WSR 01-13-090

PROPOSED RULES

GAMBLING COMMISSION


[ Filed June 19, 2001, 4:04 p.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 01-10-121 with a published date of June 5, 2001.

Title of Rule: WAC 230-04-202 Fees -- Bona fide charitable/nonprofit organizations.

Purpose: We receive a petition for rule change from Mr. Richard Walker of Wild Bill's Interactive Events of Portland, Oregon. Mr. Walker is requesting the licensing fees for limited fund-raising events be lowered from $339 to $50 for a four-hour limited fund-raising event. The commission filed this petition at the May 2001 meeting. Staff does not support Mr. Walker's petition because it is felt that a $50 fee would not cover the agency's regulatory costs for these events. However, staff has proposed an alternative version, wherein, after an organization is initially licensed for a fund-raising event (FRE), subsequent FRE licenses would be at a reduced rate. The commission filed staff's version of this rule at the June 15, 2001, commission meeting. Both versions of this rule are shown below and will be discussed at the July 13, 2001, commission meeting.

Statutory Authority for Adoption: RCW 9.46.070.

Summary: See Purpose above.

Name of Agency Personnel Responsible for Drafting: Susan Arland, Lacey, (360) 438-7654 ext. 374; Implementation: Ben Bishop, Lacey, (360) 438-7640; and Enforcement: Bob Berg, Lacey, (360) 438-7654 ext. 348.

Name of Proponent: Staff, governmental.

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

Explanation of Rule, its Purpose, and Anticipated Effects: See Purpose above.

Proposal Changes the Following Existing Rules: See Purpose above.

No small business economic impact statement has been prepared under chapter 19.85 RCW. Proposal is exempt under RCW 19.85.025(2), therefore, a small business economic impact statement is not required.

Section 201, chapter 403, Laws of 1995, does not apply to this rule adoption. This agency does not choose to make section 201, chapter 403, Laws of 1995, apply to this rule adoption.

Hearing Location: Howard Johnson Plaza Hotel, 3105 Pine Street, Everett, WA 98201, (425) 303-8284, on August 10, 2001, at 9:30 a.m.

Assistance for Persons with Disabilities: Contact Shirley Corbett by August 1, 2001, at TDD (360) 438-7638, or (360) 438-7654 ext. 302.

Submit Written Comments to: Susan Arland, Mailstop 42400, Olympia, WA 98504-2400, fax (360) 438-8652, by August 1, 2001.

Date of Intended Adoption: August 10, 2001.

June 19, 2001

Susan Arland

Rules Coordinator

OTS-4936.1


AMENDATORY SECTION(Amending Order 399, filed 2/9/01, effective 3/12/01)

WAC 230-04-202   Fees--Bona fide charitable/nonprofit organizations.   Bona fide charitable and nonprofit organizations shall submit the following fees to the commission when applying for gambling licenses, permits, miscellaneous changes, inspection services, or when assessed the cost of special investigation procedures by the commission:

LICENSE TYPE DEFINITION FEE
1. AMUSEMENT GAMES (Fee based on annual gross gambling receipts)
* Class A Premises only $ 53
Class B Up to $ 10,000 $ 53
Class C Up to $ 25,000 $ 285
Class D Up to $ 50,000 $ 457
Class E Over $ 50,000 $ 797

* Allows a charitable or nonprofit organization to enter into a contract with Class "B" or above commercial amusement game licensee to locate and operate amusement games on their premises.

2. BINGO GROUP
(Fee based on annual gross

gambling receipts)

VARIANCE *
Class A Up to $ 15,000 $ 1,000 $ 53
Class B Up to $ 50,000 $ 1,000 $ 166
Class C Up to $ 100,000 $ 2,000 $ 339
Class D Up to $ 250,000 $ 4,000 $ 915
Class E Up to $ 500,000 $ 8,000 $ 1,541
Class F Up to $ 1,000,000 $ 15,000 $ 3,095
Class G Up to $ 1,500,000 $ 23,000 $ 4,467
Class H Up to $ 2,000,000 $ 30,000 $ 5,967
Class I Up to $ 2,500,000 $ 38,000 $ 7,455
Class J Up to $ 3,000,000 $ 45,000 $ 8,945
Class K Up to $ 3,500,000 $ 53,000 $ 10,034
Class L Up to $ 4,000,000 $ 60,000 $ 11,470
Class M and above Over $ 4,000,000 Not

applicable

12,906
* A licensee will be allowed a one-time variance for each license class without having to upgrade or pay the penalties set forth in WAC 230-04-260: Provided, That a licensee utilizing the variance shall be required to upgrade to the higher license class upon renewal.

