Bill Text: OH HB569 | 2011-2012 | 129th General Assembly | Introduced

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Bill Title: To permit charitable organizations to conduct not-for-profit quarter auctions.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2012-06-13 - To State Government & Elections [HB569 Detail]

Download: Ohio-2011-HB569-Introduced.html

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As Introduced

129th General Assembly Regular Session 2011-2012

H. B. No. 569

Representative Bubp 

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A BILL

To amend sections 2915.01, 2915.07, and 2915.10 and

1

to enact section 2915.096 of the Revised Code to

2

permit charitable organizations to conduct

3

not-for-profit quarter auctions.

4

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1.  That sections 2915.01, 2915.07, and 2915.10 be	5
amended and section 2915.096 of the Revised Code be enacted to	6
read as follows:	7

Sec. 2915.01.  As used in this chapter:

8

(A) "Bookmaking" means the business of receiving or paying	9
off bets.	10

(B) "Bet" means the hazarding of anything of value upon the	11
result of an event, undertaking, or contingency, but does not	12
include a bona fide business risk.	13

(C) "Scheme of chance" means a slot machine, lottery, numbers	14
game, pool conducted for profit, or other scheme in which a	15
participant gives a valuable consideration for a chance to win a	16
prize, but does not include bingo, a skill-based amusement	17
machine, or a pool not conducted for profit.	18

(D) "Game of chance" means poker, craps, roulette, or other	19
game in which a player gives anything of value in the hope of	20
gain, the outcome of which is determined largely by chance, but	21
does not include bingo.	22

(E) "Game of chance conducted for profit" means any game of	23
chance designed to produce income for the person who conducts or	24
operates the game of chance, but does not include bingo.	25

(F) "Gambling device" means any of the following:

26

(1) A book, totalizer, or other equipment for recording bets;

27

(2) A ticket, token, or other device representing a chance,	28
share, or interest in a scheme of chance or evidencing a bet;	29

(3) A deck of cards, dice, gaming table, roulette wheel, slot	30
machine, or other apparatus designed for use in connection with a	31
game of chance;	32

(4) Any equipment, device, apparatus, or paraphernalia	33
specially designed for gambling purposes;	34

(5) Bingo supplies sold or otherwise provided, or used, in	35
violation of this chapter.	36

(G) "Gambling offense" means any of the following:

37

(1) A violation of section 2915.02, 2915.03, 2915.04,	38
2915.05, 2915.06, 2915.07, 2915.08, 2915.081, 2915.082, 2915.09,	39
2915.091, 2915.092, 2915.10, or 2915.11 of the Revised Code;	40

(2) A violation of an existing or former municipal ordinance	41
or law of this or any other state or the United States	42
substantially equivalent to any section listed in division (G)(1)	43
of this section or a violation of section 2915.06 of the Revised	44
Code as it existed prior to July 1, 1996;	45

(3) An offense under an existing or former municipal	46
ordinance or law of this or any other state or the United States,	47
of which gambling is an element;	48

(4) A conspiracy or attempt to commit, or complicity in	49
committing, any offense under division (G)(1), (2), or (3) of this	50
section.	51

(H) Except as otherwise provided in this chapter, "charitable	52
organization" means any tax exempt religious, educational,	53
veteran's, fraternal, sporting, service, nonprofit medical,	54
volunteer rescue service, volunteer firefighter's, senior	55
citizen's, historic railroad educational, youth athletic, amateur	56
athletic, or youth athletic park organization. An organization is	57
tax exempt if the organization is, and has received from the	58
internal revenue service a determination letter that currently is	59
in effect stating that the organization is, exempt from federal	60
income taxation under subsection 501(a) and described in	61
subsection 501(c)(3), 501(c)(4), 501(c)(8), 501(c)(10), or	62
501(c)(19) of the Internal Revenue Code, or if the organization is	63
a sporting organization that is exempt from federal income	64
taxation under subsection 501(a) and is described in subsection	65
501(c)(7) of the Internal Revenue Code. To qualify as a charitable	66
organization, an organization, except a volunteer rescue service	67
or volunteer firefighter's organization, shall have been in	68
continuous existence as such in this state for a period of two	69
years immediately preceding either the making of an application	70
for a bingo license under section 2915.08 of the Revised Code or	71
the conducting of any game of chance as provided in division (D)	72
of section 2915.02 of the Revised Code. A charitable organization	73
that is exempt from federal income taxation under subsection	74
501(a) and described in subsection 501(c)(3) of the Internal	75
Revenue Code and that is created by a veteran's organization, a	76
fraternal organization, or a sporting organization does not have	77
to have been in continuous existence as such in this state for a	78
period of two years immediately preceding either the making of an	79
application for a bingo license under section 2915.08 of the	80
Revised Code or the conducting of any game of chance as provided	81
in division (D) of section 2915.02 of the Revised Code.	82

