Regulatory Compliance Division / Charitable Gaming Licensing / Terms and Conditions
Bingo LotteriesJuly 1, 2003
SASKATCHEWAN LIQUOR AND GAMING AUTHORITY
TERMS AND CONDITIONS FOR LICENSED CHARITIES
TO MANAGE AND CONDUCT BINGO GAMING
1. NOTICE
(a) A Licensee who operates in breach of any term or condition herein, may be subject to an immediate suspension or cancellation of the Licence to which the breach relates, or any other Licence issued or pending from the Saskatchewan Liquor and Gaming Authority. (Hereafter the Saskatchewan Liquor and Gaming Authority will be referred to as SLGA)
(b) Section 139 of The Alcohol and Gaming Regulation Act, 1997 authorizes SLGA to prosecute, by way of summary conviction, for contravention of any provision of The Alcohol and Gaming Regulation Act, 1997, the Regulations, or these Terms and Conditions.
(c) SLGA may attach any special terms and conditions to the Licence as deemed necessary, which shall become part of the general Terms and Conditions of that Licence.
(d) Section 45 of The Alcohol and Gaming Regulation Act, 1997 provides that every Licensee shall allow an inspector or other person duly authorized by SLGA access to his or her premises, books, records or other documents at all reasonable times for the purpose of making an inspection. Where any book, record or other document has been examined by SLGA or an authorized person may make copies of the book, record or other document.
2. PREAMBLE
(a) SLGA is the provincial authority for licensing lotteries pursuant to Section 207(1)(b), (c) and (d) of the Criminal Code of Canada.
(b) Conducting a lottery scheme without a valid Licence is an offence under the Criminal Code of Canada.
(c) The Terms and Conditions herein are established by SLGA pursuant to Section 207(2) of the Criminal Code of Canada and by The Alcohol and Gaming Regulation Act, 1997.
(d) The terminology used in these Terms and Conditions has the same meaning as ascribed to them in The Alcohol and Gaming Regulation Act, 1997.
3. DEFINITIONS (all classes of bingo licensees)
In these terms and conditions:
(a) “ADDENDUM” means an amendment to a Licence, allowing for the addition or deletion of events, changes in times, dates or locations. It is issued by SLGA and forms a part of the original Licence.
(b) “ASSOCIATION” means a group of licensed charities that form an association to conduct and manage Bingo Events in a specific location.
(c) “ASSOCIATION BINGO HALL” means:
(i) any premises wherein bingo gaming is conducted in excess of three events in any week; or
(ii) any premises where it is apparent the purpose for the existence of the premises is primarily for the conduct of bingo.
(d) “BINGO EVENT” means an event lasting a minimum of two (2) and a maximum of six (6) consecutive hours in which a series of bingo games are played under the authority of a Licence and requiring an Event Close-Out Summary. Bingo events may not begin before 9:00 a.m. and must conclude by 4:00 a.m.
(e) “COME AND GO BINGO” means a style of bingo in which players may begin participating in a bingo event at any point without purchasing a minimum admission book. A Come and Go Bingo program must be made up entirely of special games only (each game in the program must be offered for sale on an individual basis).
(f) “COMMUNITY BINGO HALL” means any premises wherein Bingo Events are conducted three times or less a week.
(g) “CONSOLATION PRIZE” means a prize awarded in lieu of the regular/special game incentive prize. The Consolation Prize is the minimum prize, or prizes, offered on a regular/special game which is guaranteed to be won during that event.
(h) “EVENING EVENT” means a Bingo Event that commences no earlier than 3:00 P.M. or no later than 7:59 P.M.
(i) “EVENT CLOSE-OUT SUMMARY” means a document which details all financial transactions related to a particular Bingo Event in a format authorized by SLGA.
(j) “GROSS REVENUE” means all monies spent (bet) by patrons in order to participate in a lottery scheme.
(k) “INCENTIVE PRIZE” means a prize offered on a Regular/Special Game which is awarded only when bingo is achieved in a pre-determined manner or within a pre-determined amount of numbers.
