Chapter 6.16

BINGO

• 6.16.195 Monthly gross receipt and expenditure report.

• 6.16.200 Where bingo may be conducted.

Sections:

• 6.16.010 Bingo defined.

• 6.16.020 Provisions intended supplementary to state law.

• 6.16.030 Only certain organizations permitted to conduct bingo.

• 6.16.040 No profit, wage or salary permitted.

• 6.16.050 Permit - Required.

• 6.16.060 Permit - Application requirements.

• 6.16.063 Qualified organizations.

• 6.16.210 Staffing and operation.

• 6.16.213 Sale of cards.

• 6.16.216 False or misleading advertising.

• 6.16.220 Hours of operation.

• 6.16.230 Bingo equipment.

• 6.16.240 Financial interest restriction.

• 6.16.250 Proceeds to be kept in separate fund - Use restrictions.

• 6.16.260 Total value of prizes limited.

• 6.16.265 Award of prizes.

• 6.16.270 Games to be open to the public.

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§ 6.16.010

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; and the game of bingo shall also include cards having numbers or symbols which 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 such preprinted cards shall bear the legend, "for sale or use only in a bingo game authorized under California law and pursuant to local ordinance.") (Prior code § 4900; Ord. 20203.)

The provisions of this chapter are not intended to conflict with but shall supplement all laws of the state of California relating to lotteries, gaming or gambling, except that bingo as defined in Section 6.16.010 applies exclusively to this chapter and shall not be applied in the construction or enforcement of any other provision of law. (Prior code § 4930; Ord. 20203.)

No individual, corporation, partnership or other legal entity shall be permitted to conduct a bingo game except organizations exempted from the payment of the bank and corporation tax by Sections 23701a, 23701b, 23701d, 23701e, 23701f, 23701g, 23701L of the Revenue and Taxation Code and mobilehome park associations and senior citizen organizations; and provided that the proceeds of such games are used only for charitable purposes.

(Prior code § 4901; Ords. 19507, 20203.)

No person shall receive or pay a profit, wage, or salary from any bingo game authorized herein. (Prior code § 4902; Ord. 20203.)

No person shall conduct a bingo game without first obtaining a permit from the chief of police. (Prior code § 4914; Ord. 20203.)

Written application for a permit required by this chapter shall be made by an affidavit under penalty of perjury and filed with the chief of police. Such application shall contain:

• A. Name of organization; names, signatures and addresses of all the officers of the organization;

• B. Days and hours of operation of bingo games;

• C. Copy of certificate or letter from the franchise tax board evidencing exempt status under Section 23701a, 23701b, 23701d, 23701e, 23701f, 23701g, or 23701L of the Revenue and Taxation Code, if so exempt; a copy of a yearly updated exemption letter shall be submitted at time of renewal, including also any changes in the hours or days of operation;

• D. Address of premises where bingo games will be conducted;

• E. Statement of ownership or lease of premises;

• F. Purposes for which such premises are used by the organization;

• G. State of ownership of bingo equipment used in the operation of bingo games;

• H. Statement of consent for chief of police or city director of finance or designated representative to inspect any bank accounts containing profits derived from bingo games;

• I. Name of each individual, corporation, partnership or other legal entity which has a financial interest in the conduct of the bingo games;

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§ 6.16.100

• J. Name, address, and phone number of person responsible for the operation of the bingo games;

• K. Names of two persons responsible for receipts and accounting who shall be a bona fide and active member of applicant organization and of good moral character and who shall be present and in immediate charge of and responsible for the conduct of bingo games at each bingo session, including signatures, addresses, and phone numbers of said members, which shall be updated yearly or when any changes occur and submitted in writing to the chief of police;

• L. Statement whether the total value of prizes awarded for any separate game will on any occasion exceed five dollars in cash, or kind, or both;

• M. Whether any refreshments will be served during the time the games are being conducted, and if so, whether there will be a charge for such refreshments.

