North Carolina § 18C-114 - Powers and duties of the Commission.

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

The Commission shall have the following powers and duties: To specify the types of lottery games and gaming technology to be used in the Lottery. To prescribe the nature of lottery advertising which shall comply with the following: All advertising shall include resources for responsible gaming information. No advertising may intentionally target specific groups or economic classes. No advertising may be misleading, deceptive, or present any lottery game as a means of relieving any person's financial or personal difficulties. No advertising may have the primary purpose of inducing persons to participate in the Lottery. 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. To specify the rules of lottery games and the method for determining winners of lottery games. To specify the retail sales price for tickets or shares for lottery games. 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. 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. To charge a fee of potential contractors and lottery contractors to not exceed the cost of the criminal record check of the potential contractors and lottery contractors. To specify the manner of distribution, dissemination, or sale of lottery tickets or shares to lottery game retailers or directly to the public. To determine the incentives, if any, for any lottery employees, lottery retailers, lottery contractors, or electronic computer terminal operators. 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: No employee of the Commission may have a financial interest in any lottery potential contractor or lottery contractor, other than an interest as part of a mutual fund. No employee of the Commission with decision-making authority shall participate in any decision involving the retailer or potential contractor with whom the employee has a financial interest. No employee of the Commission who leaves the employment of the Commission may represent any lottery contractor, potential contractor, or retailer before the Commission for a period of one year following termination of employment with the Commission. A background investigation shall be conducted on each applicant for employment with the Commission. The Commission shall bond all employees with access to lottery funds or revenue or security. 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. Any other powers necessary for the Commission to carry out its responsibilities under this Chapter. Article 15 of Chapter 143B of the General Statutes shall not apply to the Commission. History (2005-344, s. 1; 2005-276, s. 31.1(f); 2009-357, s. 1; 2009-570, s. 32(b), (c); 2015-241, s. 7A.4(a).) Editor's Note. - Session Laws 2019-217, ss. 1, 2, provide: "Section 1. The North Carolina State Lottery Commission shall study all of the following matters related to gaming in North Carolina, including the feasibility of authorizing and regulating sports betting, on-site betting at horse steeplechases, and the creation of a commission to provide oversight of gaming in this State. As part of its study, the North Carolina State Lottery Commission shall address all of the following: "(1) Examine gaming activities currently prohibited, gaming activities currently authorized by the State, and the feasibility of the General Assembly authorizing new gaming activities. "(2) Examine sports betting, including the following: "a. Any authorizations and restrictions on such activities in this State. "b. Any effects of authorizing sports betting on existing tribal games in this State and on lottery activities, if any. "c. The positive and negative impacts of authorizing sports betting in this State. "d. Potential revenues and expenditures for the State, if sports betting is authorized. "e. Appropriate regulation and oversight of sports betting, including potential licensing of operators. "(3) Examine on-site betting at horse steeplechases, including the following: "a. Any authorizations and restrictions on such activities in this State. "b. The potential economic development impacts of revitalizing horse steeplechases in this State. "c. Potential revenues and expenditures for the State, if on-site betting at horse steeplechases is authorized. "d. Appropriate regulation and oversight of on-site betting at horse steeplechases, including potential licensing requirements. "(4) Examine creating a gaming division or commission to provide administration, oversight, and enforcement of gaming regulations in this State, including a review of Senate Bill 574, Third Edition, 2019 Regular Session. "(5) Examine whether any additional resources may be needed for assistance to those with gambling addictions. "(6) Any other matters the Commission deems relevant. "Section 2. The North Carolina State Lottery Commission shall contract with an independent third party to conduct research for the study required by this act, using funds appropriated to the Commission. The North Carolina State Lottery Commission shall report its findings and recommendations, together with any proposed legislation, to the Joint Legislative Oversight Committee on the State Lottery on or before April 15, 2020." Effect of Amendments. - Session Laws 2005-276, s. 31.1(f), effective July 1, 2005, rewrote subdivisions (a)(2), (a)(8), (a)(11), and subsection (b). Session Laws 2009-357, s. 1, effective July 27, 2009, in subdivision (a)(8), substituted "potential contractors and contractors" for "vendors" and "vendor," respectively; in subdivision (a)(10), substituted "retailers" for "vendors"; in subdivision (a)(11)a. and b., substituted "potential contractor" for "vendor"; and in subdivision (a)(11)c., substituted "contractor, potential contractor" for "vendor" near the middle. Session Laws 2009-570, s. 32(b) and(c), effective August 28, 2009, substituted both uses of "potential contractors and lottery contractors" for "lottery potential contractors and contractors" in subdivision (a)(8); and inserted "lottery" in subdivision (a)(11)c. Session Laws 2015-241, s. 7A.4(a), effective September 18, 2015, substituted "Article 15 of Chapter 143B " for "Article 3D of Chapter 147 " at the beginning of subsection (b).