Text: SSB03060 Text: SSB03062 Text: SSB03000 - SSB03099 Text: SSB Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 99B.1, Code 1999, is amended by adding 1 2 the following new subsection: 1 3 NEW SUBSECTION. 24. "Unrelated entity" means a person 1 4 that has a separate and distinct state charter and tax 1 5 identification number from any other person, and, if the 1 6 person is an individual, an individual that is not related by 1 7 law or by consanguinity. 1 8 Sec. 2. Section 99B.2, subsection 3, paragraph e, Code 1 9 1999, is amended to read as follows: 1 10 e. Except as permitted by subsection 3, paragraph "a", 1 11 gross receipts derived from the conduct of bingo shall not be 1 12 commingled with other funds of the licensed organization. 1 13Except as permitted by paragraph "c", subparagraphs (3) and1 14(4), gross receipts shall not be transferred to another1 15account maintained by the licensed organization.1 16 Sec. 3. Section 99B.5, subsection 1, paragraph g, Code 1 17 1999, is amended by striking the paragraph. 1 18 Sec. 4. Section 99B.5, subsection 3, Code 1999, is amended 1 19 to read as follows: 1 20 3. A licensee under this section may holdonea real 1 21 property raffleper calendar year at which the value of the1 22real property may exceed two hundred dollars in lieu of the1 23annual raffle authorized in subsection 1, paragraph "g", if 1 24 all of the following requirements are met: 1 25 a. The licensee has submitted the special real property 1 26 raffle license application and a fee of one hundred dollars to 1 27 the department, has been issued a license, and prominently 1 28 displays the license at the drawing area of the raffle. 1 29 b. The real property was acquired by gift or donation or 1 30 has been owned by the licensee for a period of at least five 1 31 years. 1 32 c. All other requirements of this section and section 1 33 99B.2 are met, except that the cost to participate in the1 34raffle may exceed one dollar for each participant. 1 35 d. Receipts from the raffle are kept in a separate 2 1 financial account. 2 2 e. A cumulative report for the raffle on a form determined 2 3 by the department and one percent of the gross receipts are 2 4 submitted to the department within sixty days of the raffle 2 5 drawing. The one percent of the gross receipts shall be 2 6 retained by the department to pay for the cost of the special 2 7 audit. 2 8 Sec. 5. Section 99B.6, Code 1999, is amended by adding the 2 9 following new subsection: 2 10 NEW SUBSECTION. 7A. With the exception of backgammon or 2 11 other similar board game, any game involving dice is 2 12 prohibited. 2 13 Sec. 6. Section 99B.7, subsection 1, paragraph c, 2 14 unnumbered paragraph 1, Code 1999, is amended to read as 2 15 follows: 2 16 Cash or merchandise prizes may be awarded in the game of 2 17 bingo and, except as otherwise provided in this paragraph, 2 18 shall not exceed one hundred dollars. Merchandise prizes may 2 19 be awarded in the game of bingo, but the actual retail value 2 20 of the prize, or if the prize consists of more than one item, 2 21 unit or part, the aggregate retail value of all items, units 2 22 or parts, shall not exceed the maximum provided by this 2 23 paragraph. A bingo licensee may conduct one jackpot game per 2 24 bingo occasion and may only conduct one jackpot game at a 2 25 time. In a jackpot bingo game,may be conducted once during2 26any twenty-four hour period in whichthe prize may begin at 2 27 not more than three hundred dollars in cash or actual retail 2 28 value of merchandise prizes and may be increased by not more 2 29 than one hundred dollars after each bingo occasion. However, 2 30 the cost of play in a jackpot bingo game shall not be 2 31 increased and the jackpot shall not amount to more than eight 2 32 hundred dollars in cash or actual retail value of merchandise 2 33 prizes. A jackpot bingo game is not prohibited by paragraph 2 34 "h". A bingo occasion shall not last for longer than four 2 35 consecutive hours. A qualified organization shall not hold 3 1 more than fourteen bingo occasions per month. Bingo occasions 3 2 held under a limited license shall not be counted in 3 3 determining whether a qualified organization has conducted 3 4 more than fourteen bingo occasions per month, nor shall bingo 3 5 occasions held under a limited license be limited to four 3 6 consecutive hours. With the exception of a limited license 3 7 bingo, no more than three bingo occasions per week shall be 3 8 held within a structure or building and only one person 3 9 licensed to conduct games under this section may hold bingo 3 10 occasions within a structure or building. A licensed 3 11 qualified organization shall not conduct free games. 