AB100-engrossed, s. 4666
24Section
4666. Subchapter II (title) of chapter 563 [precedes 563.04] of the
25statutes is repealed and recreated to read:
AB100-engrossed,2048,3
2SUBCHAPTER II
3
DUTIES AND POWERS
AB100-engrossed,2048,6
5563.04 (title)
General duties of the board department. (intro.) The
board 6department shall:
AB100-engrossed,2048,8
8563.05 (title)
Powers and duties of board department.
AB100-engrossed,2048,1310
563.05
(2) The
board department may promulgate rules requiring holders of
11licenses issued under this chapter to post a notice in a conspicuous place where a
12bingo occasion or raffle drawing is conducted describing the procedures for filing a
13complaint against the holder.
AB100-engrossed,2048,1815
563.05
(3) The
board department may promulgate rules specifying the number
16of business days within which the
board department must review and make a
17determination on an application for a permit, as defined in s. 560.41 (2), that is issued
18under this chapter.
AB100-engrossed,2048,2320
563.05
(4) The
board department may promulgate rules defining procedures
21to be used by the
board department for receiving, filing and investigating complaints,
22for commencing disciplinary proceedings and for conducting hearings under this
23chapter.
AB100-engrossed,2049,6
1563.05
(5) (intro.) No employe in the division of gaming who performs any duty
2related to bingo or raffles or the executive assistant or the secretary or deputy
3secretary of administration and no member of such a person's immediate family, as
4defined in s. 19.42 (7), may, while that person is employed or serves in such a capacity
5or for 2 years following the termination of his or her employment with the
6department after having served in such a capacity, do any of the following:
AB100-engrossed,2049,108
563.05
(6) The
board department shall
deposit credit all moneys received by the
9board department under this chapter, except s. 563.80,
in to the appropriation
10account under s.
20.197 (1) 20.505 (8) (j) .
AB100-engrossed,2049,13
12563.051 Bingo and raffle security. The department may do any of the
13following:
AB100-engrossed,2049,15
14(1) Provide all of the security services for the bingo and raffle operations under
15this chapter.
AB100-engrossed,2049,17
16(2) Monitor the regulatory compliance of bingo and raffle operations under this
17chapter.
AB100-engrossed,2049,18
18(3) Audit the bingo and raffle operations under this chapter.
AB100-engrossed,2049,19
19(4) Investigate suspected violations of this chapter.
AB100-engrossed,2049,21
20(5) Report suspected gaming-related criminal activity to the division of
21criminal investigation in the department of justice for investigation by that division.
AB100-engrossed,2049,24
22(6) If the division of criminal investigation in the department of justice chooses
23not to investigate a report under sub. (5), coordinate an investigation of the suspected
24criminal activity with local law enforcement officials and district attorneys.
AB100-engrossed,2050,62
563.055
(1) If the holder of a license issued under this chapter pays a fee
3required under s. 563.13 (4), 563.22 (2) or 563.92 (2) by check and the check is not
4paid by the bank upon which the check is drawn, the
board department may cancel
5the license on or after the 60th day after the
board
department receives the notice
6from the bank, subject to sub. (2).
AB100-engrossed,2050,118
563.055
(2) (intro.) At least 20 days before canceling a license, the
board 9department shall mail a notice to the holder that informs the holder that the check
10was not paid by the bank and that the holder's license may be canceled on the date
11determined under sub. (1) unless the holder does all of the following before that date:
AB100-engrossed,2050,1413
563.055
(2) (b) Pays the charge for an unpaid draft established by the
14depository selection board state treasurer under s. 20.905 (2).
AB100-engrossed,2050,1816
563.055
(3) