S 1597 ISCommentsClose CommentsPermalink

To amend title 31, United States Code, to provide for the licensing by the Secretary of the Treasury of Internet poker and other games that are predominantly of skill, to provide for consumer protections on the Internet, to enforce the tax code, and for other purposes.CommentsClose CommentsPermalink

August 6, 2009CommentsClose CommentsPermalink

Mr. MENENDEZ introduced the following bill; which was read twice and referred to the Committee on FinanceCommentsClose CommentsPermalink

To amend title 31, United States Code, to provide for the licensing by the Secretary of the Treasury of Internet poker and other games that are predominantly of skill, to provide for consumer protections on the Internet, to enforce the tax code, and for other purposes.CommentsClose CommentsPermalink

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,CommentsClose CommentsPermalink

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title- This Act may be cited as the ‘Internet Poker and Game of Skill Regulation, Consumer Protection, and Enforcement Act of 2009’.CommentsClose CommentsPermalink





(b) Table of Contents- The table of contents for this Act is as follows:CommentsClose CommentsPermalink





Sec. 1. Short title; table of contents.CommentsClose CommentsPermalink

TITLE I--REGULATION OF INTERNET GAMES OF SKILL FACILITIES

Sec. 101. Findings.CommentsClose CommentsPermalink





Sec. 102. Federal licensing requirement for operation of Internet games of skill facilities.CommentsClose CommentsPermalink





Sec. 103. List of unlawful Internet gambling enterprises.CommentsClose CommentsPermalink





Sec. 104. Regulations.CommentsClose CommentsPermalink





Sec. 105. Annual report.CommentsClose CommentsPermalink





Sec. 106. Conforming amendments.CommentsClose CommentsPermalink





Sec. 107. Effective date.CommentsClose CommentsPermalink





Sec. 108. Applicability.CommentsClose CommentsPermalink

TITLE II--INTERNET GAMES OF SKILL TAX PROVISIONS

Sec. 201. Amendment of 1986 code.CommentsClose CommentsPermalink





Sec. 202. Tax on Internet games of skill; licensee information reporting.CommentsClose CommentsPermalink





Sec. 203. Withholding for pari-mutuel pool winnings.CommentsClose CommentsPermalink





Sec. 204. Withholding from certain gaming winnings.CommentsClose CommentsPermalink





Sec. 205. Withholding of tax on nonresident aliens.CommentsClose CommentsPermalink





Sec. 206. Information at source; pari-mutuel wagers.CommentsClose CommentsPermalink





Sec. 207. Exemption from State and Indian tribal government taxation.CommentsClose CommentsPermalink





Sec. 208. Territorial extent of wagering tax.CommentsClose CommentsPermalink

TITLE III--STUDY AND PREVENTION OF PROBLEM AND PATHOLOGICAL GAMBLING

Sec. 301. Authorization of programs for identification, prevention, and treatment of problem and pathological gambling.CommentsClose CommentsPermalink





Sec. 302. Public awareness, research, and treatment.CommentsClose CommentsPermalink

TITLE I--REGULATION OF INTERNET GAMES OF SKILL FACILITIESCommentsClose CommentsPermalink

SEC. 101. FINDINGS.

Congress makes the following findings:CommentsClose CommentsPermalink





(1) In the United States, gambling and gaming activities, equipment, and operations have traditionally been subject to various forms of Federal and State control, regulation, and enforcement, with some form of gambling being permitted in nearly every State and by many Indian tribes.CommentsClose CommentsPermalink





(2) The demarcation between games of chance and games of skill is not always clearly drawn, and the treatment and definition of ‘games of skill’ has varied from jurisdiction to jurisdiction.CommentsClose CommentsPermalink





(3) Millions of people in the United States enjoy competing with other players in poker, chess, bridge, mah-jong, backgammon, and similar games where the outcome turns predominantly on the skill of the participants. While each of these games contains an element of chance, over any substantial interval, a player’s ultimate success is determined by that player’s relative level of skill.CommentsClose CommentsPermalink





(4) Poker, in particular, enjoys a long tradition in the United States. Poker is part of the cultural and recreational fabric of the United States and has been since the founding days of the United States. United States poker aficionados have included presidents, judges, and statesmen throughout the history of the United States.CommentsClose CommentsPermalink





(5) Since the development of the Internet, online sites offering Internet gambling and similar games have raised numerous policy, consumer protection, and enforcement concerns for the Federal and State governments as millions of United States persons have chosen to play online on sites offered by operators located in many different countries under a variety of licensing and regulatory regimes.CommentsClose CommentsPermalink





(6) Bets and wagers made with respect to games in which success is predominantly determined by the skill of the players and in which the bets and wagers are between the participants can and should be treated as distinct from other bets and wagers made with respect to games in which success is not predominantly determined by the skill of the players or in which the wagers are not between the participants such as Internet wagering with off-shore sites on games of chance and betting on sporting events, all of which (with the exception of certain betting on horse racing) are barred by the laws of the United States.CommentsClose CommentsPermalink





(7) The hosting by Internet operators of games predominantly determined by the skill of players and in which wagers can be made between the participants should be controlled by a strict Federal licensing and regulatory framework--CommentsClose CommentsPermalink





(A) to prevent underage wagering and otherwise to protect vulnerable individuals;CommentsClose CommentsPermalink





(B) to ensure the games are fair;CommentsClose CommentsPermalink





(C) to address the concerns of law enforcement; andCommentsClose CommentsPermalink





(D) to enforce limitations on the activity established by the States and Indian tribes.CommentsClose CommentsPermalink





(8) An effective Federal licensing system would ensure that licenses are issued only to Internet operators who--CommentsClose CommentsPermalink





(A) meet strict criteria to protect consumers;CommentsClose CommentsPermalink





(B) are in good financial and legal standing;CommentsClose CommentsPermalink





(C) are of good character, honesty, and integrity;CommentsClose CommentsPermalink





(D) utilize appropriate technology to prevent those of insufficient age from participating;CommentsClose CommentsPermalink





(E) adopt and implement systems to protect compulsive players;CommentsClose CommentsPermalink





(F) have in place risk-based methods--CommentsClose CommentsPermalink





(i) to identify and combat money laundering and fraud; andCommentsClose CommentsPermalink





(ii) to protect the privacy and security of users;CommentsClose CommentsPermalink





(G) adopt strict internal controls which are subject to audit; andCommentsClose CommentsPermalink





(H) adopt and implement systems to collect and remit taxes due.CommentsClose CommentsPermalink





(9) Effective regulation requires application of the regulatory provisions prescribed under subchapter V of chapter 53 of title 31, United States Code, as added by section 102, to all persons seeking a license to operate an Internet game-of-skill facility (as such term is defined in section 5381 of such subchapter), with each State and Indian tribe having the ability to prohibit operators of Internet game-of-skill facilities from accepting bets or wagers from persons located within the territory of the State or Indian tribe by opting out under section 5385(a) of such subchapter, as so added.CommentsClose CommentsPermalink





(10) Maintenance of a list of unlawful Internet gambling enterprises and the owners and operators of such enterprises will aid law enforcement efforts to prevent unlawful Internet gambling.CommentsClose CommentsPermalink





(11) Longstanding Federal policy against gambling on professional, scholastic, or amateur sporting events, and all criminal laws prohibiting such gambling, should remain in full force and effect.CommentsClose CommentsPermalink





(12) Licensing and regulating Internet game-of-skill facilities (as such term is defined in section 5381 of title 31, United States Code) in the United States would provide additional tax revenues for the United States and would reduce tax avoidance.CommentsClose CommentsPermalink

SEC. 102. FEDERAL LICENSING REQUIREMENT FOR OPERATION OF INTERNET GAME-OF-SKILL FACILITIES.

(a) In General- Chapter 53 of title 31, United States Code, is amended by adding at the end the following new subchapter:CommentsClose CommentsPermalink

‘SUBCHAPTER V--REGULATION OF INTERNET GAME-OF-SKILL FACILITIES

‘Sec. 5381. Definitions

‘In this subchapter:CommentsClose CommentsPermalink





‘(1) APPLICANT- The term ‘applicant’ means any person who has applied for a license pursuant to this subchapter.CommentsClose CommentsPermalink





‘(2) BET OR WAGER- The term ‘bet or wager’ has the meaning given the term in section 5362.CommentsClose CommentsPermalink





‘(3) INDIAN LANDS AND INDIAN TRIBE- The terms ‘Indian lands’ and ‘Indian tribe’ have the meaning given such terms in section 4 of the Indian Gaming Regulatory Act (25 U.S.C. 2703).CommentsClose CommentsPermalink





‘(4) INTERNET- The term ‘Internet’ has the same meaning given the term in section 5362.CommentsClose CommentsPermalink





‘(5) INTERNET GAME OF SKILL- The term ‘Internet game of skill’ means an Internet-based game in which success is predominantly determined by the skill of the players, including poker, chess, bridge, mah-jong, and backgammon.CommentsClose CommentsPermalink





‘(6) INTERNET GAME-OF-SKILL FACILITY- The term ‘Internet game-of-skill facility’ means an Internet site through which a bet or wager is initiated, received, or otherwise made with respect to an Internet game of skill, whether transmitted by telephone, Internet, satellite, or other wire or wireless communication medium.CommentsClose CommentsPermalink





‘(7) LICENSEE- The term ‘licensee’ means a person who operates an Internet game-of-skill facility under a license issued by the Secretary under this subchapter.CommentsClose CommentsPermalink





‘(8) OPERATE AN INTERNET GAME-OF-SKILL FACILITY- The term ‘operate an Internet game-of-skill facility’ means to direct, manage, supervise, or control an Internet game-of-skill facility.CommentsClose CommentsPermalink





‘(9) POKER- The term ‘poker’ means any of several card games--CommentsClose CommentsPermalink





‘(A) that are commonly referred to as ‘poker’;CommentsClose CommentsPermalink





‘(B) that are played by 2 or more people who bet or wager on cards dealt to them;CommentsClose CommentsPermalink





‘(C) in which players compete against each other and not against the person operating the game; andCommentsClose CommentsPermalink





‘(D) in which the person operating the game may assess a commission fee or any other type of fee.CommentsClose CommentsPermalink





‘(10) SECRETARY- The term ‘Secretary’ means the Secretary of the Treasury.CommentsClose CommentsPermalink





‘(11) SPORTING EVENT- The term ‘sporting event’ means any athletic competition, whether professional, scholastic, or amateur, except that such term does not include any activity described in section 3704(a)(4) of title 28.CommentsClose CommentsPermalink





‘(12) STATE- The term ‘State’ means any State of the United States, the District of Columbia, or any commonwealth, territory, or other possession of the United States.CommentsClose CommentsPermalink

‘Sec. 5382. Establishment and administration of licensing program

‘(a) Treasury Responsibilities- The Secretary shall have responsibility for the following activities:CommentsClose CommentsPermalink





‘(1) Exercising full regulatory jurisdiction over--CommentsClose CommentsPermalink





‘(A) the operation of Internet game-of-skill facilities by licensees; andCommentsClose CommentsPermalink





‘(B) the licensure of all applicants.CommentsClose CommentsPermalink





‘(2) Prescribing such regulations as may be necessary to administer and enforce the requirements of this subchapter.CommentsClose CommentsPermalink





‘(3) Employing enforcement agents with sufficient training and experience to administer the requirements of this subchapter and the regulations prescribed under this subchapter.CommentsClose CommentsPermalink





‘(b) Internet Game-of-skill Facility Licensing Program-CommentsClose CommentsPermalink





‘(1) LICENSE REQUIRED- It shall be unlawful for a person to operate an Internet game-of-skill facility in interstate or foreign commerce, in which bets or wagers are knowingly initiated, received, or otherwise made by individuals located in the United States, without a license issued to such person by the Secretary under this subchapter.CommentsClose CommentsPermalink





‘(2) AUTHORITY UNDER VALID LICENSE- Notwithstanding any other provision of law and subject to the provisions of this subchapter, a licensee may accept a bet or wager with respect to an Internet game of skill from an individual located in the United States and offer related services.CommentsClose CommentsPermalink





‘(3) INTERSTATE OFF-TRACK WAGERS- Notwithstanding anything in this subchapter to the contrary, a person may accept interstate off-track wagers (as defined by section 3 of the Interstate Horseracing Act of 1978 (15 U.S.C. 3002)), whether by telephone, Internet, satellite, or other wire or wireless communication without need for a license issued pursuant to this subchapter.CommentsClose CommentsPermalink





