DRAFT BILL

Regulation of bingo.

Sponsored by:  Joint Travel, Recreation, Wildlife and Cultural Resources Interim Committee

A BILL

for

AN ACT amending the definition of bingo; allowing Bingo, electronic bingo, electronic pull tabs, pull tabs and Monte Carlo games under certain conditions and licensing as an activity; authorizing the Pari-mutuel commission as a regulating authority to prohibit and restrict gaming activities; specifying entities authorized to conduct said games; specifying conditions; and providing for an effective date.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1.  W.S. 6-1-101 is amended to read:

(a)          As used in this article:

(d)  Raffles, or bingo, electronic bingo, pull tab or electronic pull tabs, or Monte Carlo Events conducted, or pull tabs sold, by charitable or nonprofit organizations where the tickets for the raffle or bingo are sold only in this state and the pull tabs, or electronic pull tabs are sold only on the premises owned, leased, sub leased, or occupied by the charitable or nonprofit organization;

(h)  Bingo and pull tabs conducted in accordance with W.S. 6-7-105.

          (xi)  “Bingo” means a game of chance commonly known as Bingo, which is played for prizes, including monetary prizes, with cards or electronic representations bearing numbers or other designations, in which the holder of the card covers such numbers or designations when objects, similarly numbered or designated, are drawn or electronically determined, and in which the game is won by the first person covering a previously designated arrangement of numbers or designations on such cards.

(xii)“Monte Carlo” means a Las Vegas style entertainment and or game where no actual money or cash is used in wagering or winnings.

(xiii)“Pull Tab” means a ticket with its face covered to conceal one (1) or more numbers or symbols, where one (1) or more tickets in each set have been designated in advance as a winner or electronic pull tab equipment that utilizes video images and simulates the paper pull tab game of chance.

SECTION 2.  W.S. 6-7-105 is created to read:

6-7-105        Bingo permitted for restricted purposes; conditions.

(a)  The game of bingo, electronic bingo, pull-tabs, electronic pull-tabs and Monte Carlo events as defined in W.S. 6-7-101 shall not be construed as gambling under this article if all of the following are met.

(i) The bingo game is conducted by:

(A)  A bona fide congressionally chartered veterans' organization or its duly organized auxiliary;

(B) A religious, charitable, non-profit corporation incorporated under the laws of Wyoming, educational or fraternal organization;

(C)  A local civic or service club; or

(D)  A volunteer fire Commission.

(ii)  The entity conducts social activities other than bingo operations in this state; and

(iii) The organization conducting the bingo, electronic bingo, pull tab or electronic pull tabs, or Monte Carlo event must be licensed by the Pari-mutuel Commission, hereafter the “Commission”.

(iv)Other than the money or other prizes awarded to players winning bingo and approved expenses, the moneys paid to play bingo do not inure to the benefit of any individual.  Nothing in this paragraph shall be construed to prohibit compensation authorized under paragraph (vi) of this subsection nor to prohibit the entity conducting the bingo operation from donating funds to a single individual for benevolent purposes;

(A)  When a charitable, fraternal or religious organization is licensed by the Commission to conduct bingo, electronic bingo, pull tab, electronic pull tabs, or Monte Carlo events, only the organization itself or an employee thereof authorized by the Commission shall receive money or property or otherwise directly profit from the operation of the games, except that:

(1)         The organization operating the games may present

a prize of money or other property to any player not involved in

the administration or management of the games;

          (2) An organization licensed to conduct Monte Carlo

events may contract with a licensed supplier of Monte Carlo event equipment to operate the event, including the provision of equipment, supplies and personnel, provided that the licensed supplier is paid a fixed fee to conduct the event and the imitation money is sold to players by employees or volunteers of

the licensed charitable, fraternal or religious organization.

          (3) A person may sell, rent or lease equipment, including electronic equipment, proprietary computer software and real property to a licensed charitable, non-profit corporation, fraternal or religious organization. Rent or lease payments must be made in compliance with the provisions of Commission.

