565.02 (3) (b) 6. Qualifications for retailers, in addition to those under this section, as determined by the board department.

565.02 (4) (intro.) The board department may promulgate all of the following rules:

565.02 (4) (e) Establishing requirements for advertising of the state lottery, and any multistate multijurisdictional lotteries in which the state participates, that are in addition to those specified under s. 565.32.

565.02 (4) (f) Providing for payment of a rate of compensation that is higher than 5% the basic compensation under s. 565.10 (14) (b) for retailers that are nonprofit organizations.

565.02 (8) The department shall do all of the following:

(a) Subject to s. 565.25, provide all of the security services for the gaming operations under this chapter.

(b) Monitor the regulatory compliance of gaming operations under this chapter.

(c) Audit the gaming operations under this chapter.

(d) Investigate suspected violations of this chapter.

(e) Report suspected gaming-related criminal activity to the division of criminal investigation in the department of justice for investigation by that division.

(f) If the division of criminal investigation in the department of justice chooses not to investigate a report under par. (e), coordinate an investigation of the suspected criminal activity with local law enforcement officials and district attorneys.

565.05 (1) (intro.) No employe of the department who performs any duty related to the state lottery or the executive assistant or the secretary or deputy secretary of revenue may do any of the following:

565.05 (1) (a) Have a direct or indirect interest in, or be employed by, any vendor while serving as an employe in the department and performing any duty related to the state lottery or as the executive assistant or as secretary or deputy secretary of revenue or for 2 years following the person's termination of service.

565.10 (1) Selection of retailers; retailer contract. Under rules promulgated by the board department under s. 565.02 (3) (b) and (4) (a), the administrator may contract with a person for the retail sale of lottery tickets or lottery shares. Retailers shall be selected for contract so as to provide adequate and convenient availability of lottery tickets and lottery shares to prospective buyers.

565.10 (7) (b) The administrator may, under rules promulgated by the board department, contract for a period that is shorter than 3 years in order to stagger lottery retailer contract expiration dates throughout a 3-year period.

565.10 (8) Contract fees. A contract entered into under this section may require payment of a nonrefundable initial application fee or a nonrefundable annual fee for continuation, or both, in an amount promulgated by the board department by rule under s. 565.02 (4) (b). A separate nonrefundable fee, in an amount specified in rules promulgated under s. 565.02 (4) (b), may be required for each certificate of authority issued under sub. (11).

565.10 (13) Bond. The commission department may by rule under s. 565.02 (4) (d) require fidelity bonds from retailers. In lieu of a bond, the commission department may purchase blanket bonds covering all or selected retailers or may allow a retailer to deposit and maintain with the commission department interest-bearing or interest-accruing securities approved by the commission department. Such securities shall be held in trust by the commission department and shall have at all times a market value at least equal to the amount required by the commission department.

565.10 (14) (b) The basic compensation to be paid to a retailer is 5.5% of the retail price of lottery tickets or lottery shares sold by the retailer. The board department may, in the rules promulgated under s. 565.02 (4) (f), provide for the payment of a higher rate of compensation to nonprofit organizations making sales under a contract issued on a temporary basis than the rate of compensation paid to other retailers.

565.10 (14) (b) 1. The basic compensation to be paid to a retailer for the sale of a lottery ticket or lottery share described under s. 565.01 (6m) (a) 2. is 5.5% of the retail price of lottery tickets or lottery shares sold by the retailer.

2. The basic compensation to be paid to a retailer for the sale of a lottery ticket or lottery share described under s. 565.01 (6m) (a) 1. is 6. 25% of the retail price of lottery tickets or lottery shares sold by the retailer.

4. The department may, in the rules promulgated under s. 565.02 (4) (f), provide for the payment of a higher rate of compensation to nonprofit organizations making sales under a contract issued on a temporary basis than the rate of compensation paid to other retailers.

565.10 (15) Remitting proceeds. A retailer shall, on a daily basis, unless another basis, but not less than weekly, is provided by the board department by rule, remit to the department the lottery proceeds from the sale of lottery tickets or lottery shares. The amount of compensation deducted by the retailer, if any, shall be indicated as a deduction from the total remitted.