‘(c) Application for License-CommentsClose CommentsPermalink





‘(1) APPLICATION- A person seeking a license to operate an Internet game-of-skill facility in interstate or foreign commerce shall submit to the Secretary an application therefor in such form and in such manner as the Secretary considers appropriate.CommentsClose CommentsPermalink





‘(2) ELEMENTS- Each application submitted under paragraph (1) shall include such information as the Secretary considers appropriate, including the following:CommentsClose CommentsPermalink





‘(A) Complete financial information about the applicant.CommentsClose CommentsPermalink





‘(B) Documentation showing the corporate structure of the applicant and all related businesses and affiliates.CommentsClose CommentsPermalink





‘(C) The criminal and credit history of--CommentsClose CommentsPermalink





‘(i) the applicant;CommentsClose CommentsPermalink





‘(ii) each of the senior executives and directors of the applicant; andCommentsClose CommentsPermalink





‘(iii) any other person who is in control of the applicant.CommentsClose CommentsPermalink





‘(D) A detailed description of the applicant’s plan for complying with all applicable regulations prescribed under this subchapter, with particular emphasis on the applicant’s ability--CommentsClose CommentsPermalink





‘(i) to prevent underage play;CommentsClose CommentsPermalink





‘(ii) to protect compulsive players;CommentsClose CommentsPermalink





‘(iii) to ensure the Internet games of skill are being operated fairly; andCommentsClose CommentsPermalink





‘(iv) to comply with and address any additional concerns identified by the Secretary.CommentsClose CommentsPermalink





‘(E) A certification by the applicant that the applicant agrees to be subject to United States jurisdiction and all applicable United States laws relating to the operation of an Internet game-of-skill facility and associated activities.CommentsClose CommentsPermalink





‘(d) Standards for License Issuance; Suitability Qualifications and Disqualification Standards-CommentsClose CommentsPermalink





‘(1) SUITABILITY FOR LICENSING STANDARDS-CommentsClose CommentsPermalink





‘(A) IN GENERAL- No person shall be eligible to obtain a license unless the Secretary has determined, upon completion of a background check and investigation, that the applicant, and any person deemed to be in control of the applicant, is suitable for licensing.CommentsClose CommentsPermalink





‘(B) ASSOCIATES OF APPLICANTS-CommentsClose CommentsPermalink





‘(i) IN GENERAL- If an applicant is a corporation, partnership, or other business entity, a background check and investigation shall occur with respect to the president or other chief executive of the corporation, partnership, or other business entity and other partners or senior executives and directors of the corporation, partnership, or entity, as determined appropriate by the Secretary, in the Secretary’s sole discretion.CommentsClose CommentsPermalink





‘(ii) MINIMUM DETERMINATION- In carrying out clause (i), the Secretary shall, as a minimum, carry out a background check and investigation of the 5 individuals receiving the most compensation from the applicant.CommentsClose CommentsPermalink





‘(2) SUITABILITY FOR LICENSING STANDARDS- For purposes of this subchapter, an applicant and any other person associated with the applicant, as applicable, is suitable for licensing if the applicant demonstrates to the Secretary by clear and convincing evidence that the applicant (or individual associated with the applicant, as applicable)--CommentsClose CommentsPermalink





‘(A) is a person of good character, honesty, and integrity;CommentsClose CommentsPermalink





‘(B) is a person whose prior activities, reputation, habits, and associations do not--CommentsClose CommentsPermalink





‘(i) pose a threat to the public interest or to the effective regulation and control of Internet game-of-skill facilities; orCommentsClose CommentsPermalink





‘(ii) create or enhance the dangers of unsuitable, unfair, or illegal practices, methods, and activities in the conduct of Internet game-of-skill facilities or the carrying on of the business and financial arrangements incidental there to such facilities;CommentsClose CommentsPermalink





‘(C) is capable of and likely to conduct the activities for which the applicant is licensed in accordance with the provisions of this subchapter and any regulations prescribed under this subchapter;CommentsClose CommentsPermalink





‘(D) has or guarantees acquisition of adequate business competence and experience in the operation of Internet game-of-skill facilities; andCommentsClose CommentsPermalink





‘(E) has or will obtain sufficient financing for the nature of the proposed operation and from a suitable source.CommentsClose CommentsPermalink





‘(3) UNSUITABLE FOR LICENSING- An applicant or any other person may not be determined to be suitable for licensing within the meaning of this subchapter if the applicant or such person--CommentsClose CommentsPermalink





‘(A) has failed to provide information and documentation material to a determination of suitability for licensing under paragraph (1);CommentsClose CommentsPermalink





‘(B) has supplied information which is untrue or misleading as to a material fact pertaining to any such determination;CommentsClose CommentsPermalink





‘(C) has been convicted of an offense punishable by imprisonment of more than 1 year;CommentsClose CommentsPermalink





‘(D) is delinquent in filing any applicable Federal or State tax return or in the payment of any applicable tax, penalty, addition to tax, or interest owed to a jurisdiction in which the applicant or other person operates or does business;CommentsClose CommentsPermalink





‘(E) knowingly accepts or knowingly has accepted bets or wagers on sporting events from persons located in the United States in violation of applicable Federal or State law; orCommentsClose CommentsPermalink





‘(F) has not agreed in writing to submit to personal jurisdiction in the United States for purposes of any matter arising from the operation of an Internet game-of-skill facility or associated activities.CommentsClose CommentsPermalink





‘(4) ONGOING REQUIREMENT- A licensee (and any other person who is required to be determined to be suitable for licensing in connection with such licensee) shall meet the standards necessary to be suitable for licensing throughout the term of the license.CommentsClose CommentsPermalink





‘(5) BACKGROUND CHECK AND INVESTIGATION- The Secretary shall establish standards and procedures for conducting background checks and investigations for purposes of this subsection.CommentsClose CommentsPermalink





‘(6) PROTECTION OF THE PUBLIC TRUST- The Secretary may take such action as is necessary to protect the public trust, including the implementation of such safeguards as may be necessary to ensure that the operation of an Internet game-of-skill facility licensed under this subchapter is controlled only by persons who are suitable for licensing.CommentsClose CommentsPermalink





‘(7) ENFORCEMENT ACTIONS-CommentsClose CommentsPermalink





‘(A) DETERMINATION OF UNSUITABILITY FOR CONTINUED LICENSURE- If the Secretary finds that an individual owner or holder of a controlling or substantial interest in a licensee, or of a holding, parent, or intermediary company of a licensee, or a director, partner, or officer of a licensee is not suitable for licensing, the Secretary may determine that the licensee is not qualified to continue as a licensee.CommentsClose CommentsPermalink





‘(B) ACTION TO PROTECT THE PUBLIC INTEREST, INCLUDING SUSPENSION- If the Secretary determines that a licensee is not qualified to continue as a licensee, the Secretary shall propose action the Secretary considers necessary to protect the public interest, including, if the Secretary considers necessary, the suspension of the licensee.CommentsClose CommentsPermalink





‘(C) IMPOSITION OF CONDITIONS INCLUDING REMOVAL OF PARTIES- Notwithstanding a determination under subparagraph (A), the Secretary may allow a licensee to continue engaging in licensed activities by imposing conditions on the licensee under penalty of revocation or suspension of a license, including--CommentsClose CommentsPermalink





‘(i) the identification of any person determined to be unsuitable for licensing; andCommentsClose CommentsPermalink





‘(ii) the establishment of appropriate safeguards to ensure such person is excluded from any management or involvement in operation of the licensed activities.CommentsClose CommentsPermalink





‘(e) Assessments for Administrative Expenses-CommentsClose CommentsPermalink





‘(1) USER FEES-CommentsClose CommentsPermalink





‘(A) IN GENERAL- The cost of administering this subchapter with respect to each licensee, including the cost of any review or examination of a licensee to ensure compliance with the terms of the license and this subchapter, shall be assessed by the Secretary against the licensee institution by written notice in an amount limited to that necessary to meet the Secretary’s expenses in carrying out such administration, review, or examination to the exclusion of general overhead and other administrative expenses that are not directly attributable to that licensee.CommentsClose CommentsPermalink





‘(B) DISPOSITION- Amounts assessed by the Secretary as user fees under subparagraph (A) shall--CommentsClose CommentsPermalink





‘(i) be maintained by the Secretary solely for use in accordance with clause (ii);CommentsClose CommentsPermalink





‘(ii) be available to the Secretary to cover expenses incurred by the Secretary in carrying out this subchapter; andCommentsClose CommentsPermalink





‘(iii) not be construed to be Government funds or appropriated monies, or subject to apportionment for the purposes of chapter 15 or any other authority.CommentsClose CommentsPermalink





‘(C) HEARING- Any licensee against whom an assessment is assessed under this paragraph shall be afforded an agency hearing if such person submits a request for such hearing within 20 days after the issuance of the notice of assessment.CommentsClose CommentsPermalink





‘(D) COLLECTION-CommentsClose CommentsPermalink





‘(i) REFERRAL- If any licensee fails to pay an assessment under this paragraph after the assessment has become final, the Secretary may recover the amount assessed by action in the appropriate United States district court, along with any costs of collection and attorney fees.CommentsClose CommentsPermalink





‘(ii) ASSESSMENT REVIEWABLE- In any civil action under clause (i), a court may review the validity and adjust the amount of the assessment.CommentsClose CommentsPermalink





‘(2) DIRECT AND EXCLUSIVE OBLIGATION OF LICENSEE- The user fee shall be the direct and exclusive obligation of the licensee and may not be deducted from amounts available as deposits to any person placing a bet.CommentsClose CommentsPermalink





‘(f) Approval of License- The Secretary shall grant licenses under this subchapter if the applicant meets the criteria established by the Secretary under this subchapter.CommentsClose CommentsPermalink





‘(g) Safeguards Required of Licensee- No person shall receive or retain a license under this section unless the person maintains or requires mechanisms so that the following requirements, and the standards established under section 5383, are met with respect to any Internet bet or wager:CommentsClose CommentsPermalink





‘(1) AGE- Appropriate safeguards reasonably calculated to ensure that the individual placing a bet or wager is not less than 21 years of age.CommentsClose CommentsPermalink





‘(2) LOCATION- Appropriate safeguards reasonably calculated to ensure that the individual placing a bet or wager is physically located in a jurisdiction that has not prohibited such bets or wagers pursuant to section 5385 at the time the bet or wager is placed.CommentsClose CommentsPermalink





‘(3) COLLECTION OR REPORTING OF CUSTOMER TAXES- Appropriate mechanisms reasonably calculated to ensure that all taxes relating to Internet games of skill from persons engaged in bets or wagers relating to such games are collected or reported, as required by law, at the time of any payment of proceeds of such bets or wagers.CommentsClose CommentsPermalink





‘(4) COLLECTION OR REPORTING OF TAXES OF LICENSEE- Appropriate mechanisms reasonably calculated to ensure that all taxes relating to the operation of an Internet game-of-skill facility from any licensee are collected and disbursed as required by law and that adequate records to enable later audit or verification are maintained.CommentsClose CommentsPermalink





‘(5) SAFEGUARDS AGAINST FINANCIAL CRIME- Appropriate safeguards reasonably calculated to prevent fraud, money laundering, and terrorist finance.CommentsClose CommentsPermalink





‘(6) SAFEGUARDS AGAINST COMPULSIVE PLAY- Appropriate safeguards reasonably calculated to prevent compulsive betting or wagering.CommentsClose CommentsPermalink





‘(7) PRIVACY SAFEGUARDS- Appropriate safeguards reasonably calculated to protect the privacy and security of any person engaged in bets or wagers relating to Internet games of skill, including customers of the licensee.CommentsClose CommentsPermalink





‘(8) PAYMENT OF ASSESSMENTS- Appropriate mechanisms reasonably calculated to ensure that any assessment under subsection (e) is paid to the Secretary.CommentsClose CommentsPermalink





‘(9) OTHER REQUIREMENTS- Such other requirements as the Secretary may establish by regulation or order for purposes of this subchapter.CommentsClose CommentsPermalink





‘(h) Term and Renewal of License-CommentsClose CommentsPermalink





‘(1) TERM- Any license issued under this section shall be issued for a 5-year term beginning on the date of issuance.CommentsClose CommentsPermalink





‘(2) RENEWAL- Licenses may be renewed in accordance with requirements prescribed by the Secretary under this subchapter.CommentsClose CommentsPermalink





‘(i) Revocation or Denial of License-CommentsClose CommentsPermalink





‘(1) IN GENERAL- Any license granted under this subchapter may be revoked by the Secretary if--CommentsClose CommentsPermalink





