2005 North Carolina Code - General Statutes Article 2 - North Carolina State Lottery Commission.

Article 2.

North Carolina State Lottery Commission.

§ 18C‑110.  Establishment of the North Carolina State Lottery Commission to be a self‑supporting agency of the State.

There is created the North Carolina State Lottery Commission to establish and oversee the operation of a Lottery. The Commission shall be located in the Department of Commerce for budgetary purposes only; otherwise, the Commission shall be an independent, self‑supporting, and revenue‑raising agency of the State. The Commission shall reimburse other governmental entities that provide services to the Commission. (2005‑344, s. 1.)

 

§ 18C‑111.  Commission membership; appointment; selection of chair; vacancies; removal; meetings; compensation.

(a)       The Commission shall consist of nine members, five of whom shall be appointed by the Governor, two of whom shall be appointed by the General Assembly upon the recommendation of the President Pro Tempore of the Senate, and two of whom shall be appointed by the General Assembly upon the recommendation of the Speaker of the House of Representatives. The Governor shall select the chair of the Commission from among its membership, who shall serve at the pleasure of the Governor.

(b)       Of the initial appointees of the Governor, three members shall serve a term of one year, one member shall serve a term of two years, and one member shall serve a term of three years. Of the initial appointees of the General Assembly upon the recommendation of the President Pro Tempore of the Senate, one member shall serve a term of two years, and one member shall serve a term of three years. Of the initial appointees of the General Assembly upon the recommendation of the Speaker of the House of Representatives, one member shall serve a term of two years, and one member shall serve a term of three years. All succeeding appointments shall be for terms of five years. Members shall not serve for more than two successive terms.

(c)       Vacancies shall be filled by the appointing authority for the unexpired portion of the term in which they occur.

(d)       The Commission shall meet at least quarterly upon the call of the chair. A majority of the total membership of the Commission shall constitute a quorum.

(e)       Members of the Commission shall receive per diem, subsistence, and travel as provided in G.S. 138‑5 and G.S. 138‑6. (2005‑344, s. 1; 2005‑276, s. 31.1(d).)

 

§ 18C‑112.  Qualifications of Commissioners.

(a)       Of the members of the Commission appointed by the Governor, at least one member shall have a minimum of five years' experience in law enforcement.

(b)       Of the members appointed by the General Assembly upon the recommendation of the President Pro Tempore of the Senate, one member shall be a certified public accountant.

(c)       Of the members of the Commission appointed by the General Assembly upon the recommendation of the Speaker of the House of Representatives, one member shall have retail sales experience as an owner or manager.

(d)       In making appointments to the Commission, the appointing authorities shall consider the composition of the State with regard to geographic representation and gender, ethnic, racial, and age composition. (2005‑344, s. 1; 2005‑276, s. 31.1(e).)

 

§ 18C‑113.  Meetings; records.

(a)       Meetings of the Commission shall be subject to Article 33C of Chapter 143 of the General Statutes.

(b)       Except as provided in this Article, records of the Commission shall be open and available to the public in accordance with Chapter 132 of the General Statutes.

(c)       Personnel records of the Commission are subject to Article 7 of Chapter 126 of the General Statutes. (2005‑344, s. 1.)

 

§ 18C‑114.  Powers and duties of the Commission.

(a)       The Commission shall have the following powers and duties:

(1)       To specify the types of lottery games and gaming technology to be used in the Lottery.

(2)       To prescribe the nature of lottery advertising which shall comply with the following:

a.         All advertising shall include resources for responsible gaming information.

b.         No advertising may intentionally target specific groups or economic classes.

c.         No advertising may be misleading, deceptive, or present any lottery game as a means of relieving any person's financial or personal difficulties.

d.         No advertising may have the primary purpose of inducing persons to participate in the Lottery.

(3)       To specify the number and value of prizes for winning tickets or shares in lottery games, including cash prizes, merchandise prizes, prizes consisting of deferred payments or annuities, and prizes of tickets or shares in the same lottery game or other lottery games.

(4)       To specify the rules of lottery games and the method for determining winners of lottery games.

(5)       To specify the retail sales price for tickets or shares for lottery games.

(6)       To establish a system to claim prizes, including determining the time periods within which prizes must be claimed, to verify the validity of tickets or shares claimed to win prizes, and to effect payment of those prizes.

(7)       To conduct a background investigation, including a criminal history record check, of applicants for the position of Director, which may include a search of the State and National Repositories of Criminal Histories based on the fingerprints of applicants.

(8)       To charge a fee of lottery vendors not to exceed the cost of the criminal record check of the lottery vendor.

(9)       To specify the manner of distribution, dissemination, or sale of lottery tickets or shares to lottery game retailers or directly to the public.

(10)     To determine the incentives, if any, for any lottery employees, lottery vendors, lottery contractors, or electronic computer terminal operators.

(11)     To specify the authority, compensation, and role of the Director, and to specify the authority, selection, and role of the other employees of the Commission. All of the following apply to all employees of the Commission:

a.         No employee of the Commission may have a financial interest in any lottery vendor or lottery contractor, other than an interest as part of a mutual fund.

b.         No employee of the Commission with decision‑making authority shall participate in any decision involving the retailer or vendor with whom the employee has a financial interest.

c.         No employee of the Commission who leaves the employment of the Commission may represent any vendor or retailer before the Commission for a period of one year following termination of employment with the Commission.

d.         A background investigation shall be conducted on each applicant for employment with the Commission.

e.         The Commission shall bond all employees with access to lottery funds or revenue or security.

(12)     To approve and authorize the Director to enter into agreements with other states to operate and promote multistate lotteries consistent with the purposes set forth in this Chapter.

(13)     Any other powers necessary for the Commission to carry out its responsibilities under this Chapter.

(b)       Article 3D of Chapter 147 of the General Statutes shall not apply to the Commission. (2005‑344, s. 1; 2005‑276, s. 31.1(f).)

 

§ 18C‑115.  Reports.

The Commission shall send quarterly and annual reports on the operations of the Commission to the Governor, State Treasurer, and to the General Assembly. The reports shall include complete statements of lottery revenues, prize disbursements, expenses, net revenues, and all other financial transactions involving lottery funds, including the occurrence of any audit. (2005‑344, s. 1.)

 

§ 18C‑116.  Audits.

The State Auditor shall conduct annual audits of all accounts and transactions of the Commission and any other special postaudits the State Auditor considers to be necessary. (2005‑344, s. 1.)

 

§§ 18C‑117 through 18C‑119: Reserved for future codification purposes.