(4)  A charitable, non-profit corporation, fraternal or religious organization may not operate bingo, electronic bingo,  pull tab, electronic pull tab or raffle games or Monte Carlo events except at such locations and upon such days and for such periods of time as the Commission authorizes pursuant to this section.

(5)

(a) An organization licensed by the Commission to operate bingo, electronic bingo, pull tab, or electronic pull tab games may not award a prize exceeding $2500.00 (two thousand five hundred)in value in any one game. An organization licensed by the Commission to operate a Monte Carlo event may not present any prize of money or a cash equivalent, to any player.

(b) A bingo licensee may operate two games per year with a prize not to exceed $10,000 per game and, if approved by the Commission, may also participate in a linked progressive game involving only Wyoming licensees, without regard to the number of games or the size of the prize awarded.

(4) Each charitable, fraternal, non-profit corporation, or religious organization that maintains, conducts or operates any bingo, electronic bingo, pull tab or electronic pull tab games, raffle games or Monte Carlo event under license of the Commission must operate such games in accordance with rules adopted by the Commission.

(5) It is unlawful for a licensee to permit the operating expenses of the games to exceed 40 percent of the annual handle of its bingo, electronic bingo, pull tab or electronic pull tab and raffle operation.

(6) It is unlawful for a charitable, fraternal, non-profit corporation or religious organization licensed by the Commission to operate bingo, electronic bingo, pull tab or electronic pull tab or raffle games if the games and events do not generate for the organization’s purposes, after the cost of prizes and operating expenses are deducted from the handle, an amount that equals or exceeds five percent of the handle.

The provisions of this paragraph do not apply to bingo games conducted in connection with any of the following events:

(A) A county fair;

(B) The state fair; or

(C) A civic celebration recognized by resolution or other similar official action of the governing body of a county, city or town.

SECTION 3.  W.S. 6-7-106 is created to read: 

(1) The Commission shall have the following powers and duties relating to the regulation of bingo, electronic bingo, pull tab, electronic pull tab, raffle games or Monte Carlo events:

(a) To authorize and regulate the operation of bingo, electronic bingo, pull tab, electronic pull tab, raffle games and Monte Carlo events permitted under this  section and to adopt rules in accordance with applicable provisions of Wyoming Statutes for the performance of the Commission’s duties.

(b)To issue and renew licenses and permits for operation or bingo, electronic bingo, pull tab, electronic pull tab, raffle games and Monte Carlo events, including the manufacturers and suppliers of equipment and supplies necessary for the operation of such activities and escrow agents holding money or property to be awarded as a prize, and to adopt license and permit fees. Licenses and permits shall be valid for a period of one year unless renewed. The Commission shall set fees at an amount sufficient to cover all costs incurred by the Commission in its activities. License fees shall consist of an initial payment, which shall be in an amount established by rule, prior to issuance or renewal of the license.  An applicant for a license or a permit shall submit with the application a sum adequate to pay the required initial fee payment. If the application is later withdrawn by the applicant or if it is denied by the Commission, the Commission shall retain such portion of the amount submitted to it as will pay the reasonable costs expended for processing and investigating the application. In a particular case, if the fee adopted by the Commission is less than the actual expenses of the Commission to investigate that particular application, the Commission may charge to that particular applicant an additional fee to repay the Commission for those costs. The Commission may refuse to proceed with its investigation or to issue a license until the Commission has been fully paid for those costs. The Commission may develop rules regulating the necessity and extent of background checks necessary to conduct the activities allowed by this Statute.  The licensing and operational requirements for licensees and the extent to which background checks are conducted under paragraph (d)(B) of this subsection shall be commensurate with the size the licensee’s bingo, electronic bingo, pull tab, electronic pull tab, raffle or Monte Carlo event operations. The Commission shall adopt rules exempting from licensing any organization that would otherwise qualify for a license and that is engaged in minimal bingo, electronic bingo, pull tab or electronic pull tab, raffle or Monte Carlo event activity.

(a)         To prescribe the manner and method of payment of all moneys to be paid to or collected by the Commission.

