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COMMITTEE REPORT
March 3, 1999
S. 3
Introduced by Senators Rankin, Elliott, Moore, Drummond, Holland, Saleeby, J. Verne Smith, Land, Setzler, Leventis, Bryan, Matthews, Patterson, McGill, O'Dell, Passailaigue, Washington, Reese, Ford, Glover, Jackson, Lander, Short, Hutto, Anderson, Elliott, Ryberg, Giese, Wilson, Fair, Hayes, Leatherman and Russell
S. Printed 3/3/99--S.
Read the first time January 12, 1999.
To whom was referred a Bill (S. 3), to amend Chapter 19, Title 16, Code of Laws of South Carolina, 1976, relating to crimes and offenses, by adding Section 16-19-180 so as to prohibit the operation of casino gambling on boats, etc., respectfully
That they have duly and carefully considered the same, and recommend that the same do pass with amendment:
Amend the bill, as and if amended, by striking all after the enacting words and inserting therein the following:
/SECTION 1. Gambling activities prohibited by statutory laws and by the Constitution of this State are prohibited on vessels where voyages begin and end in waters of this State, consistent with the standards specified in 15 U.S.C. 1175, commonly referred to as the Johnson Act. Except as otherwise provided herein, this act prohibits gambling activities on so-called "cruises to nowhere".
SECTION 2. Chapter 19 of Title 16 of the 1976 Code is amended by adding:
"Section 16-19-170. (A) As used in this section:
(1) `Vessel' means a boat, ship, casino boat, watercraft, or barge kept, operated, or maintained for the purpose of gambling, with one or more gaming establishments aboard, that carries or operates gambling devices for the use of its passengers or otherwise provides facilities for the purpose of gambling, whether within or without the jurisdiction of this State, and whether it is anchored, berthed, lying to, or navigating and the sailing, voyaging, or cruising, or any segment of the sailing, voyaging, or cruising begins and ends within this State.
(2) `Gambling' or `gambling device' means a game of chance and includes, but is not limited to, slot machines, punch boards, video poker or black jack machines, keeno, roulette, craps, or any other gaming table type gambling or poker, blackjack, or any other card gambling game.
(B) Except as provided in Section 3, it is unlawful for any person to repair or use any gambling device on a vessel that is on a voyage or segment of a voyage if:
(1) the voyage or segment begins and ends in this State; and
(2) during which the vessel does not make an intervening stop within the boundaries of another state or possession of the United States or a foreign country.
(C) The following voyages and segments are lawful if the voyage or segment includes or consists of a segment:
(1) that begins and ends in this State;
(2) that is part of a voyage to another state or possession of the United States or to a foreign country; and
(3) in which the vessel reaches the other state or foreign country within three days after leaving the state in which the segment begins."
SECTION 3. A violation of 16-19-170 is not a criminal offense, but is a violation for which a civil penalty, not to exceed twenty-five thousand dollars for each violation, may be imposed by the Department of Revenue.
SECTION 4. (A) Notwithstanding the provisions of Section 16-19-170: (1) the governing body of a coastal county by ordinance may suspend the application of the gambling prohibitions provided for in Section 16-19-170 for the unincorporated area of the county; and (2) the governing body of a municipality by ordinance may suspend the application of the gambling prohibitions provided for in Section 16-19-170 for the municipality.
(B) The county election commission or the municipal election commission, as appropriate, shall place the question contained in this subsection on the ballot in November 2000 in a coastal county in which the county governing body or the municipal governing body, as appropriate, has suspended application of the gambling prohibition provided for in Section 16-19-170 by ordinance within ninety days before the 2000 general election. The state election laws apply to the referendum, mutatis mutandis. The State Board of Canvassers shall publish the results of the referendum and certify them to the Secretary of State. If the result of a referendum is in favor of reinstating the gambling prohibition within the county or municipality, Section1 16-19-170 applies in that county or municipality after the result of the referendum is certified to the Secretary of State.
The question put before the voters shall read:
"Shall the prohibition against gambling, however described, on a vessel that embarks and disembarks within South Carolina be reinstated in __________municipality/county"?
(C) For purposes of this section, a 'coastal county' means Beaufort, Berkeley, Charleston, Colleton, Horry, Jasper, or Georgetown county.
SECTION 5. Nothing in this act shall be construed to repeal or modify any other provision of law relating to gambling. This section does not repeal or modify any law with regard to bingo or the operation of a device or machine pursuant to Section 12-21-2720(A)(3).
SECTION 6. If any provision of this act or the application of these provisions to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of this act which can be given effect without the invalid provision or application, and to this end, the provisions of this act are severable.
SECTION 7. This act takes effect upon approval by the Governor. /
Amend title to conform.
LUKE RANKIN, for Committee.
EXPLANATION OF IMPACT:
Department of Corrections
There is no data available to predict the number of convictions, however, the impact on the department's population is expected to be minimal. Therefore, there will be minimal cost to the General Fund of the State which the agency can absorb.
Commission on Prosecution Coordination
The commission indicates there will be minimal impact on the agency's operations, therefore, there will be minimal cost to the General Fund of the State which the agency can absorb.
Office of Indigent Defense
The office indicates any impact associated with this bill is not determinable at this time due to the fact there is no historical data upon which to base this determination.
Office of Appellate Defense
The office indicates there will be no impact to the General Fund of the State as a result of this bill.
