Chapter 8.08
BINGO

Sections:

8.08.010    Authority.

8.08.020    Definitions.

8.08.030    License required.

8.08.040    Application for a license.

8.08.050    Terms of license – Fees.

8.08.060    Application investigation.

8.08.070    License – Nontransferable.

8.08.080    Limitations.

8.08.090    Inspection/audit.

8.08.100    Denial of application of license – Suspension or revocation of license.

8.08.110    Appeal.

8.08.120    City regulations.

8.08.010 Authority.

This chapter is adopted pursuant to Section 19 of Article IV of the California Constitution and California Penal Code Section 326.5. [Ord. 2010-126 § 1 (Exh. A)].

8.08.020 Definitions.

The following definitions shall apply for the purposes of this chapter:

“Bingo” means a game of chance in which prizes are awarded on the basis of designated numbers or symbols on a card that conform to numbers or symbols selected at random. Bingo includes cards having numbers or symbols that are concealed and preprinted in a manner providing for distribution of prizes. The winning cards shall not be known prior to the game by any person participating in the playing or operation of the bingo game. All preprinted cards shall bear the phrase, “For sale or use only in a bingo game authorized under California law and pursuant to local ordinance.”

“Bingo game” means a single game of bingo, or all games of bingo conducted by a particular organization.

“City manager” means the city manager of the city of Aliso Viejo or designee.

“Minor” means any person under the age of 18 years old.

“Qualified organization” means an organization exempted from the payment of the bank and corporation tax by California Revenue and Taxation Code Sections 23701a, 23701b, 23701d, 23701e, 23701f, 23701g, 23701k, 23701l and 23701w. [Ord. 2010-126 § 1 (Exh. A)].

Cross-reference: definitions generally, AVMC 1.02.010.

8.08.030 License required.

A. It is unlawful for any organization to conduct a bingo game in the city unless such organization is a qualified organization and has been issued a license as provided in this chapter.

B. It is unlawful for any person to conduct a bingo game in the city unless (1) such person is a member of a qualified organization; and (2) such person is acting in an official capacity on behalf of such qualified organization; and (3) the qualified organization has been issued a license as provided by this chapter. [Ord. 2010-126 § 1 (Exh. A)].

8.08.040 Application for a license.

Applications for a license or renewal thereof shall be filed on forms provided by the city and shall be signed under penalty of perjury. Such applications shall be filed not less than 30 days prior to the proposed date of the bingo game. [Ord. 2010-126 § 1 (Exh. A)].

8.08.050 Terms of license – Fees.

A. The term of a bingo license is three years and may be renewed.

B. The applicant for a bingo license shall pay a nonrefundable fee at the time of submittal of the application. A license may be renewed upon the payment of a renewal fee as long as (1) the fee is paid at least 30 days prior to the expiration of the current license’s term; and (2) the applicant is in good standing under the current license. When the renewal fee is not paid at least 30 days prior to expiration of the current license, an additional late fee shall be paid. The license fee, the renewal fee and the late fee shall be established by the Orange County sheriff or the Orange County board of supervisors, as applicable. [Ord. 2013-147 § 13; Ord. 2010-126 § 1 (Exh. A)].

8.08.060 Application investigation.

A. Upon receipt of an application for a license, along with the appropriate fee, the city manager may examine the premises to be used for the bingo game.

B. The city manager may make inquiries to any office or department of the city, and to any state of California and/or federal agencies which he or she deems essential in order to carry out a proper investigation of the applicant and the organization.

C. Upon completion of the investigation, the city manager shall approve, conditionally approve or deny the application for a bingo license pursuant to AVMC 8.08.100 and shall notify the applicant in writing within 10 days of the decision. [Ord. 2010-126 § 1 (Exh. A)].

8.08.070 License – Nontransferable.

Each license shall be issued to a specified qualified organization to conduct a bingo game at a specific location and shall in no event be transferable from one organization to another or from one location to another. [Ord. 2010-126 § 1 (Exh. A)].

8.08.080 Limitations.

A. A qualified organization shall conduct a bingo game only on property owned or leased by it, or on property whose use is donated to such organization, and which property is used by such organization for an office or for the performance of the purposes for which the organization has been formed. Nothing in this subsection shall be construed to require that the property owned or leased by, or whose use is donated to, the organization be used or leased exclusively by, or donated exclusively to, such organization.

B. No minors shall be allowed to participate in any bingo game.

C. All bingo games shall be open to the public, not just to the members of the qualified organization.

D. A bingo game shall be operated and staffed only by members of the qualified organization which organized it. Only the qualified organization authorized to conduct a bingo game shall operate such game or participate in the promotion, supervision or any other phase of such game. Such organization shall have written policies incorporated in its constitution, articles, bylaws or other regulations setting forth the manner in which a person may become a member of the organization, and absent any such written policies, it shall be presumed that the organization has no members who may operate and staff a bingo game. This subsection does not preclude the employment of security personnel, who are not members of the qualified organization, at a bingo game by the organization conducting the game.

E. No person shall receive or pay a profit, wage, salary or percentage from any bingo game authorized by this chapter.

F. No individual, corporation, partnership or other legal entity, except the qualified organization authorized to conduct a game, shall hold a financial interest in the conduct of such bingo game.

