SB 326

Under existing law, lotteries and gift enterprises are prohibited by Section 65 of the Constitution of Alabama of 1901

This bill proposes an amendment to Section 65 of the Constitution of Alabama of 1901 to establish an Alabama Lottery; to provide for participation in multi-state lottery games only; and to require the Legislature to pass general laws to implement the amendment

Proposing an amendment to Section 65 of the Constitution of Alabama of 1901, to establish an Alabama Lottery; to provide for participation in multi-state lottery games only; and to require the Legislature to pass general laws to implement the amendment.

Section 1

The following amendment to the Constitution of Alabama of 1901, as amended, is proposed and shall become valid as a part thereof when approved by a majority of the qualified electors voting thereon and in accordance with Sections 284, 285, and 287 of the Constitution of Alabama of 1901, as amended: PROPOSED AMENDMENT

Section 65.

Part I.

Except as provided in Part II, the The legislature shall have no power to authorize lotteries or gift enterprises for any purposes, and shall pass laws to prohibit the sale in this state of lottery or gift enterprise tickets, or tickets in any scheme in the nature of a lottery; and, except as provided in Part II, all acts, or parts of acts heretofore passed by the legislature of this state, authorizing a lottery or lotteries, and all acts amendatory thereof, or supplemental thereto, are hereby avoided.

Part II.

Section 1. Declarations. The Legislature finds that lotteries have been enacted in many states and the revenues generated from those lotteries have contributed to the benefit of those states. Many Alabamians already participate in other state lotteries. Therefore, the purpose of the proposed amendment is to establish and provide for a lottery to generate revenue for the Education Trust Fund and the State General Fund.

Section 2. Establishment of an Alabama Lottery.

(a) The Legislature, by general law, shall provide for the establishment, administration, operation, and regulation of an Alabama Lottery consistent with this part.

(b) The proceeds from the Alabama Lottery shall be applied first to the payment of the expenses of administering and operating the lottery, including, without limitation, the payment of all prizes, without any further appropriation required by law, and the balance of the proceeds remaining after the payments shall be deposited as follows: (1) seventy-five percent (75%) in the State General Fund; and (2) twenty-five percent (25%) in the Education Trust Fund.

(c) The administration of the Alabama Lottery shall be vested in a state agency or entity established by the Alabama Legislature.

(d) The lottery games authorized shall be limited to multi-state lottery games only.

(e) The control, management, and operation of the lottery shall be provided for in one or more general laws enacted by the Legislature subsequent to and supplemental to this amendment." END OF PROPOSED AMENDMENT

Section 2

An election upon the proposed amendment shall be held in accordance with Sections 284 and 285 of the Constitution of Alabama of 1901, now appearing as Sections 284 and 285 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, and the election laws of this state.

Section 3

The appropriate election official shall assign a ballot number for the proposed constitutional amendment on the election ballot and shall set forth the following description of the substance or subject matter of the proposed constitutional amendment:

Proposing an amendment to the Constitution of Alabama of 1901, to establish an Alabama Lottery; to provide for participation in multi-state lottery games only; and to require the Legislature to pass general laws to implement the amendment.

Proposed by Act ________." This description shall be followed by the following language:

Yes ( ) No ( )."