2005 Texas Government Code CHAPTER 467. TEXAS LOTTERY COMMISSION

GOVERNMENT CODE

CHAPTER 467. TEXAS LOTTERY COMMISSION

SUBCHAPTER A. GENERAL PROVISIONS


	§ 467.001. DEFINITIONS.  In this chapter:                                   
		(1)  "Commission" means the Texas Lottery Commission.                         
		(2)  "Executive director" means the executive director 
of the Texas Lottery Commission.
		(3)  "Communicate directly with" has the meaning 
assigned by Section 305.002, Government Code.
		(4)  "Gift" includes a gratuity, trip, meal, or other 
thing of value for which the recipient does not compensate the 
person making the gift and that is not conferred on account of 
kinship or a personal, professional, or business relationship 
independent of the official status of the recipient.
		(5)  "Legislation" has the meaning assigned by Section 
305.002.             
		(6)  "Member of the legislative branch" has the meaning 
assigned by Section 305.002.
		(7)  "Participated" means to have taken action as an 
officer or employee through decision, approval, disapproval, 
recommendation, giving advice, or similar action.
		(8)  "Particular matter" includes an investigation, an 
application, a request for a ruling or determination, a license 
proceeding, rulemaking, a contract, a controversy, a claim, a 
charge, an accusation, an arrest, or a judicial or other 
proceeding.
		(9)  "Person that has a significant financial interest 
in the lottery" means:
			(A)  a person or a board member, officer, trustee, 
or general partner of a person that manufactures, distributes, 
sells, or produces lottery equipment, supplies, services, or 
advertising;
			(B)  an employee of a person that manufactures, 
distributes, sells, or produces lottery equipment, supplies, 
services, or advertising and that employee is directly involved in 
the manufacturing, distribution, selling, or production of lottery 
equipment, supplies, services, or advertising;
			(C)  a person or a board member, officer, trustee, 
or general partner of a person that has made a bid to operate the 
lottery in the preceding two years or that intends to make a bid to 
operate the lottery or an employee of the person if the employee is 
directly involved in making the bid;  or
			(D)  a sales agent.                                                          
		(10)  "Political committee" has the meaning assigned by 
Section 251.001, Election Code.
		(11)  "Political contribution" has the meaning 
assigned by Section 251.001, Election Code.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.  
Amended by Acts 1997, 75th Leg., ch. 1441, § 1, eff. Sept. 1, 
1997.


	§ 467.002. APPLICATION OF SUNSET ACT.  The commission is 
subject to Chapter 325 (Texas Sunset Act).  Unless continued in 
existence as provided by that chapter, the commission is abolished 
and this chapter, Chapter 466 of this code, and Chapter 2001, 
Occupations Code, expire September 1, 2011.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.  
Amended by Acts 2003, 78th Leg., ch. 1112, § 1.03(a), eff. Sept. 
1, 2003;  Acts 2005, 79th Leg., ch. 1227, § 3.08, eff. Sept. 1, 
2005.

SUBCHAPTER B. COMMISSION


	§ 467.021. MEMBERSHIP.  (a) The commission is composed of 
three members appointed by the governor with the advice and consent 
of the senate.
	(b)  In making appointments to the commission, the governor 
shall strive to achieve representation by all the population groups 
of the state with regard to economic status, sex, race, and 
ethnicity.
	(c)  One member must have experience in the bingo industry.                    