G. With respect to organizations exempt from payment of the bank and corporation tax by California Revenue and Taxation Code Section 23701d, all profits derived from a bingo game shall be kept in a special fund or account and shall not be commingled with any other fund or account. Such profits shall be used only for the charitable purposes for which such organizations are organized pursuant to their articles of incorporation or for purposes clearly incidental thereto. With respect to other organizations authorized to conduct bingo games pursuant to the provisions of this chapter, all proceeds derived from a bingo game shall be kept in a special fund and account and shall not be commingled with any other fund or account. Such proceeds shall be distributed to organizations that are tax exempt under California Revenue and Taxation Code Section 23701d to be used for charitable purposes as above defined, except as follows:

1. Such proceeds may be used for prizes;

2. A portion of such proceeds, not to exceed 20 percent of the proceeds before the deduction for prizes, or $2,000 per month, whichever is less, may be used for rental of property, overhead, including the purchase of bingo equipment, administrative expenses, security equipment and security personnel. The licensee shall keep full and complete accounting records supported by properly executed contracts, leases, receipts and other related documents which pertain to all monies, or other forms of income, collected in connection with the conduct of any of its bingo games, disbursed for expenditures in connection therewith and remaining or distributed for charitable purposes. Such records shall be clearly identified and readily accessible. At the end of each month during which any bingo game is conducted, the licensee shall file with the city a full and complete financial report accounting for the funds remaining or distributed for charitable purposes, in such form as prescribed by the city manager;

3. Such proceeds may be used to pay license fees.

H. No person shall be allowed to participate in a bingo game, unless the person is physically present at the time and place in which the particular bingo game is being conducted.

I. The total value of prizes awarded during the conduct of any bingo game shall not exceed $250.00 in cash or kind, or both, for each separate game which is held. [Ord. 2010-126 § 1 (Exh. A)].

8.08.090 Inspection/audit.

A. Any peace officer or official of the city designated by the city manager shall have free access to any bingo game licensed under this chapter. The licensee shall have the bingo license, lists of approved staff and accounting documents relating to all monies collected, disbursed and distributed available to such peace officer for inspection at all times during any bingo game or during licensee’s normal business hours.

B. Officials of the city shall have the right to examine and audit the records of the licensee related to its bingo operations at any reasonable time, and the licensee shall fully cooperate with such officials by making such records available. If a city examination or audit discloses fraud, inappropriate use of proceeds, or violation of the provisions of this chapter or state law, the licensee shall pay for the city’s costs incurred in the examination or audit. [Ord. 2010-126 § 1 (Exh. A)].

8.08.100 Denial of application of license – Suspension or revocation of license.

A. The city manager may deny an application for a bingo license, if he or she finds:

1. That the applicant does not fulfill the specific requirements for such license as set forth in this chapter;

2. That the applicant, or any agent or representative thereof, has knowingly made any false, misleading or fraudulent statement of a material fact in the application or any document in connection therewith;

3. That the applicant, or any of its members, is not of good moral character. If the applicant has, or any of its members have, been convicted of any felony under the laws of this state or has been previously convicted of an offense under the laws of any other state of the United States which offense, if committed in this state would have been punishable as a felony, it shall be presumed that the applicant is not of good moral character; or

4. That the applicant is unfit to conduct a bingo game.

B. The city manager may suspend or revoke a license, if he or she finds:

1. Any of the conditions listed in subsection (A) of this section.

2. That the licensee has, or any of its members have, violated any of the provisions of this chapter; or

3. That the bingo game does not conform with the public welfare for any reason or that the same have been conducted in an illegal, improper or disorderly manner, or in a manner substantially different from that described in the application, or for any reason for which the license application could have been denied.

C. If, after an investigation, the city manager determines that a bingo license should be suspended or revoked or that an application for such license be denied, he or she shall prepare a notice of suspension or revocation or denial of application setting forth the reasons for such suspension, revocation or denial. Such notice shall be served personally on the licensee or applicant, or sent by registered or certified mail, postage prepaid, return receipt requested to the licensee’s or applicant’s last address as provided in the application.

D. Any organization whose bingo license has been denied or revoked may not apply for a license to conduct any bingo games for a period of one year from the date notice of such denial or revocation was served on it, or if affirmed on appeal by the city council as provided in AVMC 8.08.110, from the date of such affirmation; provided, however, if the reason for revocation is cancellation of the exemption granted under California Revenue and Taxation Code Sections 23701a, 23701b, 23701d, 23701e, 23701f, 23701g and 23701l, such organization may again apply for a bingo license upon proof of reinstatement of such exemption. [Ord. 2010-126 § 1 (Exh. A)].

8.08.110 Appeal.

A decision to deny, revoke, or suspend a bingo license may be appealed pursuant to Chapter 1.10 AVMC. [Ord. 2010-126 § 1 (Exh. A)].

8.08.120 City regulations.

The city manager is hereby authorized to enact such administrative regulations as are necessary or convenient to implement the provisions of this chapter. [Ord. 2010-126 § 1 (Exh. A)].