Session busy, outcomes acceptable
By Neil Peterson
Executive Director
Gaming Industry Assoc.
My first legislative session as lobbyist for the Gaming Industry Association is now in the books, so to speak.
How did it go? What were the issues of importance to GIA members?
First, I want to thank all of the legislators I had the opportunity to work with during the session. Frankly, these folks don’t get enough credit for all the hard work and dedication they exhibit on a daily basis.
The breadth and depth of the various issues they deal with during committee hearings and floor debates makes one wonder how one person can possibly keep up with all the details and sort the wheat from the chaff. But they do and they do it well.
Second, I want to thank my fellow lobbyists whom I had the opportunity to work with on various issues during the session.
Carrying the lobbyist label sometimes evokes a negative connotation. I can’t speak for all lobbyists, but I can tell you the ones I worked with were consummate professionals who were very knowledgeable and worked extremely hard for their client’s interests. In particular, Montana Tavern Association lobbyist Mark Staples, and Montana Coin Machine Operators Association lobbyist Ronda Wiggers, were invaluable to me and are a credit to the profession.
Third, I want to thank the legislative staff. Without these folks the Legislature simply would not function. These are the people that draft the bills, draft amendments, insure committees and floor action run smoothly and generally provide for everyone’s needs. The amount of work performed by legislative staff during the session is truly Herculean.
Lastly, I would like to thank all of you who took the time to write or call your legislator or came and testified on issues of importance to the hospitality industry. It’s one thing to hear a message from your lobbyist, but hearing the message from you on how a particular piece of legislation affects your business and your bottom line carries much more weight.
Shifting gears, what are some of the issues the GIA followed during the Legislative session?
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Legislation supported by GIA
Senate Bill 86 carried by Sen. Joe Tropila:
SB86 was the Gaming Advisory Council bill to fix some things that needed fixing and add some additional provisions to gaming law. The bill had no opponents at hearings and passed the Senate and House on a combined vote of 144-4. SB86 was carried on the House floor by Rep.Mark Blasdel. (As of the writing of this article, SB86 was awaiting the signature of Gov. Brian Schweitzer.)
SB86's provisions are:
—Fixed a contradiction in law regarding poker room contractor licensing
—Created a new Associated Gambling Business License for those involved in the gaming industry in Montana but not falling into any other current licensing criteria
—Prohibited the use of credit cards to obtain cash to gamble
—Fixed statute regarding fingerprinting to conform with federal law
—Expanded the types of cards that can be used in bingo games
—Fixed raffle laws to conform with existing practices
House Bill 211 carried by Rep. Jeff Welborn:
HB211 provided for a certified responsible licensee status for those owners who provided alcohol server training for their employees. Once an owner obtained this status they would have had a defense against fines or actions levied by the Department of Revenue if one of their employees inadvertently sold alcohol to a minor.
While the legislation was not successful, it did raise the issue with the Department of Revenue and the department has pledged to work with industry to provide incentives for those owners who provide server training for their employees.
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Business Equipment Tax Reduction
There were a number of bills introduced providing for reduction in business equipment taxes either through actual exemptions or increases in the current threshold. However, due to budget restrictions (no money to pay for the reductions) none of the bills were successful.
Senate Bill 503 by Sen. Jeff Essmann:
SB503 provided incentives for individuals to start a new business or invest in business equipment manufactured in Montana. The bill provided for additional capital gains tax credits on the sale of a Montana business and for the deduction of depreciation recapture associated with the sale of business equipment. As of this date the bill has not been acted on by the full House after second reading.
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Legislation opposed by GIA
Senate Bill 501 by Sen. Christine Kaufmann:
SB501 would have enacted a five-cent tax on all servings of alcoholic beverages in the state. The bill was tabled in Senate Taxation.
Senate Bill 506 by Sen. Jeff Essmann:
SB506 would have allowed local government jurisdictions to enact a local option tourism tax. The tax would have been levied on the sale of alcoholic drinks and prepared food as well as other products typically bought by tourists. The bill did not pass on the Senate floor.
House Bill 311 by Rep. Penny Morgan
HB331 as originally drafted would have changed how food establishment license fees are set from a legislative process to an administrative rule making one. Rather than the Legislature setting license fees, the Department of Public Health and Human Services proposed to set license fees through the administrative rules process. After many hearings and discussions the bill was amended to keep the setting of fees in statute and provide for a modest increase of $25 in food establishment license fees.
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Legislation requested but not introduced
The GIA monitored a number of legislative draft requests that did not come to fruition. Bills to increase the video gambling machine tax and to expand gambling on Indian reservations are two of the most notable.
In summary, I would rate the recent legislative session a success for the gaming business in Montana. Again, I appreciate all of the people that I had the opportunity to work with and look forward to working with them in the future.
On another note, I look forward to seeing all of you at the GIA Annual Convention May 19-20 in Missoula at the Hilton Garden Inn and Suites.
Source: The Montana Tavern Times, May 2009, published monthly by Continental Communications, 125 W Granite, Suite 102, Butte MT. 59701