(Prior code § 4915; Ord. 20203.)

All qualified organizations shall be functioning as bona fide charitable organizations for one year prior to application for a bingo permit. (Ord. 20203.)

Applicants shall submit to the San José police department vice unit a list of the names and addresses of any and all suppliers or distributors of bingo supplies and equipment to the applicant, including types of cards, serial numbers, and/or game descriptions. (Ord. 20203.)

• A. In connection with any bingo permit applied for, or issued, the chief of police shall have the authority to inspect the premises in order to

ensure that the operation of bingo games does not constitute a violation of any state or federal law or provision of this Code.

• B. In connection with any bingo permit applied for, or issued, the chief of police or designated representative may inspect the records and special bank accounts containing profits derived from bingo games of any organization conducting bingo games whenever deemed reasonable and appropriate to ensure compliance with the provisions of this chapter.

(Prior code § 4916; Ord. 20203.)

The chief of police shall have the authority to obtain criminal history information for each person operating or assisting in the operation of a bingo game for purposes of determining those who have been convicted within the past five years of crimes involving lotteries, gambling, larceny, perjury, bribery, extortion, fraud, or similar crimes involving moral turpitude, and to present such information at any bingo permit hearing. (Prior code § 4917; Ord. 20203.)

The chief of police shall submit any application to other departments or governmental agencies for investigation and recommendation, including but not limited to the following:

• A. Fire department as to any fire hazard on the premises in question;

• B. Property and code enforcement department as to health and sanitary conditions of the premises; and

• C. Planning department as to compliance with zoning requirements and ordinances.

• (Prior code § 4918; Ords. 20156, 20203.)

• A. The chief of police shall set the time, not less than five or more than thirty days following filing of an application, and place for public

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§ 6.16.100

hearing on each application for a bingo permit, and shall mail notice thereof to the applicant and to any other person who has filed a written request for such notice.

• B. Each applicant shall have the opportunity to review all records, papers, files and any other evidence relating to the application for a bingo permit, except criminal history information, at least five days prior to the time set for public hearing on such application.

(Prior code § 4919; Ord. 20203.)

At the time and place set for public hearing on the application for a bingo permit, the chief of police, or assistant or deputy chief of police appointed by and acting for the chief of police, shall consider the records, papers, files and any other evidence deemed relevant. Decision of the chief, or assistant or deputy acting for the chief of police, either granting or denying the permit shall be mailed to the applicant and to any other person who has filed a written request for such notice within ten days following the close of the hearing. (Prior code § 4920; Ord. 20203.)

• A. The chief of police, or assistant or deputy acting for him, may refuse to issue a permit if it is determined that the operation of a bingo game would be injurious to the health, safety and morals of the people of the city; that the apparent mode of operation of the bingo game would not be in compliance with state or federal law, or with this Code; that the apparent mode of operation of the bingo game would constitute a fire, or health or sanitary hazard, or would not be in compliance with building or zoning regulations, requirements and ordinances; that any person to be operating or assisting in the operation of a bingo game has been convicted within the past five years of a crime involving lotteries, gambling, larceny, perjury, bribery, extortion, fraud or similar

crimes involving moral turpitude; that there has, been a willful misstatement of fact in an application or report filed hereunder, or a negligent failure to file any report required hereunder; or that there has been any other violation of any provision of this chapter.

• B. If the permit is approved, the chief, or assistant or deputy acting for him, may include restrictions and conditions in the permit deemed reasonable and necessary under the circumstances to ensure compliance with the purpose and intent of this chapter. Any organization whose license is finally revoked may not again apply for a license to conduct bingo games in the City of San José for a period of one year.

(Prior code § 4921; Ord. 20203.)

• A. At any time within ten days after mailing of notice of the denial or conditional issuance of a bingo permit, or of a suspension or revocation thereof, the applicant or permit holder may appeal the decision to the code enforcement appeals commission. Such shall be done by filing written notice of appeal with said commission at the office of the director of neighborhood preservation. The perfecting of such appeal shall not suspend the denial, conditional issuance, suspension or revocation of a bingo permit.

