Why did the Arkansas AG reject the ballot title for Randall Bynum's proposed four-county casino amendment?

Plain-English summary

Randall Bynum asked Attorney General Leslie Rutledge to certify a popular name and ballot title for an amendment authorizing casinos at specified properties in Benton, Boone, Miller, and Pulaski counties. The AG rejected the submission because ambiguities in the measure prevented her from fairly summarizing its effect for voters. She did not conduct a complete, point-by-point review.

The central problem was casino licensing. The measure referred to “licenses” and “the initial licensed casino operator,” but did not clearly establish licenses or a licensing process. It did not say who would first operate each casino, how an operator would be chosen, or what qualifications would be required. Nor did it explain whether owning one of the designated properties entitled its owner to a license.

The AG said the ballot title would need to disclose who owned those properties. If ownership itself gave the owners operator licenses, that relationship and their identities would also need to be disclosed. She also asked whether the owners or operators would receive exclusive constitutional rights to casinos at those sites. Separately, she noted that the proposed title was 1,036 words long. Its length was a concern, though she expressly said it was not a reason by itself to reject the title.

Currency note

This opinion was issued in 2018. Verify the current initiative statute and election law before relying on its ballot-title analysis for a new proposal.

Common questions

Did the AG reject the casino policy itself?
No. She said certification or rejection did not reflect her view of a proposal's merits. Her review addressed whether the popular name and ballot title honestly and fairly described the proposed amendment.

What was unclear about the casino licenses?
The measure referred to licenses without clearly providing for them or explaining a licensing process. It did not identify the initial operators, say how they would be selected, or state their required qualifications.

Why did the property owners matter to the ballot title? The amendment designated four specific properties. The AG said voters needed to know who owned them, even if ownership would not itself guarantee a license. If the owners would receive operator licenses simply by owning the properties, that fact and their identities needed disclosure too.

Was the long ballot title the reason for rejection?
No. The AG counted 1,036 words and suggested reconsidering whether voters could assess a title of that length in the allotted time. She expressly said length alone was not her reason for rejection; the measure's unresolved ambiguities were.

Could the AG rewrite the title and certify it?
The AG said she could not substitute title language while the underlying proposal remained ambiguous. She instructed the sponsor to redesign the measure and title. She also cautioned that further ambiguities might emerge after revisions.

Background and statutory framework

Ark. Code Ann. § 7-9-107 permits the AG to certify a submitted popular name and ballot title, substitute and certify a title if practicable, or reject a submission whose title or issue would mislead voters. The opinion says the AG cannot fairly summarize an ambiguous measure until the measure is clarified and the title conforms to it.

Citations

• Ark. Code Ann. § 7-9-107 (Supp. 2017)
• Roberts v. Priest, 341 Ark. 813, 20 S.W.3d 376 (2000) (internal inconsistencies in a proposed measure)

Source

• Landing page: https://arkansasag.gov/divisions/opinions-foia/attorney-general-opinions-search/

Original opinion text

STATE OF ARKANSAS
ATTORNEY GENERAL
LES LIE RUTLEDGE

Opinion No. 2018-032

April 10, 2018

Randall Bynum, Esq.
Dover Dixon Horne, PLLC
425 West Capitol Avenue, Suite 3700
Little Rock, AR 72201

Dear Mr. Bynum:

I am writing in response to your request for certification, pursuant to Ark. Code Ann. § 7-9-107 (Supp. 2017), of the popular name and ballot title for a proposed initiated measure.

At the outset, I wish to make clear to you that the decision to certify or reject a popular name and ballot title is in no way a reflection of my view of the merits of a particular proposal. I am not authorized to, and do not, consider the merits of the measure when making a decision to certify or reject.

Arkansas Code Annotated § 7-9-107 authorizes my office to 1) certify the popular name and ballot title of a proposed measure, 2) substitute and certify the popular name and ballot title, if practicable, or 3) reject the entire submission if "the ballot title, or the nature of the issue, is presented in such manner that the ballot title would be misleading" to voters. 1 The purpose of my review under section 7-9-107 is to ensure that the popular name and ballot title honestly, intelligibly, and fairly set forth the purpose of the proposed amendment or act. 2 In this way, voters will have a fair understanding of the issues presented by referenced to the ballot title alone. 3

1
Ark. Code Ann.§ 7-9-107(c) (Supp. 2017).
2
See Arkansas Women's Political Caucus v. Riviere, 283 Ark. 463, 466, 677 S.W.2d 846, 848 ( 1948). 3 Becker v. Riviere, 270 Ark. 219, 226, 604 S.W.2d 555, 558 ( 1980) (internal citations omitted).

323 CE N TE R STREET. SUITE 200 · LITTLE R O C K, ARKAN SAS 72201 TELEPH ONE (5 01) 682-200 7 · FA X (501) 682-8084 ARKAN SAS AG.GOV
Randall Bynum, Esq.
Opinion No. 2018-032
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Section 7-9-107 neither requires nor authorizes this office to make legal determinations concerning the merits of the proposed act or amendment, or concerning the likelihood that it will accomplish its stated objective. In addition, consistent with Arkansas Supreme Court precedent, unless the measure is "clearly contrary to law," 4 this office will not require that a measure's proponents acknowledge in the ballot title any possible constitutional infirmities. 5 Consequently, this review has been limited primarily to a determination, pursuant to the guidelines that have been set forth by the Arkansas Supreme Court, discussed below, of whether the popular name and ballot title you have submitted accurately and impartially summarize the provisions of your proposal.

REQUEST

You have requested certification, pursuant to Ark. Code Ann. § 7-9-107, of the following popular name and ballot title for a proposed constitutional amendment:

Popular Name

An Amendment to Allow Four Casinos to Operate in Arkansas, One Each at a Specifically Designated Location Within Each of the Following Four Counties:
Benton County, Boone County, Miller County, and Pulaski County

Ballot Title

An Amendment to the Arkansas Constitution authorizing four casinos in Arkansas, one each at a specifically designated location in each of the following counties in Arkansas: Benton County, an approximate 24 7 acre [sic] area as identified by the Benton County Assessor, as of March 7, 2018, as Parcel Numbers 18-10408-000, 18-10494-000, 18-1044 7-000 and 18-10518-000, having a street address of 16994 Kincheloe Road [sic] Siloam Springs, Arkansas and more specifically described by legal description in this Amendment; Boone County, an approximate 62 acre [sic] area as

4
See Kurrus v. Priest, 342 Ark. 434, 445, 29 S.W.3d 669, 675 (2000); Donovan v. Priest, 326 Ark. 353, 359, 931S.W.2d119, 121 (1996); Plugge v. McCuen, 310 Ark. 654, 841S.W.2d139 (1992). 5 As part of my review, however, I may address constitutional concerns for consideration by the measure's proponents. Randall Bynum, Esq. Opinion No. 2018-032 Page 3

identified by the Boone County Assessor, as of March 26, 2018 [sic] as Parcel Number 021-07943-002, 021-07943-000C, 021-07955- 002C, 021-07939-000 and 021-07939-001, having street addresses of 13721, 13721A and 13781 Bird Lane, Omaha, Arkansas and more specifically described by legal description in this Amendment;
Miller County, an approximate 35 acre [sic] area as identified by the Miller County Assessor, as of March 26, 2018, as a portion of Parcel Number 0840020, having a street address of 7815 U.S. Highway 67 East, Texarkana, Arkansas, and more specifically described by legal description in this Amendment; and Pulaski County, an approximate 200 acre [sic] area as identified by the Pulaski County Assessor, as of March 21, 2018, as Parcel Numbers 44R0290000500, 44R0290000600, 44R0200006300 and 44R0300000100, located between Crystal Valley Road and Lawson Road, Pulaski County, Arkansas and more specifically described by legal description in this Amendment; all being subject to all applicable State laws and local ordinances related to health and building codes, or any related requirement and provisions, but providing that no local zoning, land use laws, subdivision regulations or similar provisions shall prohibit the development or operation of the casinos authorized by this Amendment and providing that no casino shall be located in an area zoned exclusively residential as of January 1, 2018; providing that the casinos shall be subject to the laws enacted by the General Assembly in accord with this Amendment and regulations promulgated by the Arkansas Gaming Commission in accord with laws enacted by the General Assembly; defining casino gaming and gaming as dealing, operating, carrying on, conducting, maintaining, or exposing for play any game played with cards, dice, equipment, or any mechanical, electromechanical, or electronic device or machine for money, property, checks, credit, or any representative value; creating the Arkansas Gaming Commission to regulate casinos in accord with laws enacted by the General Assembly, with the Arkansas Gaming Commission comprised of five (5) commissioners, each appointed by the Governor for staggered 5-year terms; providing for the General Assembly to appropriate monies to or for the use of the Arkansas Gaming Commission; requiring each casino to pay to the Arkansas State Treasury a net casino gaming receipts tax equal to twenty percent (20%) of its annual net casino gaming receipts; and providing that the net casino gaming receipts tax revenue shall be distributed seventy percent (70%) to the State Randall Bynum, Esq.
Opinion No. 2018-032
Page 4

