SB380 SUB2
Senate Bill 380 History
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Key: Green = existing Code. Red = new code to be enacted
COMMITTEE SUBSTITUTE
FOR
COMMITTEE SUBSTITUTE
FOR
Senate Bill No. 380
(By Senator Schoonover)
____________
[Originating in the Committee on Finance;
reported March 3, 1999.]
____________
A BILL to amend and reenact section ten, article twenty-two-a,
chapter twenty-nine of the code of West Virginia, one thousand
nine hundred thirty-one, as amended; and to further amend said
chapter by adding thereto a new article, designated article
twenty-five, all relating generally to authorized games of
chance; redistributing moneys from racetrack video lottery;
authorizing a gaming facility; providing generally therefor;
stating legislative findings that the gaming facility is
important to the tourism industry and that the limited
authorized games of chance are not lotteries or gift
enterprises; defining certain terms; declaring gaming and
wagering legal when conducted under terms specified in
article; stating that article does not apply to racing, lottery or activities regulated by article twenty, chapter
forty-seven of this code; extending the authority of the state
lottery commission; authorizing operation of certain video
lottery games; providing for the adoption of rules and
requiring certain rules; providing for the coordination and
cost of law-enforcement activities; extending jurisdiction of
local law-enforcement agencies in stated circumstances;
requiring local approval of a gaming facility; providing
generally for license to operate a gaming facility; stating
qualifications and requirements for a gaming facility license;
itemizing areas for commission to consider in granting a
license; requiring licensee to execute surety bond and
providing generally therefor; stating authorization of license
and prohibiting transfer, assignment, sale or pledge as
collateral; requiring audits and inventories; requiring
licensee's annual reports and itemizing various inclusions;
requiring a license for supplier of gaming facility and
providing generally therefor, including investigation
requirement; requiring a license for gaming device operator
and providing generally therefor, including background information and investigation requirement; requiring licenses
for gaming facility employees and providing generally
therefor, including background information and investigation
requirement; setting forth an annual license fee for all
licenses; providing that all licensees consent to warrantless
searches of person, personal property and certain premises
under control of licensee; setting forth additional license
requirements and prohibitions; describing license and
requiring display thereof; providing for expiration and
renewal every five years; stating renewal fee for all
licenses; providing for license denial revocation and
reprimand subsequent to hearing thereon; creating implied
consent of patrons to law-enforcement presence; allowing
gaming operators to set wagers; requiring use of licensed
suppliers; imposing tax on profits from gaming; providing
generally for filing and payment of taxes; creating state
gaming fund; providing for distribution of state tax;
prohibiting defrauding devices as itemized; setting forth
prohibitions and requirements as to conduct of wagering;
itemizing numerous misdemeanor and felony offenses and stating
penalty for offense; authorizing for forfeiture of certain
property; prohibiting participation in gaming by certain individuals under certain circumstances; and providing for
civil penalties.
Be it enacted by the legislature of West Virginia:
That section ten, article twenty-two-a, chapter twenty-nine of
the code of West Virginia, one thousand nine hundred thirty-one, as
amended, be amended and reenacted; and that said chapter be further
amended by adding thereto a new article, designated article twenty- five, all to read as follows:
ARTICLE 22A. RACETRACK VIDEO LOTTERY.
§29-22A-10. Accounting and reporting; commission to provide
communications protocol data; distribution of net
terminal income; remittance through electronic
transfer of funds; establishment of accounts and
nonpayment penalties; commission control of
accounting for net terminal income; settlement of
accounts; manual reporting and payment may be
required; request for reports; examination of
accounts and records.
(a) The commission shall provide to manufacturers, or
applicants applying for a manufacturer's permit, the protocol
documentation data necessary to enable the respective
manufacturer's video lottery terminals to communicate with the commission's central computer for transmitting auditing program
information and for activation and disabling of video lottery
terminals.
(b) The gross terminal income of a licensed racetrack shall be
remitted to the commission through the electronic transfer of
funds. Licensed racetracks shall furnish to the commission all
information and bank authorizations required to facilitate the
timely transfer of moneys to the commission. Licensed racetracks
must provide the commission thirty days' advance notice of any
proposed account changes in order to assure the uninterrupted
electronic transfer of funds. From the gross terminal income
remitted by the licensee to the commission, the commission shall
deduct an amount sufficient to reimburse the commission for its
actual costs and expenses incurred in administering racetrack video
lottery at the licensed racetrack, and the resulting amount after
such that deduction shall be is the net terminal income. The
amount deducted for administrative costs and expenses of the
commission may not exceed four percent of gross terminal income.
