State of New Jersey
Department of Law and Public Safety
Division of Consumer Affairs

NEW JERSEY REGISTER
VOLUME 34, NUMBER 5
MARCH 4, 2002
RULE PROPOSAL

LAW AND PUBLIC SAFETY
DIVISION OF CONSUMER AFFAIRS
LEGALIZED GAMES OF CHANCE CONTROL COMMISSION
RULES OF LEGALIZED GAMES OF CHANCE

Proposed Readoption with Amendments: N.J.A.C. 13:47

Authorized By: Legalized Games of Chance Control Commission, William J. Yorke, Executive Director.

Authority: N.J.S.A. 5:8-6.
Calendar Reference: See Summary below for explanation of exception to calendar requirement.
Proposal Number: PRN 2002-88.

Submit written comments by May 3, 2002 to:

William J. Yorke, Executive Officer

Legalized Games of Chance Control Commission

PO Box 46000

Newark, New Jersey 07101

The agency proposal follows:

Summary

The Legalized Games of Chance Control Commission (Commission), an agency of the Division of Consumer Affairs, proposes to readopt its current rules which appear at N.J.A.C. 13:47, with amendments. Pursuant to Executive Order No. 66(1978), this chapter will expire on January 24, 2002. The expiration date is extended 180 days to July 23, 2002 pursuant to N.J.S.A. 52:14B-5.1c, by the filing of this proposed readoption.

N.J.A.C. 13:47 was originally promulgated by the Commission pursuant to N.J.S.A. 5:8-6 in order to implement the Bingo Licensing Law, N.J.S.A. 5:8-24 et seq., and the Raffles Licensing Law, N.J.S.A. 5:8-50 et seq. Over the years, the Commission has found these rules to be reasonable, necessary and effective for the purposes for which they were originally promulgated. The rules have protected New Jersey citizens against fraud in the conduct of legalized games of chance and have enabled the Commission to fulfill its statutory responsibility under the Bingo and Raffles Licensing Laws.

The Commission proposes amendments to current rules which it believes would be in the best interest of the public based on its experience in administering the law and rules.

In compliance with Executive Order No. 66(1978), the Commission has thoroughly reviewed these rules and proposes to readopt N.J.A.C. 13:47 with amendments. Following is a summary of each of the 16 subchapters of N.J.A.C. 13:47 with a particular emphasis on proposed amendments and on those sections which have been the subject of rulemaking within the past year.

Subchapter 1 defines essential words and phrases used throughout N.J.A.C. 13:47. During the past year, the Commission has amended N.J.A.C. 13:47 to conduct armchair races in an effort to help qualified organizations in their fundraising efforts. As a result of these amendments, a number of words and phrases were added to the definitions section.

The Commission now adds definitions for "bingo board," "bingo card" and "registered organization." The Commission clarifies these terms by deleting references to a "playing board" or "playing card."

Subchapter 2 details registration and identification procedures for organizations applying for licenses to conduct bingo or raffles.

Subchapter 3 sets forth the application procedures to obtain a license to conduct both bingo and raffles.

Subchapter 4, License Issuance, outlines the responsibilities of the governing body of a municipality in investigating and passing upon a license application, including the responsibility to file its findings and determinations with the Commission at least seven days prior to the applicant's holding of the first authorized game. The Commission proposes to amend N.J.A.C. 13:47-4.9(c) to clarify language and to require that, in addition to fees paid to the Commission, applicants for licensure for on-premises draw raffles for cash prizes that do not exceed $400.00 and off-premises cash raffles pay any fees required by a municipality. The proposed amendments also require applicants to supply a copy of the Report of Raffles Operations to the Municipality. The Commission proposes these amendments because these raffles can be licensed by a municipality. The Commission wants to ensure that municipalities that license raffles receive their licensing fees and accurate information as to the financial status of raffles.

Procedures to amend a license are set forth in subchapter 5.

Subchapter 6 contains general provisions regarding the conduct of games of chance and includes sections on use of proceeds, license display, inspections, authorization for games on Sunday, player age limitation, permissible frequency of games, prohibited prizes and advertisements.

The Commission proposes an amendment to N.J.A.C. 13:47-6.11 to increase the permissible frequency of games from six days per month to six days per week and to require that games only be held in municipalities in which a referendum has passed making laws applicable to bingo and raffles operative in the municipality.

The Commission proposes to repeal N.J.A.C. 13:47-6.24 and relocate its provisions at N.J.A.C. 13:47-6.12(f). The Commission has added language to the relocated rule to cite to the Bingo Licensing Law, N.J.S.A. 5:8-24 et seq., the Raffles Licensing Law, N.J.S.A. 5:8-50 et seq. and N.J.A.C. 13:47 and to exempt organizations that rent or lease equipment from the requirements of this subsection concerning the time in which equipment must be paid for.

The Commission proposes to amend N.J.A.C. 13:47-6.20 to allow licensees to offer a gift certificate redeemable for live, edible seafood as a prize. This amendment was made to comply with statutory changes to N.J.S.A. 5:8-60.3.

