HBA-MPA H.B. 703 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 703
By: Wilson
Licensing and Administrative Procedures
3/9/1999
Introduced


BACKGROUND AND PURPOSE 

Currently, the law prohibits the purchase of lottery tickets with food
stamps, credit or debit cards, and also prohibits the sale of lottery
tickets by telephone or mail order.  Also prohibited is the purchase of
lottery tickets with the proceeds of a check issued as payment under the
Aid to Families with Dependant Children program.  H.B. 703 permits purchase
of lottery tickets only by U.S. currency, checks, debit cards, vouchers or
coupons issued by the Texas Lottery Commission, and mail order
subscriptions authorized by the commission.  This bill also prohibits a
third party, when purchasing tickets on behalf of another, from using the
funds for another purpose or retaining a share of the prize.  

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 466.3052, Government Code, as follows:

Sec. 466.3052.  New title: PURCHASE AND SALE OF TICKETS. (a) Provides that
a person commits a Class C misdemeanor if the person accepts as payment for
lottery tickets anything other than United States currency, a negotiable
instrument in the form of a check, a debit made through a financial
institution debit card, a coupon or voucher issued by the Texas Lottery
Commission, or a mail order subscription or subscription form.  Deletes
reference to food stamp coupons, a credit or debit card, telephone sale, or
mail order sales as unacceptable forms of payment and types of transactions
involving  lottery tickets.  Makes conforming changes. 

SECTION 2.  Amends Subchapter G, Chapter 466, Government Code, by adding
Section 466.3055, as follows: 

Sec. 466.3055.  PURCHASE FOR THIRD PARTY.  Provides that a person commits a
felony of the third degree if the person enters into an agreement with
another to purchase lottery tickets and the person uses any part of the
funds solicited and collected for another purpose or retains a share of any
prize awarded as compensation for that agreement. 

SECTION 3. Repealer:  Section 466.3053, Government Code, which provides
that a person commits a Class C misdemeanor if the person knowingly
purchases lottery tickets with food stamp coupons or the proceeds of a
check issued as payment under the Aid to Families with Dependant Children
program. 

SECTION 4.  Effective date: September 1, 1999.

SECTION 5.  Makes application of SECTION 1 of this Act prospective.

SECTION 6.  Makes application of SECTION 3 of this Act prospective.

SECTION 7.  Emergency clause.