• B. The code enforcement appeals commission shall set the time, not less than fifteen nor more than forty-five days following perfecting of an appeal, and place for public hearing thereon, and shall mail notice thereof to the appellant and to any other person who has filed a written request for such notice. The commission shall make its order affirming or overruling the decision within ten days following the close of the hearing.

• (Prior code § 4922; Ords. 20203, 20879.)

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§ 6.16.185

• A. Any changes as to the staff operating or assisting in the operation of a bingo game, and any other changes in the information furnished in the application subsequent to its filing, shall be reported promptly to the chief of police for any further investigation deemed necessary and appropriate.

• B. If at any time after issuance of a bingo permit the chief of police suspects that grounds exist which would warrant denial or conditional approval of such permit, he or she may conduct a hearing to decide whether such permit should be suspended or revoked in the manner provided herein for a permit application.

• (Prior code § 4923; Ord. 20203.)

• A. Fees for bingo permits shall be as set forth in the schedule of fees established by resolution of the city council.

• B. If an application for a permit is denied, onehalf of the permit fee payable upon application shall be refunded to the organization.

• (Prior code § 4924; Ords. 20203, 20640, 21023, 21039, 21285.)

General permits shall be granted for one-year terms on a calendar-year basis from January 1st through December 31st, without proration of fees, and shall be renewable on an annual basis thereafter.

A special permit is granted only for a one-day term for each bingo game; said special permit shall not be renewable.

(Prior code § 4925; Ord. 20203.)

Permits granted under this chapter shall not be transferable, either as to permittee or location. Any attempt to transfer shall render the permit in question invalid. (Prior code § 4927; Ord. 20203.)

A notice of licensee's intention to renew shall be filed with the licenses and permits section of the San José police department not later than thirty days prior to expiration date of the permit.

Within thirty days following expiration of the period of the permit, each permittee shall file a report made under penalty of perjury with the chief of police containing the following information:

• A. Any changes in or additions to the information required in the application;

• B. Names, signatures and addresses of all the officers of the organization;

• C. Roster of bona fide active members;

• D. Any change of hours and hours of operation of bingo games;

• E. Copy of current tax exemption status from franchise tax board;

• F. Name, address and phone number of person responsible for the operation of bingo games;

• G. Names, addresses and phone numbers of two persons that are responsible for the receipts and accounting of bingo games;

• H. Names and addresses of all suppliers and distributors of bingo supplies, including description of supplies;

• I. A copy of an annual gross receipts and expenditures report.

(Prior code § 4926; Ord. 20203.)

• A. A monthly list of all winners over one hundred dollars, including signatures, addresses, and phone numbers.

• B. A gross receipts and expenditures report will be due by all organizations who gross over two thousand five hundred dollars.

• C. An annual list of all suppliers or distributors, including description of supplies.

• (Ord. 20203.)

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§ 6.16.190

Each organization conducting a bingo game shall maintain detailed records of all profits, expenditures, prizes and other expenses associated with the operation of bingo games. Said records shall be retained for such period of time as required by state and federal law and for a period of three years for purposes of this chapter. These records, or any reports as determined necessary, shall be made available by the licensee to the chief of police, or designated representative, at all reasonable times upon demand.

(Prior code § 4913; Ord. 20203.)

game shall participate in the promotion, supervision, or any other phase of such game. A roster of the volunteer staff members of the licensed organization shall be conspicuously posted on the premises where such games are conducted and shall be open to public inspection.

Any person participating in the operation, conduct, or staffing of any bingo game shall wear on his or her outside clothing, in plain view, an identification insignia or badge measuring not less than 2 1/2 inches by 3 1/2 inches in size and specifying the full name and title of such person and the name of the licensed organization.

(Prior code § 4906; Ord. 20203.)

