Charitable nonprofit organization Training

Transcription

1 Charitable nonprofit organization Training Washington State Gambling Commission Mission Statement: Protect the public by ensuring that gambling is legal and honest

2 RCW Nonprofit Qualifications Must be organized and operating for one or more of the following purposes only*: Agricultural Educational Political Eleemosynary Athletic Charitable Fraternal Social Benevolent Civic Patriotic *Cities,Towns, Counties, Credit Unions, Executive Branch State Employees

3 Requirements to be considered a Bona fide Charitable Nonprofit Organization Organized and continuously operating for 12 calendar months Must have at least 15 voting members who elect the governing body Must be able to prove significant progress toward accomplishing stated purpose

4 Use of Proceeds Gambling proceeds must be used exclusively for the organization s stated purpose. If giving proceeds directly to an individual, must get prior written approval from the Commission.

5 Types of Gambling Activities Unlicensed : Bingo Raffles Amusement Games Social Cards/Dice (members only) Licensed: Bingo Raffles Amusement Games FREs Reno nights Social Cards Card Tournaments Punchboards/Pull-tabs Combination

6 Unlicensed Bingo, Raffles and Amusement Games - Public Gross revenues do not exceed $5,000 in a calendar year No more than twice a year for any combination of bingo/raffles/amusement games Only members sell tickets Notify law enforcement 5 days in advance Retain records for one year All proceeds go towards stated goals and purposes

7 Unlicensed Raffles: Members only Gross revenues do not exceed $5,000 in calendar year Tickets sold ONLY TO MEMBERS No limit on number of raffles in calendar year Records retained for one year May raffle unopened alcoholic beverage with proper permit from Liquor Board

8 Raffle License Required When: Tickets sold by other than a member of your organization Firearms awarded as a prize Tickets bundled/sold at discount Alternative drawing is used i.e., duck race, poker run Retail prize is $40,000 or more WSGC approval required Your organization already has a licensed bingo or amusement game Limits were exceeded for unlicensed raffles

9 Other Unlicensed Activities Allowed by Statute: Sports pools RCW Golfing Sweepstakes RCW Social card, dice games RCW Turkey Shoots RCW (See specific statute for conducting each activity)

10 Gambling Manager Person who oversees operation of gambling activity and/or disbursement of funds Managers are responsible for conducting activities within proper guidelines and ensuring all paperwork is completed Will not have to license managers for lower volume gambling activities

11 Independent Management Control Structure Required It is the responsibility of the officers and board of trustees to ensure that: Gambling activities are closely supervised and follow all rules; Proceeds go to the organization and its stated purpose; and All assets are protected from theft and misuse.

12 Requirements for Operating Environment Must reduce risk of errors; Minimize risk of misuse, theft, fraud, and embezzlement; Safeguard assets; and Ensure the records and reports are complete and accurate.

13 Effect of Exceeding License If it becomes apparent you will exceed your license class, IMMEDIATELY notify the Commission and upgrade to the appropriate license class. If you don t upgrade in a timely manner, there will be a fee collected for exceeding license class.

14 Beer or Liquor/Firearms as Prizes Liquor can only be offered as a prize in unlicensed members-only raffles. Only charitable or nonprofit organizations operating a raffle may award firearms as prizes. The firearm should be awarded using a certificate from a licensed firearm dealer, not awarding the firearm directly.

15 Credit No credit allowed payment to participate in the activity must be: cash, check, gift certificate, gift card, or other electronic point-of-sale bank transfer. Checks must be dated the day they are accepted and fully negotiable. You should develop a policy on how you will handle any NSF checks before operating the gambling activity. Credit cards issued by a state or federal regulated financial institution may only be used to purchase raffle tickets.

16 Notification to Law Enforcement and Taxing Authority Before beginning any gambling activity, you must notify, in writing, local law enforcement. You should also check with the local taxing authority for any taxes due. Display licenses for all activities. Must conduct all gambling activities on the licensed premises except for raffles.

17 Notification to WSGC Changes to application while in process - notify us within 10 days. Once licensed, most changes name change, training required, contracts and agreements, civil, administrative or criminal actions, etc. notify us within 30 days. Change of date, time or location of Fund Raising Event 10 days notification Change of unlicensed manager of activity 10 days notification

18 Age Restrictions No one under 18 may participate in any gambling activity EXCEPT: Playing in bingo game when accompanied by adult member of immediate family or a legal guardian; Playing bingo at agricultural fair or school carnival; Playing amusement games; or Selling raffle tickets with youth as primary purpose and at least 3 members 18 years old and an adult member as manager

19 Other Restrictions No one who appears intoxicated or under the influence of drugs can play or operate in gambling activity.

20 Recordkeeping Monthly records must be maintained of all financial transactions directly or indirectly related to gambling. Every licensee must record for each licensed activity: Gross gambling receipts Full details on all expenses, Total cost of all prizes paid Records must be completed and available for inspection for agent or other law enforcement no later than 30 days following end of each month.

21 Recordkeeping cont d Licensees operating without a license or lower volume licensees must keep set of permanent records Additional records required for larger licensees Accounting records required for Class D and above bingo and licensees $500,000 gross gambling receipts from combined activities Annual reports for Class A C Bingo, Raffles, Amusement Games or combination licensees Quarterly reports for D+ Bingo, PB/PT licensees

22 Bingo Restrictions No one under 18 years old may play without parent or legal guardian present All costs to play and prizes awarded must be disclosed House rules must be posted Any contingencies must be disclosed (i.e., changes in prize amounts due to lower attendance) All proceeds must be used for stated purposes

23 Raffle Restrictions Maximum price per ticket - $100 No free tickets Tickets must be consecutively numbered Prizes owned by organization before drawing date Rules of raffle must be disclosed to participant Must be 18 or older to purchase tickets Credit cards may be used to purchase tickets Contact the US Post Office for mailing restrictions

24 Amusement Game Restrictions Contestants actively participate Outcome depends on a material degree of skill Outcome is not controlled by operator Wagers placed, winners determined & prizes given in view of all players Cake walks and fish ponds are considered amusement games

25 Fund Raising Event Restrictions Equipment must be made available for inspection two hours prior to the event Wager limits do not exceed $10 Raffle wagers must not exceed $100 No limit if script or poker tournament chips used No wagering among participants Equipment leased from licensed FRE distributor House rules conspicuously posted $10,000 net receipts limit per calendar year A qualified organization must be selected to receive monies in excess of $10,000 (net receipts)

26 Card Tournament Restrictions Non-profit organizations with a Class A or B card game license may conduct tournaments; otherwise, Class C license needed, in addition to a Class D license (if entry fee charged) Rules must be posted Tournaments not to exceed 30 consecutive days Entry fee shall not exceed $100 Total buy-in per player not to exceed $400 No more than 25% guests allowed

27 Contact Information: Headquarters: or (in-state) Field Offices: Vancouver: Renton: Spokane: Website:

28 GOOD LUCK!