‘(A) the licensee fails to comply with any provision of this subchapter; orCommentsClose CommentsPermalink





‘(B) the licensee is determined to be unsuitable within the meaning of this subchapter.CommentsClose CommentsPermalink





‘(2) FINAL ACTION- Any revocation or denial of a license under paragraph (1) shall be treated as a final action by the Secretary.CommentsClose CommentsPermalink





‘(j) Administrative Provisions-CommentsClose CommentsPermalink





‘(1) GENERAL POWERS OF SECRETARY- The Secretary shall have the authority to engage in the following:CommentsClose CommentsPermalink





‘(A) Investigate the suitability of each applicant to ensure compliance with this subchapter and regulations prescribed under this subchapter.CommentsClose CommentsPermalink





‘(B) Require licensees to maintain appropriate procedures to ensure compliance with this subchapter and regulations prescribed under this subchapter.CommentsClose CommentsPermalink





‘(C) Examine any licensee and any books, papers, records, or other data of licensees relevant to any recordkeeping or reporting requirements imposed by the Secretary under this subchapter.CommentsClose CommentsPermalink





‘(D) When determined by the Secretary to be necessary, summon a licensee or an applicant for a license, an officer or employee of a licensee or any such applicant (including a former officer or employee), or any person having possession, custody, or care of the reports and records required by the Secretary under this subchapter, to appear before the Secretary at a time and place named in the summons and to produce such books, papers, records, or other data, and to give testimony, under oath, as may be relevant or material to any investigation in connection with the enforcement of this subchapter or any application for a license under this subchapter.CommentsClose CommentsPermalink





‘(E) Investigate any violation of this subchapter, any regulation under this subchapter, and any other violation of law relating to the operation of an Internet game-of-skill facility.CommentsClose CommentsPermalink





‘(F) Conduct continuing reviews of applicants and licensees and the operation of Internet game-of-skill facilities by use of technological means, on-site observation of facilities, including servers, or other reasonable means to assure compliance with this subchapter and any regulations under this subchapter.CommentsClose CommentsPermalink





‘(2) ADMINISTRATIVE ASPECTS OF SUMMONS-CommentsClose CommentsPermalink





‘(A) PRODUCTION AT DESIGNATED SITE- A summons issued pursuant to this subsection may require that books, papers, records, or other data stored or maintained at any place be produced--CommentsClose CommentsPermalink





‘(i) at any business location of a licensee or applicant for a license;CommentsClose CommentsPermalink





‘(ii) if the licensee or applicant has been deemed suitable by or is seeking a determination of suitability from a State or tribal regulatory authority, at any designated location in that State or tribal land; orCommentsClose CommentsPermalink





‘(iii) if the licensee or applicant has been deemed suitable or is seeking a determination of suitability from the Secretary, at any designated location in the District of Columbia.CommentsClose CommentsPermalink





‘(B) NO LIABILITY FOR EXPENSES- The United States shall not be liable for any expense incurred in connection with the production of books, papers, records, or other data under this subsection.CommentsClose CommentsPermalink





‘(C) SERVICE OF SUMMONS- Service of a summons issued under this subsection may be by registered mail or in such other manner calculated to give actual notice as the Secretary may prescribe by regulation.CommentsClose CommentsPermalink





‘(3) CONTUMACY OR REFUSAL-CommentsClose CommentsPermalink





‘(A) REFERRAL TO ATTORNEY GENERAL- In case of contumacy by a person issued a summons under this subsection or a refusal by such person to obey such summons or to allow the Secretary to conduct an examination, the Secretary shall refer the matter to the Attorney General.CommentsClose CommentsPermalink





‘(B) JURISDICTION OF COURT- The Attorney General may invoke the aid of any court of the United States to compel compliance with the summons within the jurisdiction of which--CommentsClose CommentsPermalink





‘(i) the investigation which gave rise to the summons or the examination is being or has been carried on;CommentsClose CommentsPermalink





‘(ii) the person summoned is an inhabitant; orCommentsClose CommentsPermalink





‘(iii) the person summoned carries on business or may be found.CommentsClose CommentsPermalink





‘(C) COURT ORDER- The court may issue an order requiring the person summoned to appear before the Secretary or a delegate of the Secretary--CommentsClose CommentsPermalink





‘(i) to produce books, papers, records, and other data;CommentsClose CommentsPermalink





‘(ii) to give testimony as may be necessary to explain how such material was compiled and maintained;CommentsClose CommentsPermalink





‘(iii) to allow the Secretary to examine the business of a licensee; andCommentsClose CommentsPermalink





‘(iv) to pay the costs of the proceeding.CommentsClose CommentsPermalink





‘(D) FAILURE TO COMPLY WITH ORDER- Any failure to obey the order of the court may be punished by the court as a contempt thereof.CommentsClose CommentsPermalink





‘(E) SERVICE OF PROCESS- All process in any case under this subsection may be served in any judicial district in which such person may be found.CommentsClose CommentsPermalink





‘(k) Civil Money Penalties-CommentsClose CommentsPermalink





‘(1) IN GENERAL- The Secretary may assess upon any licensee or other person subject to the requirements of this subchapter for any willful violation of this subchapter or any regulation prescribed or order issued under this subchapter a civil penalty of not more than the greater of--CommentsClose CommentsPermalink





‘(A) the amount (not to exceed $100,000) involved in the violation, if any; orCommentsClose CommentsPermalink





‘(B) $25,000.CommentsClose CommentsPermalink





‘(2) ASSESSMENT-CommentsClose CommentsPermalink





‘(A) WRITTEN NOTICE- Any penalty imposed under paragraph (1) may be assessed and collected by the Secretary by written notice.CommentsClose CommentsPermalink





‘(B) FINALITY OF ASSESSMENT- If, with respect to any assessment under paragraph (1), a hearing is not requested pursuant to subparagraph (E) within the period of time allowed under such subparagraph, the assessment shall constitute a final agency order.CommentsClose CommentsPermalink





‘(C) AUTHORITY TO MODIFY OR REMIT PENALTY- The Secretary may compromise, modify, or remit any penalty which the Secretary may assess or has already assessed under paragraph (1).CommentsClose CommentsPermalink





‘(D) MITIGATING FACTORS- In determining the amount of any penalty imposed under paragraph (1), the Secretary shall take into account the appropriateness of the penalty with respect to--CommentsClose CommentsPermalink





‘(i) the size of the financial resources and the good faith of the person against whom the penalty is assessed;CommentsClose CommentsPermalink





‘(ii) the gravity of the violation;CommentsClose CommentsPermalink





‘(iii) the history of previous violations; andCommentsClose CommentsPermalink





‘(iv) such other matters as justice may require.CommentsClose CommentsPermalink





‘(E) HEARING- The person against whom any penalty is assessed under paragraph (1) shall be afforded an agency hearing if such person submits a request for such hearing not later than 20 days after the issuance of the notice of assessment.CommentsClose CommentsPermalink





‘(F) COLLECTION-CommentsClose CommentsPermalink





‘(i) REFERRAL- If any person fails to pay an assessment after any penalty assessed under this paragraph has become final, the Secretary shall recover the amount assessed by action in the appropriate United States district court.CommentsClose CommentsPermalink





‘(ii) SCOPE OF REVIEW- In any civil action under clause (i), the validity and appropriateness of the penalty shall be subject to review for abuse of agency discretion.CommentsClose CommentsPermalink





‘(G) DISBURSEMENT- All penalties collected under authority of this subsection shall be deposited into the Treasury.CommentsClose CommentsPermalink





‘(3) CONDITION FOR LICENSURE- Payment by a licensee of any civil penalty assessed under this subsection that has become final shall be a requirement for the retention of its license.CommentsClose CommentsPermalink





‘(l) Treatment of Records- In light of business competition, confidentiality and privacy concerns, the Secretary shall protect from disclosure information submitted in support of a license application under this subchapter and information collected in the course of regulating licensees to the full extent permitted by sections 552 and 552a of title 5.CommentsClose CommentsPermalink





‘(m) Suitability Required for Certain Service Providers- Any person that knowingly manages, administers, or controls bets or wagers that are initiated, received, or otherwise made within the United States or that manages, administers, or controls the games with which such bets or wagers are associated shall meet all of the suitability for licensing criteria established under this section in the same manner and to the same extent as if that person itself were a licensee. Any failure on the part of such person to remain suitable for licensing may be grounds for revocation of the license of the licensee for whom such service is provided, in the same manner and in accordance with subsection (i).CommentsClose CommentsPermalink





‘(n) Reliance on State and Tribal Regulatory Body Certifications of Suitability for Applicants-CommentsClose CommentsPermalink





‘(1) QUALIFICATION OF STATE AND TRIBAL REGULATORY BODIES-CommentsClose CommentsPermalink





‘(A) APPLICATION FOR DETERMINATION- Any State agency that regulates gambling that would be classified as class III gaming under section 4 of the Indian Gaming Regulatory Act (25 U.S.C. 2703), or a tribal regulatory body that regulates class III gaming, may--CommentsClose CommentsPermalink





‘(i) notify the Secretary of its willingness to review prospective applicants to certify whether any such applicant meets the qualifications set forth by this subchapter; andCommentsClose CommentsPermalink





‘(ii) provide the Secretary with such documentation as the Secretary determines necessary for the Secretary to determine whether such State or tribal regulatory body--CommentsClose CommentsPermalink





‘(I) is qualified to conduct such review; andCommentsClose CommentsPermalink





‘(II) may be relied upon by the Secretary to make any such certification.CommentsClose CommentsPermalink





‘(B) DETERMINATION AND NOTICE- Not later than 60 days after receiving a notice by a State agency or a tribal regulatory body under subparagraph (A)(i), the Secretary shall--CommentsClose CommentsPermalink





‘(i) make a determination as to whether such State or tribal regulatory body--CommentsClose CommentsPermalink





‘(I) is qualified to conduct a review of prospective applicants; andCommentsClose CommentsPermalink





‘(II) may be relied upon to certify whether any such applicant meets the qualifications established under this subchapter; andCommentsClose CommentsPermalink





‘(ii) notify such State or tribal regulatory body of such determination.CommentsClose CommentsPermalink





‘(2) ACTIONS BY QUALIFIED AUTHORITIES- During the period that any determination of qualification under paragraph (1)(B) is in effect with respect to any such State or tribal regulatory body, the State or tribal regulatory body--CommentsClose CommentsPermalink





‘(A) may undertake reviews of any applicant to determine whether it meets the criteria for suitability for licensing established under this subchapter;CommentsClose CommentsPermalink





‘(B) may impose on each such applicant an administrative fee or assessment for conducting such review in an amount the regulatory body determines to be necessary to meet its expenses in the conduct of such review; andCommentsClose CommentsPermalink





‘(C) shall process and assess each applicant fairly and equally based on objective criteria, regardless of any prior licensing of an applicant by the State or tribal regulatory body.CommentsClose CommentsPermalink





‘(3) RELIANCE ON STATE OR TRIBAL CERTIFICATION- An applicant may provide a certification of suitability made by a State or tribal regulatory body under paragraph (2), together with all documentation the applicant has submitted to such State or tribal regulatory body, to the Secretary, and such certification and documentation shall be relied on by the Secretary as evidence that the applicant has met the suitability requirements under this section.CommentsClose CommentsPermalink





‘(4) AUTHORITY OF SECRETARY TO REVIEW- Notwithstanding any certification of suitability made by a State or tribal regulatory body, the Secretary retains the authority to review, withhold, or revoke a license if the Secretary has reason to believe that an applicant or licensee does not meet the suitability requirements established under this section or any other requirement of a licensee.CommentsClose CommentsPermalink





‘(5) RELIANCE ON QUALIFIED REGULATORY BODY FOR OTHER PURPOSES- At the discretion of the Secretary, the Secretary may rely on a State and tribal regulatory body found qualified under this subsection for such other regulatory and enforcement activities as the Secretary finds to be useful and appropriate to carry out the purposes of this subchapter.CommentsClose CommentsPermalink





‘(6) REVOCATION OF QUALIFICATION- The Secretary may revoke, at any time and for any reason, the qualification of a State or tribal regulatory body to certify or to conduct any other regulatory or enforcement activity to carry out the purposes of this subchapter.CommentsClose CommentsPermalink





