IC 4-32.2-5
Chapter 5. Conduct of Allowable Events
IC 4-32.2-5-1 Criminal gambling statutes inapplicable to allowable events
Sec. 1. IC 35-45-5 does not apply to a person who conducts,
participates in, or receives a prize in an allowable event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-1.5 Designation of operator
Sec. 1.5. For each allowable event conducted under this article, a
qualified organization shall designate an individual to serve as the
operator of the allowable event. An individual designated under this
section must be qualified to serve as an operator under this article. As added by P.L.95-2008, SEC.8.
IC 4-32.2-5-2 Management and conduct of events
Sec. 2. A qualified organization may not contract or otherwise
enter into an agreement with an individual, a corporation, a
partnership, a limited liability company, or other association to
conduct an allowable event for the benefit of the organization. A
qualified organization shall use only operators and workers meeting
the requirements of this chapter to manage and conduct an allowable
event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-3 Use and determination of net proceeds
Sec. 3. (a) All net proceeds from an allowable event and related
activities may be used only for the lawful purposes of the qualified
organization.
(b) To determine the net proceeds from an allowable event, a
qualified organization shall subtract the following from the gross
receipts received from the allowable event:
(1) An amount equal to the total value of the prizes, including
door prizes, awarded at the allowable event.
(2) The sum of the purchase prices paid for licensed supplies
dispensed at the allowable event.
(3) An amount equal to the qualified organization's license fees
attributable to the allowable event.
(4) An amount equal to the advertising expenses incurred by the
qualified organization to promote the allowable event.
(5) An amount not to exceed two hundred dollars ($200) per
day for rent paid for facilities leased for an allowable event. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.30. IC 4-32.2-5-4 Donation of gross charity gaming receipts
Sec. 4. (a) A qualified organization that receives ninety percent
(90%) or more of the organization's total gross receipts from any
events licensed under this article is required to donate sixty percent
(60%) of its gross charitable gaming receipts less prize payout to a
qualified recipient that is not an affiliate, a parent, or a subsidiary
organization of the qualified organization.
(b) For purposes of this section, a veterans' home is not
considered to be an affiliate, a parent, or a subsidiary organization of
a qualified organization that is a bona fide veterans organization. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-5 Financial records; deposit of funds; payment of expenses; audits
Sec. 5. (a) A qualified organization shall maintain accurate
records of all financial aspects of an allowable event under this
article. A qualified organization shall make accurate reports of all
financial aspects of an allowable event to the commission within the
time established by the commission. The commission may prescribe
forms for this purpose. For purposes of this section, a qualified
organization is not required to record the name, signature, driver's
license number, or other identifying information of a prize winner
unless the qualified organization is required to withhold adjusted
gross income tax from the prize winner under IC 6-3-4-8.2(d).
(b) The commission shall, by rule, require a qualified organization
to deposit funds received from an allowable event in a separate and
segregated account set up for that purpose. All expenses of the
qualified organization with respect to an allowable event shall be
paid from the separate account.
(c) The commission may require a qualified organization to
submit any records maintained under this section for an independent
audit by a certified public accountant selected by the commission. A
qualified organization must bear the cost of any audit required under
this section. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.31; P.L.60-2009, SEC.3.
IC 4-32.2-5-6 Event limit
Sec. 6. (a) Except as provided in IC 4-32.2-4-9 and
IC 4-32.2-4-16.5, a qualified organization may not conduct more than
three (3) allowable events during a calendar week and not more than
one (1) allowable event each day.
(b) Except as provided in IC 4-32.2-4-9, IC 4-32.2-4-12, and
IC 4-32.2-4-16.5, allowable events may not be held on more than two
(2) consecutive days.
(c) A qualified organization may conduct one (1) additional
festival event during each six (6) months of a calendar year. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.32; P.L.95-2008, SEC.9.
IC 4-32.2-5-7
Repealed
(Repealed by P.L.227-2007, SEC.70.)
IC 4-32.2-5-8 Leasing facilities and personal property
Sec. 8. (a) If a facility or location is leased for an allowable event,
the rent may not be based in whole or in part on the revenue
generated from the event.
(b) Subject to the additional restrictions on the use of a facility or
location that are set forth in IC 4-32.2-4-7.5(i), a facility or location
may not be rented for more than three (3) days during a calendar
week for an allowable event.
(c) If personal property is leased for an allowable event, the rent
may not be based in whole or in part on the revenue generated from
the event. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.33; P.L.108-2009, SEC.9.
IC 4-32.2-5-9 Restriction on events at same location
Sec. 9. Not more than one (1) qualified organization may conduct
an allowable event on the same day at the same location. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-10 Prohibition on felons as operators and workers; exceptions
Sec. 10. An operator or a worker may not be a person who has
been convicted of or entered a plea of nolo contendere to a felony
committed in the preceding ten (10) years, regardless of the
adjudication, unless the commission determines that:
(1) the person has been pardoned or the person's civil rights
have been restored; or
(2) after the conviction or entry of the plea, the person has
engaged in the kind of good citizenship that would reflect well
upon the integrity of the qualified organization and the
commission. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-11 Prohibition on commission employees and relatives as operators or
workers
Sec. 11. An employee of the commission or a relative living in the
same household with the employee of the commission may not be an
operator or a worker. As added by P.L.91-2006, SEC.3. IC 4-32.2-5-12 Remuneration of operators, workers, and certain employees
Sec. 12. (a) Except as provided in subsection (b) or (c), an
operator or a worker who is not a full-time employee may not receive
remuneration for:
(1) conducting; or
(2) assisting in conducting;
an allowable event.
(b) A qualified organization that conducts an allowable event
may:
(1) provide meals for the operators and workers during the
allowable event; and
(2) provide recognition dinners and social events for the
operators and workers;
if the value of the meals and social events does not constitute a
significant inducement to participate in the conduct of the allowable
event.
(c) In the case of a qualified organization holding a PPT license,
any employee of the qualified organization may:
(1) participate in the sale and redemption of pull tabs,
punchboards, and tip boards on the premises of the qualified
organization; and
(2) receive the remuneration ordinarily provided to the
employee in the course of the employee's employment. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.34.
IC 4-32.2-5-13 Operators limited to three organizations
Sec. 13. (a) An individual may not be an operator for more than
three (3) qualified organizations during a calendar month.
(b) If an individual has previously served as an operator for
another qualified organization, the commission may require
additional information concerning the proposed operator to satisfy
the commission that the individual is a bona fide member of the
qualified organization. As added by P.L.91-2006, SEC.3. Amended by P.L.60-2009, SEC.4.
IC 4-32.2-5-14 Participation of operators and workers; dealing by patrons in
euchre; participation by workers at festival events
Sec. 14. (a) Except as provided by subsection (c), an operator or
a worker may not directly or indirectly participate, other than in a
capacity as an operator or a worker, in an allowable event that the
operator or worker is conducting.
(b) A patron at a charity game night may deal the cards in a card
game if:
(1) the card game in which the patron deals the cards is a game
of euchre;
(2) the patron deals the cards in the manner required in the
ordinary course of the game of euchre; and
(3) the euchre game is played under the supervision of the
qualified organization conducting the charity game night in
accordance with rules adopted by the commission under
IC 4-32.2-3-3.