(c) Net terminal income shall be divided as set out in this
subsection. The licensed racetrack's share shall be in lieu of all
lottery agent commissions and is considered to cover all costs and
expenses required to be expended by the licensed racetrack in connection with video lottery operations. The division shall be
made as follows:
(1) The commission shall receive thirty percent of net
terminal income, which shall be paid into the general revenue fund
of the state to be appropriated by the Legislature;
(2) Fourteen percent of net terminal income at a licensed
racetrack shall be deposited in the special fund established by the
licensee and used for payment of regular purses in addition to
other amounts provided for in article twenty-three, chapter
nineteen of this code;
(3) The county where the video lottery terminals are located
shall receive two percent of the net terminal income;
(4) One half of one percent of net terminal income shall be
paid for and on behalf of all employees of the licensed racing
association by making a deposit into a special fund to be
established by the racing commission to be used for payment into
the pension plan for all employees of the licensed racing
association;
(5) The West Virginia thoroughbred development fund created
under section thirteen-b, article twenty-three, chapter nineteen of
this code and the West Virginia greyhound breeding development fund
created under section ten, article twenty-three, chapter nineteen of this code shall receive an equal share of a total of not less
than one and one-half percent of the net terminal income:
Provided, That for any racetrack which does not have a breeder's
program supported by the thoroughbred development fund or the
greyhound breeding development fund, the one and one-half percent
provided for in this subdivision shall be deposited in the special
fund established by the licensee and used for payment of regular
purses, in addition to other amounts provided for in subdivision
(2) of this subsection and article twenty-three, chapter nineteen
of this code;
(6) The West Virginia thoroughbred breeders classic shall
receive one percent of the net terminal income which shall be used
for purses. The moneys shall be deposited in the separate account
established for the classic under section thirteen, article
twenty-three, chapter nineteen of this code;
(7) A licensee shall receive forty-seven percent of net
terminal income;
(8) The tourism promotion fund established in section nine,
article one, chapter five-b of this code shall receive three
percent of the net terminal income; and
(9) The veterans memorial program shall receive one percent of
the net terminal income until sufficient moneys have been received to complete the veterans memorial on the grounds of the state
capitol complex in Charleston, West Virginia. The moneys shall be
deposited in the state treasury in the division of culture and
history special fund created under section three, article one-I,
chapter twenty-nine of this code: Provided, That only after
sufficient moneys have been deposited in the fund to complete the
veterans memorial and to pay in full the annual bonded indebtedness
on the veterans memorial, not The remaining one percent of net
terminal income shall be distributed in the manner set forth in
this subdivision. Not more than twenty thousand dollars of the one
percent of net terminal income provided for in this subdivision
shall be deposited into a special revenue fund in the state
treasury, to be known as the "John F. 'Jack' Bennett Fund". The
moneys in this fund shall be expended by the division of veterans
affairs to provide for the placement of markers for the graves of
veterans in perpetual cemeteries in this state. The division of
veterans affairs shall promulgate propose legislative rules for
promulgation pursuant to the provisions of article three, chapter
twenty-nine-a of this code specifying the manner in which the funds
are spent, determine determining the ability of the surviving
spouse to pay for the placement of the marker, and setting forth
the standards to be used to determine the priority in which the veterans grave markers will be placed in the event that there are
not sufficient funds to complete the placement of veterans grave
markers in any one year, or at all. Upon payment in full of the
bonded indebtedness on the veteran's memorial, one One hundred
thousand dollars of the one percent of net terminal income provided
for in this subdivision shall be deposited in the special fund in
the division of culture and history created under section three,
article one-I, chapter twenty-nine of this code and be expended by
the division of culture and history to establish a West Virginia
veterans memorial archives within the cultural center to serve as
a repository for the documents and records pertaining to the
veterans memorial and to restore and maintain the monuments and
memorial on the capitol grounds. and not more than twenty thousand
dollars be deposited in the "John F. 'Jack' Bennett Fund":
Provided, however, That five Five hundred thousand dollars of the
one percent of net terminal income shall be deposited in the state
treasury in a special fund of the department of administration,
created under section five, article four, chapter five-a of this
code to be used for construction and maintenance of a parking
garage on the state capitol complex. Provided further, That the
The remainder of the one percent of net terminal income shall be deposited in a special fund of the department of administration
created under section five, article four, chapter five-a of this
code to be used to maintain and make repairs to the Morris square
properties deposited in equal amounts into the grants for
competitive arts program and the capitol dome and capitol
improvements fund.
(d) Each licensed racetrack shall maintain in its account an
amount equal to or greater than the gross terminal income from its
operation of video lottery machines, to be electronically
transferred by the commission on dates established by the
commission. Upon a licensed racetrack's failure to maintain this
balance, the commission may disable all of a licensed racetrack's
video lottery terminals until full payment of all amounts due is
made. Interest shall accrue on any unpaid balance at a rate
consistent with the amount charged for state income tax delinquency
under chapter eleven of this code, which interest shall begin to
accrue on the date payment is due to the commission.
(e) The commission's central control computer shall keep
accurate records of all income generated by each video lottery
terminal. The commission shall prepare and mail to the licensed
racetrack a statement reflecting the gross terminal income
generated by the licensee's video lottery terminals. Each licensed racetrack must shall report to the commission any discrepancies
between the commission's statement and each terminal's mechanical
and electronic meter readings. The licensed racetrack is solely
responsible for resolving income discrepancies between actual money
collected and the amount shown on the accounting meters or on the
commission's billing statement.
(f) Until an accounting discrepancy is resolved in favor of
the licensed racetrack, the commission may make no credit
adjustments. For any video lottery terminal reflecting a
discrepancy, the licensed racetrack shall submit to the commission
the maintenance log which includes current mechanical meter
readings and the audit ticket which contains electronic meter
readings generated by the terminal's software. If the meter
readings and the commission's records cannot be reconciled, final
disposition of the matter shall be determined by the commission.
Any accounting discrepancies which cannot be otherwise resolved
shall be resolved in favor of the commission.
(g) Licensed racetracks shall remit payment by mail if the
electronic transfer of funds is not operational or the commission
notifies licensed racetracks that remittance by this method is
required. The licensed racetracks shall report an amount equal to
the total amount of cash inserted into each video lottery terminal operated by a licensee, minus the total value of game credits which
are cleared from the video lottery terminal in exchange for winning
redemption tickets, and remit such the amount as generated from its
terminals during the reporting period. The remittance shall be
sealed in a properly addressed and stamped envelope and deposited
in the United States mail no later than noon on the day when the
payment would otherwise be completed through electronic funds
transfer.
(h) Licensed racetracks may, upon request, receive additional
reports of play transactions for their respective video lottery
terminals and other marketing information not considered
confidential by the commission. The commission may charge a
reasonable fee for the cost of producing and mailing any report
other than the billing statements.
(i) The commission has the right to examine all accounts, bank
accounts, financial statements and records in a licensed
racetrack's possession, under its control or in which it has an
interest and the licensed racetrack must shall authorize all third
parties in possession or in control of the accounts or records to
allow examination of any of those accounts or records by the
commission.
ARTICLE 25. AUTHORIZED GAMING FACILITY.
§29-25-1. Authorization of limited gaming facility; findings;
intent.
(a) Operation of authorized games of chance. --
Notwithstanding any provision of law to the contrary, the operation
of those authorized games of chance permitted by this article and
the related operation of a gaming facility and ancillary activities
is not unlawful when conducted under the terms specified in this
article.
(b)
Legislative findings.
-- The Legislature finds and
declares that the tourism industry plays a critical role in the
economy of this state and that a substantial state interest exists
in protecting that industry. It further finds and declares that
the authorization of the operation of a gaming facility at no more
than one well-established historic resort hotel in this state as
provided in this article will serve to protect and enhance the
tourism industry, and indirectly other segments of the economy of
this state, by providing a resort hotel amenity which is becoming
increasingly important to many actual and potential resort hotel
patrons.
The Legislature finds and declares that, except for video
lottery operation pursuant to subsection (c), section three of this
article, the operation of the authorized games of chance permitted by this article does not constitute the operation of lotteries or
gift enterprises within the purview of section thirty-six, article
VI of the constitution of this state.
