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NEW JERSEY REGISTER
VOLUME 39, ISSUE 16
ISSUE DATE: AUGUST 20, 2007
RULE PROPOSALS
LAW AND PUBLIC SAFETY
DIVISION OF CONSUMER AFFAIRS
LEGALIZED GAMES OF CHANCE CONTROL COMMISSION

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

Click here to view Interested Persons Statement

Rules of Legalized Games of Chance

Authorized By: Legalized Games of Chance Control Commission, Stephen B. Nolan, Acting Executive Officer.

Authority: N.J.S.A. 5:8-6, 5:8-21, 5:8-25, 5:8-34, 5:8-51 and 5:8-61.

Calendar Reference: See Summary below for explanation of exemption to calendar requirement.

Proposal Number: PRN 2007-262.

Submit comments by October 19, 2007 to:
   Legalized Games of Chance Control Commission
   c/o Stephen B. Nolan, Acting Executive Officer
   124 Halsey Street
   P.O. Box 46000
   Newark, New Jersey 07101

The agency proposal follows:

Summary
The Legalized Games of Chance Control Commission (the 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 N.J.S.A. 52:14B-5.1c, this chapter will expire on January 8, 2008.

 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.A.C. 5:8-50 et seq. Over the years, the Commission has found these rules generally 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.

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. 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. Following is a summary of each of the 20 subchapters of N.J.A.C. 13:47.

Subchapter 1 defines essential words and phrases used throughout N.J.A.C. 13:47. The Commission is proposing to delete the term "therein" throughout the definition section. Also, the Commission is proposing to clarify the term "form number" by inserting a reference to instant raffle tickets since the "form number" applies only to instant raffle tickets. The Commission proposes to clarify the definition of "bingo board" by changing the term "board" to "paper sheet." The Commission is proposing to condense the definition of "ideal net receipts" by using the defined term "ideal gross receipts" in the definition of "ideal net receipts" instead of repeating the whole definition. The Commission proposes new definitions for the terms "nominal" and "permutation number" and proposes to amend the definition of "registered organization" to reflect that a registered organization may conduct any legalized games of chance. The definition of "serial number" is proposed for amendment so that it will apply for all bingo games, not just special bingo games. The Commission is proposing to rearrange the order of the qualified organization, raffle, raffle equipment, raffle occasion and something of value so that they appear in alphabetical order.

Subchapter 2 details registration and identification procedures for organizations applying for licenses to conduct bingo or raffles. Organizations are required to first register and obtain an identification number from the Commission before applying for a license from the municipality where the games are to be conducted. At N.J.A.C. 13:47-2.1, the Commission is proposing to insert the word "qualified" before the term "organization" because only qualified organizations are permitted to register and to obtain licenses. Also, the Commission is proposing amendments to N.J.A.C. 13:47-2.6 and 2.7 for clarification.

Subchapter 3 sets forth the application procedures for organizations obtaining a license to conduct bingo and raffles from the municipality where the games are to be conducted. In addition to proposed clarifications throughout Subchapter 3, the Commission is proposing to amend N.J.A.C. 13:47-3.6 to include armchair races and casino nights to the list of types of raffles that require a separate application and license.

Subchapter 4, License Issuance, sets forth the responsibilities of the governing body of a municipality for investigating and passing upon a license application, including the responsibility to file its findings and determinations with the Commission. The Commission is proposing amendments to Subchapter 4 for "clean-up" purposes. For instance, the Commission proposes to delete the term "thereon" in N.J.A.C. 13:47-4.5. At N.J.A.C. 13:47-4.6, the Commission proposes to use the term "Law Enforcement Agency" in lower case letters as capitalization is not necessary.  N.J.A.C. 13:47-4.9(b) prohibits the refunding of licensing fees payable to the Commission. The Commission has been made aware of extraordinary circumstances in the past in which the refunding of a licensing fee may have been appropriate, such as when the holder of a bingo license found that it was not able to provide adequate security measures to ensure the safety of those present at games and, therefore, could not hold the games for which it was licensed. The Commission proposes to delete N.J.A.C. 13:47-4.9(b). Lastly, the Commission is proposing to delete "prices" from N.J.A.C. 13:47-4.9(c)2 and insert the correct term "prizes."

Subchapter 5 identifies the form to be used to amend a license application, the number of copies, the approval process and the process to be followed if a new date is necessary due to emergency conditions.

