71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
HA to HB 3769
LC 3456/HB 3769-1
HOUSE AMENDMENTS TO
HOUSE BILL 3769
By COMMITTEE ON BUSINESS, LABOR, AND CONSUMER AFFAIRS
April 26
In line 2 of the printed bill, after 'raffles' insert ';
creating new provisions; and amending ORS 464.250'.
In line 7, delete 'net profits' and insert 'handles'.
After line 8, insert:
' { + SECTION 3. + } ORS 464.250 is amended to read:
' 464.250. (1) The Department of Justice shall have the
following powers and duties relating to the regulation of bingo,
lotto or raffle games or Monte Carlo events:
' (a) To authorize and regulate the operation of bingo, lotto
and raffle games and Monte Carlo events permitted under ORS
167.117 and to adopt rules in accordance with applicable
provisions of ORS 183.310 to 183.550 for the performance of the
department's duties.
' (b) To issue and renew licenses and permits for operation of
bingo, lotto and raffle games and Monte Carlo events, including
the suppliers of equipment and supplies necessary for the
operation of such activities, and to adopt license and permit
fees. Licenses and permits shall be valid for a period of one
year unless renewed. The department shall set fees at an amount
sufficient to cover all costs incurred by the department in its
activities. License fees shall consist of an initial payment,
which shall be in an amount established by rule, prior to
issuance or renewal of the license, together with a monthly
payment constituting a percentage of the licensee's monthly gross
income from the operation each month thereafter. An applicant for
a license or a permit shall submit with the application a sum
adequate to pay the required initial fee payment. If the
application is later withdrawn by the applicant or if it is
denied by the department, the department shall retain such
portion of the amount submitted to it as will pay the reasonable
costs expended for processing and investigating the application.
In a particular case, if the fee adopted by the department is
less than the actual expenses of the department to investigate
that particular application, the department may charge to that
particular applicant an additional fee to repay the department
for those costs. The department may refuse to proceed with its
investigation or to issue a license until the department has been
fully paid for those costs. The department shall create at least
two classes of licenses for each activity regulated under this
section. The licensing and operational requirements for licensees
and the extent to which background checks are conducted under
paragraph (d)(B) of this subsection shall be commensurate with
the size of the licensee's bingo, lotto, raffle or Monte Carlo
event operations. The department shall adopt rules exempting from
licensing any organization that would otherwise qualify for a
license and that is engaged in minimal bingo, lotto { - ,
raffle - } or Monte Carlo event activity.
' (c) To prescribe the manner and method of payment of all
moneys to be paid to or collected by the department.
' (d) To adopt requirements as to what information an applicant
must provide to the department. However, each license applicant
must provide, and the department shall require, the names and
addresses of all persons having a management or ownership
interest in the bingo, lotto, raffle or Monte Carlo event
operation or in the premises on which the operation is conducted
and the names and addresses of all officers and directors of the
applicant organization. The department shall also require the
names and addresses of all persons employed in bingo, lotto,
raffle or Monte Carlo event operations. The following apply to
applications under this paragraph:
' (A) An applicant shall certify, under oath, that the persons
named on the application are all of the persons known by the
applicant to have an interest in the bingo, lotto, raffle or
Monte Carlo event operation or the premises on which the
operation is conducted including all officers and directors of
the applicant organization.
' (B) The department may require fingerprints, a photograph, a
handwriting sample and background checks on any person seeking a
license from it or any person holding an interest in any bingo,
lotto, raffle or Monte Carlo event operation or in the premises
on which it is conducted. The department may also require
fingerprints or background checks of any manager or other
employee of such a bingo, lotto, raffle or Monte Carlo event
operation.
' (e) To adopt record keeping requirements for licensees of the
department and the submission of reports to the department as the
department determines necessary. The department may require
licensees to record and report income from bingo, lotto, raffle,
Monte Carlo events, concessions and other related operations, the
amounts received from each player, the costs and expenses of
operations, the nature and value of prizes and the fact of
distribution of such prizes to the winners thereof. The
department may adopt internal financial and inventory control
requirements under this paragraph that are based on and
commensurate with the size of a licensee's bingo, lotto, raffle
or Monte Carlo event operations.
' (f) To regulate and establish maximum limits on income
derived by licensees from bingo, lotto, raffles or Monte Carlo
events. However, in establishing limits, the department shall
take into account:
' (A) The nature, character and scope of the activities of the
licensee;
' (B) The sources of other income to the licensee; and
' (C) The percentage or extent to which income derived from
bingo, lotto, raffles or Monte Carlo events is used for
charitable purposes, as distinguished from nonprofit purposes
other than charity.
' (g) To regulate the manner of operation of bingo, lotto and
raffle games and Monte Carlo events conducted by licensees,
including the approval of which games may be played and the
equipment to be used. The department shall regulate the types of
equipment, rules and methods of play to ensure the integrity and
fairness of the games.
' (h) To cooperate with state and local law enforcement
agencies in investigating matters within the scope of the
department's duties and responsibilities.
' (i) To establish maximum limits on compensation paid to
persons employed by charitable, fraternal or religious licensees,
for the purpose of conducting licensed games, not to exceed 200
percent of the federal minimum wage standard, or in the case of a
person who supervises a bingo, lotto, raffle or Monte Carlo event
operation for a charitable, fraternal or religious organization
and is subject to the limitations of ORS 464.340, 300 percent of
the federal minimum wage standard, and to establish maximum
limits for other expenses connected with such operations. In
establishing these limits, the department shall consider the
amount of income received, or expected to be received, by the
organization from the bingo, lotto, raffle, Monte Carlo events,
concessions and other related operations and the amount of money
the operation could generate for the organization's purposes
absent such expenses. The department may also take into account
other factors, including but not limited to whether charitable
purposes are benefited by the activities.
' (2) The department shall not require persons working as
volunteers in a bingo, lotto, raffle or Monte Carlo event
operation conducted by a bona fide charitable, fraternal or
religious organization to obtain permits for such work if the
persons do not receive compensation of any kind from the
organization other than reimbursement for actual or reasonable
expenses, or have any managerial or supervisory responsibility in
connection with it. The department may require that bingo, lotto,
raffle and Monte Carlo event operators employing unlicensed
volunteers submit to the department periodically the names,
addresses and dates of birth of the volunteers. The department
may adopt reasonable character standards for volunteers, and if a
volunteer does not meet the standards, the department may require
that the licensee not allow the volunteer to work for the
licensee.
' (3) Subject to ORS 167.118, the department by rule may
establish value limits for prizes awarded at bingo, lotto or
raffle games or Monte Carlo events and may regulate or prohibit
the giving to patrons any other thing of value to promote
attendance at the games.
' (4) The department by rule may establish a maximum amount
that a person may wager at a Monte Carlo event.'.
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