Licensees shall submit a monthly gross receipt and expenditure report to the vice unit of the police department on forms provided by the city treasurer. The report and check made payable to the City of San José where the additional fee of one percent of the monthly gross receipts over five thousand dollars is applicable shall be sent on or before the fifteenth day of each month immediately preceding the calendar month. These gross receipt and expenditure reports are due only from those organizations which gross over two thousand five hundred dollars per month.

(Ord. 20203.)

An organization shall conduct a 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. Nothing in this section shall be construed to require that the property owned or leased by the organization be used or leased exclusively by such organization. (Prior code § 4904; Ord. 20203.)

A bingo game shall be operated and staffed only by members of the licensed organization. Only the organization authorized to conduct a bingo

All cards with concealed preprinted numbers or symbols are to be sold only during the operation of a bingo game, and it shall be the responsibility of the game's operators to ensure that such cards remain on the premises at all times. Any sale or transport of said cards to the bingo operator may be accepted only by United States mails from out of the state of California. These cards shall not be used in any manner so as to violate any of the provisions of Section 330b of the Penal Code. (Ord. 20203.)

It shall be unlawful for any licensee with intent directly or indirectly to induce, encourage or solicit any person to participate in any bingo game or games authorized pursuant to this chapter, to make or disseminate or cause to be made or disseminated before the public in this city, in any newspaper or other publication, or any advertising device, or by public outcry or proclamation, or any other manner or means whatsoever, any statement concerning any such bingo game including, but not limited to, the amount of prizes to be awarded or distributed in any game, which is untrue or misleading, and which is known or which, by the exercise of reasonable care, should be known to be untrue or misleading.

(Ord. 20203.)

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§ 6.16.265

Bingo games shall be conducted by a licensee only during the hours of noon to midnight, and only on the following prescribed days:

• A. Not more than two days during any calendar week, where the total value of prizes awarded for any separate game will not exceed five dollars in cash or kind, or both;

• B. Not more than one day during any calendar week, where the total value of prizes awarded for any separate game will exceed five dollars in cash or kind, or both.

No property shall in any event be used for the conduct of bingo games more often than two days out of any seven-day period, nor more than twelve hours out of any day, regardless of the total number of licensees utilizing said property. (Prior code § 4911; Ords. 20203, 20318.)

All equipment used in the operation of bingo games shall be owned by the organization authorized to conduct such bingo games.

All cards as defined with concealed preprinted numbers or symbols shall bear the legend, "for sale or use only in a bingo game authorized under California law and pursuant to local ordinance." (Prior code § 4912; Ord. 20203.)

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. (Prior code § 4907; Ord. 20203.)

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 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 chapter, 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:

• A. Such proceeds may be used for prizes; B. 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, including the purchase of bingo equipment;

• C. Such proceeds may be used to pay license fees.

All disbursements from the bingo account shall be by consecutively numbered checks signed by two authorized officers of the licensee and shall be made payable to a specific individual or organization. There shall be written on each check the nature of the expenditure for which the check is drawn. No check shall be drawn to "cash" or a fictitious payee. (Prior code § 4908; Ord. 20203.)

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

(Prior code § 4910; Ord. 20203.)

A monthly list of all winners of one hundred dollars, cash, or over, in kind or cash or both, including signature, address, phone number, amount of prize, date, game number, and number of players of said game shall be submitted monthly to the vice unit of the police department.

Licensee shall inform all patrons of this requirement prior to the commencement of each bingo session. All such information shall be kept strictly

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§ 6.16.265

confidential by licensee and shall be made available only to the City of San José upon request by designated representatives of the police department. (Ord. 20203.)

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

No person who is obviously intoxicated shall be allowed to participate in a bingo game. (Prior code § 4905; Ord. 20203.)

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.

(Prior code § 4909; Ord. 20203.)

No minors shall be allowed to participate in any bingo games.

(Prior code § 4903; Ord. 20203.)