Clayton Municipal Code Ch. 9.05 Bingo Games by Charitable Organizations

Pursuant to the provisions of Penal Code § 326.5 of the state and Section 19 of Article IV of the State Constitution, those organizations exempted from the payment of the bank and corporation tax by Revenue and Taxation Code § 32701(d) of the state and a contribution or gift to which would be a charitable contribution under Section 170(C)(2) of the Internal Revenue Code of 1954, are allowed to conduct bingo games in the city, provided said organizations have first complied with the provision of Section 9.05.020 of this code.

(Ord. 169, § 1(part), 1977)

Prior to an organization conducting a bingo game in the city allowed by this chapter, said organization shall have filed with the city clerk Certificates of the Franchise Tax Board and the U.S. Internal Revenue Service that will show that the organization is currently exempted from the payment of the bank and corporation tax by Section 23701(d) of the Revenue and Taxation Code, and that a contribution or gift to the organization would be a charitable contribution under Section 170(c)(2) of the Internal Revenue Code of 1954.

(Ord. 169, § 1(part), 1977)

It shall be a misdemeanor for any person to receive a profit, wage or salary from any bingo game authorized under this chapter. A violation of this section shall be punishable by a fine not to exceed ten thousand dollars ($10,000.00), as provided in Penal Code § 326.5(c), which fine shall be deposited in the general fund of the city.

(Ord. 169, § 1(part), 1977)

It shall be unlawful for any minor to participate in any bingo game.

(Ord. 169, § 1(part), 1977)

Any nonprofit charitable organization qualified to operate a bingo game under this chapter shall conduct such bingo game only on property owned or leased by it, and which property is used by such organization for an office or for performance of the purposes for which the organization is organized.

(Ord. 169, § 1(part), 1977)

All bingo games allowed by this chapter shall be open to the public, not just to the members of the nonprofit charitable organization.

(Ord. 169, § 1(part), 1977)

A bingo game shall be operated and staffed only by members of the nonprofit charitable organization which organized it. Such members shall not receive a profit, wage, or salary from the bingo game. Only the organization authorized to conduct a bingo game shall operate such game, or participate in the promotion, supervision, or any other phase of such game.

(Ord. 169, § 1(part), 1977)

It shall be unlawful for any individual, corporation, partnership, or other legal entity except the organization authorized to conduct a bingo game to hold a financial interest in the conduct of such bingo game.

(Ord. 169, § 1(part), 1977)

All profits derived from a bingo game shall be kept by a nonprofit charitable organization in a special fund or account and shall not be commingled with any other fund or account.

(Ord. 169, § 1(part), 1977)

It shall be unlawful for any person to participate in a bingo game unless such person is physically present at the time and place in which the bingo game is being conducted.

(Ord. 169, § 1(part), 1977)

The total value of prizes awarded during the conduct of any bingo games shall not exceed two hundred fifty dollars ($250.00) in cash or kind, or both, for each separate game which is held.

(Ord. 169, § 1(part), 1977)

As used in this chapter, "bingo" means a game of chance in which prizes are awarded on the basis of designated numbers or symbols on a card, which conform to numbers or symbols selected at random.

(Ord. 169, § 1(part), 1977)

The city council may, by resolution, impose a fee for processing receipt of the Certificates of the Franchise Tax Board and U. S. Internal Revenue Service mentioned in Section 9.05.020, and for issuing a license or other evidence of the filing of such certificates, not to exceed the actual cost of such processing and issuing a license or other evidence of the filing of such certificates, not to exceed the actual cost of such processing and issuing service, on each nonprofit charitable organization which files such certificates.

(Ord. 169, § 1(part), 1977)