(I) "Religious organization" means any church, body of	83
communicants, or group that is not organized or operated for	84
profit and that gathers in common membership for regular worship	85
and religious observances.	86

(J) "Educational organization" means any organization within	87
this state that is not organized for profit, the primary purpose	88
of which is to educate and develop the capabilities of individuals	89
through instruction by means of operating or contributing to the	90
support of a school, academy, college, or university.	91

(K) "Veteran's organization" means any individual post or	92
state headquarters of a national veteran's association or an	93
auxiliary unit of any individual post of a national veteran's	94
association, which post, state headquarters, or auxiliary unit is	95
incorporated as a nonprofit corporation and either has received a	96
letter from the state headquarters of the national veteran's	97
association indicating that the individual post or auxiliary unit	98
is in good standing with the national veteran's association or has	99
received a letter from the national veteran's association	100
indicating that the state headquarters is in good standing with	101
the national veteran's association. As used in this division,	102
"national veteran's association" means any veteran's association	103
that has been in continuous existence as such for a period of at	104
least five years and either is incorporated by an act of the	105
United States congress or has a national dues-paying membership of	106
at least five thousand persons.	107

(L) "Volunteer firefighter's organization" means any	108
organization of volunteer firefighters, as defined in section	109
146.01 of the Revised Code, that is organized and operated	110
exclusively to provide financial support for a volunteer fire	111
department or a volunteer fire company and that is recognized or	112
ratified by a county, municipal corporation, or township.	113

(M) "Fraternal organization" means any society, order, state	114
headquarters, or association within this state, except a college	115
or high school fraternity, that is not organized for profit, that	116
is a branch, lodge, or chapter of a national or state	117
organization, that exists exclusively for the common business or	118
sodality of its members.	119

(N) "Volunteer rescue service organization" means any	120
organization of volunteers organized to function as an emergency	121
medical service organization, as defined in section 4765.01 of the	122
Revised Code.	123

(O) "Service organization" means either of the following:

124

(1) Any organization, not organized for profit, that is	125
organized and operated exclusively to provide, or to contribute to	126
the support of organizations or institutions organized and	127
operated exclusively to provide, medical and therapeutic services	128
for persons who are crippled, born with birth defects, or have any	129
other mental or physical defect or those organized and operated	130
exclusively to protect, or to contribute to the support of	131
organizations or institutions organized and operated exclusively	132
to protect, animals from inhumane treatment or provide immediate	133
shelter to victims of domestic violence;	134

(2) Any organization that is described in subsection	135
509(a)(1), 509(a)(2), or 509(a)(3) of the Internal Revenue Code	136
and is either a governmental unit or an organization that is tax	137
exempt under subsection 501(a) and described in subsection	138
501(c)(3) of the Internal Revenue Code and that is an	139
organization, not organized for profit, that is organized and	140
operated primarily to provide, or to contribute to the support of	141
organizations or institutions organized and operated primarily to	142
provide, medical and therapeutic services for persons who are	143
crippled, born with birth defects, or have any other mental or	144
physical defect.	145

(P) "Nonprofit medical organization" means either of the	146
following:	147

(1) Any organization that has been incorporated as a	148
nonprofit corporation for at least five years and that has	149
continuously operated and will be operated exclusively to provide,	150
or to contribute to the support of organizations or institutions	151
organized and operated exclusively to provide, hospital, medical,	152
research, or therapeutic services for the public;	153

(2) Any organization that is described and qualified under	154
subsection 501(c)(3) of the Internal Revenue Code, that has been	155
incorporated as a nonprofit corporation for at least five years,	156
and that has continuously operated and will be operated primarily	157
to provide, or to contribute to the support of organizations or	158
institutions organized and operated primarily to provide,	159
hospital, medical, research, or therapeutic services for the	160
public.	161

(Q) "Senior citizen's organization" means any private	162
organization, not organized for profit, that is organized and	163
operated exclusively to provide recreational or social services	164
for persons who are fifty-five years of age or older and that is	165
described and qualified under subsection 501(c)(3) of the Internal	166
Revenue Code.	167

(R) "Charitable bingo game" means any bingo game described in	168
division (S)(1) or (2) of this section that is conducted by a	169
charitable organization that has obtained a license pursuant to	170
section 2915.08 of the Revised Code and the proceeds of which are	171
used for a charitable purpose.	172

(S) "Bingo" means either of the following:

173

(1) A game with all of the following characteristics:

174

(a) The participants use bingo cards or sheets, including	175
paper formats and electronic representation or image formats, that	176
are divided into twenty-five spaces arranged in five horizontal	177
and five vertical rows of spaces, with each space, except the	178
central space, being designated by a combination of a letter and a	179
number and with the central space being designated as a free	180
space.	181

(b) The participants cover the spaces on the bingo cards or	182
sheets that correspond to combinations of letters and numbers that	183
are announced by a bingo game operator.	184