Subchapter 7 sets forth specific rules for the conduct of bingo.

The Commission proposes to delete N.J.A.C. 13:47-7.5(e) which prevents anyone from charging an individual under the age of 18 for participation in a bingo game. The Commission deletes this subsection because it believes that it is irrelevant due to N.J.A.C. 13:47-6.10, which prohibits anyone under the age of 18 from participating in a game of bingo. The Commission proposes a new provision at N.J.A.C. 13:47-7.5(e) which allows the sale of admissions and additional opportunities to participate in bingo prior to the date of the occasion, and sets forth the requirement that a receipt must be given by the registered organization to the purchaser. The Commission proposes to delete existing N.J.A.C. 13:47-7.5(f). This subsection required that all cards be sold for the same price. The Commission does not believe that this requirement provided any protection for consumers. The Commission proposes a new subsection (f) which sets forth a prohibition against charging for a bingo game in any municipality which has not adopted the Municipal Bingo Licensing Law.

N.J.A.C. 13:47-7.9 outlines requirements for bingo games. The provisions of subsection (e) concerning bingo cards are deleted as the Commission does not believe that they are necessary. Proposed new subsection (e) requires a player to declare bingo when he or she achieves bingo. If a player does not declare bingo and another number is called, the winning player must share any prizes with any players who achieve bingo on the call of any additional numbers. If the game is a last number called game, the player who fails to make his or her bingo known to the caller shall not be entitled to any prize. Subsections (f), (g) and (h) deal with the provision of special cards for blind players. The provisions of subsection (f) are moved to new subsection (h) discussed below. The Commission has deleted subsections (g) and (h) because it believes these provisions are adequately addressed by N.J.A.C. 13:47-7.5(g) and (h). New subsection (f) prevents a player from getting a prize if he or she has been limited to a pre-designated number of calls in which he or she can achieve bingo and the player does not alert the caller of bingo within that pre- designated number. New subsection (g) prohibits a caller from modifying the ball selection device until after a called bingo has been verified. If a bingo is declared incorrectly the caller shall continue the game by calling the number that was selected prior to the erroneous declaration of bingo. New subsection (h) prevents the reservation of bingo cards for use by players except for modified cards used by blind players. The subsection also states that this provision does not affect the advance sale of cards or tickets of admission to a bingo hall, as long as a receipt is issued to the purchaser. Subsection (k) is proposed for amendment to incorporate the provisions of existing subsection (l). Proposed new subsection (l) states that a multi-part game shall follow the order which is announced prior to the commencement of the game and that winners shall be awarded prizes for each individual part prior to the commencement of the next part of the game. A player who achieves bingo in a part of the game that is not being currently played shall wait to declare bingo until the caller is about to call the first number for the part of the game in which the player has bingo. Proposed new subsection (m) states that, in a multi-part game, if a player declares bingo when the caller begins a part of the game, the caller shall not call any numbers until the declaration of bingo has been confirmed, in which case that part shall be closed and prizes awarded, or it is determined that there was an erroneous declaration, in which case the caller shall continue to call numbers until a winner is declared.

N.J.A.C. 13:47-7.14 sets forth the rules for the determination of a winner. The provisions of existing subsection (c) are recodified in subsection (d). New subsection (c) sets forth requirements for the actions of ushers and bingo callers when a player declares bingo. Existing subsections (d) and (e) are recodified as subsections (e) and (f). This rule is proposed for amendment in new subsection (f) to require that, when there are multiple winners and some of those winners hold duplicate cards, the duplicate cards shall be considered one winning card and the full amount of the prize shall be split between the duplicate card holders.

In N.J.A.C. 13:47-7.15 the Commission deletes the language in subsection (a) limiting bingo card purchase to the game occasion because the Commission is proposing to allow advanced sale of admission and opportunities to play bingo.

The Commission proposes to amend N.J.A.C. 13:47-7.18 to allow approved bingo service providers to be present in the room where a game is being held. The Commission proposes this amendment in order to allow distributors of bingo- related products to attend games, a practice which is common in the industry and which was prohibited by the existing rule.

The Commission proposes to repeal N.J.A.C. 13:47-7.20 and reserve the section. The provisions of N.J.A.C. 13:47-7.20(a) and (b) are relocated as 13:47-7.12(c) and (d), with no change in text.

In N.J.A.C. 13:47-7.23, Selection of cards, subsection (a), which prohibits selection of bingo cards by other than the player who is to use them, is proposed for deletion. The Commission believes that its provisions are sufficiently covered by subsection (b), recodified as subsection (a). Subsection (c), recodified as (b), is amended to allow cards to be reserved for legally blind or otherwise disabled players.

Subchapter 8 sets forth specific rules for the conduct of raffles. The Commission proposes to delete a portion of N.J.A.C. 13:47-8.5(f) which required that awarded prizes be crossed off of the flare. The Commission has received many complaints in the past about erroneous notifications on a flare. The Commission has determined that winners often fail to report a win and this failure leads to prizes being listed on a flare that are no longer winnable. The Commission believes that the best way to solve erroneous notification is to no longer require a flare and therefore avoid misleading consumers as to available prizes.