A patron who deals the cards in a euchre game conducted under this
subsection is not considered a worker or an operator for purposes of
this article.
(c) A worker at a festival event may participate as a player in any
gaming activity offered at the festival event except as follows:
(1) A worker may not participate in any game during the time
in which the worker is conducting or helping to conduct the
game.
(2) A worker who conducts or helps to conduct a pull tab,
punchboard, or tip board event during a festival event may not
participate as a player in a pull tab, punchboard, or tip board
event conducted on the same calendar day. As added by P.L.91-2006, SEC.3. Amended by P.L.95-2008, SEC.10;
P.L.60-2009, SEC.5; P.L.108-2009, SEC.10.
IC 4-32.2-5-15 Operator membership requirement
Sec. 15. An operator must be a member in good standing of the
qualified organization that is conducting the allowable event for at
least one (1) year at the time of the allowable event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-16 Worker membership requirement; exception; shared revenues
Sec. 16. (a) Except as provided in section 12(c) of this chapter and
subsection (b), a worker at an allowable event must be a member in
good standing of the qualified organization that is conducting the
allowable event for at least thirty (30) days at the time of the
allowable event.
(b) A qualified organization may allow an individual who is not
a member of the qualified organization to participate in an allowable
event as a worker if the individual is a full-time employee of the
qualified organization that is conducting the allowable event; or if:
(1) the individual is a member of another qualified organization;
and
(2) the individual's participation is approved by the commission.
A qualified organization may apply to the commission on a form
prescribed by the commission for approval of the participation of a
nonmember under this subsection. A qualified organization may
share the proceeds of an allowable event with the qualified
organization in which a worker participating in the allowable event
under this subsection is a member. The tasks that will be performed
by an individual participating in an allowable event under this
subsection and the amounts shared with the individual's qualified
organization must be described in the application and approved by
the commission.
(c) For purposes of:
(1) the licensing requirements of this article; and
(2) section 9 of this chapter;
a qualified organization that receives a share of the proceeds of an
allowable event described in subsection (b) is not considered to be
conducting an allowable event. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.35; P.L.60-2009, SEC.6.
IC 4-32.2-5-17 Bingo event prize limits
Sec. 17. (a) The prize for one (1) bingo game may not have a
value of more than one thousand dollars ($1,000).
(b) Except as provided in subsection (c), the total prizes permitted
at one (1) bingo event may not have a value of more than six
thousand dollars ($6,000).
(c) The commission may, by express authorization, allow any
qualified organization to conduct two (2) bingo events each year at
which the total prizes for the bingo event may not exceed ten
thousand dollars ($10,000). Bingo events authorized under this
subsection may be conducted at a festival conducted under
IC 4-32.2-4-12.
(d) The proceeds of the sale of pull tabs, punchboards, and tip
boards are not included in the total prize limit at a bingo event.
(e) The value of all door prizes awarded at a bingo event may not
have a value of more than one thousand five hundred dollars
($1,500). As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-18 Raffle event prize limits
Sec. 18. (a) The total prizes for a raffle event conducted at another
allowable event may not have a value of more than five thousand
dollars ($5,000). However, the commission may, by express
authorization, allow a qualified organization to conduct one (1) raffle
event at another allowable event each year at which the total prizes
for the raffle event may not exceed twenty-five thousand dollars
($25,000). The sale of pull tabs, punchboards, and tip boards is not
included in the total prize limit at a raffle event.
(b) The value of all door prizes awarded at a raffle event may not
have a value of more than one thousand five hundred dollars
($1,500).
(c) The prize limits set forth in subsection (a) do not apply to a
raffle event that is not conducted at another allowable event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-19 Door prize event prize limits
Sec. 19. The total prizes for a door prize event may not have a
value of more than five thousand dollars ($5,000). However, the
commission may, by express authorization, allow a qualified
organization to conduct one (1) door prize event each year at which
the total prizes for the door prize event may not exceed twenty
thousand dollars ($20,000). The proceeds of the sale of pull tabs,
punchboards, and tip boards are not included in the total prize limit
at a door prize event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-20 Pull tab, punchboard, and tip board prize limits; selling prices
Sec. 20. (a) The total prizes awarded for one (1) pull tab,
punchboard, or tip board game may not exceed five thousand dollars
($5,000).
(b) A single prize awarded for one (1) winning ticket in a pull tab,
punchboard, or tip board game may not exceed five hundred
ninety-nine dollars ($599).
(c) The selling price for one (1) ticket for a pull tab, punchboard,
or tip board game may not exceed one dollar ($1). As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-21 Prohibited participants
Sec. 21. (a) Except as provided in subsection (b), the following
persons may not play or participate in any manner in an allowable
event:
(1) A member or an employee of the commission.
(2) A person less than eighteen (18) years of age.
(b) A person less than eighteen (18) years of age may sell tickets
or chances for a raffle. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-22 Restrictions on employees, officers, and owners of manufacturers
and distributors
Sec. 22. An employee, officer, or owner of a manufacturer or
distributor is prohibited from participating in or affiliating in any
way with the charity gaming operations of a qualified organization
of which the employee, officer, or owner is a member. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.36.
IC 4-32.2-5-23 Radio advertising
Sec. 23. An advertisement for an allowable event in radio
broadcast media must announce, within the advertisement, the name
of the qualified organization conducting the allowable event and that
the qualified organization's license number is on file. As added by P.L.91-2006, SEC.3. IC 4-32.2-5-24 Patron information; information required to award pull tab,
punchboard, or tip board prizes of $250 or more; information for
federal income tax reporting
Sec. 24. (a) Except as provided in subsections (b) and (c), the
following apply to an allowable event:
(1) A charity gaming patron is not required to submit to a
qualified organization the patron's name, signature, driver's
license number, or other identifying information.
(2) A qualified organization is not required to obtain a patron's
name, signature, driver's license number, or other identifying
information.
(b) A prize of two hundred fifty dollars ($250) or more may not
be awarded to a winner of a pull tab, punchboard, or tip board game
unless:
(1) the winner provides the winner's printed name, signature,
and date of birth to the qualified organization conducting the
pull tab, punchboard, or tip board game; and
(2) the qualified organization verifies the identity of the prize
winner using any reasonable means the qualified organization
considers necessary.
(c) If a qualified organization is required to report a patron's
gambling winnings to the Internal Revenue Service for federal
income tax purposes, the winning patron shall provide the qualified
organization with the information necessary to comply with all
applicable state and federal tax laws. As added by P.L.60-2009, SEC.7.
IC 4-32.2-5-25 Obtaining supplies
Sec. 25. (a) Except as provided in subsection (b), a qualified
organization shall obtain licensed supplies from an entity licensed by
the commission as a manufacturer or distributor.
(b) Subsection (a) does not apply to a reusable licensed supply:
(1) constructed, purchased, or otherwise obtained by a qualified
organization before January 1, 2009; or
(2) borrowed at any time from another qualified organization. As added by P.L.60-2009, SEC.8.
IC 4-32.2-5-26 Conduct of qualified drawings
Sec. 26. (a) A qualified drawing must be conducted in the manner
required by this section.
(b) A qualified drawing is subject to the following rules and
limitations:
(1) The purchase price for a chance to win a prize in a qualified
drawing may not exceed five dollars ($5).
