Fontana Municipal Code Art. VII Bingo

Footnotes:

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Editor's note— Ord. No. 1632, § 2(Exh. A), adopted June 28, 2011, amended Art. VII in its entirety to read as herein set out. Former Art. VII, §§ 15-276—15-278, pertained to similar subject matter, and derived from Code 1968, §§ 4-42—4-44; Ord. No. 1066, §§ 1, 2, adopted Nov. 17, 1992; Ord. No. 1191, § 3, adopted June 18, 1996; Ord. No. 1621, § 1, adopted June 23, 2010.

State Law reference— Bingo games for charity, Penal Code § 326.5.

The following words, terms and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:

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.

Charitable organization affiliated with a school district means an organization formed for the benefit of a school district which has an official name, president, and secretary and which has an address or mailbox.

Mobile home park association means an organization formed for the benefit of mobile home park residents which has an official name, president, and secretary and which has an address or mailbox.

Remote caller bingo means bingo as defined in Penal Code § 326.3(u)(1).

Senior citizens organization means an organization formed for the benefit of senior citizens which has an official name, president, and secretary and which has an address or mailbox.

(Ord. No. 1632, § 2(Exh. A), 6-28-11)

Bingo games may be conducted in the city subject and pursuant to the following provisions:

(1) Bingo games shall be conducted only by organizations exempted from the payment of the bank and corporation tax by Revenue and Taxation Code §§ 23701A, 23701B, 23701D, 23701E, 23701F, 23701K, 23701G, 23701L, and 23701W and by charitable organizations affiliated with a school district, mobile home park associations, and senior citizens organizations, provided that the proceeds of such games are used only for charitable purposes or for reimbursement of reasonable and necessary expenses in operating such games. Security personnel employed by the organization conducting bingo games may be paid from the revenues of bingo games, as provided in subsection (10) of this section.

(2) It is an infraction for any person to receive a profit, wage or salary from any bingo game authorized as provided in article IV, section 19 of the constitution of the state. Security personnel employed by the organization conducting the bingo game may be paid from the revenues of bingo games as provided in subsection (10) of this section.

(3) The violations of subsection (2) of this section shall be punishable by an administrative fine not to exceed $10,000.00 which fine shall be deposited in the general fund of the city. A violation of any provision of this section, other than subsection (2) of this section, is an infraction.

(4) No minor person shall be allowed to operate, work at or participate in any bingo game.

(5) A bingo game shall only be conducted on property owned or leased by an organization authorized by this section to conduct bingo games which has been in existence in the city at least six consecutive months prior to the filing of an application for a bingo license.

(6) All bingo games shall be open to the public, not just to members of the authorized organization.

(7) A bingo game shall be operated and staffed only by members of the nonprofit, charitable organization, mobile home park association or senior citizens organization which organized it. Such members shall not receive a profit, wage or salary from any bingo game. Only the organization authorized to conduct the bingo game under this article shall operate such game or participate in the promotion, supervision or any other phase of such game.

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

(9) 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. The licensee shall keep full and accurate records of the income and expenses received and disbursed in connection with its operation, conduct, promotion, supervision and any other phase of bingo games which are authorized by this article. The city auditor, in conjunction with the police department, shall have the right to examine and audit such records at any reasonable time, and the licensee shall fully cooperate with the city by making such records available. Such proceeds shall be used only for charitable purposes, except as described in subsection (10) of this section.

(10) All proceeds derived from a bingo game pursuant to this section:

a. May be used for prizes.

b. A portion of such proceeds, not to exceed 20 percent of the proceeds before the deduction for prizes, or $2,000.00 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.

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

d. If the monthly gross receipts from bingo games of an organization within this subsection exceeds $5,000.00, a minimum percentage of the proceeds shall be used only for charitable purposes not relating to the conducting of bingo games and the balance shall be used for prizes, rental of property, overhead, administrative expenses and payment of license fees. The amount of proceeds used for rental of property, overhead, and administrative expenses is subject to the limitations specified in subsection (10)b.

(11) No bingo game shall be operated until, and unless, such organization shall have received a license authorizing it to conduct a bingo game. The annual fee for such license shall be set by the city.

(12) No person shall be allowed to participate in a bingo game pursuant to this section unless the person is physically present at the time and place in which the bingo game is being conducted.

(13) The total value of prizes awarded during the conduct of any bingo game shall not exceed $500.00 in cash or kind, or both, for each separate game which is held.

(14) There shall be no more than two bingo games held during any calendar week in any one location wherein a portion of the proceeds are retained by the sponsoring organization unless the proceeds retained are to be used solely to reimburse expenses as defined in subsection (10) of this section.

(15) No organization shall conduct bingo games between the hours of 11:00 p.m. and 11:00 a.m.

(16) The games shall otherwise be conducted in compliance with Penal Code § 326.5.

(Ord. No. 1632, § 2(Exh. A), 6-28-11)

(a) The application for a license for the conduct of bingo games shall be upon a form prescribed by the city license collector, and shall be accompanied by written evidence of the exemption of the organization from the payment of the bank and corporation tax by applicable state law and payment of the license fee as set by resolution of the city council which shall not exceed the maximum amount permitted pursuant to Penal Code § 326.5(1).

(b) The application for license shall be completed on a yearly basis.

(c) Upon receipt of the completed application and the fee, the city license collector shall refer the application to interested departments of the city, including but not limited to the city manager, city attorney, planning department, police department and fire department, for investigation as to whether or not all the statements in the application are true and whether or not the property of the applicant qualifies, and the extent to which it qualifies, as property on which bingo games may lawfully be conducted, as to fire, occupancy and other applicable restrictions.