‘(7) LIMITATION- The Secretary may not rely upon a State or tribal regulatory body for purposes of this subchapter unless the Secretary determines that the regulations and procedures of such State or tribal regulatory body for the review of an applicant’s suitability for a license under this subchapter are no less stringent than the regulations and procedures established by the Secretary for such purpose.CommentsClose CommentsPermalink

‘Sec. 5383. Compulsive Gaming, Responsible Gaming, and Self-Exclusion Program

‘(a) Regulations Required- The Secretary and any State or tribal regulatory body that has been qualified under section 5382(n) shall prescribe regulations for the development of a Compulsive Gaming, Responsible Gaming, and Self-Exclusion Program on the basis of standards that each licensee shall implement as a condition of licensure.CommentsClose CommentsPermalink





‘(b) Minimum Requirements- An application for a license shall include a submission to the Secretary, qualified State, or tribal regulatory body setting forth a comprehensive program that is reasonably calculated--CommentsClose CommentsPermalink





‘(1) to verify the identity and age of each customer;CommentsClose CommentsPermalink





‘(2) to ensure that no customers under the age of 21 may initiate or otherwise make any bets or wagers;CommentsClose CommentsPermalink





‘(3) to verify the State or tribal land in which the customer is located at the time the customer attempts to initiate a bet or wager;CommentsClose CommentsPermalink





‘(4) to ensure that no customer who is located in a State or tribal land that opts out pursuant to section 5385 can initiate or otherwise make a bet or wager prohibited by such opt-out;CommentsClose CommentsPermalink





‘(5) to ensure that responsible gaming materials are made available to customers upon request;CommentsClose CommentsPermalink





‘(6) to make available individualized responsible gaming options that any customer may choose, including stake limit, loss limit, deposit limit, and session time limit option, and other similar options that the Secretary or qualified State or tribal regulatory body may deem appropriate and require to be made available;CommentsClose CommentsPermalink





‘(7) to prevent persons on the list of self-excluded persons established pursuant to subsection (c) from initiating any bets or wagers;CommentsClose CommentsPermalink





‘(8) to protect the privacy and security of any customer in connection with any lawful activity relating to the operation of an Internet game-of-skill facility; andCommentsClose CommentsPermalink





‘(9) to protect against fraud and money laundering relating to the operation of an Internet game-of-skill facility.CommentsClose CommentsPermalink





‘(c) List of Persons Self-excluded From Gaming Activities-CommentsClose CommentsPermalink





‘(1) ESTABLISHMENT-CommentsClose CommentsPermalink





‘(A) IN GENERAL- The Secretary shall provide by regulation for the establishment of a list of persons self-excluded from gaming activities at all licensee sites.CommentsClose CommentsPermalink





‘(B) PLACEMENT REQUEST- Any person may request placement on the list of self-excluded persons by--CommentsClose CommentsPermalink





‘(i) acknowledging in a manner to be established by the Secretary that the person wishes to be denied gaming privileges; andCommentsClose CommentsPermalink





‘(ii) agreeing that, during any period of voluntary exclusion, the person may not collect any winnings or recover any losses resulting from any gaming activity at any licensee sites.CommentsClose CommentsPermalink





‘(2) PLACEMENT AND REMOVAL PROCEDURES- The regulations of the Secretary under paragraph (1)(A) shall establish procedures for placements on, and removals from, the list of self-excluded persons.CommentsClose CommentsPermalink





‘(3) LIMITATION ON LIABILITY-CommentsClose CommentsPermalink





‘(A) IN GENERAL- The United States, the Secretary, an enforcement agent, and a licensee, and any employee or agent thereof, shall not be liable to any self-excluded person or to any other party in any judicial or administrative proceeding for any harm, monetary or otherwise, which may arise as a result of--CommentsClose CommentsPermalink





‘(i) any failure to withhold gaming privileges from, or to restore gaming privileges to, a self-excluded person; orCommentsClose CommentsPermalink





‘(ii) otherwise permitting a self-excluded person to engage in gaming activity while on the list of self-excluded persons.CommentsClose CommentsPermalink





‘(B) RULE OF CONSTRUCTION- No provision of subparagraph (A) shall be construed as preventing the Secretary from assessing any regulatory sanction against a licensee for failing to comply with the minimum standards prescribed pursuant to this subsection.CommentsClose CommentsPermalink





‘(4) DISCLOSURE PROVISIONS-CommentsClose CommentsPermalink





‘(A) IN GENERAL- Notwithstanding any other provision of Federal or State law, the list of self-excluded persons shall not be open to public inspection.CommentsClose CommentsPermalink





‘(B) AFFILIATE DISCLOSURE- Any licensees may disclose the identities of persons on the self excluded list to any affiliated company or, where required to comply with this subsection, service provider, to the extent that the affiliated company or service provider maintains such information under confidentiality provisions comparable to those in this subsection.CommentsClose CommentsPermalink





‘(5) LIMITATION ON LIABILITY FOR DISCLOSURE- A licensee and an employee, agent, or affiliate of a licensee shall not be liable to any self-excluded person or to any other party in any judicial proceeding for any harm, monetary or otherwise, which may arise as a result of disclosure or publication in any manner.CommentsClose CommentsPermalink





‘(d) Gaming by Prohibited Persons-CommentsClose CommentsPermalink





‘(1) PROHIBITION BENEFITTING FROM PROHIBITED GAMING ACTIVITY- A person who is prohibited from gaming with a licensee by law, or by order of the Secretary or any court of competent jurisdiction, including any person on the self-exclusion list in accordance with subsection (c), shall not collect, in any manner or proceeding, any winnings or recover any losses arising as a result of any prohibited gaming activity.CommentsClose CommentsPermalink





‘(2) FORFEITURE- In addition to any other penalty provided by law, any money or thing of value that has been obtained by, or is owed to, any prohibited person by a licensee as a result of bets or wagers made by a prohibited person shall be subject to forfeiture by order of the Secretary, following notice to the prohibited person and opportunity to be heard.CommentsClose CommentsPermalink





‘(3) DEPOSIT OF FORFEITED FUNDS- Any funds forfeited pursuant to this subsection shall be deposited into the Treasury.CommentsClose CommentsPermalink





‘(e) Compulsive Players Not on the List of Self-Excluded Persons-CommentsClose CommentsPermalink





‘(1) PUBLIC AWARENESS PROGRAM-CommentsClose CommentsPermalink





‘(A) IN GENERAL- The Secretary and any State or tribal regulatory body that has been qualified under section 5382(n) shall provide by regulation for the establishment of a program to alert the public to the existence, consequences, and availability of the self-exclusion list, and shall prepare and promulgate written materials to be used in such a program.CommentsClose CommentsPermalink





‘(B) LICENSEE-PROVIDED PUBLICITY- Regulations prescribed under subparagraph (A) may require a licensee to make available literature or screen displays relating to the existence of the program.CommentsClose CommentsPermalink





‘(2) RULE OF CONSTRUCTION- No provision of this subsection shall be construed as creating a legal duty in the Secretary, a qualified State or tribal regulatory body, a licensee, or any representative of a licensee to identify or to exclude compulsive players not on the list of self-excluded persons.CommentsClose CommentsPermalink





‘(3) IMMUNITY- The United States, the Secretary, a qualified State or tribal regulatory body, a licensee, and any employee or agent thereof, shall not be liable to any person in any proceeding for losses or other damages of any kind arising out of that person’s gaming activities based on a claim that the person was a compulsive, problem, or pathological player.CommentsClose CommentsPermalink

‘Sec. 5384. Financial transaction providers

‘(a) In General- No financial transaction provider shall be held liable for engaging in financial activities or transactions, including payments processing activities, in connection with any bets or wagers permitted by this subchapter or the Interstate Horseracing Act of 1978 (15 U.S.C. 3001 et seq.) unless such financial transaction provider has knowledge or reason to know that the specific financial activities or transactions are conducted in violation of this subchapter, the Interstate Horseracing Act, or other applicable provision of Federal or State law.CommentsClose CommentsPermalink





‘(b) Definitions- In this section:CommentsClose CommentsPermalink





‘(1) FINANCIAL TRANSACTION PROVIDER- The term ‘financial transaction provider’ means a creditor, credit card issuer, financial institution, operator of a terminal at which an electronic fund transfer may be initiated, money transmitting business, or international, national, regional, or local payment network utilized to effect a credit transaction, electronic fund transfer, stored value product transaction, or money transmitting service, or a participant in such network, or other participant in a payment system.CommentsClose CommentsPermalink





‘(2) OTHER TERMS-CommentsClose CommentsPermalink





‘(A) CREDIT, CREDITOR, CREDIT CARD, AND CARD ISSUER- The terms ‘credit’, ‘creditor’, ‘credit card’, and ‘card issuer’ have the meanings given the terms in section 103 of the Truth in Lending Act (15 U.S.C. 1602).CommentsClose CommentsPermalink





‘(B) ELECTRONIC FUND TRANSFER- The term ‘electronic fund transfer’--CommentsClose CommentsPermalink





‘(i) has the meaning given the term in section 903 of the Electronic Fund Transfer Act (15 U.S.C. 1693a), except that the term includes transfers that would otherwise be excluded under section 903(6)(E) of such Act; andCommentsClose CommentsPermalink





‘(ii) includes any fund transfer covered by Article 4A of the Uniform Commercial Code, as in effect in any State.CommentsClose CommentsPermalink





‘(C) FINANCIAL INSTITUTION- The term ‘financial institution’ has the meaning given the term in section 903 of the Electronic Fund Transfer Act (15 U.S.C. 1963a), except that such term does not include a casino, sports book, or other business at or through which bets or wagers may be placed or received.CommentsClose CommentsPermalink





‘(D) INSURED DEPOSITORY INSTITUTION- The term ‘insured depository institution’--CommentsClose CommentsPermalink





‘(i) has the meaning given the term in section 3(c) of the Federal Deposit Insurance Act (12 U.S.C. 1813(c)); andCommentsClose CommentsPermalink





‘(ii) includes an insured credit union (as defined in section 101 of the Federal Credit Union Act (12 U.S.C. 1752)).CommentsClose CommentsPermalink





‘(E) MONEY TRANSMITTING BUSINESS AND MONEY TRANSMITTING SERVICE- The terms ‘money transmitting business’ and ‘money transmitting service’ have the meanings given the terms in section 5330(d) (determined without regard to any regulations prescribed by the Secretary under such section).CommentsClose CommentsPermalink

‘Sec. 5385. Limitation on licenses in States and Indian lands

‘(a) State Opt-Out Exercise-CommentsClose CommentsPermalink





‘(1) LIMITATIONS IMPOSED BY STATES-CommentsClose CommentsPermalink





‘(A) IN GENERAL- No licensee may knowingly accept a bet or wager, under a license issued pursuant to this subchapter, initiated by a person who is located in any State which provides notice that it will limit such bets or wagers, if the Governor or other chief executive officer of such State informs the Secretary of such limitation before the end of the 90-day period beginning on the date of the enactment of the Internet Poker and Game of Skill Regulation, Consumer Protection, and Enforcement Act of 2009, or in accordance with paragraph (2), until such time as notice of any repeal of such limitation becomes effective under paragraph (2).CommentsClose CommentsPermalink





‘(B) COORDINATION BETWEEN STATE AND TRIBAL OPT-OUT EXERCISES- Any State limitation under Subparagraph (A) shall not apply to the acceptance by a licensee of bets or wagers from persons located within the tribal lands of an Indian tribe that--CommentsClose CommentsPermalink





‘(i) has itself not chosen to opt out pursuant to subsection (b); orCommentsClose CommentsPermalink





‘(ii) would be entitled pursuant to other applicable law to permit such bets or wagers to be initiated and received within its territory without use of the Internet.CommentsClose CommentsPermalink





‘(2) CHANGES TO STATE LIMITATIONS- The establishment or repeal by any State of any limitation referred to in paragraph (1) after the end of the 90-day period beginning on the date of the enactment of this subchapter shall apply, for purposes of this subchapter, beginning on the first January 1 that occurs after the end of the 60-day period beginning on the later of--CommentsClose CommentsPermalink





‘(A) the date a notice of such establishment or repeal is provided by the Governor or other chief executive officer of such State in writing to the Secretary; orCommentsClose CommentsPermalink





‘(B) the effective date of such establishment or repeal.CommentsClose CommentsPermalink





‘(3) EXISTING STATE LAW- No provision of State law enacted prior to the Internet Poker and Game of Skill Regulation, Consumer Protection, and Enforcement Act of 2009 shall be construed to require a State to provide notice pursuant to this subsection.CommentsClose CommentsPermalink