Highway and Transportation Department Fund as identified in Ark.
Code Ann. Section 19-6-405 or its successor fund, fifteen percent (15%) to be equally divided among all other counties in Arkansas in which a casino is not operating during the month for which the net casino gaming receipts tax is paid, eight percent (8%) to the General Revenue Fund, three percent (3%) to the Arkansas Economic Development Commission Industry Training Program or its successor program, one percent (1 %) to the Arkansas Department of Human Services for gambling disorder prevention services, one percent ( 1%) to the county in which the casino is located, and two percent (2%) to the city or town in which the casino is located and, in the event the casino is not located within a city or town, then the two percent (2%) allocated to the city or town shall go to the county in which the casino is located; defining annual net casino gaming receipts as gross receipts for a 12-month period from casino gaming less amounts paid out or reserved as winnings to casino patrons for that 12-month period; subjecting each casino to the same income, property, sales, use, employment and other taxation as any for-profit business located in the county and city or town in which the casino is located, except that the Arkansas Gross Receipts Act of 1941, and any amendments or replacements thereto, and local gross receipts taxes shall not apply to casino gaming receipts, and no additional State or local taxes, fees, or assessments shall be imposed on the casinos except as authorized in this Amendment; allowing a casino to operate any day for any portion or all of any day; acknowledging that current Arkansas law prohibits selling or complimentary serving of alcoholic beverages on Christmas Day, but allowing the selling or complimentary serving of alcoholic beverages in casinos during all hours the casino operates but otherwise subject to all applicable Arkansas laws involving the distribution and sale of alcohol; permitting the shipment into any county of Arkansas in which casino gaming is authorized of gambling devices shipped and delivered in accordance with applicable federal law (15 USC§§ 1171-1178 and amendments and replacements thereto); providing that the General Assembly shall not amend any provision of this Amendment except that the General Assembly by a two-thirds vote may amend the section creating the Arkansas Gaming Commission and setting forth its powers and the section setting forth the taxation of casinos and the distribution of such taxes; providing that the county in which a casino is to be located may prohibit such casino by an election in Randall Bynum, Esq.
Opinion No. 2018-032
Page 5

such county called by a petition signed by thirty eight percent (3 8%) of the registered voters of the county and providing that the collection of signatures for such petition shall not begin before November 7, 2018 [sic] and such petition shall be filed with the county clerk of said county by January 7, 2019, and if the petition is sufficient said election to be held within thirty (30) days of final legal actions regarding the sufficiency of the petition; rendering the provisions of this Amendment severable; declaring inapplicable all constitutional provisions and laws to the extent they conflict with this Amendment, but not otherwise repealing, superseding, amending, or otherwise affecting Amendment 84 (bingo or raffles) or Amendment 87 (State lottery) to the Arkansas Constitution, or Arkansas Act 1151 of 2005 (electronic games of skill).

GUIDELINES

The popular name is primarily a useful legislative device. 6 It need not contain detailed information or include exceptions that might be required of a ballot title, but it must not be misleading or give partisan coloring to the merit of the proposal. 7 The popular name is to be considered together with the ballot title in determining the ballot title's sufficiency. 8

The ballot title must include an impartial summary of the proposed amendment or act that will give the voter a fair understanding of the issues presented. 9 According to the Court, a ballot title will not be legally sufficient unless it "adequately inform[s]" the voters of the contents of a proposed amendment or act so that they can make a "reasoned decision in the voting booth." 10 A ballot title's failure to "honestly and accurately reflect what is contained in the proposed [act or] Amendment" may lead the Court to conclude that the "omission is

6
Paffordv. Hall, 217 Ark. 734, 739, 233 S.W.2d 72, 75 (1950).
7
See, e.g., Chaney v. Bryant, 259 Ark. 294, 297, 532 S.W.2d 741, 743 (1976); Moore v. Hall, 229 Ark. 411, 316 S.W.2d 207 (1958). For a better understanding of the term "partisan coloring," see note 18 infra. 8 Mayv. Daniels, 359 Ark. 100, 105, 194 S.W.3d 771, 776 (2004).
9
Riviere, 270 Ark. at 226, 604 S.W.2d at 558 (internal citations omitted).
10
Lange v. Martin, 2016 Ark. 337, 500 S.W.3d 154, at n. 2.
Randall Bynum, Esq.
Opinion No. 2018-032
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11 significant." The Court has also disagproved the use of terms that are "technical and not readily understood by voters." 2 Without a definition of such terms in the ballot title, the title may be deemed insufficient. 13

Additionally, if information omitted from the ballot title is an "essential fact which 14 would give the voter serious ground for reflection, it must be disclosed." At the same time, however, a ballot title must be brief and concise; 15 otherwise voters could run afoul of Ark. Code Ann. § 7-5-309's five-minute limit in voting booths when other voters are waiting in line. 16 The ballot title is not required to be perfect, nor is it reasonable to expect the title to cover or anticipate every possible 17 legal argument the proposed measure might evoke. The title, however, must be "free of any misleading tendency whether by amrlification, omission, or fallacy, and it must not be tinged with partisan coloring." 1 The ballot title must be honest 19 and impartial, and it must convey an intelligible idea of the scope and significance of a proposed change in the law. 20

Furthermore, the Court has confirmed that a ballot title cannot be approved if the text of the proposed measure itself contributes to confusion and disconnect

11
Id. at 9, 500 S.W.3d at 159.
12
Wilson v. Martin, 2016 Ark. 334, 9, 500 S.W.3d 160, 167.
13
Id., 500 S.W.3d at 167.
14
Bailey v. McCuen, 318 Ark. 277, 285, 884 S.W.2d 938, 942 (1994).
15
See Ark. Code Ann. § 7-9-107(b).
16
Bailey, 318 Ark. at 284, 884 S.W.2d at 944.
17
Id. at 293, 884 S.W.2d at 946-47.
18
Id. at 284, 884 S.W.2d at 942. Language "tinged with partisan coloring" has been identified by the Arkansas Supreme Court as language that "creates a fatally misleading tendency" (Crochet v. Priest, 326 Ark. 338, 347, 931 S.W.2d 128, 133 (1996)) or that "gives the voter only the impression that the proponents of the proposed amendment wish to convey of the activity represented by the words." Christian Civic Action Committee v. McCuen, 318 Ark. 241, 249, 884 S.W.2d 605, 610 (1994). 19 Becker v. McCuen, 303 Ark. 482, 489, 798 S.W.2d 71, 74 (1990).

° Christian Civic Action Committee, 318 Ark. at 245, 884 S.W.2d at 607 (internal quotations 2

omitted).
Randall Bynum, Esq.
Opinion No. 2018-032
Page 7

between the language in the popular name and the ballot title and the language in 21 the measure. The Court concluded that "internal inconsistencies would inevitably lead to confusion in drafting a popular name and ballot title and to confusion in the ballot title itself." 22 Where the effects of a proposed measure on current law are unclear or ambiguous, it is impossible for me to perform my statutory duty to the satisfaction of the Arkansas Supreme Court without (1) clarification or removal of the ambiguities in the proposal itself, and (2) conformance of the popular name and ballot title to the newly worded proposal.

RESPONSE

In light of the Court's pronouncements, noted above, it is my opinion that a number of additions or changes to your ballot title are necessary in order to more fully and correctly summarize your proposal. I cannot, however, at this time, fairly or completely summarize the effect of your proposed measure to the electorate in a popular name or ballot title because of several fundamental ambiguities in the text of the measure itself. Because of these significant issues, I have not conducted a thorough, point-by-point review of your proposal. 23 Rather, I will point out what I view to be baseline, fundamental deficiencies with your submission.