(l) “LATE NIGHT EVENT” means a Bingo Event that commences no earlier than 8:00 p.m. or no later than 2:00 a.m.
(m) “LICENCE” means a licence issued pursuant to the Criminal Code of Canada, as amended from time to time, for the conduct and management of a lottery scheme, and includes:
(i) Class A Licence – which is a licence issued to an Association to manage a Bingo Event at an Association Bingo Hall;
(ii) Class B Licence – which is a licence issued to a single charitable or religious organization to participate at a Bingo Event in conjunction with a Class A licensee at an Association Bingo Hall;
(iii) Class C Licence – which is a licence issued to a charity or religious organization to conduct and manage a Bingo Event at a Community Bingo Hall;
(iv) Class C Restricted Licence – which is a licence issued to a charity or religious organization to conduct and manage a Bingo Event at any premises specified in the Licence, under which the total value of all prizes is not to exceed $1,000, and is limited to one (1) Bingo Event per week.
(n) “LICENSEE” refers to the holder of a valid and subsisting Licence issued by SLGA.
(o) “MATINEE EVENT” means a Bingo Event that commences no earlier than 9 a.m. or no later than 2:59 P.M.
(p) “MEDIA BINGO” means a lottery scheme which is transacted via media of mass communication, including but not limited to radio, television, closed circuit, satellite and cable transmission, newspapers, magazines and periodicals regardless of the duration.
(q) “NET PROCEEDS” means the funds left for charitable use after the payment of prizes to players and all expenses authorized by SLGA.
(r) “PROGRAM BINGO” means a style of bingo in which players are not permitted to purchase any game cards without having purchased the minimum admission book sold for that bingo event. Program Bingo shall offer both regular and special games. Entry into the program is not available at any point as permitted with “come and go”.
(s) “REGULAR GAME” means a bingo game conducted during a Bingo Event which is considered a mandatory part of the minimum admission book required to participate in that event. Regular Games are not sold individually or separate from the admission book.
(t) “SPECIAL EVENT BINGO” means a single event bingo operating under special Terms and Conditions. A Licence for such a bingo will be issued at the discretion of SLGA.
(u) “SPECIAL GAME” means a game in addition to the Regular Games, which may or may not offer an incentive prize for obtaining bingo in a pre-determined manner (i.e. – in the required numbers). A special game must be offered for sale individually and is not required to be part of the minimum admission requirements to an Event.
(v) “TRUST ACCOUNT” means an account from which only the Regular/Special Game prizes may be paid. Prize payments may be made through a combination of cash and/or cheque.
(w) “TRUST ACCOUNT PRIZE” means the prize offered to the winner of a Trust Account Game.
4. DISTRIBUTION OF GROSS REVENUE (Class “A”, “B”, and “C”)
(a) Not less than 20% of Gross Revenue of a Bingo Event must accrue to the Class “B” or “C” licensee to be used for the authorized charitable object or purpose. The Class “B” or “C” licensee must leave the Bingo Event with the required 20% of Gross Revenue, in cash or cheque.
(b) The total retail cash value of bingo game prizes awarded per calendar month, including any funds used to fund the Trust Account, shall not exceed 70% of Gross Revenue.
(c) Expenses to conduct any Bingo Event must not exceed 17% of the Gross Revenue (Goods and Services Tax included) averaged on an annual basis. This amount must be inclusive of a minimum of 1% annually to be allocated to the Class “A” licensees for their expenses. Payment of any expenses to a person supplying gaming services to a licensee other than a mere landlord who is providing the facility without any interest in the game, may be made only if that person holds a valid and subsisting certificate of registration as a Gaming Supplier.
(d) Any revenue remaining after the payments referred to in clauses 4(a), (b), and (c) belongs to the Class “A” or “C” licensee and shall be used for charitable or religious object or purposes as approved by SLGA.
(e) In the case of Class "C" licensees, the total retail cash value of bingo game prizes awarded per Bingo Event shall not exceed 80% of Gross Revenue generated from that Bingo Event, which sum includes funds used to fund the Trust Account.
