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S. B. No. 186 As IntroducedAs Introduced
128th General Assembly | Regular Session | 2009-2010 |
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Cosponsor:
Senator Grendell
A BILL
To amend sections 2915.01, 2915.08, and 2915.091 of
the Revised Code to authorize a charitable
organization to purchase, lease, and use instant
bingo ticket dispensers, to specify that these
dispensers are not slot machines, to change the
fees
charged for a license to conduct instant
bingo,
and to allow a charitable organization to
spend a
reasonable amount of its gross profit to
pay
property taxes and assessments on the
premises
where the organization conducts bingo.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section 1. That sections 2915.01, 2915.08, and 2915.091 of
the Revised Code be amended to read as follows:
Sec. 2915.01. As used in this chapter:
(A)
"Bookmaking" means the business of receiving or paying
off bets.
(B)
"Bet" means the hazarding of anything of value upon
the
result of an event, undertaking, or contingency, but does not
include a bona fide business risk.
(C)
"Scheme of chance" means a
slot machine,
lottery, numbers
game,
pool conducted for profit,
or other scheme in which a
participant gives a
valuable
consideration for a chance to win a
prize,
but does not
include
bingo, a skill-based amusement
machine, or a pool not conducted for profit.
(D)
"Game of chance" means poker, craps, roulette,
or other
game in which a player gives
anything of value in the hope of
gain, the outcome of which is
determined largely
by chance,
but
does not include
bingo.
(E)
"Game of chance conducted for profit"
means
any
game of
chance designed to produce income for
the
person who conducts or
operates the
game of chance,
but
does not include
bingo.
(F)
"Gambling device" means
any of the following:
(1) A book, totalizer, or other equipment for recording
bets;
(2) A ticket, token, or other device representing a
chance,
share, or interest in a scheme of chance or evidencing a bet;
(3) A deck of cards, dice, gaming table, roulette wheel,
slot
machine,
or other apparatus designed for use in
connection with a
game of chance;
(4) Any equipment, device, apparatus, or paraphernalia
specially designed for gambling purposes;
(5)
Bingo supplies sold or otherwise provided, or used, in
violation of this
chapter.
(G)
"Gambling offense" means any of the following:
(1) A violation of section 2915.02, 2915.03, 2915.04,
2915.05, 2915.06, 2915.07, 2915.08,
2915.081, 2915.082, 2915.09,
2915.091,
2915.092, 2915.10, or 2915.11
of the Revised Code;
(2) A violation of an existing or former municipal
ordinance
or law of this or any other state or the United States
substantially equivalent to any section listed in division (G)(1)
of this section or a violation of section 2915.06 of the
Revised
Code as it existed prior to
July
1, 1996;
(3) An offense under an existing or former municipal
ordinance or law of this or any other state or the United States,
of which gambling is an element;
(4) A conspiracy or attempt to commit, or complicity in
committing, any offense under division (G)(1), (2), or (3) of this
section.
(H)
Except as otherwise provided in this chapter,
"charitable
organization" means any tax exempt
religious,
educational,
veteran's, fraternal, sporting, service, nonprofit
medical,
volunteer rescue service, volunteer
firefighter's,
senior
citizen's, historic railroad educational, youth athletic, amateur
athletic, or youth
athletic
park organization.
An organization is
tax exempt if the
organization is, and has
received from the
internal revenue
service a determination letter
that currently is
in effect stating
that the organization is,
exempt from federal
income taxation
under subsection 501(a) and
described in
subsection 501(c)(3),
501(c)(4), 501(c)(8),
501(c)(10), or
501(c)(19) of the Internal
Revenue Code, or if the organization is
a sporting organization that is exempt from federal income
taxation under subsection 501(a) and is described in subsection
501(c)(7) of the Internal Revenue Code.
To
qualify as a charitable
organization, an
organization, except a
volunteer rescue service
or volunteer
firefighter's
organization,
shall have
been in
continuous existence as
such in this state for
a period of
two
years immediately preceding
either the making of
an
application
for a
bingo license under
section 2915.08 of the
Revised Code or
the conducting of any
game of
chance as
provided
in division
(D)
of
section 2915.02 of
the
Revised
Code.
A
charitable organization
that is exempt from federal income
taxation under subsection
501(a) and described in subsection
501(c)(3) of the Internal
Revenue Code and that is created by a
veteran's organization, a
fraternal organization, or a sporting
organization does not have
to have been in continuous
existence as
such in this state for a
period of two years
immediately preceding
either the making of an
application for a
bingo license under
section 2915.08 of the
Revised Code or the
conducting of any game
of chance as provided
in division (D) of section 2915.02 of the
Revised Code.
(I)
"Religious organization" means any church, body of
communicants, or group that is not organized or operated for
profit and that gathers in common membership for regular worship
and
religious observances.
(J)
"Educational organization" means any organization
within
this state that is not organized for profit, the
primary
purpose
of which
is
to educate and develop the capabilities of
individuals
through instruction by means of operating or contributing to the
support of a school, academy,
college, or
university.
(K)
"Veteran's organization" means any individual post or
state headquarters of
a
national veteran's association or an
auxiliary unit of any
individual post of a national veteran's
association, which post, state headquarters,
or
auxiliary unit has
been in continuous existence in this state for at least two years
and incorporated as a nonprofit
corporation
and either has
received a letter from
the state
headquarters of the national
veteran's association
indicating that
the individual post or
auxiliary unit is in good
standing with the
national veteran's
association or has received a letter from the national veteran's
association indicating that the state headquarters is in good
standing with the national veteran's association. As used in
this
division,
"national veteran's association" means any
veteran's
association
that has been in continuous existence as
such for a
period of at
least
five years and either is
incorporated by an act
of the
United States congress or has a
national dues-paying
membership of
at least five thousand
persons.