With respect to video lottery games contemplated hereunder,
the Legislature restates and reaffirms the findings and
declarations set forth in section two, article twenty-two-a of this
chapter.
(c) Legislative intent. -- It is the intent of the
Legislature in the enactment of this article to promote tourism and
year-round employment in this state. It is expressly not the
intent of the Legislature to promote gaming. As a consequence, it
is the intent of the Legislature to allow limited gaming as
authorized by this article with all moneys gained from the
operation of the gaming facility, other than those necessary to
reimburse reasonable costs of operation, to enure to the benefit of
the state.
§29-25-2. Definitions.
(a) "Applicant" means any person or entity applying for a
license.
(b) "Adjusted gross receipts" means the gross receipts of a
gaming facility from authorized games of chance less winnings paid to wagerers in the games.
(c) "Authorized game of chance" includes baccarat, twenty-one
or blackjack, poker, craps, roulette, wheel of fortune, video
lottery games and any other Monte Carlo style table game expressly
authorized by rule of the commission, but expressly excludes
punchboards, faro, keno, numbers tickets, push cards, jar tickets,
pull tabs or similar games.
(d) "Controlling interest" means:
(1) For a partnership, an interest as a general or limited
partner holding more than fifty percent interest in the entity;
(2) For a corporation, an interest of more than fifty percent
of the stock in the corporation; and
(3) For any other entity, an ownership interest of more than
fifty percent in the entity.
(e) "Controlling person" means, with respect to another
person, any person directly or indirectly owning or holding a
controlling interest in that other person.
(f) "Commission" means the state lottery commission created in
section four, article twenty-two of this chapter.
(g) "Director" means the director of the state lottery
commission.
(h) "Gaming devices and supplies" means gaming tables for all authorized games of chance, roulette wheels, wheels of fortune,
video lottery terminals, cards, dice, chips, tokens, markers or any
other mechanical, electronic or other device, mechanism or
equipment or related supplies utilized in the operation of an
authorized game of chance.
(i) "Gaming facility" means a designated area on the premises
of an historic resort hotel in which authorized games of chance are
conducted by a gaming licensee.
(j) "Gaming licensee" means the licensed operator of a gaming
facility.
(k) "Gross receipts" means the total amount of money exchanged
for the purchase of chips, tokens or electronic cards by patrons of
a gaming facility reduced by gross terminal income to the extent
gross terminal income is included in the amount of money exchanged.
(l) "Gross terminal income" has the same meaning ascribed to
the term as set forth in article twenty-two-a of this chapter.
(m) "Historic resort hotel" means a resort hotel registered
with the United States department of the interior as a national
historic landmark in its national registry of historic places
having not fewer than five hundred guest rooms under common
ownership and having substantial recreational guest amenities in
addition to the gaming facility.
(n) "License" means a license issued by the commission,
including:
(1) A license to operate a gaming facility;
(2) A license to supply gaming devices and supplies to a
gaming facility; or
(3) A license to be employed in connection with the operation
of a gaming facility.
(o) "Licensed gaming facility employee" means any individual
licensed to be employed by a gaming licensee in connection with the
operation of a gaming facility.
(p) "Licensed gaming facility supplier" means a person who is
licensed by the commission to engage in the business of supplying
gaming devices and gaming supplies to a gaming facility.
(q) "Licensee" means a gaming licensee, a licensed gaming
facility supplier or a licensed gaming facility employee.
(r) "Person" means any natural person, corporation,
association, partnership, limited partnership, limited liability
company or other entity, regardless of its form, structure or
nature.
(s) "State gaming fund" means the special fund in the state
treasury created in section twenty-two of this article.
(t) "Video lottery games" and "video lottery terminals" have the same meaning ascribed the terms in article twenty-two-a of this
chapter.
§29-25-3. Commission duties and powers.
(a)
Duties.
-- In addition to the duties set forth elsewhere
in this article, the commission shall:
(1) Establish standards for gaming devices and supplies,
including electronic or mechanical gaming devices;
(2) Approve rules for all authorized games of chance proposed
to be operated by a gaming licensee;
(3) Establish standards governing gaming facilities generally,
including the maintenance of financial books and records;
(4) Provide staff to supervise, inspect and monitor the
operation of any gaming facility, including inspection of gaming
devices and supplies used in the operation to assure continuous
compliance with all rules of the commission and provisions of this
article;
(5) Establish minimum levels of insurance to be maintained
with respect to a gaming facility;
(6) Investigate applicants to determine eligibility for any
license and, where appropriate, select among competing applicants;
(7) Designate appropriate classifications of personnel to be
employed in the operation of a gaming facility and establish appropriate licensing standards within the classifications;
(8) Issue all licenses;
(9) Charge and collect the taxes and fees authorized, required
or specified in this article and receive, accept and pay all taxes
and fees collected under this article into the state gaming fund;
(10) Maintain a record of all licenses issued;
(11) Keep a public record of all commission actions and
proceedings; and
(12) File a written report to the governor, the president of
the Senate and the speaker of the House of Delegates on or before
the thirtieth day of January of each year and any additional
reports as the governor or Legislature may request.
(b)
Powers.
-- In addition to the powers set forth elsewhere
in this article, the commission has the following powers:
(1) To sue to enforce any provision of this article by
injunction;
(2) To hold hearings, administer oaths and issue subpoenas for
the attendance of a witness to testify and to produce evidence;
(3) To enter a gaming facility at any time and without notice
to ensure strict compliance with the rules of the commission;
(4) To bar, for cause, any person from entering or
participating in any capacity in the operation of a gaming facility; and
(5) To exercise any other powers that may be necessary to
effectuate the provisions of this article.
(c)
Video lottery games.
-- The commission is authorized to
implement and operate video lottery games at the gaming facility
licensed pursuant to this article consistent with the gaming
licensee's operation of the gaming facility. With respect to video
lottery games, the provisions of article twenty-two-a of this
chapter apply to this article, except in the event of a conflict or
inconsistency between any of the provisions of this article and the
provisions of article twenty-two-a of this chapter. In that event,
the provisions of this article supersede any conflicting or
inconsistent provisions contained in article twenty-two-a of this
chapter. In carrying out its authority under this article, the
commission may: (1) Specify by rule additional licensure and fee
requirements consistent with the provisions of article twenty-two-a
of this chapter respecting video lottery manufacturers, service
technicians and validation managers; and (2) adopt and specify any
reasonable procedure, protocol or requirement to enable video
lottery terminals to effectively and efficiently communicate with
the commission's central computer system used in administering
article twenty-two-a of this chapter.