(c) A bingo game operator announces combinations of letters	185
and numbers that appear on objects that a bingo game operator	186
selects by chance, either manually or mechanically, from a	187
receptacle that contains seventy-five objects at the beginning of	188
each game, each object marked by a different combination of a	189
letter and a number that corresponds to one of the seventy-five	190
possible combinations of a letter and a number that can appear on	191
the bingo cards or sheets.	192

(d) The winner of the bingo game includes any participant who	193
properly announces during the interval between the announcements	194
of letters and numbers as described in division (S)(1)(c) of this	195
section, that a predetermined and preannounced pattern of spaces	196
has been covered on a bingo card or sheet being used by the	197
participant.	198

(2) Instant bingo, punch boards, and raffles, and quarter	199
auctions.	200

(T) "Conduct" means to back, promote, organize, manage, carry	201
on, sponsor, or prepare for the operation of bingo or a game of	202
chance.	203

(U) "Bingo game operator" means any person, except security	204
personnel, who performs work or labor at the site of bingo,	205
including, but not limited to, collecting money from participants,	206
handing out bingo cards or sheets or objects to cover spaces on	207
bingo cards or sheets, selecting from a receptacle the objects	208
that contain the combination of letters and numbers that appear on	209
bingo cards or sheets, calling out the combinations of letters and	210
numbers, distributing prizes, selling or redeeming instant bingo	211
tickets or cards, supervising the operation of a punch board,	212
selling raffle tickets, selecting raffle tickets from a receptacle	213
and announcing the winning numbers in a raffle, selling chances to	214
win a prize in a quarter auction, selecting chips or tokens from a	215
receptacle and announcing winning numbers in a quarter auction,	216
and preparing, selling, and serving food or beverages.	217

(V) "Participant" means any person who plays bingo.

218

(W) "Bingo session" means a period that includes both of the	219
following:	220

(1) Not to exceed five continuous hours for the conduct of	221
one or more games described in division (S)(1) of this section,	222
instant bingo, and seal cards;	223

(2) A period for the conduct of instant bingo and seal cards	224
for not more than two hours before and not more than two hours	225
after the period described in division (W)(1) of this section.	226

(X) "Gross receipts" means all money or assets, including	227
admission fees, that a person receives from bingo without the	228
deduction of any amounts for prizes paid out or for the expenses	229
of conducting bingo. "Gross receipts" does not include any money	230
directly taken in from the sale of food or beverages by a	231
charitable organization conducting bingo, or by a bona fide	232
auxiliary unit or society of a charitable organization conducting	233
bingo, provided all of the following apply:	234

(1) The auxiliary unit or society has been in existence as a	235
bona fide auxiliary unit or society of the charitable organization	236
for at least two years prior to conducting bingo.	237

(2) The person who purchases the food or beverage receives	238
nothing of value except the food or beverage and items customarily	239
received with the purchase of that food or beverage.	240

(3) The food and beverages are sold at customary and	241
reasonable prices.	242

(Y) "Security personnel" includes any person who either is a	243
sheriff, deputy sheriff, marshal, deputy marshal, township	244
constable, or member of an organized police department of a	245
municipal corporation or has successfully completed a peace	246
officer's training course pursuant to sections 109.71 to 109.79 of	247
the Revised Code and who is hired to provide security for the	248
premises on which bingo is conducted.	249

(Z) "Charitable purpose" means that the net profit of bingo,	250
other than instant bingo, is used by, or is given, donated, or	251
otherwise transferred to, any of the following:	252

(1) Any organization that is described in subsection	253
509(a)(1), 509(a)(2), or 509(a)(3) of the Internal Revenue Code	254
and is either a governmental unit or an organization that is tax	255
exempt under subsection 501(a) and described in subsection	256
501(c)(3) of the Internal Revenue Code;	257

(2) A veteran's organization that is a post, chapter, or	258
organization of veterans, or an auxiliary unit or society of, or a	259
trust or foundation for, any such post, chapter, or organization	260
organized in the United States or any of its possessions, at least	261
seventy-five per cent of the members of which are veterans and	262
substantially all of the other members of which are individuals	263
who are spouses, widows, or widowers of veterans, or such	264
individuals, provided that no part of the net earnings of such	265
post, chapter, or organization inures to the benefit of any	266
private shareholder or individual, and further provided that the	267
net profit is used by the post, chapter, or organization for the	268
charitable purposes set forth in division (B)(12) of section	269
5739.02 of the Revised Code, is used for awarding scholarships to	270
or for attendance at an institution mentioned in division (B)(12)	271
of section 5739.02 of the Revised Code, is donated to a	272
governmental agency, or is used for nonprofit youth activities,	273
the purchase of United States or Ohio flags that are donated to	274
schools, youth groups, or other bona fide nonprofit organizations,	275
promotion of patriotism, or disaster relief;	276

