Bill Text: GA HB51 | 2009-2010 | Regular Session | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Georgia Bureau of Investigation; bingo games; Department of Revenue; provisions
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2010-03-11 - House Committee Favorably Reported [HB51 Detail]
Download: Georgia-2009-HB51-Comm_Sub.html
Bill Title: Georgia Bureau of Investigation; bingo games; Department of Revenue; provisions
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2010-03-11 - House Committee Favorably Reported [HB51 Detail]
Download: Georgia-2009-HB51-Comm_Sub.html
09 LC 35
1234S
The
House Committee on Public Safety and Homeland Security offers the
following
substitute
to HB 51:
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
amend Article 2 of Chapter 12 of Title 16 of the Official Code of Georgia
Annotated, relating to gambling and related offenses, so as to transfer the
responsibility for regulation of bingo games and issuance of bingo licenses from
the Georgia Bureau of Investigation to the Department of Revenue; to provide for
related matters; to provide an effective date; to provide for applicability; to
repeal conflicting laws; and for other purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
Article
2 of Chapter 12 of Title 16 of the Official Code of Georgia Annotated, relating
to gambling and related offenses, is amended by revising Part 2, relating to
bingo, as follows:
"Part
2
16-12-50.
It
is the intention of the General Assembly that, except for recreational bingo
by an
employer, only nonprofit, tax-exempt
organizations which are properly licensed pursuant to this part shall be allowed
to operate bingo games.
16-12-51.
As
used in this part, the term:
(1)
'Bingo game'
or
'nonprofit bingo game' means 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 specified
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 paragraph, shall be strictly construed to
include only the series of acts generally defined as bingo and shall exclude all
other activity.
(2)
'Bingo session' means a time period during which bingo games are
played.
(3)
'Commissioner'
'Director'
means the
director of
the Georgia Bureau of Investigation
state revenue
commissioner of the Department of
Revenue.
(3.1)
'Nonprofit, tax-exempt organization' means an organization, association,
corporation, or other legal entity which has been determined by the federal
Internal Revenue Service to be exempt from taxation under federal tax law and
which is exempt from taxation under the income tax laws of this state under Code
Section 48-7-25; which is organized or incorporated in this state or authorized
to do business in this state; and which uses the proceeds from any bingo games
conducted by such organization solely within this state.
(4)
'Nonrecreational bingo session' means any bingo session operated by a licensed
nonprofit tax exempt organization that:
(A)
Awards cash prizes greater than five dollars;
(B)
Charges participants;
(C)
Awards prizes for each game valued at more than fifteen dollars; or
(D)
Does not qualify as a recreational bingo session.
(4)(5)
'Operate,' 'operated,' or 'operating' means the direction, supervision,
management, operation, control, or guidance of activity.
(5)(6)
'Recreational bingo
session'
means 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 the amount 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. Recreational bingo shall also include a bingo
session operated by a nonprofit, tax-exempt licensed operator of 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, senior centers, 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. Recreational bingo shall also
include a bingo session operated by an employer with ten or more full-time
employees for the purposes of providing a safe workplace incentive and in which
the prizes are determined by the employer; provided, however, that no monetary
consideration is required by any participant other than the employer and the
employer expressly prohibits any monetary consideration from any employee.
Recreational bingo shall not be considered a lottery as defined in paragraph (4)
of Code Section 16-12-20 or a form of gambling as defined in Code Section
16-12-21.
a person or
entity at no charge to participants and is a bingo session:
(A)
In which the prizes for each bingo game during the bingo session shall be
noncash prizes, and the total value of the prize for each bingo game shall not
exceed the monetary value established by the commissioner or be exchanged or
redeemed for money or other prize with a value in excess of the total value
established by the commissioner;
(B)
Operated by a nonprofit, tax-exempt licensed operator of bingo games in which
the participants are seniors citizens or disabled persons and are residents of a
nursing home, retirement home, senior center, or hospital attending a function
at a facility of the tax-exempt licensed organization, and the prize value for
each bingo game during a bingo session shall not exceed $5.00 for any single
prize or the prize value established by the commissioner for the total prizes;
or
(C)
Operated by an employer with ten or more full-time employees for the purposes of
providing a workplace incentive and where the prizes are determined by the
employer, no consideration is required to participate, and the employer notifies
the employees that consideration is not required to participate; provided,
however, that no monetary consideration is required by any participant other
than the employer, and the employer expressly prohibits any monetary
consideration from any employee.
