HF1867 (Legislative Session 94 (2025-2026))

State lottery; retailer contract provisions modified.

Related bill: SF1891

AI Generated Summary

This bill proposes amendments to Minnesota state law regarding the regulation of lottery retailers. The key changes include:

  1. Definition Addition: Establishes the term "Responsible lottery official" to refer to officers, directors, or owners overseeing lottery ticket sales.

  2. Retailer Qualifications: Expands disqualifications for lottery retailer contracts, including:

    • Individuals under 18 years old.
    • Sole proprietors engaged only in lottery ticket sales.
    • Those owing $500 or more in delinquent taxes.
    • Individuals convicted within the last five years of a felony, fraud-related crime, or gambling-related offense.
    • Immediate family members of lottery employees or the director if residing in the same household.
    • Businesses deemed financially unstable or posing a threat to public welfare or lottery integrity.
    • Currency exchange businesses.
  3. Contract Cancellations, Suspensions, and Non-Renewals:

    • Mandates contract cancellation for retailers or officials convicted of certain crimes, involved in fraud, providing false information, or damaging public trust.
    • Allows discretionary cancellations for changes in business location, financial infractions, legal violations, contract breaches, low ticket sales, or repeat violations of alcohol sales laws.
    • Permits temporary suspensions without notice, with required hearings within seven days upon request.
    • Provides a process for appeals, making suspension permanent if no hearing is requested within 30 days.

Overall, the bill strengthens oversight and eligibility criteria for lottery retailers to enhance transparency, integrity, and financial accountability in state lottery operations.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 04, 2025HouseFloorActionIntroduction and first reading, referred toState Government Finance and Policy
March 04, 2025HouseFloorActionIntroduction and first reading, referred toState Government Finance and Policy
March 12, 2025HouseFloorActionCommittee report, to adopt
March 12, 2025HouseFloorActionSecond reading

Citations

 
[
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "The bill modifies qualifications for lottery retailer contracts under section 349A.06 subdivision 2.",
      "modified": [
        "Clarification on qualifications related to age, business type, tax status, criminal history, and family relations of responsible lottery officials."
      ]
    },
    "citation": "349A.06",
    "subdivision": "subdivision 2"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "The bill revises the conditions for cancellation, suspension, or non-renewal of lottery retailer contracts under section 349A.06 subdivision 11.",
      "modified": [
        "Adds specific conditions under which lottery retailer contracts may be canceled, including changes to business location and violations of section 340A.503 subdivision 2."
      ]
    },
    "citation": "349A.06",
    "subdivision": "subdivision 11"
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Reference to the definition of a currency exchange affecting eligibility for lottery retailer contracts.",
      "modified": [
        "Ineligibility for lottery retailer contracts if the entity is a currency exchange as defined in section 53A.01."
      ]
    },
    "citation": "53A.01",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Involves restrictions on lottery retailer qualifications related to delinquent taxes.",
      "modified": [
        "Provision that a retailer owing $500 or more in delinquent taxes as defined in section 270C.72 may not qualify as a lottery retailer."
      ]
    },
    "citation": "270C.72",
    "subdivision": ""
  },
  {
    "analysis": {
      "added": [],
      "removed": [],
      "summary": "Includes compliance with alcohol-related laws as a factor in lottery contract eligibility.",
      "modified": [
        "Lottery retailer contracts may be affected by violations of alcohol laws under section 340A.503 subdivision 2."
      ]
    },
    "citation": "340A.503",
    "subdivision": "subdivision 2"
  }
]