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.022. TERM OF OFFICE.  Members hold office for 
staggered terms of six years with one member's term expiring 
February 1 of each odd-numbered year.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.023. RESIDENCE REQUIREMENT.  An individual is not 
eligible to be a member of the commission unless the individual has 
been a resident of this state for at least 10 consecutive years 
immediately before appointment.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.024. ELIGIBILITY.  (a) An individual is not 
eligible to be an appointed member of the commission if the 
individual:
		(1)  owns or controls, directly or indirectly, more 
than a 10 percent interest in a business entity or other 
organization regulated by the commission or receiving funds from 
the commission;
		(2)  is employed by or participates in the management 
of a business entity or other organization regulated by the 
commission or receiving funds from the commission;
		(3)  uses or receives a substantial amount of tangible 
goods, services, or funds from the commission, other than 
compensation or reimbursement authorized by law for commission 
membership, attendance, or expenses;
		(4)  is an officer, employee, or paid consultant of a 
Texas trade association in the field of bingo or lottery;
		(5)  is required to register as a lobbyist under 
Chapter 305 because of the person's activities for compensation on 
behalf of a profession related to the operation of the commission;
		(6)  is married to an individual described by 
Subdivision (1)-(5);          
		(7)  has been convicted of a felony or of any crime 
involving moral turpitude;  or
		(8)  is not a citizen of the United States.                                   
	(b)  In this section, "Texas trade association" means a 
nonprofit, cooperative, and voluntarily joined association of 
business or professional competitors in this state designed to 
assist its members and its industry or profession in dealing with 
mutual business or professional problems and in promoting their 
common interest.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.025. PROHIBITED CONDUCT.  (a) A commission member 
may not:          
		(1)  accept any employment or remuneration from:                              
			(A)  a person that has a significant financial 
interest in the lottery;  or
			(B)  a bingo commercial lessor, bingo 
distributor, or bingo manufacturer;  
		(2)  play any lottery or bingo game conducted in this 
state;                
		(3)  accept or be entitled to accept any part of the 
winnings to be paid from a lottery or bingo game conducted in this 
state;
		(4)  use the member's official authority to affect the 
result of an election or nomination for public office;  or
		(5)  directly or indirectly coerce, attempt to coerce, 
command, or advise a person to pay, lend, or contribute anything of 
value to another person for political purposes.
	(b)  A commission member or former commission member or the 
spouse of a commission member or former commission member may not 
solicit or accept employment from a person regulated by the 
commission before the second anniversary of the date on which the 
commission member's service on the commission ends.
	(c)  Repealed by Acts 1997, 75th Leg., ch. 1441, § 5, eff. 
Sept. 1, 1997. 

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.  
Amended by Acts 1995, 74th Leg., ch. 76, § 6.49, eff. Sept. 1, 
1995;  Acts 1997, 75th Leg., ch. 1441, § 5, eff. Sept. 1, 1997.


	§ 467.026. REMOVAL OF COMMISSION MEMBER.  (a) The 
governor may remove a commission member if the member:
		(1)  does not have at the time of appointment the 
qualifications required for appointment to the commission;
		(2)  does not maintain during service on the commission 
the qualifications required for appointment to the commission;
		(3)  violates a prohibition established by Section 
467.025;                 
		(4)  cannot discharge the member's duties for a 
substantial part of the term for which the member is appointed 
because of illness or disability;  or
		(5)  is absent from more than half of the regularly 
scheduled commission meetings that the member is eligible to attend 
during a calendar year unless the absence is excused by majority 
vote of the commission.
	(b)  The validity of an action of the commission is not 
affected by the fact that it is taken when a ground for removal of a 
commission member exists.
	(c)  If the presiding officer has knowledge that a potential 
ground for removal exists, the presiding officer shall notify the 
governor.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.027. COMPENSATION AND EXPENSES.  (a) A commission 
member is not entitled to compensation for serving on the 
commission.
	(b)  A commission member is entitled to reimbursement for 
actual and necessary expenses incurred in performing the member's 
duties, subject to any applicable limitation in the General 
Appropriations Act.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.028. OFFICES.  The commission shall maintain its 
general office in the city of Austin.  The commission may also 
establish branch offices.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.029. PRESIDING OFFICER.  The governor shall 
designate one member of the commission as presiding officer of the 
commission to serve in that capacity at the pleasure of the 
governor.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.030. MEETINGS.  (a) The commission shall hold at 
least six regular meetings each year on dates fixed by the 
commission.  The commission may meet at other times at the call of 
the presiding officer or as provided by commission rule.
	(b)  Section 551.002 does not apply to a closed meeting of 
the commission relating to the negotiation of a lottery operator's 
contract if the commission determines, in writing, that an open 
meeting would have a detrimental effect on the commission's 
position in the negotiations.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.  
Amended by Acts 2001, 77th Leg., ch. 1242, § 1, eff. June 15, 
2001.


	§ 467.031. DIVISIONS.  The commission shall establish 
separate divisions to oversee bingo and the state lottery.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.032. EXECUTIVE DIRECTOR.  (a) The commission shall 
employ an executive director to administer this chapter.
	(b)  The executive director holds office at the will of the 
commission and is specifically exempted from Chapter 654.
	(c)  The executive director or an acting executive director 
shall be appointed by the commission no later than November 1, 1993.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.  
Amended by Acts 1995, 74th Leg., ch. 76, § 6.50, eff. Sept. 1, 
1995.


