WSR 09-05-087

PROPOSED RULES

GAMBLING COMMISSION


[ Filed February 17, 2009, 4:22 p.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 08-14-081.

Title of Rule and Other Identifying Information: Amending WAC 230-03-140 Full and regular membership requirements and 230-11-030 Restrictions on ticket sales.

Hearing Location(s): Red Lion Hotel, 2300 Evergreen Park Drive, Olympia, WA 98502, (360) 943-4000, on April 10, 2009, at 9:00 a.m.

Date of Intended Adoption: April 10, 2009.

Submit Written Comments to: Susan Arland, P.O. Box 42400, Olympia, WA 98504-2400, e-mail SusanA@wsgc.wa.gov, fax (360) 486-3625, by April 1, 2009.

Assistance for Persons with Disabilities: Contact Gail Grate, executive assistant, by April 1, 2009, TTY (360) 486-3637 or (360) 486-3453.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: This rule change would allow persons under the age of eighteen to sell raffle tickets for an unlicensed charitable or nonprofit organization. The current WAC governing this, WAC 230-03-140, is confusing. "Is applying for" a license implies that a license is required for minors to sell raffle tickets. In the past, we have required a raffle license if organizations had minors selling raffle tickets, even though RCW 9.46.0321 does not require a license if gross raffle revenue is $5,000 or less. Small organizations such as cub scouts and little leagues typically have small raffles and profits are very low. Based on the amount of money ($5,000 or under) and the low risk of the activity itself, staff recommends not requiring these organizations to have a raffle license. Charitable and nonprofit organizations that want to allow minors to sell raffle tickets must continue to meet the following requirements:

(a) Have the development of youth as a primary purpose; and

(b) Have at least three members or advisors who are at least eighteen who supervises the raffle; and

[(c)] Have an adult member or advisor designated as the raffle manager.

Reasons Supporting Proposal: See above.

Statutory Authority for Adoption: RCW 9.46.070.

Statute Being Implemented: Not applicable.

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: Mark Harris, Assistant Director, Lacey, (360) 486-3579.

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 because the change would not impose additional costs on businesses.

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.

February 17, 2009

Susan Arland

Rules Coordinator

OTS-2078.1


AMENDATORY SECTION(Amending Order 457, filed 3/22/06, effective 1/1/08)

WAC 230-03-140   Full and regular membership requirements.   (1) "Bona fide member" means the same thing as "bona fide active member." Bona fide members hold full and regular membership status.

(2) To have full and regular membership status in a Washington charitable or nonprofit organization, you must:

(a) Be at least eighteen years old, unless the organization:

(i) Has a primary purpose that is the development of youth; and

(ii) ((Is applying only for a)) The only activity the organization conducts is raffles or amusement games ((license)), whether licensed or unlicensed; and

(iii) Has at least three members or advisors who are at least eighteen years old and who supervise the operation of the gambling activity; and

(iv) Has an adult member or advisor designated as the manager for the gambling activity; and

(b) Take part in at least one of the following activities of the organization:

(i) Attend at least one regular membership meeting per year; or

(ii) Vote for officers and/or board members; or

(iii) Help set policy by serving as a member of the board of directors or a similar policy setting position; or

(iv) Serve as a volunteer providing services or raising funds from nongambling sources; or

(v) Maintain a level of communication that demonstrates knowledge of the activities of the organization; and

(c) Live within one hundred miles of the main administrative offices of your organization which are located in Washington, or attend seventy-five percent of the organization's board meetings.

[Statutory Authority: RCW 9.46.070. 06-07-157 (Order 457), 230-03-140, filed 3/22/06, effective 1/1/08.]

OTS-2161.1


AMENDATORY SECTION(Amending Order 602, filed 9/26/06, effective 1/1/08)

WAC 230-11-030   Restrictions on ticket sales.   (1) Only the following people, who are at least eighteen years old, may sell raffle tickets:

(a) Members of the organization ((or)), except as explained in subsection (2) of this section; and

(b) Volunteers under the supervision of a member ((may sell tickets; and)).

(2) Organizations may allow members under the age of eighteen to sell tickets when the organization has:

(a) Development of youth as a primary purpose; and

(b) At least three members or advisors who are at least eighteen years old and who supervise the operation of the raffle; and

(c) An adult member or advisor designated as the manager of the raffle.

(3) Organizations must sell tickets for a particular raffle for the same price unless offering an authorized discount plan; and

(((3))) (4) Organizations must not:

(a) Sell raffle tickets via the internet; or

(b) Require anyone to purchase more than one raffle ticket; or

(c) Give away raffle tickets; or

(d) Give an opportunity to participate in a raffle drawing to a person who has not purchased a ticket.

[Statutory Authority: RCW 9.46.070. 06-20-040 (Order 602), 230-11-030, filed 9/26/06, effective 1/1/08.]

Washington State Code Reviser's Office