(2) The total value of all prizes that may be won in a particular
qualified drawing may not exceed three hundred dollars ($300)
for any of the following:
(A) A daily drawing.
(B) A weekly drawing.
(C) A monthly drawing.
(3) A qualified drawing must be conducted in accordance with
the following limitations:
(A) Not more than one (1) daily drawing may be conducted
each day.
(B) Not more than one (1) weekly drawing may be
conducted each week.
(C) Not more than one (1) monthly drawing may be
conducted each month.
(D) Weekly drawings must be held on regular seven (7) day
intervals posted in the information required by subdivision
(11).
(E) Monthly drawings must be held on regular monthly
intervals posted in the information required by subdivision
(11).
A weekly or monthly drawing may be conducted on the same
day that a daily drawing is conducted.
(4) Except as otherwise provided in this section, a patron must
be present to claim a prize awarded in a qualified drawing.
(5) A qualified organization may not profit from conducting a
qualified drawing.
(6) All amounts wagered on qualified drawings must be
returned to a qualified organization's patrons in the form of
prizes.
(7) A qualified organization may not conduct a qualified
drawing or any other event in which the winner of the prize is
determined, in whole or in part, by a sporting event.
(8) If no winning ticket is drawn in a qualified drawing, a
qualified organization may:
(A) carry the prize over to a later drawing in accordance
with this section; or
(B) continue drawing tickets until a winner is drawn.
(9) If a patron who purchased a winning ticket is not present to
claim a prize at the time of the qualified drawing, a qualified
organization shall hold the prize for the winning patron in
accordance with the rules of the qualified organization.
(10) In order to comply with subdivision (9), a qualified
organization shall obtain the name, address, and telephone
number of each patron who purchases a ticket for a qualified
drawing.
(11) A qualified organization must conspicuously display the
following information concerning each qualified drawing
conducted by the qualified organization:
(A) The price of a ticket.
(B) The time of the drawing.
(C) The description and value of the prizes awarded in the
drawing.
(D) The manner in which a prize may be claimed.
(E) The rules of the qualified organization concerning the
following:
(i) Qualified drawings in which no winning ticket is
drawn.
(ii) The period that the qualified organization will hold a
prize for a winning patron who was not present to claim
the prize at the time of the qualified drawing.
(12) Notwithstanding any other provision of this chapter, a
qualified organization must continue drawing tickets in a
monthly drawing until the qualified organization draws a ticket
purchased by a patron who is present to claim the prize.
(c) When the winning patron is not present at the time of the
qualified drawing to claim a prize, the qualified organization shall
award the prize in the following manner:
(1) The qualified organization shall immediately notify the
winning patron by telephone that the patron's name was drawn
in a qualified drawing and that the patron has the time permitted
by the rules of the qualified organization, which must be at least
seventy-two (72) hours, to claim the prize.
(2) The winning patron must appear at the premises of the
qualified organization within the time permitted by the rules of
the qualified organization to claim the prize in person.
(3) The qualified organization shall verify the identity of the
winning patron and award the prize.
(d) This subsection applies when the rules of a qualified
organization require the qualified organization to carry over a prize
when no winning ticket is drawn and when a winning patron fails to
claim a prize in the manner required by subsection (c). The qualified
organization shall carry the prize over to a later qualified drawing as
follows:
(1) An unclaimed prize from a daily drawing must be carried
over to the next daily drawing.
(2) Subject to the prize limits set forth in subsection (b)(2), a
qualified organization may carry over a prize under subdivision
(1) not more than fourteen (14) times. On the fourteenth
calendar day to which a prize has been carried over, the
qualified organization must continue drawing tickets until the
qualified organization draws a ticket purchased by a patron who
is present to claim the prize.
(3) An unclaimed prize from a weekly drawing must be carried
over to the next weekly drawing.
(4) Subject to the prize limits set forth in subsection (b)(2), a
qualified organization may carry over a prize under subdivision
(3) not more than one (1) time. On the day that the qualified
organization conducts a weekly drawing for the carried over
prize, the qualified organization must continue drawing tickets
until the qualified organization draws a ticket purchased by a
patron who is present to claim the prize.
(e) The following apply to a qualified organization that carries
over a prize under subsection (d):
(1) A qualified organization may conduct the daily drawing
regularly scheduled for a calendar day occurring during the time
that the qualified organization holds a prize for a winning
patron who was not present at the time of a qualified drawing.
(2) If an unclaimed prize from a daily drawing is carried over to
a particular date, the qualified organization may not conduct the
regular daily drawing that would otherwise be permitted under
this section on that date.
(3) If an unclaimed prize from a weekly drawing is carried over
to a particular date, the qualified organization may not conduct
the regular weekly drawing that would otherwise be permitted
under this section on that date.
(4) Subject to the prize limits set forth in subsection (b)(2), a
qualified organization may accept additional entries to a
drawing for a carried over prize. As added by P.L.108-2009, SEC.11.
IC 4-32.2-5
Chapter 5. Conduct of Allowable Events
IC 4-32.2-5-1 Criminal gambling statutes inapplicable to allowable events
Sec. 1. IC 35-45-5 does not apply to a person who conducts,
participates in, or receives a prize in an allowable event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-1.5 Designation of operator
Sec. 1.5. For each allowable event conducted under this article, a
qualified organization shall designate an individual to serve as the
operator of the allowable event. An individual designated under this
section must be qualified to serve as an operator under this article. As added by P.L.95-2008, SEC.8.
IC 4-32.2-5-2 Management and conduct of events
Sec. 2. A qualified organization may not contract or otherwise
enter into an agreement with an individual, a corporation, a
partnership, a limited liability company, or other association to
conduct an allowable event for the benefit of the organization. A
qualified organization shall use only operators and workers meeting
the requirements of this chapter to manage and conduct an allowable
event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-3 Use and determination of net proceeds
Sec. 3. (a) All net proceeds from an allowable event and related
activities may be used only for the lawful purposes of the qualified
organization.
(b) To determine the net proceeds from an allowable event, a
qualified organization shall subtract the following from the gross
receipts received from the allowable event:
(1) An amount equal to the total value of the prizes, including
door prizes, awarded at the allowable event.
(2) The sum of the purchase prices paid for licensed supplies
dispensed at the allowable event.
(3) An amount equal to the qualified organization's license fees
attributable to the allowable event.
(4) An amount equal to the advertising expenses incurred by the
qualified organization to promote the allowable event.
(5) An amount not to exceed two hundred dollars ($200) per
day for rent paid for facilities leased for an allowable event. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.30. IC 4-32.2-5-4 Donation of gross charity gaming receipts
Sec. 4. (a) A qualified organization that receives ninety percent
(90%) or more of the organization's total gross receipts from any
events licensed under this article is required to donate sixty percent
(60%) of its gross charitable gaming receipts less prize payout to a
qualified recipient that is not an affiliate, a parent, or a subsidiary
organization of the qualified organization.
(b) For purposes of this section, a veterans' home is not
considered to be an affiliate, a parent, or a subsidiary organization of
a qualified organization that is a bona fide veterans organization. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-5 Financial records; deposit of funds; payment of expenses; audits
Sec. 5. (a) A qualified organization shall maintain accurate
records of all financial aspects of an allowable event under this
article. A qualified organization shall make accurate reports of all
financial aspects of an allowable event to the commission within the
time established by the commission. The commission may prescribe
forms for this purpose. For purposes of this section, a qualified
organization is not required to record the name, signature, driver's
license number, or other identifying information of a prize winner
unless the qualified organization is required to withhold adjusted
gross income tax from the prize winner under IC 6-3-4-8.2(d).