‘(b) Indian Tribe Opt-Out Exercise-CommentsClose CommentsPermalink





‘(1) LIMITATIONS IMPOSED BY INDIAN TRIBES- No licensee may knowingly accept a bet or wager, under a license issued pursuant to this subchapter, that is initiated by a person who is located in the tribal lands of any Indian tribe which limits such bets or wagers if the principal chief or other chief executive officer of such Indian tribe informs the Secretary of such limitation before the end of the 90-day period beginning on the date of the enactment of the Internet Poker and Game of Skill Regulation, Consumer Protection, and Enforcement Act of 2009, or in accordance with paragraph (2), until such time as notice of any repeal of such limitation becomes effective under paragraph (2).CommentsClose CommentsPermalink





‘(2) CHANGES TO INDIAN TRIBE LIMITATIONS- The establishment or repeal by any Indian tribal government of the limitation referred to in paragraph (1) after the end of the 90-day period beginning on the date of the enactment of this subchapter shall apply, for purposes of this subchapter, beginning on the first January 1 that occurs after the end of the 60-day period beginning on the later of--CommentsClose CommentsPermalink





‘(A) the date a notice of such establishment or repeal is provided by the principal chief or other chief executive officer of such Indian tribal government in writing to the Secretary; orCommentsClose CommentsPermalink





‘(B) the effective date of such establishment or repeal.CommentsClose CommentsPermalink





‘(3) EXISTING TRIBAL LAW- No provision of tribal law enacted prior to the Internet Poker and Game of Skill Regulation, Consumer Protection, and Enforcement Act of 2009 shall be construed to require an Indian tribal government to provide notice pursuant to this subsection.CommentsClose CommentsPermalink





‘(c) Notification and Enforcement of State and Indian Tribe Limitations-CommentsClose CommentsPermalink





‘(1) IN GENERAL- The Secretary shall notify all licensees and applicants of all States and Indian tribes that have provided notice pursuant to paragraph (1) or (2) of subsection (a) or (b), as the case may be, promptly upon receipt of such notice and in no event later than 30 days before the effective date of such notice.CommentsClose CommentsPermalink





‘(2) COMPLIANCE- The Secretary shall take effective measures to ensure that any licensee under this subchapter, as a condition of the license, complies with any limitation imposed by any State or Indian tribe to which the licensee is subject under subsection (a) or (b), as the case may be.CommentsClose CommentsPermalink





‘(3) VIOLATIONS- It shall be a violation of this subchapter for any licensee knowingly to accept a bet or wager initiated or otherwise made by a person located at the time of such bet or wager within any State or in the tribal lands of any Indian tribe for which a notice is in effect under subsection (a) or (b), as the case may be.CommentsClose CommentsPermalink





‘(4) STATE ATTORNEY GENERAL ENFORCEMENT- In any case in which the attorney general or other chief law enforcement officer of a State or any State or local law enforcement agency, authorized by the attorney general or other chief law enforcement officer of the State or by State statute to prosecute violations of consumer protection law, has reason to believe that an interest of the residents of that State has been or is threatened or adversely affected by a violation by a licensee pursuant to paragraph (2), the State, or the State or local law enforcement agency, on behalf of the residents of the agency’s jurisdiction, may bring a civil action on behalf of the residents of that State or jurisdiction in a district court of the United States located therein--CommentsClose CommentsPermalink





‘(A) to enjoin that practice; orCommentsClose CommentsPermalink





‘(B) to enforce compliance with this subchapter.CommentsClose CommentsPermalink





‘(d) No Impact on Indian Gaming Regulatory Act- No decision by a State pursuant to this section shall be considered in determining the ability of an Indian tribe to offer any class of gambling activity pursuant to section 11 of the Indian Gaming Regulatory Act (25 U.S.C. 2710) or any successor provisions.CommentsClose CommentsPermalink

‘Sec. 5386. Prohibition on bets or wagers on games of chance and sporting events

‘(a) In General- No provision of this subchapter shall be construed to authorize any licensee to accept a bet or wager knowingly from a person located in the United States on--CommentsClose CommentsPermalink





‘(1) any game that is not an Internet game of skill; orCommentsClose CommentsPermalink





‘(2) any sporting event in violation of section 3702 of title 28 or of any other applicable provision of State or Federal law.CommentsClose CommentsPermalink





‘(b) Construction- Nothing in this subchapter shall be construed to repeal or to amend any provision of State or Federal law prohibiting, restricting, or otherwise addressing bets or wagers on sporting events.CommentsClose CommentsPermalink

‘Sec. 5387. Safe harbor

‘It shall be an affirmative defense to any prosecution or enforcement action under any provision of Federal or State law that the activity forming the basis of such prosecution or enforcement action is authorized under and has been carried out lawfully in accordance with and under the terms of--CommentsClose CommentsPermalink





‘(1) this subchapter; orCommentsClose CommentsPermalink





‘(2) the Interstate Horseracing Act of 1978 (15 U.S.C. 3001 et seq.).CommentsClose CommentsPermalink

‘Sec. 5388. Relation to section 1084 of title 18 and subchapter IV of this title

‘Section 1084 of title 18 and subchapter IV of this chapter shall not apply to any bet or wager--CommentsClose CommentsPermalink





‘(1) occurring pursuant to a license issued by the Secretary under this subchapter, subject to section 5386; orCommentsClose CommentsPermalink





‘(2) that is permissible under the Interstate Horseracing Act of 1978 (15 U.S.C. 3001 et seq.).CommentsClose CommentsPermalink

‘Sec. 5389. Cheating and other fraud

‘(a) Electronic Cheating Devices Prohibited- No person initiating, receiving, or otherwise making a bet or wager with a licensee, or sending, receiving, or inviting information assisting with a bet or wager with a licensee shall knowingly use, or assist another in the use of, an electronic, electrical, or mechanical device which is designed, constructed, or programmed specifically for use in obtaining an advantage in any game authorized under this subchapter, where such advantage is prohibited or otherwise violates the rules of play established by the licensee.CommentsClose CommentsPermalink





‘(b) Additional Offense- No person initiating, receiving, or otherwise making a bet or wager with a licensee, or sending, receiving, or inviting information assisting with a bet or wager with a licensee, shall knowingly use or possess any cheating device with intent to cheat or defraud any licensee or other persons placing bets or wagers with such licensee.CommentsClose CommentsPermalink





‘(c) Permanent Injunction- Upon conviction of a person for violation of this section, the court may enter a permanent injunction enjoining such person from initiating, receiving, or otherwise making bets or wagers or sending, receiving, or inviting information assisting in the placing of bets or wagers.CommentsClose CommentsPermalink





‘(d) Criminal Penalty- Whoever violates subsection (a) or (b) shall be fined under title 18 or imprisoned for not more than 5 years, or both.CommentsClose CommentsPermalink

‘Sec. 5390. Construction and relation to State law

‘(a) No Impact on Existing Lawful Games-CommentsClose CommentsPermalink





‘(1) IN GENERAL- If certain games of skill are not regarded as gambling under an applicable provision of State or Federal law in effect as of the effective date of the enactment of the Internet Poker and Game of Skill Regulation, Consumer Protection, and Enforcement Act of 2009--CommentsClose CommentsPermalink





‘(A) nothing in this subchapter shall be construed to require licensing under this subchapter with respect to such games; andCommentsClose CommentsPermalink





‘(B) fees paid to participate in such games shall not be regarded as bets or wagers for purposes of this subchapter.CommentsClose CommentsPermalink





‘(2) RELIANCE- Nothing in this subchapter may be relied on as support for the legality or permissibility of games described in paragraph (1) without compliance with the licensing and other requirements of this subchapter.CommentsClose CommentsPermalink





‘(b) Public Gaming Facilities Not Authorized-CommentsClose CommentsPermalink





‘(1) IN GENERAL- Nothing in this subchapter shall be construed to authorize or otherwise to permit the operation of places of public accommodation, clubs (including clubs or associations limited to dues-paying members or similar restricted groups), and similar establishments for the primary purpose of allowing the public or members access to Internet bets or wagers.CommentsClose CommentsPermalink





‘(2) ASSUMED PUBLIC GAMING FACILITIES- Any place of public accommodation, club, or similar establishment in which large numbers of computer terminals or similar access devices are made available that are used principally for the purpose of Internet bets or wagers shall be considered a place of public accommodation, club, or similar establishment operated for the primary purpose of allowing the public or members access to Internet bets or wagers under subparagraph (A).CommentsClose CommentsPermalink





‘(3) RELATION TO STATE LAW- Places of public accommodation, clubs, or similar establishments described in this subsection shall be subject to all otherwise applicable State, tribal, and local police zoning and other regulatory powers, which are not intended to be limited in any way by this subchapter.CommentsClose CommentsPermalink





‘(c) Interstate Off-Track Wagers- The provisions of this subchapter restricting acceptance of bets or wagers made by individuals located in the United States or requiring the blocking or other prevention of restricted transactions shall not apply with respect to the acceptance of interstate off-track wagers (as such term is defined by section 3 of the Interstate Horseracing Act of 1978, as amended (15 U.S.C. 3002)), whether such off-track wager is made by telephone, Internet, satellite, or other wire or wireless communication.’.CommentsClose CommentsPermalink





(b) Clerical Amendment- The table of sections for chapter 53 of title 31, United States Code, is amended by adding at the end the following:CommentsClose CommentsPermalink

‘subchapter v--regulation of internet game-of-skill facilities

‘Sec.CommentsClose CommentsPermalink





‘5381. Definitions.CommentsClose CommentsPermalink





‘5382. Establishment and administration of licensing program.CommentsClose CommentsPermalink





‘5383. Compulsive Gaming, Responsible Gaming, and Self-Exclusion Program.CommentsClose CommentsPermalink





‘5384. Financial transaction providers.CommentsClose CommentsPermalink





‘5385. Limitation on licenses in States and Indian lands.CommentsClose CommentsPermalink





‘5386. Prohibition on bets or wagers on games of chance and sporting events.CommentsClose CommentsPermalink





‘5387. Safe harbor.CommentsClose CommentsPermalink





‘5388. Relation to section 1084 of title 18 and subchapter IV of this title.CommentsClose CommentsPermalink





‘5389. Cheating and other fraud.CommentsClose CommentsPermalink





‘5390. Construction and relation to State law.’.CommentsClose CommentsPermalink

SEC. 103. LIST OF UNLAWFUL INTERNET GAMBLING ENTERPRISES.

(a) In General- Subchapter IV of chapter 53 of title 31, United States Code, is amended by adding at the end the following:CommentsClose CommentsPermalink

‘Sec. 5368. List of unlawful Internet gambling enterprises

‘(a) Definitions- In this section:CommentsClose CommentsPermalink





‘(1) UNLAWFUL INTERNET GAMBLING ENTERPRISE- The term ‘unlawful Internet gambling enterprise’ means any person who, more than 10 days after the date of the enactment of this section--CommentsClose CommentsPermalink





‘(A) violates a provision of section 5363;CommentsClose CommentsPermalink





‘(B) knowingly receives or transmits funds intended primarily for a person described in subparagraph (A); orCommentsClose CommentsPermalink





‘(C) knowingly assists in the conduct of a person described in subparagraph (A) or (B).CommentsClose CommentsPermalink





‘(2) DIRECTOR- The term ‘Director’ means the Director of the Financial Crimes Enforcement Network appointed under section 310(b).CommentsClose CommentsPermalink





‘(b) List of Unlawful Internet Gambling Enterprises-CommentsClose CommentsPermalink





‘(1) IN GENERAL- Not later than 120 days after the date of the enactment of this section, the Director shall submit to the Secretary a list of unlawful Internet gambling enterprises and shall regularly update such list in accordance with the procedures described in paragraph (3). Such list shall include the following information for each such unlawful Internet gambling enterprise:CommentsClose CommentsPermalink





‘(A) All known Internet website addresses of the enterprise.CommentsClose CommentsPermalink





‘(B) The names of all known owners and operators of the enterprise.CommentsClose CommentsPermalink





‘(C) To the extent known, information identifying the financial agents and account numbers of the enterprise and the persons listed under subparagraph (B).CommentsClose CommentsPermalink





‘(2) DISTRIBUTION OF LIST BY SECRETARY- The Secretary shall make available--CommentsClose CommentsPermalink





‘(A) a copy of the information provided under subparagraphs (A) and (B) of paragraph (1) on the Internet website of the Department of the Treasury;CommentsClose CommentsPermalink