DISCUSSION

A fatal deficiency of primary importance, in my opinion, is the complete lack of information regarding casino licensing under your proposal, and whether there is any correlation between ownership of the properties listed in your proposal and licensing of a casino or a casino operator.

Section 4 of your measure states-at least with respect to the four locations specifically designated for casinos-that "all licenses hereunder" would be subject to laws passed by General Assembly. However, it is unclear what "licenses" this phrase is meant to refer to. The measure does not clearly provide for any actual licenses. Moreover, it is silent regarding any licensing process.

This silence regarding the licensing process is particularly problematic because

21
Roberts v. Priest, 341 Ark. 813, 825, 20 S.W.3d 376, 382 (2000).

22 Id.

23
Cf Op. Att'y Gen. 2016-099.
Randall Bynum, Esq.
Opinion No. 2018-032
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also left unaddressed is the relationship or correlation, if any, between ownership of the properties your measure describes and the licensing of a casino to be located on those properties. As mentioned above, Section 4 references "[t]he initial licensed casino operator" after each legal description of the four properties where casinos would be authorized under your proposal. But your proposal does not indicate-much less state-who the initial licensed casino operators would be, how they would be selected for a license, or what their qualifications must be to operate a casino. 24 If it is your intention that the owner or owners of the described properties would be, simply by virtue of such ownership, the initial licensed casino operators at each property-without any other qualifications-this fact must, in my opinion, be disclosed in a ballot title, together with the identity with these owner(s). 25

Furthermore, even if the land ownership does not guarantee a casino-operator's license, knowing who owns the land would still be of critical importance to the voters, as the adoption of your proposed amendment would in all likelihood lead to an immense increase to the value of those properties. Thus, in my opinion, ownership of the properties must also be disclosed in a ballot title. The Court has on more than one occasion rejected ballot initiatives "that failed to disclose in the ballot title the direct benefits to a 'relatively few' special interests. " 26 As the Court stated, "the majority of voters will read a proposed amendment for the first, and only, time when they read it on the ballot. Thus, it is crucial that the ballot title not be misleading, and that it disclose enough information so that voters can make 'an intelligent choice and be fully aware of the consequences of their vote. "' 27 In this instance, I think that it is unrealistic and insufficient to expect voters to know,

24
The lack of any information in your proposal regarding the licensing process also omits critical information that would be relevant to voters, such as the transferability of casino-operator licenses; and whether such licenses could be suspended or revoked, on what basis, and by whom. 25 As to this aspect of your proposal, voters, in my opinion, also would need to know whether there must be four separately licensed operators, one for each property listed, or whether a person or entity could hold multiple, or even all, licenses by virtue of owning multiple properties. Additionally, voters would need to know whether there would be any restrictions on the alienability of these properties to unknown and unnamed persons or entities should your amendment be adopted. 26 Parker v. Priest, 326 Ark. 386, 388, 931 S.W.2d 108, 109 (1996) (citing Dust v. Riviere, 277 Ark. 1, 638 S.W.2d 663 (1982)). The Parker Court went on to say that "[i]t is clear that the benefit to specific private interests can indeed be a matter [that] would give the voter 'serious grounds for reflection."' Id. 27 Id. at 392, 931 S.W.2d at 111 (emphasis added).
Randall Bynum, Esq.
Opinion No. 2018-032
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based on your proposed ballot title, who owns the parcels or where they are located within each county.

Moreover, it is unclear from your proposal whether the owner or owners of these properties (and the initial licensed operator(s), if they are not one and the same) would be constitutionally granted the exclusive right to have a casino on their properties, be licensed casino operators, or both. If that, too, is your intention, I believe this information would also give voters serious ground for reflection and therefore must be disclosed in a ballot title for the measure.

As a final note, and while not reason alone for me to reject your popular name and ballot title, I must mention that your ballot title is quite long, containing 1,036 words. As I have explained in the past, 28 while the Court is willing to give the citizen-initiative process under our constitution 29 a liberal construction when determining the sufficiency of a ballot title, 30 the Court has clearly stated "that does not mean that liberality knows no bounds or [that] common sense has no place in the matter." 31 As the Court explained:

While neither the length nor complexity of the ballot title should be a controlling factor, it is a consideration. The great majority of Arkansas voters are limited, as a practical matter, in the amount of time that can be spent considering such a proposal. Furthermore, common sense requires that we ask whether the average voter can make an intelligent considerate decision based on the ballot title. 32

With these precedents in mind, prudence would suggest that you consider whether a ballot title of a length like the one you have submitted would meet the Court's standards for intelligent consideration by the voters in the allotted time. 28 See, e.g., Ops. Att'y Gen. 2017-055, 2017-042, 2016-099.
29
Ark. Const., art. 5, § 1 (Supp. 2017).
30
See Becker, supra note 19, 270 Ark. at 225, 604 S.W.2d at 558.
31
Dust v. Riviere, 277 Ark. at 6, 638 S.W.2d at 666.
32
Id. The Court, referencing its earlier opinion in Newton v. Hall, 196 Ark. 929, 120 S.W.2d 364 ( 193 8), noted that "the length of the title could be a serious objection because the law recognizes that an elector's time is limited in occupying a voting booth." Id. The Court ultimately held that the ballot title, which was 706-words long in that case, was "so complex, detailed, lengthy, misleading and confusing that the Arkansas voter cannot intelligently make a choice based on the title." Id. Randall Bynum, Esq. Opinion No. 2018-032 Page 10

CONCLUSION

The ambiguities noted above are not necessarily all the ambiguities contained in your proposal, but they are sufficiently serious to require me to reject your popular name and ballot title. I am unable to substitute language in a ballot title for your measure due to these ambiguities. Further, additional ambiguities may come to light on review of any revisions of your proposal.

My office, in the certification of ballot titles and popular names, does not address the merits, philosophy, or ideology of proposed measures. I have no constitutional role in the shaping or drafting of such measures. My statutory mandate 1s embodied only in Ark. Code Ann. § 7-9-107, and my duty is to the electorate.

Based on what has been submitted, my statutory duty is to reject your proposed ballot title for the fore~oing reasons and instruct you to redesign the proposed measure and ballot title. 3

Sincerely,

------~ ,,. I'"/~,,-
____ ~/:.l"Ll~7
..:;:::::::::.---·:::::;/- ,,..
LESLIE RUTLEDGE
Attorney General

Enclosure

33
Ark. Code Ann.§ 7-9-107(c).
 Popular Name

AN AMENDMENT TO ALLOW FOUR CASINOS TO OPERATE IN ARKANSAS, ONE EACH AT A SPECIFICALLY DESIGNATED LOCATION WITHIN EACH OF THE FOLLOWING FOUR COUNTIES: BENTON COUNTY, BOONE COUNTY, MILLER COUNTY, AND PULASKI COUNTY

