Chapter 92-2 NONPROFIT BINGO GAMES
|(1)||These rules and regulations are promulgated pursuant to the Official Code of Georgia, Title 16, Chapter 12, Article 2, Part 2.|
|(2)||Any licensee, member, agent, representative or employee of a non-profit corporation licensed hereunder, who while the organization holds the license, shall violate any provision of the Act or rules and regulations issued pursuant thereto, or direct, consent to or acquiesce in any violation of the same shall forfeit the applicable license, or licenses through suspension or revocation, whichever the Director determines.|
|(3)||The failure of anyone holding a license to meet any obligation imposed by any law of the State of Georgia shall also be grounds for suspension or revocation of such license.|
|(1)||"Bingo Game" means only a game of chance played on cards with numbered squares in which counters or indicators are placed on numbers chosen by lot and won by covering a previously specific number or order of numbered squares. A bingo game may be played manually or with an electronic or computer device that stores the numbers from a player's card or cards, tracks the numbers chosen by lot when such numbers are entered by the player, and notifies the player of a winning combination. Such words, terms or phrases, as used in this subsection, shall be strictly construed to include only the series of acts generally defined as bingo and shall exclude all other activity.|
|(2)||"Director" means the Director of the Georgia Bureau of Investigation.|
|(3)||"Operate," "operated," or "operating" means the direction, supervision, management, operation, control, or guidance of activity.|
|(4)||"Bingo session" means a time period during which bingo games are played.|
|(5)||"Lease" and "rental" means the leasing or renting of equipment or premises used to conduct bingo and the possession or use thereof by the lessee or rentee for a consideration, without transfer of the title of such equipment.|
|(6)||"Equipment" means any and all equipment used to facilitate the operation of a bingo game. It includes, but is not limited to, tables, chairs, counters, bars, floors, cards, markers, and public address systems used at any time in the operation of a bingo game regardless that the equipment may also be used for other purposes.|
|(7)||"Bingo Proceeds" and "receipts from any bingo operation" means the total receipts from the operation of any bingo game or games by any licensee.|
|(8)||"Recreational bingo session" means, in addition to any other qualification or requirement imposed by statute or regulation, a bingo session operated by any person or entity at no charge to participants in which the prizes for each bingo game during the bingo session shall be noncash prizes and the total of such prizes for each such game shall not exceed $15.00 as established pursuant to regulations established by the director. No such noncash prize awarded in recreational bingo shall be exchanged or redeemed for money; or for any other prize with a value in excess of the amount established pursuant to regulations established by the director.|
|(9)|| "Electronic Bingo
Card Dauber" means an electronic device or apparatus used by a bingo player to
monitor bingo cards purchased at the time and place of a licensed
organization's bingo session, and which:
|(10)||Licensee is the individual or entity that holds the bingo license that has been issued by the director.|
|(11)||Participant is the individual or entity who is paying to play bingo at the licenses premises.|
|(12)||Distributor is the individual or entity that is selling products to the licensee for use in its bingo operation.|
|(13)||Manufacturer is the individual or entity that develops, creates, modifies bingo products for use at the licensee's premises.|
|(14)||Operator is the individual or entity that the licensee utilizes to conduct the bingo game under the license issued by the director.|
Any bingo session at which cash prizes are awarded shall be conducted only by nonprofit tax exempt organizations which are properly licensed by the Director. Nonprofit tax exempt organizations who operate recreational bingo games at no charge to participants in which the participants are senior citizens attending a function at a facility of the tax exempt licensed organization or are residents of nursing homes, retirement homes, or hospitals and in which the prizes for each bingo game during the bingo session shall be nominal cash prizes not to exceed $5.00 for any single prize and the total of such prizes for each such game shall not exceed the amount established pursuant to regulations established by the director.
|(1)||Before any nonprofit tax exempt organization shall be licensed to operate bingo games, such organization shall submit a license application to the Georgia Bureau of Investigation on forms prescribed by the Bureau.|
addition to any information required in the prescribed application, the
Director may require any additional information reasonable and necessary to
make a determination as to whether a license should be issued. Each application
for a license and each application for renewal of a license must be accompanied
by, but not limited to, the following:
|(3)||Any untrue, misleading, or omitted statement or information contained in the application and its supporting documents or furnished the Director or his Agents in response to any investigation of the application or license is cause for denying the issuance of a license; if any license has been previously issued, it is cause for revocation or suspension of such license.|
|(4)||Any license issued pursuant to the Act or these rules and regulations is valid only for the premises for which the license has been issued and shall be displayed conspicuously at the location where the bingo game is conducted.|
All bingo licenses are annual, and licenses issued during the calendar year expire at midnight on the December 31st following the date of issuance of the license. Renewal applications for each calendar year shall be filed with the Director no later than sixty (60) days prior to January 1st of each year and shall be on forms provided and prescribed by the Director.