Recreational
bingo session shall not be considered a lottery as defined in paragraph (4) of
Code Section 16-12-20 or a form of gambling as defined in Code Section
16-12-21.
16-12-52.
(a)
Any other law to the contrary notwithstanding except for subsection (b) of this
Code section, no nonprofit, tax-exempt organization shall be permitted to
operate a bingo game until the
director
commissioner
issues a license to the organization authorizing it to do so. In the event of
any controversy concerning whether or not certain activity constitutes bingo for
which a license may be issued, the decision of the
director
commissioner
shall control. The license described in this Code section is in addition to and
not in lieu of any other licenses which may be required by this state or any
political subdivision
thereof,
and no.
No bingo game shall be operated until such
time as all requisite licenses have been obtained.
(b)
A recreational
bingo session as defined by subparagraph (C) of paragraph (6) of Code Section
16-12-51 shall not be subject to the licensing requirements of this Code
section.
Recreational
bingo is a nonprofit bingo game or a bingo game operated by an employer with ten
or more full-time employees for the purpose of providing a safe workplace
incentive and shall not be subject to the licensing requirements and regulations
provided in this part applicable to bingo games not considered recreational
bingo and operated by nonprofit, tax-exempt organizations.
16-12-53.
(a)
Any nonprofit, tax-exempt organization desiring to obtain a license to operate
bingo games shall make application to the
director
commissioner
on forms prescribed by the
Georgia
Bureau of Investigation
commissioner
and shall pay an annual fee of $100.00. No license shall be issued to any
nonprofit, tax-exempt organization unless the organization has been in existence
for 12 months immediately prior to the issuance of the license. The license
will
shall
expire at 12:00 Midnight on December 31 following the granting of the license.
Renewal applications for each calendar year shall be filed with the
director
commissioner
prior to
January
November
1 of each year and shall be on a form prescribed by the
Georgia
Bureau of Investigation
commissioner.
(b)
Each application for a license and each application for renewal of a license
shall contain the following information:
(1)
The name and home address of the applicant and, if the applicant is a
corporation, association, or other similar legal entity, the names and home
addresses of each of the officers of the organization as well as the names and
addresses of the directors, or other persons
similarly
situated
of like
position or authority, of the
organization;
(2)
The names and home addresses of each of the persons who will be operating,
advertising, or promoting the bingo game;
(3)
The names,
business addresses, and home addresses of
any persons, organizations, or other legal entities that will act as surety for
the applicant or to which the applicant is financially indebted or to which any
financial obligation is owed by the applicant
and the type
of indebtedness;
(4)
A determination letter from the Internal Revenue Service certifying that the
applicant is an organization exempt under federal tax law;
(5)
A statement affirming that the applicant is exempt under the income tax laws of
this state under Code Section 48-7-25;
(6)
The location at which the applicant will conduct the bingo games and, if the
premises on which the games are to be conducted is to be leased, a copy of the
lease or rental agreement;
(7)
A statement showing the convictions, if any, for criminal offenses other than
minor traffic offenses of each of the persons listed in paragraphs (1), (2), and
(3) of this subsection; and
(8)
Any other necessary and reasonable information which the
director
commissioner
may require.
(c)
The
director
commissioner
shall refuse to grant a bingo license to any applicant who fails to provide
fully the information required by this Code section
or who has
failed to file a state tax return or pay all state taxes that are due and
owing.
(d)
When a nonprofit, tax-exempt organization which operates or intends to operate
bingo games for residents and patients of a retirement home, nursing home, or
hospital operated by that organization
at
which, and
during each bingo session, the gross
receipts to
the nonprofit, tax-exempt organization are
or will
be limited to $100.00 or less during each
such
bingo
session,
and the
nonprofit, tax-exempt organization pays or
will pay prizes having a
total
value of $100.00 or less
during each
bingo session, then, notwithstanding any
other provision of this part or any rule or regulation promulgated by the
director
commissioner
pursuant to the provisions of Code Section 16-12-61, neither the applicant nor
any of the persons whose names and addresses are required under paragraphs (1)
and (2) of subsection (b) of this Code section shall be required to submit or
provide fingerprints or photographs as a condition of being granted a
license.
