44th legislature - STATE OF NEW MEXICO - second session, 2000

RELATING TO GAMING; AMENDING PROVISIONS OF THE GAMING CONTROL ACT TO ENLARGE THE AUTHORITY OF DISTRIBUTORS.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

Section 1. Section 60-2E-30 NMSA 1978 (being Laws 1997, Chapter 190, Section 32) is amended to read:

"60-2E-30. LICENSING OF DISTRIBUTORS OF GAMING DEVICES.--

A. It is unlawful for any person to operate, carry on, conduct or maintain any form of distribution of any gaming device for use or play in New Mexico without first obtaining and maintaining a distributor's or manufacturer's license.

B. A distributor licensee shall not distribute a gaming device or associated equipment for use or play in New Mexico unless the device or equipment is manufactured by a manufacturer licensee, except that a distributor licensee may have a gaming device or associated equipment licensed for use or play in New Mexico pursuant to Subsection D of this section, and in that event he may distribute that machine or equipment without regard to whether or not it is manufactured by a manufacturer licensee.

[B.] C. If the board revokes a distributor's license:

(1) no new gaming device distributed by the person may be approved;

(2) any previously approved gaming device distributed by the distributor is subject to revocation of approval if the reasons for the revocation of the license also apply to that gaming device;

(3) no new gaming device or associated equipment distributed by the distributor may be distributed, sold, transferred or offered for use or play in New Mexico; and

(4) any association or agreement between the distributor and a gaming operator licensee shall be terminated. An agreement between a distributor licensee and a gaming operator licensee shall be deemed to include a provision for its termination without liability on the part of either party upon a finding by the board that the other party is unsuitable. Failure to include that condition in the agreement is not a defense in any action brought pursuant to this section to terminate the agreement.

[C.] D. The board may inspect every gaming device or associated equipment that is distributed for use in New Mexico by a distributor, and a distributor may introduce a gaming device or associated equipment for use in New Mexico for licensing and inspection by the board.

[D.] E. In addition to all other fees and charges imposed by the Gaming Control Act, the board may determine, charge and collect from each distributor an inspection fee, which shall not exceed the actual cost of inspection and investigation."

Section 2. Section 60-2E-46 NMSA 1978 (being Laws 1997, Chapter 190, Section 48) is amended to read:

"60-2E-46. EXAMINATION OF GAMING DEVICES--COST ALLOCATION.--

A. The board shall examine prototypes of gaming devices of manufacturers or distributors seeking a license as required.

B. The board by regulation shall require a manufacturer or distributor to pay the anticipated actual costs of the examination of a gaming device in advance and, after the completion of the examination, shall refund overpayments or charge and collect amounts sufficient to reimburse the board for underpayment of actual costs.

C. The board may contract for the examination of gaming devices to meet the requirements of this section."