(L)
"Volunteer
firefighter's organization"
means any
organization of volunteer
firefighters, as
defined in section
146.01
of the Revised Code, that is organized
and operated
exclusively
to provide financial support for a
volunteer fire
department or a
volunteer fire company
and that is
recognized or
ratified by a county,
municipal corporation, or
township.
(M)
"Fraternal organization" means any society, order, state
headquarters, or
association within this state, except a college
or high school
fraternity, that is not organized for profit, that
is a branch,
lodge, or chapter of a national or state
organization, that
exists
exclusively for the common business or
sodality of its
members,
and that has been in continuous existence
in this state
for a
period of
five
years.
(N)
"Volunteer rescue service organization" means any
organization of volunteers organized to function as an emergency
medical service organization, as defined in section 4765.01 of the
Revised Code.
(O)
"Service organization" means either of the following:
(1) Any organization, not
organized for profit, that is
organized and operated exclusively
to provide, or to contribute to
the support of organizations or
institutions organized and
operated exclusively to provide,
medical and therapeutic services
for persons who are crippled,
born with birth defects, or have any
other mental or physical
defect or those organized and operated
exclusively to protect, or
to contribute to the support of
organizations or institutions
organized and operated exclusively
to protect, animals from
inhumane treatment or provide immediate
shelter to victims of domestic violence;
(2) Any organization that is described in subsection
509(a)(1), 509(a)(2), or 509(a)(3) of the Internal Revenue Code
and is either a governmental unit or an organization that is tax
exempt under subsection 501(a) and described in subsection
501(c)(3) of the Internal Revenue Code and that is an
organization, not organized for profit, that is organized and
operated primarily to provide, or to contribute to the support of
organizations or institutions organized and operated primarily to
provide, medical and therapeutic services for persons who are
crippled, born with birth defects, or have any other mental or
physical defect.
(P)
"Nonprofit medical organization" means either of the
following:
(1) Any
organization that has been incorporated as a
nonprofit
corporation for at least
five years and that has
continuously
operated and will be operated
exclusively to provide,
or to
contribute to the support of
organizations or institutions
organized and operated exclusively to provide, hospital, medical,
research, or therapeutic services
for the public;
(2) Any organization that is described and qualified under
subsection 501(c)(3) of the Internal Revenue Code, that has been
incorporated as a nonprofit corporation for at least five years,
and that has continuously operated and will be operated primarily
to provide, or to contribute to the support of organizations or
institutions organized and operated primarily to provide,
hospital, medical, research, or therapeutic services for the
public.
(Q)
"Senior citizen's organization" means any private
organization, not organized for profit, that is organized and
operated exclusively to provide recreational or social services
for persons who are fifty-five years of age or older and that is
described and qualified under subsection 501(c)(3) of the
Internal
Revenue Code.
(R)
"Charitable bingo game" means any bingo game
described
in
division
(S)(1) or (2) of this section that is
conducted by a
charitable organization that has obtained a
license pursuant
to
section 2915.08 of the Revised Code and the
proceeds of which
are
used for a charitable purpose.
(S)
"Bingo" means
either of the following:
(1) A game with all of the following characteristics:
(a) The participants use bingo cards
or sheets, including
paper formats and electronic representation or image formats, that
are
divided into
twenty-five spaces arranged in five horizontal
and
five vertical
rows of spaces, with each space, except the
central
space, being
designated by a combination of a letter and a
number
and with the
central space being designated as a free
space.
(b) The participants cover the spaces on the bingo cards
or
sheets that correspond to combinations of letters and numbers that
are
announced by a bingo game operator.
(c) A bingo game operator announces combinations of
letters
and numbers that appear on objects that a bingo game
operator
selects by chance, either manually or mechanically, from
a
receptacle that contains seventy-five objects at the beginning
of
each game, each object marked by a different combination of a
letter and a number that corresponds to one of the seventy-five
possible combinations of a letter and a number that can appear on
the bingo cards
or sheets.
(d) The winner of the bingo game includes any participant
who
properly announces during the interval between the
announcements
of letters and numbers as described in division
(S)(1)(c) of this
section, that a predetermined and preannounced
pattern of spaces
has been covered on a bingo card
or sheet being
used by
the
participant.
(2)
Instant bingo, punch boards, and
raffles.
(T)
"Conduct" means to back, promote, organize, manage,
carry
on,
sponsor, or prepare for the operation of
bingo or
a
game
of
chance.
(U)
"Bingo game operator" means any person, except
security
personnel, who performs work or labor at the site of
bingo,
including, but not limited to, collecting money from
participants,
handing out bingo cards or
sheets or objects to cover spaces
on
bingo
cards
or sheets, selecting from a receptacle the objects
that
contain the
combination of letters and numbers that appear on
bingo cards
or sheets,
calling out the combinations of letters
and
numbers,
distributing
prizes,
selling or redeeming instant
bingo
tickets or cards, supervising
the operation of a punch
board,
selling raffle tickets,
selecting
raffle tickets from a
receptacle
and announcing the winning
numbers
in a raffle, and
preparing,
selling, and serving food or
beverages.
(V)
"Participant" means any person who plays bingo.
(W)
"Bingo session" means a period
that includes both of
the
following:
(1) Not to exceed five
continuous hours
for the conduct of
one or more
games
described in division (S)(1) of this section,
instant
bingo, and
seal cards;
(2) A period for the conduct of instant bingo and seal cards
for not
more
than two hours before and not more than two hours
after the
period
described in division
(W)(1) of this section.
(X)
"Gross receipts" means all money or assets, including
admission fees, that a person receives from
bingo
without the
deduction of any amounts for
prizes paid out
or for the expenses
of
conducting
bingo.
"Gross receipts" does not include
any money
directly taken in from the sale of food or beverages by
a
charitable organization conducting
bingo, or by a
bona
fide
auxiliary unit or society of a charitable organization
conducting
bingo,
provided all of the following apply:
(1) The auxiliary unit or society has been in existence as
a
bona fide auxiliary unit or society of the charitable
organization
for at least two years prior to
conducting
bingo.