Subchapter 5A sets forth the process for certificating electronic games of chance systems. Electronic games of chance systems must be tested in a facility or laboratory approved by the Commission. The rules also provide verification and security requirements for electronic games of chance systems.

Subchapter 6 contains general provisions regarding the conduct of games of chance and includes sections on use of proceeds, permissible operators, license display, inspections, authorization for games on Sunday, player age limitation, permitted frequency of games, prohibited prizes and value of merchandise prize and price of supplies, advertisements, and a ban on cheating. The Commission proposes to amend N.J.A.C. 13:47-6.3 to prohibit a qualified organization from providing all or a portion of the net proceeds from a game of chance directly to an individual. A qualified organization is permitted on the behalf of an individual for an authorized purpose. For example, an organization may pay medical bills incurred by an individual but may not give money directly to the individual.

Subchapter 6A addresses compensated workers. These rules set forth the application process and fees for compensated worker licensure. They also set forth license renewal requirements and compensated worker duties. The Commission is proposing to amend N.J.A.C. 13:47-6A.1 to require applicants to submit a State criminal history investigation form and fee when applying for licensure.

Subchapter 7 sets forth specific rules for the conduct of bingo. The provisions within this subchapter concern prize limitations, the prohibition of alcohol, the maximum permitted fee for playing bingo, the verification and determination of winners, and the rules for playing bingo games.
Subchapter 8 sets forth specific rules for the conduct of raffles. The provisions within this subchapter concern prize limitations, the maximum permitted fee for playing raffles, the method of play, the method of determining and announcing winners, conducting off-premises raffles, and rules for playing various types of raffles. The Commission proposes to delete N.J.A.C. 13:47-8.13(a), which prohibits the discounting of raffle tickets. The Commission also proposes to delete N.J.A.C. 13:47-8.13(c), which prohibits compensation to sellers of raffle tickets. Both deletions are proposed to comply with N.J.S.A. 5:8-60.3(c) and 61.

Subchapter 9 contains rules regarding required reports of operations. Licensees are required to file one copy of a report of operation of each game with the Commission no later than the 15th day of the calendar month immediately following the calendar month in which the licensed activity was held, operated or conducted.

Provisions regarding procedures to be followed by either an appropriate governing body or the Control Commission in connection with 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.

Subchapter 13 addresses the qualifications required of raffles and bingo equipment providers and suppliers and the procedures for Commission approval.

Provisions regarding the rental of premises for bingo and the senior citizen rentor exemptions are detailed in Subchapter 14.
Subchapter 15 contains general provisions regarding forms and the form of the Commission seal.
Subchapter 16 includes rate schedules together with various applications and reporting forms.
Subchapter 17 is reserved.

Subchapter 18 sets forth the rules governing the conduct of armchair races.

Subchapter 19 sets forth the rules governing armchair races and casino nights personnel, including the license application and approval procedures.

Subchapter 20 establishes the rules governing the conduct of casino nights and rules of the games permitted to be played.

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 the 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 education, 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 chance 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 these 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. These clarifications will make it easier to comply with these rules. The Commission does not believe that the amendments impose any other impact on society.

The 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 bingos, 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. On August 21, 2006, the Commission adopted rules that established new fees to defray proper expenses incurred in performing its duties. The adoption appeared in the New Jersey Register at 38 N.J.R. 3310(a). The fees will continue to have an economic impact upon the organizations requesting registration, registration renewal and/or licensure for various games of chance events, as well as armchair race, bingo, casino night and raffle equipment providers and manufacturers. However, the Commission has continued to approve new games, the fees for such games will generate additional revenue for qualified organizations; thus, softening the economic impact on these organizations.

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 $ 100.00 payable to the Control Commission.  N.J.A.C. 13:47-4.9 sets forth licensing fees payable to the Commission. Registered organizations that conduct bingo games are required to pay a $ 20.00 fee per occasion. Organizations that hold on-premises draw raffles for a cash prize that exceeds $ 400.00 are required to pay a $ 20.00 fee for every day the drawing is conducted. Organizations that hold on-premises draw raffles with 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 $ 20.00 licensing fee. For off-premises draw raffles awarding merchandise as a prize, a $ 20.00 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 $ 20.00 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 $ 20.00 fee at the time the application is filed. If the awarded prize exceeds $ 1,000, an additional fee of $ 20.00 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 awarding cash or merchandise as a prize will incur a cost of $ 20.00 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 $ 20.00 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 $ 750.00 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 $ 20.00 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. Organizations that hold casino nights must pay a fee of $ 100.00 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 rules. The fee set by the municipality cannot exceed the amount charged by the Control Commission.

