NOTE: As provided in LFC policy, this report is intended for use by the standing finance committees of the legislature.  The Legislative Finance Committee does not assume responsibility for the accuracy of the information in this report when used in any other situation.



The LFC is only preparing FIRs on bills referred to the Senate Finance Committee, the Senate Ways and Means Committee, the House Appropriations and Finance Committee and the House Taxation and Revenue Committee. The chief clerks are responsible for preparing and issuing all other bill analyses.



Only the most recent FIR version, excluding attachments, is available on the Intranet. Previously issued FIRs and attachments may be obtained from the LFC office in Room 416 of the State Capitol Building.



F I S C A L I M P A C T R E P O R T



SPONSOR: Vaughn DATE TYPED: 2/14/99 HB 272
SHORT TITLE: Gaming Control Board Membership SB
ANALYST: Hadwiger

APPROPRIATION



Appropriation Contained
Estimated Additional Impact
Recurring

or Non-Rec

Fund

Affected

FY99 FY2000 FY99 FY2000
None $ 200.0 Rec. GF

(Parenthesis ( ) Indicate Expenditure Decreases)



Duplicates SB 12

SOURCES OF INFORMATION



LFC Files

Gaming Control Board

Regulation and Licensing Department



SUMMARY



Synopsis of Bill



The proposed bill changes the number of full-time members of the Gaming Control Board (GCB) from three to five and eliminates ex-officio positions of the Lottery Authority chair and the State Racing Commission chair. The two new full-time members would be representatives of the general public.



Significant Issues



The ex-officio members of the GCB have sometimes regarded their positions as a conflict of interest. The lottery chair considers her position on the GCB as a conflict of interest because the lottery is a direct competitor of other forms of gaming. As a GCB member, she could make decisions in the interest of the lottery which might be unfair to other gaming interests. The chair of the State Racing Commission does not consider his position a conflict of interest, though proponents of this bill contend that he might, similarly, be biased in favor of the horse racing industry in making GCB decisions. The bill would replace these individuals with members of the public who might take a wider view of gaming issues.



FISCAL IMPLICATIONS



GCB members are paid full-time salaries and benefits. A minimum cost of this bill would be about $200.0.



DH/gm