§29-25-4. Appointment of commission staff; conditions of
employment.
The director, pursuant to the provisions of section six,
article twenty-two, o of this chapter, with the approval of the
commission, may appoint any professional, clerical, technical and
administrative personnel, who shall be state employees hired in
accordance with article six of this chapter, that may be necessary
to carry out the provisions of this article. Prior to his or her
appointment, each staff person shall undergo a thorough background
investigation, including fingerprinting and a check of criminal
records. No employee may directly or indirectly hold any financial
interest in any entity licensed under this article.
§29-25-5. Rules.
The commission shall propose for promulgation legislative
rules in accordance with the provisions of article three, chapter
twenty-nine-a of this code as are necessary to provide for
implementation and enforcement of the provisions of this article.
Any rules proposed by the commission before the first day of
September, one thousand nine hundred ninety-nine, may be by
emergency rule.
§29-25-6. Law enforcement.
(a) Generally. -- Notwithstanding any provision of this code to the contrary, the director may by contract or cooperative
agreements with state, county or municipal law-enforcement agencies
operating in the county in which the gaming facility is located
arrange for those law-enforcement services that are necessary to
enforce the provisions of this article.
(b) Costs. -- The actual cost of services provided by the
state police or municipal law-enforcement agencies in connection
with enforcement of the provisions of this article shall be paid
from the state gaming fund, and shall include all costs of required
training and equipment as well as salary, benefits and other direct
costs of additional required personnel.
The costs of services related to a gaming facility provided by
law-enforcement officers of the county in which the gaming facility
is located shall be paid from that portion of the state gaming fund
allocated to that county. The costs shall include all costs of
required training and equipment as well as salary, benefits and
other direct costs of additional required personnel.
§29-25-7. Local option.
(a) No gaming facility may be licensed to operate in a county
until the county commission of the county holds an election on the
question of whether a gaming facility may be operated within the
county and the voters approve the operation of a gaming facility in the county. The election shall be determined by a vote of the
resident voters of the county in which the facility is proposed to
be located.
The county commission of the county in which the proposed
facility is located shall give notice to the public of the election
by publication of the notice as a Class II-0 legal advertisement in
compliance with the provisions of article three, chapter fifty-nine
of this code, and the publication area for the publication shall be
the county in which the election is to be held. The date of the
last publication of the notice shall fall on a date within the
period of the fourteen consecutive days next preceding the
election.
On the local option election ballot shall be printed the
following:
Shall West Virginia lottery commission video lottery games and
authorized games of chance be permitted within an area at the [name
of qualified historic resort hotel]?
[ ] Yes [ ] No
(Place a cross mark in the square opposite your choice.)
Any local option election to approve or disapprove of the
proposed authorization of a gaming facility within a county shall
be in accordance with procedures adopted by the commission. The local option election may be held in conjunction with a primary or
general election, or at a special election. Approval shall be by
a majority of the voters casting votes on the question of approval
or disapproval of gaming facility operations at the election.
If a majority votes against allowing a gaming facility, no
election on the issue shall be held for a period of one hundred
four weeks. If a majority votes "yes" no election reconsidering
the action may be held for a period of five years. A local option
election may thereafter be held if a written petition of qualified
voters residing within the county equal to at least five percent of
the number of persons who were registered to vote in the next
preceding general election is received by the county commission of
the county in which the gaming facility is to be located. The
petition may be in any number of counterparts. The election shall
take place at the next primary or general election scheduled more
than ninety days following receipt by the county commission of the
petition required by this subsection: Provided, That the issue may
not be placed on the ballot until all statutory notice requirements
have been met: Provided, however, That no subsequent disapproval
may take effect until after the expiration of the five year
licensing period in effect at the time of the referendum.
(b) No local law or regulation providing any penalty,
disability, restriction, regulation or prohibition for operating a
gaming facility or supplying a gaming facility may be enacted, and
the provisions of this article preempt all regulations, rules,
ordinances and laws of any county or municipality in conflict with
this article.
(c) Except as specifically provided in this article, no other
fees or taxes may be imposed by a local governing body.
§29-25-8. Licenses required.
(a) No person may engage in any activity in connection with a
gaming facility in this state for which a license is required by
subsection (b) of this section unless that person has been licensed
by the commission in accordance with this article.
(b) Licenses are required for the following purposes:
(1) For any person engaging in the business of operating a
gaming facility in the state;
(2) For any person engaging in the business of supplying a
gaming facility with gaming devices, supplies or services if the
gaming facility expends more than fifty thousand dollars annually
with that person; and
(3) For any individual employed by a gaming licensee in
connection with the operation of a gaming facility in the state.
(c) Any license required under this article is in addition to
all other licenses or permits otherwise required by law.
§29-25-9. License to operate a gaming facility.
(a) Single license. -- The commission may issue only one
license to operate a gaming facility.
(b) Applicant qualifications. -- An applicant for a license to
operate a gaming facility shall be the owner or be wholly owned by
the owner of an existing historic resort hotel in which the gaming
facility is to be located, and the resort hotel shall be located
within the jurisdiction of a county approving the operation of a
gaming facility in accordance with section seven of this article.
An applicant shall meet the qualifications and requirements set
forth in this article and rules adopted by the commission. In
determining whether to grant a license to operate a gaming facility
to an applicant, the commission shall consider:
(1) The character, reputation, experience and financial
integrity of the applicant and any controlling person of the
applicant;
(2) Whether the applicant has adequate capital to construct
and maintain the proposed gaming facility for the duration of a
license;
(3) The extent to which the applicant meets standards
contained in rules adopted by the commission relating to public
safety or other standards; and
(4) The plan submitted by the applicant regarding employment
levels and the extent to which the submitted plan demonstrates an
ability on the part of the applicant to create at least one hundred
full-time equivalent jobs with a salary and benefit package
commensurate with existing employees at the historic resort hotel.
(c) Conditions attached to license. -- A license to operate a
gaming facility may only be granted to an applicant upon the
express condition that:
(1) The licensee may not enter into any management service
contract, understanding or arrangement of any kind which would act
to permit any person other than the licensee to operate a licensed
gaming facility unless the management service contract,
understanding or arrangement is in writing and has been approved by
the commission. The commission shall condition its approval upon
the successful completion of a thorough background investigation at
the expense of the licensee;
(2) The licensee may not in any manner permit a person other
than the licensee to have a share, percentage or proportion of any
profits generated from the operation of a gaming facility;
(3) The licensee shall not conduct any advertising and
promotional activities related to the gaming facility without the
prior written approval of the director of the lottery commission;
and
(4) The licensee shall permit authorized games of chance to be
played only during those hours established and approved by the
commission.