Subchapter 13 sets forth fees for equipment supplies for armchair races, casino nights, raffles and bingo equipment providers and instant raffles. Pursuant to N.J.A.C. 13:47-13.1, each applicant desiring to provide, manufacture or supply equipment or personnel to be used in connection with an armchair race, a bingo, a casino night, or a raffle must forward an application fee of $ 100.00 to the Commission. Once approved by the Commission, each armchair race, casino night, bingo and raffle equipment provider is required to forward a $ 1,000 licensing fee to the Commission. The license is valid for one year and may be renewed provided the armchair race, casino night, raffle and bingo equipment provider forwards a completed renewal application and the annual licensing fee of $ 1,000 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 supplierss are required to forward an annual licensing fee of $ 3,000 by certified check or money order to the Commission. Manufacturers of electronic games equipment are required to pay an annual licensing fee of $ 3,000 and may renew for $ 3,000 per year.

 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 with amendments 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.

Agriculture Industry Impact
The Commission does not believe that the rules proposed for readoption with amendments will have any impact on the agriculture industry in the State.

Regulatory Flexibility Analysis
The rules in Subchapters 1 through 20 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 (the 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 that Act's definition.

The rules proposed for readoption with amendments will continue to impose various reporting, recordkeeping and compliance requirements upon licensees. These requirements are discussed in the Summary and Economic Impact statements above. The proposed amendments will not impose any additional reporting, recordkeeping and compliance requirements upon licensees.

The Commission anticipates that no additional professional services will be required in order for organizations or equipment providers to comply with the proposed amendments. Furthermore, the Commission estimates that no annual compliance costs other than the license fees mentioned above will be necessary. Since gambling is strictly regulated in the State of New Jersey and the Commission is specifically charged with preventing unauthorized gambling and ensuring that games are fairly and properly conducted, the amendments must be applied uniformly to all licensees without differentiation as to the size of the entity.

Subchapter 13 requires raffle equipment lessors to annually apply for Commission approval. The subchapter also requires lessors to file a letter of certification with the Commission containing information about a lease to supply equipment.  N.J.A.C. 13:47-13.9 requires lessors to file a monthly report with the Commission detailing the equipment they supplied to organizations.

Subchapter 14 imposes compliance requirements on commercial renters. Renters are required to file various statements and forms. Renters also must file written rental agreements and a statement of rental payments received. Renters are required to maintain records of receipts and disbursements, to maintain a register of rental dates reserved and to notify the Commission of any change in organizational structure.

It is unlikely that lessors or commercial renters will need to employ 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.

Smart Growth Impact
The Commission does not believe that the rules proposed for readoption with amendments will have an impact upon the achievement of smart growth or upon the implementation of the State Development and Redevelopment Plan.

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

Full text of the proposed amendments follows: (additions indicated in boldface thus; deletions indicated in brackets [thus]):

SUBCHAPTER 1.    DEFINITIONS

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] paper sheet containing more than one bingo card.

"Draw raffle" means a raffle in which the winners are determined by drawing from a container having [therein] counterparts of all tickets sold.

"Form number" means a unique number used by the manufacturer of instant raffle tickets to identify the type of game, price to play and the prize structure.

"Ideal net receipts" means the ideal gross receipts [derived from a deal if all of the instant raffle tickets in the deal are sold] minus the prizes awarded.

"Nominal" means that the value of individual prizes does not exceed $ 20.00 and the total value of prizes awarded at the occasion does not exceed $ 50.00.

"Permutation number" means a number assigned by a manufacturer to identify a pattern of numbers on a bingo card.

"Qualified organization" means a bona fide organization or association of veterans, religious congregation, religious organization, charitable organization, educational organization, fraternal organization, civic and service club, officially recognized volunteer fire company, officially recognized first aid squad, and officially recognized rescue squad, and senior citizens association or club, which:

1. Is organized as a non-profit or religious organization and is authorized by its certificate or articles of incorporation, bylaws or other written authority to support one of the authorized purposes;

2. Appoints the Executive Officer of the Control Commission as agent for the service of process; and

3. Is constituted of not fewer than five individuals.

"Raffle" means a specific kind of game of chance played by drawing for prizes or the allotment of prizes by chance, by the selling of shares or tickets or rights to participate in such game. Nothing contained in this chapter shall be deemed to authorize as a raffle the playing for money or other valuable thing at any game not specifically authorized by the Control Commission.

