Fresno Municipal Code Art. 22 Bingo

It is the purpose and intent of this article to authorize the playing of the game of chance generally known as "bingo" subject to and pursuant to the restrictions contained in Article IV, Section 19c of the Constitution of the State of California and Section 326.5 of the Penal Code of the State of California. Definitions, conditions and restrictions set forth in this article are intended to comply with and implement the Constitutional and Penal Code provisions. To the extent that any provision of this article is substantially the same as that contained in Section 326.5 of the Penal Code and Violation thereof be deemed a violation of the Penal Code and punishable thereunder, such provisions of this article shall be deemed explanatory only. (Added Ord. 78-18, § 1, eff. 3-17-78).

(a) "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, and shall include cards having numbers or symbols which are concealed and preprinted in a manner providing for distribution of prizes.

(b) Repealed.

(c) "Controller," "Police Chief," "Director of the Development Department," or "Fire Chief" means the Controller, Police Chief, Director of the Development Department or Fire Chief of the City of Fresno, or their respective authorized agents.

(d) "Nonprofit Organization" means any tax-exempt organization or senior citizens' organization as such terms are defined in this section.

(e) "Senior Citizen" means any person of age 60 or older or any person age 50 or older who no longer engages in full-time employment.

(f) "Senior Citizens' Organization" means any organization meeting the following criteria:

(1) Purpose. The purpose of the organization is to improve the social, recreational, economic, medical and/or housing conditions of senior citizens.

(2) Membership. The membership in the organization shall be limited to senior citizens and their spouses.

(3) Formal Organization. The organization shall have a duly adopted constitution or bylaws stating the purpose of the organization and the qualifications of membership and providing for the election of officers.

(g) "Tax-exempt Organizations" means any organization exempted from payment of bank or corporation taxes by Sections 23701b (fraternal beneficiary societies, orders for organizations), Section 23701d (religious, charitable, scientific, testing for public safety, literary, educational, certain humanitarian corporations and organizations to foster national or international amateur sports competition), Section 23701f (civic leagues, social welfare and employees' organizations), or Section 23701l (domestic fraternal societies, orders or associations) of the California Revenue and Taxation Code, and any labor organization exempted from the payment of bank or corporation taxes by Section 23701a of the California Revenue and Taxation Code.

(h) "Special Fund or Account" means a separate fund or account of a financial institution identified on the permittee's application, and which shall be used exclusively in the manner allowed by Section 9-2210, except that if a permittee's gross receipts do not exceed two thousand dollars ($2,000.00) in any month, the special fund account may consist of a separate general ledger account. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-38, § 1, eff. 4-18-80; Am. Ord. 80-171, §§ 78, 79, eff. 12-26-80; Am. Ord. 81-157, § 30, eff. 12-11-81; Am. Ord. 82-112, § 1, eff. 11-5-82; Am. Ord. 83-15, §§ 1—3, eff. 2-25-83; Am. Ord. 88-134, § 1, eff. 12-2-88; Am. Ord. 92-28, § 1, eff. 5-22-92; Am. Ord. 94-15, § 1, eff. 4-22-94).

A nonprofit organization having in effect a permit therefor from the Controller pursuant to the provisions of this article may conduct a bingo game for charitable purposes subject to all conditions and restrictions contained in Section 326.5 of the California Penal Code and this article. A nonprofit organization having in effect a bingo permit from another jurisdiction allowing bingo games to be conducted from an address subsequently annexed to the city may continue to conduct bingo games from that address, in compliance with the provisions of this article, for a period not to exceed ninety calendar days, provided that during such time the organization applies for and is issued a bingo permit from the Controller. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 83-15, § 4, eff. 2-25-83).

A nonprofit organization may apply to the Controller for a permit to conduct a bingo game. The application shall be upon a form provided therefor by the Controller and shall be accompanied by the fee designated in the Master Fee Resolution. If the applicant is a tax-exempt organization, it shall accompany the application with a certificate or letter from the State Franchise Tax Board stating that the applicant is exempt from the payment of bank or corporation taxes. If the applicant is a senior citizens' organization, it shall provide proof to the satisfaction of the Controller that it satisfied the criteria for a "senior citizens' organization" as set forth in Section 9-2202(f). (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-38, § 2, eff. 4-18-80; Am. Ord. 80-115, § 90, eff. 8-8-80).