The Commission has amended N.J.A.C. 13:47-8.9(c) by adding language that requires a 14-day period between the time the municipal clerk forwards the application and licensing fee to the Commission and the time when the clerk approves the form of the ticket. The Commission proposes this amendment so that N.J.A.C. 13:47-8.9 will comply with existing N.J.A.C. 13:47-4.3(b), which requires that there be a 14-day period between the time a municipality forwards an application to the Commission and issuance of a license by the municipality.

Subchapter 9 contains rules regarding required reports of operations.

Provisions regarding suspension and revocation of licenses are set forth in subchapter 10. Procedures concerning the filing of appeals and the requirements for the hearing and disposition of appeals are contained in subchapters 11 and 12, respectively. These provisions have not been changed and have proved to be reasonable, necessary and effective for the purposes for which they were promulgated.

Subchapter 13 addresses the qualifications required of raffles and bingo equipment providers and the procedures for Commission approval. In August 2001, the Commission adopted rules which included providers of equipment and/or personnel for the conduct of Armchair Races.

Provisions regarding the rental of premises for bingo are detailed in subchapter 14.

In N.J.A.C. 13:47-14.3(c), the Commission proposes to remove the twice daily restriction on the rental of premises for bingo. The Commission also proposes to amend N.J.A.C. 13:47-14.3(f)10 to allow advertisements that conform to the requirements of N.J.A.C. 13:47-6.13 and 6.14.

Subchapter 15 contains general provisions regarding forms and the Control Commission seal.

Subchapter 16 includes rate schedules together with various applications and reporting forms.

The Commission has determined that the comment period for this proposal shall be 60 days; therefore, pursuant to N.J.A.C. 1:30-3.3(a)5, this proposal is excepted from the rulemaking calendar requirement.

Social Impact

It is anticipated that the readoption with amendments of N.J.A.C. 13:47 will benefit both the citizens of the State of New Jersey and qualified organizations sponsoring games of chance. The conduct of legalized games of chance, specifically bingo and raffles of various kinds, enables qualified organizations to continue their support of educational, charitable, religious and patriotic and public-spirited programs. Readoption of rules regarding the conduct of games will enable the Commission to continue to fulfill its statutory responsibilities to ensure that only qualified individuals or organizations are issued licenses to conduct games or receive approval to lease equipment; that games of change are fairly and properly conducted for the purposes authorized in the Bingo and Raffles Licensing Laws; and that there is uniformity in the administration of the aforementioned laws throughout the State. If these rules are not readopted, the potential exists for New Jersey residents to fall prey to unscrupulous operators.

The proposed amendments clarify the Commission's requirements, specifically for bingo games. This clarification will make it easier for individuals to comply with these rules. The Commission does not believe that the amendments impose any other impact on society.

In addition to the already existing games of chance, the new armchair race events introduced within the past year will have a decidedly positive social impact. By monitoring both old and new games of chance and other events, the Control Commission will continue to fulfill its statutory obligation to ensure that the proceeds from games of chance are used for educational, charitable, patriotic, religious or public-spirited purposes only, that the laws are administered uniformly throughout the State and that games are not run for a commercial purpose or as a cloak for organized gambling or crime.

Economic Impact

Revenues generated from legalized games of chance, such as raffles and bingo, support a large number of charitable, religious and public-spirited programs. Readoption of N.J.A.C. 13:47 will have a positive impact upon sponsoring organizations and the beneficial services they fund, in that they will be able to continue their support of such programs. Following is a summary of the provisions which will impact economically all parties involved in games of chance in New Jersey.

Pursuant to N.J.A.C. 13:47-2.3, each organization requesting registration is required to pay by check or money order a non-refundable application fee of $50.00 payable to the Control Commission. N.J.A.C. 13:47-4.9 sets forth licensing fees payable to the Commission. Registered organizations which conduct bingo games are required to pay a $10.00 fee per occasion. Organizations that hold on-premises draw raffles for a cash prize that exceeds $400.00 are required to pay a $10.00 fee for every day the drawing is conducted. Organizations that hold on-premises draw raffles which award prizes that do not exceed $400.00 are not required to pay the licensing fee. However, if the retail value of the prize offered or awarded exceeds $400.00 in a raffle in which it was anticipated that the retail value would not exceed $400.00, the licensee is required to pay the $10.00 licensing fee. For off-premises draw raffles awarding merchandise as a prize, a $10.00 fee is to be assessed for each $1,000 or part thereof of the retail value of the prizes to be awarded. With regard to carnival games or wheels, a $10.00 fee is charged for each game or wheel held on any one day, or any series of consecutive days not exceeding six at any one location. For off-premises cash (50-50) raffles, registered organizations are required to pay a $10.00 fee at the time the application is filed. If the awarded prize exceeds $1,000, an additional fee of $10.00 for each $1,000 or part thereof in value of the awarded prize in excess of $1,000 or part thereof is assessed. Registered organizations which conduct calendar raffles which award cash or merchandise as a prize will incur a cost of $10.00 for each $1,000 or part thereof of the retail value of the prize(s) to be awarded. This minimal cost will be offset by proceeds from the calendar raffle itself. N.J.A.C. 13:47-4.9(c)9 sets forth the fees associated with the conducting of instant raffle games. For organizations which conduct instant raffle games on an infrequent basis, a $10.00 fee for each day instant raffle tickets are sold or offered for sale is assessed. For organizations which conduct instant raffle games on a more frequent basis, a licensing fee of $500.00 is assessed, which permits the organization to conduct instant raffle games for a year. Organizations that hold golf hole-in-one contests are required to pay $10.00 for each $1,000 of the retail value of the prizes offered. Organizations that hold arm chair races must pay a fee of $50.00 for each day of operation.