3 12 Sec. 7. Section 99B.7, subsection 1, paragraphs d, e, and 3 13 q, Code 1999, are amended to read as follows: 3 14 d. Cash prizes shall not be awarded in games other than 3 15 bingo and raffles.The value of a prize shall not exceed one3 16thousand dollars and merchandise prizes shall not be3 17repurchased. If a prize consists of more than one item, unit,3 18or part, the aggregate value of all items, units, or parts3 19shall not exceed one thousand dollars. However, one raffle3 20may be conducted per calendar year at which prizes having a3 21combined value of more than one thousand dollars may be3 22awarded. If the prize is merchandise, its value shall be3 23determined by purchase price paid by the organization or3 24donor.3 25e. Except as provided in paragraph "d" of this subsection3 26with respect to an annual raffle, the cost to a participant3 27for each game shall not exceed one dollar.3 28 q. A licensee under this section may holdonea real 3 29 property raffleper calendar year at which the value of the3 30real property may exceed one thousand dollars in lieu of the3 31annual raffle authorized in subsection 1, paragraph "d", if3 32all of the following requirements are met:3 33(1) The licensee has submitted the special real property3 34raffle license application and a fee of one hundred dollars to3 35the department, has been issued a license, and prominently4 1displays the license at the drawing area of the raffle.4 2(2) The real property was acquired by gift or donation or4 3has been owned by the licensee for a period of at least five4 4years.4 5(3) All other requirements of this section and section4 699B.2 are met, except that the cost to participate in the4 7raffle may exceed one dollar for each participant.4 8(4) Receipts from the raffle are kept in a separate4 9financial account.4 10(5) A cumulative report for the raffle on a form4 11determined by the department and one percent of the gross4 12receipts are submitted to the department within sixty days of4 13the raffle drawing. The one percent of the gross receipts4 14shall be retained by the department to pay for the cost of the4 15special auditas provided in Section 99B.5, subsection 3. 4 16 Sec. 8. Section 99B.7, subsection 3, paragraph c, 4 17 unnumbered paragraph 1, Code 1999, is amended to read as 4 18 follows: 4 19 A qualified organization shall distribute amounts awarded 4 20 as prizes on the day they are won. A qualified organization 4 21 shall dedicate and distribute the balance of the net receipts 4 22 received within a quarter and remaining after deduction of 4 23 reasonable expenses, charges, fees, taxes, and deductions 4 24 allowed by this chapter, before the quarterly report required4 25for that quarter under section 99B.2, subsection 4, is due4 26 within thirty days following the end of each calendar quarter 4 27 during which the gambling occurred. The amount dedicated and 4 28 distributed must equal at least seventy-five percent of the 4 29 net receipts. A person desiring to hold the net receipts for 4 30 a period longer than permitted under this paragraph shall 4 31 apply to the department for special permission and upon good 4 32 cause shown the department may grant the request. 4 33 Sec. 9. Section 99B.7, Code 1999, is amended by adding the 4 34 following new subsection: 4 35 NEW SUBSECTION. 3A. If a licensee derives ninety percent 5 1 or more of its total income from conducting bingo, raffles, or 5 2 small games of chance, at least seventy-five percent of the 5 3 licensee's net receipts shall be distributed to an unrelated 5 4 entity for an educational, civic, public, charitable, 5 5 patriotic, or religious use. 5 6 Sec. 10. Section 99B.7, subsection 6, paragraph a, Code 5 7 1999, is amended to read as follows: 5 8 a. Except as provided in this paragraph, a person shall 5 9 not be compensated for services rendered in connection with a 5 10 game of skill, game of chance, or raffle conducted under this 5 11 section. This section forbids payment of compensation to 5 12 persons including, but not limited to, managers, callers, 5 13 cashiers,floor workers,janitorial personnel, accountants and 5 14 bookkeepers. However, up to four floor workers per one 5 15 hundred players, participating in the bingo occasion, may be 5 16 employed. Any other payment of compensation to floor workers 5 17 is prohibited. The privilege of selling merchandise on the 5 18 premises during a bingo occasion is deemed to be compensation. 5 19However, not more than four persons per one hundred players,5 20participating in the bingo occasion may be employed.An 5 21 employee under this paragraph need not be a member of the 5 22 qualified organization or a regular participant in the 5 23 activities of the qualified organization or in an educational, 5 24 civic, public, charitable, patriotic, or religious 5 25 organization to which the net receipts are dedicated by the 5 26 qualified organization. The wages of an employee shall not 5 27 exceed the federal minimum wage. This section does not 5 28 prohibit the employment of one or more individuals to serve as 5 29 security officers. A person who knowingly pays or receives 5 30 compensation in violation of this section commits a fraudulent 5 31 practice. 5 32 Sec. 11. Section 99B.8, Code 1999, is amended to read as 5 33 follows: 5 34 99B.8 ANNUAL GAME NIGHT. 5 35 1. Games of skill, games of chance, card games, and 6 1rafflescasino-type games other than slot machines may 6 2 lawfullymaybe conducted during a period of twelve 6 3 consecutive hours once each year by any person. The gamesor6 4rafflesmay be conducted at any location except one for which 6 5 a license is required pursuant to section 99B.3 or section 6 6 99B.5, but only if all of the following are complied with: 6 7 a. The sponsor of the event has been issued a license 6 8 pursuant to subsection 3 and prominently displays that license 6 9 on the premises covered by the license. 