‘(B) to all persons who are required to comply with the regulations prescribed under the authority provided in section 5364 a copy of all the information provided under paragraph (1) in an electronic format compatible with the Specially Designated Nationals list maintained by the Office of Foreign Assets Control; andCommentsClose CommentsPermalink





‘(C) any information required under this paragraph not later than 10 days after receiving any new or updated list from the Director.CommentsClose CommentsPermalink





‘(3) PROCEDURES- The procedures described in this paragraph are the following:CommentsClose CommentsPermalink





‘(A) INVESTIGATION- The Director shall investigate entities that appear to be unlawful Internet gambling enterprises. An initial investigation shall be completed before the end of the 60-day period beginning on the date of enactment of this section. After the initial investigation, the Director shall regularly investigate entities that appear to be unlawful Internet gambling enterprises. If the Director discovers evidence sufficient to prove a prima facie case that any person is an unlawful Internet gambling enterprise, the Director shall provide the notice required under subparagraph (C).CommentsClose CommentsPermalink





‘(B) REQUESTS- Any Federal, State, tribal, or local law enforcement official, any affected sports organization, any person directly harmed by unlawful Internet gambling, any financial transaction provider, and any interactive computer service (as such terms are defined in section 5362) shall have the right, but not the obligation, to make a written request to the Director for the addition of any person to the list of unlawful Internet gambling enterprises. If the Director determines that the evidence submitted is sufficient to prove a prima facie case that such person is an unlawful Internet gambling enterprise, the Director shall provide the notice required under subparagraph (C) to each person identified as an alleged unlawful Internet gambling enterprise. The Director also shall provide written notice of its decision under this subparagraph, including a decision not to add a person to the list required under paragraph (1), to the requesting party no later than 30 days after the request is received. The Director shall not include on the list any person operating an Internet game-of-skill facility who falls within the scope of section 108(a) of the Internet Poker and Game of Skill Regulation, Consumer Protection, and Enforcement Act of 2009.CommentsClose CommentsPermalink





‘(C) NOTICE- Not fewer than 30 days before adding an unlawful Internet gambling enterprise, or an owner or operator thereof, to the list required under paragraph (1), the Director shall provide written notice to such enterprise, owner, or operator. Any enterprise, owner, or operator receiving such notice may contest the Director’s determination by written appeal to the Director not more than 30 days after receiving notice.CommentsClose CommentsPermalink





‘(D) OPPORTUNITY FOR HEARING- If a person properly submits a written appeal under subparagraph (C), the Director shall not include such person in the list required under paragraph (1) unless and until the Director provides such person with an opportunity for a hearing not more than 30 days after receiving written notice of appeal. Not more than 10 days after an opportunity for hearing is afforded, whether or not the person requesting the hearing appears at such hearing, the Director shall proceed to add such person to the list of unlawful Internet gambling enterprises unless the Director determines, based on a preponderance of the evidence, that such person is not an unlawful Internet gambling enterprise.CommentsClose CommentsPermalink





‘(E) INJUNCTIVE RELIEF- Any person that the Director determines shall be included in the list required under paragraph (1) after such person appears at a hearing described in subparagraph (D) and any person included in such list who did not receive the notice required under subparagraph (C), may petition for injunctive relief in the United States District Court for the District of Columbia, which shall have exclusive jurisdiction to hear challenges pursuant to this section. The petitioner shall have the burden of establishing by a preponderance of the evidence that such person is not an unlawful Internet gambling enterprise. Only persons designated by the Director for inclusion on the list of unlawful Internet gambling enterprises, and other owners or operators of an enterprise to be so listed, shall have standing to contest the Director’s determination. The court may enjoin the Director and the Secretary not to add or remove the petitioner from the list of unlawful Internet gambling enterprises, and no other judicial recourse shall be permitted.CommentsClose CommentsPermalink





‘(c) Effect of List- A financial transaction provider shall be deemed to have actual knowledge that a person is an unlawful Internet gambling enterprise to the extent that such person is identified on the list available to the public, or on a non-public list made available to such financial transaction provider, by the Secretary as described in subsection (b)(2), provided that the list shall not be deemed to be the sole source of actual knowledge.’.CommentsClose CommentsPermalink





(b) Clerical Amendment- The table of sections at the beginning of such chapter 53 is amended by inserting after the item relating to section 5367 the following:CommentsClose CommentsPermalink





‘5368. List of unlawful Internet gambling enterprises.’.CommentsClose CommentsPermalink

SEC. 104. REGULATIONS.

(a) Licensing of Internet Game-of-skill Facilities- Not later than 180 days after the date of the enactment of this Act, the Secretary shall--CommentsClose CommentsPermalink





(1) prescribe regulations to carry out subchapter V of chapter 53 of title 31, United States Code, as added by section 102(a); andCommentsClose CommentsPermalink





(2) publish such regulations in final form in the Federal Register.CommentsClose CommentsPermalink





(b) Exclusion of Board of Governors of the Federal Reserve System From Requirement To Prescribe Regulations Concerning Prevention of Restricted Transactions- Subsection (a) of section 5364 of such title is amended by striking ‘Before the end of the 270-day period beginning on the date of the enactment of this subchapter, the Secretary and the Board of Governors of the Federal Reserve System, in consultation with the Attorney General, shall prescribe regulations (which the Secretary and the Board jointly determine to be appropriate)’ and inserting ‘The Secretary shall prescribe regulations’.CommentsClose CommentsPermalink





(c) Modification of Requirements for Policies and Procedures- Subsection (b) of such section is amended to read as follows:CommentsClose CommentsPermalink





‘(b) Requirements for Policies and Procedures- In prescribing regulations under subsection (a), the Secretary shall--CommentsClose CommentsPermalink





‘(1) identify types of policies and procedures, including nonexclusive examples, which would be deemed, as applicable, to be reasonably designed to identify and block or otherwise prevent or prohibit the acceptance of the products or services of the payment system or participant with respect to each type of restricted transaction;CommentsClose CommentsPermalink





‘(2) permit any participant in a payment system to rely on the policies and procedures of such payment system if such policies and procedures are reasonably designed to identify and block or otherwise prevent or prohibit a transaction in which any participant in that payment system in such transaction has actual knowledge that the intended recipient is an unlawful Internet gambling enterprise;CommentsClose CommentsPermalink





‘(3) exempt certain participants from any requirement imposed under such regulations if the Secretary finds that--CommentsClose CommentsPermalink





‘(A) such requirement is not reasonably practical for such participants; andCommentsClose CommentsPermalink





‘(B) such regulations are reasonably calculated to require at least 1 participant under the jurisdiction of the United States in each designated payment system to identify and block or otherwise prevent or prohibit the acceptance of the products or services of the payment system with respect to each type of restricted transaction; andCommentsClose CommentsPermalink





‘(4) ensure that transactions in connection with any activity excluded from the definition of unlawful Internet gambling in subparagraphs (B), (C), (D)(i), or (E) of section 5362(10) or that are lawfully conducted pursuant to section 5382 are not blocked or otherwise prevented or prohibited by the prescribed regulations.’.CommentsClose CommentsPermalink





(d) Temporary Suspension of Certain Regulations-CommentsClose CommentsPermalink





(1) IN GENERAL- Subject to paragraph (2), during the period beginning on the date of the enactment of this Act and ending on June 1, 2010, part 233 of title 12, Code of Federal Regulations, and part 132 of title 31, Code of Federal Regulations, shall have no force or effect.CommentsClose CommentsPermalink





(2) PREVIOUS VIOLATION- Paragraph (1) shall not apply with respect to any violation of a regulation described in such paragraph that occurred before the date of the enactment of this Act.CommentsClose CommentsPermalink





(e) Revision of Regulations- The Secretary of the Treasury shall, in consultation with the Attorney General, revise the regulations described in subsection (d)(1) in accordance with the amendments made to subchapter IV of chapter 53 of title 31, United States Code, by this Act.CommentsClose CommentsPermalink

SEC. 105. ANNUAL REPORT.

(a) In General- Not later than 1 year after the date on which the Secretary of the Treasury prescribes regulations under section 104(a) and annually thereafter, the Secretary shall submit to Congress a report on the licensing and regulation of Internet game-of-skill facilities (as such term is defined in section 5382 of title 31, United States Code, as added by section 102(a)).CommentsClose CommentsPermalink





(b) Elements- Each report submitted under subsection (a) shall include the following:CommentsClose CommentsPermalink





(1) A description of all notices received by the Secretary of the Treasury under subsections (a) and (b) of section 5385 of title 31, United States Code, as added by section 102(a).CommentsClose CommentsPermalink





(2) The amount of user fees received under section 5382(e) of such title (as added by section 102(a)), the amount of Federal, State, and tribal licensing fees collected, and an estimate of the amount of income tax revenue that is attributable to the operation of Internet game-of-skill facilities (as such term is defined in section 5381 of such title, as so added) during the period covered by the report.CommentsClose CommentsPermalink





(3) A list of the State and tribal regulatory bodies that the Secretary has made an affirmative determination under section 5382(n)(1)(B) of such title, as so added, the number of licensees reviewed by such regulatory bodies, and the outcomes of such reviews.CommentsClose CommentsPermalink





(4) A description of the efforts the Secretary has undertaken to ensure that licensees qualified by State and tribal regulatory bodies meet the requirements of subchapter V of chapter 53 of such title, as so added.CommentsClose CommentsPermalink





(5) Information on regulatory and enforcement actions undertaken during the period for which the report is submitted with respect to the provisions of such subchapter.CommentsClose CommentsPermalink





(6) Data regarding the list required by 5368(b)(1) of such title, as added by section 103(a), including its size, the number of persons and websites added and removed, number and description of challenges to inclusion on the list, and resolution of those challenges.CommentsClose CommentsPermalink





(7) Any other information the Secretary determines may be useful to Congress in evaluating the effectiveness of subchapter V of chapter 53 of such title, as added by section 102(a), in meeting its purpose, including the provision of protections against underage gambling, compulsive gambling, money laundering and fraud, and in combating tax avoidance relating to Internet gambling.CommentsClose CommentsPermalink

SEC. 106. CONFORMING AMENDMENTS.

(a) Duties and Powers of the Director of the Financial Crimes Enforcement Network- Section 310(b)(2) of title 31, United States Code, is amended--CommentsClose CommentsPermalink





(1) by redesignating subparagraphs (I) and (J) as subparagraphs (J) and (K), respectively; andCommentsClose CommentsPermalink





(2) by inserting after subparagraph (H) the following:CommentsClose CommentsPermalink





‘(i) Administer the requirements of subchapter V of chapter 53.’.CommentsClose CommentsPermalink





(b) Exclusion of Licensed Internet Game-of-skill Facility Operations From Definition of Unlawful Internet Gambling- Section 5362(10) of such title is amended--CommentsClose CommentsPermalink





(1) in subparagraph (D), by striking clause (iii);CommentsClose CommentsPermalink





(2) by redesignating subparagraph (E) as subparagraph (F); andCommentsClose CommentsPermalink





(3) by inserting after subparagraph (D) the following:CommentsClose CommentsPermalink





‘(E) LICENSED INTERNET GAME-OF-SKILL FACILITIES- The term ‘unlawful Internet gambling’ shall not include an activity carried out by an Internet game-of-skill facility (as such term is defined in section 5382) operated by a person under a license provided under subchapter V in accordance with the provisions of such subchapter.’.CommentsClose CommentsPermalink

SEC. 107. EFFECTIVE DATE.

Subchapter V of chapter 53 of title 31, United States Code, and the regulations prescribed under section 104(a) shall take effect on the date that is 90 days after the date on which the Secretary of the Treasury publishes regulations under paragraph (2) of such section.CommentsClose CommentsPermalink

SEC. 108. APPLICABILITY.