3. CARD GAMES
Class A General (Fee to play charged) $571
Class B Limited card games - hearts, rummy, pitch, pinochle, and cribbage (Fee to play charged) $ 166
Class C Tournament only - no more than ten consecutive days per tournament

$ 53

Class D General (No fee to play charged)

$ 53


4. FUND-RAISING EVENT
Class A1 Limited fund-raising event - one event - not more than four hours $ 50
Class A One event - not more than 24 consecutive hours

$ 339

Class B One event - not more than 72 consecutive hours

$ 571

Class C Additional participant in joint event (not lead organization)

$ 166

Class D Fund-Raising Event Equipment Distributor - rents or leases, equipment for fund-raising event or recreational gaming activity for no more than ten times per year*

$ 226

Class E Fund-Raising Event Equipment Distributor - rents or leases equipment for fund-raising event or recreational gaming activity more than ten times per year.

$ 571

* Charitable and nonprofit organizations licensed to conduct fund-raising events may rent their equipment up to four occasions during the term of the license without getting licensed as a distributor.

5. PUNCH BOARDS/PULL-TABS
(Fee based on annual gross

gambling receipts)

VARIANCE*
Class A Up to $ 50,000 $ 5,000 $ 544
Class B Up to $ 100,000 $ 5,000 $ 971
Class C Up to $ 200,000 $ 10,000 $ 1,832
Class D Up to $ 300,000 $ 10,000 $ 2,663
Class E Up to $ 400,000 $ 10,000 $ 3,440
Class F Up to $ 500,000 $ 10,000 $ 4,153
Class G Up to $ 600,000 $ 10,000 $ 4,812
Class H Up to $ 700,000 $ 10,000 $ 5,416
Class I Up to $ 800,000 $ 10,000 $ 5,967
Class J Up to $ 1,000,000 $ 20,000 $ 6,765
Class K Up to $ 1,250,000 $ 25,000 $ 7,509
Class L Up to $ 1,500,000 $ 25,000 $ 8,201
Class M .Up to $ 1,750,000 $ 25,000 $ 8,771
Class N Up to $ 2,000,000 $ 25,000 $ 9,290
Class O Over $ 2,000,000 Non-

applicable

$ 10,208
* A licensee will be allowed a one-time variance for each license class without having to upgrade or pay the penalties set forth in WAC 230-04-260: Provided, That a licensee utilizing the variance shall be required to upgrade to the higher license class upon renewal.

6. RAFFLES

(Fee based on annual gross

gambling receipts)

Class A Up to $ 5,000 $ 53
Class B Up to $ 10,000 $ 166
Class C Up to $ 25,000 $ 339
Class D Up to $ 50,000 $ 571
Class E Up to $ 75,000 $ 915
Class F Over $ 75,000 $ 1,370

7. COMBINATION LICENSE
CLASS A Allows gross gambling receipts of up to $ 25,000 from bingo, $ 7,500 from raffles, and $ 7,500 from amusement games, not to exceed $ 30,000 combined gross gambling receipts from all such activities. Allows general card games where no fee to play is charged.

$ 103

CLASS B Allows gross gambling receipts of up to $ 60,000 from bingo, $ 15,000 from raffles, and $ 15,000 from amusement games, not to exceed $ 75,000 combined gross gambling receipts from all such activities. Allows general card games where no fee to play is charged.

$ 268

CLASS C Allows gross gambling receipts of up to $ 125,000 from bingo, $ 30,000 from raffles, and $ 30,000 from amusement games, not to exceed $ 150,000 combined gross gambling receipts from all such activities. Allows general card games where no fee to play is charged.

$ 619


8. SEPARATE PREMISES
BINGO Per occasion

(see WAC 230-04-300)

$ 26


9. PERMITS
AGRICULTURAL

FAIR-BINGO

(See WAC 230-04-191) $ 26

RECREATIONAL

GAMING ACTIVITY

(RGA)

(See WAC 230-25-330

and 230-02-505)

$ 53

10. CHANGES
NAME (See WAC 230-04-310) $ 26

LOCATION (See WAC 230-04-320) $ 26

FRE (Date or time)

(See WAC 230-04-325)

$ 26

LICENSE CLASS (See WAC 230-04-260) $ 26

DUPLICATE (See WAC 230-04-290) $ 26

LICENSE

11. SPECIAL FEES
INVESTIGATION (See WAC 230-04-240) As required
REPLACEMENT (See WAC 230-08-017) $ 26

IDENTIFICATION
STAMPS
EXCEEDING LICENSE (See WAC 230-04-260) As required
CLASS
REVIEW, As required
INSPECTION AND/ (See WAC 230-12-315)
OR EVALUATION
OF EQUIPMENT,
PARAPHERNALIA,
SERVICES, OR
SCHEMES

12. SIX-MONTH

(See WAC 230-04-190)