Ballot Title

AN AMENDMENT TO THE ARKANSAS CONSTITUTION AUTHORIZING
FOUR CASINOS IN ARKANSAS, ONE EACH AT A SPECIFICALLY
DESIGNATED LOCATION IN EACH OF THE FOLLOWING COUNTIES IN ARKANSAS: BENTON COUNTY, AN APPROXIMATE 247 ACRE AREA AS IDENTIFIED BY THE BENTON COUNTY ASSESSOR, AS OF MARCH 7, 2018, AS PARCEL NUMBERS 18-10408-000, 18-10494-000, 18-10447-000 and 18- 10518-000, HA YING A STREET ADDRESS OF 16994 KINCHELOE ROAD SILOAM SPRINGS, ARKANSAS AND MORE SPECIFICALLY DESCRIBED BY LEGAL DESCRIPTION IN THIS AMENDMENT; BOONE COUNTY, AN APPROXIMATE 62 ACRE AREA AS IDENTIFIED BY THE BOONE COUNTY ASSESSOR, AS OF MARCH 26, 2018 AS PARCEL NUMBERS 021-07943-002, 021-07943-000C, 021-07955-002C, 021-07939-000 and 021-07939-001, HAVING STREET ADDRESSES OF 13721, 13721A AND 13781 BIRD LANE, OMAHA, ARKANSAS AND MORE SPECIFICALLY DESCRIBED BY LEGAL
DESCRIPTION IN THIS AMENDMENT; MILLER COUNTY, AN
APPROXIMATE 35 ACRE AREA AS IDENTIFIED BY THE MILLER COUNTY ASSESSOR, AS OF MARCH 26, 2018, AS A PORTION OF PARCEL NUMBER 0840020, HAVING A STREET ADDRESS OF 7815 U.S. HIGHWAY 67 EAST, TEXARKANA, ARKANSAS, AND MORE SPECIFICALLY DESCRIBED BY LEGAL DESCRIPTION IN THIS AMENDMENT; AND PULASKI COUNTY, AN APPROXIMATE 200 ACRE AREA AS IDENTIFIED BY THE PULASKI COUNTY ASSESSOR, AS OF MARCH 21, 2018, AS PARCEL NUMBERS 44R0290000500, 44R0290000600, 44R0200006300 and 44R0300000100, LOCATED BETWEEN CRYSTAL VALLEY ROAD AND LAWSON ROAD, PULASKI COUNTY, ARKANSAS AND MORE SPECIFICALLY DESCRIBED BY LEGAL DESCRIPTION IN THIS AMENDMENT; ALL BEING SUBJECT TO ALL APPLICABLE ST A TE LAWS AND LOCAL ORDINANCES RELATED TO HEALTH AND BUILDING CODES, OR ANY RELATED REQUIREMENT AND PROVISIONS, BUT PROVIDING THAT NO LOCAL ZONING, LAND USE LAWS, SUBDIVISION REGULATIONS OR SIMILAR PROVISIONS SHALL PROHIBIT THE DEVELOPMENT OR OPERATION OF THE CASINOS AUTHORIZED BY THIS AMENDMENT AND PROVIDING THAT NO CASINO SHALL BE LOCATED IN AN AREA ZONED EX CL US IVEL Y RESIDENTIAL AS OF JANUARY I, 2018; PROVIDING THAT THE CASINOS SHALL BE SUBJECT TO THE LAWS ENACTED BY THE GENERAL ASSEMBLY IN ACCORD WITH THIS AMENDMENT AND REGULATIONS PROMULGATED BY THE ARKANSAS GAMING COMMISSION IN ACCORD WITH LAWS ENACTED BY THE GENERAL ASSEMBLY; DEFINING CASINO GAMING AND GAMING AS DEALING, OPERATING, CARRYING ON, CONDUCTING, MAINTAINING, OR EXPOSING FOR PLAY ANY GAME PLA YEO WITH CARDS, DICE, EQUIPMENT, OR ANY MECHANICAL, ELECTROMECHANICAL, OR ELECTRONIC DEVICE OR MACHINE FOR MONEY, PROPERTY, CHECKS, CREDIT, OR ANY REPRESENTATIVE VALUE; CREA TING THE ARKANSAS GAMING COMMISSION TO REGULA TE CASINOS IN ACCORD WITH LAWS ENACTED BY THE GENERAL ASSEMBLY, WITH THE ARKANSAS GAMING COMMISSION COMPRISED OF FIVE (5) COMMISSIONERS, EACH APPOINTED BY THE GOVERNOR FOR STAGGERED 5-YEAR TERMS; PROVIDING FOR THE GENERAL ASSEMBLY TO APPROPRIATE MONIES TO OR FOR THE USE OF THE ARKANSAS GAMING COMMISSION; REQUIRING EACH CASINO TO PAY TO THE ARKANSAS STATE TREASURY A NET CASINO GAMING RECEIPTS TAX EQUAL TO TWENTY PERCENT (20%) OF ITS ANNUAL NET CASINO GAMING RECEIPTS; AND PROVIDING THAT THE NET CASINO GAMING RECEIPTS TAX REVENUE SHALL BE DISTRIBUTED SEVENTY PERCENT (70%) TO THE STATE HIGHWAY AND TRANSPORTATION DEPARTMENT FUND AS IDENTIFIED IN ARK. CODE ANN. SECTION 19-6-405 OR ITS SUCCESSOR FUND, FIFTEEN PERCENT (15%) TO BE EQUALLY DIVIDED AMONG ALL OTHER COUNTIES IN ARKANSAS IN WHICH A CASINO IS NOT OPERATING DURING THE MONTH FOR WHICH THE NET CASINO GAMING RECEIPTS TAX IS PAID, EIGHT PERCENT (8%) TO THE GENERAL REVENUE FUND, THREE PERCENT (3%) TO THE ARKANSAS ECONOMIC DEVELOPMENT COMMISSION INDUSTRY TRAINING PROGRAM OR ITS SUCCESSOR PROGRAM, ONE PERCENT (1 %) TO THE ARKANSAS DEPARTMENT OF HUMAN SERVICES FOR GAMBLING DISORDER PREVENTION SERVICES, ONE PERCENT (1%) TO THE COUNTY IN WHICH THE CASINO IS LOCATED, AND TWO PERCENT (2%) TO THE CITY OR TOWN IN WHICH THE CASINO IS LOCATED AND, IN THE EVENT THE CASINO IS NOT LOCATED WITHIN A CITY OR TOWN, THEN THE TWO PERCENT (2%) ALLOCATED TO THE CITY OR TOWN SHALL GO TO THE COUNTY IN WHICH THE CASINO IS LOCATED; DEFINING ANNUAL NET CASINO GAMING RECEIPTS AS GROSS RECEIPTS FOR A 12-MONTH PERIOD FROM CASINO GAMING LESS AMOUNTS PAID OUT OR RESERVED AS WINNINGS TO CASINO PATRONS FOR THAT 12-MONTH PERIOD; SUBJECTING EACH CASINO TO THE SAME INCOME, PROPERTY, SALES, USE, EMPLOYMENT AND OTHER TAXATION AS ANY FOR-PROFIT BUSINESS LOCATED IN THE COUNTY AND CITY OR TOWN IN WHICH THE CASINO IS LOCATED, EXCEPT THAT THE ARKANSAS GROSS RECEIPTS ACT OF 1941, AND ANY AMENDMENTS OR REPLACEMENTS THERETO, AND LOCAL GROSS RECEIPTS TAXES SHALL NOT APPLY TO CASINO GAMING RECEIPTS, AND NO ADDITIONAL STATE OR LOCAL TAXES, FEES, OR ASSESSMENTS SHALL BE IMPOSED ON THE CASINOS EXCEPT AS AUTHORIZED IN THIS AMENDMENT; ALLOWING A CASINO TO OPERA TE ANY DAY FOR ANY PORTION OR ALL OF ANY DAY; ACKNOWLEDGING THAT CURRENT ARKANSAS LAW PROHIBITS SELLING OR COMPLIMENTARY SERVING OF ALCOHOLIC BEVERAGES ON CHRISTMAS DAY, BUT ALLOWING THE SELLING OR COMPLIMENTARY SERVING OF ALCOHOLIC BEVERAGES IN CASINOS DURING ALL HOURS THE CASINO OPERATES BUT OTHERWISE SUBJECT TO ALL APPLICABLE ARKANSAS LAWS INVOLVING THE DISTRIBUTION AND SALE OF ALCOHOL; PERMITTING THE SHIPMENT INTO ANY COUNTY OF ARKANSAS IN WHICH CASINO GAMING IS AUTHORIZED OF GAMBLING DEVICES SHIPPED AND DELIVERED IN ACCORDANCE WITH APPLICABLE FEDERAL LAW (15 USC§§ 1171-1178 AND AMENDMENTS AND REPLACEMENTS THERETO); PROVIDING THAT THE GENERAL ASSEMBLY SHALL NOT AMEND ANY PROVISION OF THIS AMENDMENT EXCEPT THAT THE GENERAL ASSEMBLY BY A TWO-THIRDS VOTE MAY AMEND THE SECTION CREA TING THE ARKANSAS GAMING COMMISSION AND SETTING FORTH ITS POWERS AND THE SECTION SETTING FORTH THE TAXATION OF CASINOS AND THE DISTRIBUTION OF SUCH TAXES; PROVIDING THAT THE COUNTY IN WHICH A CASINO IS TO BE LOCATED MAY PROHIBIT SUCH CASINO BY AN ELECTION IN SUCH COUNTY CALLED BY A PETITION SIGNED BY THIRTY EIGHT PERCENT (38%) OF THE REGISTERED VOTERS OF THE COUNTY AND PROVIDING THAT THE COLLECTION OF SIGNATURES FOR SUCH PETITION SHALL NOT BEGIN BEFORE NOVEMBER 7, 2018 AND SUCH PETITION SHALL BE FILED WITH THE COUNTY CLERK OF SAID COUNTY BY JANUARY 7, 2019, AND IF THE PETITION IS SUFFICIENT SAID ELECTION TO BE HELD WITHIN THIRTY (30) DAYS OF FINAL LEGAL ACTIONS REGARDING THE SUFFICIENCY OF THE PETITION; RENDERING THE PROVISIONS OF THIS AMENDMENT SEVERABLE; DECLARING INAPPLICABLE ALL CONSTITUTIONAL PROVISIONS AND LAWS TO THE EXTENT THEY CONFLICT WITH THIS AMENDMENT, BUT NOT OTHERWISE REPEALING, SUPERSEDING, AMENDING, OR OTHERWISE AFFECTING AMENDMENT 84 (BINGO OR RAFFLES) OR AMENDMENT 87 (STATE LOTTERY) TO THE ARKANSAS CONSTITUTION, OR ARKANSAS ACT 1151 OF 2005 (ELECTRONIC GAMES OF SKILL). FULL TEXT

An Amendment to the Constitution of the State of Arkansas enacted by the people of the State of Arkansas:

§ 1. Short Title.