|(1)||The total cost of leasing the premises used by a nonprofit tax exempt organization in its bingo operation shall not exceed the fair market rental value of such premises and may not be based on gross receipts, gross proceeds, or any other scale or percentage that is related to or dependent upon the amount of revenue created by the bingo operation. No salaries, fees or payments of any type shall be made to any person or entity based upon a scale or percentage that is related to or dependent upon receipts from a bingo operation.|
|(2)||The diversion of bingo proceeds from the nonprofit organization operating bingo games, except in the manner expressly authorized by the Act and under these regulations, is contrary to the legislative intent of the Act and contrary to the public welfare and constitutes a violation of these rules.|
|(3)||No licensee may make any payments, give any compensation or divert any proceeds from receipts from any bingo operation to any person or entity, other than to the licensed nonprofit organization itself in furtherance of the legitimate nonprofit aims of the organization, except in exchange for goods or services actually provided or rendered and then only in an amount equal to the fair market value of the goods or services.|
|(4)||No organizational member, agent, representative or profit making organization shall derive any financial benefit from any bingo operation licensed under the Act and these regulations with the exceptions of the salaries and fees expressly authorized by these regulations and the Act and then only a reasonable profit shall be derived. No employee/operator or an agent acting on the behalf of the employee/operator may participate in the playing of bingo, during a session in which the employee/operator has assisted the organization in the operation of its bingo game.|
Any change involving or affecting the nonprofit tax exempt organization or the bingo operation, including but not limited to, the election or resignation of directors/officers, change of address, dates and times of bingo games, which causes the information provided by the applicant in the license or renewal application or during the license investigation to be incorrect or incomplete, must be reported to the Bureau within 15 days of the change.
|(1)||The bingo licensee is required to own or lease all equipment used to conduct the bingo games.|
|(2)||Ownership means that legal title and possession of the equipment shall be in the name of the licensee on the date it first begins operating under the State license; and financing arrangements which in any way tie purchase payments or rental fees for equipment or supplies to receipts from the bingo operation are prohibited. Copies of all contracts involving equipment used to conduct bingo games shall be provided to the Director.|
Any bingo license issued by the Director shall become invalid upon the revocation of the licensee's tax exempt status by either the Internal Revenue Service or the Georgia Department of Revenue.
A report must be filed with the Director each year disclosing the gross receipts and all expenses and expenditures associated with the operation of the bingo games. Such report shall be filed with the Director on or before April 15th. The report must be prepared on the form prescribed and provided by the Director. The report must be prepared and authenticated by a Certified Public Accountant.
Only nonprofit tax exempt organizations properly licensed by the Bureau shall operate bingo games. No contracts are allowed by any licensee or license applicant with any other party which involve the other party's providing a id to the nonprofit tax exempt organization in any way concerning the bingo operations of said nonprofit tax exempt organization.
No person shall participate, other than by playing bingo, in any manner in, nor assist in any way with regard to the bingo operations of a nonprofit tax exempt organization of which he is a member unless:
|(a)||he has been domiciled in the State of Georgia for a minimum of six (6) months; or|
|(b)||he has been a member of the organization for at least one (1) year and can produce a certified copy of his criminal history from the state in which he was domiciled.|
|(1)|| When contrary to the public interest and
welfare, no bingo license shall be issued by the Director to:
|(2)||The Director may decline to issue a State license to an organization for the operation of nonprofit bingo games when any person having any interest in the operation, or interest in the control over the premises or facility where the nonprofit games are to be played does not meet the qualifications set forth herein.|
|(3)||If the Director has reason to believe that the applicant is not entitled to the license for which it has applied, he shall notify the applicant thereof, and upon request by the applicant, afford it due notice and opportunity for hearing on the application. If the Director, after affording such notice and opportunity for hearing, finds the applicant is not entitled to a license hereunder, the applicant shall be advised in writing of the findings upon which denial is based.|
|(4)||The Director may, after due notice and opportunity for hearing, suspend, or revoke the license of any organization which does not meet or continue to meet the requirements herein set forth at any time such knowledge is acquired by the Director.|
A nonprofit tax exempt organization may only conduct its bingo operations on premises of the following types:
|(a)||Premises owned by such nonprofit tax exempt organization.|
|(b)||Premises leased from another nonprofit tax exempt organization, provided such premises are owned by a nonprofit tax exempt organization.|
|(c)||Premises leased from someone other than a nonprofit tax exempt organization or from a nonprofit tax exempt organization where someone other than a nonprofit tax exempt organization owns the premises, when such premises are used and were so used prior to application for the holding of the lessee organization's meetings or for some other major activity of the organization which is conducted on a regular basis and when such premises are not used primarily for bingo operations. "Regular basis" means at least 50% of the total time during which the premises are in actual use.|
After all bingo games involving prizes valuing $50 or more, the names and addresses of all persons winning prizes with a value of $50 or more, the amount of such prizes, and the number of each winning card shall be posted at the place where the bingo sessions are held and shall remain posted for six (6) bingo sessions subsequent to such winning session.