(a) In General- Subsection (b)(1) of 5382 of title 31, United States Code, as added by section 102(a), shall not apply to a person who, not later than 90 days after enactment of this Act, notifies in writing the Secretary of the Treasury of their intent to seek a license under subchapter V of such chapter, as so added, and who not later than 90 days after the date on which the Secretary of the Treasury begins accepting applications for licenses under subchapter V of such chapter, as so added, submits to the Secretary of the Treasury an application for a license under such subchapter may operate an Internet game-of-skill facility in interstate or foreign commerce, in which bets or wagers are knowingly initiated, received, or otherwise made by individuals located in the United States, without a license issued to such person by the Secretary under such subchapter during the period beginning on the date of such submittal and ending on the earlier of--CommentsClose CommentsPermalink





(1) the date the Secretary grants such license;CommentsClose CommentsPermalink





(2) the date that is 2 years after the date of such submittal; orCommentsClose CommentsPermalink





(3) the date on which the Secretary denies such application.CommentsClose CommentsPermalink





(b) Construction- Subsection (a) shall not be construed to modify, amend, or affect in any way any other provision of law with respect to unlawful Internet gambling (as such term is defined in section 5361 of such title).CommentsClose CommentsPermalink





(c) Previous Operation- The Secretary of the Treasury may not deny an application for a license under subchapter V of such title, as so added, that is submitted by an applicant during the 90-day period beginning on the date that the Secretary begins accepting applications under such subchapter because the applicant operated an Internet game-of-skill facility, in interstate or foreign commerce, in which bets or wagers were knowingly initiated, received, or otherwise made by individuals located in the United States, without a license issued to such person by the Secretary under such subchapter.CommentsClose CommentsPermalink





(d) Definitions- The terms ‘bet or wager’ and ‘operate an Internet game-of-skill facility’ have the meaning given such terms in section 5381 of such title, as added by section 102(a).CommentsClose CommentsPermalink

TITLE II--INTERNET GAMES OF SKILL TAX PROVISIONSCommentsClose CommentsPermalink

SEC. 201. AMENDMENT OF 1986 CODE.

(a) Amendment of 1986 Code- Except as otherwise expressly provided, whenever in this title an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.CommentsClose CommentsPermalink

SEC. 202. TAX ON INTERNET GAMES OF SKILL; LICENSEE INFORMATION REPORTING.

(a) In General- Chapter 36 is amended by adding at the end the following new subchapter:CommentsClose CommentsPermalink

‘Subchapter E--Internet Gambling and Games of Skill

‘SEC. 4491. IMPOSITION OF INTERNET GAMING LICENSE FEE.

‘(a) Imposition of Fee- Each person who is a licensee shall be required to pay not later than 15 days after the end of each calendar month a fee equal to the sum of--CommentsClose CommentsPermalink





‘(1) the Federal Internet gaming license fee; andCommentsClose CommentsPermalink





‘(2) the State or Indian tribal government gaming license fee.CommentsClose CommentsPermalink





‘(b) Amount of Fees- For purposes of this section--CommentsClose CommentsPermalink





‘(1) FEDERAL INTERNET GAMING LICENSE FEE- The Federal Internet gaming license fee is a fee equal to 5 percent of a licensee’s Internet gaming deposited funds for a calendar month.CommentsClose CommentsPermalink





‘(2) STATE OR INDIAN TRIBAL GOVERNMENT GAMING LICENSE FEE- The State or Indian tribal government gaming license fee is a fee equal to 5 percent of a licensee’s Internet gaming deposited funds for a calendar month.CommentsClose CommentsPermalink





‘(3) INTERNET GAMING DEPOSITED FUNDS- The term ‘Internet gaming deposited funds’ means all funds deposited by persons located within the United States into any account maintained by the licensee or any agent of the licensee into which funds are deposited for the purpose of being used to place a bet or wager with respect to an Internet game of skill. Funds received from a customer by an operator of an Internet game-of-skill facility and made available in any form to a customer for the purpose of placing a bet or wager, and funds paid to reimburse an operator of an Internet game-of-skill facility for value previously advanced to the customer for such purpose, shall be regarded as Internet gaming deposited funds unless the funds received or paid were already considered Internet gaming deposited funds prior to their transmittal to the operator of the Internet game-of-skill facility.CommentsClose CommentsPermalink





‘(4) LIMITATION TO IMPOSITION OF ONE STATE OR INDIAN TRIBAL GAMING LICENSE FEE FOR ANY TRANSACTION- In the case of a customer located within the jurisdiction of an Indian tribe at the time of a transaction, only one fee described in paragraph (2) shall be imposed on a licensee’s Internet gaming deposited funds in connection with that transaction, and no additional fee shall be collected on behalf of the State in which the customer is located. All of the fee described in paragraph (2) in such case shall be allocated to the Indian tribe in which the customer is located at the time of the transaction, and no portion of the fee shall be allocated to the State.CommentsClose CommentsPermalink





‘(c) Unauthorized Gaming-CommentsClose CommentsPermalink





‘(1) PENALTY- Each person who is not a licensee and who operates an Internet game-of-skill facility for which a license is required under section 5390(a)(1) of title 31, United States Code, except as provided in section 108(a) shall be required to pay not later than the end of each calendar month a fee equal to the amount of the Federal Internet gaming license fee that would be applicable to such person for such month if such person were a licensee, determined by substituting ‘50 percent’ for ‘5 percent’ in subsection (b)(1).CommentsClose CommentsPermalink





‘(2) EXCEPTION- Paragraph (1) shall not apply to a game described in paragraph (3) of section 5382(b) of title 31, United States Code.CommentsClose CommentsPermalink





‘(d) Definitions and Special Rules- For purposes of this subchapter--CommentsClose CommentsPermalink





‘(1) IN GENERAL- The terms ‘licensee’, ‘bet or wager’, ‘Internet game of skill’, and ‘Internet game-of-skill facility’ have the meaning given such terms by section 5381 of title 31, United States Code.CommentsClose CommentsPermalink





‘(2) DEPOSITS- Deposits made by or on behalf of a licensee of Internet gaming winnings, and returns of funds by or on behalf of a licensee to the account of a customer, shall not be treated as a deposit.CommentsClose CommentsPermalink





‘(e) Persons Liable-CommentsClose CommentsPermalink





‘(1) IN GENERAL- Each licensee or other person who operates an Internet game-of-skill facility for which a license is required under section 5382(b)(1) of title 31, United States Code, shall be liable for and shall pay the applicable fees under this section with respect to all Internet gaming deposited funds.CommentsClose CommentsPermalink





‘(2) JOINT AND SEVERAL LIABILITY FOR UNAUTHORIZED GAMBLING- In the case of any deposit with respect to which a fee is imposed under subsection (c), the person described in paragraph (1) of such subsection and the person making such deposit for the purposes of placing a bet or wager shall be jointly and severally liable for the fee under such subsection with respect to such deposit.CommentsClose CommentsPermalink





‘(f) Administrative Provisions- Except to the extent the Secretary shall by regulations prescribe, the administrative provisions of this title applicable to the excise taxes imposed by chapter 35 shall apply to the fees imposed by this section.CommentsClose CommentsPermalink

‘SEC. 4492. RECORD KEEPING REQUIREMENTS.

‘(a) In General- Each licensee who is liable for the fees imposed by this subchapter shall keep a daily record showing all deposits to which this subchapter applies, in addition to all other records required pursuant to section 6001(a).CommentsClose CommentsPermalink





‘(b) Records With Respect to State or Indian Tribal Government Gaming License Fee- Each licensee to which subsection (a) applies shall keep a record, using methods determined to be satisfactory by the Secretary or, in the case of a licensee who is certified by a State or tribal regulatory body under section 5382(o) of title 31, United States Code, by such State or tribal regulatory body, of the location of each person making a deposit to which this subchapter applies, for purposes of determining the State or Indian tribal government gaming license fee applicable to such deposit for purposes of section 9511.’.CommentsClose CommentsPermalink





(b) Information Returns- Subpart B of part III of subchapter A of chapter 61 is amended by adding at the end the following new section:CommentsClose CommentsPermalink

‘SEC. 6050X. RETURNS RELATING TO INTERNET GAMBLING AND GAMES OF SKILL.

‘(a) Requirement- Every person described in section 4491(e)(1) with respect to any month during a taxable year shall furnish, at such time and in such manner as the Secretary shall by regulations prescribe, the information described in subsection (b), and such person shall maintain (in the location and manner and to the extent prescribed in such regulations) such records as may be appropriate with respect to such information.CommentsClose CommentsPermalink





‘(b) Required Information- For purposes of subsection (a), the information described in this subsection is--CommentsClose CommentsPermalink





‘(1) the name, address, and TIN of the person described in subsection (a);CommentsClose CommentsPermalink





‘(2) the name, address, and TIN of each person placing a bet or wager (within the meaning of section 4491) with the person described in subsection (a) during the calendar year;CommentsClose CommentsPermalink





‘(3) the gross winnings, gross wagers, and gross losses for the calendar year of each person placing a bet or wager as described in paragraph (2);CommentsClose CommentsPermalink





‘(4) the net Internet gaming winnings for each such person for the calendar year;CommentsClose CommentsPermalink





‘(5) the amount of tax withheld, if any, with respect to each such person by the person described in subsection (a) for the calendar year;CommentsClose CommentsPermalink





‘(6) the balance of any account maintained for each person placing a bet or wager as described in paragraph (2) by the person described in subsection (a), at the beginning and the end of the calendar year; andCommentsClose CommentsPermalink





‘(7) the amounts of all deposits and withdrawals from each such account during such calendar year.CommentsClose CommentsPermalink





‘(c) Statement To Be Furnished to Persons With Respect to Whom Information Is Required- Every person required to make a return under subsection (a) shall furnish to each person whose name is required to be set forth in such return a written statement showing--CommentsClose CommentsPermalink





‘(1) the name, address, and phone number of the information contact of the person required to make such return; andCommentsClose CommentsPermalink





‘(2) the information required to be shown on such return with respect to each person whose name is required to be set forth in such return.CommentsClose CommentsPermalink





The written statement required under the preceding sentence shall be furnished to the person on or before January 31 of the year following the calendar year for which the return under subsection (a) was required to be made.CommentsClose CommentsPermalink





‘(d) Net Internet Gaming Winnings- The term ‘net Internet gaming winnings’ means gross winnings from bets or wagers with an Internet game-of-skill facility (within the meaning of section 4491) for which a license is required under section 5382(b)(1) of title 31, United States Code, reduced (but not below zero) by the amounts bet or wagered.’.CommentsClose CommentsPermalink





(c) State and Indian Tribal Government Gaming License Fee Trust Fund- Subchapter A of chapter 98 is amended by adding at the end the following new section:CommentsClose CommentsPermalink

‘SEC. 9511. STATE AND INDIAN TRIBAL GOVERNMENT GAMING LICENSE FEE TRUST FUND.

‘(a) Creation of Trust Fund- There is established in the Treasury of the United States a trust fund to be known as the ‘State and Indian Tribal Government Gaming License Fee Trust Fund’ (hereafter in this section referred to as the ‘Trust Fund’), consisting of such amounts as may be appropriated or credited to such Trust Fund as provided in this section and section 9602(b).CommentsClose CommentsPermalink





‘(b) Transfers to Fund- There are hereby appropriated to the Trust Fund amounts equivalent to the fees received in the Treasury with respect to each calendar month under section 4491 by reason of subsection (a)(2) thereof.CommentsClose CommentsPermalink





‘(c) Expenditures From Fund-CommentsClose CommentsPermalink





‘(1) IN GENERAL- The Secretary shall pay to each qualified State and each qualified Indian tribal government, out of the amounts in the Trust Fund, an amount equal to the monthly pro rata gaming license fee amount.CommentsClose CommentsPermalink





‘(2) MONTHLY PRO RATA GAMING LICENSE FEE AMOUNT- For purposes of this section, with respect to a qualified State and a qualified Indian tribal government for any calendar month, the monthly pro rata gaming license fee amount is the amount of the fees described in subsection (b) received with respect to such calendar month that are attributable to deposits made by persons located within the jurisdiction of such State or tribal government (determined by the Secretary on the basis of records kept under section 4492(b)).CommentsClose CommentsPermalink





‘(3) QUALIFIED STATE; QUALIFIED INDIAN TRIBAL GOVERNMENT-CommentsClose CommentsPermalink





‘(A) IN GENERAL- For purposes of this section, the terms ‘qualified State’ and ‘qualified Indian tribal government’ mean a State or an Indian tribal government, respectively, that has not elected (by notice provided by the Governor, principal chief, or other chief executive officer and in such form and manner as the Secretary may prescribe) to be excluded from the receipt of funds under this section.CommentsClose CommentsPermalink





‘(B) STATE ELECTION NOT TO AFFECT TRIBAL ELECTION- An election by a State under subparagraph (A) to be excluded from the receipt of funds under this section shall not constitute an election to be so excluded on behalf of any Indian tribe located within or partially within the geographic boundaries of such State.CommentsClose CommentsPermalink





‘(C) APPLICABILITY OF ELECTION- An election made under subparagraph (A) shall be effective--CommentsClose CommentsPermalink





‘(i) upon receipt by the Secretary, if such election is received within 90 days of the date of the enactment of the Internet Poker and Game of Skill Regulation, Consumer Protection, and Enforcement Act of 2009; andCommentsClose CommentsPermalink





‘(ii) in any other case, on the first January 1 that occurs at least 60 days after the later of--CommentsClose CommentsPermalink





‘(I) the receipt of such election by the Secretary; orCommentsClose CommentsPermalink





‘(II) the effective date specified in such election.CommentsClose CommentsPermalink





‘(D) STATE- The term ‘State’ means any State of the United States, the District of Columbia, or any commonwealth, territory or other possession of the United States.CommentsClose CommentsPermalink





‘(E) INDIAN TRIBAL GOVERNMENT- The term ‘Indian tribal government’ means the government of an Indian tribe (within the meaning of section 4 of the Indian Gaming Regulatory Act).CommentsClose CommentsPermalink





‘(4) TIME OF PAYMENTS- The payment made under this subsection with respect to any calendar month shall be made not later than the 11th day of the succeeding calendar month.’.CommentsClose CommentsPermalink





(d) Clerical Amendments-CommentsClose CommentsPermalink





(1) The table of subchapters for chapter 36 is amended by adding at the end the following item:CommentsClose CommentsPermalink

‘subchapter e. internet gambling and games of skill.’.