$ 26
PAYMENT PLAN

[Statutory Authority: RCW 9.46.070. 01-05-019 (Order 399), 230-04-202, filed 2/9/01, effective 3/12/01; 99-24-099 (Order 377), 230-04-202, filed 11/30/99, effective 12/31/99; 98-21-010 (Order 366), 230-04-202, filed 10/9/98, effective 11/9/98. Statutory Authority: RCW 9.46.070(5). 97-23-053, 230-04-202, filed 11/17/97, effective 6/30/98. Statutory Authority: RCW 9.46.070 (5), (6), (11), (14). 97-14-012, 230-04-202, filed 6/20/97, effective 7/21/97. Statutory Authority: RCW 9.46.070 and 9.46.116. 96-24-007 (Order 304), 230-04-202, filed 11/21/96, effective 1/1/97. Statutory Authority: RCW 9.46.070. 95-02-003 and 94-23-093 (Order 260), 230-04-202, filed 12/22/94 and 11/17/94, effective 1/22/95 and 1/1/95.]

OTS-4937.1


AMENDATORY SECTION(Amending Order 399, filed 2/9/01, effective 3/12/01)

WAC 230-04-202   Fees--Bona fide charitable/nonprofit organizations.   Bona fide charitable and nonprofit organizations shall submit the following fees to the commission when applying for gambling licenses, permits, miscellaneous changes, inspection services, or when assessed the cost of special investigation procedures by the commission:

LICENSE TYPE DEFINITION FEE
1. AMUSEMENT GAMES (Fee based on annual gross gambling receipts)
* Class A Premises only $ 53
Class B Up to $ 10,000 $ 53
Class C Up to $ 25,000 $ 285
Class D Up to $ 50,000 $ 457
Class E Over $ 50,000 $ 797

* Allows a charitable or nonprofit organization to enter into a contract with Class "B" or above commercial amusement game licensee to locate and operate amusement games on their premises.

2. BINGO GROUP
(Fee based on annual gross

gambling receipts)

VARIANCE *
Class A Up to $ 15,000 $ 1,000 $ 53
Class B Up to $ 50,000 $ 1,000 $ 166
Class C Up to $ 100,000 $ 2,000 $ 339
Class D Up to $ 250,000 $ 4,000 $ 915
Class E Up to $ 500,000 $ 8,000 $ 1,541
Class F Up to $ 1,000,000 $ 15,000 $ 3,095
Class G Up to $ 1,500,000 $ 23,000 $ 4,467
Class H Up to $ 2,000,000 $ 30,000 $ 5,967
Class I Up to $ 2,500,000 $ 38,000 $ 7,455
Class J Up to $ 3,000,000 $ 45,000 $ 8,945
Class K Up to $ 3,500,000 $ 53,000 $ 10,034
Class L Up to $ 4,000,000 $ 60,000 $ 11,470
Class M and above Over $ 4,000,000 Not

applicable

12,906
* A licensee will be allowed a one-time variance for each license class without having to upgrade or pay the penalties set forth in WAC 230-04-260: Provided, That a licensee utilizing the variance shall be required to upgrade to the higher license class upon renewal.

3. CARD GAMES
Class A General (Fee to play charged) $571
Class B Limited card games - hearts, rummy, pitch, pinochle, and cribbage (Fee to play charged) $ 166
Class C Tournament only - no more than ten consecutive days per tournament

$ 53

Class D General (No fee to play charged)

$ 53


4. FUND-RAISING EVENT
Class A One event - not more than 24 consecutive hours

First time applicant $ 339
*Previously licensed applicant

$ 200

Class B One event - not more than 72 consecutive hours

First time applicant $ 571
*Previously licensed applicant $ 350
Class C Additional participant in joint event (not lead organization)

$ 166

Class D Limited fund-raising event (one event - not more than six consecutive hours)
First time applicant $ 150
**Previously licensed applicant

$ 100

Class ((D)) E Fund-Raising Event Equipment Distributor - rents or leases, equipment for fund-raising event or recreational gaming activity for no more than ten times per year***

$ 226

Class ((E)) F Fund-Raising Event Equipment Distributor - rents or leases equipment for fund-raising event or recreational gaming activity more than ten times per year.

$ 571

* Provides for a reduced fee when charitable and nonprofit organizations apply for an additional Class A or Class B fund-raising event.
** Provides for a fee reduction when charitable and nonprofit organizations apply for an additional Class D limited fund-raising event.
*** Charitable and nonprofit organizations licensed to conduct fund-raising events may rent their equipment up to four occasions during the term of the license without getting licensed as a distributor.