(d) Upon receipt of an application, or whenever there is a change of officers of the organization or in the position of game manager, the chief of police shall make an investigation regarding the character and moral fitness of applicants, the cost of which investigation shall be borne in whole or in part by the applicants in an amount set by resolution of the city council. This investigation shall include the obtaining of criminal history statements, through fingerprints, for all officers/board members and game manager(s) associated with the day-to-day operation of the game. The cost of this check shall be borne by the applicant as provided in Penal Code § 326.5(1)(2). The purpose of this investigation is to determine those persons who have been convicted of crimes involving lotteries, gambling, larceny, perjury, bribery, extortion, fraud or similar crimes involving moral turpitude. If any person investigated does in fact have a criminal record, or presents any cause for concern related to the community's public health, peace, safety, or welfare, such person shall be notified in writing and the license suspended until such person is removed from the application or does not participate in bingo operations. Such person shall not, at any time in the future, be permitted to participate in any way in any bingo operation licensed under this article. Any person objecting to the chief of police's determination pursuant to this subsection may appeal to the city manager or designee provided he or she files a notice of appeal with the city clerk within ten days of the chief of police's determination.

(e) Upon initial application, yearly renewals and change in organizational officers/board members or game managers, the police department shall meet with organizations holding bingo licenses to review existing laws and city ordinances regulating bingo operations and to answer questions that may arise.

(f) Licenses are not transferable, and there are no rebates if the bingo operation licensed under this article is discontinued during the period for which the license was issued.

(Ord. No. 1632, § 2(Exh. A), 6-28-11)

Remote caller bingo games may be conducted in the city subject and pursuant to the following provisions:

(1) Remote caller bingo games may be conducted by any organization eligible to receive a traditional bingo license pursuant to section 15-277 if:

a. The organization possesses a valid traditional bingo license issued pursuant to section 15-278;

b. The organization has been incorporated or in existence for three years or more; and

c. The organization obtains approval from the chief of police as provided in section 15-280.

(2) Remote caller bingo games shall be conducted in compliance with Penal Code §§ 326.3 and 326.4 and all other applicable local and state laws and regulations.

(3) Remote caller bingo games shall not be conducted by any licensee on more than two days during any week, except that a licensee may hold one additional game, at its election, in each calendar quarter.

(4) The licensee shall keep full and accurate records of the income and expenses received and disbursed in connection with its operation, conduct, promotion, supervision and any other phase of remote caller bingo games which are authorized by this article. The city auditor, in conjunction with the police department, shall have the right to examine and audit such records at any reasonable time, and the licensee shall fully cooperate with the city by making such records available.

(5) In addition to the requirements of subsection (4), the licensee shall submit copies of any state-mandated audits, including, but not limited to, those required pursuant to Penal Code § 326.3(w)(2), to the chief of police within five days of their submission to the applicable state agency.

(6) Except as authorized by Penal Code § 326.3, it is a misdemeanor for any person to receive a profit, wage or salary from any remote caller bingo game authorized as provided in article IV, section 19 of the constitution of the state.

(7) The violations of subsection (6) of this section shall be punishable by an administrative fine not to exceed $10,000.00 which fine shall be deposited in the general fund of the city. A violation of any provision of this section, other than subsection (6) of this section, is a misdemeanor.

(Ord. No. 1632, § 2(Exh. A), 6-28-11)

(a) Organizations wishing to conduct remote caller bingo shall submit a request to do so to the city license collector which shall be submitted at the same time as an application for a traditional bingo license pursuant to section 15-278. The request shall be accompanied by any information reasonably necessary to permit the chief of police to determine that the proposed remote caller bingo operation and games will be conducted in compliance with this article and all applicable state laws and regulations, expressly including, but not limited to all applicable administrative and management agreements.

(b) Notwithstanding anything to the contrary in subsection (a), any organization possessing a valid traditional bingo license issued pursuant to section 15-278 may submit a request for authorization to conduct remote caller bingo games at any time. However, such requests shall be accompanied by a nonrefundable filing fee in an amount determined by resolution of the council from time to time. The request shall also be accompanied by any information reasonably necessary to permit the chief of police to determine that the proposed remote caller bingo operation and games will be conducted in compliance with this article and all applicable state laws and regulations.

(c) Approvals to conduct remote caller bingo issued pursuant to this section shall be valid until the end of the calendar year in which they were issued or the expiration of the traditional bingo license that the approval was incorporated into or attached to, which is earlier. A new approval shall only be obtained upon filing a new application. The fact that an approval has been granted creates no vested right on the part of the licensee to continue to offer remote caller bingo for play. The city council expressly reserves the right to amend or repeal this article at any time. If this article is repealed, all approvals granted pursuant to this article shall cease to be effective for any purpose on the effective date of the repealing legislation.

(d) In the event an organization only wishes to conduct remote caller bingo games, it shall not be required to undergo the investigations required pursuant to section 15-278(d) provided it obtains and maintains all necessary state licenses and registrations required by Penal Code § 326.3 and submits copies of such licenses and registrations with its application pursuant to this section. Any organization exempt from city investigations pursuant to this subsection shall only conduct remote caller bingo games and shall not conduct traditional bingo games pursuant to section 15-277.

(Ord. No. 1632, § 2(Exh. A), 6-28-11)

In addition to any other penalty provided by law, any violation of this article shall constitute cause for the revocation of the organization's bingo license or remote caller bingo approval by the chief of police. Any person objecting to the chief of police's determination pursuant to this subsection may appeal to the city manager or designee provided he or she files a notice of appeal with the city clerk within ten days of the chief of police's determination.

(Ord. No. 1632, § 2(Exh. A), 6-28-11)