this chapter and the rules adopted by the board.
22 The bond shall not be canceled by a surety on less than thirty
23 days notice in writing to the board.  If a bond is canceled and

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 1 the licensee fails to file a new bond with the board in the
 2 required amount on or before the effective date of cancellation,
 3 the licensee's license shall be revoked.  The total and aggregate
 4 liability of the surety on the bond shall be limited to the
 5 amount specified in the bond.
 6         -14  Supplier's licenses.(a)  No person shall furnish
 7 any equipment, devices, or supplies to a licensed gaming
 8 operation unless the person has first obtained a supplier's
 9 license pursuant to this section.  The board may issue a
10 supplier's license to any person, firm, or corporation who pays a
11 nonrefundable application fee as set by the board upon a
12 determination by the board that the applicant is eligible for a
13 supplier's license and upon payment by the applicant of a $5,000
14 license fee.  Supplier's licenses shall be renewable annually
15 upon payment of the $5,000 annual license fee and a determination
16 by the board that the licensee continues to meet all of the
17 requirements of this chapter.
18      (b)  The holder of a supplier's license may sell or lease,
19 or contract to sell or lease, gaming equipment and supplies to
20 any licensee involved in the ownership or management of gaming
21 operations.
22      (c)  Gaming supplies and equipment shall not be distributed
23 unless supplies and equipment conform to standards adopted by

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                                     H.B. NO.1600       

 1 rules of the board.
 2      (d)  A person, firm, or corporation shall be ineligible to
 3 receive a supplier's license if:
 4      (1)  The person has been convicted of a felony under the
 5           laws of this State, any other state, or the United
 6           States;
 7      (2)  The person has been convicted of any violation under
 8           part III, chapter 712, or substantially similar laws of
 9           another jurisdiction;
10      (3)  The person has submitted an application for a license
11           under this chapter which contains false information;
12      (4)  The person is a member of the board;
13      (5)  The firm or corporation is one in which a person
14           defined in paragraph (1), (2), (3), or (4) is an
15           officer, director, or managerial employee;
16      (6)  The firm or corporation employs a person defined in
17           paragraph (1), (2), (3), or (4) who participates in the
18           management or operation of gaming authorized under this
19           chapter; or
20      (7)  The license of the person, firm, or corporation issued
21           under this chapter, or a license to own or operate
22           gaming facilities in any other jurisdiction, has been
23           revoked.

Page 26                                                    
                                     H.B. NO.1600       

 1      (e)  A supplier shall:
 2      (1)  Furnish to the board a list of all equipment, devices,
 3           and supplies offered for sale or lease in connection
 4           with games authorized under this chapter;
 5      (2)  Keep books and records for the furnishing of equipment,
 6           devices, and supplies to gaming operations separate and
 7           distinct from any other business that the supplier
 8           might operate;
 9      (3)  File a quarterly return with the board listing all
10           sales and leases;
11      (4)  Permanently affix its name to all its equipment,
12           devices, and supplies for gaming operations; and
13      (5)  File an annual report with the board listing the
14           inventories of gaming equipment, devices, and supplies.
15      (f)  Any person who knowingly makes a false statement on an
16 application is guilty of a petty misdemeanor.
17      (g)  Any gaming equipment, devices, or supplies provided by
18 any licensed supplier may either be repaired in the gaming
19 facility or removed from the gaming facility to a facility owned
20 by the holder of an operator's license for repair.  Any
21 supplier's equipment, devices, and supplies which are used by any
22 person in an unauthorized gaming operation shall be forfeited to
23 the State.

Page 27                                                    
                                     H.B. NO.1600       

 1         -15  Occupational licenses.(a)  The board may issue an
 2 occupational license to an applicant upon the payment of a
 3 nonrefundable application fee as set by the board, upon a
 4 determination by the board that the applicant is eligible for an
 5 occupational license, and upon payment of an annual license fee
 6 in an amount set by the board.  To be eligible for an
 7 occupational license, an applicant shall:
 8      (1)  Be at least twenty-one years of age if the applicant
 9           will perform any function involved in gaming by
10           patrons.  Any applicant seeking an occupational license
11           for a nongaming function shall be at least eighteen
12           years of age;
13      (2)  Not have been convicted of a felony offense, any
14           violation under part III, chapter 712, or a
15           substantially similar law of any other jurisdiction, or
16           a crime involving dishonesty or moral turpitude;
17      (3)  Have demonstrated a level of skill or knowledge which
18           the board determines to be necessary in order to
19           operate gaming in a gaming facility; and
20      (4)  Have met standards for the holding of an occupational
21           license as provided in rules adopted by the board,
22           including background inquiries and other requirements
23           similar to those for an operator's license.