(e)
If the
director
commissioner
determines that an organization has one or more auxiliaries, the members of any
such auxiliary may assist in such organization's bingo operations, even if such
auxiliary holds a license under this part, and the members of the main
organization may assist in the bingo operations of any such licensed auxiliary.
16-12-54.
(a)
The
director
commissioner
shall have the specific authority to suspend or revoke any license for any
violation of this part or for any violation of any rule or regulation
promulgated under this part. Any licensee accused of violating any provision of
this part or of any rule or regulation promulgated hereunder shall be entitled,
unless waived, to a hearing on the matter of the alleged violation conducted in
accordance with Chapter 13 of Title 50, the 'Georgia Administrative Procedure
Act.'
(b)
By making application for a license under this part, every applicant consents
that the
director
commissioner,
as well as any of his
or
her agents, together with any prosecuting
attorney, as well as any of his
or
her agents, may
come
upon
enter
the premises of any licensee or upon any premises on which any licensee is
conducting a bingo game for the purpose of examining the accounts and records of
the licensee to determine if a violation of this part has occurred.
(c)
The failure to fully cooperate during an inspection or hindering or interfering
with an agent in the performance of his or her duties by any licensee or an
employee or other person acting on behalf of or with the approval of a licensee,
regardless of whether such person is receiving compensation from the licensee,
shall be a violation of this part. Interference or hindrance of an agent shall
include, but shall not be limited to, disorderly conduct and threatening or
appearing to threaten an agent or member of the public.
16-12-55.
The
director
commissioner
shall upon the request of any prosecuting attorney or his
or
her designee certify the status of any
organization as to that organization's exemption from payment of state income
taxes as a nonprofit organization. The
director
commissioner
shall also upon request issue a certificate indicating whether any particular
organization holds a
currently
valid license to operate a bingo game. Such certificates properly executed
shall be admissible in evidence in any
prosecution,
and Code Section 48-7-60, relative to the disclosure of income tax information,
shall not apply to the furnishing of such certificate.
16-12-56.
Notwithstanding
the other provisions of this part, the
director
commissioner,
upon receiving written application
therefor
and
determining the applicant eligible, shall
be authorized to issue a
one-time
temporary
license to a nonprofit, tax-exempt school which will allow it to operate a bingo
game
session
for one day
annually
for each
calendar year. In such cases, the
director
commissioner
shall have the power to waive the license fee provided for in Code Section
16-12-53, to waive the annual report provided for in Code Section 16-12-59, and
otherwise promulgate rules and regulations to carry out this Code
section.
16-12-57.
Bingo
games shall be operated only on premises
owned:
(1)
Owned by the nonprofit, tax-exempt
organization operating the bingo
game, on
property
leased;
(2)
Leased by the nonprofit, tax-exempt
organization
operating the
bingo game and used regularly by that
organization for purposes other than the operation of a bingo
game,;
or on
property leased
(3)
Leased by the nonprofit, tax-exempt
organization operating the bingo game from another nonprofit, tax-exempt
organization.
16-12-58.
No
person under the age of 18 years shall be permitted to play any
game
or games of bingo conducted pursuant to
any license issued under this part unless accompanied by
an
adult
a person 18
years of age or older. No person under
the age of 18 years shall be permitted to conduct or assist in the conducting of
any game of bingo conducted pursuant to any license issued under this
part.
16-12-59.
On
or before April 15 of each year, every nonprofit, tax-exempt organization
engaged in operating bingo games shall file with the
director
commissioner
a report disclosing all receipts and expenditures relating to the operation of
bingo games in the previous year. The report shall be in addition to all other
reports required by law. The report shall be prepared and signed by a certified
public accountant competent to prepare such a report and shall be deemed a
public record subject to public inspection.
16-12-60.
(a)
A licensee that conducts or operates a bingo session shall maintain the
following records for at least three years from the date on which the bingo
session is conducted:
(1)
An itemized list of the gross receipts for each
bingo
session;
(2)
An itemized list of all expenses other than prizes that are incurred in the
conducting of
the
each
bingo session as well as the name of each person to whom the expenses are paid
and a copy of
the receipt for all of the
expenses;
(3)
A list of all prizes awarded during
the
each
bingo session and the name and address of all persons who are winners of prizes
of $50.00 or more in value;
(4)
An itemized list of the recipients other than the licensee of the proceeds of
the bingo game, including the name and address of each recipient to whom such
funds are distributed; and
(5)
A record of the number of persons who
participate
participated
in any bingo session
conducted
by the licensee.
