South Dakota Codified Laws
Chapter 07A - State Lottery
Section 42-7A-4 - Functions of executive director.

42-7A-4. Functions of executive director.
The executive director may, subject to policy established by the commission:
(1)Supervise and administer the operation of the state lottery in accordance with the provisions of this chapter;
(2)Employ all other employees of the South Dakota Lottery;
(3)Enter into contracts for promotional services; annuities or other methods deemed appropriate for the payment of prizes; data processing and other technical products, equipment and services; and facilities as needed to operate the South Dakota Lottery including, without limitation, tickets and other services involved in major procurements;
(4)Contract with and license persons for the sale of lottery tickets and the offering of video lottery games to the public, as provided by this chapter and rules adopted pursuant thereto;
(5)Make demographic studies of lottery players and studies of reactions of citizens to existing and potential features of the lottery;
(6)Require lottery retailers and persons licensed pursuant to this chapter to furnish proof of financial stability or furnish surety in an amount based upon the expected volume of sales of lottery tickets or net machine income;
(7)Provide for secure facilities to house the South Dakota Lottery;
(8)Provide for separate, distinct, and secure data processing facilities to be used for the reliable operation of the state lottery;
(9)Examine, or cause to be examined by any agent or representative designated by the executive director, any books, papers, records, or memoranda of any lottery retailer or person licensed pursuant to this chapter for the purpose of ascertaining compliance with any provision of this chapter or any rule adopted pursuant to this chapter;
(10)Issue subpoenas to compel access to or for the production of such books, papers, records, or memoranda in the custody or control of any lottery retailer or person licensed pursuant to this chapter, or to compel the appearance of any of their employees, for the purpose of ascertaining compliance with any provision of this chapter or any rule adopted pursuant to this chapter;
(11)Administer oaths and take depositions to the same extent and subject to the same limitations as would apply if the deposition was in aid of a civil action in the circuit court;
(11A)The lottery commission shall operate a video lottery undertaken pursuant to this chapter and may not contract or assign this responsibility to any other person;
(12)Impose civil fines not to exceed ten thousand dollars per violation and fifteen thousand dollars for any subsequent violation of any provision of this chapter or any rule adopted pursuant to this chapter; and
(13)Enter into written agreements or compacts with one or more other states for the operation, marketing and promotion of a joint lottery or joint lottery games.

Source: SL 1987, ch 313, §4; SL 1989, ch 368, §3; SL 1990, ch 341, §2.

Structure South Dakota Codified Laws

South Dakota Codified Laws

Title 42 - Recreation and Sports

Chapter 07A - State Lottery

Section 42-7A-1 - Definitions.

Section 42-7A-2 - South Dakota Lottery established--Administration by executive director--Overall control and operation of games.

Section 42-7A-3 - Executive director--Salary--Employment of personnel.

Section 42-7A-4 - Functions of executive director.

Section 42-7A-5 - Competitive bidding required before entering into contracts.

Section 42-7A-6 - Investigation of vendors.

Section 42-7A-7 - Subpoenas--Order to comply--Punishment by contempt.

Section 42-7A-8 - Additional functions of executive director.

Section 42-7A-9 - Lottery expenses and prizes to be paid from lottery funds--General funds not to be used or obligated--Exception.

Section 42-7A-10 - Selection of lottery retailers.

Section 42-7A-11 - Lottery retailers application fee--Annual renewal of contracts--Contracts not transferable or assignable.

Section 42-7A-12 - Issuance of lottery retailer certificate--Display--Sales only at location on certificate.

Section 42-7A-13 - Qualifications of lottery retailer.

Section 42-7A-14 - Persons ineligible to be licensed by the lottery--Criminal background investigation of applicants, licensees, vendors, and employees.

Section 42-7A-15 - Partnership as lottery retailer or video lottery machine operator.

Section 42-7A-16 - Association or corporation as lottery retailer or video lottery machine operator.

Section 42-7A-17 - Lottery Commission created--Appointment of members--Term of office--Qualifications--Chair.

Section 42-7A-18 - Meetings--Quorum.

Section 42-7A-19 - Commission to establish lottery operation policy--Approval of major procurements.

Section 42-7A-19.1 - Sale of lottery products within exterior boundaries of Indian reservations.

Section 42-7A-20 - Mileage and per diem paid commission members--Exception.

Section 42-7A-21 - Rules and regulations.