"Raffle equipment" means implements. devices and machines designed, intended or used for the conduct of raffles and the identification of the winning number or unit and the ticket or other evidence of rights to participate in raffles.

"Raffle occasion" means the day upon which the drawing or allotment of prizes(s) takes place.

"Registered organization" means [an] a qualified 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] legalized games of chance. ["Qualified organization" means a bona fide organization or association of veterans, religious congregation, religious organization, charitable organization, educational organization, fraternal organization, civic and service club, officially recognized volunteer fire company, officially recognized first aid squad, and officially recognized rescue squad, and senior citizens association or club which:

1. Is organized as a non-profit or religious organization and is authorized by its certificate or articles of incorporation, bylaws or other written authority to support one of the authorized purposes;

2. Appoints the Executive Officer of the Control Commission as agent for the service of process; and

3. Is constituted of not less than five individuals.

"Raffle" means a specific kind of game of chance played by drawing for prizes or the allotment of prizes by chance, by the selling of shares or tickets or rights to participate in such game.

Nothing contained in this chapter shall be deemed to authorize as a raffle the playing for money or other valuable thing at any game not specifically authorized by the Control Commission.

"Raffle equipment" means implements, devices and machines designed, intended or used for the conduct of raffles and the identification of the winning number or unit and the ticket or other evidence of rights to participate in raffles.

"Raffle occasion" means the day upon which the drawing or allotment of prize(s) takes place.]

"Regular bingo game" means a game in which a player is entitled to participate without additional charge, upon payment of the charge for admission to the room or place where the game is played.

"Serial number" means a number having a minimum of five characters, printed by the manufacturer on each ticket, right or share to participate in an instant raffle game or on each card to participate in a [special] bingo game.

"Something of value" means any money or property, any token. object or article exchangeable for money or property, or any form of credit or promise directly or indirectly contemplating transfer of money or property or of any interest, or involving extension of a service, entertainment or a privilege of playing at a game without charge.

"Special' bingo game" means a game that is played in addition to a "regular" bingo game, for which a player must pay a charge in addition to the charge for admission to the room or place where the game is played. A "special" game must be played on a non-reusable card that is indelibly marked or an electronic card minding device.

["Something of value" means any money or property, any token, object or article exchangeable for money or property, or any form of credit or promise directly or indirectly contemplating transfer of money or property or of any interest therein, or involving extension of a service, entertainment or a privilege of playing at a game without charge.]

SUBCHAPTER 2.    REGISTRATION AND IDENTIFICATION

13:47-2.1   General provisions

(a) Every qualified organization desiring to apply for a license to conduct bingo or raffles or to allow its members to assist a licensed affiliated organization, as described in N.J.A.C. 13:47-6.4 shall, before making any such application or allowing any assistance, register with the Control Commission and secure an identification number.

(b) (No change.)

13:47-2.6   Assisting organization

Every organization, [a member or] whose members [of which are to] assist a licensed organization in the holding, operating or conducting of bingo or raffles according to law and this [Chapter] chapter, shall register with the Control Commission and secure an identification number before such assistance is given.

13:47-2.7   Special door prize raffle

Qualified organizations desiring to conduct a special door prize raffle for which no license from the municipality is required shall, before conducting the same, register with the Control Commission and secure an identification number.

SUBCHAPTER 3.    APPLICATIONS

13:47-3.3   Filing

License applications shall be filed in quadruplicate with the municipal clerk. One copy shall be retained by the municipal clerk, the second copy shall be returned to the applicant after a license has been granted or denied by the issuing authority. The third copy shall be forwarded to the Control Commission by the municipal clerk and the fourth copy shall be delivered to the [Law Enforcement Agency] law enforcement agency in the municipality.

13:47-3.5   Assignment of number

Upon receiving a license application by the municipality, the municipal clerk shall assign a number thereto and endorse it on all copies of the application. The number shall be composed of the prefix BA for bingo application or the prefix RA for a raffles application and a consecutive serial number. Thus, the number BA:110 will indicate that the application was filed for Bingo, and that it was the 110th application for a license to conduct games of chance.

