§ 10-64. Charitable organizations, authorized organizations, associational groups or organizations.

(a)

License required. It shall be unlawful for a person to conduct a bingo or instant bingo game unless the person is a licensed charitable organization, authorized organization or associational group or organization holding a current and effective class A license, which license shall not be under suspension or permanently or conditionally revoked. No licensed charitable organization, authorized organization or associational group or organization shall allow the use of its name in any manner or for any reason whatsoever for the conduct of bingo or instant bingo by any other person. All bingo licenses issued pursuant to this article shall be visibly posted at the premises where bingo or instant bingo is being conducted at all times when such games are played.

(b)

Separate bank account. The entire proceeds derived from the conduct of bingo or instant bingo by a charitable organization, authorized organization or associational group or organization shall be deposited either at the conclusion of each day of play or within 24 hours of play in a checking account in a bank located within the county, which shall be maintained separate and apart from all other accounts of the charitable organization, authorized organization or associational group or organization and which shall not be used for the deposit of funds received from any other activity than the conduct of bingo and/or instant bingo. Two of the principal officers of the charitable organization, authorized organization or associational group or organization shall be required to sign all checks, drafts and other instruments withdrawing or transferring funds from the checking account, without exception. This subsection shall not preclude:

(1)

For a charitable organization, the periodic transfer of the entire net proceeds derived from the conduct of bingo or instant bingo into a savings or other account established for the charitable, religious, educational, fraternal, patriotic, civic, community or benevolent endeavor for which the bingo or instant bingo games were played.

(2)

For an authorized organization or associational group or organization, the withdrawal of the entire net proceeds or the necessary portion thereof to be used on the next scheduled day of play as prizes.

(c)

Maintenance of records. A charitable organization or authorized organization or associational group or organization shall maintain adequate records according to generally accepted accounting practices and in a form prescribed by the county, which records shall show the following:

(1)

Gross proceeds from any source related to the conduct of bingo and/or instant bingo, including a method of cash control with respect to admissions and other related activities.

(2)

Receipts records as required by section 10-62.

(3)

Actual expenses.

(4)

Entire or net proceeds.

(5)

The distribution or disposition of the entire or net proceeds.

These records shall be made available on demand for immediate inspection by the sheriff or his authorized representative at reasonable times during normal business and whenever a bingo game is in progress, but the sheriff or his authorized representative shall not interrupt an actual bingo or instant bingo game or interfere with the operation of the premises where bingo or instant bingo is played unless necessary in order to make an inspection. All records shall be retained by the charitable organization, authorized organization or associational group or organization for a minimum of three years or for such longer period as may be required by the sheriff.

(d)

Financial statement; other reports. Annually or more frequently if the sheriff requires, each charitable organization, authorized organization and associational group or organization shall file with the sheriff a financial statement, in the form prescribed by the sheriff, containing the sources and the amount of the gross revenue derived by the charitable organization, authorized organization and associational group or organization from the conduct of bingo and/or instant bingo during the 12-month or other period for which the statement is being filed and stating the names of the distributees of the net revenues and the amounts received by each. This financial statement shall be certified as correct by a principal officer, one of the partners or one who controls the charitable organization, authorized organization or associational group or organization, but need not be audited, provided that this shall not prohibit an operation from filing an audited financial statement or the sheriff from requiring the filing of an audited financial statement whenever he determines that an audited financial statement is necessary to enable him to ascertain whether the charitable organization, authorized organization or associational group or organization is obeying the law and the rules promulgated under the authority of section 10-54. The sheriff may also require a charitable organization, authorized organization or associational group or organization to submit other reports, on a periodic basis or upon demand by the sheriff, covering the activities connected with or related to the conduct of bingo and/or instant bingo, which reports shall be certified as prescribed for financial statements but need not be audited; however, the sheriff may require audited reports, as for financial statements.

(e)

Active membership of members and volunteers. The members, volunteers and any other persons involved in or assisting with the conduct of any bingo or instant bingo game shall have been active members of the licensed charitable organization, authorized organization or associational group or organization for a period of at least 30 days prior to appointment or designation to conduct bingo or instant bingo and participate in other meaningful activities of the organization other than bingo or instant bingo. Proof of the length of membership shall be furnished by the licensed charitable organization, authorized organization, associational group or organization upon demand by the sheriff or his authorized representative. The possession by the member or volunteer or other person of a valid identification or membership card issued by the licensed charitable organization, authorized organization or associational group or organization containing the date of active membership and full name of the person to whom it is issued is required. A change of a principal officer or of a member or volunteer of a licensed charitable organization, authorized organization or associational group or organization may be made at any time, but such change shall require the immediate filing with the sheriff of an amendment of the licensed charitable organization's, authorized organization's, associational group's or organization's application as prescribed by section 10-89.

(f)

Compensation prohibited. No salary, compensation, tip or reward in any form whatsoever shall be offered, paid or given before, during or after, directly or indirectly, to any person conducting or assisting in the conduct of bingo or instant bingo.

(Code 1970, § 16½-101; Ord. No. 92-15, § 21, 10-27-92; Ord. No. 97-01, § 2, 1-14-97; Ord. No. 06-07, § 4, 2-28-06; Ord. No. 08-40, § 1, 9-23-08)