(3) A fraternal organization that has been in continuous	277
existence in this state for fifteen years and that uses the net	278
profit exclusively for religious, charitable, scientific,	279
literary, or educational purposes, or for the prevention of	280
cruelty to children or animals, if contributions for such use	281
would qualify as a deductible charitable contribution under	282
subsection 170 of the Internal Revenue Code;	283

(4) A volunteer firefighter's organization that uses the net	284
profit for the purposes set forth in division (L) of this section.	285

(AA) "Internal Revenue Code" means the "Internal Revenue Code	286
of 1986," 100 Stat. 2085, 26 U.S.C. 1, as now or hereafter	287
amended.	288

(BB) "Youth athletic organization" means any organization,	289
not organized for profit, that is organized and operated	290
exclusively to provide financial support to, or to operate,	291
athletic activities for persons who are twenty-one years of age or	292
younger by means of sponsoring, organizing, operating, or	293
contributing to the support of an athletic team, club, league, or	294
association.	295

(CC) "Youth athletic park organization" means any	296
organization, not organized for profit, that satisfies both of the	297
following:	298

(1) It owns, operates, and maintains playing fields that	299
satisfy both of the following:	300

(a) The playing fields are used at least one hundred days per	301
year for athletic activities by one or more organizations, not	302
organized for profit, each of which is organized and operated	303
exclusively to provide financial support to, or to operate,	304
athletic activities for persons who are eighteen years of age or	305
younger by means of sponsoring, organizing, operating, or	306
contributing to the support of an athletic team, club, league, or	307
association.	308

(b) The playing fields are not used for any profit-making	309
activity at any time during the year.	310

(2) It uses the proceeds of bingo it conducts exclusively for	311
the operation, maintenance, and improvement of its playing fields	312
of the type described in division (CC)(1) of this section.	313

(DD) "Amateur athletic organization" means any organization,	314
not organized for profit, that is organized and operated	315
exclusively to provide financial support to, or to operate,	316
athletic activities for persons who are training for amateur	317
athletic competition that is sanctioned by a national governing	318
body as defined in the "Amateur Sports Act of 1978," 90 Stat.	319
3045, 36 U.S.C.A. 373.	320

(EE) "Bingo supplies" means bingo cards or sheets; instant	321
bingo tickets or cards; electronic bingo aids; raffle tickets;	322
punch boards; seal cards; instant bingo ticket dispensers; quarter	323
auction bid paddles, chips, and tokens; and devices for selecting	324
or displaying the combination of bingo letters and numbers or,	325
raffle tickets, or quarter auction winning numbers. Items that are	326
"bingo supplies" are not gambling devices if sold or otherwise	327
provided, and used, in accordance with this chapter. For purposes	328
of this chapter, "bingo supplies" are not to be considered	329
equipment used to conduct a bingo game.	330

(FF) "Instant bingo" means a form of bingo that uses folded	331
or banded tickets or paper cards with perforated break-open tabs,	332
a face of which is covered or otherwise hidden from view to	333
conceal a number, letter, or symbol, or set of numbers, letters,	334
or symbols, some of which have been designated in advance as prize	335
winners. "Instant bingo" includes seal cards. "Instant bingo" does	336
not include any device that is activated by the insertion of a	337
coin, currency, token, or an equivalent, and that contains as one	338
of its components a video display monitor that is capable of	339
displaying numbers, letters, symbols, or characters in winning or	340
losing combinations.	341

(GG) "Seal card" means a form of instant bingo that uses	342
instant bingo tickets in conjunction with a board or placard that	343
contains one or more seals that, when removed or opened, reveal	344
predesignated winning numbers, letters, or symbols.	345

(HH) "Raffle" means a form of bingo in which the one or more	346
prizes are won by one or more persons who have purchased a raffle	347
ticket. The one or more winners of the raffle are determined by	348
drawing a ticket stub or other detachable section from a	349
receptacle containing ticket stubs or detachable sections	350
corresponding to all tickets sold for the raffle. "Raffle" does	351
not include the drawing of a ticket stub or other detachable	352
section of a ticket purchased to attend a professional sporting	353
event if both of the following apply:	354

(1) The ticket stub or other detachable section is used to	355
select the winner of a free prize given away at the professional	356
sporting event; and	357

(2) The cost of the ticket is the same as the cost of a	358
ticket to the professional sporting event on days when no free	359
prize is given away.	360

(II) "Punch board" means a board containing a number of holes	361
or receptacles of uniform size in which are placed, mechanically	362
and randomly, serially numbered slips of paper that may be punched	363
or drawn from the hole or receptacle when used in conjunction with	364
instant bingo. A player may punch or draw the numbered slips of	365
paper from the holes or receptacles and obtain the prize	366
established for the game if the number drawn corresponds to a	367
winning number or, if the punch board includes the use of a seal	368
card, a potential winning number.	369

(JJ) "Gross profit" means gross receipts minus the amount	370
actually expended for the payment of prize awards.	371

(KK) "Net profit" means gross profit minus expenses.

