9-1305.

Operator; collection system; check required; violations; penalty.

(1) Beginning on the applicable implementation date designated by the Tax Commissioner pursuant to subsection (1) or (2) of section 9-1312, prior to making a winnings payment, an operator shall check the collection system to determine if there is a debt or an outstanding state tax liability owed by the winner. An operator shall have access to the collection system to look up winners that are due winnings payments for purposes of complying with the Gambling Winnings Setoff for Outstanding Debt Act. An operator shall not access the system for any other purpose.

(2)(a) An operator at a licensed racetrack enclosure or licensed racetrack that fails to check the collection system for a debt or an outstanding state tax liability or fails to collect the amounts owed shall be subject to a fine by the State Racing and Gaming Commission of not more than ten thousand dollars.

(b) The State Racing and Gaming Commission shall establish a schedule for fines pursuant to this section that considers both the proportionality of the offense and the number of instances of past offenses.

(3) An operator licensed by the Department of Revenue that fails to check the collection system for a debt or an outstanding state tax liability or collect the amounts owed may be considered in violation of such license and subject to any penalties authorized for a violation of the license under the Mechanical Amusement Device Tax Act.