As Amended by Senate Committee
Session of 2000
SENATE BILL No. 492
By Committee on Federal and State Affairs
1-26
10 AN ACT
concerning the state gaming agency; relating to the financing
11 of the operations
thereof; relating to the powers and duties thereof;
12 relating to the
officers and employees thereof; amending K.S.A. 1999
13 Supp. 74-9803,
74-9804, 74-9805 and 74-9808 and repealing the ex-
14 isting sections.
15
16 Be it enacted by the Legislature of the
State of Kansas:
17 Section
1. K.S.A. 1999 Supp. 74-9803 is hereby amended to read as
18 follows: 74-9803. (a) The state gaming
agency is hereby transferred from
19 the department of commerce and housing,
designated by Executive Or-
20 der No. 95-177 as the state gaming agency,
and is attached to and made
21 a part of the Kansas racing and gaming
commission. Employees of the
22 state gaming agency shall not be
subject to the restrictions of K.S.A. 74-
23 8810, and amendments
thereto. For the purposes of K.S.A.
74-8810,
24 and amendments thereto, employees of
the state gaming agency
25 shall not be considered as employees
of the Kansas racing and gam-
26 ing commission. The budget of
the state gaming agency, the number
27 and qualifications of employees of the
state gaming agency and expend-
28 itures by the state gaming agency for
expenses of dispute resolution pur-
29 suant to a tribal-state gaming compact
shall be subject to approval by the
30 Kansas racing and gaming commission. All
other management functions
31 of the state gaming agency shall be
administered by the executive director.
32 All vouchers for expenditures and all
payrolls of the state gaming agency
33 shall be approved by the executive director
or a person designated by the
34 executive director.
35 (b) Nothing in
this act shall be construed as abolishing or reestablish-
36 ing the state gaming agency.
37 Sec.
2. K.S.A. 1999 Supp. 74-9804 is hereby amended to read as
38 follows: 74-9804. (a) (1) The governor
shall appoint, subject to confir-
39 mation by the senate as provided by K.S.A.
75-4315b, and amendments
40 thereto, an executive director of the state
gaming agency, to serve at the
41 pleasure of the governor. Before appointing
any person as executive di-
42 rector, the governor shall cause the Kansas
bureau of investigation to
43 conduct a criminal history record check and
background investigation of
2
1 the person.
2 (2) The
executive director shall: (A) Be in the unclassified service
3 under the Kansas civil service act;
(B) devote full time to the executive
4 director's assigned duties; (C) be a
citizen of the United States and an
5 actual resident of Kansas during
employment as executive director; (D)
6 not have been convicted of a felony
under the laws of any state or of the
7 United States prior to or during
employment; and (E) have familiarity
8 with gaming industries sufficient to
fulfill the duties of the office of ex-
9 ecutive director.
10 (3) The executive
director shall: (A) Determine, subject to the ap-
11 proval of the Kansas racing and gaming
commission, the number and
12 qualifications of employees necessary to
implement and enforce the pro-
13 visions of tribal-state gaming compacts and
the provisions of the tribal
14 gaming oversight act; (B) employ persons
for those positions; and (C)
15 perform such other duties as required by
tribal-state gaming compacts.
16 (b) (1) The
executive director may appoint a director of enforcement
17 and compliance to serve at the pleasure of
the executive director. Before
18 appointing any person as director of
enforcement and compliance, the
19 executive director shall cause the Kansas
bureau of investigation to con-
20 duct a criminal history record check and
background investigation of the
21 person.
22 (2) The director
of enforcement and compliance shall: (A) Be in the
23 unclassified service under the Kansas civil
service act; (B) devote full time
24 to the director's assigned duties; (C)
receive such compensation as de-
25 termined by the executive director, subject
to the limitations of appro-
26 priations therefor; (D) be a citizen of the
United States and an actual
27 resident of Kansas during employment as
director of enforcement and
28 compliance; (E) not have been convicted of
a felony under the laws of
29 any state or of the United States prior to
and during employment as
30 director of compliance; and (F) have been a
professional law enforcement
31 officer with a minimum of five years'
experience in the field of law en-
32 forcement and at least a bachelor's degree
in law enforcement adminis-
33 tration, law, criminology or a related
science or, in lieu thereof, a mini-
34 mum of 10 years' experience in the field of
law enforcement.
35 (3) The director
of enforcement and compliance shall: (A) Be vested
36 with law enforcement authority;
37 (B) conduct
investigations relating to compliance with the provisions
38 of tribal-state gaming compacts and the
provisions of the tribal gaming
39 oversight act;
40 (C) recommend
proper compliance measures to tribal gaming
41 commissions;
42 (D) train and
supervise such personnel as employed by the executive
43 director to assist with such duties;
and
3
1 (E) perform
such other duties as directed by the executive director.
2 (c)
(1) The executive director may appoint enforcement agents.
