TITLE 16.ECONOMIC REGULATION

Part 9. TEXAS LOTTERY COMMISSION

Chapter 401. ADMINISTRATION OF STATE LOTTERY ACT

Subchapter D. LOTTERY GAME RULES

16 TAC §401.312

The Texas Lottery Commission proposes amendments to 16 TAC §401.312 relating to the "Texas Two Step" on-line game. The proposed amendments provide flexibility to change the drawing schedule, including the draw days, without undergoing a rule change. The proposed amendments require the executive director to provide advance notice to the public prior to changing drawing schedule.

Lee Deviney, Financial Administration Director, has determined for each year of the first five years the section is in effect the fiscal impact to the state cannot be determined but the rule would be expected to have positive fiscal implications for the state as a result of administration of the rule. The fiscal impact for local government, small businesses, micro businesses or local or state employment as a result of enforcing or administering the rule cannot be determined, however there could be a positive fiscal impact to those entities as a result of administration of the rule.

Robert Tirloni, On-line Products Manager, Marketing Division, has determined that each of the first five years the section as proposed is in effect, the public benefit anticipated as a result of the proposed amendments is to be able to change the draw days more quickly than the commission could if an amendment to the rule for such change were required. As a result, if the executive director believed that changing draw days would benefit sales, the impact to sales could occur in less time than if a rule change had to occur prior to changing the draw days.

Written comments on the proposed amendment may be submitted to Kimberly L. Kiplin, General Counsel, Texas Lottery Commission, P.O. Box 16630, Austin, Texas 78761-6630. Comments, to be considered, must be received within 30 days after the proposed amendments are published in the Texas Register for public comment.

The amendments are proposed under Government Code, Section 466.015 which authorizes the Commission to adopt all rules necessary to administer the State Lottery Act and to adopt rules governing the establishment and operation of the lottery, and under Government Code, Section 467.102 which authorizes the Commission to adopt rules for the enforcement and administration of the laws under the Commission’s jurisdiction.

The amendments implement Government Code, Chapter 466.

§401.312."Texas Two Step" On-line Game.

(a) - (f) (No change.)

(g) Drawings.

(1) The Texas Two Step drawings shall be held twice each week [ on Tuesday and Friday evenings at 9:59 p.m. Central Time except that ] . The [ the ] drawing schedule may be changed by the executive director, if necessary. Prior to a change in the drawing schedule, the executive director shall provide notice to the public of the change in the drawing schedule.

(2) Texas Two Step tickets will not be sold during the draw break for the Texas Two Step game [ on Tuesday and Friday evenings ].

(3) - (6) (No change.)

(h) (No change.)

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on February 2, 2004.

TRD-200400632

Kimberly L. Kiplin

General Counsel

Texas Lottery Commission

Earliest possible date of adoption: March 14, 2004

For further information, please call: (512) 344-5113