5. GENERAL CONDITIONS (all classes of bingo licensees)
(a) Requested amendment to any Licence issues shall be submitted in writing (by the authorized representative of the Licensee) to SLGA for approval. The submission of amendments does not imply approval by SLGA.
(b) Change of, additional dates, or deletion of dates to conduct bingo shall be submitted in writing for approval on forms authorized by SLGA.
(c) Licenses or Bingo Events or dates are not transferable or assignable. Bingo Events may not be “lent”, “shared” or “co-opted” with any other person or group, even is such group also holds a valid Licence with SLGA. “Donations” or other payments to any person or group who work(ed) all or any portion of a Bingo Event in exchange of such “donation” are not permitted.
(d) No Class B licensee shall conduct or manage more than fifty-two (52) events in a licence year.
(e) A Licensee shall only obtain either a Class B or Class C Licence during a licensing year.
(f) Each charitable organization is allowed only one bingo Licence per year and may be a member of only one Association.
(g) Every Licence to conduct and manage a lottery scheme shall be subject to the term and condition that SLGA may, when the Licence is in effect, prescribe amendments to the terms and conditions of the Licence, effective no less than ten (10) days after SLGA sends a copy of the amendments by ordinary mail addressed to the Licensee at its last known address.
6. CONFLICT OF INTEREST (all classes of bingo licensee)
The Licensee shall ensure there is no conflict of interest, real or perceived, with regards to the operation of gaming activity. A conflict of interest is any situation in which a Licensee or any officer, director, member or Gaming Employee of the Licensee or any person who supplies gaming services to the Licensee, either for himself/herself or some other person(s), promotes or attempts to promote a private or personal interest which results or appears to result in the following:
(a) A conflict or interference with the exercise of his/her duties; or
(b) A gain or an advantage by virtue of his/her position.
7. CONDUCT OF BINGO GAMING (all classes of bingo licensees)
Licensees managing or conducting Bingo Events shall:
(a) Supervise and be responsible for the conduct and management of all aspects of the Bingo Events, including the collection of money and the payment of prizes and expenses.
(b) Ensure that the premises in which the Bingo Event is to be conducted is:
(i) owned or occupied by the Licensee;
(ii) or supplied by a gaming supplier who holds a valid Certificate of Registration as a gaming supplier.
(c) Conduct all Bingo Events at the location which appears on the Licence issued by SLGA.
(d) Conduct bingo gaming only on the specific dates and times approved on the Licence, or on those specific dates and times added by way of an Addendum approved by SLGA.
(e) Pay all prizes as advertised. In the case of Class "C" licensee this shall be limited to 80% of Gross Revenues generated at that event.
(f) Produce at the Bingo Event the Licence which authorizes the conduct of the Bingo Event and post it in a prominent position in the premises for the duration of the event.
(g) Utilize volunteers to conduct and manage the Bingo Event and ensure that bingo workers do not receive remuneration, per diem, honoraria, or any other form of direct or indirect compensation.
(h) Permit only bingo paper authorized by SLGA to be used in the conduct of bingo gaming.
(i) Ensure all bingo paper sold shall be exchanged for cash or direct debit at time of sale. All debit transactions must occur at the counter and cannot occur on the gaming floor. Cheques or other negotiable instruments are prohibited.
(j) Not extend credit for the purchase of bingo paper.
(k) Ensure all sales of bingo paper are final. Refunds are prohibited.
(l) Ensure that bingo paper is not mutilated, cut or altered in any way which would result in player fraud or the misrepresentation of the true gross revenue.
(m) Ensure workers and volunteers do not play bingo during any Bingo Event in which they work.
(n) Ensure gaming employees do not play bingo in any hall or premise in which they are employed.
(o) Ensure that Event Close-Out Summary as approved by SLGA is completed for each and every session.
(p) Record on the Event Close-Out Summary all bingo games conducted, and record in detail all information required on the Event Close-Out Summary for each Bingo Event conducted.
(q) Not charge an admission fee to any patron attending a Bingo Event.
(r) Ensure the Association or gaming supplier shall not purchase bingo paper from the charity for the purpose of inflating Gross Revenue.
(s) Observe and comply with all applicable municipal, provincial and federal laws.
