VIDEO CONTENT

State Developments

AAMA's Monthly E-Newsletter: Loose Change - Feb, '08

With many state legislatures returning to session in January, there are again a series of bills that have been introduced that seek to restrict access by minors to games that contain violent content.  To date, all of these legislative efforts have been focused on the home- and PC-based side of the industry, with most attempting to restrict access to games on the basis of ESRB ratings of “M” or “AO” which are not relevant for the coin-op industry. 

GAMING LAWS – STATE LEGISLATURES REGULATE COIN-OP GAMING – AMOA REMAINS VIGILANT IN REVIEWING THESE PROPOSALS

State legislatures are also exploring news laws related to coin-op, in most instances providing additional protections for coin-op tournaments under existing gambling statutes.  In Georgia, however, legislation has been introduced that would tax coin-op games used for gambling under state law, and use the tax proceeds to support public trauma centers.  In Hawaii, legislation has been introduced that would criminalize tampering with coin-op games. 

CURRENCY LEGISLATIVE DEVELOPMENTS

Currency issues have been front and center for the House Financial Services Committee since late in 2007.  With increased attention on the cost of lower denomination coins (pennies and nickels), legislation has been introduced that would require the Department of Treasury and U.S. Mint to develop a new metal composition for pennies, with the predominant metal shifting from a copper/zinc alloy to steel.  Recent changes to the draft bill proposed by House Financial Services Chairman Barney Frank (D-MAO) ensures that the shape and weight of coinage would not change as a result of any changes to the metal composition of U.S. coins. 

DOLLAR COIN COALITION

On a quarterly basis, the U.S. Mint is releasing a new coin in the series, with the latest release, the Monroe Dollar Coin, introduced on February 14, 2008.  Thus far, the rotating design has boosted circulation of the coins, as the current dollar coin has outsold and out circulated both the Susan B. Anthony and Sacagawea Dollars.  The Coalition for the Presidential $1 Coin has been actively working with Congressional and Executive Branch officials to increase circulation of the dollar coins as directed by the Presidential Dollar Coin Act of 2005.

FDA REGULATION OF TOBACCO

Congress will likely continue consideration of S. 625, legislation that would authorize the Food & Drug Administration to regulate the “manufacture, marketing, and distribution of tobacco products.”  Under the currently proposed bill, the FDA, in coordination with the Federal Trade Commission, would have the authority to restrict the advertising or promotion of tobacco products, require new labeling, and approve the content of tobacco products marketed in the U.S.  In addition, the law expressly authorizes states to impose restrictions on the promotion or advertising of cigarettes under a “time, place, and manner,” standard -- but would not allow states to restrict the content of advertising beyond what the statute permits.  Although the law does not speak directly to the issue of vending, the proposed law has the expressed purpose of continuing to “permit the sale of tobacco products to adults in conjunction with measures to ensure that they are not sold or accessible to underage purchasers.”  This broad grant of authority implies the ability to restrict vending in certain contexts, but any such regulatory requirement would require notice and comment rulemaking

LEGISLATIVE UPDATE - CURRENCY NEWS

AAMA's Monthly E-Newsletter: Loose Change - Jan, '08

2008 marks the continued release of Presidential $1 Coins bearing the images of James Monroe, John Quincy Adams, Andrew Jackson and Martin Van Buren.  Beginning February 14, 2008, and every three months thereafter, the US Mint will release a new Presidential coin, accompanied by new business-to-business pilot program designed to boost circulation.  The Mint is partnering with select retailers in Washington, DC and its suburbs to increase use of the $1 coin -- with special emphasis on vending and transit markets.

In the waning days of the 2007 Congressional session, two currency-related provisions were enacted by Congress.  Congress clarified that currency must bear the phrase "In God We Trust," and providing an exception from the requirement that vending machines dispense $1 coins for those machines that do not accept denominations higher than $1.