(b) The commission shall, by rule, require a qualified organization
to deposit funds received from an allowable event in a separate and
segregated account set up for that purpose. All expenses of the
qualified organization with respect to an allowable event shall be
paid from the separate account.
(c) The commission may require a qualified organization to
submit any records maintained under this section for an independent
audit by a certified public accountant selected by the commission. A
qualified organization must bear the cost of any audit required under
this section. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.31; P.L.60-2009, SEC.3.
IC 4-32.2-5-6 Event limit
Sec. 6. (a) Except as provided in IC 4-32.2-4-9 and
IC 4-32.2-4-16.5, a qualified organization may not conduct more than
three (3) allowable events during a calendar week and not more than
one (1) allowable event each day.
(b) Except as provided in IC 4-32.2-4-9, IC 4-32.2-4-12, and
IC 4-32.2-4-16.5, allowable events may not be held on more than two
(2) consecutive days.
(c) A qualified organization may conduct one (1) additional
festival event during each six (6) months of a calendar year. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.32; P.L.95-2008, SEC.9.
IC 4-32.2-5-7
Repealed
(Repealed by P.L.227-2007, SEC.70.)
IC 4-32.2-5-8 Leasing facilities and personal property
Sec. 8. (a) If a facility or location is leased for an allowable event,
the rent may not be based in whole or in part on the revenue
generated from the event.
(b) Subject to the additional restrictions on the use of a facility or
location that are set forth in IC 4-32.2-4-7.5(i), a facility or location
may not be rented for more than three (3) days during a calendar
week for an allowable event.
(c) If personal property is leased for an allowable event, the rent
may not be based in whole or in part on the revenue generated from
the event. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.33; P.L.108-2009, SEC.9.
IC 4-32.2-5-9 Restriction on events at same location
Sec. 9. Not more than one (1) qualified organization may conduct
an allowable event on the same day at the same location. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-10 Prohibition on felons as operators and workers; exceptions
Sec. 10. An operator or a worker may not be a person who has
been convicted of or entered a plea of nolo contendere to a felony
committed in the preceding ten (10) years, regardless of the
adjudication, unless the commission determines that:
(1) the person has been pardoned or the person's civil rights
have been restored; or
(2) after the conviction or entry of the plea, the person has
engaged in the kind of good citizenship that would reflect well
upon the integrity of the qualified organization and the
commission. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-11 Prohibition on commission employees and relatives as operators or
workers
Sec. 11. An employee of the commission or a relative living in the
same household with the employee of the commission may not be an
operator or a worker. As added by P.L.91-2006, SEC.3. IC 4-32.2-5-12 Remuneration of operators, workers, and certain employees
Sec. 12. (a) Except as provided in subsection (b) or (c), an
operator or a worker who is not a full-time employee may not receive
remuneration for:
(1) conducting; or
(2) assisting in conducting;
an allowable event.
(b) A qualified organization that conducts an allowable event
may:
(1) provide meals for the operators and workers during the
allowable event; and
(2) provide recognition dinners and social events for the
operators and workers;
if the value of the meals and social events does not constitute a
significant inducement to participate in the conduct of the allowable
event.
(c) In the case of a qualified organization holding a PPT license,
any employee of the qualified organization may:
(1) participate in the sale and redemption of pull tabs,
punchboards, and tip boards on the premises of the qualified
organization; and
(2) receive the remuneration ordinarily provided to the
employee in the course of the employee's employment. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.34.
IC 4-32.2-5-13 Operators limited to three organizations
Sec. 13. (a) An individual may not be an operator for more than
three (3) qualified organizations during a calendar month.
(b) If an individual has previously served as an operator for
another qualified organization, the commission may require
additional information concerning the proposed operator to satisfy
the commission that the individual is a bona fide member of the
qualified organization. As added by P.L.91-2006, SEC.3. Amended by P.L.60-2009, SEC.4.
IC 4-32.2-5-14 Participation of operators and workers; dealing by patrons in
euchre; participation by workers at festival events
Sec. 14. (a) Except as provided by subsection (c), an operator or
a worker may not directly or indirectly participate, other than in a
capacity as an operator or a worker, in an allowable event that the
operator or worker is conducting.
(b) A patron at a charity game night may deal the cards in a card
game if:
(1) the card game in which the patron deals the cards is a game
of euchre;
(2) the patron deals the cards in the manner required in the
ordinary course of the game of euchre; and
(3) the euchre game is played under the supervision of the
qualified organization conducting the charity game night in
accordance with rules adopted by the commission under
IC 4-32.2-3-3.
A patron who deals the cards in a euchre game conducted under this
subsection is not considered a worker or an operator for purposes of
this article.
(c) A worker at a festival event may participate as a player in any
gaming activity offered at the festival event except as follows:
(1) A worker may not participate in any game during the time
in which the worker is conducting or helping to conduct the
game.
(2) A worker who conducts or helps to conduct a pull tab,
punchboard, or tip board event during a festival event may not
participate as a player in a pull tab, punchboard, or tip board
event conducted on the same calendar day. As added by P.L.91-2006, SEC.3. Amended by P.L.95-2008, SEC.10;
P.L.60-2009, SEC.5; P.L.108-2009, SEC.10.
IC 4-32.2-5-15 Operator membership requirement
Sec. 15. An operator must be a member in good standing of the
qualified organization that is conducting the allowable event for at
least one (1) year at the time of the allowable event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-16 Worker membership requirement; exception; shared revenues
Sec. 16. (a) Except as provided in section 12(c) of this chapter and
subsection (b), a worker at an allowable event must be a member in
good standing of the qualified organization that is conducting the
allowable event for at least thirty (30) days at the time of the
allowable event.
(b) A qualified organization may allow an individual who is not
a member of the qualified organization to participate in an allowable
event as a worker if the individual is a full-time employee of the
qualified organization that is conducting the allowable event; or if:
(1) the individual is a member of another qualified organization;
and
(2) the individual's participation is approved by the commission.
A qualified organization may apply to the commission on a form
prescribed by the commission for approval of the participation of a
nonmember under this subsection. A qualified organization may
share the proceeds of an allowable event with the qualified
organization in which a worker participating in the allowable event
under this subsection is a member. The tasks that will be performed
by an individual participating in an allowable event under this
subsection and the amounts shared with the individual's qualified
organization must be described in the application and approved by
the commission.
(c) For purposes of:
(1) the licensing requirements of this article; and
(2) section 9 of this chapter;
a qualified organization that receives a share of the proceeds of an
allowable event described in subsection (b) is not considered to be
conducting an allowable event. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.35; P.L.60-2009, SEC.6.
IC 4-32.2-5-17 Bingo event prize limits
Sec. 17. (a) The prize for one (1) bingo game may not have a
value of more than one thousand dollars ($1,000).
(b) Except as provided in subsection (c), the total prizes permitted
at one (1) bingo event may not have a value of more than six
thousand dollars ($6,000).
