HOUSE BILL REPORT

HB 1682

BYRepresentatives Brough, Vekich, Patrick, Jacobsen, Cole, Leonard, Todd, O'Brien and Schoon

Revising provisions for fund raising events by bona fide charitable or nonprofit organizations.

House Committe on Commerce & Labor

Majority Report:  Do pass.  (11)

      Signed by Representatives Vekich, Chair; Cole, Vice Chair; Patrick, Ranking Republican Member; Jones, R. King, Leonard, O'Brien, Prentice, Smith, Walker and Wolfe.

House Staff:Joan Elgee (786-7166)

AS PASSED HOUSE JANUARY 12, 1990

BACKGROUND:

Bona fide charitable or nonprofit organizations may conduct fund raising events when licensed by the gambling commission. "Fund raising events" are bingo, amusement games, contests of chance, lotteries, and raffles.  During any calendar year, an organization may conduct either one or two events each lasting not more than 24 consecutive hours, or one event during any 72 consecutive hours.  Net receipts (wagers less winnings) may not exceed $10,000 per year.  Amounts in excess must be returned to the participants.

Organizations may also jointly conduct a fund raising event.  The net receipts for the event may not exceed $10,000 and the net receipts each organization receives count against the individual $10,000 limitation.

In 1987, 11 organizations netted over $10,000.

SUMMARY:

The $10,000 annual limit on net receipts charitable or nonprofit organizations may receive from fund raising events is raised to $25,000.  The $10,000 limit on net receipts for an event conducted jointly is also raised to $25,000.

Fiscal Note:      Not Requested.

House Committee ‑ Testified For:    Representative Jean Marie Brough, Sponsor; Blake Jones, Puget Sound Big Sisters; Patricia Frank, Puget Sound Big Sisters; and Greg Hanon, Washington State Federation of Clubs.

House Committee - Testified Against:      Robert Berg, Lewis County Sheriff's Office and Washington Association of Sheriffs and Police Chiefs.

House Committee - Testimony For:    Raising the limit will allow charitable organizations to help themselves.  Some organizations are unable to keep all money made at fund raisers because they exceed the $10,000 limit.  The only effect is to facilitate fund raising by charitable organizations.

House Committee - Testimony Against:      Any increase in the amount of revenue which can be raised will increase gambling.  Disadvantaged persons who cannot afford to gamble will be harmed.  The change will move the state to casino style gambling.

VOTE ON FINAL PASSAGE:

      Yeas 69; Nays 26; Absent 1; Excused 2.

Voting Nay: Representatives Betrozoff, Braddock, Brekke, Chandler, Cole, Crane, Dellwo, Ferguson, Fuhrman, Hargrove, Haugen, Heavey, Locke, May, R. Meyers, Rector, Rust, Schmidt, Silver, Tate, Van Luven, Wang, S. Wilson, Wineberry, Winsley and Youngsman

Absent:     Representative H. Sommers

Excused:    Representatives Bristow and Schoon