(b)
A licensee shall:
(1)
Own all the equipment used to conduct a bingo game or lease such equipment;
(2)
Display its bingo license conspicuously at the location where the bingo game is
conducted;
(3)
Conduct bingo games only at the single location specified in the licensee's
application; and
(4)
Not conduct more than one bingo session during any one calendar day, which
session shall not exceed five hours.
(c)
No nonprofit, tax-exempt organization shall enter into any contract with any
individual, firm, association, or corporation to have such individual, firm,
association, or corporation operate bingo games or concessions on behalf of the
nonprofit, tax-exempt organization.
(d)
A nonprofit, tax-exempt organization shall not lend its name nor allow its
identity to be used by any individual, firm, association, or corporation in the
operating or advertising of a bingo game in which said nonprofit, tax-exempt
organization is not directly and solely operating the bingo game.
(e)
It shall be unlawful for two or more nonprofit, tax-exempt organizations which
are properly licensed pursuant to this part to operate bingo games jointly or to
operate bingo games upon the same premises
during any
18 hour period
at the same
time.
(f)
It shall be
unlawful:
(1)
To
to
award prizes in excess of $1,500.00 in cash or gifts of equivalent value during
any calendar day or $3,000.00 in cash or gifts of equivalent value during any
calendar
week.;
(2)
To
It shall be
unlawful to exceed such limits at any
combination of locations operated by a single licensee or such licensee's agents
or
employees.;
and
(3)
For
It shall be
unlawful for two or more licensees to
pyramid the valuation of prizes in such manner as to exceed the limits contained
in this Code section.
For
purposes of this subsection, the
The
term 'equivalent value'
shall
mean
means
the fair market value of the gift on the date the gift is given as the prize in
a bingo game.
(g)
No person or organization by whatever name or composition thereof shall take any
salary, expense money, or fees for the operation of any bingo game, except that
not more than $30.00 per day may be paid to one or more individuals for
assisting in the conduct of such
bingo
games on such day.
(h)
No person or
organization shall pay consulting fees to
any person for any services performed in relation to the operation or conduct of
a bingo game.
(i)
A person who is a member of more than one nonprofit, tax-exempt organization
shall be permitted to participate in the bingo operations of only two
organizations of which such person is a member; provided, however, that such
person shall not receive more than $30.00 per day for assisting in the conduct
of bingo games regardless of whether such person assists both organizations in
the same day.
16-12-61.
(a)
The
director
commissioner
is authorized to promulgate rules and regulations which he
or
she deems necessary for the proper
administration and enforcement of this part.
(b)
The commissioner may prescribe forms as he or she deems necessary for the
administration and enforcement of this part or any law which it is his or her
duty to administer.
(c)
Rules and regulations previously adopted by the Georgia Bureau of Investigation
which relate to functions performed by the Georgia Department of Revenue under
this part shall remain of full force and effect as rules and regulations of the
Department of Revenue until amended, repealed, or superseded by rules or
regulations adopted by the commissioner.
(d)
All valid licenses, permits, certificates, and similar authorizations previously
issued by the Georgia Bureau of Investigation with respect to any function
transferred to the Georgia Department of Revenue as provided in this part shall
continue in effect until the same expire by their terms unless they are
suspended, revoked, or otherwise made ineffective as provided by
law.
16-12-62.
Any
person who operates a bingo game for which a license is required without a valid
license issued by the
director
commissioner
as provided in this part commits the offense of commercial gambling as defined
in Code Section 16-12-22 and, upon conviction thereof, shall be punished
accordingly. Any person who knowingly aids, abets, or otherwise assists in the
operation of a bingo game for which a license is required and has not been
obtained as provided in this part similarly commits the offense of commercial
gambling. Any person who violates any other provision of this part, including
the provisions relating to recreational bingo, shall be guilty of a misdemeanor
of a high and aggravated nature. Any person who commits any such violation
after having previously been convicted of any violations of this part shall be
guilty of a felony and, upon conviction thereof, shall be punished by
imprisonment for not less than one nor more than five years or by a fine not to
exceed $10,000.00, or both."
SECTION
2.
This
Act shall become effective upon its approval by the Governor or upon its
becoming law without such approval.
SECTION
3.
All
laws and parts of laws in conflict with this Act are repealed.