|(1)|| Except in accordance with the provisions
of this Rule, no person may participate in or be involved in any way with the
operation of an organization's bingo session unless:
|(2)||A person who is a member of more than one licensed organization can participate in the bingo operations of all such organizations in any given calendar year.|
No organization shall participate in practice which reduces or alters the random chance aspect of the selection of a winner.
|(a)||No modification shall be made to any bingo equipment used in the bingo games which alters or reduces the random chance to win.|
|(b)||Bingo cards shall be provided by the licensee on a random basis to players. Bingo cards shall not be reserved from session to session.|
|(c)||No cards shall be distributed free of charge to players.|
No licensee shall lend its name or identity to anyone for use, or allow the use of its name in a manner which results in false or misleading promotions, or advertisements of unlawful bingo games, or lend its name or identity for use by any individual, firm, association or corporation for use in the operation or advertising of a bingo game in which the licensee is not directly and solely operating the bingo game. A promotion or advertisement shall be deemed "false," "misleading," or "unlawful" when any activity or portion thereof being advertised or promoted is in violation of the Act or these regulations.
No person under the age of eighteen (18) years shall be permitted to play any game of bingo conducted pursuant to any license issued under these regulations unless accompanied by an adult. No person under the age of eighteen (18) shall be permitted to conduct or assist in the conducting of any game of bingo conducted pursuant to any license issued under these regulations.
No person or organization may receive any money or other consideration for salary, expense money, or any other fees for the operation of or assistance with regard to any bingo game, except that a maximum of $50 per day may be paid to each member of the licensed nonprofit tax exempt organization who assists in the conducting of such games on such day. No person shall receive more than $50 in any one day regardless of the number of games he conducts, assists in conducting, or otherwise participates in.
It shall be unlawful to award prizes in excess of $1,500 in cash or gifts of equivalent value during any calendar day or $3,000 in cash or gifts of equivalent value during any calendar week. It shall be unlawful to exceed such limit at any combination of locations operated by a single licensee or his agents or employees. It shall be unlawful for two or more licensees to pyramid the valuation of prizes in such a manner as to exceed the limits contained in this Code section. The term "equivalent value" shall mean the fair market value of the gift on the date the gift was given as the prize in a bingo game. Total amounts shall include the cost of all prizes awarded in conjunction with any bingo session whether such prized were awarded in conjunction with playing bingo or for some other reason.
No licensee shall conduct more than one (1) bingo session during any one calendar day, and no session shall exceed five (5) hours in length. It shall be a violation of these rules for two or more nonprofit tax exempt organizations which are properly licensed pursuant to OCGA § 16-12-50et seq to operate bingo games jointly or to operate bingo games upon the same premises during any 18 hour period.
|(1)|| A licensee that conducts or operates a
bingo session shall maintain the following records for at least three (3) years
from the date on which the bingo session is conducted. The records shall be
maintained on the standard format prescribed by the Director.
|(2)||The records must be kept and be readily available for inspection at any reasonable time. Such reasonable time shall include any time the nonprofit tax exempt organization is operating bingo games and the records shall be available on the premises where the bingo games are being conducted.|
|(1)||If a licensee has its license revoked, such organization shall not be eligible to reapply for another license for twelve (12) months to be computed from the date the license is surrendered to and received by the Bureau.|
|(2)||If a person is a member of more than two licensed organizations, and if one of the organizations which he has been assisting as a bingo worker has its license revoked, said person may only participate in the bingo operations of one licensed organization until the organization whose license has been revoked is eligible to reapply for a license; provided, however, that the revocation of the license did not result from actions of said person in which case he may not participate in any bingo operation until the organization whose license has been revoked is eligible to reapply for a license.|
|(3)||If a licensee has its license suspended, such organization shall not be eligible to operate a bingo game for one (1) to six (6) months, to be computed from the date the license is surrendered to and received by the Bureau.|
|(4)||If a person is a member of more than two licensed organizations, and if one of the organizations which he has been assisting as a bingo worker has its license suspended, said person may participate in only one other organization's bingo operation until the suspended license has been reinstated; provided, however, that the suspension of the license did not result from actions of said person in which case he may not participate in any bingo operation until the organization whose license has been suspended has been reinstated.|
Any act which may be construed as a subterfuge to violate; and any effort to circumvent, the Act, or any of these rules and regulations shall be deemed a violation of the provision attempted to be circumvented or avoided.
One of the individuals listed by the organization on the bingo license must be present at all times during the operation of any bingo game.
It shall be a violation of the rules for any licensee to permit any person to engage in any illegal activity on the premises for which the license is issued.
A compliance form prescribed and provided by the Director, which identifies persons responsible for bingo operations and requires newly elected officers to review pertinent bingo documents, must be filed each year upon election of new officers and submitted within 15 days of the election.
|(a)||All new officers will review the necessary bingo documents outlined on the GBI Compliance Form.|
|(b)||All new officers will sign and date the Compliance Form.|
|(c)||The GBI Timeline Form must be posted next to the Bingo License.|
|(1)|| Operation of Electronic Bingo Devices.
|(2)|| Minimum Receipt Standards.
|(3)|| Minimum Electronic Dauber