	§ 467.033. DIVISION DIRECTORS.  The executive director 
shall employ a director to oversee each division.  A division 
director serves at the will of the executive director and is 
specifically exempted from Chapter 654.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.  
Amended by Acts 1995, 74th Leg., ch. 76, § 6.51, eff. Sept. 1, 
1995.


	§ 467.034. EMPLOYEES.  The executive director shall 
employ other personnel necessary to administer the laws under the 
commission's jurisdiction.  Commission employees serve at the will 
of the executive director.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.035. RESTRICTIONS ON EMPLOYMENT.  (a) The 
commission may not employ or continue to employ a person who owns a 
financial interest in:
		(1)  a bingo commercial lessor, bingo distributor, or 
bingo manufacturer;  or
		(2)  a lottery sales agency or a lottery operator.                            
	(b)  The commission may not employ or continue to employ a 
person who is a spouse, child, brother, sister, or parent residing 
as a member of the same household in the principal place of 
residence of a person who is subject to a disqualification 
prescribed by Subsection (a).
	(c)  In employing the executive director and other 
employees, the commission shall strive to reflect the diversity of 
the population of the state as regards race, color, handicap, sex, 
religion, age, and national origin.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.036. ACCESS TO CRIMINAL HISTORY RECORDS.  (a) The 
governor shall conduct an investigation of and is entitled to 
obtain criminal history record information maintained by the 
Department of Public Safety, the Federal Bureau of Investigation 
Identification Division, or another law enforcement agency 
relating to an individual the governor intends to appoint to the 
commission.
	(b)  The commission shall conduct an investigation of and is 
entitled to obtain criminal history record information maintained 
by the Department of Public Safety, the Federal Bureau of 
Investigation Identification Division, or another law enforcement 
agency relating to an individual the commission intends to employ.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           

SUBCHAPTER C. POWERS AND DUTIES


	§ 467.101. POWERS AND DUTIES OF COMMISSION.  (a) The 
commission has broad authority and shall exercise strict control 
and close supervision over all activities authorized and conducted 
in this state under:
		(1)  Chapter 2001, Occupations Code;  and                                     
		(2)  Chapter 466 of this code.                                                
	(b)  The commission shall ensure that games are conducted 
fairly and in compliance with the law.
	(c)  The commission also has the powers and duties granted 
under:            
		(1)  Chapter 2001, Occupations Code;  and                                     
		(2)  Chapter 466 of this code.                                                

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.  
Amended by Acts 1995, 74th Leg., ch. 76, § 6.52, eff. Sept. 1, 
1995;  Acts 2001, 77th Leg., ch. 1420, § 14.762, eff. Sept. 1, 
2001.


	§ 467.102. RULES.  The commission may adopt rules for the 
enforcement and administration of this chapter and the laws under 
the commission's jurisdiction.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.103. DUTIES OF EXECUTIVE DIRECTOR.  (a) The 
executive director shall perform all duties required by the 
commission to administer this chapter and the laws under the 
commission's jurisdiction.  The executive director may not hold 
other employment.
	(b)  The executive director may create, abolish, transfer, 
and consolidate bureaus and other units that are part of the 
commission and that are not expressly established by law as the 
executive director determines to be necessary for the efficient 
operation of the commission.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.104. RECORDS.  (a) Except as otherwise provided by 
law, all commission records are subject to public inspection in 
accordance with Chapter 552.
	(b)  The executive director shall keep the records of the 
commission.        

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.  
Amended by Acts 1997, 75th Leg., ch. 792, § 2, eff. Sept. 1, 
1997.


	§ 467.105. LEGAL REPRESENTATION.  (a) The attorney 
general shall designate at least one member of the attorney 
general's staff to counsel and advise the commission and to 
represent the commission in legal proceedings.  The attorney 
general shall make available to the appropriate prosecuting 
attorneys any information obtained regarding a violation of a law 
under the commission's jurisdiction.
	(b)  The attorney general may apply for injunctive or 
declaratory relief to enforce a law under the commission's 
jurisdiction or a rule adopted by the commission.  Action by the 
attorney general under this subsection does not limit the authority 
of the attorney general or a prosecuting attorney to bring a 
criminal proceeding.

Added by Acts 1993, 73rd Leg., ch. 284, § 1, eff. Sept. 1, 1993.           