(2) The person who purchases the food or beverage receives
nothing of value except the food or beverage and items
customarily
received with the purchase of that food or beverage.
(3) The food and beverages are sold at customary and
reasonable prices.
(Y)
"Security personnel" includes any person who either is
a
sheriff, deputy sheriff, marshal, deputy marshal, township
constable, or member of an organized police department of a
municipal corporation or has successfully completed a peace
officer's training course pursuant to sections 109.71 to 109.79
of
the Revised Code and who is hired to provide security for the
premises on which
bingo
is conducted.
(Z)
"Charitable
purpose" means
that the
net profit of
bingo,
other than instant bingo, is used by, or
is
given,
donated, or
otherwise transferred to, any
of the following:
(1)
Any organization that is
described in subsection
509(a)(1), 509(a)(2), or 509(a)(3) of the
Internal Revenue Code
and is either a governmental unit or an
organization that is tax
exempt under subsection 501(a) and
described in subsection
501(c)(3) of the Internal Revenue Code;
(2)
A veteran's organization that is a post, chapter,
or
organization of
veterans, or an auxiliary unit or society
of, or a
trust or
foundation for, any such post, chapter, or
organization
organized
in the United States or any of its
possessions, at least
seventy-five per cent of the members of
which are
veterans and
substantially all of the other members
of which are individuals
who are
spouses, widows, or widowers of
veterans, or such
individuals,
provided that no part of the net
earnings of such
post, chapter,
or
organization inures to the benefit of
any
private shareholder
or
individual, and further provided that
the
net profit is used by the post, chapter, or
organization for
the
charitable
purposes set forth in division (B)(12) of section
5739.02 of the
Revised Code,
is used for awarding
scholarships
to
or for
attendance at an institution mentioned in division
(B)(12)
of
section 5739.02 of the Revised Code,
is donated
to
a
governmental agency, or
is used for nonprofit youth
activities,
the purchase of United States or Ohio flags that are
donated to
schools, youth groups, or other bona fide nonprofit
organizations,
promotion of patriotism, or disaster relief;
(3) A fraternal organization
that
has been
in continuous
existence in this state for fifteen years
and that uses
the
net
profit
exclusively for religious, charitable, scientific,
literary, or
educational purposes, or for the prevention of
cruelty to
children or animals, if contributions for such use
would qualify
as a deductible charitable contribution under
subsection 170 of
the Internal Revenue Code;
(4)
A volunteer
firefighter's organization
that uses the net
profit for the
purposes set
forth in division (L) of
this section.
(AA)
"Internal Revenue Code" means the
"Internal Revenue
Code
of 1986," 100 Stat. 2085, 26 U.S.C. 1, as now or hereafter
amended.
(BB)
"Youth athletic organization" means any organization,
not organized for profit, that is organized and operated
exclusively to provide financial support to, or to operate,
athletic activities for persons who are twenty-one years of age
or
younger by means of sponsoring, organizing, operating, or
contributing to the support of an athletic team, club, league, or
association.
(CC)
"Youth athletic park organization" means any
organization, not organized for profit, that satisfies both of
the
following:
(1) It owns, operates, and maintains playing fields that
satisfy both of the following:
(a) The playing fields are used at least one hundred days
per
year for athletic activities by one or more organizations,
not
organized for profit, each of which is organized and operated
exclusively to provide financial support to, or to operate,
athletic activities for persons who are eighteen years of age or
younger by means of sponsoring, organizing, operating, or
contributing to the support of an athletic team, club, league, or
association.
(b) The playing fields are not used for any profit-making
activity at any time during the year.
(2) It uses the proceeds of
bingo
it conducts
exclusively for
the operation, maintenance, and improvement of
its
playing fields
of the type described in division (CC)(1) of
this
section.
(DD)
"Amateur athletic organization" means any
organization,
not organized for profit, that is organized and operated
exclusively to provide financial support to, or to operate,
athletic
activities for persons who are training for amateur
athletic competition that
is sanctioned by a national governing
body as defined in the
"Amateur
Sports Act of 1978," 90 Stat.
3045, 36 U.S.C.A. 373.
(EE)
"Bingo supplies" means bingo
cards or sheets; instant
bingo tickets or
cards; electronic bingo
aids; raffle tickets;
punch boards; seal
cards;
instant bingo
ticket dispensers; and
devices for selecting
or
displaying
the
combination of bingo
letters and numbers or
raffle
tickets. Items
that are
"bingo
supplies" are not
gambling
devices
if sold or
otherwise provided,
and used, in accordance
with this
chapter. For
purposes of this
chapter, "bingo supplies"
are not to be
considered equipment used
to conduct a bingo game.
(FF)
"Instant bingo" means a form of
bingo that uses folded
or banded tickets or paper cards with
perforated break-open tabs,
a face of which is covered or
otherwise hidden from view to
conceal a number, letter, or
symbol, or set of numbers, letters,
or symbols, some of which
have been designated in advance as prize
winners. "Instant bingo" includes seal cards. "Instant bingo"
does
not include any device that is activated by
the insertion of
a
coin, currency, token, or an equivalent, and that
contains as
one
of its components a video display monitor that is
capable of
displaying numbers, letters, symbols, or characters in
winning or
losing combinations.
(GG)
"Seal card" means a
form of instant bingo that uses
instant bingo tickets in conjunction
with a board or placard that
contains one or more
seals that, when removed or opened, reveal
predesignated winning
numbers, letters, or symbols.
(HH)
"Raffle" means a form of bingo
in which the one or more
prizes are won by one or more persons
who have purchased a raffle
ticket. The one or more winners of
the raffle are determined by
drawing a ticket stub or other
detachable section from a
receptacle containing ticket stubs or
detachable sections
corresponding to all tickets sold for the
raffle.