Pursuant to N.J.A.C. 13:47-4.10, if there is no specific ordinance setting fees due the licensing municipality, the licensing municipality is required to charge a licensing fee equal to that received by the Commission. Subsection (b) permits municipalities to set by ordinance a licensing fee to help defray the expenses of the municipality in administering the Bingo Licensing Law and the Raffles Licensing Law and the accompanying regulations. The fee set by the municipality cannot exceed the amount charged by the Control Commission.

Subchapter 13 sets forth fees for armchair races, raffles and bingo equipment providers and instant raffle equipment suppliers. Pursuant to N.J.A.C. 13:47-13.1, each applicant desiring to provide bingo raffle equipment must forward an application fee of $100.00 to the Commission. Once approved by the Commission, each armchair race, bingo and raffle equipment provider is required to forward a $500.00 licensing fee to the Commission. The license is valid for one year and may be renewed provided the armchair race, raffle and bingo equipment provider forwards a completed renewal application and the annual licensing fee of $500.00 to the Commission. Similar to raffles and bingo equipment providers, instant raffle equipment suppliers are required to forward an application fee of $100.00 to the Commission along with the application for licensure. Once approved by the Commission, instant raffle equipment manufacturers are required to forward an annual licensing fee of $1,500 by certified check or money order to the Commission. The instant raffle equipment manufacturer's license is valid for one year and may be renewed provided the instant raffle equipment manufacturer completes a renewal application and forwards the annual licensing fee of $1,500 to the Commission. N.J.A.C. 13:47-13.6(e) and (f) concern instant raffle equipment distributors. Upon being approved for licensure by the Commission, distributors are required to forward an annual licensing fee of $1,000 by certified check or money order payable to the Commission. The instant raffle equipment distributor's license is valid for one year and may be renewed provided the instant raffle equipment distributor completes a renewal application and forwards the annual licensing fee of $1,000 to the Commission.

N.J.A.C. 13:47-16.1 sets forth the schedule of rental rates for equipment to be used in certain games of chance. This section includes the rental rate per day and per week for the following games of chance: number merchandise wheels, merchandise dart wheels, big six wheel, horse race wheel, and raffle barrel. The section also sets forth rental rates per day and per week for the tents that are used in conjunction with the aforementioned games.

N.J.A.C. 13:47-16.2 details fees which an organization may pay an individual or entity for bookkeeping.

The rules proposed for readoption will continue to protect New Jersey citizens against economic loss which may occur if games are not conducted fairly and properly.

Federal Standards Statement

A Federal standards analysis is not required because the rules proposed for readoption are governed by N.J.S.A. 5:8-6 and are not subject to any Federal requirements or standards.

Jobs Impact

The Commission does not believe that the rules proposed for readoption with amendments will increase or decrease the number of jobs in New Jersey.

Regulatory Flexibility Analysis

The rules in subchapters 1 through 16 impose reporting, recordkeeping, and compliance requirements on those entities meeting the definition of a "qualified organization" under N.J.A.C. 13:47-1.1 and clerks of municipalities in which legalized games of chance are held. While the Commission does not consider qualified organizations to be small businesses, as defined by the Regulatory Flexibility Act, N.J.S.A. 52:14B-16 et seq., due to their non-profit, religious, fraternal, charitable or community or group service nature, the following analysis is provided in the event that any such organization may come within such Act's definition:

Qualified organizations wishing to conduct bingo or raffles are required to register with the Commission as set forth in N.J.A.C. 13:47-2.1. Before conducting bingo, a raffle or other game of chance, a registered organization must apply for and obtain a license from the municipality in which the games are to be held, operated or conducted, in accordance with N.J.A.C. 13:47-3. License forms, fees and amendment procedures are set forth in N.J.A.C. 13:47-4 and 5. General requirements for the conduct of games are set forth in N.J.A.C. 13:47-6, including, for example, who is in charge, use of proceeds, compensation, license display, Commission inspection, player age limits, frequency of games and prohibited prizes. Specific compliance requirements for the conduct of bingo and raffles are set forth in N.J.A.C. 13:47-7 and 8, respectively. Reporting requirements are specified in N.J.A.C. 13:47-9. N.J.A.C. 13:47-10 sets forth the process for suspension and revocation of a license by a municipal governing body or the Commission; appeals from such suspensions or revocations are addressed in N.J.A.C. 13:47-11 and 12.