565.12 (2) If the administrator determines that the immediate suspension or termination of a lottery retailer contract entered into under s. 565.10 is necessary to protect the public interest or the security, integrity or fiscal responsibility of the lottery, the administrator may, without prior notice or hearing, suspend for a specified period or terminate the lottery retailer contract by mailing to the retailer a notice of suspension or termination that includes a statement of the facts or conduct that warrant the suspension or termination and a notice that the retailer may, within 30 days after the date on which the notice of suspension or termination is mailed, have the suspension or termination reconsidered by the administrator. If, upon reconsideration, the administrator affirms the determination to suspend or terminate the lottery retailer contract, the retailer shall be afforded an opportunity for a hearing before the board department to review the determination of the administrator.

565.12 (3) The board department shall render the final decisions under s. 227.47 for all terminations and suspensions under subs. (1) and (2).

565.17 (5) (title) Board members and employes; certain Certain department employes.

565.17 (5) (a) No employe of the department who performs any duty related to the state lottery or the executive assistant or the secretary or deputy secretary of revenue and no member of such a person's immediate family, as defined in s. 19.42 (7), may purchase a lottery ticket or lottery share.

565.25 (1m) Scope of authority. Subject to approval by the board secretary of revenue, the administrator may determine whether lottery functions shall be performed by department of revenue employes or by one or more persons under contract with the department of administration, except that no contract may provide for the entire management of the lottery or for the entire operation of the lottery by any private person. The department of administration may contract for management consultation services to assist in the management or operation of the lottery. The department of administration may not contract for financial auditing or security monitoring services, except that, if the department of administration delegates under s. 16.71 (1) to the department of revenue the authority to make a major procurement, the department of revenue may contract with the department of administration for warehouse and building protection services relating to the state lottery. If the department of administration delegates under s. 16.71 (1) to the department of revenue the authority to make a major procurement, the department of revenue shall assume the powers and duties of the department of administration and the administrator shall assume the powers and duties of the secretary of administration under this section and ss. 16.70 to 16.77, except under ss. 16.72 (4) (a), 16.76 (1) and 16.77 (1).

565.25 (2) (a) 6. If the department of administration delegates under s. 16.71 (1) to the department of revenue the authority to make a major procurement, the award of the major procurement contract is subject to approval by the board and to the requirements in ss. 16.72 (4) (a) and 16.76 (1). Copies of requisitions and contracts for major procurements shall be maintained by the administrator and shall be subject to inspection and copying under subch. II of ch. 19.

565.25 (2) (c) A major procurement contract under this subsection may be for any term deemed to be in the best interests of the state lottery or the multistate multijurisdictional lottery in which the state participates, but the term and any provisions for renewal or extension shall be incorporated in the bid specifications or proposal solicitation and the contract document.

565.27 (1) Game features and procedures. (intro.) Subject to this section, the rules promulgated under s. 565.02 (3) (d) and (4) (a) and board approval by the secretary of revenue, the administrator shall determine the particular features of and procedures for each lottery game offered. The administrator shall recommend to the board for promulgation by rule under s. 565.02 (3) (d) the types of state or multistate lottery games to be offered. The features and procedures shall be in writing, shall be accessible to the public and shall include all of the following:

565.27 (2) (a) The actual selection of any winning lottery ticket or lottery share may not be performed by an elected or appointed official, or an employe of the lottery division in the department or a member or employe of the board.

565.27 (2) (b) 4. Any equipment used for the drawing must be inspected by a certified public accountant and a department employe before and after the drawing, except that a department employe is not required to inspect the equipment if the drawing is used for a multijurisdictional lottery.

565.30 (1) Payment of prizes. The administrator shall direct the payment of a prize to the holder of the winning lottery ticket or lottery share or to a person designated under sub. (2), except that a prize may be paid to another person under a court order or to the estate of a deceased prize winner. The board, department, administrator, state and any contractor for materials, equipment or services of the game in which the prize is won are discharged of all liability upon payment of the prize to the holder of a winning lottery ticket or lottery share.

565.30 (3) (b) Retailer bonuses. Any bonuses offered by the board department to retailers who sell winning lottery tickets or lottery shares shall be paid to the retailer regardless of whether the prize is claimed if the retailer can be identified as the seller of the winning ticket or share.