(II)
"Punch board" means a board
containing a number of
holes
or receptacles of uniform size in
which are placed,
mechanically
and randomly, serially numbered
slips of paper that
may be punched
or drawn from the hole or
receptacle when used in
conjunction with
instant bingo. A player
may punch or draw the
numbered slips of
paper from the holes or
receptacles and obtain
the prize
established for the game if the
number drawn corresponds
to a
winning number or, if the punch
board includes the use of a
seal
card, a potential winning
number.
(JJ)
"Gross profit" means gross
receipts minus the amount
actually expended for the payment of
prize awards.
(KK)
"Net profit" means gross profit
minus expenses.
(LL)
"Expenses" means the reasonable
amount of gross profit
actually expended for all of the
following:
(1)
The purchase or lease of bingo supplies;
(2)
The annual license fee required under section
2915.08 of
the Revised Code;
(3)
Bank fees and service charges for a bingo session or
game
account described in section 2915.10 of the Revised Code;
(4)
Audits and accounting services;
(7)
Hiring security personnel;
(9) Renting premises in which to conduct a bingo session;
(11) Expenses for maintaining and operating a charitable
organization's facilities, including, but not limited to, a post
home, club house, lounge, tavern, or canteen and any grounds
attached to the post home, club house, lounge, tavern, or canteen;
(12) Payment of real property taxes and assessments that are
levied on a premises on which bingo is conducted;
(13) Any other product or service directly related to
the
conduct of bingo that is authorized in rules adopted by the
attorney
general under division (B)(1) of section
2915.08 of the
Revised Code.
(MM)
"Person" has the same meaning as
in section 1.59 of the
Revised Code and includes
any firm or any other legal entity,
however organized.
(NN)
"Revoke" means to void
permanently all rights and
privileges of the holder of a license
issued under section
2915.08, 2915.081, or 2915.082 of the Revised Code
or a charitable
gaming license issued by
another jurisdiction.
(OO)
"Suspend" means to interrupt
temporarily all rights and
privileges of the holder of a license
issued under section
2915.08, 2915.081, or 2915.082 of the Revised Code
or a charitable
gaming license issued by
another jurisdiction.
(PP)
"Distributor" means any person who purchases or obtains
bingo
supplies and who does either of the following:
(1) Sells, offers for sale, or otherwise
provides
or offers
to provide the
bingo supplies to another person
for use in this
state;
(2) Modifies, converts, adds to, or removes parts from the
bingo supplies to further their promotion or sale for use in this
state.
(QQ)
"Manufacturer" means any person who assembles completed
bingo
supplies from raw materials, other items, or subparts or who
modifies, converts, adds to, or removes parts from bingo supplies
to further their promotion or sale.
(RR)
"Gross annual revenues" means the annual gross receipts
derived from the conduct of bingo described in division (S)(1) of
this section plus the annual net profit derived from the conduct
of bingo
described in division (S)(2) of this section.
(SS) "Instant bingo ticket dispenser" means a mechanical
device that dispenses an instant bingo ticket or card as the sole
item of value dispensed and that has the following
characteristics:
(1) It is activated upon the insertion of United States
currency.
(2) It performs no gaming functions.
(3) It does not contain a video display monitor or generate
noise.
(4) It is not capable of displaying any numbers, letters,
symbols, or characters in winning or losing combinations.
(5) It does not simulate or display rolling or spinning
reels.
(6) It is incapable of determining whether a dispensed
bingo
ticket or card is a winning or nonwinning ticket or card and
requires a winning ticket or card to be paid by a bingo game
operator.
(7) It may provide accounting and security features to aid
in
accounting for the instant bingo tickets or cards it dispenses.
(8) It is not part of an electronic network and is not
interactive.
(TT)(1) "Electronic bingo aid" means an electronic device
used by a participant to monitor bingo cards or sheets
purchased
at the time and place of a bingo session and that does
all of the
following:
(a) It provides a means for a participant to input numbers
and letters announced by a bingo caller.
(b) It compares the numbers and letters entered by the
participant to
the bingo faces previously stored in the memory of
the device.
(c) It identifies a winning bingo pattern.
(2) "Electronic bingo aid" does not include any device into
which a coin, currency, token, or an equivalent is inserted to
activate play.
(UU) "Deal of instant bingo tickets" means a single game of
instant bingo tickets all with the same serial number.
(VV)(1) "Slot machine" means either of the following:
(a) Any
mechanical, electronic, video, or digital device
that
is capable
of accepting anything of value, directly or
indirectly,
from or on
behalf of a player who gives the thing of
value in the
hope of
gain;
(b) Any mechanical, electronic, video, or digital device
that
is capable of accepting anything of value, directly or
indirectly,
from or on behalf of a player to conduct or dispense
bingo or a
scheme or game of chance.
(2) "Slot machine" does not include a skill-based amusement
machine or an instant bingo ticket dispenser.
(WW) "Net profit from the
proceeds of the sale of instant
bingo" means gross profit minus
the ordinary, necessary, and
reasonable expense expended for the
purchase of instant bingo
supplies.
(XX) "Charitable instant bingo organization" means an
organization that is exempt from federal income taxation under
subsection 501(a) and described in subsection 501(c)(3) of the
Internal Revenue Code and is a charitable organization as defined
in this section. A "charitable instant bingo organization" does
not include a charitable organization that is exempt from federal
income taxation under subsection 501(a) and described in
subsection 501(c)(3) of the Internal Revenue Code and that is
created by a veteran's organization, a fraternal organization, or
a sporting organization in
regards to bingo conducted or assisted
by a veteran's organization, a fraternal organization, or a
sporting organization pursuant to section 2915.13 of the
Revised
Code.