This Amendment shall be known and cited as "The Arkansas Casino Amendment of 2018."

§ 2. Authorizing Casinos and Casino Gaming.

(a) Casinos and casino gaming are hereby authorized in the State of Arkansas as provided in this Amendment.

(b) The Arkansas General Assembly shall from time to time enact laws, and appropriate monies to or for the use of the Arkansas Gaming Commission created under section 3 of this Amendment, to fulfill the purposes of this Amendment. Initial laws and appropriations enacted by the General Assembly pursuant hereto shall be in full force and effect no later than June 30, 2019.

(c) A casino means a facility where casino gaming is conducted as authorized by this Amendment.

(d) Casino gaming means to deal, operate, carry on, conduct, maintain, or expose for play any game played with cards, dice, equipment, or any mechanical, electromechanical, or electronic device or machine for money, property, checks, credit, or any representative value.

§ 3. Commission Created - Members - Powers.

(a) There is hereby created the Arkansas Gaming Commission. The regulation of the casinos authorized by this Amendment, and the administration of the laws pertaining thereto, are hereby vested in the Arkansas Gaming Commission. The Arkansas Gaming Commission shall from time to time adopt regulations to regulate casinos and casino gaming in Arkansas in accord with laws enacted by the General Assembly. Initial regulations adopted by the Arkansas Gaming Commission shall be in full force and effect no later than December 31, 2019.

(b) The Arkansas Gaming Commission shall be comprised of five Commissioners, all of whom shall be appointed by the Governor. The first Commissioners of the Arkansas Gaming Commission shall be appointed no later than March 31, 2019, by the Governor for terms of one, two, three, four, and five years, respectively. The terms of the persons so appointed shall be determined by lot. Upon the expiration of the foregoing terms of said Commissioners, successors shall be appointed by the Governor for terms of five years. Commissioners may succeed themselves. Any vacancy arising in the membership on the Arkansas Gaming Commission for any reason other than the expiration of the regular term for which the

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Commissioner was appointed shall be filled by appointment by the Governor, to be thereafter effective until the expiration of such regular term.

(c) The Governor shall have the power to remove any Commissioner for cause only, after notice and hearing before the Arkansas Gaming Commission. Such removal shall become effective only when approved in writing by a majority of the total number of Commissioners, but without the right to vote by the Commissioner removed or by the successor Commissioner, which action shall be filed with the Secretary of State together with a complete record of the proceedings at the hearing. An appeal may be taken to the Pulaski County Circuit Court by the Governor or the Commissioner ordered removed, and the same shall be tried de novo on the record. An appeal may be taken from the Circuit Court to the Arkansas Supreme Court, which shall likewise be tried de novo.

§ 4. Authorized Locations.

(a) Casinos allowed under this Amendment shall be located at the specifically designated location in each of the following Arkansas counties, with no more than one casino at each location, and all licenses hereunder being subject to the laws enacted by the General Assembly in accord with this Amendment and regulations promulgated by the Arkansas Gaming Commission in accord with laws enacted by the General Assembly:

(1) Benton County: An approximate 247 acre area in Benton County, Arkansas, as identified by the Benton County Assessor, as of March 7, 2018, as parcel numbers 18-10408-000, 18-10494-000, 18-1044 7-000 and 18-10518-000, having a street address of 16994 Kincheloe Road Siloam Springs, Arkansas and more specifically described as: A part of the SE 114 of the SE Y4 of Section 6, and a part of the S Y:z of Section 5, and a part of the W Y:z of the SW Y4 of Section 4, and a part of the NW Y4 of the NW 114 of Section 9, and a part of the N Y:z of Section 8, all in Township 17 North, Range 32 West, Benton County, Arkansas, being more particularly described as follows: BEGINNING at the NW comer of the NW Y4 of the NW 114 of said Section 8; THENCE along the West line of said NW Y4 of the NW 114 of said Section 8, S 01°23'16" W 754.87 feet to the North line of Highway 412; THENCE along said North line of Highway 412 the following courses and distances: S 68°31'10" E 84.18 feet; THENCE S 74°04'02" E 499.95 feet; THENCE S 74°04'34" E 500.06 feet; THENCE S 74°04'02" E 398.68 feet; THENCE S 75°50'00" E 243.49 feet; THENCE S 78°22'40" E, 243.46 feet; THENCE S 81°36'21" E, 389.59 feet;
THENCE S 87°53'48 11 E 395.41 feet; THENCE S 85°24'30 11 E 499.90 feet; THENCE N 88°53'36 11 E 201.03 feet; THENCE S 84°15'55 11 E 500.10 feet; THENCE N 63°09'34 11 E 59.66 feet; THENCE leaving said North line of Highway 412, N 01°22'07 11 E 766.46 feet along the West line of the NE Y4 of the NE Y4 of said Section 8; THENCE leaving said West line of the NE 1!i of the NE 'Ii of said Section 8, S 88°52'58 11 E 1314.98 feet to the East line of the NE Y4 of the NE Y4 of said Section 8; THENCE S 88°58'09 11 E 669.45 feet;
THENCE N 01°08'57 11 E 2525.52 feet to the centerline of the Illinois River; THENCE along said centerline of the Illinois River the following courses and distances: S 40°09'49 11 W 451.10 feet; THENCE S 43°54'45 11 W 390.41 feet; THENCE S 51°04'53 11 W 497.83 feet; THENCE S 58°29'48 11 W 257.48 feet; THENCE S 84°01'01" W 269.22 feet;
THENCE s 87°00'05 11 w 642.90 feet; THENCE N 85°14'40 11 w 183.84 feet; THENCE N

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 37°42'41 11 W 528.71 feet; THENCE N 36°30'27 11 W 305.33 feet; THENCE N 66°29'56 11 W 101.88 feet; THENCE S 84°45'05 11 W 156.25 feet; THENCE S 80°04'26 11 W 200.12 feet; THENCE S 66°14'33 11 W 160.64 feet; THENCE S 61°15'40 11 W 95.26 feet;
THENCE S 88°33'45 11 W 183.19 feet; THENCE S 66°37'18 11 W 442.36 feet; THENCE S 64°34'55 11 W 249.26 feet; THENCE S 71°09'45 11 W 276.81 feet; THENCE S 74°44'23 11 W 279.80 feet; THENCE S 82°59'32 11 W 254.13 feet; THENCE S 69°27'36 11 W 115.08 feet;
THENCE S 63°49'41 11 W 181.60 feet; THENCE N 89°15'43 11 W 101.58 feet; THENCE N 70°26'19 11 W 428.28 feet; THENCE S 43°35'06 11 W 253.48 feet; THENCE S 40°04'44 11 W 599.51 feet; THENCE S 37°25'32 11 W 151.05 feet; THENCE S 49°33'06 11 W 60.84 feet to the South line of the SE Y4 of the SE Y4 of said Section 6; THENCE along said South line of the SE Y4 of the SE Y4 of said Section 6, S 88°47'42 11 E 553.28 feet to the POINT OF BEGINNING, containing 280.58 acres, more or less, subject to rights-of-way, protective covenants, and/or easements, if any. LESS & EXCEPT: a part of the SW Y4 of Section 5 and a part of the SE Y4 of Section 6 and a part of the NW Y4 of Section 8, all in Township 17 North, Range 32 West, Benton County, Arkansas, being more particularly described as follows: BEGINNING at the NW corner of the NW Y4 of the NW Y4 of said Section 8; THENCE along the West line of said NW Y4 of the NW Y4 of said Section 8 S 01°23' 16" W 754.87 feet to the North line of Highway 412; THENCE along said North line of Highway 412 the following courses and distances: S 68°31' 10" E 84.18 feet; S 74°04'02" E 499.95 feet; S 74°04'34" E 81.21 feet; THENCE leaving said North line of Highway 412 N 67°06'18" E 714.91 feet; THENCE N 47°46'03" W 299.93 feet; THENCE N 48°29'33" W 225.73 feet; THENCE N 48°27'44" W 307.63 feet; THENCE N 22°00'18" W 60.02 feet; THENCE N 03°01'16"E374.49 feet; THENCE N 02°15'10" E 285.65 feet; THENCE N 04°02'12" E 66.67 feet to the centerline of the Illinois River; THENCE along said centerline of the Illinois River the following courses and distance: N 89°15'43" W 101.58 feet; N 70°26'19" W 428.28 feet; S 43°35'06" W 253.48 feet; S 40°04'44" W 599.51feet;S37°25'32" W 151.05 feet; S 49°33'06" W 60.84 feet to the South line of the SE Y4 of the SE Y4 of said Section 6; THENCE along said South line of the SE Y4 of the SE Yi of said Section 6 S 88°47'42" E to the POINT OF THE BEGINNING, containing 33.66 acres, more or less. subject to the rights-of-way and easements, if any.