(d) License application requirements. -- An applicant for a
license to operate a gaming facility shall:
(1) Submit an application to the commission on a form
prescribed by the commission, which shall include:
(A) Information concerning the applicant and of any
controlling person of the applicant sufficient to serve as a basis
for a thorough background check;
(B) Subject to the provisions of subsection (e) of this
section with respect to publicly-traded corporations, the identity
of all stockholders or other persons having a financial interest in
either the applicant or any controlling person of the applicant and
the identity of each director or executive officer of the applicant
and of any controlling person of the applicant;
(C) The identity of the historic resort hotel at which the
gaming facility is to be located, including identification of the county in which the historic resort hotel is located; and
(D) Any other information designated by the commission as
appropriate to assist it in determining whether a license should be
issued;
(2) Pay to the commission a nonrefundable application fee for
deposit into the state gaming fund in the amount of twenty-five
thousand dollars; and
(3) Pay to the commission an investigative fee for deposit in
the state gaming fund in the amount of twenty thousand dollars.
(e) Publicly-traded corporations. -- In the event that an
applicant or any controlling person of an applicant is a publicly- traded corporation, then information otherwise required to be
furnished by an applicant with respect to stockholders, directors
and executive officers of the publicly-traded corporation shall be
limited to information concerning only those executive officers of
the publicly-traded corporation whose ongoing and regular
responsibilities relate or are expected to relate directly to the
operation or oversight of the gaming facility. "Publicly-traded
corporation" as used in this subsection means any corporation or
other legal entity except a natural person which has one or more
classes of securities registered pursuant to section twelve of the
Securities Exchange Act of 1934, as amended (15 U.S.C. §78), or is an issuer subject to section fifteen-d of that act.
(f) Gaming facility qualifications. -- An applicant for a
license to operate a gaming facility shall demonstrate that the
gaming facility will: (1) Be accessible to disabled individuals;
(2) not be located at the main entrance to the historic resort
hotel; (3) be licensed in accordance with all other applicable
federal, state and local laws; and (4) meet any other
qualifications specified by rules adopted by the commission.
(g) Investigative fee. -- The investigative fee paid by an
applicant at the time of submitting an application shall be applied
to the cost of any investigation relating to the applicant required
under this article.
(1) If the cost of the investigation is greater than twenty
thousand dollars, the investigative agency shall show cause for the
additional cost. The applicant shall pay the additional costs to
the extent approved by the commission, but not to exceed a total
investigative fee of forty thousand dollars; or
(2) If the cost of the investigation is less than the
aggregate investigative fee paid by an applicant, the commission
shall refund the difference.
(h) Surety bond requirement. -- The licensed operator of a gaming facility shall execute a surety bond to be given to the
state to guarantee the licensee faithfully makes the payments,
keeps books and records, makes reports and conducts gaming in the
licensee's gaming facility in accordance with the provisions of
this article and rules promulgated by the commission. The surety
bond shall be:
(1) In the amount of five million dollars;
(2) In a form approved by the commission; and
(3) With a surety approved by the commission.
The bond shall remain in effect during the term of the license
and may not be canceled by a surety on less than thirty days notice
in writing to the commission. The total and aggregate liability of
the surety on the bond is limited to the amount specified in the
bond.
(i) Authorization of license. -- A license to operate a gaming
facility authorizes the licensee to engage in the business of
operating a gaming facility while the license is effective. Without
prior authorization by the commission, a license to operate a
gaming facility is not transferable or assignable and cannot be
sold or pledged as collateral.
(j) Audits. -- A licensed gaming facility operator shall submit to the commission an annual audit, by a certified public
accountant licensed in the state of West Virginia, of the financial
transactions and condition of the licensee's total operations. The
audit shall be in accordance with generally accepted auditing
principles.
(k) Annual license maintenance fee. -- The licensed gaming
facility operator shall pay to the commission an annual license
maintenance fee of five thousand dollars.
(l) The licensed gaming facility operator shall provide to the
commission, at no cost to the commission, suitable office space at
the gaming facility to perform the duties required of it by the
provisions of this article.
§29-25-10. Reports by licensee.
(a) A gaming licensee shall file with the commission an annual
balance sheet and profit and loss statement pertaining to the
licensee's operation of a gaming facility in this state. A gaming
licensee also shall file with the commission an annual statement
identifying each controlling person of the licensee and all
stockholders, partners, officers or directors for the licensee and
any controlling person: Provided, That if a gaming licensee or
controlling person is a publicly-traded corporation, then as to the publicly-traded corporation the annual report is required to
identify only executive officers whose ongoing regular duties
relate directly to the operation of the gaming facility. A gaming
licensee shall file further reports with the commission as the
commission may require by rule.
(b) A gaming licensee shall maintain daily records showing the
following:
(1) The total number of patrons of the gaming facility; and
(2) The gross receipts and the adjusted gross receipts.
§29-25-11. License to supply gaming facility.
(a) Licenses. -- The commission may issue a license to each
applicant for a license to supply a gaming facility with gaming
devices, gaming supplies or services who meets the requirements of
this section.
(b) License qualifications. -- To qualify for a license, an
applicant shall meet the requirements of this section. Each
applicant who is an individual and each individual who is a
controlling person of an applicant that is not an individual shall
be of good moral character and reputation, and shall have the
necessary experience and financial ability to successfully carry
out the functions of a gaming facility supplier. The commission may adopt rules establishing additional requirements for a gaming
facility supplier.
(c) Supplier specifications. -- An applicant for a license to
supply gaming devices, equipment and supplies to a gaming facility
shall demonstrate that the gaming devices, equipment and supplies
that the applicant plans to sell or lease to the licensed operator
of the gaming facility, conform or will conform to standards
established by rules of the commission and applicable state law.
(d) License application requirements. -- An applicant for a
license shall:
(1) Submit an application to the commission on the form that
the commission requires;
(2) Pay to the commission a nonrefundable application fee for
deposit into the state gaming fund in the amount of five thousand
dollars; and
(3) Pay to the commission an investigative fee for deposit
into the state gaming fund in the amount of ten thousand dollars,
or a lesser amount as the commission upon application may
conditionally approve in a particular case.