Page 28                                                    
                                     H.B. NO.1600       

 1      (b)  Each application for an occupational license shall be
 2 on forms prescribed by the board and shall contain all
 3 information required by the board.  The applicant shall set forth
 4 in the application whether the applicant:
 5      (1)  Has been issued prior gaming-related licenses in any
 6           jurisdiction;
 7      (2)  Has been licensed in any other jurisdiction under any
 8           other name, and, if so, the name and the applicant's
 9           age at the time; and
10      (3)  Whether or not the permit or license issued to the
11           applicant in any other jurisdiction has been suspended,
12           or revoked and, if so, for what period of time.
13      (c)  Each applicant shall submit with the application, two
14 sets of the applicant's fingerprints.  The board shall charge
15 each applicant a fee to defray the costs associated with the
16 search and classification of fingerprints obtained by the board
17 with respect to the application.
18      (d)  The board may refuse an occupational license to any
19 person:
20      (1)  Who is unqualified to perform the duties required of
21           the applicant;
22      (2)  Who fails to disclose or states falsely any information
23           called for in the application;

Page 29                                                    
                                     H.B. NO.1600       

 1      (3)  Who has been found guilty of a violation of this
 2           chapter or whose prior gaming-related license or
 3           application therefor has been suspended, revoked, or
 4           denied for just cause in any other jurisdiction;
 5      (4)  For any other just cause.
 6      (e)  The board may suspend, revoke, or restrict the license
 7 of any occupational licensee:
 8      (1)  For any violation of this chapter;
 9      (2)  For any violation of the rules of the board;
10      (3)  For any cause which, if known to the board, would have
11           disqualified the applicant from receiving a license;
12      (4)  For default in the payment of any obligation or debt
13           due to the State;
14      (5)  For any other just cause.
15      (f)  A person who knowingly makes a false statement on an
16 application is guilty of a petty misdemeanor.
17      (g)  Any license issued pursuant to this section shall be
18 valid for a period of one year from the date of issuance and
19 shall be renewable annually upon payment of the annual license
20 fee and a determination by the board that the license continues
21 to meet all of the requirements of this chapter.
22      (h)  Any training provided for occupational licensees may be
23 conducted either in a licensed gaming facility or at a school

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                                     H.B. NO.1600       

 1 with which a licensed operator has entered into as agreement.
 2         -16  Conduct of gaming.  Gaming may be conducted by
 3 licensed operators in a gaming facility, subject to the following
 4 standards:
 5      (1)  Minimum and maximum wagers on games shall be set by the
 6           licensee;
 7      (2)  Agents of the board may enter and inspect any gaming
 8           facility at any time for the purpose of determining
 9           compliance with this chapter;
10      (3)  Employees of the board shall have the right to be
11           present in any gaming facilities under the control of
12           the licensee;
13      (4)  Gaming equipment and supplies customarily used in
14           conducting gaming shall be purchased or leased only
15           from suppliers licensed under this chapter;
16      (5)  Persons licensed under this chapter shall permit no
17           form of wagering on games except as permitted by this
18           chapter;
19      (6)  Wagers may be received only from a person present in a
20           licensed gaming facility.  No person present in a
21           licensed gaming facility shall place or attempt to
22           place a wager on behalf of another person who is not
23           present in the gaming facility;

Page 31                                                    
                                     H.B. NO.1600       

 1      (7)  Wagering shall not be conducted with money or other
 2           negotiable currency, except for wagering on slot
 3           machines;
 4      (8)  A person under age twenty-one shall not be permitted in
 5           an area of a gaming facility where gaming is being
 6           conducted, except for a person at least eighteen years
 7           of age who is an employee of the gaming operation.  No
 8           employee under age twenty-one shall perform any
 9           function involved in gaming by the patrons.  No person
10           under age twenty-one shall be permitted to make a wager
11           under this chapter;
12      (9)  All tokens, chips, or electronic cards used to make
13           wagers shall be purchased from a licensed operator in a
14           gaming facility.  The tokens, chips, or electronic
15           cards may be purchased by means of an agreement under
16           which the operator extends credit to the patron.  The
17           tokens, chips, or electronic cards may be used while in
18           the gaming facility only for the purpose of making
19           wagers on authorized games; and
20     (10)  In addition to the above, gaming must be conducted in
21           accordance with all rules adopted by the board.
22         -17  Collection of amounts owing under credit
23 agreements.  Notwithstanding any other law to the contrary, a