(c) The commission may, by express authorization, allow any
qualified organization to conduct two (2) bingo events each year at
which the total prizes for the bingo event may not exceed ten
thousand dollars ($10,000). Bingo events authorized under this
subsection may be conducted at a festival conducted under
IC 4-32.2-4-12.
(d) The proceeds of the sale of pull tabs, punchboards, and tip
boards are not included in the total prize limit at a bingo event.
(e) The value of all door prizes awarded at a bingo event may not
have a value of more than one thousand five hundred dollars
($1,500). As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-18 Raffle event prize limits
Sec. 18. (a) The total prizes for a raffle event conducted at another
allowable event may not have a value of more than five thousand
dollars ($5,000). However, the commission may, by express
authorization, allow a qualified organization to conduct one (1) raffle
event at another allowable event each year at which the total prizes
for the raffle event may not exceed twenty-five thousand dollars
($25,000). The sale of pull tabs, punchboards, and tip boards is not
included in the total prize limit at a raffle event.
(b) The value of all door prizes awarded at a raffle event may not
have a value of more than one thousand five hundred dollars
($1,500).
(c) The prize limits set forth in subsection (a) do not apply to a
raffle event that is not conducted at another allowable event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-19 Door prize event prize limits
Sec. 19. The total prizes for a door prize event may not have a
value of more than five thousand dollars ($5,000). However, the
commission may, by express authorization, allow a qualified
organization to conduct one (1) door prize event each year at which
the total prizes for the door prize event may not exceed twenty
thousand dollars ($20,000). The proceeds of the sale of pull tabs,
punchboards, and tip boards are not included in the total prize limit
at a door prize event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-20 Pull tab, punchboard, and tip board prize limits; selling prices
Sec. 20. (a) The total prizes awarded for one (1) pull tab,
punchboard, or tip board game may not exceed five thousand dollars
($5,000).
(b) A single prize awarded for one (1) winning ticket in a pull tab,
punchboard, or tip board game may not exceed five hundred
ninety-nine dollars ($599).
(c) The selling price for one (1) ticket for a pull tab, punchboard,
or tip board game may not exceed one dollar ($1). As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-21 Prohibited participants
Sec. 21. (a) Except as provided in subsection (b), the following
persons may not play or participate in any manner in an allowable
event:
(1) A member or an employee of the commission.
(2) A person less than eighteen (18) years of age.
(b) A person less than eighteen (18) years of age may sell tickets
or chances for a raffle. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-22 Restrictions on employees, officers, and owners of manufacturers
and distributors
Sec. 22. An employee, officer, or owner of a manufacturer or
distributor is prohibited from participating in or affiliating in any
way with the charity gaming operations of a qualified organization
of which the employee, officer, or owner is a member. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.36.
IC 4-32.2-5-23 Radio advertising
Sec. 23. An advertisement for an allowable event in radio
broadcast media must announce, within the advertisement, the name
of the qualified organization conducting the allowable event and that
the qualified organization's license number is on file. As added by P.L.91-2006, SEC.3. IC 4-32.2-5-24 Patron information; information required to award pull tab,
punchboard, or tip board prizes of $250 or more; information for
federal income tax reporting
Sec. 24. (a) Except as provided in subsections (b) and (c), the
following apply to an allowable event:
(1) A charity gaming patron is not required to submit to a
qualified organization the patron's name, signature, driver's
license number, or other identifying information.
(2) A qualified organization is not required to obtain a patron's
name, signature, driver's license number, or other identifying
information.
(b) A prize of two hundred fifty dollars ($250) or more may not
be awarded to a winner of a pull tab, punchboard, or tip board game
unless:
(1) the winner provides the winner's printed name, signature,
and date of birth to the qualified organization conducting the
pull tab, punchboard, or tip board game; and
(2) the qualified organization verifies the identity of the prize
winner using any reasonable means the qualified organization
considers necessary.
(c) If a qualified organization is required to report a patron's
gambling winnings to the Internal Revenue Service for federal
income tax purposes, the winning patron shall provide the qualified
organization with the information necessary to comply with all
applicable state and federal tax laws. As added by P.L.60-2009, SEC.7.
IC 4-32.2-5-25 Obtaining supplies
Sec. 25. (a) Except as provided in subsection (b), a qualified
organization shall obtain licensed supplies from an entity licensed by
the commission as a manufacturer or distributor.
(b) Subsection (a) does not apply to a reusable licensed supply:
(1) constructed, purchased, or otherwise obtained by a qualified
organization before January 1, 2009; or
(2) borrowed at any time from another qualified organization. As added by P.L.60-2009, SEC.8.
IC 4-32.2-5-26 Conduct of qualified drawings
Sec. 26. (a) A qualified drawing must be conducted in the manner
required by this section.
(b) A qualified drawing is subject to the following rules and
limitations:
(1) The purchase price for a chance to win a prize in a qualified
drawing may not exceed five dollars ($5).
(2) The total value of all prizes that may be won in a particular
qualified drawing may not exceed three hundred dollars ($300)
for any of the following:
(A) A daily drawing.
(B) A weekly drawing.
(C) A monthly drawing.
(3) A qualified drawing must be conducted in accordance with
the following limitations:
(A) Not more than one (1) daily drawing may be conducted
each day.
(B) Not more than one (1) weekly drawing may be
conducted each week.
(C) Not more than one (1) monthly drawing may be
conducted each month.
(D) Weekly drawings must be held on regular seven (7) day
intervals posted in the information required by subdivision
(11).
(E) Monthly drawings must be held on regular monthly
intervals posted in the information required by subdivision
(11).
A weekly or monthly drawing may be conducted on the same
day that a daily drawing is conducted.
(4) Except as otherwise provided in this section, a patron must
be present to claim a prize awarded in a qualified drawing.
(5) A qualified organization may not profit from conducting a
qualified drawing.
(6) All amounts wagered on qualified drawings must be
returned to a qualified organization's patrons in the form of
prizes.
(7) A qualified organization may not conduct a qualified
drawing or any other event in which the winner of the prize is
determined, in whole or in part, by a sporting event.
(8) If no winning ticket is drawn in a qualified drawing, a
qualified organization may:
(A) carry the prize over to a later drawing in accordance
with this section; or
(B) continue drawing tickets until a winner is drawn.
(9) If a patron who purchased a winning ticket is not present to
claim a prize at the time of the qualified drawing, a qualified
organization shall hold the prize for the winning patron in
accordance with the rules of the qualified organization.
(10) In order to comply with subdivision (9), a qualified
organization shall obtain the name, address, and telephone
number of each patron who purchases a ticket for a qualified
drawing.
(11) A qualified organization must conspicuously display the
following information concerning each qualified drawing
conducted by the qualified organization:
(A) The price of a ticket.
(B) The time of the drawing.
(C) The description and value of the prizes awarded in the
drawing.
(D) The manner in which a prize may be claimed.
(E) The rules of the qualified organization concerning the
following:
(i) Qualified drawings in which no winning ticket is
drawn.
(ii) The period that the qualified organization will hold a
prize for a winning patron who was not present to claim
the prize at the time of the qualified drawing.
(12) Notwithstanding any other provision of this chapter, a
qualified organization must continue drawing tickets in a
monthly drawing until the qualified organization draws a ticket
purchased by a patron who is present to claim the prize.
