SB110

By Senator Marsh

ENROLLED, An Act,

Relating to Calhoun County; to amend Sections 45-8-150.07 and 45-8-150.08 of the Code of Alabama 1975, relating to bingo games; to provide that a minimum amount of adjusted gross proceeds shall be designated for charitable or educational purposes; and to increase the maximum amount of prize money that may be paid in one week.

BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:Section 1. Sections 45-8-150.07 and 45-8-150.08 of the Code of Alabama 1975, are amended to read as follows:

§45-8-150.07.

"(a) All of the net proceeds of a bingo game shall be designated and expended for charitable or educational purposes. Provided, however, in no event shall less than 10 percent of the adjusted gross proceeds be designated for charitable or educational purposes. Adjusted gross proceeds shall be defined as gross proceeds less prize payouts. Net proceeds shall include gross proceeds less reasonable expenses incurred or paid in connection with the holding, operating, or conducting of bingo games, including all of the following bona fide expenses, in reasonable amounts:

"(1) The purchase or rental of equipment necessary for conducting bingo games and payment of services reasonably necessary for the repair and maintenance of equipment.

"(2) The payment of cash prizes or the purchase of prizes or merchandise.

"(3) The actual rental or mortgage payment on the location at which bingo is conducted or a pro rata share if the building is used for other purposes in addition to the operation of bingo games. The rental or mortgage payment shall be reasonable as compared to the fair rental value or fair market value of similar property located in the area where the bingo games are conducted.

"(4) Actual insurance or a pro rata share if the building is used for other purposes in addition to the operation of bingo games.

"(5) Utilities or a pro rata share if the building is used for other purposes in addition to the operation of bingo games.

"(6) Janitorial services or a pro rata share if the building is used for other purposes in addition to the operation of bingo games.

"(7) The fee required for issuance or reissuance of a permit to conduct bingo, including the fee to be collected by the governing body and paid to the Calhoun County Bingo Regulatory Commission.

"(8) Security personnel or a pro rata share if the building is used for other purposes in addition to the operation of bingo games.

"(9) Accountant fees in connection with the preparing and filing of financial statements required by this article.

"(10) A reserve for a cash operating account not to exceed fifteen thousand dollars ($15,000).

"(11) Other reasonable expenses incurred by the permit holder, not inconsistent with this article.

"(b) Each permit holder shall transfer the proceeds for charity or education to the charity or educational agency at the end of each calendar quarter or place the proceeds in a separate account for the benefit of charity or education in an interest bearing trust account at the end of each calendar quarter. If the proceeds are placed in a trust account they shall be transferred to the charity or educational agency at the end of the next calendar quarter preceding the transfer.

§45-8-150.08.

"(a) Bingo may not be conducted with any equipment which is not owned, being purchased, or being rented at a reasonable rate by the permit holder, except as otherwise provided in this article.

"(b)(1) Prizes awarded by any organization for the playing of bingo games during a bingo session shall not be less than 50 percent of the gross receipts in cash or gifts of equivalent value during the bingo session.

"(2) The maximum amount of prize money that may be paid in any one week for all games during the week shall be not more than one hundred twenty thousand dollars ($120,000) one million dollars ($1,000,000).

"(c) A permit holder shall display its bingo license conspicuously at the location where the bingo game is conducted.

"(d) In any advertisement for bingo, the permit holder shall indicate the purposes for which the net proceeds will be used by the permit holder.

"(e) A permit holder shall conduct bingo games only at the single location specified in the application of the permit holder. Any video or audio broadcast of bingo from that location shall be performed in accordance with all state and federal laws relating to the broadcasting of gambling events, and any proceeds received by the permit holder as a result of the broadcast shall be considered part of the gross proceeds of the bingo session which is broadcast.

"(f) A permit holder shall not conduct more than six bingo sessions during any one calendar week and no session shall exceed 10 hours.

"(g) The same organization shall not be issued a permit more than once quarterly annually and no session shall exceed 10 hours.

"(h) No person under the age of 19 years shall be permitted to play, unless accompanied by a parent or guardian, any game or games of bingo conducted pursuant to any permit issued pursuant to this article. No person under the age of 19 years shall be permitted to conduct or assist in conducting any game of bingo or other related activity in the location where the bingo games are conducted."

Section 2. This act shall become effective immediately following its passage and approval by the Governor, or its otherwise becoming law.

Bingo

Calhoun County

Gambling

Counties

Code Amended