Page 32                                                    
                                     H.B. NO.1600       

 1 licensed operator who extends credit to a gaming patron is
 2 expressly authorized to institute a cause of action to collect
 3 any amounts due and owing under the extension of credit, as well
 4 as the operator's costs, expenses, and reasonable attorney's fees
 5 incurred in collection.
 6         -18  Admission fee.(a)  Each licensed operator shall
 7 collect from each person admitted to gaming facilities authorized
 8 under this chapter an admission fee at the rate of $      per
 9 person admitted.  This admission fee is imposed upon the licensed
10 operator of the gaming facility; provided that:
11      (1)  If tickets are issued which are good for more than one
12           admission, the admission fee shall be paid for each
13           person using the ticket at the time of admission for
14           which the ticket is used;
15      (2)  If free passes or complimentary admission tickets are
16           issued, the licensee shall pay the same fee upon these
17           passes or complimentary tickets as if they were sold at
18           the regular and usual admission rate;
19      (3)  The operator's licensee may issue admission-free passes
20           to actual and necessary officials and employees of the
21           licensee or other persons actually working in the
22           gaming facility; and
23      (4)  The number and issuance of admission-free passes are

Page 33                                                    
                                     H.B. NO.1600       

 1           subject to the rules of the board, and a list of all
 2           persons to whom such passes are issued shall be filed
 3           with the board.
 4      (b)  The fee imposed under subsection (a) shall be collected
 5 by the board.  Fifty per cent of the fees collected shall be
 6 distributed to nonprofit organizations selected by the licensee,
 7 and the county in which the admission fee is imposed shall
 8 receive fifty per cent to be used for law enforcement programs.
 9      (c)  The licensed operator shall pay the entire admission
10 fees collected to the board on a daily basis.  Failure to submit
11 either the payment within the specified time may result in
12 suspension or revocation of the operator's license.
13         -19  Wagering tax; rate; distribution.(a)  A tax shall
14 be imposed on the adjusted gross receipts received from gaming
15 authorized under this chapter at the rate of        per cent of
16 which the board shall retain one-half of one per cent, but not
17 less than $1,000,000, to cover the expenses of the board's
18 operations.  The State shall receive two-thirds of the remaining
19 balance of the tax, and the county in which the wagering tax is
20 imposed shall receive one-third.  The wagering tax imposed by
21 this section shall be in lieu of all other state taxes on gross
22 or adjusted gross receipts, except income taxes, including taxes
23 levied under chapters 237, 238, and 239.

Page 34                                                    
                                     H.B. NO.1600       

 1      (b)  The tax imposed by this section shall be paid by the
 2 licensed operator to the commission no less frequently than
 3 monthly by the fifteenth day of the following month.  If the
 4 amount of wagering tax required to be reported and paid pursuant
 5 to this section is later determined to be greater or less than
 6 the amount actually reported and paid by the licensee, the board
 7 shall:
 8      (1)  Assess and collect the additional wagering tax
 9           determined to be due, with interest thereon until paid;
10           or
11      (2)  Refund any overpayment, with interest thereon, to the
12           licensee.
13 Interest shall be computed, until paid, at the rate of one per
14 cent per month from the first day of the first month following
15 either the due date of the additional wagering tax or the date of
16 overpayment.
17         -20  Licenses; records; reports; supervision.(a)  A
18 licensed operator shall keep books and records so as to clearly
19 show:
20      (1)  The daily number of admissions and the amount of
21           admission tax payable each day;
22      (2)  The total amount of gross receipts; and
23      (3)  The total amount of the adjusted gross receipts.

Page 35                                                    
                                     H.B. NO.1600       

 1      (b)  The licensed operator shall furnish to the board
 2 reports and information that the board may require with respect
 3 to its activities on forms designed and supplied for that purpose
 4 by the board.
 5      (c)  The books and records kept by a licensed operator are
 6 public records and the examination, publication, and
 7 dissemination of the books and records shall be subject to
 8 chapter 92F.
 9         -21  Audit of licensee operations.  Within ninety days
10 after the end of each quarter of each fiscal year, the licensed
11 operator shall transmit to the board an audit of the financial
12 transactions and condition of the licensee's total operations.
13 All audits shall be conducted by certified public accountants
14 selected by the board.  Each certified public accountant shall be
15 registered and licensed to practice in this State.  The
16 compensation for each certified public accountant shall be paid
17 directly by the licensed operator to the certified public
18 accountant.
19         -22  Judicial review.  Jurisdiction and venue for the
20 judicial review of a final order of the board relating to
21 operator's, supplier's, or occupational licenses shall be vested
22 in the circuit court of the appropriate jurisdiction.  A petition
23 for judicial review of a final order of the board must be filed

Page 36                                                    
                                     H.B. NO.1600       

 1 within thirty days after entry of the final order.
 2         -23  Offenses; penalty.(a)  A person is guilty of a
 3 misdemeanor for any of the following:
 4      (1)  Operating a gaming facility where wagering is used or
 5           to be used without a license issued by the board;
 6      (2)  Operating a gaming facility where wagering is conducted
 7           other than in the manner authorized under this chapter;
 8           or
 9      (3)  Permitting a person under twenty-one years of age to
10           make a wager.
11      (b)  A person wagering or accepting a wager at any location
12 outside a gaming facility shall be subject to the penalties in
13 sections 712-1220 to 712-1230.
14      (c)  A person commits a class C felony and, in addition,
15 shall be barred for life from gaming facilities under the
16 jurisdiction of the board, if the person does any of the
17 following:
18      (1)  Offers, promises, or gives anything of value or benefit
19           to a person who is connected with a gaming facility
20           operator including an officer or employee of a licensed
21           operator or holder of an occupational license pursuant
22           to an agreement or arrangement or with the intent that
23           the promise or thing of value or benefit will influence

Page 37                                                    
                                     H.B. NO.1600       

 1           the actions of the person to whom the offer, promise,
 2           or gift is made in order to affect or attempt to affect
 3           the outcome of a gaming activity or to influence
 4           official action of a member or employees of the board,
 5           or employees in the department of the attorney general
 6           or state or county public safety officers who have
 7           direct authority over regulation or investigation of
 8           any licensee or applicant;
 9      (2)  Solicits or knowingly accepts or receives a promise of
10           anything of value or benefit while the person is
11           connected with a gaming facility including an officer
12           or employee of a licensed operator, or holder of an
13           occupational license, pursuant to an understanding or
14           arrangement or with the intent that the promise or
15           thing of value or benefit will influence the actions of
16           the person to affect or attempt to affect the outcome
17           of a gaming activity, or to influence official action
18           of a member or employees of the board, or employees in
19           the department of the attorney general or state or
20           county public safety officers who have direct authority
21           over the regulation or investigation of any licensee or
22           applicant;
23      (3)  Uses or possesses with the intent to use a device to

Page 38                                                    
                                     H.B. NO.1600       

 1           assist:
 2           (A)  In projecting the outcome of the game;
 3           (B)  In keeping track of the cards played;
 4           (C)  In analyzing the probability of the occurrence of
 5                an event relating to the gaming activity; and
 6           (D)  In analyzing the strategy for playing or betting
 7                to be used in the game except as permitted by the
 8                board;
 9      (4)  Cheats at a gaming activity;
10      (5)  Manufacturers, sells, or distributes any cards, chips,
11           dice, game, or device which is intended to be used to
12           violate this chapter;
13      (6)  Alters or misrepresents the outcome of a gaming
14           activity on which wagers have been made after the
15           outcome is made sure but before it is revealed to the
16           players;
17      (7)  Places a bet after acquiring knowledge, not available
18           to all players, of the outcome of the gaming activity
19           which is subject to the bet or to aid a person in
20           acquiring the knowledge for the purpose of placing a
21           bet contingent on that outcome;
22      (8)  Claims, collects, or takes, or attempts to claim,
23           collect, or take, money or anything of value in or from

Page 39                                                    
                                     H.B. NO.1600       