(c) When the winning patron is not present at the time of the
qualified drawing to claim a prize, the qualified organization shall
award the prize in the following manner:
(1) The qualified organization shall immediately notify the
winning patron by telephone that the patron's name was drawn
in a qualified drawing and that the patron has the time permitted
by the rules of the qualified organization, which must be at least
seventy-two (72) hours, to claim the prize.
(2) The winning patron must appear at the premises of the
qualified organization within the time permitted by the rules of
the qualified organization to claim the prize in person.
(3) The qualified organization shall verify the identity of the
winning patron and award the prize.
(d) This subsection applies when the rules of a qualified
organization require the qualified organization to carry over a prize
when no winning ticket is drawn and when a winning patron fails to
claim a prize in the manner required by subsection (c). The qualified
organization shall carry the prize over to a later qualified drawing as
follows:
(1) An unclaimed prize from a daily drawing must be carried
over to the next daily drawing.
(2) Subject to the prize limits set forth in subsection (b)(2), a
qualified organization may carry over a prize under subdivision
(1) not more than fourteen (14) times. On the fourteenth
calendar day to which a prize has been carried over, the
qualified organization must continue drawing tickets until the
qualified organization draws a ticket purchased by a patron who
is present to claim the prize.
(3) An unclaimed prize from a weekly drawing must be carried
over to the next weekly drawing.
(4) Subject to the prize limits set forth in subsection (b)(2), a
qualified organization may carry over a prize under subdivision
(3) not more than one (1) time. On the day that the qualified
organization conducts a weekly drawing for the carried over
prize, the qualified organization must continue drawing tickets
until the qualified organization draws a ticket purchased by a
patron who is present to claim the prize.
(e) The following apply to a qualified organization that carries
over a prize under subsection (d):
(1) A qualified organization may conduct the daily drawing
regularly scheduled for a calendar day occurring during the time
that the qualified organization holds a prize for a winning
patron who was not present at the time of a qualified drawing.
(2) If an unclaimed prize from a daily drawing is carried over to
a particular date, the qualified organization may not conduct the
regular daily drawing that would otherwise be permitted under
this section on that date.
(3) If an unclaimed prize from a weekly drawing is carried over
to a particular date, the qualified organization may not conduct
the regular weekly drawing that would otherwise be permitted
under this section on that date.
(4) Subject to the prize limits set forth in subsection (b)(2), a
qualified organization may accept additional entries to a
drawing for a carried over prize. As added by P.L.108-2009, SEC.11.
IC 4-32.2-5
Chapter 5. Conduct of Allowable Events
IC 4-32.2-5-1 Criminal gambling statutes inapplicable to allowable events
Sec. 1. IC 35-45-5 does not apply to a person who conducts,
participates in, or receives a prize in an allowable event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-1.5 Designation of operator
Sec. 1.5. For each allowable event conducted under this article, a
qualified organization shall designate an individual to serve as the
operator of the allowable event. An individual designated under this
section must be qualified to serve as an operator under this article. As added by P.L.95-2008, SEC.8.
IC 4-32.2-5-2 Management and conduct of events
Sec. 2. A qualified organization may not contract or otherwise
enter into an agreement with an individual, a corporation, a
partnership, a limited liability company, or other association to
conduct an allowable event for the benefit of the organization. A
qualified organization shall use only operators and workers meeting
the requirements of this chapter to manage and conduct an allowable
event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-3 Use and determination of net proceeds
Sec. 3. (a) All net proceeds from an allowable event and related
activities may be used only for the lawful purposes of the qualified
organization.
(b) To determine the net proceeds from an allowable event, a
qualified organization shall subtract the following from the gross
receipts received from the allowable event:
(1) An amount equal to the total value of the prizes, including
door prizes, awarded at the allowable event.
(2) The sum of the purchase prices paid for licensed supplies
dispensed at the allowable event.
(3) An amount equal to the qualified organization's license fees
attributable to the allowable event.
(4) An amount equal to the advertising expenses incurred by the
qualified organization to promote the allowable event.
(5) An amount not to exceed two hundred dollars ($200) per
day for rent paid for facilities leased for an allowable event. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.30. IC 4-32.2-5-4 Donation of gross charity gaming receipts
Sec. 4. (a) A qualified organization that receives ninety percent
(90%) or more of the organization's total gross receipts from any
events licensed under this article is required to donate sixty percent
(60%) of its gross charitable gaming receipts less prize payout to a
qualified recipient that is not an affiliate, a parent, or a subsidiary
organization of the qualified organization.
(b) For purposes of this section, a veterans' home is not
considered to be an affiliate, a parent, or a subsidiary organization of
a qualified organization that is a bona fide veterans organization. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-5 Financial records; deposit of funds; payment of expenses; audits
Sec. 5. (a) A qualified organization shall maintain accurate
records of all financial aspects of an allowable event under this
article. A qualified organization shall make accurate reports of all
financial aspects of an allowable event to the commission within the
time established by the commission. The commission may prescribe
forms for this purpose. For purposes of this section, a qualified
organization is not required to record the name, signature, driver's
license number, or other identifying information of a prize winner
unless the qualified organization is required to withhold adjusted
gross income tax from the prize winner under IC 6-3-4-8.2(d).
(b) The commission shall, by rule, require a qualified organization
to deposit funds received from an allowable event in a separate and
segregated account set up for that purpose. All expenses of the
qualified organization with respect to an allowable event shall be
paid from the separate account.
(c) The commission may require a qualified organization to
submit any records maintained under this section for an independent
audit by a certified public accountant selected by the commission. A
qualified organization must bear the cost of any audit required under
this section. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.31; P.L.60-2009, SEC.3.
IC 4-32.2-5-6 Event limit
Sec. 6. (a) Except as provided in IC 4-32.2-4-9 and
IC 4-32.2-4-16.5, a qualified organization may not conduct more than
three (3) allowable events during a calendar week and not more than
one (1) allowable event each day.
(b) Except as provided in IC 4-32.2-4-9, IC 4-32.2-4-12, and
IC 4-32.2-4-16.5, allowable events may not be held on more than two
(2) consecutive days.
(c) A qualified organization may conduct one (1) additional
festival event during each six (6) months of a calendar year. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.32; P.L.95-2008, SEC.9.
IC 4-32.2-5-7
Repealed
(Repealed by P.L.227-2007, SEC.70.)
IC 4-32.2-5-8 Leasing facilities and personal property
Sec. 8. (a) If a facility or location is leased for an allowable event,
the rent may not be based in whole or in part on the revenue
generated from the event.
(b) Subject to the additional restrictions on the use of a facility or
location that are set forth in IC 4-32.2-4-7.5(i), a facility or location
may not be rented for more than three (3) days during a calendar
week for an allowable event.
(c) If personal property is leased for an allowable event, the rent
may not be based in whole or in part on the revenue generated from
the event. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.33; P.L.108-2009, SEC.9.