The initial licensed casino operator of the casino in Benton County shall make an initial investment of at least one hundred million dollars ($100,000,000) in land, capital improvements and equipment for the development of the Benton County casino.

(2) Boone County: An approximate 62 acre area in Boone County, Arkansas, as identified by the Boone County Assessor, as of March 26, 2018, as parcel numbers 021-07943-002, 021-07943-000C, 02 l-07955-002C, 021-07939-000 and 021-07939-001, and having street addresses of 13721, 13721A and 13781 Bird Lane, Omaha, Arkansas, more specifically described as: A part of the NE Y4 of the SE Y4 of Section 8, and a part of the NW Y4 of the SW Y4 of Section 9, all in Township 21 North, Range 21 West, Boone County, Arkansas, more particularly described as follows: COMMENCING at the SE comer of the NE Y4 of the SE Y4 of said Section 8; THENCE N 87°52'32 11 W 423.29 feet to the center line of existing road easement for the POINT OF BEGINNING; THENCE leaving said center line of existing road easement N 87°52'32 11 W 51.64 feet to the center

Page 3of11 line of a 30 foot road easement; THENCE leaving said center line of 30 foot road easement N 87°52'32 11 W 838.80 feet; THENCE N 00°30'12" E 198.00 feet; THENCE N 68°00'19" E 1148.16 feet to the Westerly R/W of the New U.S. Highway 65; THENCE with said Westerly R/W S 64°29'10" E 172.09 feet; THENCE S 44°30'10 11 E 331.15 feet; THENCE S 14 °29'20 11 W 108.67 feet to the centerline of existing road easement; THENCE leaving said Westerly R/W of New U.S. Highway 65 and following said center line of existing road easement S 79°07'03" W 75.77 feet; THENCE S 81°37'45 11 W 170.65 feet; THENCE S 60°22'33 11 W 117.24 feet; THENCE S 53°32 109 11 W 131.08 feet; THENCE S 50°42'47 11 W 111.33 feet to the POINT OF BEGINNING and containing 13.10 acres, more or less, and subject to existing easements and road right-of-ways. Also subject to a 30 foot road easement located in the NE 114 of the SE 114 of said Section 8, more particularly described as follows: COMMENCING at the SE corner of the NE 114 of the SE 114 of said Section 8; THENCE N 87°52'32 11 W 474.93 feet to the centerline of said 30 foot road easement for the POINT OF BEGINNING; THENCE with said center line of30 foot road easement N 32°23'42 11 E 25.00 feet; THENCE N 69°06'38 11 E 133.13 feet to the center line of existing road easement for its terminus AND a part of the SE 114 of the SE 114 of Section 8, Township 21 North, Range 21 West, Boone County, Arkansas, more particularly described as follows: COMMENCING at a found stone at the NE corner of the SE 114 of the SE 114 of said Section 8; THENCE with North line of said forty N 87°52'32" W 492.17 feet to the West side of a 30 foot roadway easement for the POINT OF BEGINNING; THENCE leaving said North line of forty and following West side of said 30 foot roadway easement S 32°23'43 11 W 89.39 feet; THENCE leaving said West side of 30 foot roadway easement N 64°33'18 11 W 195.02 feet to the North line of said forty; THENCE with North line of said forty S 87°52'32 11 E 224.14 feet to the POINT OF BEGINNING and containing 0.20 acres and subject to existing easements and right of ways AND All that part of the SE 114 of the NE 114 of Section 8, Township 21 North, Range 21 West, lying West of the U.S. Highway No. 65. Also, the NE 114 of the SE 114 of Section 8; and all that part of the NW 114 of the SW 114 of Section 9, Township 21 North, Range 21 West lying West ofU. S. Highway No. 65, EXCEPT THE FOLLOWING: BEGINNING at the NE Corner of the SE 114 of the NE 114 of said Section 8; THENCE N 86°03' W along the North line thereof 648. l feet to a point on the existing southwesterly right-of-way line of Highway No. 65 for the POINT OF REAL BEGINNING; THENCE in a southeasterly direction along said existing right-of-way line on a curve right having a radius of 596.62 feet a distance of 222.4 feet to a point on the proposed southwesterly right-of-way line of said highway; THENCE N 75°36' W along said proposed right-of- way line 424. l feet to a point on the North line of the SE 114 of the NE 114 of said Section 8; THENCE S 86°03' E along said North line 209.7 feet to the POINT OF REAL BEGINNING. ALSO EXCEPT THE FOLLOWING: BEGINNING at the NE comer of the SE 114 of the NE 114 of said Section 8; THENCE N 86°03' W along the North line thereof 648.1 feet to a point on the existing southwesterly right-of-way line of Highway No. 65; THENCE in a southeasterly direction along said existing right-of-way line on a curve right having a radius of 596.62 feet a distance of 313 .5 feet to a point on the proposed southwesterly right-of-way line of said Highway for the POINT OF REAL BEGINNING; THENCE continue in a southeasterly direction along said existing right- of-way line on a curve right having a radius of 596.62 feet a distance of 344.0 feet to a point; THENCE S 13°13 '41" E along said existing right-of-way line 609.5 feet to a point