 1           the games, with intent to defraud, without having made
 2           a wager contingent on winning a gaming activity, or
 3           claims, collects, or takes an amount of money or thing
 4           of value of greater value than the amount won;
 5      (9)  Uses counterfeit chips or tokens in a gaming activity;
 6           or
 7     (10)  Possesses any key or device designed for the purpose of
 8           opening, entering, or affecting the operation of a
 9           gaming activity, drop box, or an electronic or
10           mechanical device connected with the gaming activity or
11           for removing coins, tokens, chips, or other contents of
12           a gaming device.  This paragraph shall not apply to a
13           gaming licensee or employee of a gaming licensee acting
14           in furtherance of the employee's employment.
15      (d)  The possession of more than one of the devices
16 described in subsection (c)(3), (5), or (10) raises a rebuttable
17 presumption that the possessor intended to use the device for
18 cheating.
19         -24  Prohibited activities; civil penalties.  Any person
20 who conducts a gaming operation without first obtaining a license
21 to do so, or who continues to conduct gaming operations after
22 revocation of the person's license, or any licensee who conducts
23 or allows to be conducted any unauthorized games in a gaming

Page 40                                                    
                                     H.B. NO.1600       

 1 facility where it is authorized to conduct its gaming operation,
 2 in addition to other penalties provided, shall be subject to a
 3 civil penalty equal to the amount of gross receipts derived from
 4 wagering on the games, whether unauthorized or authorized,
 5 conducted on that day as well as confiscation and forfeiture of
 6 all gaming equipment used in the conduct of unauthorized games.
 7         -25  Criminal history record information.  Whenever the
 8 board is authorized or required by law to consider some aspect of
 9 criminal history record information for the purpose of carrying
10 out its statutory powers and responsibilities, upon request from
11 the board, the Hawaii criminal justice data center shall furnish
12 any information contained in its files.
13         -26  Exemption from federal laws prohibiting gaming
14 devices.  The transportation of gambling devices into a county in
15 which gaming is permitted and through other counties of the State
16 shall be exempt from the provisions of Title 15 United States
17 Code section 1172.  This exemption shall only apply to gambling
18 devices that have satisfied the registration, record keeping, and
19 labeling requirements of Title 15 United States Code section
20 1173-74 before entry into the State.
21         -27  Legislative oversight.(a)  The auditor shall
22 conduct a biennial financial and social assessment of gaming
23 operations.  In conducting the assessment, the auditor shall

Page 41                                                    
                                     H.B. NO.1600       

 1 identify the financial impacts of gaming on the state economy and
 2 the social impacts of gaming upon the community.  The auditor
 3 shall submit a report of findings and recommendations to the
 4 legislature prior to the convening of the next regular session
 5 after the biennial assessment is completed.
 6      (b)  Initially, the auditor shall conduct a program and
 7 financial audit of the Hawaii gaming board.  Thereafter, the
 8 auditor shall conduct a program and financial audit every four
 9 years after the first audit is completed."
10      SECTION 3.  Section 237-24, Hawaii Revised Statutes, is
11 amended to read as follows:
12      "237-24  Amounts not taxable.  This chapter shall not apply
13 to the following amounts:
14      (1)  Amounts received under life insurance policies and
15           contracts paid by reason of the death of the insured;
16      (2)  Amounts received (other than amounts paid by reason of
17           death of the insured) under life insurance, endowment,
18           or annuity contracts, either during the term or at
19           maturity or upon surrender of the contract;
20      (3)  Amounts received under any accident insurance or health
21           insurance policy or contract or under workers'
22           compensation acts or employers' liability acts, as
23           compensation for personal injuries, death, or sickness,

Page 42                                                    
                                     H.B. NO.1600       

 1           including also the amount of any damages or other
 2           compensation received, whether as a result of action or
 3           by private agreement between the parties on account of
 4           the personal injuries, death, or sickness;
 5      (4)  The value of all property of every kind and sort
 6           acquired by gift, bequest, or devise, and the value of
 7           all property acquired by descent or inheritance;
 8      (5)  Amounts received by any person as compensatory damages
 9           for any tort injury to the person, or to the person's
10           character reputation, or received as compensatory
11           damages for any tort injury to or destruction of
12           property, whether as the result of action or by private
13           agreement between the parties (provided that amounts
14           received as punitive damages for tort injury or breach
15           of contract injury shall be included in gross income);
16      (6)  Amounts received as salaries or wages for services
17           rendered by an employee to an employer;
18      (7)  Amounts received as alimony and other similar payments
19           and settlements;
20      (8)  Amounts collected by distributors as fuel taxes on
21           "liquid fuel" imposed by chapter 243, and the amounts
22           collected by such distributors as a fuel tax imposed by
23           any Act of the Congress of the United States;

Page 43                                                    
                                     H.B. NO.1600       