6 10 b. A bona fide social or employment relationship exists 6 11 between the sponsor and all of the participants. 6 12 c. No participant pays any consideration of any nature, 6 13 either directly or indirectly, to participate in the gamesor6 14raffles. 6 15 d. All money or other items wagered are provided to the 6 16 participant free by the sponsor. 6 17 e. The person conducting the gameor rafflereceives no 6 18 consideration, either directly or indirectly, other than good 6 19 will. 6 20 f. During the entire time activities permitted by this 6 21 section are being engaged in, no other gambling is engaged in 6 22 at the same location. 6 23 2. The other provisions of this section notwithstanding, 6 24 if the gamesor rafflesare conducted by a qualified 6 25 organization also licensed under section 99B.7, the sponsor 6 26 may charge an entrance fee or a fee to participate in the 6 27 gamesor raffles, and participants may wager their own funds 6 28 and pay an entrance or other fee for participation, provided 6 29 that a participant may not expend more than a total of fifty 6 30 dollars for all fees and wagers. The provisions of section 6 31 99B.7, subsection 3, paragraphs "b" and "c", shall apply to 6 32 gamesand rafflesconducted by a qualified organization 6 33 pursuant to this section. 6 34 3. The department of inspections and appeals may issue a 6 35 license pursuant to this section only once during a calendar 7 1 year to any one person. The license may be issued only upon 7 2 submission to the department of an application and a license 7 3 fee of twenty-five dollars. 7 4 4. However, an organization may sponsor one or more game 7 5 nights using play money for participation by students without 7 6 the organization obtaining a license otherwise required by 7 7 this section if the organization obtains prior approval for 7 8 the game night from the board of directors of the accredited 7 9 public school or the authorities in charge of the nonpublic 7 10 school accredited by the state board of education for whose 7 11 students the game night is to be held. 7 12 5. However, notwithstanding subsection 1, paragraphs "b" 7 13 and "c", if the gamesor rafflesare conducted by a qualified 7 14 organization issued a license pursuant to subsection 3, the 7 15 sponsor may charge an entrance fee to a participant and the 7 16 sponsor need not have a bona fide social relationship with the 7 17 participant. 7 18 Sec. 12. NEW SECTION. 99B.22 FEES. 7 19 All gambling license application fees received by the 7 20 department shall be retained by and are appropriated to the 7 21 inspections division to carry out its regulatory functions. 7 22 EXPLANATION 7 23 This bill amends Code chapter 99B, games of skill or 7 24 chance, and raffles. 7 25 Code section 99B.1, definitions, is amended by adding the 7 26 definition of "unrelated entity" for use in determining the 7 27 type of entity to which a percentage of total income must be 7 28 distributed by a licensee. 7 29 Code sections 99B.2 and 99B.5 are amended to eliminate the 7 30 small and annual raffle rules conducted at a fair. 7 31 Code section 99B.6 is amended to prohibit dice games in 7 32 beer or liquor establishments. 7 33 Code section 99B.7 is amended to provide that a bingo 7 34 licensee may only conduct one jackpot game per bingo occasion 7 35 and may only conduct one jackpot game at a time; removes 8 1 limitations on the value of merchandize prizes, removes the 8 2 limitation on the cost of participation in a raffle, and 8 3 removes the limitation of only one property raffle per 8 4 calendar year for qualified organizations; specifies when net 8 5 receipts are to be distributed by a qualified organization; 8 6 and requires that a qualified organization licensee deriving 8 7 90 percent of its total income from conducting bingo, raffles, 8 8 or small games of skill or chance must distribute at least 75 8 9 percent of its net receipts to an unrelated entity for 8 10 educational, civic, public, charitable, patriotic, or 8 11 religious use. The amendment to Code section 99B.7 also 8 12 specifies that if personnel are employed for compensation, 8 13 they are to be limited to four floor workers per 100 players 8 14 in a bingo occasion. 8 15 Code section 99B.8 specifies the types of games which may 8 16 be conducted at an annual game night and eliminates raffles 8 17 from the types of games allowed. 8 18 New Code section 99B.22 provides for retention of gambling 8 19 license application fees by and appropriation of these fees to 8 20 the department of inspections and appeals, inspections 8 21 division, to carry out regulatory functions. 8 22 LSB 5712DP 78 8 23 pf/as/5
Text: SSB03060 Text: SSB03062 Text: SSB03000 - SSB03099 Text: SSB Index Bills and Amendments: General Index Bill History: General Index
© 2000 Cornell College and League of Women Voters of Iowa
Comments about this site or page?
webmaster@legis.iowa.gov.
Please remember that the person listed above does not vote on bills. Direct all comments concerning legislation to State Legislators.
Last update: Thu Feb 3 03:35:33 CST 2000
URL: /DOCS/GA/78GA/Legislation/SSB/03000/SSB03061/000202.html
jhf