Page 4of11 on the proposed southwesterly right-of-way line of said Highway; THENCE N 39°43' W along said proposed right-of-way line 408.6 feet to a point; THENCE N 04°39' W along said proposed right-of-way line 575.5 feet to the POINT OF REAL BEGINNING. ALSO EXCEPT THE FOLLOWING: A part of the SE Yi of the Fractional NE Yi of Section 8, Township 21 North, Range 21 West, Boone County, Arkansas, more particularly described as follows: BEGINNING at a found flat iron stake at the NW comer of the SE Yi of the Fractional NE Yi of said Section 8; THENCE N 89°41 '24" E 400.00 feet to a set iron pin; THENCE S 00°33' 19" E I 00.00 feet to a set iron pin; THENCE S 89°41 '24" W 400.00 feet to a set iron pin; THENCE N 00°33' 19" W I 00.00 feet to the POINT OF BEGINNING. Subject to existing easements and right of ways. ALSO EXCEPT THE FOLLOWING: BEGINNING at the SW comer of the NW Yi of the SW Yi of said Section 9; THENCE East 1115 feet to the West right-of-way line ofU. S. Highway No. 65; THENCE N 36 Yz 0 W along said right-of-way line 300 feet; THENCE N 42°20' W along said line 938 feet; THENCE in a Southwesterly direction to a point 198 feet North of the SW comer of the NE Yi of the SE Yi of said Section 8; THENCE South 198 feet to the SW comer thereof; THENCE East along the South line of the said NE Yi of the SE Yi to the SW comer of the NW Yi of the SW Yi of said Section 9, the POINT OF BEGINNING. ALSO EXCEPT THE FOLLOWING: Part of the SE Yi of the NE Yi and part of the NE Yi of the SE Yi of said Section 8, also part of the NW Yi of the SW Yi and part of the SW Yi of the NW Yi of said Section 9, all in Township 21 North, Range 21 West, Boone County, Arkansas, described as follows: STARTING at the NW comer of the said SE Yi of the NE Yi of Section 8; THENCE S 88°22 '34" E along the North line thereof for a distance of 664.88 feet; THENCE S 64°12'55" E for a distance of 269.90 feet to a point on the existing controlled access right of way ofU. S. Highway 65 and to the POINT OF BEGINNING; THENCE S 02°14'49" E along the proposed right of way of Highway 65 for a distance of 318.02 feet; THENCE S 22°58'09" W along the proposed right of way ofU. S. Highway 65 for a distance of 366.46 feet; THENCE S 49°40'02" E along the proposed right of way ofU. S. Highway 65 for a distance of 276.99 feet; THENCE S 12°46'43" E along the proposed right of way ofU. S. Highway 65 for a distance of 314.03 feet; THENCE S 50°28'31" W along the proposed right of way of U. S. Highway 65 for a distance of 278.57 feet; THENCE S 69°49'38" E along the proposed right of way of U. S. Highway 65 for a distance of 320.16 feet; THENCE S 18°29' 14" E along the proposed right of way of U.S. Highway 65 for a distance of 250.00 feet; THENCE S 53°04'4 l" W along the proposed right of way of U. S. Highway 65 for a distance of 316.23 feet; THENCE S 63°29'14" E along the proposed right of way of U.S. Highway 65 for a distance of 33.87 feet; THENCE N 69°20'29" E along the South property line for a distance of 620.92 feet to the existing Westerly right of way ofU. S. Highway 65; THENCE along a curve to the right having a radius of 1472.55 feet to an arch length of 685 .32 feet, being substended by a chord of N 25°03 '29" W for a distance of 679 .15 feet along said existing right of way; THENCE N 14°34'26" W along said existing right of way for a distance of 130.55 feet to the existing controlled access of U.S. Highway 65; THENCE N 40°37'21" W along said existing controlled right of way for a distance of 408.60 feet; THENCE N 05°33 '2 l" W along said existing controlled right of way for a distance of 575.50 feet; THENCE along a curve to the left having a radius of 596.62 feet and an arc length 41.30 feet being substended by a chord of N 49°09' 34" W along said

Page 5of11 controlled right of way for a distance of 41.29 feet to the POINT OF BEGINNING containing 9.38 acres, more or less.

The initial licensed casino operator of the casino in Boone County shall make an initial investment of at least one hundred million dollars ($100,000,000) in land, capital improvements and equipment for the development of the Boone County casino.

(3) Miller County: An approximate 35 acre area in Miller County, Arkansas, as identified by the Miller County Assessor, as of March 26, 2018, as a portion of parcel number 0840020, and having a street address of 7815 U.S. Highway 67 East, Texarkana, Arkansas, more specifically described as: All that certain lot, tract, or parcel of land lying and situated in the N Yi of Section 30, Township 14 South, Range 27 West, Miller County, Arkansas, and being more particularly described by metes and bounds as follows: COMMENCING at a W' steel rod found for a corner, said line being on a line for the North boundary line of U.S. Highway 67, and also being on the South line of the SE Vi of the NW Vi of said Section 30, and also being the POINT OF BEGINNING;
THENCE N 87°17'37" W 1563.73 Feet to a found W' steel rod for a comer, said rod also being the SW corner of the SW Vi of the NW Vi of said Section 30; THENCE N 02°12'58" E 1554.23 Feet along the West line of the said SW Vi of the NW Vi, and extending along the West line of the NW Vi of the NW Vi of said Section 30 to a Yz" steel rod found for a corner lying on the South Right-of Way line oflnterstate 30; THENCE S 50°29' 50" E 2199. 79 Feet to a point for a corner, said point being on the North Right-of- Way line of U.S. Highway 67, and also being in the SE Vi of the NW Vi of said Section 30; THENCE S 40°39'26" W 300 Feet along the North Right-of-Way line of U.S.
Highway 67 to the POINT OF BEGINNING and containing 35.47 Acres of land, more or less, and being subject to all easements by utilities, and or roads.

The initial licensed casino operator of the casino in Miller County shall make an initial investment of at least sixty million dollars ($60,000.00) in land, capital improvements, and equipment for the development of the Miller County casino.

(4) Pulaski County: An approximate 200 acre area in Pulaski County, Arkansas, as identified by the Pulaski County Assessor, as of March 21, 2018, as parcel numbers 44R0290000500, 44R0290000600, 44R0200006300 and 44R0300000100, more specifically described as: The N Yz of the NW Vi and the SW Vi of the NW Vi of Section 29, the NE Vi of the NE Vi of Section 30, the SW Vi of the SW Vi and a part of the NW Vi of the SW Vi of Section 20, all being in Township 1 North, Range 13 West, Pulaski County, Arkansas, more particularly described as follows: BEGINNING at the common Section comer between Sections 19, 20, 29 and 30, Township 1 North, Range 13 West;
THENCE along the West line of said Section 20, N 01°4 7' 48" E a distance of 1732.82 feet; THENCE S 87°53'58" Ea distance of210.20 feet; THENCE N 01°47'20" Ea distance of 722.76 feet; THENCE N 67° 23'49" Ea distance of 204.40 feet; THENCE N 04° 25'44" Ea distance of 79.90 feet; THENCE S 87°51 '48" Ea distance of240.22 feet;
THENCE S 03°05'58" Wadistance of306.71 feet; THENCE S 87°17'13" Ea distance of200.00 feet; THENCE S 02°12'43" W a distance of 1012.64 feet; THENCE S 87°21' 16" E a distance of 467.42 feet to a 1/2 inch rebar near the NE comer of the SW Vi

Page 6of11 of the SW \/,i of said Section 20; THENCE S 00°52'51" W a distance of 1296.51 feet to the W 1/16 comer of said Sections 29 and 20; THENCE S 87°50' 11" Ea distance of 1313.91 feet to the NE comer of the NE \/,i of the NW \/,i of said Section 29; THENCE S 01° 41 '0 l" W a distance of 1311.26 feet to the SE comer of the NE \/,i of the NW Y4 of said Section 29; THENCE N 87° 44'45" W a distance of 1309.75 feet to the NW 1/16 comer of said Section 29; THENCE S 01°41 '02" W a distance of 1309 .45 feet to the SE comer of the SW \/,i of the NW Y4 of said Section 29; THENCE N 87°35'15" W a distance of 1307.88 feet to the W Y4 comer of said Section 29; THENCE N 01°27'3 l" Ea distance of 1306.53 feet to the common N 1/16 comer between said Sections 29 and 30; THENCE N 88°22'04" W a distance of 1319.82 feet to the SW comer of the NE \/,i of the NE Y4 of said Section 30; THENCE N 01°04' 16" Ea distance of 1313.68 feet to the NW comer of the NE \/,i of the NE Y4 of Section 30; THENCE S 88°03'43" Ea distance of 1328.75 feet to the POINT OF BEGINNING. AND Being subject to a Permanent Easement recorded as Instrument No. 2006036599, records of Pulaski County, Arkansas, being a part of the SW \/,i of Section 20, Township 1 North, Range 13 West, more fully described as follows: COMMENCING at the NW comer of said SW \/,i and run S 01°47'48" W along the West line thereof for a distance of 315.04 feet to the South right of way line of Lawson Road; THENCE N 62°35'35" E along the South right of way line of said Lawson Road for a distance of 84.80 feet; THENCE N 61°45' 1O" E along said South right of way for a distance of 152.80 feet; THENCE with a curve turning to the right with an arc length of 3.74 feet, a radius of 475.00 feet, a chord bearing ofN 61°58'42" E, a chord length of 3.74 feet to the POINT OF BEGINNING; THENCE with a curve turning to the right with an arc length of 19.54 feet, a radius of 475.00 feet, a chord bearing ofN 63°22'56" E, with a chord length of 19 .54 feet to a point on the South right of way line of Lawson Road; THENCE leaving said right of way, S 20°08'23" W a distance of 21.28 feet; THENCE S 28°08' 16" W a distance of 21.52 feet; THENCE S 41°11'40" W a distance of 1.47 feet; THENCE N 01°47'20" Ea distance of 31.32 feet to the POINT OF BEGINNING. LESS AND EXCEPT: A part of the SW Y4 of Section 20, Township 1 North, Range 13 West, Pulaski County, Arkansas and being more fully described as: COMMENCING at a Found l" pipe marking the SW Comer of the SW Y4 of said Section 20, and run THENCE S 87°49'38" E along the South line thereof for a distance of 1313.91 feet; THENCE N 00°53'25" E for a distance of 408.92 feet to the POINT OF BEGINNING of the land herein described; THENCE continuing N 00°53'25" E for a distance of 887.58 feet; THENCE N 87°20'43" W for a distance of 801.44 feet; THENCE S 45°39' 4 7" W for a distance of 105.67 feet to the point of curvature of a curve to the left that has a delta angle of 59°39'56", a radius of 230.00 feet, and a chord bearing and distance of S 15°49' 49" W for 228.84 feet; THENCE along the arc of said curve to the left a distance of 239 .51 feet to the point of tangency of said curve to the left; THENCE S 14°00'09" E for a distance of 433.78 feet to the point of curvature of a curve to the right that has a delta angle of21°18'59", a radius of 320.00 feet, and a chord bearing and distance of S 03°20'39" E 118.37 feet; THENCE along the arc of said curve to the right a distance of 119.05 feet to the point of tangency of said curve to the right; THENCE S 07°18'51" W for a distance of79.38 feet; THENCE S 89°06'35" E for a distance of 823.14 feet to the POINT OF BEGINNING.