(b)         To adopt requirements as to what information an applicant must provide to the Commission. 

(c)          An applicant shall certify, under oath, that the persons named on the application are all of the persons known by the applicant to have an interest in the bingo, electronic bingo, pull tab or electronic pull tab, raffle or Monte Carlo event operation or the premises on which the operation is conducted including all officers and directors of the applicant organization.

(d)         The Commission may require fingerprints, a photograph, a handwriting sample and background checks on any person seeking a license or on any person holding an interest in any

bingo, electronic bingo, pull tab, electronic pull tab, raffle or Monte Carlo event. The Commission may also require fingerprints or background checks of any manager or other employee of such a bingo, electronic bingo, pull tab, electronic pull tab, raffle or Monte Carlo event operation.

(e)  To adopt record keeping requirements for licensees of the Commission and the submission of reports to the Commission as the Commission determines necessary. The Commission may require licensees to record and report income from bingo, electronic bingo, pull tab, electronic pull tab,and Monte Carlo events, the amounts received, the costs and expenses of operations.

(f) To regulate the manner of operation of bingo, electronic bingo, pull tab, electronic pull-tab and Monte Carlo events conducted by licensees, including the approval of which games may be played and the equipment to be used. The Commission shall regulate the types of equipment, rules and methods of play to ensure the integrity and fairness of the games.

(g) To cooperate with state and local law enforcement agencies in investigating matters within the scope of the Commission’s duties and responsibilities.

(h) The Commission may not require persons working as volunteers in a bingo, electronic bingo, pull tab or electronic pull tab, raffle or Monte Carlo event operation conducted by a bona fide charitable, non-profit corporation, fraternal or religious organization to obtain permits for such work if the persons do not receive compensation of any kind from the organization other than reimbursement for actual or reasonable expenses, or have any managerial or supervisory responsibility in connection with it. The Commission may require that bingo, electronic bingo pull tab or electronic pull tab, raffle and Monte Carlo event operators employing unlicensed volunteers submit to the Commission periodically the names, addresses and dates of birth of the volunteers. The Commission may adopt reasonable character standards for volunteers, and if a volunteer does not meet the standards, the Commission may require that the licensee not allow the volunteer to work for the licensee.

Section 4.  W.S. 6-7-107 is created to read:

          1) The Commission by rule may establish limits on the number of hours per day and days per week that organizations licensed by the Commission may operate bingo, electronic bingo, pull tab, electronic pull tab games or Monte Carlo events.

(2)         An organization authorized by law to operate Monte Carlo events:

          May not enter into a binding legal contract with a licensed supplier of Monte Carlo equipment to conduct events for a period in excess of one year.

(3)         No Monte Carlo event shall be conducted that exceeds 12 hours in length. For the purposes of this subsection, each 12-hour period shall begin at the official starting time of the Monte Carlo event and run continuously, whether or not contests of chance are continuously operated. Monte Carlo events shall not be conducted at the same location more than 15 times in a calendar month or more than 180 times in a calendar year.

SECTION 5. W.S. 6-7-108 is created to read:

(1)          The Commission may prohibit the operation of a licensed bingo, electronic bingo, pull tab, electronic pull tab, raffle or Monte Carlo event operation if, in the determination of the Commission, on which the operation is conducted, or the fees for Monte Carlo event services or equipment by a supplier of  gaming equipment, are unreasonably high.  The Commission may by rule establish additional standards of suitability for premises used in the conduct of bingo, electronic bingo, pull tab, electronic pull tab, or Monte Carlo events.

(2)         As used in subsection (1) of this section, “unreasonably high” means that the price charged for equipment or services is significantly above the fair market value for equipment or services and the amount charged for the equipment or services will result in a comparatively small profit for the licensee.

(3)         An organization conducting bingo, electronic bingo, pull tab or electronic pull tab, raffle or Monte Carlo event operation shall keep such records of the operation as required by the Commission.

(4)         The Commission shall establish rules for the keeping of records by the Licensee and the inspection of said records.

Section 6.   This act is effective July 1, 2005.