WSR 06-22-049



[ Filed October 27, 2006, 8:46 a.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 06-18-024.

Title of Rule and Other Identifying Information: Amendatory section WAC 230-20-055 Use of proceeds from authorized activities by charitable or nonprofit organizations.

Hearing Location(s): DoubleTree Guest Suites, 16500 Southcenter Parkway, Seattle, WA 98188, (206) 575-8220, on January 12, 2007, at 9:30 a.m.

Date of Intended Adoption: January 12, 2007.

Submit Written Comments to: Susan Arland, Rules Coordinator, P.O. Box 42400, Olympia, WA 98504, e-mail, fax (360) 486-3625, by January 1, 2007.

Assistance for Persons with Disabilities: Contact Shirley Corbett by January 1, 2007, TTY (360) 486-3637 or (360) 486-3447.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: Petition for rule change received from Seattle Jaycee Bingo: The proposed rule change would assist charitable and nonprofit licensees because the potential benefit would be the elimination of tax on punchboard/pull-tab income. The resulting savings (potentially) could be thousands of dollars per licensee.

Statutory Authority for Adoption: RCW 9.46.070.

Statute Being Implemented: Not applicable.

Rule is not necessitated by federal law, federal or state court decision.

Name of Proponent: Washington state gambling commission, governmental.

Name of Agency Personnel Responsible for Drafting: Susan Arland, Rules Coordinator, Lacey, (360) 486-3466; Implementation: Rick Day, Director, Lacey, (360) 486-3446; and Enforcement: Sharon Reese, Deputy Director, Lacey, (360) 486-3452.

No small business economic impact statement has been prepared under chapter 19.85 RCW. A small business economic impact statement has not been prepared pursuant to RCW 19.85.025, and/or the proposed rule change clarifies language of rules without changing the effect.

A cost-benefit analysis is not required under RCW 34.05.328. The Washington state gambling commission is not an agency that is statutorily required to prepare a cost-benefit analysis under RCW 34.05.328.

October 25, 2006

Susan Arland

Rules Coordinator


AMENDATORY SECTION(Amending WSR 96-07-076, filed 3/19/96, effective 7/1/96)

WAC 230-20-055   Use of proceeds from authorized activities by charitable or nonprofit organizations.   All net income from gambling activities must be used exclusively for the lawful purposes of the organization. All proceeds remaining after paying the necessary expenses of operating an activity authorized by RCW 9.46.0311 shall be used by the organization conducting the activity only for those purposes which are set out in RCW 9.46.0209 and as it may be amended and, if a commission licensee, only for those purposes disclosed to the commission in the application for a license.

[Statutory Authority: RCW 9.46.070. 96-07-076, 230-20-055, filed 3/19/96, effective 7/1/96; Order 53, 230-20-055, filed 5/25/76; Order 23, 230-20-055, filed 9/23/74.]

Washington State Code Reviser's Office