(a) The application for a permit for conducting bingo games shall contain the following:

(1) The name and address of the organization proposing to conduct such games;

(2) The names, titles, signatures and addresses of all the officers, trustees and directors of the organization;

(3) The address of the premises where the bingo games are proposed to be conducted, the purposes for which the premises are used by the organization, and the length of time for which the premises have been so used;

(4) The names of the owner(s) and, if any, lessee(s) of the premises where the bingo games are proposed to be conducted;

(5) The name and address, phone number, title, and a photograph of the person responsible for the operation of the bingo game;

(6) The name and address, and phone number of those persons assisting in the operation of the bingo game;

(7) The days and hours of proposed operation of bingo games;

(8) The name and address of the financial institution at which a special fund or account is maintained, together with the account number and authorized signatories of the account; and

(9) A statement as to the section under which the applicant qualifies for tax exemption under the California Revenue and Taxation Code. Applicant shall submit from the Department of Corporations of the State of California proof of which Revenue and Taxation section they are exempt under.

(10) Such further information as may be required by the Controller.

(b) Said application shall be signed by two current officers of the applicant certifying that the conduct of all bingo games will be in strict accordance with the provisions of Section 326.5 of the California Penal Code.

(c) All information submitted with the application required by this section shall be included as a part of, and considered to be contained in, the application. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 78-22, § 1, eff. 3-24-78; Am. Ord. 83-15, § 5, eff. 2-25-83; Am. Ord. 92-28, § 2, eff. 5-22-92).

The filing of an application for a permit shall be deemed a consent by the applicant for the Controller to make an investigation to determine if all the statements on the application are true, to investigate the principal officers of the applicant and the person who will be responsible for the operation of the bingo games as to any criminal record which they may have, and to disclose such information to the Chief Administrative Officer upon appeal. The application shall also be deemed consent for the Fire Chief and the Director of the Development Department to inspect said premises and report thereon. In addition, all required lists of persons assisting in any manner in the conduct of a bingo game operation shall be deemed a consent by the permittee and the listed persons for the Controller to make an investigation to determine if such persons are members of the permittee organization, and to investigate such persons as to any criminal record which they may have. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-171, § 80, eff. 12-26-80; Am. Ord. 83-15, § 6, eff. 2-25-83).

Immediately upon receipt of a proper application, the Controller shall furnish copies thereof to the Director of the Development Department and the Fire Chief, each of whom shall make an investigation as specified in this article and report back to the Controller within forty-five calendar days after the receipt by the Controller of such application with a recommendation thereon. Failure of the Director of the Development Department or the Fire Chief to report back to the Controller within the forty-five day period shall be treated by the Controller as a recommendation to issue the permit. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-171, § 81, eff. 12-26-80; Am. Ord. 83-15, § 7, eff. 2-25-83).

The Controller shall determine if all the statements on the application are true, and may obtain the criminal record, if any, of the principal officers of the organization, and each person who will be responsible for the operation of the bingo games. If he finds any of the statements on the application or other required report, statement or record to be false, he may deny the permit; and if he finds any officer of the organization, any person who will be responsible for the operation of the bingo games, or any person assisting therein to have been convicted within the last five years of crimes involving lotteries, gambling, larceny, perjury, bribery, extortion or fraud, he shall deny the permit. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-171, § 82, eff. 12-26-80; Am. Ord. 83-15, § 8, eff. 2-25-83).

The Director of the Development Department shall investigate the premises and surroundings for the safety of the structure, adequacy of parking facilities and any other condition which, in the opinion of the Director, might endanger the public health, safety or well-being or constitute a nuisance. Should he find that such a potential danger or nuisance exists, the Director may at his discretion recommend denial of the permit or the attachment thereto of such conditions as will in his opinion adequately protect the public health, safety and well-being and preclude the existence of a nuisance; otherwise, he shall recommend its issuance. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 83-15, § 9, eff. 2-25-83).

The Fire Chief shall investigate the premises as to the safety of the structure and for fire hazards and shall determine the maximum number of persons who may be present in the premises during the conducting of bingo games. In the event he finds any condition to exist which might endanger the public health, safety or well-being from the standpoint of structural safety or fire danger, he may recommend against the issuance of the permit or recommend the attachment thereto of such conditions as will in his opinion adequately safeguard the public health, safety and well-being; otherwise, he shall recommend its issuance. (Added Ord. 78-18, § 1, eff. 3-17-78).