	§ 467.106. GIFT OR POLITICAL CONTRIBUTION TO OFFICER OR 
EMPLOYEE.  (a) A commission member, the executive director, or an 
employee of the commission may not intentionally or knowingly 
accept a gift or political contribution from:
		(1)  a person that has a significant financial interest 
in the lottery;     
		(2)  a person related in the first degree of 
consanguinity or affinity to a person that has a significant 
financial interest in the lottery;
		(3)  a person that owns more than a 10 percent interest 
in an entity that has a significant financial interest in the 
lottery;
		(4)  a political committee that is directly 
established, administered, or controlled, in whole or in part, by a 
person that has a significant financial interest in the lottery;  or
		(5)  a person who, within the two years preceding the 
date of the gift or contribution, won a lottery prize exceeding $600 
in amount or value.
	(b)  A person may not make a gift or political contribution 
to a person known by the actor to be a commission member, the 
executive director, or an employee of the commission, if the actor:
		(1)  has a significant financial interest in the 
lottery;                   
		(2)  is related in the first degree of consanguinity or 
affinity to a person that has a significant financial interest in 
the lottery;
		(3)  owns more than a 10 percent interest in an entity 
that has a significant financial interest in the lottery;
		(4)  is a political committee that is directly 
established, administered, or controlled, in whole or in part, by a 
person that has a significant financial interest in the lottery;  or
		(5)  within the two years preceding the date of the gift 
or contribution, won a lottery prize exceeding $600 in amount or 
value.
	(c)  A person commits an offense if the person violates this 
section.  An offense under this section is a Class A misdemeanor.

Added by Acts 1997, 75th Leg., ch. 1441, § 2, eff. Sept. 1, 1997.          


	§ 467.107. GIFT OR POLITICAL CONTRIBUTION TO FORMER 
OFFICER OR EMPLOYEE.  (a) A former commission member, former 
executive director, or former employee of the commission may not, 
before the second anniversary of the date that the person's service 
in office or employment with the commission ceases, intentionally 
or knowingly accept a gift or political contribution from:
		(1)  a person that has a significant financial interest 
in the lottery;     
		(2)  a person related in the first degree of 
consanguinity or affinity to a person that has a significant 
financial interest in the lottery;
		(3)  a person that owns more than a 10 percent interest 
in an entity that has a significant financial interest in the 
lottery;
		(4)  a political committee that is directly 
established, administered, or controlled, in whole or in part, by a 
person that has a significant financial interest in the lottery;  or
		(5)  a person who, within the two years preceding the 
date of the gift or contribution, won a lottery prize exceeding $600 
in amount or value.
	(b)  A person may not make a gift or political contribution 
to a person known by the actor to be a former commission member, 
former executive director, or former employee of the commission, if 
the actor:
		(1)  has a significant financial interest in the 
lottery;                   
		(2)  is related in the first degree of consanguinity or 
affinity to a person that has a significant financial interest in 
the lottery;
		(3)  owns more than a 10 percent interest in an entity 
that has a significant financial interest in the lottery;
		(4)  is a political committee that is directly 
established, administered, or controlled, in whole or in part, by a 
person that has a significant financial interest in the lottery;  or
		(5)  within the two years preceding the date of the gift 
or contribution, won a lottery prize exceeding $600 in amount or 
value.
	(c)  A person commits an offense if the person violates this 
section.  An offense under this section is a Class A misdemeanor.

Added by Acts 1997, 75th Leg., ch. 1441, § 3, eff. Sept. 1, 1997.          


	§ 467.108. REPRESENTATION BY FORMER OFFICER OR 
EMPLOYEE.  (a) A former commission member, former executive 
director, or former director may not:
		(1)  for compensation, represent a person that has made 
or intends to make a bid to operate the lottery before the 
commission before the second anniversary of the date that the 
person's service in office or employment with the commission 
ceases;
		(2)  represent any person or receive compensation for 
services rendered on behalf of any person regarding a particular 
matter in which the former officer or employee participated during 
the period of service or employment with the commission, either 
through personal involvement or because the matter was within the 
scope of the officer's or employee's official responsibility;  or
		(3)  for compensation communicate directly with a 
member of the legislative branch to influence legislation on behalf 
of a person that has a significant financial interest in the 
lottery, before the second anniversary of the date that the 
person's service in office or employment with the commission 
ceases.
	(b)  A person commits an offense if the person violates this 
section.  An offense under this section is a Class A misdemeanor.

Added by Acts 1997, 75th Leg., ch. 1441, § 4, eff. Sept. 1, 1997.