WSR 99-03-103
PERMANENT RULES
GAMBLING COMMISSION
[Order 370--Filed January 20, 1999, 11:10 a.m.]
Date of Adoption: January 15, 1999.
Purpose: A study will be conducted to determine if the net return requirements for charitable/nonprofit licensees should be reduced. By placing a temporary moratorium for complying with the net return requirements during the study period bingo operators who meet the moratorium requirements will not have their license class limited, allowing them to continue their operations at current levels.
Statutory Authority for Adoption: RCW 9.46.070.
Adopted under notice filed as WSR 98-24-087 on December 1, 1998, with a publication of December 16, 1998.
Number of Sections Adopted in Order to Comply with Federal Statute: New 0, amended 0, repealed 0; Federal Rules or Standards: New 0, amended 0, repealed 0; or Recently Enacted State Statutes: New 0, amended 0, repealed 0.
Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, amended 0, repealed 0.
Number of Sections Adopted on the Agency's Own Initiative: New 1, amended 0, repealed 0.
Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, amended 0, repealed 0.
Number of Sections Adopted Using Negotiated Rule Making: New 1, amended 0, repealed 0; Pilot Rule Making: New 0, amended 0, repealed 0; or Other Alternative Rule Making: New 0, amended 0, repealed 0.
Effective Date of Rule: Thirty-one days after filing.
January 20, 1999
Susan Arland
Public Information Officer
OTS-2677.4
NEW SECTION
WAC 230-20-058 Temporary moratorium for complying with net return requirements. In order to study the possible impacts of factors beyond a charitable/nonprofit licensee's control, which may affect its ability to meet net return requirements and requirements set forth in WAC 230-20-059, the commission imposes a moratorium on the mandatory license class reduction requirement of WAC 230-20-062 and the variance requirement of WAC 230-20-060, as set forth below:
(1) Any charitable/nonprofit licensee that fulfills the following requirements shall be allowed to operate at its current bingo license class if:
(a) The licensee informs the commission in writing that:
(i) It meets the requirements of this section;
(ii) It wishes to participate in the study; and
(iii) It outlines the steps it is taking to meet its license class requirements;
(b) The licensee is within five percent of the annual net return requirements for its license class during its measurement period ending on or after December 31, 1998, to the end of the moratorium; and
(c) Licensees operating at license class levels that provide for an annual minimum net return below five percent as set out in WAC 230-20-059 shall be required to maintain a positive cash flow as defined in WAC 230-02-138 for the measurement period.
(2) Licensees not fulfilling the requirements outlined in subsection (1) of this section are subject to penalties and reductions in license class as set forth in WAC 230-20-062 (3) and (4), respectively.
(3) A licensee that does not fall within five percent of its net return requirements will receive a "notice of license limitation" and may petition the commission for additional relief from the requirements.
(4) If any licensee requests an upgrade pursuant to WAC 230-04-260, the percentages set forth in WAC 230-20-059 less five percentage points would apply. However, the licensee must maintain a positive cash flow as defined in WAC 230-02-138 for the measurement period.
(5) The moratorium as set forth in this section applies to licensees with measurement periods ending December 31, 1998, and thereafter to the end of the moratorium. The moratorium will conclude February 29, 2000, or on such date to be determined by the commission. The moratorium applies only to those licensees meeting the requirements set forth in subsection (1) of this section. It does not apply to any other licensee requirements.
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