Be-
3 fore appointing any person as a
enforcement agent, the executive director
4 shall cause the Kansas bureau
of investigation to conduct require a crim-
5 inal history record check and
background investigation of the person to
6 be conducted prior to the
beginning of employment.
7 (2) Each
enforcement agent shall: (A) Be vested with law enforce-
8 ment authority;
9 (B) be in
the classified service under the Kansas civil service act;
10 (C) not have been
convicted of a felony under the laws of any state
11 or of the United States prior to or during
employment as enforcement
12 agent; and
13 (D) be a
professional law enforcement officer with a minimum of two
14 years' experience in the field of law
enforcement or, in lieu thereof, a
15 bachelor's degree from an accredited
university or college.
16 (3) Enforcement
agents shall: (A) Conduct investigations relating to
17 compliance with the provisions of
tribal-state gaming compacts or the
18 provisions of the tribal gaming oversight
act; and (B) perform such other
19 duties as directed by the executive
director or the director of enforcement
20 and compliance.
21 Sec.
3. K.S.A. 1999 Supp. 74-9805 is hereby amended to read as
22 follows: 74-9805. (a) The state gaming
agency shall be responsible for
23 oversight of class III gaming conducted
pursuant to tribal-state compacts
24 and, as such, shall monitor compliance with
tribal-state gaming compacts
25 and perform the duties of the state gaming
agency as provided by tribal-
26 state gaming compacts.
27 (b) The state
gaming agency may examine and inspect all tribal gam-
28 ing facilities and facilities linked to
Kansas tribal gaming facilities for gam-
29 ing, including but not limited to all
machines and equipment used for
30 tribal gaming.
31 (c) The state
gaming agency may examine, or cause to be examined
32 by any agent or representative designated
by the executive director, any
33 books, papers, records, electronic records,
computer records or surveil-
34 lance and security tapes and logs of any
tribal gaming facility in accord-
35 ance with tribal-state gaming compacts.
36 (d) The executive
director may issue subpoenas to compel access to
37 or for the production of any books, papers,
records, electronic records,
38 computer records or surveillance and
security tapes and logs in the cus-
39 tody or control of a tribal gaming facility
or any officer, employee or agent
40 of a tribal gaming facility, or to compel
the appearance of any officer,
41 employee or agent of a tribal gaming
facility, for the purpose of ascer-
42 taining compliance with any of the
provisions of a tribal-state gaming
43 compact or the tribal gaming oversight act.
Subpoenas issued pursuant
4
1 to this subsection may be served upon
individuals and corporations in the
2 same manner provided in K.S.A. 60-304
and amendments thereto for the
3 service of process by any officer
authorized to serve subpoenas in civil
4 actions or by the executive director
or an agent or representative desig-
5 nated by the executive director. In
the case of the refusal of any person
6 to comply with any such subpoena, the
executive director may make ap-
7 plication to any court of competent
jurisdiction.
8 (e) The
state gaming agency may institute the dispute resolution pro-
9 cedure, in accordance with a
tribal-state gaming compact, to ensure pro-
10 duction of the documents required by the
tribal-state gaming compact
11 and to ensure compliance with all
provisions of the compact.
12 (f) The state
gaming agency shall monitor, examine and inspect tribal
13 gaming to ensure that tribal gaming is
conducted in compliance with
14 tribal-state gaming compacts.
15 (g) The state
gaming agency shall review all licensing and disciplinary
16 actions taken by tribal gaming commissions
or any party involved in the
17 tribal gaming and assess if the action
complies with the terms of the
18 applicable tribal-state gaming compact.
19 (h) The executive
director, or a designated employee, shall report any
20 substantial noncompliance with a
tribal-state gaming compact to the
21 governor.
22 (i) The state
gaming agency may negotiate a resolution between any
23 tribe conducting or operating tribal gaming
and any local or county gov-
24 ernmental entity regarding the allocation
or payment of additional ex-
25 penses or costs incurred by the
governmental entity as a result of tribal
26 gaming, as provided by the applicable
tribal-state gaming compacts.
27 (j) The state
gaming agency may adopt background investigation and
28 fingerprinting policies or procedures in
accordance with the terms of
29 tribal-state gaming compacts.
30 (k) The state
gaming agency shall perform all functions and duties
31 required to comply with and ensure tribal
compliance with tribal-state
32 gaming compacts.
33 (l) The state
gaming agency shall require fingerprinting of all persons
34 necessary to verify qualifications for
employment by the state gaming
35 agency or to verify qualification for any
license issued pursuant to a tribal-
36 state gaming compact. The state gaming
agency shall submit such fin-
37 gerprints to the Kansas bureau of
investigation and to the federal bureau
38 of investigation for the purposes of
verifying the identity of such persons
39 and obtaining records of criminal arrests
and convictions.