In the event the Director of the Development Department or the Fire Chief recommends against the issuance of the permit, the Controller shall deny such permit, and one-half of any permit fee paid shall be refunded to the organization that filed the application. If a permit is denied, the organization that filed the application shall not be eligible to reapply for a permit for a period of six months from the date of denial. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-171, § 83, eff. 12-26-80; Am. Ord. 83-15, § 10, eff. 2-25-83).

Any applicant or permittee may file an appeal from any order or action of the Controller respecting the issuance, denial, modification, suspension or revocation of any permit under Chapter 1, Article 4. Whenever an appeal is available under this article, and no appeal is filed within the time prescribed, the action of the Controller shall be final. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-171, § 84, eff. 12-26-80; Am. Ord. 81-157, § 31, eff. 12-11-81; Am. Ord. 98-65, § 20, eff. 10-1-98; Am. Ord. 2005-14, § 38, eff. 4-9-05).

(a) Subject to the results of his investigation, and if he does not receive a recommendation against the issuance of the permit, the Controller shall issue the permit for a period of one year.

(b) The permit shall contain the following information:

(1) The name and nature of the organization to whom the permit is issued;

(2) The address where the bingo games are authorized to be conducted;

(3) The maximum occupancy of the room in which the bingo games are to be conducted;

(4) The date of the commencement of the permit;

(5) The date of the expiration of the permit;

(6) The days and hours during which bingo may be conducted; and

(7) Such conditions as may have been recommended by the Controller, Planning and Inspection Director, or Fire Chief. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-171, § 85, eff. 12-26-80).

A permittee shall keep the permit posted in a conspicuous place within the room in which bingo is being played during the conduct of any such game. The permittee shall produce and exhibit the same whenever requested to do so by the Controller, Police Chief, Director of the Development Department, or Fire Chief. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-171, § 86, eff. 12-26-80; Am. Ord. 83-15, § 11, eff. 2-25-83).

Any permit granted under this article shall not be transferrable either as to the permittee or the location. Any use of the permit other than by the named permittee or other than at the address where the bingo games are authorized to be conducted shall render the permit invalid. (Added Ord. 78-18, § 1, eff. 3-17-87).

It is unlawful for any bingo game to be operated in violation of any of the following conditions:

(a) No minors shall be allowed to participate in any bingo game;

(b) All bingo games shall be open to the public, not just to members of the nonprofit organization;

(c) 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 bingo game is being conducted;

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

(e) Attendance at any bingo game shall be limited to the occupancy capacity of the room as set forth in the permit;

(f) No permittee shall issue chips or money to a patron on credit or a loan, including but not limited to IOU's and checks to be held, nor shall patrons be allowed to play on credit;

(g) No person who is obviously intoxicated shall be allowed to participate in a bingo game;

(h) No permittee shall conduct any bingo game except between the hours of twelve noon and twelve midnight, nor shall any permittee conduct bingo games for more than four (4) hours during any 24-hour period, nor shall any permittee conduct bingo games more than two (2) days in any seven-day period; except at locations within a target area from Highway 41 to Tuolomne Street between Broadway/H and Q Street, wherein bingo games may be conducted any day of the week; and further, no location, including a single building or a series of contiguous rooms or buildings, shall be utilized to conduct bingo games more than eight (8) hours during any twenty-four-hour period;

(i) No person shall violate any condition attached to the permit;

(j) The permittee shall post and keep posted in a conspicuous place within the room in which bingo is being played the rules and regulations of said games;

(k) No person shall conduct any bingo game after the permit therefor has expired or during any period in which it is suspended;

(l) The permittee shall conduct a bingo game only on property owned or leased by it, or property whose use is donated to the organization, and which property is used by such organization for an office or for performance of purposes for which the organization is organized. 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;

(m) The permittee shall keep for three (3) years a written record of the name, address, and date of birth or driver's license number of each person receiving a prize of a cash value or market value exceeding ten dollars ($10.00), which records shall be made available to the Police Chief or his designee upon request;

(n) For each bingo session, the permittee shall obtain the signature, and shall record on a list the name, address, and date of birth or driver's license number, of all persons assisting in any manner in the conduct of a bingo game operation. Such list shall be signed by a principal officer of the permittee certifying that all persons assisting in the conduct of the bingo game operation are members of the organization. The list shall be made available for inspection at any time by the Police Chief, the Controller, or their designees;