(t) Report immediately, in writing, to SLGA any cheating or other gaming irregularity, known or suspected.
(u) Ensure that pre-posted number games follow the Rules of Play established in Appendix A of these Terms and Conditions.
(v) Ensure that the minimum amount charged for an eadmission book is fifty cents ($.50) per face and that the minimum amount charged for bingo paper outside the entry book is fifty cents ($.50) per sheet.
(w) Be permitted to offer free paper and/or coupons. Free paper cannot be offered to players without the purchase of a minimum admission book. In the case of Come & Go Bingo, free paper cannot be offered to players who have not made a purchase at the minimum price guidelines.
(x) Not intentionally duplicate bingo paper offered for sale.
(y) Maintain a bingo paper inventory control system wherein all transactions relating to bingo paper are recorded to clearly indicate all bingo paper purchased, sold and remaining bingo paper inventory.
(z) Ensure that any advertising or publicity for a Bingo Event or hall:
(i) does not depict any person as a minor; and
(ii) is not addressed to minors unless the advertising or publicity is intended to:
(a) promote abstinence or moderation in playing games of chance; or
(b) advise of the detrimental effects or consequences of excessive gaming.
(aa) Not promote bingo through any means of advertising or publicity that:
a) gives a person an unrealistic perception of a player's chance of winning;or
b) does not conform to prevailing community standards.
(bb) Ensure that if merchandise prizes are being offered, documentation from the supplier of the prize showing the actual retail prize value of the merchandise shall be attached to the Close-Out Summary.
8. The Class “A” licensee managing or conducting Bingo Events shall: (Class “A” licensees only)
(a) Supervise and be responsible for the conduct and management of all aspects of the lottery scheme at an Association Bingo Hall.
(b) Employ or permit only persons in possession of a valid certificate of registration as a gaming employee to provide guidance and direction to the Class B Licensee conducting the licensed gaming event. Such duty or service must only be in the capacity for which said persons are registered.
(c) Ensure all registered gaming employees who are employed on the premises, wear the certificate of registration tag which identifies the registrant by name, and position (and can be viewed by the gaming public) at all times during the Bingo Event.
(d) Ensure all premises used for Bingo Events and all gaming equipment or devices, including without restriction; product, and supplies used in gaming operation, are approved by SLGA and are made available on request for inspection at all reasonable times by any inspector or other person duly authorized by SLGA. All equipment or devices shall be of a quality and standard to ensure the integrity and fair play of the gaming and be maintained in good repair at all times during use at a Bingo Event.
(e) Assign Bingo Event to Class B Licensees in accordance with the dates and times for which the Association has been licensed and provide fair and equitable scheduling of Bingo Event for all Class B licensees in accordance with the guidelines established by SLGA.
(f) Not cancel or reassign dates or times nor prevent a Licensee holding a valid bingo Licence from conducting a Bingo Event without the express written authority of SLGA.
(g) Provide a secure area or separation between Bingo Events to allow a Class B Licensee to complete records, cash handling, etc. before another Class B Licensee is allowed to conduct the following event.
(h) Provide adequate and secure work areas for the Licensee. This shall include a secure area for the counting of money, completion of the Event Close-Out Summary and any other functions requiring security.
(i) Ensure that a registered gaming employee in the position of manager or assistant manager is present on the premises and available to provide guidance and direction to the Licensee at all times during a Bingo Event.
(j) Ensure, prior to allowing the commencement of the Bingo Event, that the event is duly authorized by a Licence issued by SLGA and that the Licence is posted in a prominent position in the public area of the premises.
(k) Ensure that the Event Close-Out Summary, authorized by SLGA, is completed for all Bingo Events conducted. The Event Close-Out Summary must include all game sales at the event and all prizes paid at the event (both to players directly or into the trust account), as well as any other information required as per SLGA approved Event Close-Out Summary.
(l) Permit any Licensee in possession of a valid Breakopen Licence for the premises to sell Breakopen tickets during a Bingo Event. The first preference shall be given to the Licensee conducting the Bingo Event. Suitable booths, tables, or enclosures from which such sales are made shall be provided by the Association.