(e) Investigative fee. -- The investigative fee paid by an
applicant for a license to supply a gaming facility shall be applied to the cost of any investigation of the applicant required
under this article:
(1) If the costs of the investigation of an applicant are
greater than ten thousand dollars, or the lesser investigative fee
as may have been conditionally approved by the commission, the
investigative agency must show cause for the additional cost. If
the commission approves, the applicant shall pay the additional
costs as required by the commission, but not to exceed a total
investigative fee of fifty thousand dollars.
(2) If the costs of the investigation of an applicant are less
than the aggregate investigative fee paid to the commission, the
commission shall refund the difference.
(f) Authorization of licensee. -- A license to supply a gaming
facility authorizes the licensee to engage in the business of
selling gaming devices and supplies to a gaming facility while the
license is effective.
(g) Inventory. -- A licensed gaming facility supplier shall
submit a list of all equipment, gaming devices and supplies sold or
delivered to a gaming facility in this state.
(h) Annual license maintenance fee. -- A licensed gaming
facility supplier shall pay to the commission an annual license maintenance fee of five thousand dollars.
§29-25-12. License to be employed by operator of gaming facility
.
(a) Licenses. -- The commission shall issue a license to each
applicant for a license to be employed in the operation of a gaming
facility who meets the requirements of this section.
(b) License qualifications. -- To qualify for a license to be
employed in a gaming facility, the applicant shall be an individual
of good moral character and reputation and have been offered
employment by the gaming facility contingent upon licensure
pursuant to the provisions of this section. The commission by rule
may specify additional requirements to be met by applicants based
on the specific job classifications in which the applicant is to be
employed.
(c) License application requirements. -- An applicant for a
license to be employed in the operation of a gaming facility shall:
(1) Submit an application to the commission on the form that
the commission requires, including adequate information to serve as
a basis for a thorough background check;
(2) Pay to the commission a nonrefundable application fee for
deposit into the state gaming fund in the amount of three hundred
dollars, which fee may be paid on behalf of the applicant by the employer; and
(3) Pay to the commission a nonrefundable investigative fee
for deposit into the state gaming fund in an amount to be fixed by
the commission by rule, which fee may be paid on behalf of the
applicant by the employer.
(d) Authorization of licensee. -- A license to be employed by
a gaming facility authorizes the licensee to be employed in the
capacity designated by the commission with respect to the license
while the license is effective.
(e) Annual license maintenance fee. -- Each licensed employee
shall pay to the commission an annual license maintenance fee set
by the commission. The maintenance fee may vary based on the
capacity designated with respect to the licensee but in no event to
exceed three hundred dollars. The fee may be paid on behalf of the
licensed employee by the employer.
§29-25-13. False statements on applications; other license
requirements and prohibitions
.
(a) Any person who knowingly makes a false statement on an
application is guilty of a misdemeanor and, upon conviction
thereof, shall be fined not less than one hundred nor more than
five hundred dollars, or confined in the county or regional jail not less than six months, or both fined and confined.
(b) The commission may not grant a license pursuant to the
provisions of this article if there is substantial evidence that
the applicant:
(1) Has knowingly made a false statement of a material fact to
the commission;
(2) Has been suspended from operating a gambling game, gaming
device or gambling operation in another jurisdiction by a board or
other governmental authority of that jurisdiction having
responsibility for the regulation of gambling or gaming activities;
(3) Has been convicted of a felony, an offense of moral
turpitude, a gambling offense, a theft or fraud offense, or has
otherwise demonstrated, either by a police record or other
satisfactory evidence, a lack of respect for law and order;
(4) Has failed to meet any monetary obligation in connection
with a gaming facility or any other form of gaming; or
(5) In the case of an applicant for a license to operate a
gaming facility or to supply a gaming facility:
(A) Has not demonstrated financial responsibility sufficient
to meet adequately the requirements of the enterprise proposed;
(B) Is not the true owner of the enterprise or is not the sole
owner and has not disclosed the existence or identity of other persons who have an ownership interest in such enterprise; or
(C) Is a corporation and five percent or more of the stock of
the corporation is subject to a contract or option to purchase at
any time during the period for which the license is issued unless
the contract or option was disclosed to and approved by the
commission.
(c) In addition to any other grounds specified in this
article, and subject to the hearing provisions of section twenty of
this article, in the case of a license to operate a gaming facility
the commission may deny a license to any applicant, reprimand any
licensee, or suspend or revoke a license if the applicant or
licensee or any controlling person of the applicant or licensee
knowingly employs an individual in a senior management position who
has been convicted of a felony under the laws of this state,
another state, a territory of the United States or the United
States or employs any individual in a senior management position
who has had a license relating to the operation of a gaming
facility revoked by this state or any other state.
(d) Character references may be required of persons licensed,
but the character references may not be obtained from persons in
the same or similar occupations or professions in other states.
§29-25-14. Licenses; availability for inspection; change of address
.
(a) The commission shall include on each license that the
commission issues:
(1) The type of license;
(2) The identity and address of the licensee;
(3) The effective date of the license; and
(4) Any other information the commission considers
appropriate.
(b) Each gaming licensee or licensed supplier of a gaming
facility shall display the license conspicuously in its place of
business or have the license readily available for inspection at
the request of any agent of the commission or of the state police.
Each holder of a license to be employed by a gaming facility shall
carry the license on his or her person at all times when present in
a gaming facility and, if required by rules adopted by the
commission with respect to the particular capacity in which the
licensee is employed, have some indicia of licensure prominently
displayed on his or her person.
(c) Each licensee shall give the commission written notice of
any change of address and any other relevant information necessary
for the maintenance of accurate records by the commission.
§29-25-15. Expiration date and renewal of gaming license.
(a) A license expires on the fifth anniversary of its
effective date, unless the license is renewed for additional five- year terms as provided in this section.
(b) At least two months before a license expires, the
commission shall send to the licensee, by mail to the last known
address, a renewal application form and notice that states:
(1) The date on which the current license expires;
(2) The date by which the commission must receive the renewal
application for the renewal to be issued and mailed before the
existing license expires; and
(3) The amount of the renewal fee.