(2) The table of sections for subpart B of part III of subchapter A of chapter 61 is amended by inserting after the item relating to section 6050W the following new item:CommentsClose CommentsPermalink





‘Sec. 6050X. Returns relating to Internet gambling and games of skill.’.CommentsClose CommentsPermalink





(3) The table of sections for subchapter A of chapter 98 of such Code is amended by adding at the end the following new item:CommentsClose CommentsPermalink





‘Sec. 9511. State and Indian Tribal Government Gaming License Fee Trust Fund.’.CommentsClose CommentsPermalink





(e) Effective Date- The amendments made by this section shall apply to deposits made after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 203. WITHHOLDING FOR PARIMUTUEL POOL WINNINGS.

(a) Winnings Subject to Withholding- Subparagraph (C) of section 3402(q)(3) is amended to read as follows:CommentsClose CommentsPermalink





‘(C) SWEEPSTAKES, WAGERING POOLS, AND LOTTERIES- Proceeds of more than $5,000 from a wager placed in a sweepstakes, wagering pool, or lottery.’.CommentsClose CommentsPermalink





(b) Exception for Parimutuel Pools- Paragraph (5) of section 3402(q) is amended--CommentsClose CommentsPermalink





(1) by striking ‘shall not apply to’ and all that follows, and inserting ‘shall not apply--CommentsClose CommentsPermalink





‘(A) to winnings from a slot machine, keno, or bingo; andCommentsClose CommentsPermalink





‘(B) to proceeds from a wagering transaction in a parimutuel pool with respect to horse races, dog races, or jai alai.’; andCommentsClose CommentsPermalink





(2) by inserting ‘AND CERTAIN PARIMUTUEL POOLS’ after ‘SLOT MACHINES’ in the heading.CommentsClose CommentsPermalink





(c) Effective Date- The amendments made by this section shall apply to payments made after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 204. WITHHOLDING FROM CERTAIN GAMING WINNINGS.

(a) Net Internet Gaming Winnings- Paragraph (3) of section 3406(b) is amended--CommentsClose CommentsPermalink





(1) by striking ‘or’ at the end of subparagraph (E);CommentsClose CommentsPermalink





(2) by striking the period at the end of subparagraph (F) and inserting ‘, or’; andCommentsClose CommentsPermalink





(3) by adding at the end the following new subparagraph:CommentsClose CommentsPermalink





‘(G) section 6050X(b)(4) (relating to net internet gaming winnings).’.CommentsClose CommentsPermalink





(b) Effective Date- The amendments made by this section shall apply to amounts paid after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 205. WITHHOLDING OF TAX ON NONRESIDENT ALIENS.

(a) Tax on Nonresident Alien Individuals- Paragraph (1) of section 871(a) is amended--CommentsClose CommentsPermalink





(1) by striking ‘and’ at the end of subparagraph (C);CommentsClose CommentsPermalink





(2) by inserting ‘and’ at the end of subparagraph (D); andCommentsClose CommentsPermalink





(3) by inserting after subparagraph (D) the following new subparagraph--CommentsClose CommentsPermalink





‘(E) the net Internet gaming winnings (as defined in section 6050X(d)),’.CommentsClose CommentsPermalink





(b) Exemption for Certain Gaming Winnings- The first sentence of section 871(j) is amended by inserting ‘, or to net Internet gaming winnings (as defined in section 6050X(d))’ before the period.CommentsClose CommentsPermalink





(c) Withholding of Tax on Nonresident Alien Individuals- The first sentence of subsection (b) of section 1441 is amended by inserting ‘amounts described in section 871(a)(1)(E),’ after ‘gains subject to tax under section 871(a)(1)(D),’.CommentsClose CommentsPermalink





(d) Foreign Off-Track Wagers- Subsection (b)(5) of section 872 is amended by inserting ‘, including a legal wagering transaction placed over the Internet or other remote means from outside the United States. Any payment to any person with respect to income derived from a legal wagering transaction excluded by this subsection shall not be subject to any obligation under section 1441, 1442, 3402(q), or 6041’ before the period.CommentsClose CommentsPermalink





(e) Source of Internet Gambling Winnings- Subsection (a) of section 861 is amending by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(9) INTERNET GAMING WINNINGS- Net Internet gaming winnings (as defined in section 6050X(d)).’.CommentsClose CommentsPermalink





(f) Effective Date- The amendments made by this section shall apply to payments made after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 206. INFORMATION AT SOURCE; PARIMUTUEL WAGERS.

(a) In General- Section 6041 is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink





‘(h) Certain Gambling Winnings- Subsection (a) shall apply to payments made as proceeds of a parimutuel wager only if the amount paid with respect to such wager is at least $1,200, and if the amount of the proceeds of such wager is at least 300 times of the amount wagered.’.CommentsClose CommentsPermalink





(b) Effective Date- The amendment made by this section shall apply to payments made after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 207. EXEMPTION FROM STATE AND INDIAN TRIBAL GOVERNMENT TAXATION.

(a) Exemption From Tax on Internet Games of Skill- A State or political subdivision thereof, and an Indian tribe or political subdivision thereof, shall impose no tax on--CommentsClose CommentsPermalink





(1) deposits or bets or wagers placed with a licensee that is subject to the fees under section 4491 of the Internal Revenue Code of 1986; orCommentsClose CommentsPermalink





(2) income of a licensee relating to such deposits or bets or wagers, unless such licensee maintains a permanent physical presence in such State or within the area of the jurisdiction of such Indian tribe.CommentsClose CommentsPermalink





(b) Exemption Not To Apply to States and Indian Tribes Not Receiving Trust Fund Appropriations-CommentsClose CommentsPermalink





(1) IN GENERAL- Subsection(a) shall not apply to any State or Indian tribal government with respect to which an election is in effect under section 9511(c)(3) of the Internal Revenue Code of 1986 for such State or Indian tribal government to be excluded from the receipt of funds from the State and Indian Tribal Government Gaming License Fee Trust Fund.CommentsClose CommentsPermalink





(2) ACTIVITY NOT EXEMPT FROM TAXATION- A State or Indian tribal government described in paragraph (1) may impose a tax on deposits or bets or wagers only if initiated or otherwise made by a person located within the jurisdiction of that State or Indian tribe at the time of the deposit, bet, or wager and placed with a licensee that is subject to the fees under section 4491 of the Internal Revenue Code of 1986, and on a licensee with respect to income relating to such deposits or bets or wagers in each case (with respect to taxes on deposits, bets, or wagers and income) only if such licensee maintains a permanent physical presence in such State or within the area of the jurisdiction of such Indian tribe.CommentsClose CommentsPermalink





(c) Definitions- For purposes of this section--CommentsClose CommentsPermalink





(1) IN GENERAL- The terms ‘deposit’, ‘bet or wager’, and ‘licensee’ have the same meaning as when used in section 4491 of the Internal Revenue Code of 1986. The terms ‘State’ and ‘Indian tribal government’ have the same meaning as when used in section 9511 of such Code. The term ‘State and Indian Tribal Government Gaming License Fee Trust Fund’ means the Trust Fund established by section 9511(a) of such Code.CommentsClose CommentsPermalink





(2) TAX- The term ‘tax’ includes any tax, charge, or fee levied by a taxing jurisdiction, whether such tax, charge, or fee is imposed on a licensee or on a customer of a licensee, and without regard to the terminology used to describe such tax, charge, or fee.CommentsClose CommentsPermalink





(3) PERMANENT PHYSICAL PRESENCE-CommentsClose CommentsPermalink





(A) IN GENERAL- The term ‘permanent physical presence’ means a substantial and continuous physical presence for the majority of the applicable taxable year. Such determination shall be made solely by reference to the assets of a licensee and the activities conducted by its employees or agents.CommentsClose CommentsPermalink





(B) PRESENCE IN INDIAN TRIBE NOT TO AFFECT STATE PRESENCE- If a licensee has permanent physical presence within the area of jurisdiction of an Indian tribal government for purposes of this section, such presence shall not be deemed to constitute permanent physical presence in any State in which such area of jurisdiction is located or partially located.CommentsClose CommentsPermalink





(d) Effective Date- This section shall apply to taxes on deposits and bets or wagers after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 208. TERRITORIAL EXTENT OF WAGERING TAX.

(a) In General- Paragraph (2) of section 4404 is amended--CommentsClose CommentsPermalink





(1) by striking ‘or’ at the end of subparagraph (A);CommentsClose CommentsPermalink





(2) by striking the period at the end of subparagraph (B) and inserting ‘, or’; andCommentsClose CommentsPermalink





(3) by adding at the end the following new subparagraph:CommentsClose CommentsPermalink





‘(C) with a person who is required to be licensed (whether or not such person is so licensed) under section 5382(b)(1) of title 31, United States Code, with respect to such wagers.’.CommentsClose CommentsPermalink





(b) Effective Date- The amendments made by this section shall apply to wagers made after the date of the enactment of this Act.CommentsClose CommentsPermalink

TITLE III--STUDY AND PREVENTION OF PROBLEM AND PATHOLOGICAL GAMBLINGCommentsClose CommentsPermalink

SEC. 301. AUTHORIZATION OF PROGRAMS FOR IDENTIFICATION, PREVENTION, AND TREATMENT OF PROBLEM AND PATHOLOGICAL GAMBLING.

Section 501(d) of the Public Health Service Act (42 U.S.C. 290aa(d)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (17), by striking ‘and’ at the end;CommentsClose CommentsPermalink





(2) in paragraph (18), by striking the period at the end and inserting ‘; and’; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





‘(19) establish and implement programs for the identification, prevention, and treatment of problem and pathological gambling.’.CommentsClose CommentsPermalink

SEC. 302. PUBLIC AWARENESS, RESEARCH, AND TREATMENT.

Section 501 of the Public Health Service Act (42 U.S.C. 290aa) is amended by adding at the end the following:CommentsClose CommentsPermalink





‘(p) Public Awareness-CommentsClose CommentsPermalink





‘(1) IN GENERAL- The Secretary shall carry out a national campaign to increase knowledge and improve awareness with respect to problem gambling within the general public, including supporting and augmenting existing national campaigns.CommentsClose CommentsPermalink





‘(2) AUTHORIZATION OF APPROPRIATIONS- For the purpose of carrying out this subsection, there is authorized to be appropriated $200,000 for each of fiscal years 2010 through 2014.CommentsClose CommentsPermalink





‘(q) Research-CommentsClose CommentsPermalink





‘(1) IN GENERAL- The President shall establish and implement a national program of research on problem and pathological gambling.CommentsClose CommentsPermalink





‘(2) AUTHORIZATION OF APPROPRIATIONS- For the purpose of carrying out this subsection, there is authorized to be appropriated $4,000,000 for each of fiscal years 2010 through 2014.CommentsClose CommentsPermalink





‘(r) Treatment-CommentsClose CommentsPermalink





‘(1) GRANTS- The Secretary may make grants to States, local governments, and nonprofit agencies to provide comprehensive education, prevention, and treatment services with respect to problem and pathological gambling.CommentsClose CommentsPermalink





‘(2) AUTHORIZATION OF APPROPRIATIONS- For the purpose of carrying out this subsection, there is authorized to be appropriated $10,000,000 for each of fiscal years 2010 through 2014.’.CommentsClose CommentsPermalink