As the requirements imposed upon qualified organizations by these rules are administrative or game-conduct directed in nature, the Commission does not consider their capital cost to be significant, particularly in light of the positive economic impact on the organizations from the gaming activities. Whether professional services would need to be utilized by the qualified organizations in registering, obtaining licenses or conducting games depends upon the membership resources of each organization. In order to maintain the integrity and propriety of gaming operations, no exemptions or lesser requirements can be provided based upon the size of the qualified organization sponsoring the games.

The rules contained in subchapters 13 and 14 concerning raffles and bingo equipment providers, instant raffle equipment suppliers and commercial renters of premises for bingo may affect small businesses as defined in the Regulatory Flexibility Act, N.J.S.A. 52:14B-16 et seq.

Pursuant to subchapter 13, raffles equipment lessors must file annually an application for Commission approval. In addition, within 48 hours after agreeing to supply equipment to a licensee, the lessor must file a letter of certification with the Commission containing information about the lease. N.J.A.C. 13:47-13.9 sets forth the reporting requirements for bingo equipment providers and instant raffle equipment suppliers. Every bingo equipment provider and instant raffle equipment supplier approved by the Commission is required to file a report with the Commission on the 15th day of each month. The monthly report is required to include the following information: the name, address and license number issued by the Commission to the bingo equipment provider or instant raffle equipment supplier; the name, address and identification number issued by the Commission to each organization to which bingo equipment or instant raffle equipment was supplied in the preceding month; a complete description of the bingo equipment or instant raffle equipment provided; the date the equipment was delivered to the licensed organization; the amount charged for each piece of equipment and the total amount of each invoice; the date upon which payment was received by the bingo equipment provider or instant raffle equipment supplier; any outstanding balances owed to the bingo equipment provider or the instant raffle equipment distributor and any returned instant raffle equipment. N.J.A.C. 13:47- 13.9(b) requires licensed suppliers of bingo or raffle equipment to notify the Commission of any organization which has not paid in full the amount charged for all bingo or raffle equipment delivered or provided within 60 days of delivery.

Subchapter 14 places compliance requirements on all commercial renters receiving payment for the rental or use of premises for the conduct of bingo. Renters are required to file various statements and forms and to pay a one-time licensing fee of $500.00 plus a $10.00 fee for each occasion on which bingo games are held. Commercial renters must file with the Commission, at least 15 days prior to the date of any occupancy, a written agreement containing the rental terms and conditions. A statement of rental payment receipt, together with the required $10.00 fee, must be filed within 10 days of a rental payment receipt. Other requirements include maintenance for a two-year period of a complete set of books and records of receipts and disbursements; maintenance of a register of rental dates reserved and notification of the Commission in the event of any change in the renter's organizational structure. Compliance costs are, as a business expense, minimal, and it is unlikely that commercial renters would require professional services in order to comply with these requirements. In order to maintain the integrity and propriety of gaming operations, no differentiation in these compliance requirements can be made based upon business size.

Full text of the rules proposed for readoption may be found in the New Jersey Administrative Code atN.J.A.C. 13:47.

Full text of the proposed amendments follows:

<< NJ ADC 13:47-1.1 >>

13:47-1.1 Words and phrases defined

The following words and terms, when used in this chapter, shall have the following meanings unless the context clearly indicates otherwise:

...

<<+"Bingo board" means a board containing more than one bingo card+>>.

<<+"Bingo card" means a card containing five lines of numbers or other designations, five or more in one line, with each line being identified by a letter printed at the top of the line in the following order B, I, N, G, O.+>>

...

<<-"Playing board" means a board containing more than one playing card.->>

<<-"Playing card" means a card bearing 24 numbers or other designations and a free space, upon which "Bingo" is played.->>

...

<<+"Registered organization" means an organization which has applied for, received and possesses a valid registration certificate bearing an identification number issued to it by the Legalized Games of Chance Control Commission. Only a registered organization is qualified, within the meaning of N.J.S.A. 5:8-60.3, to conduct raffles.+>>

...

<< NJ ADC 13:47-4.9 >>

13:47-4.9 Licensing fees payable to the Control Commission

(a)-(b) (No change.)

(c) The licensing fees payable to the Commission are:

1. (No change.)

2. On-premises draw raffle for cash prizes (50/50) in excess of $400.00 or merchandise prices where the total combined retail value of prizes awarded is in excess of $400.00: $10.00 for each day on which a drawing<<+(s)+>> is to be conducted under the license;

3. On-premises draw raffle for cash prizes (50/50) <<-of less than->> <<+that do not exceed+>> $400.00 or merchandise prizes where the total combined retail value of prizes awarded <<-is less than->> <<+does not exceed+>> $400.00: no licensing fee. In the event the retail value of the prize<<+(s)+>> offered or awarded exceeds $400.00 in a raffle in which it was anticipated that the retail value would not exceed $400.00, the licensee shall submit a check or money order made payable to the Legalized Games of Chance Commission<<-,->> in the amount of $10.00 at the time of filing the report of operations required by N.J.A.C. 13:47-9 <<+and if required, provide the licensing municipality with any additional fees due, together with a copy of the Report of Raffle Operations+>>;

4.-5. (No change.)