(c) Before the license expires the licensee may renew it for
successive additional five-year terms if the licensee:
(1) Otherwise is entitled to be licensed;
(2) Pays to the commission the following renewal fee:
(A) The sum of twenty-five thousand dollars for a license to
operate a gaming facility;
(B) The sum of five thousand dollars for a license to supply
a gaming facility; and
(C) As set by the commission by rule in the case of a license
to be employed by an operator of a gaming facility, not to exceed three hundred dollars, which renewal fee may be paid on behalf of
the licensee by the employer; and
(3) Submits to the commission a renewal application in the
form that the commission requires accompanied by satisfactory
evidence of compliance with any additional requirements set by
rules of the commission for license renewal.
(d) The commission shall renew the license of each licensee
who meets the requirements of this section.
§29-25-16. License denial, revocation and reprimand.
(a) The commission may deny a license to any applicant,
reprimand any licensee, or suspend or revoke a license if the
applicant or licensee, or any controlling person of the applicant
or license:
(1) Fraudulently or deceptively obtains or attempts to obtain
a license for the applicant or licensee or for another;
(2) Fraudulently or deceptively uses a license; or
(3) Is convicted of a felony under the laws of this state,
another state, a territory of the United States or the United
States.
(b) Instead of or in addition to reprimanding a licensee or
suspending or revoking a license, the commission may impose a civil
penalty under section twenty-seven of this article.
§29-25-17. Hearing procedures.
Except as otherwise provided by law, before the commission
takes any action involving a licensee under the provisions of this
article, it shall give the persons against whom the action is
contemplated an opportunity for a hearing before the commission.
The commission shall give notice and hold the hearing in
accordance with state law. The notice shall be given to the person
by certified mail to the last known address of the person at least
thirty days before the hearing. The person may be represented at
the hearing by counsel.
If a person fails to comply with a subpoena issued under this
section, on petition of the commission, the circuit court may
compel obedience to the subpoena. If after due notice the person
against whom the action is contemplated fails or refuses to appear,
the commission may hear and determine the matter.
Any person aggrieved by a final decision of the commission in
a contested case, as defined in chapter twenty-nine-a of this code,
may appeal as provided for in that chapter.
§29-25-18. Consent to warrantless search.
As a condition of licensure and notwithstanding the separate
licensure of the facility as a private club pursuant to article seven, chapter sixty of this code, any licensee shall consent to
any search without a warrant by agents of the commission or of the
state police designated by the commission of the licensee's person,
personal property and effects, and premises which are located in
the gaming facility or adjacent facilities under the control of the
licensee, to inspect or investigate for criminal violations of this
article or violations of rules adopted by the commission.
§29-25-19. Consent to presence of law-enforcement officers;
wagering limits
.
(a) Consent to presence of law-enforcement officers. -- Any
individual entering a gaming facility shall be advised by the
posting of a notice or other suitable means of the possible
presence of state, county or municipal law-enforcement officers,
and by entering the gaming facility impliedly consents to the
presence of the law-enforcement officers.
(b) Setting of wagering limits. -- The operator of a gaming
facility may set minimum and maximum wagers for any authorized game
of chance, except for video lottery. Video lottery terminals
operated at the gaming facility may not allow more than two dollars
to be wagered on a single game.
§29-25-20. Accounting and reporting of gross terminal income.
The licensed gaming facility shall remit fifty-three percent of the gross terminal income from video lottery games at the
licensed gaming facility to the commission through electronic funds
transfer. The gaming licensee shall furnish to the commission all
information and bank authorizations required to facilitate the
timely transfer of moneys to the commission. The gaming licensee
shall provide the commission thirty days' advance notice of any
proposed account changes in order to assure the uninterrupted
electronic transfer of funds.
§29-25-21. Taxes on games other than video lottery games.
(a) Imposition and rate of limited gaming profits tax. --
There is hereby levied and shall be collected a privilege tax
against a gaming licensee in an amount to be determined by
application of the rate against adjusted gross receipts of the
licensed gaming facility. The rate of tax is thirty seven percent.
This tax is in addition to all other taxes and fees imposed:
Provided, That the consumers sales and services tax imposed
pursuant to article fifteen, chapter eleven of this code may not
apply to the proceeds from any wagering with respect to an
authorized game of chance pursuant to this article.
(b) Computation and payment of tax. -- The taxes levied under
the provisions of this section are due and payable in monthly installments on or before the twenty-first day of the month
following the month in which the tax is accrued. The taxpayer
shall, on or before the twenty-first day of each month make out and
mail to the commission a return for the preceding month, in the
form prescribed by the commission, showing: (1) The total gross
receipts from the gaming facility for that month and the adjusted
gross receipts; (2) the amount of tax for which the taxpayer is
liable; and (3) any further information necessary in the
computation and collection of the tax which the tax commissioner or
the commission may require. Payment of the amount of tax due shall
accompany the return. All payments made pursuant to this section
shall be deposited in the state gaming fund.
(c) Prohibition on credits. -- Notwithstanding any other
provision of this code to the contrary, no credits may be allowed
against any tax imposed on any taxpayer by this code for an
investment in gaming devices and supplies, for an investment in
real property which would be directly utilized for the operation of
a gaming facility or for any jobs created at a gaming facility.
Notwithstanding any other provision of this code to the contrary,
the tax imposed by this section may not be added to federal taxable
income in determining West Virginia taxable income of a taxpayer
for purposes of article twenty-four, chapter eleven of this code.
§29-25-22. State gaming fund created; allocation of net income
.
(a) There is hereby created a special fund in the state
treasury which shall be designated and known as the "state gaming
fund". All revenues received from licenses and applicants under
this article, all gross terminal income received by the commission
under section twenty of this article and all tax revenues from the
tax imposed under section twenty-one of this article shall be
deposited with the state treasurer and placed in the state gaming
fund. The fund shall be an interest bearing account with interest
to be credited to and deposited in the state gaming fund.
(b) All expenses of the commission shall be paid from the
state gaming fund, including reimbursement of the state police for
activities performed at the request of the commission in connection
with background investigations or enforcement activities pursuant
to this article. At no time may the commission's expenses under
this article exceed fifteen percent of the total of the annual
revenue received from the licensee under this article, including
all license fees, taxes or other amounts required to be deposited
in the state gaming fund.