13:47-3.6   Bingo and raffles; separate application and license; special senior citizen bingo license

(a) (No change.)

(b) An application and license to conduct [Bingo] bingo may include up to 72 occasions, provided the application does not include:

1.-3. (No change.)

(c) A separate application and license shall be used for each of the following types of raffles and shall, in each instance, specify the particular type of raffle as follows:

1.-7. (No change.)

8. Instant raffle game offering cash or merchandise as a prize; [and]

9. A Golf Hole-in-One Contest offering a merchandise or cash prize[.];

10. Armchair races; and

11. Casino nights.

(d)-(f) (No change.)

13:47-3.8   Reinstatement of license

When a license has been suspended or revoked, and the suspension or revocation is set aside, or the license is reinstated, the original license shall not be reissued. In such case the applicant shall file a new application, which shall be given a new number, as shall the license issued [thereon], as though there had been no prior license, but the number shall be followed by the suffix "X." The licensee shall receive credit for any license fee paid that has not been refunded.

13:47-3.11    Notice to clerk

(a) Before conducting a special door prize raffle for which no license is required, the [qualified] registered organization shall notify the clerk of the municipality in which the door prize will be awarded.

(b)-(d) (No change.)

13:47-4.5   Endorsement of license number

Upon the issuance of a license, the municipal clerk shall endorse a license number [thereon], which shall be the same as the application number, except that the prefix shall be BL for bingo licenses and RL for raffles licenses.

13:47-4.6      Copies of license

The municipal clerk shall prepare licenses in triplicate, retaining one copy, issuing the original to the licensee and forwarding the second copy to the [Law Enforcement Agency] law enforcement agency of the municipality.

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

(a) (No change.)

[(b) The licensing fees payable by law to the Control Commission which are set forth in this chapter are non-refundable.]

[(c)] (b) 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] prizes where the total combined retail value of prizes awarded is in excess of $ 400.00: $ 20.00 for each day on which a drawing(s) is to be conducted under the license;

3.-12. (No change.)

[(d)] (c) (No change in text.)

13:47-6.3   Use of proceeds; capital improvements

(a) (No change.)

(b) A qualified organization shall not provide all or any portion of the net proceeds from a game of chance directly to an individual. A qualified organization may use net proceeds to pay expenses on the behalf of an individual for authorized purposes.

Recodify existing (b)-(d) as c)-(e) (No change in text.)

SUBCHAPTER 6A.    COMPENSATED WORKERS

13:47-6A.1   Application procedure

(a) A person who wants to be compensated for holding, operating or conducting, or assisting in the holding, operating or conducting games of chance for a registered organization shall submit [an application for a compensated worker license to the Control Commission on a form provided by the Control Commission, which includes a statement indicating that the applicant is familiar with the rules governing the operation of games of chance found in N.J.A.C. 13:47, together with a non-refundable application fee as set forth in N.J.A.C. 13:47-6A.7 by check or money order payable to the Legalized Games of Chance Control Commission.]to the Control Commission:

1. An application for a compensated worker license, which includes a statement indicating that the applicant is familiar with the rules governing the operation of games of chance found in N.J.A.C. 13:47;

2. The non-refundable application fee as set forth in N.J.A.C. 13:47-6A.7 by check or money order payable to the Control Commission;

3. A completed criminal history investigation form, provided by the Control Commission authorizing a criminal history record check by the Division of State Police-State Bureau of Investigation: and

4. The criminal history investigation fee as set by the Division of State Police in N.J.A.C. 13:59-1.3(b) by check or money order.

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

13:47-8.13    [Uniform price; posting] Posting price to participate in non-draw raffles[; compensation prohibition]

[(a) All tickets or other forms of shares or rights to participate in a raffle shall be sold at a uniform unit price for each ticket, share or right, without any discount or allowance for the purchase of more than one such ticket, share or right.]

[(b)] Whenever an organization shall conduct a non-draw raffle it shall display adjacent to the wheel or the place of the allotment of prizes by chance, a sign indicating the price to play.

[(c) No commission, salary, compensation, reward or recompense shall be paid or given to a seller of tickets.]

If you wish to submit comments about this rule proposal, please fill out the form below. When you have completed the form, click the "Submit Your Comments" button below.

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