THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY SANTONI, SAYLOR, BRENNAN, D. COSTA, GALLOWAY, GERGELY, HARKINS, KORTZ, KOTIK, SAINATO, SIPTROTH, SOLOBAY, SWANGER, VULAKOVICH, DONATUCCI, HALUSKA, BELFANTI, FABRIZIO AND CALTAGIRONE, APRIL 20, 2009

REFERRED TO COMMITTEE ON GAMING OVERSIGHT, APRIL 20, 2009  

AN ACT

Amending the act of July 10, 1981 (P.L.214, No.67), entitled "An

act relating to the lawful conduct of bingo, prescribing

penalties and making a repeal," further providing for the

definition of "bona fide member," for rules for licensing and

operation and for penalties.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  The definition of "bona fide member" in section 3

of the act of July 10, 1981 (P.L.214, No.67), known as the Bingo

Law, added December 15, 1982 (P.L.1299, No.293), is amended to

read:

Section 3.  Definitions.

The following words and phrases when used in this act shall

have, unless the context clearly indicates otherwise, the

meanings given to them in this section:

* * *

"Bona fide member."  Any individual who holds a full

membership in the association as defined by the association's

constitution, charter, articles of incorporation or bylaws and

has been a member of the association for at least [one year] 30

days. The term shall also include those individuals who are

members of an auxiliary or recognized junior affiliate of the

parent association.

* * *

Section 2.  Section 5(a), (c), (d) and (e) of the act,

amended December 15, 1982 (P.L.1299, No.293) and February 12,

1988 (P.L.76, No.14), are amended and the section is amended by

adding a subsection to read:

Section 5.  Rules for licensing and operation.

(a)  Issuance and fee.--The licensing authority shall

license, upon application, any association as defined in section

3 to conduct the game of bingo at one location in the county,

which, when in a county of the second class, shall only be in

the city, borough or township where the main business office or

headquarters of the association is located. The county treasurer

of a county of the second class shall indicate on each license

the city, borough or township where the association may conduct

bingo. The single municipal location limitation shall not apply

to a group of licensed associations conducting bingo at a

central location. The license fee to be charged to each

nonprofit association shall be $100 per annum except to those

recognized senior citizens' groups who conduct bingo for their

members only the fee shall be $50 per annum. The license fee to

be charged to each agricultural association or county fair shall

be $100 per annum. Associations which conduct bingo only one

period each year for not more than [three] seven consecutive

days shall be charged $15 for the issuance of their license. The

fees collected pursuant to this section shall be paid by the

licensing authority into the general fund of the county and used

for county purposes. All records retained by the licensing

authority relating to the issuance of bingo licenses and bingo

permits shall be public information.

* * *

(c)  Operation.--Each licensed association shall comply with

the following restrictions and rules governing the operation of

bingo:

(1)  No person under the age of 18 shall be permitted to

play bingo unless accompanied by an adult.

(2)  No association shall conduct bingo more than [twice]

four times in any one week, except an association shall be

permitted to conduct the game of bingo for a period not to

exceed ten days at the association's exposition, carnival or

fair site in addition to the regularly scheduled games.

(3)  Prizes awarded shall not exceed a value of $250 for

any one game of bingo, except [for jackpot] as follows:

(i)  Jackpot games, which shall not exceed a value of

$2,000 for one such game. [In addition, no more than

$4,000 in prizes]

(ii)  No more than $8,000 in prizes shall be awarded

in any calendar day.

(iii)  Winner-takes-all games which shall pay out

100% of the gross revenues generated from the bingo game.

(4)  Only associations licensed to conduct bingo shall be

permitted to advertise their bingo games. Such advertisements

shall contain the date, time, location, whether cash or

merchandise prizes will be awarded and the name of the

association licensed to conduct the bingo game and the name

of the individual in charge of the operation of the game. [An

association shall not advertise the prizes or their dollar

value which will be awarded nor shall they advertise a

guaranteed prize dollar value.]

(5)  The association shall own the equipment used in

playing bingo or shall sign a written agreement leasing the

equipment from another licensed association for a fee which

is not determined by the amount of receipts realized from the

playing of bingo or the number of people attending bingo

games. Joint ownership of bingo equipment shall be permitted

only if both owners of the equipment are licensed

associations. This paragraph shall not apply to associations

contracting charitable organizations or outside operators to

conduct bingo at expositions, carnivals or fairs.

(6)  The association shall own both the premises upon

which bingo is played and the personal property used in the

conduct of the game, or if it does not, the association shall

sign a written agreement leasing such premises or personal

property from the owner thereof for a fee which is not

determined by either the amount of receipts realized from the

playing of bingo or the number of people attending bingo

games. An association shall not lease such premises or

personal property from any person who has been convicted of a

felony or a violation of this act. More than one association

may lease the same premises for the conducting of bingo and

each association shall have its own license, subject to the

limitations enumerated in section 7(b).

(7)  Each association shall keep written records of the

moneys and merchandise collected and distributed for each day

they conduct bingo. These records shall indicate the total

proceeds collected, the total prize money distributed, the

total value of all merchandise awarded as a prize and the

amount of moneys paid as rentals or wages and to whom such

rentals or wages were paid. All prizes awarded having a value

[greater than $250] of $600 or more shall be specifically

described in the association's records. The association shall

obtain the signature receipt of any winner of $600 or more.