372

(LL) "Expenses" means the reasonable amount of gross profit	373
actually expended for all of the following:	374

(1) The purchase or lease of bingo supplies;

375

(2) The annual license fee required under section 2915.08 of	376
the Revised Code;	377

(3) Bank fees and service charges for a bingo session or game	378
account described in section 2915.10 of the Revised Code;	379

(4) Audits and accounting services;

380

(5) Safes;

381

(6) Cash registers;

382

(7) Hiring security personnel;

383

(8) Advertising bingo;

384

(9) Renting premises in which to conduct a bingo session;

385

(10) Tables and chairs;

386

(11) Expenses for maintaining and operating a charitable	387
organization's facilities, including, but not limited to, a post	388
home, club house, lounge, tavern, or canteen and any grounds	389
attached to the post home, club house, lounge, tavern, or canteen;	390

(12) Payment of real property taxes and assessments that are	391
levied on a premises on which bingo is conducted;	392

(13) Any other product or service directly related to the	393
conduct of bingo that is authorized in rules adopted by the	394
attorney general under division (B)(1) of section 2915.08 of the	395
Revised Code.	396

(MM) "Person" has the same meaning as in section 1.59 of the	397
Revised Code and includes any firm or any other legal entity,	398
however organized.	399

(NN) "Revoke" means to void permanently all rights and	400
privileges of the holder of a license issued under section	401
2915.08, 2915.081, or 2915.082 of the Revised Code or a charitable	402
gaming license issued by another jurisdiction.	403

(OO) "Suspend" means to interrupt temporarily all rights and	404
privileges of the holder of a license issued under section	405
2915.08, 2915.081, or 2915.082 of the Revised Code or a charitable	406
gaming license issued by another jurisdiction.	407

(PP) "Distributor" means any person who purchases or obtains	408
bingo supplies and who does either of the following:	409

(1) Sells, offers for sale, or otherwise provides or offers	410
to provide the bingo supplies to another person for use in this	411
state;	412

(2) Modifies, converts, adds to, or removes parts from the	413
bingo supplies to further their promotion or sale for use in this	414
state.	415

(QQ) "Manufacturer" means any person who assembles completed	416
bingo supplies from raw materials, other items, or subparts or who	417
modifies, converts, adds to, or removes parts from bingo supplies	418
to further their promotion or sale.	419

(RR) "Gross annual revenues" means the annual gross receipts	420
derived from the conduct of bingo described in division (S)(1) of	421
this section plus the annual net profit derived from the conduct	422
of bingo described in division (S)(2) of this section.	423

(SS) "Instant bingo ticket dispenser" means a mechanical	424
device that dispenses an instant bingo ticket or card as the sole	425
item of value dispensed and that has the following	426
characteristics:	427

(1) It is activated upon the insertion of United States	428
currency.	429

(2) It performs no gaming functions.

430

(3) It does not contain a video display monitor or generate	431
noise.	432

(4) It is not capable of displaying any numbers, letters,	433
symbols, or characters in winning or losing combinations.	434

(5) It does not simulate or display rolling or spinning	435
reels.	436

(6) It is incapable of determining whether a dispensed bingo	437
ticket or card is a winning or nonwinning ticket or card and	438
requires a winning ticket or card to be paid by a bingo game	439
operator.	440

(7) It may provide accounting and security features to aid in	441
accounting for the instant bingo tickets or cards it dispenses.	442

(8) It is not part of an electronic network and is not	443
interactive.	444

(TT)(1) "Electronic bingo aid" means an electronic device	445
used by a participant to monitor bingo cards or sheets purchased	446
at the time and place of a bingo session and that does all of the	447
following:	448

(a) It provides a means for a participant to input numbers	449
and letters announced by a bingo caller.	450

(b) It compares the numbers and letters entered by the	451
participant to the bingo faces previously stored in the memory of	452
the device.	453

(c) It identifies a winning bingo pattern.

454

(2) "Electronic bingo aid" does not include any device into	455
which a coin, currency, token, or an equivalent is inserted to	456
activate play.	457

(UU) "Deal of instant bingo tickets" means a single game of	458
instant bingo tickets all with the same serial number.	459

(VV)(1) "Slot machine" means either of the following:

460

(a) Any mechanical, electronic, video, or digital device that	461
is capable of accepting anything of value, directly or indirectly,	462
from or on behalf of a player who gives the thing of value in the	463
hope of gain;	464

(b) Any mechanical, electronic, video, or digital device that	465
is capable of accepting anything of value, directly or indirectly,	466
from or on behalf of a player to conduct bingo or a scheme or game	467
of chance.	468

(2) "Slot machine" does not include a skill-based amusement	469
machine or an instant bingo ticket dispenser.	470