565.30 (5) Withholding of delinquent state taxes, child support or debts owed the state. The administrator shall report the name, address and social security number of each winner of a lottery prize equal to or greater than $1,000 to the department of revenue to determine whether the payee of the prize is delinquent in the payment of state taxes under ch. 71, 72, 76, 77, 78 or 139 or in court-ordered payment of child support or has a debt owing to the state. Upon receipt of a report under this subsection, the department of revenue shall first ascertain based on certifications by the department of workforce development or its designee under s. 49.855 (2) (1) whether any person named in the report is currently delinquent in court-ordered payment of child support and shall next certify to the administrator whether any person named in the report is delinquent in court-ordered payment of child support or payment of state taxes under ch. 71, 72, 76, 77, 78 or 139. Upon this certification by the department of revenue or upon court order the administrator shall withhold the certified amount and send it to the department of revenue for remittance to the appropriate agency or person. At the time of remittance, the department of revenue shall charge its administrative expenses to the state agency that has received the remittance. The administrative expenses received by the department of revenue shall be credited to the appropriation under s. 20.566 (1) (h). In instances in which the payee of the prize is delinquent both in payments for state taxes and in court-ordered payments of child support, or is delinquent in one or both of these payments and has a debt owing to the state, the amount remitted to the appropriate agency or person shall be in proportion to the prize amount as is the delinquency or debt owed by the payee.

565.32 (1) Promotional advertising prohibition. The expenditure by the board, department or any other state agency of public funds or of revenues derived from lottery operations to engage in promotional advertising of the state lottery or any multistate multijurisdictional lottery is prohibited.

565.32 (2) (a) A retailer or a combination of retailers, a vendor or a combination of vendors or a combination of retailers and vendors may engage in promotional advertising of the state lottery or any multistate multijurisdictional lottery in which the state participates.

565.32 (3) (a) (intro.) Any advertising, as defined by the board department by rule under s. 565.02 (3) (f), of the lottery which describes a specific lottery game and each lottery ticket and lottery share shall include:

565.37 (1) Financial and performance audits. The department shall annually contract with the legislative audit bureau to conduct a financial audit of the transactions and accounts of the state lottery, and, to the extent of the department's participation, of any multistate multijurisdictional lotteries in which the state participates, for the preceding fiscal year and shall biennially contract with the legislative audit bureau for a performance audit of the state lottery and, to the extent of the department's participation, of those multistate multijurisdictional lotteries.

565.37 (2) Independent postaudit. At no less than 3-year intervals, the department may retain an independent certified public accountant to conduct a postaudit of all the lottery division's accounts and transactions. The department shall provide copies of each such postaudit to the legislative audit bureau, the board and the department of justice.

565.37 (3) Department report. The department shall submit quarterly reports on the operation of the lottery to the chief clerk of each house of the legislature, for distribution to the legislature under s. 13.172 (2) and to the governor, attorney general, state treasurer, secretary of state, board and state auditor.

565.37 (4) Administrator report. The administrator shall submit monthly financial reports to the board secretary of revenue.

565.40 (1) Investigations. The department of justice may investigate any activities by the board, vendors, or employes in the department, which affect the operation or administration of the state lottery or any multistate multijurisdictional lottery in which the state participates, and shall report suspected violations of state or federal law to the appropriate prosecuting authority.

565.45 Report on expense limitation. Before January 1, 1992, and every 2 years thereafter, the department shall submit a report to the chief clerk of each house of the legislature, for distribution to the legislature under s. 13.172 (2), on the effects on the operation of the lottery of the 15% 10% expense limitation under s. 25.75 (3) (b).

565.46 Minority advertising, procurements, retailers and hiring. The board department shall promulgate rules establishing goals that attempt to increase the total amount of expenditures by the department for advertising, public relations and other procurements that are directed to minority businesses, the number of retailers that are minority businesses and the number of employes of the lottery division in the department who are minority group members.

569.01 (1e) “Department" means the department of administration.

569.015 Indian gaming. (1) The secretary of administration shall appoint a director of Indian gaming, who shall advise the secretary on matters relating to Indian gaming and who shall assist the department in performing the functions of the department under this chapter. The director of Indian gaming shall serve at the pleasure of the secretary of administration.

(2) The secretary of administration shall appoint an attorney, whose duties shall include advising the secretary of administration and the governor on any Indian gaming compacts that may be entered into under s. 14.035. The attorney shall serve at the pleasure of the secretary of administration.

569.02 (title) Indian gaming; general duties of board. (intro.) Under the direction of the board secretary of administration, the separate subunit established in the board under s. 561.14 director of Indian gaming shall do all of the following: