BILL NUMBER: AB 1620 CHAPTERED 09/29/06 CHAPTER 721 FILED WITH SECRETARY OF STATE SEPTEMBER 29, 2006 APPROVED BY GOVERNOR SEPTEMBER 29, 2006 PASSED THE ASSEMBLY AUGUST 22, 2006 PASSED THE SENATE AUGUST 21, 2006 AMENDED IN SENATE AUGUST 7, 2006 AMENDED IN SENATE JUNE 12, 2006 AMENDED IN ASSEMBLY MAY 27, 2005 AMENDED IN ASSEMBLY APRIL 28, 2005 AMENDED IN ASSEMBLY APRIL 7, 2005 INTRODUCED BY Assembly Member Klehs FEBRUARY 22, 2005 An act to amend Section 19951 of the Business and Professions Code, relating to gambling. LEGISLATIVE COUNSEL'S DIGEST AB 1620, Klehs Gambling license fees. Existing law establishes the Gambling Control Fund within the State Treasury for the receipt and deposit of fees and revenue collected pursuant to the Gambling Control Act. Under the act, specified licensing fees are required to be paid for the issuance or renewal of a state gambling license, as specified. Under existing law, the fee for initial issuance of a state gambling license is determined by the Division of Gambling Control and the fee for the renewal of a state gambling license is determined pursuant to specified schedules. This bill would revise those provisions to instead specify that the fee for initial issuance of a state gambling license shall be determined by the California Gambling Control Commission in accordance with regulations adopted pursuant to that act, and that the fee for renewal of a state gambling license shall be determined based on the amounts set forth in 2 payment schedules, as specified. The bill would also require the holder of a provisional license to pay an annual fee according to a specified schedule. This bill would also provide that it is the Legislature's intent that the fees paid pursuant to that provision are sufficient to enable the Division of Gambling Control and the California Gambling Control Commission to fully carry out their duties and responsibilities pursuant to that law. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 19951 of the Business and Professions Code is amended to read: 19951. (a) Every application for a license or approval shall be accompanied by a nonrefundable fee of five hundred dollars ($500). (b) (1) Any fee paid pursuant to this section, including all licenses issued to key employees and other persons whose names are endorsed upon the license, shall be assessed against the gambling license issued to the owner of the gambling establishment. (2) (A) The fee for initial issuance of a state gambling license shall be an amount determined by the commission in accordance with regulations adopted pursuant to this chapter. (B) The fee for the renewal of a state gambling license shall be determined pursuant to the schedule in subdivision (c) or the schedule in subdivision (d), whichever amount is greater. (C) The holder of a provisional license shall pay an annual fee pursuant to the schedule in subdivision (c). (c) The schedule based on the number of tables is as follows: (1) For a license authorizing one to five tables, inclusive, at which games are played, three hundred dollars ($300) for each table. (2) For a license authorizing six to eight tables, inclusive, at which games are played, five hundred fifty dollars ($550) for each table. (3) For a license authorizing 9 to 14 tables, inclusive, at which games are played, one thousand three hundred dollars ($1,300) for each table. (4) For a license authorizing 15 to 25 tables, inclusive, at which games are played, two thousand seven hundred dollars ($2,700) for each table. (5) For a license authorizing 26 to 70 tables, inclusive, at which games are played, four thousand dollars ($4,000) for each table. (6) For a license authorizing 71 or more tables at which games are played, four thousand seven hundred dollars ($4,700) for each table. (d) Without regard to the number of tables at which games may be played pursuant to a gambling license, if, at any time of any license renewal, or when a licensee is required to pay the fee described in subparagraph (C) of paragraph (2) of subdivision (b) it is determined that the gross revenues of an owner licensee during the licensee's previous fiscal year fell within the following ranges, the annual fee shall be as follows: (1) For a gross revenue of two hundred thousand dollars ($200,000) to four hundred ninety-nine thousand nine hundred ninety-nine dollars ($499,999), inclusive, the amount specified by the division pursuant to paragraph (2) of subdivision (c). (2) For a gross revenue of five hundred thousand dollars ($500,000) to one million nine hundred ninety-nine thousand nine hundred ninety-nine dollars ($1,999,999), inclusive, the amount specified by the division pursuant to paragraph (3) of subdivision (c). (3) For a gross revenue of two million dollars ($2,000,000) to nine million nine hundred ninety-nine thousand nine hundred ninety-nine dollars ($9,999,999), inclusive, the amount specified by the division pursuant to paragraph (4) of subdivision (c). (4) For a gross revenue of ten million dollars ($10,000,000) to twenty-nine million nine hundred ninety-nine thousand nine hundred ninety-nine dollars ($29,999,999), the amount specified by the division pursuant to paragraph (5) of subdivision (c). (5) For a gross revenue of thirty million dollars ($30,000,000) or more, the amount specified by the division pursuant to paragraph (6) of subdivision (c). (e) The commission may provide for payment of the annual gambling license fee on an annual or installment basis. (f) For the purposes of this section, each table at which a game is played constitutes a single game table. (g) It is the intent of the Legislature that the fees paid pursuant to this section are sufficient to enable the division and the commission to fully carry out their duties and responsibilities under this chapter.