(WW) "Net profit from the proceeds of the sale of instant	471
bingo" means gross profit minus the ordinary, necessary, and	472
reasonable expense expended for the purchase of instant bingo	473
supplies.	474

(XX) "Charitable instant bingo organization" means an	475
organization that is exempt from federal income taxation under	476
subsection 501(a) and described in subsection 501(c)(3) of the	477
Internal Revenue Code and is a charitable organization as defined	478
in this section. A "charitable instant bingo organization" does	479
not include a charitable organization that is exempt from federal	480
income taxation under subsection 501(a) and described in	481
subsection 501(c)(3) of the Internal Revenue Code and that is	482
created by a veteran's organization, a fraternal organization, or	483
a sporting organization in regards to bingo conducted or assisted	484
by a veteran's organization, a fraternal organization, or a	485
sporting organization pursuant to section 2915.13 of the Revised	486
Code.	487

(YY) "Game flare" means the board or placard that accompanies	488
each deal of instant bingo tickets and that has printed on or	489
affixed to it the following information for the game:	490

(1) The name of the game;

491

(2) The manufacturer's name or distinctive logo;

492

(3) The form number;

493

(4) The ticket count;

494

(5) The prize structure, including the number of winning	495
instant bingo tickets by denomination and the respective winning	496
symbol or number combinations for the winning instant bingo	497
tickets;	498

(6) The cost per play;

499

(7) The serial number of the game.

500

(ZZ) "Historic railroad educational organization" means an	501
organization that is exempt from federal income taxation under	502
subsection 501(a) and described in subsection 501(c)(3) of the	503
Internal Revenue Code, that owns in fee simple the tracks and the	504
right-of-way of a historic railroad that the organization restores	505
or maintains and on which the organization provides excursions as	506
part of a program to promote tourism and educate visitors	507
regarding the role of railroad transportation in Ohio history, and	508
that received as donations from a charitable organization that	509
holds a license to conduct bingo under this chapter an amount	510
equal to at least fifty per cent of that licensed charitable	511
organization's net proceeds from the conduct of bingo during each	512
of the five years preceding June 30, 2003. "Historic railroad"	513
means all or a portion of the tracks and right-of-way of a	514
railroad that was owned and operated by a for-profit common	515
carrier in this state at any time prior to January 1, 1950.	516

(AAA)(1) "Skill-based amusement machine" means a mechanical,	517
video, digital, or electronic device that rewards the player or	518
players, if at all, only with merchandise prizes or with	519
redeemable vouchers redeemable only for merchandise prizes,	520
provided that with respect to rewards for playing the game all of	521
the following apply:	522

(a) The wholesale value of a merchandise prize awarded as a	523
result of the single play of a machine does not exceed ten	524
dollars;	525

(b) Redeemable vouchers awarded for any single play of a	526
machine are not redeemable for a merchandise prize with a	527
wholesale value of more than ten dollars;	528

(c) Redeemable vouchers are not redeemable for a merchandise	529
prize that has a wholesale value of more than ten dollars times	530
the fewest number of single plays necessary to accrue the	531
redeemable vouchers required to obtain that prize; and	532

(d) Any redeemable vouchers or merchandise prizes are	533
distributed at the site of the skill-based amusement machine at	534
the time of play.	535

A card for the purchase of gasoline is a redeemable voucher	536
for purposes of division (AAA)(1) of this section even if the	537
skill-based amusement machine for the play of which the card is	538
awarded is located at a place where gasoline may not be legally	539
distributed to the public or the card is not redeemable at the	540
location of, or at the time of playing, the skill-based amusement	541
machine.	542

(2) A device shall not be considered a skill-based amusement	543
machine and shall be considered a slot machine if it pays cash or	544
one or more of the following apply:	545

(a) The ability of a player to succeed at the game is	546
impacted by the number or ratio of prior wins to prior losses of	547
players playing the game.	548

(b) Any reward of redeemable vouchers is not based solely on	549
the player achieving the object of the game or the player's score;	550

(c) The outcome of the game, or the value of the redeemable	551
voucher or merchandise prize awarded for winning the game, can be	552
controlled by a source other than any player playing the game.	553

(d) The success of any player is or may be determined by a	554
chance event that cannot be altered by player actions.	555

(e) The ability of any player to succeed at the game is	556
determined by game features not visible or known to the player.	557

(f) The ability of the player to succeed at the game is	558
impacted by the exercise of a skill that no reasonable player	559
could exercise.	560

(3) All of the following apply to any machine that is	561
operated as described in division (AAA)(1) of this section:	562

(a) As used in this section, "game" and "play" mean one event	563
from the initial activation of the machine until the results of	564
play are determined without payment of additional consideration.	565
An individual utilizing a machine that involves a single game,	566
play, contest, competition, or tournament may be awarded	567
redeemable vouchers or merchandise prizes based on the results of	568
play.	569