(YY) "Game flare" means the board or placard that accompanies
each deal of instant bingo tickets and that has printed on or
affixed to it the following information for the game:
(1) The name of the game;
(2) The manufacturer's name or distinctive logo;
(5) The prize structure, including the number of winning
instant bingo tickets by denomination and the respective winning
symbol or number combinations for the winning instant bingo
tickets;
(7) The serial number of the game.
(ZZ) "Historic railroad educational organization" means an
organization that is exempt from federal income taxation under
subsection 501(a) and described in subsection 501(c)(3) of the
Internal Revenue Code, that owns in fee simple the tracks and the
right of way of a historic railroad that the organization restores
or maintains and on which the organization provides excursions as
part of a program to promote tourism and educate visitors
regarding the role of railroad transportation in Ohio history, and
that received as donations from a charitable organization that
holds a license to conduct bingo under this chapter an amount
equal to at least fifty per cent of that licensed charitable
organization's net proceeds from the conduct of bingo during each
of the five years preceding June 30, 2003. "Historic railroad"
means all or a portion of the tracks and right-of-way of a
railroad that was owned and operated by a for-profit common
carrier in this state at any time prior to January 1, 1950.
(AAA)(1) "Skill-based amusement machine" means a
mechanical,
video,
digital, or
electronic device that rewards the player or
players,
if at all,
only with merchandise prizes or with
redeemable
vouchers
redeemable only for merchandise prizes,
provided that
with respect
to rewards for playing the game all
of the following
apply:
(a) The wholesale value of a merchandise prize awarded as a
result of the single play of a machine does not exceed ten
dollars;
(b) Redeemable vouchers awarded for any single play of a
machine are not redeemable for a merchandise prize with a
wholesale value of more than ten dollars;
(c) Redeemable vouchers are not redeemable for a merchandise
prize that has a wholesale value of more than ten dollars times
the fewest number of single plays necessary to accrue the
redeemable vouchers required to obtain that prize; and
(d) Any redeemable vouchers or merchandise prizes are
distributed at the site of the skill-based amusement machine at
the time of play.
(2) A device shall not be considered a skill-based amusement
machine and shall be considered a slot machine if it pays cash or
one or more of
the following apply:
(a) The ability of a player to succeed at the game is
impacted by the number or ratio of prior wins to prior losses of
players playing the game.
(b) Any reward of redeemable vouchers is not based solely on
the player achieving the object of the game or the players
player's score;.
(c) The outcome of the game, or the value of the redeemable
voucher or merchandise prize awarded for winning the game, can be
controlled by a source
other than any player playing the game.
(d) The success of any player is or may be determined by a
chance event that cannot be altered by player actions.
(e) The ability of any player to succeed at the game is
determined by game features not visible or known to the player.
(f) The ability of the player to succeed at the game is
impacted by the exercise of a skill that no reasonable player
could exercise.
(3) All of the following apply to any machine that is
operated as described in division (AAA)(1) of this section:
(a) As used in this section, "game" and "play" mean
one
event from the initial activation of the machine until the
results of play are determined without payment of additional
consideration. An individual utilizing a machine that involves a
single game, play, contest, competition, or tournament may
be
awarded redeemable vouchers or merchandise prizes based on the
results of play.
(b) Advance play for a single game, play, contest,
competition, or tournament participation may be purchased. The
cost of the contest, competition, or tournament participation may
be greater than a single noncontest, competition, or
tournament
play.
(c) To the extent that the machine is used in a contest,
competition, or tournament, that contest, competition, or
tournament has a defined starting and ending date and is open to
participants in competition for scoring and ranking results toward
the awarding of redeemable vouchers or merchandise prizes that are
stated prior to the start of the
contest, competition, or
tournament.
(4) For purposes of division (AAA)(1) of this section, the
mere presence of a device, such as a pin-setting, ball-releasing,
or scoring mechanism, that does not contribute to or affect the
outcome of the play of the game does not make the device a
skill-based amusement machine.
(BBB) "Merchandise prize" means any item of value, but shall
not include any of the following:
(1) Cash, gift cards, or any equivalent thereof;
(2) Plays on games of chance, state lottery tickets, bingo,
or instant bingo;
(3) Firearms, tobacco, or alcoholic beverages; or
(4) A redeemable voucher that is redeemable for any of the
items listed in division (BBB)(1), (2), or (3) of this section.
(CCC) "Redeemable voucher" means any ticket, token, coupon,
receipt, or other noncash representation of value.
(DDD) "Pool not conducted for profit" means a scheme in which
a participant gives a valuable consideration for a chance to win a
prize and the total amount of consideration wagered is distributed
to a participant or participants.
(EEE) "Sporting organization" means a hunting, fishing,
or
trapping organization, other than a college or high school
fraternity or sorority, that is not organized for profit, that is
affiliated with a state or national sporting organization,
including but not limited to, the Ohio league of sportsmen,
and
that has been in continuous existence in this state for a
period
of three years.
(FFF) "Community action agency" has the same meaning as
in
section 122.66 of the Revised Code.