Section 42-7A-22 - Lottery operating fund--Continuous appropriation--Informational budget--Disbursements.

Section 42-7A-23 - Amount from sale of tickets allocated for payment of prizes--Means of payment for prizes.

Section 42-7A-24 - Transfer of net proceeds to state funds.

Section 42-7A-24.1 - Acceptance and expenditure of funds obtained from federal sources, gifts, contributions and other sources.

Section 42-7A-24.2 - Payment of expenditures.

Section 42-7A-25 - Employment and direction of investigative personnel.

Section 42-7A-26 - Appointment of assistant attorney general to assist in enforcement.

Section 42-7A-27 - Commission members or lottery employees not to have interest in lottery contracts or to accept gifts or loans from persons or businesses contracting with lottery--Violation as misdemeanor.

Section 42-7A-28 - Persons contracting to supply materials, tickets or consulting services not to give gifts or loans to commission members or lottery employees--Violation as misdemeanor.

Section 42-7A-29 - Removal from office for violation of conflict of interest provisions--Application of other conflict of interest statutes.

Section 42-7A-30 - Counterfeiting lottery tickets Class 6 felony.

Section 42-7A-31 - Sale of tickets at price greater than that fixed by rules prohibited--Sale by authorized retailer only--Violation.

Section 42-7A-32 - Sale of ticket to person under eighteen prohibited--Violation--Gift of ticket to person under eighteen permitted--Prize paid to parent or guardian.

Section 42-7A-33 - Purchase of ticket or payment of prize to certain persons prohibited--Exceptions.

Section 42-7A-34 - Prize paid to holder of winning ticket--Deceased winner's prize paid to representative--Right to prize nonassignable--Prizes subject to taxation--Disposition of unclaimed prize--Liability of lottery after payment of prize.

Section 42-7A-36 - Certain mechanical or electronic devices prohibited--Violation as felony--Devices as nuisances.

Section 42-7A-37 - Requirements for licensed video lottery machines.

Section 42-7A-37.1 - Restrictions on licensed establishment.

Section 42-7A-38 - Limit on amount played and awards given.

Section 42-7A-39 - Display of license for video lottery machine--Confiscation--Violation as felony.

Section 42-7A-40 - Examination of video lottery machines--Costs paid by manufacturer--Contract for examination.

Section 42-7A-41 - Video lottery machine manufacturer, distributor, operator, and establishment licenses required--Fees.

Section 42-7A-41.1 - Video lottery operating fund established.

Section 42-7A-41.2 - Posting video lottery odds required.

Section 42-7A-42 - Multiple types of licenses prohibited.

Section 42-7A-43 - Background investigation of video lottery licensees--Eligibility requirements.

Section 42-7A-44 - Rules for placement of video lottery machines--Number limited--Placement in bar or lounge with on-sale license.

Section 42-7A-44.1 - Denial or revocation of license for noncompliance.

Section 42-7A-45 - Video lottery machine income--Remittance to state--False report as felony--Records--Penalty.

Section 42-7A-46 - Tampering with video lottery machine as misdemeanor.

Section 42-7A-47 - Manipulating outcome, payoff, or operation of video lottery machine as felony.

Section 42-7A-48 - Age limit and legal hours of operation for video lottery machines.

Section 42-7A-49 - Lottery products on Indian reservations authorized.

Section 42-7A-50 - Confidentiality of lottery records.

Section 42-7A-51 - Lottery setoff program established--Computerized file of persons owing state.

Section 42-7A-52 - Debt setoff from prize due--Notice of right to appeal--Time limitation--Transfer of setoff amount to agency.

Section 42-7A-53 - Commission, employees, and lottery discharged from liability.

Section 42-7A-54 - Apportionment of prize among agencies--Priority of child support payments.

Section 42-7A-55 - Collection of remainder of debt.

Section 42-7A-56 - Public policy declared.

Section 42-7A-57 - Approval or disapproval of license applications.

Section 42-7A-58 - Reapplication for license after denial or revocation.

Section 42-7A-59 - False statements in license applications--Perjury.

Section 42-7A-60 - Executive or closed meetings permitted.

Section 42-7A-62 - Collection of fee--Deposit in general fund.

Section 42-7A-63 - State's percentage of net machine income--Deposit into general fund and video lottery operating fund.

Section 42-7A-64 - Additional criteria for on-sale alcoholic beverage licensees in video lottery licensed establishments.