(b) Advance play for a single game, play, contest,	570
competition, or tournament participation may be purchased. The	571
cost of the contest, competition, or tournament participation may	572
be greater than a single noncontest, competition, or tournament	573
play.	574

(c) To the extent that the machine is used in a contest,	575
competition, or tournament, that contest, competition, or	576
tournament has a defined starting and ending date and is open to	577
participants in competition for scoring and ranking results toward	578
the awarding of redeemable vouchers or merchandise prizes that are	579
stated prior to the start of the contest, competition, or	580
tournament.	581

(4) For purposes of division (AAA)(1) of this section, the	582
mere presence of a device, such as a pin-setting, ball-releasing,	583
or scoring mechanism, that does not contribute to or affect the	584
outcome of the play of the game does not make the device a	585
skill-based amusement machine.	586

(BBB) "Merchandise prize" means any item of value, but shall	587
not include any of the following:	588

(1) Cash, gift cards, or any equivalent thereof;

589

(2) Plays on games of chance, state lottery tickets, bingo,	590
or instant bingo;	591

(3) Firearms, tobacco, or alcoholic beverages; or

592

(4) A redeemable voucher that is redeemable for any of the	593
items listed in division (BBB)(1), (2), or (3) of this section.	594

(CCC) "Redeemable voucher" means any ticket, token, coupon,	595
receipt, or other noncash representation of value.	596

(DDD) "Pool not conducted for profit" means a scheme in which	597
a participant gives a valuable consideration for a chance to win a	598
prize and the total amount of consideration wagered is distributed	599
to a participant or participants.	600

(EEE) "Sporting organization" means a hunting, fishing, or	601
trapping organization, other than a college or high school	602
fraternity or sorority, that is not organized for profit, that is	603
affiliated with a state or national sporting organization,	604
including but not limited to, the Ohio league of sportsmen, and	605
that has been in continuous existence in this state for a period	606
of three years.	607

(FFF) "Community action agency" has the same meaning as in	608
section 122.66 of the Revised Code.	609

(GGG) "Quarter auction" means a form of bingo in which one or	610
more prizes are won by one or more persons who have given valuable	611
consideration for a chance to win a prize by purchasing one or	612
more numbered bid paddles that correspond to the same numbered	613
chip or token that is placed in a receptacle. The one or more	614
winners of the quarter auction are determined by selecting a chip	615
or token from the receptacle and matching the number of the	616
selected chip or token to a numbered bid paddle held up by a	617
person before the selection of the chip or token.	618

Sec. 2915.07.  (A) No person, except a charitable	619
organization that has obtained a license pursuant to section	620
2915.08 of the Revised Code, shall conduct or advertise bingo.	621
This division does not apply to a raffle or a quarter auction that	622
a charitable organization conducts or advertises.	623

(B) Whoever violates this section is guilty of conducting	624
illegal bingo, a felony of the fourth degree.	625

Sec. 2915.096.  (A) A charitable organization may conduct a	626
quarter auction to raise money for the organization, and does not	627
need a license to conduct bingo in order to conduct a quarter	628
auction that is not for profit.	629

(B) No person shall conduct a quarter auction except as	630
provided in division (A) of this section.	631

(C) Whoever violates division (B) of this section is guilty	632
of illegal conduct of a quarter auction. Except as otherwise	633
provided in this division, illegal conduct of a quarter auction is	634
a misdemeanor of the first degree. If the offender previously has	635
been convicted of a violation of division (B) of this section,	636
illegal conduct of a quarter auction is a felony of the fifth	637
degree.	638

Sec. 2915.10.  (A) No charitable organization that conducts	639
bingo or a game of chance pursuant to division (D) of section	640
2915.02 of the Revised Code shall fail to maintain the following	641
records for at least three years from the date on which the bingo	642
or game of chance is conducted:	643

(1) An itemized list of the gross receipts of each bingo	644
session, each game of instant bingo by serial number, each raffle,	645
each quarter auction, each punch board game, and each game of	646
chance, and an itemized list of the gross profits of each game of	647
instant bingo by serial number;	648

(2) An itemized list of all expenses, other than prizes, that	649
are incurred in conducting bingo or instant bingo, the name of	650
each person to whom the expenses are paid, and a receipt for all	651
of the expenses;	652

(3) A list of all prizes awarded during each bingo session,	653
each raffle, each quarter auction, each punch board game, and each	654
game of chance conducted by the charitable organization, the total	655
prizes awarded from each game of instant bingo by serial number,	656
and the name, address, and social security number of all persons	657
who are winners of prizes of six hundred dollars or more in value;	658

(4) An itemized list of the recipients of the net profit of	659
the bingo or game of chance, including the name and address of	660
each recipient to whom the money is distributed, and if the	661
organization uses the net profit of bingo, or the money or assets	662
received from a game of chance, for any charitable or other	663
purpose set forth in division (Z) of section 2915.01, division (D)	664
of section 2915.02, or section 2915.101 of the Revised Code, a	665
list of each purpose and an itemized list of each expenditure for	666
each purpose;	667

