Purpose of the Bill

This bill aims to address how organizations can handle fund losses due to theft in connection with lawful gambling activities in Minnesota. It seeks to provide a clear process for requesting compensation for these losses and outlines the conditions under which such requests may be granted or denied.

Main Provisions

• Fund Loss Request Process: The bill stipulates circumstances under which organizations can submit requests to recoup losses resulting from the theft of cash, inventory, or prizes involved in lawful gambling.

• Criteria for Approval: An organization must file a timely report with local law enforcement and submit a fund loss request according to specified rules to have their request considered.

• Denial of Requests: Requests can be denied if an organization has submitted two or more requests in the past year based on specified criteria. Even in cases of denial, the board is required to provide a written explanation, including the reasons for denial and recommendations for preventing future losses.

• Reimbursement Rules: The board is prohibited from demanding that an organization's gambling account be reimbursed from non-gambling funds if a fund loss request due to theft is denied.

Significant Changes to Existing Law

This bill introduces a new subdivision to Minnesota Statutes section 349.19 that specifies the conditions and process for requesting compensation for fund losses due to theft. This adds clarity and structure to the handling of such requests, which were not previously codified.

Relevant Terms

lawful gambling, fund loss request, theft, cash inventory, prizes, reimbursement, Minnesota Statutes section 349.19, law enforcement, gambling account, local law enforcement.