These records shall be maintained by the association. Each

association shall report to the Department of Revenue prizes

awarded as required by section 335 of the act of March 4,

1971 (P.L.6, No.2), known as the "Tax Reform Code of 1971."

(8)  Each association shall deposit with a financial

institution all proceeds for each day's bingo game in an

account in the association's name. This deposit shall be made

before any of the proceeds may be used for any other purpose,

except for payment of prize money and compensation to members

employed in the operation of the game.

(9)  No association shall permit any person who is not a

bona fide member of the association or who has been convicted

of a felony or a violation of this act to manage, set up,

supervise or participate in the operation of the

association's bingo games. Nothing contained in this act

shall be construed to prohibit individuals under 18 years of

age from participating in the operation of the game and being

compensated therefor if written permission is obtained from

their parent or guardian.

(10)  Associations which obtain a license for the purpose

of conducting bingo at an exposition, carnival or fair for a

period not exceeding ten days shall be permitted to contract

a charitable organization to manage, set up, supervise or

participate in the operation of the bingo game provided only

merchandise prizes are awarded. Only bona fide members of the

contracted charitable organization shall be permitted to

participate in the operation of the bingo game. If no

charitable organizations are available, the association may

contract an outside operator to conduct the game for

merchandise at the exposition, carnival or fair site. The

provisions of this paragraph shall not be construed to allow

bingo games to be ordinarily carried out on a commercial

basis in this Commonwealth.

(11)  No person shall participate in the operation of

bingo games on more than four days in any calendar week,

which games may be operated by no more than two different

licensed associations. This provision shall not apply to

persons engaged in the operation of bingo for merchandise at

expositions, carnivals or fairs not exceeding ten days in

duration.

(12)  No supplier of merchandise nor any person who has

been convicted of a felony or a violation of this act shall

have a pecuniary interest in the operation or proceeds of the

bingo game.

(d)  Application for license.--Each association shall apply

to the licensing authority for a license on a form to be

prescribed by the Secretary of the Commonwealth. Said form shall

contain an affidavit to be affirmed by the executive officer or

secretary of the association stating that:

(1)  No person under the age of 18 will be permitted by

the association to play bingo unless accompanied by an adult.

(2)  The facility in which any game of bingo is to be

played does have adequate means of ingress and egress and

adequate sanitary facilities available in the area.

(3)  The association is the sole or joint owner with a

licensed association of the equipment used in playing bingo

or it leases the equipment from another licensed association

under a written agreement for a fee which is not determined

by the amount of receipts realized from the playing of bingo

or the number of people attending bingo games. This paragraph

shall not apply to associations contracting with charitable

organizations or outside operators to conduct bingo at

expositions, carnivals or fairs.

(4)  The association is the owner of both the premises

upon which bingo is played and the personal property used in

the conduct of the game or, if it is not, that the

association is not leasing such premises or personal property

from the owner thereof under an oral agreement, nor is it

leasing such premises or personal property from the owner

thereof under a written agreement at a rental which is

determined by either the amount of receipts realized from the

playing of bingo or the number of people attending bingo

games, nor is it leasing such premises or personal property

from a person who has been convicted of a felony or a

violation of this act.

(5)  The association will not conduct the playing of

bingo more than [twice] four times per week in any one week,

except those associations conducting bingo at expositions,

carnivals or fairs.

(6)  The association in any calendar day will not award a

total of more than [$4,000] $8,000 in prizes.

(7)  The association is a nonprofit association as

defined in this act.

(8)  The association has complied with the annual

financial report filing requirements in subsection (d.1)(1).

(d.1)  Additional application components.--As part of the

application under subsection (d), each association shall comply

with all of the following:

(1)  An association shall file an annual report with the

licensing authority. The following shall apply:

(i)  The first annual report required under this

paragraph shall contain information for the 12-month

period ending at least 60 days, but not more than 90

days, prior to the submission of the application.

Subsequent annual reports shall contain information for

the most recent 12-month period ending in the same month

as the initial report.

(ii)  The annual report shall concern the operation

of bingo games by the association and shall detail gross

receipts from the conduct of bingo games, the expenses

related to the conduct of bingo games, the prizes paid

out for bingo games and the details as to how the

proceeds from bingo games were used or disbursed by the

association.

(iii)  The annual report shall be prepared on a one-

page form to be designed by the department. Additional

schedules shall be included, if necessary, to provide

specific details on the use or disbursement of the net

proceeds from bingo games by the association.

(e)  Limitation on compensation.--No person may be employed

in the operation or the actual running of a bingo game for

compensation greater than [$50] $100 per calendar day, except

employees of outside operators under section 5(c)(10), and any

person compensated shall be paid individually by check or by

cash, in which case the payee shall sign a written receipt

therefor. [In addition, no person shall receive compensation

from more than one source for services rendered in the operation

of a bingo game.]

* * *

Section 3.  Section 7(b) of the act, amended December 15,

1982 (P.L.1299, No.293), is amended to read:

Section 7.  Penalty.

* * *

(b)  Misdemeanor.--Any person who conducts or assists in the

conducting of bingo in violation of the provisions of this act,

is guilty of a misdemeanor of the first degree. Any person who

permits the conduct of bingo on the same premises, owned by him

or leased to him, on more than five days in any one week or by

more than [one association] two associations in any calendar

day, except for bingo being played at an exposition, carnival or

fair, is guilty of a misdemeanor of the first degree.

Section 4.  This act shall take effect in 90 days.