6. Off-premises cash (50/50) raffle: a $10.00 fee shall be paid at the time the application is filed. In the event the awarded prize exceeds $1,000<<+,+>> then an additional fee of $10.00 for each $1,000 or part thereof in value of the awarded prize in excess of $1,000 <<-or part thereof->> shall be forwarded to the Control Commission by check payable to the Legalized Games of Chance Control Commission together with the Report of Operations as required by N.J.A.C. 13:47-9 <<+and if required, any additional fees due, together with a copy of the Report of Raffle Operations shall be provided to the licensing municipality+>>;

7. Special door prize raffle: no fee is payable and no license is required, provided the merchandise is wholly donated, has a total retail value of less than $50.00, and the raffle is conducted in accordance with N.J.A.C. 13:47- 3.11 and <<-8.14->><<+8.15+>>;

8.-10. (No change.)

(d) (No change.)

<< NJ ADC 13:47-6.11 >>

13:47-6.11 Frequency and location of games

(a) No registered organization shall conduct any game(s) of chance more often than as set forth in this section:

1. (No change.)

2. On-premises draw raffles awarding either cash or merchandise as prizes shall not be conducted more often than six days in any <<-calendar month->> <<+one week+>>.

3. Off-premises draw raffles awarding merchandise prizes shall not be conducted more often than six days in any <<-calendar month->> <<+one week+>>.

4. Non-draw raffles (wheels and games) shall not be conducted more often than six days in any <<-calendar month->> <<+one week+>>.

5.-9. (No change.)

(b)-(c) (No change.)

<<+(d) A game licensed pursuant to the provisions of the Bingo Licensing Law, N.J.S.A. 5:8-24 et seq., or the Raffles Licensing Law, N.J.S.A. 5:8- 50 et seq., and this chapter shall only be held, operated or conducted, including the sale of a ticket, share or right to participate in the game, in a municipality in which the voters have approved a referendum making the applicable law operable in that municipality.+>>

<< NJ ADC 13:47-6.12 >>

13:47-6.12 Expenses: payment requirements

(a)-(e) (No change.)

<<+(f) The registered organization shall pay for all services rendered and equipment used in or in connection with the holding, operating or conducting of a game licensed pursuant to the provisions of the Bingo Licensing Law, N.J.S.A. 5:8-24 et seq., or the Raffles Licensing Law, N.J.S.A. 5:8-50 et seq., and this chapter no later than 60 days from the date upon which the service is rendered or the equipment is delivered or provided to the registered organization except, when equipment is rented, leased or purchased on conditional sale or on any other installment purchase arrangement in accordance with a written agreement filed with the Control Commission.+>>

<< NJ ADC 13:47-6.20 >>

13:47-6.20 Prohibited prizes

(a) No licensee shall offer or award any prize consisting of real estate or any interest therein, bonds, shares of stock, securities or evidences of indebtedness, weapons, live animals <<+(except a gift certificate redeemable for live, edible seafood+>>) alcoholic beverages, foreign or domestic coins<<-,->> <<+(+>>except collector pieces or sets that are marketed as such and are clearly not intended for use as legal tender<<-,->><<+)+>> tobacco products, motor vehicle leases, or any merchandise refundable in any of the foregoing or as money or cash.

(b) (No change.)

<< NJ ADC 13:47-6.24 >>

13:47-6.24 <<-Payment for equipment->> <<+(Reserved)+>>

<<-The registered organization shall pay for all equipment used in or in connection with the holding, operating or conducting of bingo or raffle games no later than 60 days from the date upon which it is delivered or provided to the licensed organization.->>

<< NJ ADC 13:47-7.5 >>

13:47-7.5 Charge for playing bingo

(a)-(d) (No change.)

(e) <<-No charge to participate in a bingo game shall be made to or accepted from any person under the age of 18 years.->> <<+The charge for admission to the room or place where bingo is to be played and for any card(s) to participate in all games played on the occasion may be accepted in advance of the time and date bingo is to be played, provided a receipt is given to the purchaser upon payment of the charge, containing at least the following information:+>>

<<+1. The name of the registered organization holding, operating and conducting the bingo occasion and the identification number issued to it by the Control Commission;+>>

<<+2. The municipal license number issued for the occasion, and the date, time and place of the occasion; and+>>

<<+3. The price paid and the goods, wares or merchandise to be received for that price.+>>

(f) <<-All cards shall be sold for a uniform unit price without any discount or allowance for the purchase of more than one card.->> <<+No charge for the playing of bingo shall be made or accepted in any municipality which has not adopted the Bingo Licensing Law.+>>

(g)-(h) (No change.)