Sec. 2915.08. (A)(1) Annually before the first day of
January,
a charitable organization that desires to conduct bingo,
instant bingo at a bingo session, or instant bingo other
than at a
bingo session
shall make out, upon a
form to
be furnished by the
attorney general for
that purpose, an
application for a license to
conduct bingo,
instant bingo at a bingo session, or instant bingo
other than at a
bingo session and
deliver that
application to the
attorney general
together with a license fee
as follows:
(a) Except as otherwise provided in this division, for a
license for the conduct of bingo, two hundred
dollars;
(b) For a
license for the conduct of instant bingo at a
bingo
session or
instant bingo other
than at a bingo session for a
charitable organization that previously has not been licensed
under this chapter to conduct instant bingo at a bingo session or
instant bingo other than at a bingo session, a license fee of five
hundred dollars, and for any other charitable organization, a
license fee
that is
based upon
the
gross profits received by the
charitable organization from the
operation of instant bingo
at a
bingo session or instant bingo
other
than at a bingo session,
during the one-year period ending
on the
thirty-first day of
October of the year immediately
preceding the
year for which the
license is sought, and that is
one of the
following:
(i)
Five hundred dollars, if the total is fifty thousand
dollars or less;
(ii)
One thousand two hundred fifty dollars plus one-fourth
per cent of the gross profit, if the total is more than fifty
thousand dollars but less than two hundred fifty thousand one
dollars;
(iii)
Two thousand two hundred fifty dollars plus one-half
per cent of the gross profit, if the total is
more than
two
hundred fifty thousand dollars but less than five hundred
thousand
one dollars;
(iv)
Three thousand five hundred dollars plus one per cent of
the gross profit, if the total is more than
five hundred thousand
dollars but less than one million one dollars;
(v)
Five thousand dollars plus one per cent of the gross
profit, if the total is one million
one
dollars or more;
(c) A reduced license fee established by the
attorney
general
pursuant to division (G) of this section.
(d) For a license to conduct bingo for a
charitable
organization that prior to the effective date of this amendment
July 1, 2003, has not been licensed under this chapter to conduct
bingo, instant bingo at a bingo session, or instant bingo other
than at a bingo session, a license fee established by rule by the
attorney general in accordance with division (H) of this section.
(2) The
application shall be in the form prescribed by the
attorney
general, shall be signed and sworn to by the
applicant,
and shall contain
all of the following:
(a) The name and post-office address of the applicant;
(b) A statement that the applicant is a charitable
organization and that it has been in continuous existence as a
charitable organization in this state for
two years
immediately
preceding the making of the application
or for five
years in the
case of a
fraternal organization or a
nonprofit medical
organization;
(c) The location at which the organization will conduct
bingo, which location shall be within
the
county in
which
the
principal place of business of the
applicant
is
located, the
days
of the week and the times on each
of those
days
when
bingo
will be
conducted, whether the
organization
owns, leases,
or subleases the
premises, and a copy
of the rental
agreement if
it leases or
subleases the premises;
(d) A statement of the applicant's previous history,
record,
and association that is sufficient to establish that the
applicant
is a charitable organization, and a copy of a
determination letter
that is issued by the Internal Revenue
Service and states that the
organization is tax exempt under
subsection 501(a) and described
in subsection 501(c)(3),
501(c)(4), 501(c)(7), 501(c)(8),
501(c)(10), or
501(c)(19) of the Internal
Revenue Code;
(e) A statement as to whether the applicant has ever had
any
previous application refused, whether it previously has had a
license revoked or suspended, and the reason stated by the
attorney general for the refusal, revocation, or suspension;
(f) A statement of the charitable
purposes for
which the
net
profit derived from bingo, other than
instant bingo, will be used,
and a statement of how the net profit
derived from instant bingo
will be distributed in accordance with
section 2915.101 of the
Revised Code;
(g) Other necessary and reasonable information that the
attorney general may require by rule adopted pursuant to section
111.15 of the Revised Code;
(h) If the applicant is a charitable
trust as defined in
section 109.23 of the Revised Code, a
statement as to whether it
has registered with the attorney general
pursuant to section
109.26 of the Revised Code or filed
annual reports pursuant to
section 109.31 of the Revised
Code,
and, if it is not required to
do either, the exemption in section 109.26
or 109.31 of the
Revised Code that applies to it;
(i) If the applicant is a charitable organization as
defined
in
section 1716.01 of the Revised Code, a statement as to
whether
it
has filed with the attorney general a registration
statement
pursuant to
section 1716.02 of the Revised Code and a
financial
report
pursuant to section 1716.04 of the Revised Code,
and, if it
is not
required to do both, the exemption in section
1716.03 of
the
Revised Code that applies to it;
(j) In the case of an applicant seeking to qualify as a
youth
athletic park organization, a statement issued by a board or
body
vested with authority under Chapter 755. of the Revised Code
for
the supervision and maintenance of recreation facilities in
the
territory in which the organization is located, certifying
that
the playing fields owned by the organization were used for
at
least one hundred days during the year in which the statement
is
issued, and were open for use to all residents of that
territory,
regardless of race, color, creed, religion, sex, or
national
origin, for athletic activities by youth athletic
organizations
that do not discriminate on the basis of race,
color, creed,
religion, sex, or national origin, and that the
fields were not
used for any profit-making activity at any time
during the year.
That type of board or body is authorized to
issue the statement
upon request and shall issue the statement if
it finds that the
applicant's playing fields were so used.
(3) The attorney general, within thirty days after receiving
a
timely filed application from a charitable organization that has
been issued a
license
under this section that has not
expired and
has not been
revoked or suspended, shall send a
temporary permit
to the
applicant specifying the date on which the
application was
filed
with the attorney general and stating that,
pursuant to
section
119.06 of the Revised Code, the applicant may
continue to
conduct
bingo
until a new license is granted or,
if the
application
is rejected, until fifteen days after notice of
the
rejection is
mailed to the applicant. The temporary permit
does
not affect
the
validity of the applicant's application and
does
not grant
any
rights to the applicant except those rights
specifically
granted
in section 119.06 of the Revised Code. The
issuance of a
temporary permit by the attorney general pursuant to
this
division does not prohibit the attorney general
from
rejecting
the applicant's application because of acts that
the
applicant
committed, or actions that the applicant failed to
take,
before
or after the
issuance of the temporary permit.
(4) Within thirty days after receiving an initial license
application from a charitable organization to conduct bingo,
instant bingo at a bingo session, or instant bingo other than at a
bingo session, the
attorney general shall conduct a preliminary
review of the
application and notify the applicant regarding any
deficiencies.