(m) Ensure that all charges and services rendered do not place the Licensee in a position that would cause the Licensee to violate the Terms and Conditions of the Licence. Any adjustments to fees and charges shall require prior written approval by SLGA.
(n) At the time of application, indicate the style of bingo, “come and go” or “program”, they will be offering at their site. A Class “A” licensee shall only be permitted to conduct the style of bingo which is indicated on the licence. Class “A” licensees are not permitted to offer both styles of bingo.
(o) Ensure that funds are available at all times, in the lottery bank account and /or the trust account, to ensure that al prize commitments can be paid.
(p) Indicate, in writing, all terms or rules of the Regular/Special Games to the bingo players prior to the games being offered. Terms or rules (when applicable) shall include:
(i) the starting point for the incentive prize value;
(ii) the starting point for the required numbers to win the incentive prize;
(iii) the maximum or freeze point of the incentive prize value;
(iv) the amount the incentive prize shall accumulate by and how often it will accumulate;
(v) the amount and how often the required numbers will increase;
(vi) any additional information necessary to ensure that all participants fully understand the rules of play.
9. TRUST ACCOUNT GAMES
At the discretion of the licensee a Trust Account may be established. Where a trust account is established, the Licensee shall:
(a) Ensure funding of the trust account shall be included as a portion of the amount representing the value of the Bingo Event’s prizes recorded on the Event Close-Out Summary. Any other deposit of funds into the trust Aacount is prohibited. Deposits to the trust account are to be made on the next banking day following the Bingo Event.
(b) Ensure all disbursements of funds from the trust account are made exclusively by cheque and shall only be used to pay the Regular/Special Game prizes. (use of the Trust Account to pay prizes is at the discretion of hall management.)
(c) Ensure upon payment of Trust Account prize, or any incentive prize from a source other than that event's gross sales, that a signed receipt is obtained from the winner. This receipt requires the following:
(i) Date;
(ii) Amount of prize;
(iii) Name, address and signature of winner;
(iv) Name of Regular/Special Game.
10. MEDIA BINGO
(a) House rules for Media Bingo must be announced, printed, or visually displayed prior to each Bingo Event and must state the minimum age limit to play Media Bingo.
(b) If the value of prizes are advertised, any cash amount guaranteed in lieu of merchandise must be indicated.
(c) Person(s) involved in the conduct of management of a Media Bingo event may not play on the premises from which the Bingo Event is being operated.
(d) House rules must be submitted to SLGA for prior approval, at the time of application.
(e) An organization which is planning to cease the operation of a Media Bingo shall give away any accumulated prize during the final Bingo Event.
(f) Individual prizes offered or paid at any Media Bingo event shall not exceed five thousand dollars ($5,000).
(g) Media Bingo paper shall not be given away.
(h) Media Bingo paper shall be serialized and sealed in a manner preventing identification of the bingo numbers until purchased and opened by the player, and must have an identifying logo on paper.
(i) A Ball Verification Sheet which records the sequence the balls were called must be completed for each Media Bingo game and signed and verified by at least two people from the Licensee.
(j) Media Bingo paper as authorized by SLGA must be used for all Media Bingo games.
(k) All winning cards must be verified with the Master book or replacement card book.
(l) A minimum of seven (7) days must be allowed for mail-in winners prior to awarding of prizes.
(m) Notwithstanding section 3(d), a Bingo event for Media Bingo may be less than two (2) hours in duration.
11. BANKING (all classes of bingo licensees)
The Licensee shall:
(a) Open and maintain a separate and distinct bank account for Bingo lottery funds or maintain a single bank account for Bingo and Breakopen lottery proceeds only. Should the Licensee elect to maintain a single lottery bank account, deposits for each lottery’s proceeds shall be made on separate deposit slips.
(b) Deposit all funds from each Bingo Event into the lottery bank account no later than the second banking day following the event. For each event held there shall be a corresponding deposit.
(c) Hold all funds on deposit in the lottery bank account until such funds are required for the authorized charitable purpose.