<< NJ ADC 13:47-7.9 >>

13:47-7.9 Equipment; general operation of bingo

(a)-(d) (No change.)

(e) <<-The card used by the player shall be part of a deck, group or series of cards, no two of which shall contain the same number pattern. No deck, group or series of cards shall be prepared or arranged as to prefer any card.->> <<+When a player achieves bingo, it shall be that player's responsibility to declare bingo loud enough for the caller to hear and so that the calling of numbers is stopped. If the player fails to do so and another number(s) is called, the player who had bingo and failed to make his or her bingo known to the caller shall share the prize with any player(s) who achieved bingo on the call of the additional number(s). If the last number called is required to win the game, the player who did not make his or her bingo known prior to the call of an additional number shall not be entitled to any portion of the prize.+>>

(f) <<-No licensed organization shall reserve or allow to be reserved, any bingo card for use by players except modified cards for use by legally blind or otherwise disabled players.->> <<+If a player is required to achieve bingo in a pre-designated number of numbers called and the player fails to make his or her bingo known to the caller until after that number of calls has been exceeded, the player shall not be entitled to the prize offered for achieving bingo in the pre-determined number of calls.+>>

(g) <<-Legally blind or otherwise disabled players may use bingo cards provided by the licensed organization or their personal cards when the licensed organization does not provide such cards.->> <<+Whenever a player declares bingo, the caller shall not modify the operation of the ball selection device until the card is verified as a winner. In the event the declaration of bingo was made in error the caller shall continue the game by calling the number that was next to be called prior to the erroneous declaration of bingo.+>>

(h) <<-A legally blind or otherwise disabled player may use a hard braille card in place of a disposable paper card in the manner set forth in N.J.A.C. 13:47-7.5(g).->> <<+No licensed organization shall reserve or allow to be reserved any specific bingo card for use by players except modified cards for use by legally blind or otherwise disabled players. Nothing in this subsection shall be construed to prohibit the acceptance of the charge for admission to the room or place where bingo is to be played or for cards to participate in any game played on a bingo occasion in advance of the time or date of the occasion provided a receipt in the form prescribed in N.J.A.C. 13:47-7.5(b) is issued to the purchaser.+>>

(i)-(j) (No change.)

(k) <<-A card->> <<+All cards+>> to participate in any bingo game shall be purchased prior to the call of the first number in the game. <<+A card purchased after the call of the first number in the game shall not be valid in that game and the holder of the card shall not be eligible for any portion of the prize offered in that game.+>>

(l) <<-Any card to participate in a regular bingo game purchased after the call of the first number in the game shall not be valid until the commencement of the next regular bingo game.->> <<+In a multi-part game, the order in which the parts of the game were announced before the game began is the order in which the game shall be played. Each part of the game shall be played to conclusion and the winner(s) awarded the prize(s) before continuing to the next part of the game. If a player achieves a bingo in a part of the game other than the part being played, which has not been closed, the player shall wait until the caller opens the part of the game in which he or she has achieved bingo and declare bingo prior to the call of the first number in that part of the game.+>>

<<+(m) In a multi-part game, if a player declares bingo when the caller opens a particular part of the game, no additional number shall be called until the bingo is either verified or rejected as erroneous. If the bingo is verified the caller shall proceed to close that part of the game and award the prize. If the bingo is erroneous, the caller shall continue to call numbers until a winner(s) is declared.+>>

<< NJ ADC 13:47-7.12 >>

13:47-7.12 Alternate prizes

(a) Within the limits contained in <<-Section 7.2 (Amount of prize limitation) of this chapter->> <<+N.J.A.C. 13:47-7.2+>>, alternate prizes may be offered depending upon the number of calls within which bingo is reached, provided the application for bingo license and the license so specify.

(b) (No change.)

<<+(c) Within the limits contained in N.J.A.C. 13:47-7.2, the prizes offered may be varied depending upon the number of people who attend the occasion, provided the application for bingo license and the bingo license so specify.+>>

<<+(d) If a licensee avails itself of the provisions of this section, it must announce at the beginning of each game the number of people present and the prizes to be awarded.+>>

<< NJ ADC 13:47-7.14 >>

13:47-7.14 Determination of winner

(a)-(b) (No change.)