(o) No person operating or assisting in the operation of a bingo game shall participate in any game played during that bingo session. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 78-22, § 2, eff. 3-24-78; Am. Ord. 83-15, §§ 12—18, eff. 2-25-83; Am. Ord. 83-20, § 1, eff. 3-4-83; Am. Ord. 83-21, § 1, eff. 3-4-83; Am. Ord. 92-28, § 3, eff. 5-22-92; Am. Ord. 94-18, § 2, eff. 4-29-94; Am. Ord. 98-76, § 1, eff. 11-12-98).

Any bingo game shall be operated and staffed only by members of the permittee. Such members shall not receive a profit, wage, or salary from any bingo game. Only the permittee shall operate such game or participate in the promotion, advertising, supervision, or other phase of the game, and no wage, salary or other payment may be made on account thereof from funds received from such games. This section does not preclude the employment of security personnel who are not members of the authorized organization at such bingo game by the organization conducting the game. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 83-15, § 19, eff. 2-25-83).

All equipment used by the permittee in conducting the bingo game shall be owned by the permittee. (Added Ord. 78-18, § 1, eff. 3-17-78).

No individual, corporation, partnership or other legal entity except the permittee authorized to conduct the bingo game shall have or hold a financial interest in the conduct of such bingo game or the proceeds therefrom. (Added Ord. 78-18, § 1, eff. 3-17-78).

(a) With respect to organizations exempt from payment of bank or corporation taxes by Section 23701d of the California Revenue and Taxation Code, 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 charitable purposes. With respect to other organizations authorized to conduct bingo games pursuant to this article, all proceeds 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 proceeds shall be used only for charitable purposes, except as follows:

(1) Such proceeds may be used for prizes.

(2) A portion of such proceeds, not to exceed twenty per cent of the proceeds before the deduction for prizes, or two thousand dollars ($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.

(3) Such proceeds may be used to pay permit fees.

(b) All bingo profits or proceeds to be kept in a special fund or account of a financial institution shall be deposited in such fund or account on the next banking day following the bingo game.

(c) A transfer of bingo profits or proceeds to another fund or account of the permittee, or to another fund or account of any other organization or entity associated or affiliated therewith, for purposes of implementing charitable expenditures of such funds, may occur, provided:

(1) No funds from any source other than bingo profits or proceeds are placed in such fund;

(2) The purpose of such fund is clearly designated as a part of the title or subtitle of the fund;

(3) Expenditures from such fund for such purpose are permitted under the provisions of Section 326.5 of the California Penal Code; and

(4) Disbursements from such fund are by consecutively numbered checks upon each of which is written the nature of the expenditure.

(d) All disbursements from a special fund or account of a financial institution shall be by consecutively numbered checks upon each of which is written the nature of the expenditure. No check shall be drawn to "cash" other than for the purpose of depositing cash in a petty cash fund established and maintained for the payment of incidental bingo expenses. Such checks shall be marked "for deposit to the petty cash fund," and shall not be drawn for more than forty dollars ($40.00). No funds shall be designated or held as petty cash except if drawn by check against the special fund or account in the manner specified above. At no time shall a petty cash fund contain more than forty dollars ($40.00). A receipt shall be obtained for each disbursement from any cash fund consisting of bingo profits or proceeds, indicating the amount of cash disbursed, the name of the individual or organization receiving the cash disbursement, and the purpose for which the disbursement is made.

(e) Any funds not disbursed from a required special fund or account prior to the time a permittee ceases to hold a bingo permit shall be subject to annual reporting requirements to be specified by the Controller, including at a minimum, a statement of the location and amount of any special fund balance of bingo profits or proceeds. Disbursement of the entire amount for charitable purposes, and notification to the Controller within thirty days thereof, shall satisfy the reporting requirements, except that if the disbursement is made to another fund or account from which disbursement of the entire amount of charitable purposes has not yet been made, reports shall be required until such disbursement is made and reported. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-38, § 4, eff. 4-18-80; Am. Ord. 83-15, § 20, eff. 2-25-83).