5. PUNCH BOARDS/PULL-TABS
(Fee based on annual gross

gambling receipts)

VARIANCE*
Class A Up to $ 50,000 $ 5,000 $ 544
Class B Up to $ 100,000 $ 5,000 $ 971
Class C Up to $ 200,000 $ 10,000 $ 1,832
Class D Up to $ 300,000 $ 10,000 $ 2,663
Class E Up to $ 400,000 $ 10,000 $ 3,440
Class F Up to $ 500,000 $ 10,000 $ 4,153
Class G Up to $ 600,000 $ 10,000 $ 4,812
Class H Up to $ 700,000 $ 10,000 $ 5,416
Class I Up to $ 800,000 $ 10,000 $ 5,967
Class J Up to $ 1,000,000 $ 20,000 $ 6,765
Class K Up to $ 1,250,000 $ 25,000 $ 7,509
Class L Up to $ 1,500,000 $ 25,000 $ 8,201
Class M .Up to $ 1,750,000 $ 25,000 $ 8,771
Class N Up to $ 2,000,000 $ 25,000 $ 9,290
Class O Over $ 2,000,000 Non-

applicable

$ 10,208
* A licensee will be allowed a one-time variance for each license class without having to upgrade or pay the penalties set forth in WAC 230-04-260: Provided, That a licensee utilizing the variance shall be required to upgrade to the higher license class upon renewal.

6. RAFFLES

(Fee based on annual gross

gambling receipts)

Class A Up to $ 5,000 $ 53
Class B Up to $ 10,000 $ 166
Class C Up to $ 25,000 $ 339
Class D Up to $ 50,000 $ 571
Class E Up to $ 75,000 $ 915
Class F Over $ 75,000 $ 1,370

7. COMBINATION LICENSE
CLASS A Allows gross gambling receipts of up to $ 25,000 from bingo, $ 7,500 from raffles, and $ 7,500 from amusement games, not to exceed $ 30,000 combined gross gambling receipts from all such activities. Allows general card games where no fee to play is charged.

$ 103

CLASS B Allows gross gambling receipts of up to $ 60,000 from bingo, $ 15,000 from raffles, and $ 15,000 from amusement games, not to exceed $ 75,000 combined gross gambling receipts from all such activities. Allows general card games where no fee to play is charged.

$ 268

CLASS C Allows gross gambling receipts of up to $ 125,000 from bingo, $ 30,000 from raffles, and $ 30,000 from amusement games, not to exceed $ 150,000 combined gross gambling receipts from all such activities. Allows general card games where no fee to play is charged.

$ 619


8. SEPARATE PREMISES
BINGO Per occasion

(see WAC 230-04-300)

$ 26


9. PERMITS
AGRICULTURAL

FAIR-BINGO

(See WAC 230-04-191) $ 26

RECREATIONAL

GAMING ACTIVITY

(RGA)

(See WAC 230-25-330

and 230-02-505)

$ 53

10. CHANGES
NAME (See WAC 230-04-310) $ 26

LOCATION (See WAC 230-04-320) $ 26

FRE (Date or time)

(See WAC 230-04-325)

$ 26

LICENSE CLASS (See WAC 230-04-260) $ 26

DUPLICATE (See WAC 230-04-290) $ 26

LICENSE

11. SPECIAL FEES
INVESTIGATION (See WAC 230-04-240) As required
REPLACEMENT (See WAC 230-08-017) $ 26

IDENTIFICATION
STAMPS
EXCEEDING LICENSE (See WAC 230-04-260) As required
CLASS
REVIEW, As required
INSPECTION AND/ (See WAC 230-12-315)
OR EVALUATION
OF EQUIPMENT,
PARAPHERNALIA,
SERVICES, OR
SCHEMES

12. SIX-MONTH

(See WAC 230-04-190)

$ 26
PAYMENT PLAN

[Statutory Authority: RCW 9.46.070. 01-05-019 (Order 399), 230-04-202, filed 2/9/01, effective 3/12/01; 99-24-099 (Order 377), 230-04-202, filed 11/30/99, effective 12/31/99; 98-21-010 (Order 366), 230-04-202, filed 10/9/98, effective 11/9/98. Statutory Authority: RCW 9.46.070(5). 97-23-053, 230-04-202, filed 11/17/97, effective 6/30/98. Statutory Authority: RCW 9.46.070 (5), (6), (11), (14). 97-14-012, 230-04-202, filed 6/20/97, effective 7/21/97. Statutory Authority: RCW 9.46.070 and 9.46.116. 96-24-007 (Order 304), 230-04-202, filed 11/21/96, effective 1/1/97. Statutory Authority: RCW 9.46.070. 95-02-003 and 94-23-093 (Order 260), 230-04-202, filed 12/22/94 and 11/17/94, effective 1/22/95 and 1/1/95.]

Washington State Code Reviser's Office