 1      (9)  Taxes on liquor imposed by chapter 244D on dealers
 2           holding permits under that chapter;
 3     (10)  The amounts of taxes on cigarettes and tobacco products
 4           imposed by chapter 245 on wholesalers or dealers
 5           holding licenses under that chapter and selling the
 6           products at wholesale;
 7     (11)  Federal excise taxes imposed on articles sold at retail
 8           and collected from the purchasers thereof and paid to
 9           the federal government by the retailer;
10     (12)  The amounts of federal taxes under chapter 37 of the
11           Internal Revenue Code, or similar federal taxes,
12           imposed on sugar manufactured in the State, paid by the
13           manufacturer to the federal government;
14     (13)  An amount up to, but not in excess of, $2,000 a year of
15           gross income received by any blind, deaf, or totally
16           disabled person engaging, or continuing, in any
17           business, trade, activity, occupation, or calling
18           within the State;
19     (14)  Amounts received by a producer of sugarcane from the
20           manufacturer to whom the producer sells the sugarcane,
21           where:
22           (A)  The producer is an independent cane farmer, so
23                classed by the Secretary of Agriculture under the

Page 44                                                    
                                     H.B. NO.1600       

 1                Sugar Act of 1948 (61 Stat. 922, Chapter 519) as
 2                the Act may be amended or supplemented;
 3           (B)  The value or gross proceeds of sale of the sugar,
 4                and other products manufactured from the
 5                sugarcane, is included in the measure of the tax
 6                levied on the manufacturer under section 237-13(1)
 7                or 237-13(2);
 8           (C)  The producer's gross proceeds of sales are
 9                dependent upon the actual value of the products
10                manufactured therefrom or the average value of all
11                similar products manufactured by the manufacturer;
12                and
13           (D)  The producer's gross proceeds of sales are reduced
14                by reason of the tax on the value or sale of the
15                manufactured products;
16     (15)  Money paid by the State or eleemosynary child-placing
17           organizations to foster parents for their care of
18           children in foster homes; [and]
19     (16)  Amounts received by a cooperative housing corporation
20           from its shareholders in reimbursement of funds paid by
21           such corporation for lease rental, real property taxes,
22           and other expenses of operating and maintaining the
23           cooperative land and improvements; provided that such a

Page 45                                                    
                                     H.B. NO.1600       

 1           cooperative corporation is a corporation:
 2           (A)  Having one and only one class of stock
 3                outstanding;
 4           (B)  Each of the stockholders of which is entitled
 5                solely by reason of the stockholder's ownership of
 6                stock in the corporation, to occupy for dwelling
 7                purposes a house, or an apartment in a building
 8                owned or leased by the corporation; and
 9           (C)  No stockholder of which is entitled (either
10                conditionally or unconditionally) to receive any
11                distribution not out of earnings and profits of
12                the corporation except in a complete or partial
13                liquidation of the corporation[.]; and
14     (17)  Amounts received as gross receipts from gaming.  The
15           term "gross receipts" shall have the meaning as defined
16           in section    -2."
17      SECTION 4.  Chapter 712, Hawaii Revised Statutes, is amended
18 by adding a new section to part III to be appropriately
19 designated and to read as follows:
20      "712-     Casino gaming; exempted.  This part shall not
21 apply to gaming as authorized by chapter    ."
22      SECTION 5.  Statutory material to be repealed is bracketed.
23 New statutory material is underscored.

Page 46                                                    
                                     H.B. NO.1600       

 1      SECTION 6.  The provisions of section 2 of this Act, as they
 2 apply to casino gaming, shall not be operative or applicable in a
 3 particular county unless, pursuant to section 1 of this Act, a
 4 majority of voters of that county votes to approve casino gaming
 5 at the next general election or in a special election held after
 6 the effective date of this Act.  An election on whether the
 7 provisions of section 2 of this Act, as they apply to casino
 8 gaming, shall be operative and applicable in a particular county
 9 shall take place in all counties defined in section 2 of this Act
10 at the next general election or in a special election held after
11 the effective date of this Act.
12      SECTION 7.  This Act shall take effect upon its approval;
13 provided that this Act shall be repealed on December 31, 2005,
14 and section 237-24, Hawaii Revised Statutes, shall be reenacted
15 in the form in which it existed on June 30, 1999, if all counties
16 defined in section 2 of this Act fail to approve casino gaming
17 under sections 1 and 6 of this Act as of that date.
19                           INTRODUCED BY:  _______________________