Each permittee conducting a bingo game shall maintain detailed records of all bingo gross receipts, prizes, expenses and proceeds. Such records shall be retained for a period of three years and as long thereafter as may be required by any state or federal law. Such records, including related bank accounts, shall be open for inspection at any time by the Police Chief, the Controller, their designees, or any state or federal official in the performance of his duties. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-171, § 87, eff. 12-26-80; Am. Ord. 83-15, § 21, eff. 2-25-83; Am. Ord. 94-15, § 2, eff. 4-22-94).

(a) Within fifteen days after March 31, June 30, September 30 and December 31 during the permit period, the permittee shall file a report under the penalty of perjury with the Controller containing the following information:

(1) Any changes in or additions to the information required in the application;

(2) The total amount received from the operation of bingo games and all interest earned on deposits during the previous quarter;

(3) The total amount paid out in prizes;

(4) The total amount of disbursements made from bingo receipts for the cost of operation of bingo games;

(5) All disbursements from the required special fund or account; and

(6) The total amount on deposit in the required special fund or account, together with a photocopy of the latest financial statement of such account.

(b) If a monthly permit fee is required by Section 9-2227, the permittee shall file a Bingo Games Report with the monthly fee. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 83-15, § 22, eff. 2-25-83).

Any change during the permit period in the organization of the permittee, its principal officers, the staff operating or assisting in the operation of the bingo game, or the condition of the premises shall be immediately reported to the Controller who shall refer such changes to the appropriate official who shall make an investigation thereof and, if he deems appropriate, recommend the suspension and revocation of the permit or the imposition of additional conditions thereto, which suspension, revocation, or additional conditions shall be appealable to the Chief Administrative Officer. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 81-157, § 32, eff. 12-11-81).

Any permit issued under this article may be modified to further restrict the time for conducting bingo games as set forth in subsection (h) of Section 9-2216 by the Controller upon his own recommendation or upon the recommendation of the Director of the Development Department or the Fire Chief, which recommendation must be based upon good cause. The modified permit shall have the same force and effect as a new permit. Such modification shall take effect and shall result in the automatic revocation of the prior permit fifteen days after notice thereof unless the permittee appeals the modification to the Chief Administrative Officer. The original permit shall remain in effect pending decision by the Chief Administrative Officer. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-171, § 88, eff. 12-26-80; Am. Ord. 81-157, § 33, eff. 12-11-81; Am. Ord. 83-15, § 23, eff. 2-25-83).

Any permit issued under this article shall be immediately suspended by the Controller upon his own recommendation or upon the recommendation of the Director of the Development Department or the Fire Chief, based upon either a violation of this article by the permittee or its agent, or the discovery of some condition which would have been grounds for denial of the permit application. Such suspension shall result in the automatic revocation of the permit fifteen days after notice thereof unless the permittee appeals the suspension and revocation to the Chief Administrative Officer. The suspension shall remain in effect pending decision by the Chief Administrative Officer. If a permit is revoked, the former permittee shall not be eligible to reapply for a permit for a period of six months from the date of revocation. (Added Ord. 78-18, § 1, eff. 3-17-78; Am. Ord. 80-171, § 89, eff. 12-26-80; Am. Ord. 81-157, § 34, eff. 12-11-81; Am. Ord. 83-15, § 24, eff. 2-25-83).

A permittee desiring to continue conducting a bingo game shall, at least forty-five calendar days before the expiration of the permit, make application to the Controller for a renewal. The application for renewal shall be accompanied by the same fee and proofs and shall be processed in all respects as an original application. (Added Ord. 78-18, § 1, eff. 3-17-78).

In addition to the annual permit fee designated in the Master Fee Resolution, an additional fee (specified in the Master Fee Resolution as a percentage of the monthly gross receipts over five thousand dollars ($5,000.00) derived from bingo games) shall be paid to the Controller monthly by each permittee to which it applies. (Added Ord. 83-15, § 25, eff. 2-25-83).

(a) A nonprofit organization, as defined in Section 23701d of the Revenue and Taxation Code, which is organized and operated exclusively for educational purposes and which conducts no more than one bingo game during any calendar year, is exempt from payment of the fee required by Section 9-2204. The organization shall comply with all other provisions of this article and with California Penal Code Section 326.5.

(b) The Controller need not make the investigation required by Section 9-2208 unless, in the Controller's discretion, an investigation appears warranted. (Added Ord. 88-134, § 2, eff. 12-2-88).