IC 4-32.2-5-9 Restriction on events at same location
Sec. 9. Not more than one (1) qualified organization may conduct
an allowable event on the same day at the same location. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-10 Prohibition on felons as operators and workers; exceptions
Sec. 10. An operator or a worker may not be a person who has
been convicted of or entered a plea of nolo contendere to a felony
committed in the preceding ten (10) years, regardless of the
adjudication, unless the commission determines that:
(1) the person has been pardoned or the person's civil rights
have been restored; or
(2) after the conviction or entry of the plea, the person has
engaged in the kind of good citizenship that would reflect well
upon the integrity of the qualified organization and the
commission. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-11 Prohibition on commission employees and relatives as operators or
workers
Sec. 11. An employee of the commission or a relative living in the
same household with the employee of the commission may not be an
operator or a worker. As added by P.L.91-2006, SEC.3. IC 4-32.2-5-12 Remuneration of operators, workers, and certain employees
Sec. 12. (a) Except as provided in subsection (b) or (c), an
operator or a worker who is not a full-time employee may not receive
remuneration for:
(1) conducting; or
(2) assisting in conducting;
an allowable event.
(b) A qualified organization that conducts an allowable event
may:
(1) provide meals for the operators and workers during the
allowable event; and
(2) provide recognition dinners and social events for the
operators and workers;
if the value of the meals and social events does not constitute a
significant inducement to participate in the conduct of the allowable
event.
(c) In the case of a qualified organization holding a PPT license,
any employee of the qualified organization may:
(1) participate in the sale and redemption of pull tabs,
punchboards, and tip boards on the premises of the qualified
organization; and
(2) receive the remuneration ordinarily provided to the
employee in the course of the employee's employment. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.34.
IC 4-32.2-5-13 Operators limited to three organizations
Sec. 13. (a) An individual may not be an operator for more than
three (3) qualified organizations during a calendar month.
(b) If an individual has previously served as an operator for
another qualified organization, the commission may require
additional information concerning the proposed operator to satisfy
the commission that the individual is a bona fide member of the
qualified organization. As added by P.L.91-2006, SEC.3. Amended by P.L.60-2009, SEC.4.
IC 4-32.2-5-14 Participation of operators and workers; dealing by patrons in
euchre; participation by workers at festival events
Sec. 14. (a) Except as provided by subsection (c), an operator or
a worker may not directly or indirectly participate, other than in a
capacity as an operator or a worker, in an allowable event that the
operator or worker is conducting.
(b) A patron at a charity game night may deal the cards in a card
game if:
(1) the card game in which the patron deals the cards is a game
of euchre;
(2) the patron deals the cards in the manner required in the
ordinary course of the game of euchre; and
(3) the euchre game is played under the supervision of the
qualified organization conducting the charity game night in
accordance with rules adopted by the commission under
IC 4-32.2-3-3.
A patron who deals the cards in a euchre game conducted under this
subsection is not considered a worker or an operator for purposes of
this article.
(c) A worker at a festival event may participate as a player in any
gaming activity offered at the festival event except as follows:
(1) A worker may not participate in any game during the time
in which the worker is conducting or helping to conduct the
game.
(2) A worker who conducts or helps to conduct a pull tab,
punchboard, or tip board event during a festival event may not
participate as a player in a pull tab, punchboard, or tip board
event conducted on the same calendar day. As added by P.L.91-2006, SEC.3. Amended by P.L.95-2008, SEC.10;
P.L.60-2009, SEC.5; P.L.108-2009, SEC.10.
IC 4-32.2-5-15 Operator membership requirement
Sec. 15. An operator must be a member in good standing of the
qualified organization that is conducting the allowable event for at
least one (1) year at the time of the allowable event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-16 Worker membership requirement; exception; shared revenues
Sec. 16. (a) Except as provided in section 12(c) of this chapter and
subsection (b), a worker at an allowable event must be a member in
good standing of the qualified organization that is conducting the
allowable event for at least thirty (30) days at the time of the
allowable event.
(b) A qualified organization may allow an individual who is not
a member of the qualified organization to participate in an allowable
event as a worker if the individual is a full-time employee of the
qualified organization that is conducting the allowable event; or if:
(1) the individual is a member of another qualified organization;
and
(2) the individual's participation is approved by the commission.
A qualified organization may apply to the commission on a form
prescribed by the commission for approval of the participation of a
nonmember under this subsection. A qualified organization may
share the proceeds of an allowable event with the qualified
organization in which a worker participating in the allowable event
under this subsection is a member. The tasks that will be performed
by an individual participating in an allowable event under this
subsection and the amounts shared with the individual's qualified
organization must be described in the application and approved by
the commission.
(c) For purposes of:
(1) the licensing requirements of this article; and
(2) section 9 of this chapter;
a qualified organization that receives a share of the proceeds of an
allowable event described in subsection (b) is not considered to be
conducting an allowable event. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.35; P.L.60-2009, SEC.6.
IC 4-32.2-5-17 Bingo event prize limits
Sec. 17. (a) The prize for one (1) bingo game may not have a
value of more than one thousand dollars ($1,000).
(b) Except as provided in subsection (c), the total prizes permitted
at one (1) bingo event may not have a value of more than six
thousand dollars ($6,000).
(c) The commission may, by express authorization, allow any
qualified organization to conduct two (2) bingo events each year at
which the total prizes for the bingo event may not exceed ten
thousand dollars ($10,000). Bingo events authorized under this
subsection may be conducted at a festival conducted under
IC 4-32.2-4-12.
(d) The proceeds of the sale of pull tabs, punchboards, and tip
boards are not included in the total prize limit at a bingo event.
(e) The value of all door prizes awarded at a bingo event may not
have a value of more than one thousand five hundred dollars
($1,500). As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-18 Raffle event prize limits
Sec. 18. (a) The total prizes for a raffle event conducted at another
allowable event may not have a value of more than five thousand
dollars ($5,000). However, the commission may, by express
authorization, allow a qualified organization to conduct one (1) raffle
event at another allowable event each year at which the total prizes
for the raffle event may not exceed twenty-five thousand dollars
($25,000). The sale of pull tabs, punchboards, and tip boards is not
included in the total prize limit at a raffle event.
(b) The value of all door prizes awarded at a raffle event may not
have a value of more than one thousand five hundred dollars
($1,500).
(c) The prize limits set forth in subsection (a) do not apply to a
raffle event that is not conducted at another allowable event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-19 Door prize event prize limits
Sec. 19. The total prizes for a door prize event may not have a
value of more than five thousand dollars ($5,000). However, the
commission may, by express authorization, allow a qualified
organization to conduct one (1) door prize event each year at which
the total prizes for the door prize event may not exceed twenty
thousand dollars ($20,000). The proceeds of the sale of pull tabs,
punchboards, and tip boards are not included in the total prize limit
at a door prize event. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-20 Pull tab, punchboard, and tip board prize limits; selling prices
Sec. 20. (a) The total prizes awarded for one (1) pull tab,
punchboard, or tip board game may not exceed five thousand dollars
($5,000).
(b) A single prize awarded for one (1) winning ticket in a pull tab,
punchboard, or tip board game may not exceed five hundred
ninety-nine dollars ($599).
(c) The selling price for one (1) ticket for a pull tab, punchboard,
or tip board game may not exceed one dollar ($1). As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-21 Prohibited participants
Sec. 21. (a) Except as provided in subsection (b), the following
persons may not play or participate in any manner in an allowable
event:
(1) A member or an employee of the commission.
(2) A person less than eighteen (18) years of age.
(b) A person less than eighteen (18) years of age may sell tickets
or chances for a raffle. As added by P.L.91-2006, SEC.3.