Department of Probation, Parole and Pardon Services
The department indicates there will be no impact to the General Fund of the State as a result of this bill.
Judicial Department:
The Judicial Department indicates a minimal fiscal impact on the General Fund of the State which the agency can absorbed.
Approved By:
Don Addy
Office of State Budget
REVENUE IMPACT1
This bill would have no impact on state revenue.
Explanation
This bill would prohibit an individual to repair, transport, possess, or operate a gambling device on a casino boat within the boundaries of the State. The bill defines "gambling device" and "casino boat" and provides for the enforcement of any violation. The State does not collect any revenues from the operation of casino boats from ports in South Carolina and would, therefore, not lose any revenue from their prohibition.
Approved By:
William C. Gillespie
Board of Economic Advisors
1/ This statement meets the requirement of Section 2-7-71 for a state revenue impact, Section 2-7-76 for a local revenue impact, and Section 6-1-85(B) for an estimate of the shift in local property tax incidence.
TO AMEND CHAPTER 19, TITLE 16, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO CRIMES AND OFFENSES, BY ADDING SECTION 16-19-180 SO AS TO PROHIBIT THE OPERATION OF CASINO GAMBLING ON BOATS, SHIPS, OR OTHER WATERCRAFT WHICH EMBARK, SAIL, AND DISEMBARK WITHIN SOUTH CAROLINA'S BORDERS.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Chapter 19 of Title 16 of the 1976 Code is amended by adding:
"Section 16-19-180. (A) The repair, transportation, possession, or operation of a gambling device on a casino boat that is allowed under federal law pursuant to 15 U.S.C. Section 1175(b)(2)(A)-(B), the Johnson Act, as amended in 1992, is unlawful in South Carolina. It is therefore expressly prohibited to repair, transport, possess, or operate a gambling device on a casino boat within the boundaries of the State if the use of the gambling device occurs on a portion of the voyage that is not within the state boundaries and the device remains on board while the casino boat is within the state boundaries.
(B) The repair, transportation, or operation of a gambling device on a casino boat that is not within the state boundaries is illegal if the voyage or segment of the voyage begins and ends in this State.
(C) It is unlawful for a person, within this State, to solicit, entice, induce, persuade or procure, or to aid in soliciting, enticing, inducing, persuading or procuring any person to visit any gambling ship, whether such casino boat be within or without the jurisdiction of the State.
(D) It is unlawful for a person, firm, association, or corporation to transport, convey, or carry, or to utilize any means of conveyance in transporting, conveying, or carrying any person to any gambling ship, whether such casino boat is within or without the jurisdiction of the State.
(E) As used in this section:
(1) `Operation' means to manage, supervise, control, or own, either alone or in association with others, any casino boat which embarks from any point within this State, and disembarks at the same or another point within this State, and during the time of navigation, sailing, or cruising, the person intentionally causes or knowingly permits gambling, whether within or without the waters of the State.
(2) `Casino boat' means a boat, ship, vessel, watercraft, or barge kept, operated, or maintained for the purpose of gambling, with one or more gaming establishments aboard, that carries or operates gambling devices for the use of its passengers or otherwise provides facilities for the purpose of gambling, whether within or without the jurisdiction of this State, and whether it is anchored, berthed, lying to, or navigating and the sailing, voyaging, or cruising, or any segment of the sailing, voyaging, or cruising begins and ends within this State.
(3) `Means of conveyance' means a boat, ship, vessel, watercraft, barge, airplane, helicopter, seaplane, or aircraft upon floats whether such craft is within or without the jurisdiction of the this State, and from which craft any person is transported, conveyed, or carried to any casino boat, whether the casino boat is within or without the jurisdiction of this State.
(4) `Gambling' or `gambling device' means a game of chance and includes, but is not limited to, slot machines, punch boards, video poker or black jack machines, keeno, roulette, craps, or any other gaming table type gambling or poker, blackjack, or any other card gambling game.
(5) 'Gaming' means the conduct of gambling for money or any other thing of value including accepting, recording, or registering bets; carrying on a policy game or any other lottery; or playing any game of chance.
(6) 'Gaming establishment' or 'gaming facilities' means any common gaming or gambling area aboard a vessel, operated for the purpose of gaming or gambling.
(F) This section shall not apply to gambling activity conducted on a United States-flagged or foreign-flagged craft during travel from a foreign nation or another state or possession of the United States up to the point of first entry into South Carolina waters or during travel to a foreign nation or another state or possession of the United States from the point of departure from South Carolina waters.
(G) Nothing in this section shall be construed to repeal or modify existing state law relating to gambling. This section does not repeal or modify existing state law with regard to bingo or the operation of a device or machine pursuant to Section 12-21-2720(A)(3).
(H) A person convicted of operating a casino boat is guilty of a felony and must be fined not less than one thousand dollars but not more than five thousand dollars or imprisoned for not less than one year but not more than five years, or both.
(I) In addition, upon conviction, the court of competent jurisdiction shall enter an order directing the seizure, forfeiture, and sale of the casino boat along with all of its gear, engines, tackle, and all other nautical, navigational, and safety equipment and its apparel and furniture. Any means of conveyance to and from the casino boat shall also be ordered seized, forfeited, and sold. The proceeds of the sale of the casino boat and any means of conveyance shall be applied, in order, to the fees and costs of the seizure and sale, with the balance of the proceeds if any, paid into the state general fund."
SECTION 2. This act takes effect upon approval by the Governor.
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