(c) <<-When a winner of a bingo game is determined, the caller shall announce to the players present, "Are there any other winners?" If there are no other winners, the caller shall then state, "I declare this game closed," and shall proceed to award the prize.->> <<+When a player declares "bingo," the usher shall announce the serial number and color of the card and the numbers on the card which confirm it as a winner of the game. The caller shall repeat the numbers announced by the usher and verify or reject the card presented as a winner. In the event an electronic verifier is used, which contains the identical permutations as those on the cards in play, it is permissible for the usher to substitute the permutation number of the card for the numbers contained in the arrangement of numbers required to win the game, provided a screen displaying a reproduction of the card presented as a winner is visible to the players.+>>

(d) <<-No persons shall be entitled to share the designated prize unless he shall have gone bingo prior to the announcement that the game has been closed and his card determined to be a winner.->> <<+When a winner of a bingo game is determined, the caller shall announce to the players present, "Are there any other winners?" If there are no other winners, the caller shall then state, "I declare this game closed," and shall proceed to award the prize.+>>

(e) <<-If it is determined that two or more players have won a bingo game on identical bingo cards containing the same permutation number in the center free space or the identical arrangement of numbers (duplicate cards), the licensed organization shall pay each winner the full amount of the offered prize regardless of the number of players who complete the designated arrangement of numbers necessary to win the game.->> <<+No person shall be entitled to share the designated prize unless he or she shall have declared bingo and his or her card determined to be a winner prior to the announcement that the game has been closed.+>>

<<+(f) If it is determined that a player(s) has won a bingo game on two or more identical bingo cards containing the same permutation number or the identical arrangement of numbers (duplicate cards), the licensed organizations shall pay each winning duplicate card the full amount of the offered prize. If another winning card(s) is presented, which is not a duplicate card, when calculating the prize amount to be awarded to each winner the duplicate cards shall be counted as one winner, and the full amount of the prize will be shared between the duplicate card holders.+>>

<< NJ ADC 13:47-7.15 >>

13:47-7.15 <<-One day time limit->> <<+Prize availability+>>

<<-(a) All cards to participate in a bingo game shall be purchased within the same occasion that the game is played.->>

<<-(b)->><<+(a) +>>(No change in text.)

<< NJ ADC 13:47-7.18 >>

13:47-7.18 Physical presence

(a)-(b) (No change.)

(c) No persons shall be admitted to the room or area where bingo is held, operated or conducted, except a person who has paid the charge for admission <<-or->><<+,+>> a person authorized to conduct or assist in the conduct of the game <<+or a person approved to provide a service in or in connection with the game+>>.

(d) (No change.)

<< NJ ADC 13:47-7.20 >>

13:47-7.20 <<-Varied prizes->> <<+(Reserved)+>>

<<-(a) Within the limits contained in Section 7.2 (Amount of prize limitation) of this Chapter, the prizes offered may be varied depending upon the number of people who attend the occasion, provided the application for bingo license and license so specify.->>

<<-(b) If a licensee avails itself of the provisions of this Section, it must announce at the beginning of each game the number of people present and the prizes to be awarded.->>

<< NJ ADC 13:47-7.23 >>

13:47-7.23 Selection of cards

<<-(a) No bingo cards for regular games shall be selected by other than the player who is to use the cards.->>

<<-(b)->><<+(a) +>>Each player <<-must->> <<+shall have the right to+>> select his <<+or her+>> own card or cards for regular games from the deck, group or series of cards and shall be entitled to select any card in the deck, group or series of cards that has not already been selected by a player.

<<-(c) Cards may->> <<+(b) A specific card shall+>> not be reserved for <<+any+>> player<<-s->> <<+except for legally blind or otherwise disabled players+>>.

<< NJ ADC 13:47-8.5 >>

13:47-8.5 Method of determining winners; announcement

(a)-(e) (No change.)

(f) Notwithstanding the provisions of N.J.A.C. 13:47-8.12, upon verification of a winning ticket, the registered organization shall immediately award the prize <<-and cross off the corresponding prize amount on the flare, provided the prize amount falls within one of the top two prize tiers on the flare->>.

<< NJ ADC 13:47-8.9 >>

13:47-8.9 Form of ticket; approval

(a)-(b) (No change.)

(c) No raffle tickets may be sold under any license until the municipal clerk has approved the form of the ticket and has so advised the licensee. <<+At least 14 days shall have elapsed between the time the municipal clerk forwards the application and licensing fee to the Control Commission and approval of the form of the ticket is given.+>>

(d) (No change.)

<< NJ ADC 13:47-14.3 >>

13:47-14.3 Regulations concerning rentals

(a)-(b) (No change.)

(c) No rentor shall rent, or allow the use of, any premises for bingo to be conducted by a licensed organization unless such rentor is either itself a qualified organization holding a valid license issued by a municipality in this State for the conduct of bingo for a period including the date of such rental or use, or is a licensed rentor holding a valid license issued by the Commission for the specific premises<<-, the premises may be rented or used not more than twice one day->>.

(d)-(e) (No change.)

(f) No agreement for the rental or use of any premises for bingo shall be valid unless the same shall contain the following provisions, terms and conditions:

1.-9. (No change.)

10. That <<+except as provided in N.J.A.C. 13:47-6.13 and 6.14,+>> neither the renter nor the owner of the premises will in any way advertise or announce, or allowany other person to advertise or announce, by any means which come to the attention of the public, that the premises are used, or are available for rental or use for the conduct of bingo;

11. (No change.)

(g)-(q) (No change.)


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Rule Proposals Office of Consumer Protection Consumer Affairs Feedback NJ Dept. of Law and Public Safety State of New Jersey

Posted March 4, 2002