(d) Make all disbursements from the lottery bank account by cheque directly to the licensed charitable purpose. Funds may NOT be transferred to any other account prior to disbursement for the authorized charitable purpose.
(e) All interest paid into a lottery bank account becomes subject to the licensed charitable spending restrictions as though such interest was earned as part of lottery proceeds.
(f) NOT lend proceeds or any portion of the lottery Gross Revenue to any person or group for any purpose without the express written consent of SLGA.
12. ACCOUNTING AND FINANCIAL REPORTING
All Licensees shall:
(a) Prepare and maintain a true copy of all Event Close-Out Summaries and all other working papers, including prize payout record from each event conducted.
(b) Prepare and maintain a register/journal to accurately reflect and describe all transactions occurring in the lottery bank account including the following details of all disbursements of proceeds made from the account:
(i) Cheque number;
(ii) Date of cheque;
(iii) Payee;
(iv) Dollar amount;
(v) Purpose.
(c) Retain all record relating to any and every Bingo Event, including Close-Out Summaries, prize records, deposit books/slips, lottery bank account statement, cancelled cheques, copies of financial reports, cheque register(s)/journal(s) and any other financial documentation including receipts, relating to the conduct of the Bingo Event or the disposition of the funds for a minimum of three (3) years from the date of expiry of the Bingo Licence.
The Class “A” and “C” Licensees shall:
(d) Be responsible and fully accountable for maintaining complete, up-to-date records of the Trust Account and any other records required by SLGA.
The Trust Account records shall clearly indicate the following deposit information:
(i) Date and dollar amount of each and every deposit;
(ii) Licensee number from whom the deposit was collected.
The Trust Account records shall clearly indicate the following disbursement information:
(i) Cheque number;
(ii) Date of cheque;
(iii) Dollar amount;
(iv) Payee name;
(v) Complete payee address.
(e) Complete in detail a financial report (Monthly Bingo Trust Account and Event Log) describing all transactions relating to the Trust Account. The Association shall submit this report to SLGA within five (5) days following the end of each calendar month.
(f) Retain all records relating to the Trust Account including deposit books/slips, bank account statements, cancelled cheques, true copies of financial reports, cheque register(s)/journal(s) and any other financial documentation relating to the Trust Account;
These records are to be retained on the premises for a minimum of three (3) years from the date of the last transaction. In the case where a Registration had been cancelled, suspended, or otherwise terminated, the Association shall notify SLGA of the location where the records will be held.
(g) Complete a Monthly Bingo Event Log showing gaming activity at all bingo Events conducted or managed by the Association during each month and signed by the Association manager. This report shall be submitted to SLGA within five (5) days following the end of each calendar month.
(h) If required, complete in detail a financial report on forms prescribed by SLGA and submit the forms to SLGA within 20 days following each quarterly period of the Licence duration. In the case where a bingo Licence has been issued for the conduct of a single event, this report is required within 20 days following the event.
APPENDIX A
PRE-POSTED NUMBER [BONANZA] GAMES
(i) A pre-posted [bonanza] game is a bingo game in which a pre-determined number of numbers are called prior to the start of a Bingo Event. Upon closing of the bingo paper sales the game is continued until a winner is determined.
(ii) Bingo paper used for pre-posted number games must be pre-sealed in such a manner the bingo numbers are not visible to the seller or the purchaser until the seal is broken.
(iii) The pre-posted numbers must not be called earlier than one full hour prior to the actual starting time of the Bingo Event.
(iv) A member of the Licensee organization conducting the Bingo Event, one player, along with the registered caller, must be present at the ball dispenser for the calling of the pre-posted numbers.
(v) Upon calling of each number, the number called must be recorded on the ball verification sheet. Upon completion of the game, the sheet must be signed by the caller and the Licensee member. This sheet shall be attached to the Bingo Event Close-Out Summary sheet and shall become part of the official record of the Bingo Event.
(vi) Each winning bingo card must be checked with a master ledger and replacement card book of the bingo permutation to ensure the winning card is valid.
(vii) The equipment used in the conduct of the game must be of the quality to ensure the integrity of the game.
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