(c) The balance of the state gaming fund shall be divided as
follows:
(1) Eighty-nine percent of the state gaming fund net income shall be paid into the general revenue fund to be appropriated by
the Legislature;
(2) The tourism promotion fund established in section nine,
article one, chapter five-b of this code shall receive three
percent of the state gaming fund net income;
(3) The county where the gaming facility is located shall
receive four percent of the state gaming fund net income;
(4) The municipality where the gaming facility is located or
the municipality closest to the gaming facility by paved road
access shall receive two percent of the state gaming fund net
income; and
(5) The municipalities within the county where the gaming
facility is located, except for the municipality receiving funds
under subdivision (3) of this subsection, shall receive equal
shares of two percent of the state gaming fund net income.
§29-25-23. Prohibition on unauthorized wagering.
(a) A gaming licensee may not permit any form of wagering
except as authorized under this article.
(b) A gaming licensee may receive wagers only from an
individual present in a licensed gaming facility.
(c) All gaming facility operations shall use a cashless
wagering system whereby all players' money is converted to tokens, electronic cards or chips at the request of the wagerer which can
only be used for wagering in a licensed gaming facility, and
wagering may not be conducted with money or other negotiable
currency.
§29-25-24. Individual gaming restrictions.
(a) An individual may not enter a gaming facility or remain in
a gaming facility to participate in authorized games of chance if
the individual:
(1) Is not a registered overnight guest in the historic resort
hotel on whose premises the gaming facility is located;
(2) Is under the age of twenty-one years;
(3) Is intoxicated;
(4) Is determined by the gaming facility operator or the
commission to be unruly, disruptive or otherwise interfering with
operation of the gaming facility; or to be likely to commit, or to
attempt to commit, a violation of this article; or
(5) Has been barred by the commission from entering a gaming
facility.
(b) Notwithstanding any provisions of this code to the
contrary, no employee of the commission or employee of the historic
resort hotel or any member of his or her immediate household may
wager at the gaming facility.
§29-25-25. Offenses and penalties.
(a) A gaming licensee is guilty of unlawful operation of a
game of chance when:
(1) The licensee operates a game of chance in any location
other than a gaming facility;
(2) The licensee acts, or employs another person to act, as a
shill or decoy to encourage participation in a game of chance in a
gaming facility;
(3) The licensee knowingly permits an individual under the age
of twenty-one years of age to enter or remain in a gaming facility
for the purpose of making a wager; or
(4) The licensee exchanges tokens, chips or other forms of
credit to be used for wagering in a gaming facility for anything of
value except in exchange for money.
(b) A person is guilty of felonious wager when:
(1) The person offers, promises or gives anything of value or
benefit to a person who is connected with a gaming facility
pursuant to an agreement or arrangement or with intent that the
promise or thing of value or benefit will influence the actions of
the person to whom the offer, promise, or gift was made in order to
affect or attempt to affect the outcome of an authorized game of
chance, or to influence official action of the commission. For the purposes of this subdivision and subdivision (2) of this
subsection, the term "person who is connected with a gaming
facility" includes, but is not limited to, an officer or employee
of a licensee;
(2) The person solicits or knowingly accepts or receives a
promise of anything of value or benefit while the person is
connected with a gaming facility, pursuant to an understanding or
arrangement or with the intent that the promise or thing of value
or benefit will influence the actions of the person to affect or
attempt to affect the outcome of an authorized game of chance, or
to influence official action of the commission;
(3) The person uses or possesses with the intent to use a
device to assist:
(A) In projecting the outcome of an authorized game of chance;
(B) In keeping track of cards played or in play;
(C) In analyzing the probability of the occurrence of an event
relating to an authorized game of chance; or
(D) In analyzing the strategy for playing or betting to be
used in an authorized game of chance, except as permitted by the
commission;
(4) The person cheats at an authorized game of chance in a
gaming facility;
(5) The person manufactures, sells, or distributes any cards,
chips, dice, game or device which is intended to be used to violate
any provision of this article;
(6) The person instructs a person in cheating or in the use of
a device for that purpose with the knowledge or intent that the
information or use conveyed may be employed to violate any
provision of the article;
(7) The person places a bet after acquiring knowledge, not
available to all players, of the outcome of the game of chance
which is the subject of the bet, or aids a person in acquiring the
knowledge for the purpose of placing a bet contingent on that
outcome;
(8) The person claims, collects, takes, or attempts to claim,
collect, or take, money or anything of value into or from a gaming
facility, with intent to defraud, without having made a wager
contingent on winning a game of chance, or claims, collects or
takes an amount of money or thing of value of greater value than
the amount won;
(9) The person uses counterfeit chips or tokens to place a
wager in a gaming facility;
(10) The person knowingly uses any medium other than chips,
tokens or other methods of credit approved by the commission to place a wager in a gaming facility;
(11) The person, not a gaming licensee or employee or agent of
a gaming licensee acting in furtherance of the gaming licensee's
interests, has in his or her possession any device intended to be
used to violate a provision of this article; or
(12) The person, not a gaming licensee or agent of a gaming
licensee acting in furtherance of the gaming licensee's interests,
has in his or her possession any key or device designed for the
purpose of opening, entering or affecting the operation of an
authorized game of chance, drop box or an electronic or mechanical
device connected with or used in connection with an authorized game
of chance in a gaming facility or for removing coins, tokens, chips
or other contents therefrom.
(c) Any person who violates the provisions of subsection (a)
of this section is guilty of a misdemeanor and, upon conviction
thereof, shall be fined not more than one thousand dollars or
confined in a county or regional jail for not more than six months.
(d) Any person who violates the provisions of subsection (b)
of this section is guilty of a felony and, upon conviction thereof,
shall be fined not less than five thousand dollars nor more than
ten thousand dollars and committed to the division of corrections
of a definite term of imprisonment of not less than one year nor more than five years.
§29-25-26. Forfeiture of property.
(a) Anything of value, including all traceable proceeds
including, but not limited to, real and personal property, moneys,
negotiable instruments, securities and conveyances, is subject to
forfeiture to the state of West Virginia if the item was used for
any of the following:
(1) As a bribe intended to affect the outcome of an authorized
game of chance in a gaming facility; or
(2) In exchange for or to facilitate a violation of this
article.
(b) Subsection (a) of this section does not apply if the act
or omission which would give rise to the forfeiture was committed
or omitted without knowledge or consent of the owner of the
property to be forfeited.
§29-25-27. Civil penalties.
The commission may impose on a person who violates the
provisions of this article a civil penalty not to exceed ten
thousand dollars for each violation, whether or not the person is
licensed under this article.
The provisions of article five, chapter twenty-nine-a of this code shall apply to any civil penalty imposed pursuant to the
provisions of this section.