Grass Valley Municipal Code Ch. 5.12 Bingo Games

As used in this chapter:

"Bingo" means a game of chance, which prizes are awarded on the basis of designated numbers or symbols on a card which conform to the numbers or symbols selected at random.

"City" means the City of Grass Valley, California.

"License period" means the period from January 1 of one year to December 31 of the same year.

"Minor" means one who has not reached the age of legal majority, eighteen years.

"Nonprofit, charitable organization" means an organization exempt from the payment of bank and corporation taxes under the provisions of Revenue and Taxation Code Section 23701(d) and an organization to which a contribution or gift would be a charitable contribution under the provisions of Section 170(c)(2) of the Internal Revenue Code of 1954.

(Ord. 470 § 4, 1991: prior code § 12-32)

All organizations exempted from the payment of the bank and corporation tax by Sections 23701a, 23701b, 23701d, 23701e, 23701f, 23701g, and 23701-1 of the Revenue and Taxation Code and all mobile home park associations and senior citizens organizations who wish to conduct bingo games, the proceeds of such games to be used only for charitable purposes, shall procure a license to operate any such bingo game for charity, and it shall be unlawful for any such organization to conduct a bingo game for charitable purposes within the corporate limits of the city without first having procured a license from the city to do so and without complying with any and all applicable provisions of this chapter.

(Ord. 470 § 4, 1991: prior code § 12-33)

The city shall impose a license fee, not to exceed the actual cost of issuing such license, which shall be established by resolution of the city council, on each nonprofit, charitable organization which is authorized to conduct bingo games for charity. This fee shall become delinquent if it remains unpaid thirty days after the due date.

(Ord. 470 § 4, 1991: prior code § 12-34)

All licenses under the provisions of this chapter, unless otherwise expressly stated in this chapter, shall be construed to be annual licenses, and payment shall be due on January 1 for the license period ending December 31 of the same year.

(Ord. 470 § 4, 1991: prior code § 12-35)

A. Every nonprofit, charitable organization required to have a license under the provisions of this chapter shall make application for it to the collector and upon payment of the prescribed license fee the collector shall issue such nonprofit, charitable organization a license which shall contain:

1. The name of the nonprofit, charitable organization to which the license is issued;

2. The date of issuance;

3. Such other information as may be necessary for the enforcement of the provisions of this chapter, including, but not limited to, a written statement sworn to before some officer authorized to administer oaths that such organization is exempt from the payment of bank and corporation tax by Sections 23701a, 23701b, 23701d, 23701e, 23701f, 23701g, and 23701-1 of the Revenue and Taxation Code or that such organization is a mobile home park association or senior citizens organization.

B. No such statement shall be conclusive upon the city or any officer of it as to matters in it set forth, and it shall not prejudice the rights thereof of the city to make an independent investigation as to the status of the organization applying for a license.

(Ord. 470 § 4, 1991: prior code § 12-36)

The following rules and regulations, as set forth in Penal Code 326.5, enacted under the authority of Section 19(c) of Article IV of the Constitution of the State of California shall be applicable to all licensees under the provisions of this chapter.

A. It is a misdemeanor for any person to receive a profit, wage, or salary from any bingo game authorized by Section 19(c) of Article IV of the state Constitution.

B. A violation of subsection A of this section shall be punishable by a fine not to exceed ten thousand dollars, which fine shall be deposited in the general fund of the city.

C. No minor shall be allowed to participate in any bingo game.

D. An organization authorized to conduct bingo games pursuant to this chapter shall conduct a bingo game only on property owned or leased by it, and which property issued by such organization for an office or for the performance of the purposes for which the organization is organized. Nothing in this subsection shall be construed to require that the property owned or leased by the organization be used or leased exclusively by such organization.

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

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

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

H. With respect to organizations exempt from payment of the bank and corporation tax by Section 23701d of the Revenue and Taxation Code, all profits derived from a bingo game shall be kept in a separate fund or account and shall not be commingled with any other fund or account. Such profit shall be used only for charitable purposes.

I. With respect to other organizations authorized to conduct bingo games pursuant to this section, all proceeds derived from a bingo game shall be kept in a separate 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 ten percent of the proceeds after the deduction for prizes, or five hundred dollars per month, whichever is less, may be used for rental of property, overhead, and administrative expenses.

J. 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.

K. The total value of prizes awarded during the conduct of an evening of bingo games shall not exceed two hundred and fifty dollars in cash or kind or both, for each separate game which is held.

(Ord. 470 § 4, 1991: prior code § 12-37)

All licenses must be kept and posted in the following manner:

The licensee carrying on a bingo game for charity in the city shall keep the license posted in a conspicuous place upon the premises where the bingo game is carried on.

(Ord. 470 § 4, 1991: prior code § 12-38)