40 (m) (1) The
state gaming agency may receive individual and corpo-
41 rate taxpayer information from the
Kansas department of revenue. The
42 state gaming agency may receive from
the Kansas bureau of investigation
43 or other criminal justice agencies,
including but not limited to the federal
5
1 bureau of investigation and the
federal internal revenue service, such
2 criminal history record information
(including arrest and nonconviction
3 data), criminal intelligence
information and information relating to crim-
4 inal and background investigations as
necessary for the purpose of deter-
5 mining qualifications of employees of
and applicants for employment by
6 the state gaming agency and
determining qualifications of licensees and
7 applicants for licensure in tribal
gaming. Upon the written request of the
8 executive director, the state gaming
agency may receive from the district
9 courts such information relating to
juvenile proceedings as necessary for
10 the purpose of determining qualifications
of employees of and applicants
11 for employment by the state gaming agency
and determining qualifica-
12 tions of licensees of and applicants for
licensure in tribal gaming.
13 (2) The state
gaming agency may disclose information received pur-
14 suant to subsection (m)(1) to a tribal
gaming commission as necessary for
15 the purpose of determining qualifications
of employees of or applicants
16 for employment by such tribal gaming
commission or qualifications of
17 licensees or applicants for licensure by
such tribal gaming commission.
18 (3) Any
information, other than conviction data, received by the state
19 gaming agency pursuant to subsection (m)(1)
or by a tribal gaming com-
20 mission pursuant to subsection (m)(2) shall
be confidential and shall not
21 be disclosed except to the executive
director, employees of the state gam-
22 ing agency and members and employees of the
tribal gaming commission
23 as necessary for the purposes specified by
subsections (m)(1) and (m)(2)
24 and upon written request to the
executive director to agencies of other
25 states who are engaged in the regulation
of Class III or casino gaming.
26 Any other disclosure of such confidential
information is a class A non-
27 person misdemeanor
severity level 8 nonperson felony
class A nonperson
28 misdemeanor and shall
constitute grounds for removal from office, ter-
29 mination of employment or denial,
revocation or suspension of any license
30 issued by the tribal gaming commission.
31 (n) The executive
director may adopt rules and regulations to imple-
32 ment, administer and enforce the provisions
of the tribal gaming oversight
33 act.
34 Sec.
4. K.S.A. 1999 Supp. 74-9808 is hereby amended to read as
35 follows: 74-9808. (a) There is hereby
created the tribal gaming fund in
36 the state treasury.
37 (b) All amounts
collected by the state gaming agency pursuant to
38 tribal-state gaming compacts shall be
remitted to the state treasurer, who
39 shall deposit the entire amount in the
state treasury and credit it to the
40 tribal gaming fund. All moneys credited to
such fund shall be expended
41 or transferred only for the purposes and in
the manner provided by this
42 act and tribal-state gaming compacts.
Expenditures from such fund shall
43 be made in accordance with appropriation
acts upon warrants of the di-
6
1 rector of accounts and reports issued
pursuant to vouchers approved by
2 the executive director or a person
designated by the executive director.
3 (c) All
operating expenses of the state gaming agency and the provi-
4 sions of the tribal gaming oversight
act shall be paid from the tribal gam-
5 ing fund.
6 (d) The
executive director and the director of accounts and reports
7 may provide for the establishment of
such accounts in the tribal gaming
8 fund as necessary or expedient to
carry out the state's responsibilities and
9 authority under tribal-state gaming
compacts and the provisions of the
10 tribal gaming oversight act.
11 (e) Any
appropriation or transfer of state general fund moneys for
12 operations of the state gaming agency and
any other expenses incurred
13 in connection with the administration and
enforcement of tribal-state
14 gaming compacts or the provisions of the
tribal gaming oversight act shall
15 be considered a loan and shall be
repaid with interest to the state general
16 fund in accordance with
appropriation acts. Such loan shall not be con-
17 sidered an indebtedness or debt of
the state within the meaning of section
18 6 of article 11 of the constitution
of the state of Kansas. Such loan shall
19 bear interest at a rate equal to
the rate prescribed by K.S.A. 75-4210 and
20 amendments thereto for inactive
accounts of the state effective on the
21 first day of the month during which
the appropriation or transfer takes
22 effect.
23 (f) At
the time of repayment of a loan pursuant to subsection (d),
the
24 executive director shall certify to
the director of accounts and reports the
25 amount to be repaid and any
interest due thereon. Upon receipt of such
26 certification, the director of
accounts and reports shall promptly transfer
27 the amount certified from the
tribal gaming fund to the state general
28 fund reimbursed in
accordance with the tribal-state gaming compact.
29 Sec. 5. K.S.A. 1999 Supp.
74-9803, 74-9804, 74-9805 and 74-9808
30 are hereby repealed.
31 Sec. 6. This act shall
take effect and be in force from and after its
32 publication in the statute book.