(5) The number of persons who participate in any bingo	668
session or game of chance that is conducted by the charitable	669
organization;	670

(6) A list of receipts from the sale of food and beverages by	671
the charitable organization or one of its auxiliary units or	672
societies, if the receipts were excluded from gross receipts under	673
division (X) of section 2915.01 of the Revised Code;	674

(7) An itemized list of all expenses incurred at each bingo	675
session, each raffle, each quarter auction, each punch board game,	676
or each game of instant bingo conducted by the charitable	677
organization in the sale of food and beverages by the charitable	678
organization or by an auxiliary unit or society of the charitable	679
organization, the name of each person to whom the expenses are	680
paid, and a receipt for all of the expenses.	681

(B) A charitable organization shall keep the records that it	682
is required to maintain pursuant to division (A) of this section	683
at its principal place of business in this state or at its	684
headquarters in this state and shall notify the attorney general	685
of the location at which those records are kept.	686

(C) The gross profit from each bingo session or game	687
described in division (S)(1) or (2) of section 2915.01 of the	688
Revised Code shall be deposited into a checking account devoted	689
exclusively to the bingo session or game. Payments for allowable	690
expenses incurred in conducting the bingo session or game and	691
payments to recipients of some or all of the net profit of the	692
bingo session or game shall be made only by checks drawn on the	693
bingo session or game account.	694

(D) Each charitable organization shall conduct and record an	695
inventory of all of its bingo supplies as of the first day of	696
November of each year.	697

(E) The attorney general may adopt rules in accordance with	698
Chapter 119. of the Revised Code that establish standards of	699
accounting, record keeping, and reporting to ensure that gross	700
receipts from bingo or games of chance are properly accounted for.	701

(F) A distributor shall maintain, for a period of three years	702
after the date of its sale or other provision, a record of each	703
instance of its selling or otherwise providing to another person	704
bingo supplies for use in this state. The record shall include all	705
of the following for each instance:	706

(1) The name of the manufacturer from which the distributor	707
purchased the bingo supplies and the date of the purchase;	708

(2) The name and address of the charitable organization or	709
other distributor to which the bingo supplies were sold or	710
otherwise provided;	711

(3) A description that clearly identifies the bingo supplies;

712

(4) Invoices that include the nonrepeating serial numbers of	713
all paper bingo cards and sheets and all instant bingo deals sold	714
or otherwise provided to each charitable organization.	715

(G) A manufacturer shall maintain, for a period of three	716
years after the date of its sale or other provision, a record of	717
each instance of its selling or otherwise providing bingo supplies	718
for use in this state. The record shall include all of the	719
following for each instance:	720

(1) The name and address of the distributor to whom the bingo	721
supplies were sold or otherwise provided;	722

(2) A description that clearly identifies the bingo supplies,	723
including serial numbers;	724

(3) Invoices that include the nonrepeating serial numbers of	725
all paper bingo cards and sheets and all instant bingo deals sold	726
or otherwise provided to each distributor.	727

(H) The attorney general or any law enforcement agency may do	728
all of the following:	729

(1) Investigate any charitable organization or any officer,	730
agent, trustee, member, or employee of the organization;	731

(2) Examine the accounts and records of the organization;

732

(3) Conduct inspections, audits, and observations of bingo or	733
games of chance;	734

(4) Conduct inspections of the premises where bingo or games	735
of chance are conducted;	736

(5) Take any other necessary and reasonable action to	737
determine if a violation of any provision of sections 2915.01 to	738
2915.13 of the Revised Code has occurred and to determine whether	739
section 2915.11 of the Revised Code has been complied with.	740

If any law enforcement agency has reasonable grounds to	741
believe that a charitable organization or an officer, agent,	742
trustee, member, or employee of the organization has violated any	743
provision of this chapter, the law enforcement agency may proceed	744
by action in the proper court to enforce this chapter, provided	745
that the law enforcement agency shall give written notice to the	746
attorney general when commencing an action as described in this	747
division.	748

(I) No person shall destroy, alter, conceal, withhold, or	749
deny access to any accounts or records of a charitable	750
organization that have been requested for examination, or	751
obstruct, impede, or interfere with any inspection, audit, or	752
observation of bingo or a game of chance or premises where bingo	753
or a game of chance is conducted, or refuse to comply with any	754
reasonable request of, or obstruct, impede, or interfere with any	755
other reasonable action undertaken by, the attorney general or a	756
law enforcement agency pursuant to division (H) of this section.	757

(J) Whoever violates division (A) or (I) of this section is	758
guilty of a misdemeanor of the first degree.	759

Section 2.  That existing sections 2915.01, 2915.07, and	760
2915.10 of the Revised Code are hereby repealed.	761