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 The initial licensed casino operator of the casino in Pulaski County shall make an initial investment of at least one hundred million dollars ($100,000,000) in land, capital improvements and equipment for the development of the Pulaski County casino.

(b) Each of the casinos shall be subject to all applicable state laws and local ordinances related to health and building codes, or any related requirements and provisions. Notwithstanding the foregoing, no local zoning, land use laws, subdivision regulations or similar provisions shall prohibit the development or operation of the casinos authorized herein, provided that no casino shall be located in an area zoned exclusively residential as of January 1, 2018.

§ 5. Taxation.

(a) Each casino shall pay an annual net casino gaming receipts tax equal to twenty percent (20%) of its annual net casino gaming receipts to the Arkansas State Treasury.

(b) The revenue generated by the net casino gaming receipts tax shall be distributed seventy percent (70%) to the State Highway and Transportation Department Fund as identified in Ark. Code Ann. Section 19-6-405 or its successor fund, fifteen percent (15%) to be equally divided among all other counties in Arkansas in which a casino is not operating during the month for which the net casino gaming receipts tax is paid, eight percent (8%) to the general revenue fund, three percent (3%) to the Arkansas Economic Development Commission Industry Training Program or its successor program, one percent ( 1%) to the Arkansas Department of Human Services for gambling disorder prevention services, one percent (1 %) to the county in which the casino is located, and two percent (2%) to the city or town in which the casino is located and, in the event the casino is not located within a city or town, then the two percent (2%) allocated to the city or town shall go to the county in which the casino is located.

(c) Annual net casino gaming receipts are defined as gross receipts for a 12-month period from casino gaming, less amounts paid out or reserved as winnings to casino gaming patrons for that 12-month period. Amounts paid out or reserved as winnings to casino gaming patrons and the annual net casino gaming receipts taxes paid or reser\red are deductible for purposes of calculating the casino's net income under the Income Tax Act of 1929 (Ark. Code Ann. Sections 26-51-101 et seq.) and any amendments or replacements thereto.

(d) The tax imposed by Arkansas Gross Receipts Act of 1941 (Ark. Code Ann. Sections 26-52- 101 et seq.), any amendments or replacements thereto, and any related local gross receipts taxes, shall not apply to casino gaming receipts, and no additional tax on casino gross receipts shall be imposed by the State or by counties, municipalities or other units of local government. Except for the exclusion in the previous sentence, each casino shall be subject to the same income, property, sales, use, employment or other taxation or assessments as any for-profit business located in the county and city or town in which the casino is located. No additional State or local taxes, fees, or assessments shall be imposed on the casinos except as authorized in this Amendment.

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§ 6. Other Operational Provisions.

(a) Casinos may operate any or all days of the year and for any or all portions of a 24-hour day.

(b) Notwithstanding that current Arkansas law prohibits selling or complimentary serving of alcoholic beverages on Christmas Day, Casinos shall be permitted to sell alcoholic beverages or provide complimentary servings of alcoholic beverages during all hours in which the casino is operating. Casinos shall be subject to all applicable Arkansas laws involving the distribution and sale of alcohol that do not conflict with the previous sentence.

§ 7. Legal Shipment of Gambling Devices into State.

All shipments of gambling devices, including slot machines, into any county of this State within which casino gaming is authorized, the registering, recording, and labeling of which has been duly performed by the manufacturer and/or dealer thereof in accordance with 15 U.S.C. §§ 1171- 1178 and amendments and replacements thereto, shall be deemed legal shipments thereof into any such county of this State within which casino gaming is authorized.

§ 8. Amendment by General Assembly.

(a) Except as provided in subsection (b) of this section, the General Assembly shall not amend any provision of this Amendment.

(b) The General Assembly, in the same manner as required for amendment of laws initiated by the people, may amend Section 3 and Section 5 of this Amendment, so long as the amendments are germane to Section 3 and Section 5 and consistent with the policy and purposes of Section 3 and Section 5. :

§ 9. County Option.

(a) A county in which a casino is to be located under Section 4(a) of this Amendment may prohibit the initial authorization under Section 4(a) of this Amendment if such a prohibition is approved at an election pursuant to this section.

(b)(l) (A) An election under this section must be called by a petition signed by registered voters in the designated county in a number equal to thirty eight percent (38%) of the registered voters.

(B) The collection of the signatures for the petition shall not begin before November 7, 2018.

(2) The petition shall be filed with the county clerk of the county in which the petition is circulated by January 7, 2019.

(3) The county clerk shall verify the signatures on the petition and determine the sufficiency of the petition no later than ten (l 0) days after the petition is submitted.

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 (4) The total number of voters registered as certified by the county clerk to the Secretary of State by June 1, 2018, pursuant to Amendment 51 of this Constitution, shall be the basis upon which the number of signatures of qualified electors on petitions shall be computed.

(5) If no appeal is taken from the certification of the county clerk, the decision shall be certified immediately to the county board of election commissioners, and the day for the election shall be fixed by the county board of election commissioners for not later than thirty (30) days after certification by the county clerk.

(c)(1) If an appeal is taken from the certification of the county clerk, it shall be taken within ten (10) days and shall be considered by the circuit court within five (5) days after the appeal is lodged with the court and shall have precedence over all other suits and matters before the court.

(2) The circuit court shall render its decision within ten (I 0) days thereafter.

(d)(l)(A) The circuit court's decision shall be certified immediately to the county board of election commissioners, and the day for the election shall be fixed by the county board of election commissioners for not later than thirty (30) days after the certification of the decision of the circuit court.

(B) Any appeal from the final decision of the circuit court shall be taken within ten ( l 0) days and shall be advanced and immediately determined by the Arkansas Supreme Court.

(2) If the Arkansas Supreme Court's decision is in favor of the petitioners, then the county board of election commissioners shall set the day for the election, which shall be not later than thirty (30) days after the final decision of the Arkansas Supreme Court on the matter.

(e) Except as provided in this Section 9, a petition for a county option election pursuant to this section shall be governed by Article 5, § 1, of this constitution and statutes thereunder.

§ 10. Severability.

If any provision of this Amendment or the application of any such provision to any person or circumstance is held invalid, the validity of any other provision of this Amendment, or the application of such provision to other persons and circumstances, shall not be affected thereby, and to this end the provisions of this Amendment are declared to be severable.

§ 11 Inconsistent Provisions Inapplicable.

All provisions of the Constitution of this State and statutes of this State, including, but not limited to, laws forbidding the judicial enforcement of gambling debts and statutes declaring gambling to be crimes, to the extent inconsistent or in conflict with any provision of this Amendment are expressly declared null and void as to, and do not apply to, any activities allowed under this Amendment. However, this Amendment does not repeal, supersede, amend, or otherwise affect Amendment 84 (bingo or raffles) or Amendment 87 (state lottery) to the

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Arkansas Constitution, or Act 1151 of 2005 (electronic games of skill) (Ark. Code Ann. Sections 23-113-101 et seq.).

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