Meetings
 
Agenda Item
Docket No. 22-546
 
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RE:
Advisory Opinion request on behalf of Sports Betting Alliance, relating to contributions and the restrictions on members of the gaming industry.
Facts:
Sports Betting Alliance (SBA) is a Section 501(c)(6) trade association that advocates for the legalization and regulation of sports betting. SBA's primary purpose and activity is lobbying. SBA makes contributions from time to time to support candidates and political committees; such contributions are paid from its general corporate treasury, which is comprised of its members' dues payments.
One of SBA's dues paying members (the "Subject Member") has an interest as defined in La. R.S. 1505.2L(3)(b)(i) in a legal entity included in La. R.S. 1505.2L(3)(a)(i) and/or La. R.S. 1505.2L(3)(a)(ii).
The dues paid by the Subject Member shall be placed into a segregated account which will not be used to make any Louisiana contributions. SBA will also exclude the Subject Member from any decision-making regarding Louisiana contributions. The Subject Member does not own 25% or more of SBA.
Law:
La. R.S. 1505.2L
(1) The legislature recognizes that it is essential to the operation of effective democratic government in this state that citizens have confidence in the electoral process and that elections be conducted so as to prevent influence and the appearance of influence of candidates for public office and of the election process by special interests, particularly by persons substantially interested in the gaming industry in this state.
(2) No person to whom this Subsection is applicable as provided in Paragraph (3) of this Subsection shall make a contribution, loan, or transfer of funds, including but not limited to any in-kind contribution, as defined in this Chapter, to any candidate, any political committee of any such candidate, or to any other political committee which supports or opposes any candidate. This Section shall not prohibit contributions made to any account of a political committee affiliated with a recognized political party organized under the laws of another jurisdiction, where the account is segregated and no funds from such segregated account are used to support or oppose any candidate in this state or any political committee of any candidate in this state, provided that any person to whom this Section applies shall expressly request, prior to making a contribution, that such political committee shall not use such funds to support or oppose any candidate or any political committee of any candidate in Louisiana.
(3) This Subsection shall be applicable to all of the following:
(a)(i) Any person who holds a license or permit as a distributor of gaming devices, who holds a license or permit as a manufacturer of gaming devices, who holds a license or permit as a device service entity, and any person who owns a truck stop or a licensed pari-mutuel or off-track wagering facility which is a licensed device establishment, all pursuant to the Video Draw Poker Devices Control Law.
(ii) Any person who holds a license to conduct gaming activities on a riverboat, who holds a license or permit as a distributor or supplier of gaming devices or gaming equipment including slot machines, or who holds a license or permit as a manufacturer of gaming devices or gaming equipment including slot machines issued pursuant to the Louisiana Riverboat Economic Development and Gaming Control Act, and any person who owns a riverboat upon which gaming activities are licensed to be conducted.
(iii) Any person who holds a license or entered into a contract for the conduct of casino gaming operations, who holds a license or permit as a distributor of gaming devices or gaming equipment including slot machines, or who holds a license or permit as a manufacturer of gaming devices or gaming equipment including slot machines issued pursuant to the Louisiana Economic Development and Gaming Corporation Act, and any person who owns a casino where such gaming operations are licensed.
(b)(i) Any person who has an interest, directly or indirectly, in any legal entity included in Subparagraph (a) of this Paragraph. "Interest", as used in this Subparagraph, means ownership by an individual or his spouse, either individually or collectively, of an interest which exceeds ten percent of any legal entity. An indirect interest is ownership through any number of layers of legal entities when twenty-five percent or more of each legal entity is owned by the legal entity ownership beneath it.
(ii) Any holding, intermediary, or subsidiary company of any person included in Subparagraph (a) of this Paragraph and any officer, director, trustee, or partner thereof.
(c) Any officer, director, trustee, partner, or senior management level employee or key employee as defined in R.S. 27:205(19) of any person included in Subparagraph (a) or (b) of this Paragraph.
(d) Any person subject to the provisions of R.S. 27:63(C)(4), 226(C)(4), or 261(D).
Recommendations:
Adopt proposed advisory opinion.
Assigned Attorney: Charles Reeves
 
 
ATTACHMENTS:
Description:
2022-546 - AO
2003-616 (2)
2004-581
2022-546 - Advisory Opinion Draft - SBA