Once an application is deemed complete, or beginning
on the thirtieth day after the application
is filed, if
the
attorney general failed to notify the applicant
of any
deficiencies, the attorney general shall have an additional
sixty
days to conduct an investigation and either grant or deny
the
application based on findings established and communicated in
accordance with divisions (B) and (E) of this section. As an
option to granting or denying an initial license application, the
attorney general may grant a temporary license and request
additional time to conduct the investigation if the attorney
general has cause to believe that additional time is necessary to
complete the investigation and has notified the applicant in
writing about the specific concerns raised during the
investigation.
(B)(1) The attorney general shall adopt rules to enforce
sections 2915.01, 2915.02,
and 2915.07 to
2915.13 of the
Revised
Code to ensure that bingo
or instant bingo is
conducted
in
accordance
with
those
sections and to maintain
proper control
over
the
conduct
of
bingo
or instant bingo.
The rules,
except rules
adopted pursuant
to
divisions
(A)(2)(g)
and (G) of this section,
shall
be adopted
pursuant to
Chapter 119.
of the Revised Code. The
attorney
general shall
license
charitable organizations to conduct
bingo, instant
bingo at
a bingo session, or instant bingo other
than at a bingo
session in
conformance
with this chapter and with
the
licensing
provisions
of
Chapter
119. of the Revised Code.
(2) The attorney general may refuse to grant a
license
to any
organization, or revoke or suspend the license of
any
organization, that does any of the following or to which any
of
the following applies:
(a) Fails or has failed at any time to meet any
requirement
of section 109.26, 109.31, or 1716.02, or sections 2915.07
to
2915.11 of the Revised Code,
or violates or has violated any
provision of sections 2915.02 or
2915.07 to
2915.13 of the
Revised
Code or any rule adopted by the
attorney general pursuant
to this
section;
(b) Makes or has made an incorrect or false statement that
is
material to the granting of the license in an application
filed
pursuant to division (A) of this section;
(c) Submits or has submitted any incorrect or false
information relating to an application if the information is
material to the granting of the license;
(d) Maintains or has maintained any incorrect or false
information that is material to the granting of the license in
the
records required to be kept pursuant to
divisions (A)
and
(C) of
section
2915.10 of the Revised Code, if applicable;
(e) The attorney general has good cause to believe
that the
organization will
not
conduct
bingo, instant bingo at a
bingo
session, or instant bingo other than at a bingo session in
accordance with
sections
2915.07 to
2915.13 of
the
Revised Code or
with any rule
adopted by
the attorney general
pursuant to this
section.
(3) For the purposes of
division
(B) of this section,
any
action of an
officer, trustee, agent, representative, or bingo
game operator
of
an organization is an action of the organization.
(C) The attorney general may grant
licenses to
charitable
organizations that are branches, lodges, or chapters
of
national
charitable organizations.
(D) The attorney general shall send notice in writing to
the
prosecuting attorney and sheriff of the county in which the
organization will conduct
bingo, instant bingo at a bingo
session,
or instant bingo other than at a bingo session, as stated
in its
application for a license or amended license, and to any
other
law
enforcement agency in that county that so requests, of
all of
the
following:
(1) The issuance of the license;
(2) The issuance of the amended license;
(3) The rejection of an application for and refusal to
grant
a license;
(4) The revocation of any license previously issued;
(5) The suspension of any license previously issued.
(E) A
license issued by the attorney general shall
set
forth
the information contained on the application of the
charitable
organization that the attorney general determines is
relevant,
including, but not limited to, the location at which
the
organization will conduct
bingo, instant bingo at a bingo
session,
or instant bingo other than at a bingo session and the
days of the
week
and the times on each of those days when
bingo
will be
conducted. If the attorney general refuses to
grant or
revokes or
suspends a
license, the attorney
general
shall notify the
applicant in writing and specifically
identify the reason for the
refusal, revocation, or suspension in
narrative form and, if
applicable, by identifying the section of
the Revised Code
violated. The failure of the attorney general to
give the
written
notice of the reasons for the refusal,
revocation, or
suspension
or a mistake in the written notice does
not affect the
validity of
the attorney general's refusal to
grant, or the
revocation or
suspension of, a
license. If
the attorney
general fails to
give
the written notice or if there
is a mistake
in the written
notice,
the applicant may bring an
action to
compel the attorney
general
to comply with this division
or to
correct the mistake,
but the
attorney general's order
refusing to
grant, or revoking or
suspending, a
license
shall not be
enjoined during the
pendency of
the action.
(F) A charitable organization that has been issued a
license
pursuant to division (B) of this section but that cannot
conduct
bingo
or instant bingo at the location, or on the
day of the week
or
at the time, specified on the license due to
circumstances
that
make it impractical to do so
may apply in writing, together with
an
application fee of
two hundred fifty dollars, to the attorney
general, at least
thirty days prior to a change in location,
day
of the week, or
time, and request an amended
license.
The
application shall
describe
the causes making it
impractical for
the
organization to conduct
bingo
or instant bingo in conformity
with
its
license and shall
indicate the location, days of the
week, and
times on each of
those days when it desires to conduct
bingo
or instant bingo. Except as otherwise provided in this
division,
the attorney general shall issue the
amended
license in
accordance
with division (E) of this section, and the
organization
shall
surrender its original license to the attorney
general. The
attorney general
may refuse to grant
an
amended
license according
to the terms
of
division (B) of
this section.
(G) The attorney general, by rule adopted pursuant to
section
111.15 of the Revised Code, shall establish a schedule of
reduced
license fees for charitable organizations that desire to
conduct
bingo
or instant bingo during fewer than twenty-six
weeks in any
calendar year.
(H) The attorney general, by rule adopted pursuant to section
111.15 of the Revised Code, shall establish license fees for the
conduct of bingo, instant bingo at a bingo session, or instant
bingo other than at a bingo session for charitable organizations
that prior to the effective date of this amendment July 1, 2003,
have not been
licensed to conduct bingo, instant bingo at a bingo
session, or
instant bingo other than at a bingo session under this
chapter.
