REPORT TO COUNCIL
SUBJECT
Title
Action on the Introduction of an Ordinance Amending Section 5.75.210 related to Bingo Regulations
Report
BACKGROUND
Bingo operations serve as an important revenue source for various eligible organizations. Presently, there are eight (8) bingo organizations playing 23 sessions per week. In turn, these organizations provide a community benefit with their bingo revenue as the earnings from bingo games are mandated by State law to be used only for charitable purposes.
Chapter 5.75 of the "Code of the City of Santa Clara, California" ("SCCC") sets forth the requirements for bingo organizations that operate within the City of Santa Clara, including eligible organizations, licensing requirements, rules of operation, restrictions and financial reporting obligations. Additionally, and as noted in Chapter 5.75, all bingo activities are to be conducted in compliance with the California Constitution and Penal Code section 326.5.
State law governs many provisions in ordinance codes of California's cities and counties. On January 1, 2009, Section 326.5(n) of the California Penal Code was amended to read, "The total value of prizes available to be awarded during the conduct of any bingo games shall not exceed five hundred dollars ($500) in cash or kind, or both, for each separate game which is held." This change expanded the award from $250 to $500 in cash or kind.
In December, 2016, the City Attorney's Office received a letter from Foreman and Associates that our City Code was not consistent with the State Penal Code. After a thorough review of City Code Section 5.75 by the City Attorney's Office and Police Department, City staff decided to bring forward this Report to Council to consider an adjustment to the payout issue. City staff is continuing to work with agencies throughout Santa Clara County and the District Attorney's Office on a consistent approach to bingo operations.
DISCUSSION
As a result of State law amendments, SCCC is no ...
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