This bill amends Section 99F.6 of the Iowa Code to establish new requirements for the distribution of gambling games and sports wagering receipts by qualified sponsoring organizations. It mandates that these organizations distribute at least 3 percent of their adjusted gross receipts from gambling games and three-quarters of 1 percent of net receipts from sports wagering for educational, civic, public, charitable, patriotic, or religious uses. Notably, the bill introduces a pro rata distribution requirement, ensuring that funds are allocated to Iowa counties based on the contributions made by residents of those counties to the gambling games or sports wagering receipts.

To facilitate this distribution, the bill requires licensees to report to the Department of Revenue the counties of residence of contributors and the amounts they contributed. The Department will then determine the percentage of funds to be distributed to each county based on these contributions. If a county's distribution would be less than 3 percent of the total or if no suitable application is received for the funds, the licensee may retain the funds for up to three years. After this period, any unallocated funds must be transferred to the Department for deposit in the county endowment fund. The bill applies to receipts collected in fiscal years beginning on or after its effective date.

Statutes affected:
Introduced: 99F.6