(I) The attorney general may enter into a written contract
with any other state agency to delegate to that state agency the
powers prescribed to the attorney general under Chapter 2915. of
the Revised Code.
(J) The attorney general, by rule adopted pursuant to
section
111.15 of the Revised Code, may adopt rules to determine
the
requirements for a charitable organization that is exempt from
federal income taxation under subsection 501(a) and described in
subsection 501(c)(3) of the Internal Revenue Code to be in good
standing in the state.
Sec. 2915.091. (A) No charitable organization that conducts
instant bingo shall do any of the following:
(1) Fail to comply with the requirements of divisions (A)(1),
(2), and (3) of section 2915.09 of the Revised Code;
(2) Conduct instant bingo unless either of the following
apply:
(a) That organization is, and
has received from the internal
revenue service a determination
letter that is currently in effect
stating that the organization
is, exempt from federal income
taxation under subsection
501(a),
is described in subsection
501(c)(3) of the Internal Revenue
Code, is a charitable
organization as defined in section 2915.01 of the Revised Code, is
in good standing in the state pursuant to section 2915.08
of the
Revised Code, and is in compliance with Chapter 1716. of
the
Revised Code;
(b) That organization is, and has received from the internal
revenue service a determination letter that is currently in effect
stating that the organization is, exempt from federal income
taxation under subsection 501(a), is described in subsection
501(c)(7), 501(c)(8), 501(c)(10), or 501(c)(19) or is a veteran's
organization described in subsection 501(c)(4) of the Internal
Revenue Code,
and conducts instant bingo under section 2915.13 of
the Revised
Code.
(3) Conduct instant bingo on any day, at any time, or at any
premises not specified on the organization's license issued
pursuant to section 2915.08 of the Revised Code;
(4) Permit any person whom the organization knows or should
have known has been convicted of a felony or gambling offense in
any jurisdiction to be a bingo game operator in the conduct of
instant bingo;
(5) Purchase or lease supplies used to conduct instant bingo
or punch board games from any person except a distributor licensed
under section 2915.081 of the Revised Code;
(6) Sell or provide any instant bingo ticket or card for a
price different from the price printed on it by the manufacturer
on either the instant bingo ticket or card or on the game flare;
(7)
Sell an instant bingo ticket or card to a person under
eighteen years of age;
(8) Fail to keep unsold instant bingo tickets or cards for
less than three years;
(9) Pay any compensation to a bingo game operator for
conducting instant bingo that is conducted by the organization or
for preparing, selling, or serving food or beverages at the site
of the instant bingo game, permit any auxiliary unit or society of
the organization to pay compensation to any bingo game operator
who prepares, sells, or serves food or beverages at an instant
bingo game conducted by the organization, or permit any auxiliary
unit or society of the organization to prepare, sell, or serve
food or beverages at an instant bingo game conducted by the
organization, if the auxiliary unit or society pays any
compensation to the bingo game operators who prepare, sell, or
serve the food or beverages;
(10) Pay fees to any person for any services performed in
relation to an instant bingo game;
(11) Pay fees to any person who provides refreshments to the
participants in an instant bingo game;
(12)(a) Allow instant bingo tickets or cards to be sold to
bingo game operators at a
premises at which the organization sells
instant bingo tickets or
cards or to be sold to employees of a D
permit holder who are
working at a premises at which instant bingo
tickets or cards are
sold;
(b) Division (A)(12)(a) of this section does not prohibit a
licensed charitable organization or a bingo game operator from
giving any person an instant bingo tickets ticket as a prize.
(13) Fail to display its bingo license, and the serial
numbers of the deal of instant bingo tickets or cards to be sold,
conspicuously at each premises at which it sells instant bingo
tickets or cards;
(14) Possess a deal of instant bingo tickets or cards that
was not purchased
from a distributor licensed under section
2915.081 of the Revised
Code as reflected on an
invoice issued by
the distributor that contains all of the
information required by
division (E) of section 2915.10 of the
Revised Code;
(15) Fail, once it opens a deal of instant bingo tickets or
cards, to continue to sell the tickets or cards in that deal until
the tickets or cards with the top two highest tiers of prizes in
that deal are
sold;
(16) Purchase, lease, or use instant bingo ticket dispensers
to sell instant bingo tickets or cards;
(17) Possess bingo supplies that were not obtained in
accordance with sections 2915.01 to 2915.13 of the Revised Code.
(B)(1) A charitable organization may conduct instant bingo
other
than at a bingo session at not more than five separate
locations.
A charitable organization that is exempt from federal
taxation
under subsection 501(a) and described in subsection
501(c)(3) of
the Internal Revenue Code and that is created by a
veteran's
organization or a fraternal organization is not limited
in the
number of separate locations the charitable organization
may
conduct instant bingo other than at a bingo session.
(2) A charitable organization may purchase, lease, or use
instant bingo ticket dispensers to sell instant bingo tickets or
cards.
(C) The attorney general may adopt rules in
accordance with
Chapter 119. of the Revised Code that govern the conduct of
instant
bingo by charitable organizations. Before those rules
are
adopted,
the attorney general shall reference the recommended
standards
for
opacity,
randomization, minimum information, winner
protection, color, and
cutting for instant bingo tickets or cards,
seal cards, and punch
boards
established by the North American
gaming regulators
association.
(D)
Whoever violates division (A) of
this
section or a rule
adopted under division (C) of this section
is
guilty of illegal
instant bingo conduct. Except as otherwise
provided in
this
division, illegal instant bingo conduct is a
misdemeanor of the
first
degree. If the offender previously has
been convicted of a
violation of
division (A) of
this section or of such a rule,
illegal instant bingo
conduct is a
felony of the fifth degree.
Section 2. That existing sections 2915.01, 2915.08, and
2915.091 of the Revised Code are hereby repealed.
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