IC 4-32.2-5-22 Restrictions on employees, officers, and owners of manufacturers
and distributors
Sec. 22. An employee, officer, or owner of a manufacturer or
distributor is prohibited from participating in or affiliating in any
way with the charity gaming operations of a qualified organization
of which the employee, officer, or owner is a member. As added by P.L.91-2006, SEC.3. Amended by P.L.227-2007,
SEC.36.
IC 4-32.2-5-23 Radio advertising
Sec. 23. An advertisement for an allowable event in radio
broadcast media must announce, within the advertisement, the name
of the qualified organization conducting the allowable event and that
the qualified organization's license number is on file. As added by P.L.91-2006, SEC.3. IC 4-32.2-5-24 Patron information; information required to award pull tab,
punchboard, or tip board prizes of $250 or more; information for
federal income tax reporting
Sec. 24. (a) Except as provided in subsections (b) and (c), the
following apply to an allowable event:
(1) A charity gaming patron is not required to submit to a
qualified organization the patron's name, signature, driver's
license number, or other identifying information.
(2) A qualified organization is not required to obtain a patron's
name, signature, driver's license number, or other identifying
information.
(b) A prize of two hundred fifty dollars ($250) or more may not
be awarded to a winner of a pull tab, punchboard, or tip board game
unless:
(1) the winner provides the winner's printed name, signature,
and date of birth to the qualified organization conducting the
pull tab, punchboard, or tip board game; and
(2) the qualified organization verifies the identity of the prize
winner using any reasonable means the qualified organization
considers necessary.
(c) If a qualified organization is required to report a patron's
gambling winnings to the Internal Revenue Service for federal
income tax purposes, the winning patron shall provide the qualified
organization with the information necessary to comply with all
applicable state and federal tax laws. As added by P.L.60-2009, SEC.7.
IC 4-32.2-5-25 Obtaining supplies
Sec. 25. (a) Except as provided in subsection (b), a qualified
organization shall obtain licensed supplies from an entity licensed by
the commission as a manufacturer or distributor.
(b) Subsection (a) does not apply to a reusable licensed supply:
(1) constructed, purchased, or otherwise obtained by a qualified
organization before January 1, 2009; or
(2) borrowed at any time from another qualified organization. As added by P.L.60-2009, SEC.8.
IC 4-32.2-5-26 Conduct of qualified drawings
Sec. 26. (a) A qualified drawing must be conducted in the manner
required by this section.
(b) A qualified drawing is subject to the following rules and
limitations:
(1) The purchase price for a chance to win a prize in a qualified
drawing may not exceed five dollars ($5).
(2) The total value of all prizes that may be won in a particular
qualified drawing may not exceed three hundred dollars ($300)
for any of the following:
(A) A daily drawing.
(B) A weekly drawing.
(C) A monthly drawing.
(3) A qualified drawing must be conducted in accordance with
the following limitations:
(A) Not more than one (1) daily drawing may be conducted
each day.
(B) Not more than one (1) weekly drawing may be
conducted each week.
(C) Not more than one (1) monthly drawing may be
conducted each month.
(D) Weekly drawings must be held on regular seven (7) day
intervals posted in the information required by subdivision
(11).
(E) Monthly drawings must be held on regular monthly
intervals posted in the information required by subdivision
(11).
A weekly or monthly drawing may be conducted on the same
day that a daily drawing is conducted.
(4) Except as otherwise provided in this section, a patron must
be present to claim a prize awarded in a qualified drawing.
(5) A qualified organization may not profit from conducting a
qualified drawing.
(6) All amounts wagered on qualified drawings must be
returned to a qualified organization's patrons in the form of
prizes.
(7) A qualified organization may not conduct a qualified
drawing or any other event in which the winner of the prize is
determined, in whole or in part, by a sporting event.
(8) If no winning ticket is drawn in a qualified drawing, a
qualified organization may:
(A) carry the prize over to a later drawing in accordance
with this section; or
(B) continue drawing tickets until a winner is drawn.
(9) If a patron who purchased a winning ticket is not present to
claim a prize at the time of the qualified drawing, a qualified
organization shall hold the prize for the winning patron in
accordance with the rules of the qualified organization.
(10) In order to comply with subdivision (9), a qualified
organization shall obtain the name, address, and telephone
number of each patron who purchases a ticket for a qualified
drawing.
(11) A qualified organization must conspicuously display the
following information concerning each qualified drawing
conducted by the qualified organization:
(A) The price of a ticket.
(B) The time of the drawing.
(C) The description and value of the prizes awarded in the
drawing.
(D) The manner in which a prize may be claimed.
(E) The rules of the qualified organization concerning the
following:
(i) Qualified drawings in which no winning ticket is
drawn.
(ii) The period that the qualified organization will hold a
prize for a winning patron who was not present to claim
the prize at the time of the qualified drawing.
(12) Notwithstanding any other provision of this chapter, a
qualified organization must continue drawing tickets in a
monthly drawing until the qualified organization draws a ticket
purchased by a patron who is present to claim the prize.
(c) When the winning patron is not present at the time of the
qualified drawing to claim a prize, the qualified organization shall
award the prize in the following manner:
(1) The qualified organization shall immediately notify the
winning patron by telephone that the patron's name was drawn
in a qualified drawing and that the patron has the time permitted
by the rules of the qualified organization, which must be at least
seventy-two (72) hours, to claim the prize.
(2) The winning patron must appear at the premises of the
qualified organization within the time permitted by the rules of
the qualified organization to claim the prize in person.
(3) The qualified organization shall verify the identity of the
winning patron and award the prize.
(d) This subsection applies when the rules of a qualified
organization require the qualified organization to carry over a prize
when no winning ticket is drawn and when a winning patron fails to
claim a prize in the manner required by subsection (c). The qualified
organization shall carry the prize over to a later qualified drawing as
follows:
(1) An unclaimed prize from a daily drawing must be carried
over to the next daily drawing.
(2) Subject to the prize limits set forth in subsection (b)(2), a
qualified organization may carry over a prize under subdivision
(1) not more than fourteen (14) times. On the fourteenth
calendar day to which a prize has been carried over, the
qualified organization must continue drawing tickets until the
qualified organization draws a ticket purchased by a patron who
is present to claim the prize.
(3) An unclaimed prize from a weekly drawing must be carried
over to the next weekly drawing.
(4) Subject to the prize limits set forth in subsection (b)(2), a
qualified organization may carry over a prize under subdivision
(3) not more than one (1) time. On the day that the qualified
organization conducts a weekly drawing for the carried over
prize, the qualified organization must continue drawing tickets
until the qualified organization draws a ticket purchased by a
patron who is present to claim the prize.
(e) The following apply to a qualified organization that carries
over a prize under subsection (d):
(1) A qualified organization may conduct the daily drawing
regularly scheduled for a calendar day occurring during the time
that the qualified organization holds a prize for a winning
patron who was not present at the time of a qualified drawing.
(2) If an unclaimed prize from a daily drawing is carried over to
a particular date, the qualified organization may not conduct the
regular daily drawing that would otherwise be permitted under
this section on that date.
(3) If an unclaimed prize from a weekly drawing is carried over
to a particular date, the qualified organization may not conduct
the regular weekly drawing that would otherwise be permitted
under this section on that date.
(4) Subject to the prize limits set forth in subsection (b)(2), a
qualified organization may accept additional entries to a
drawing for a carried over prize. As added by P.L.108-2009, SEC.11.
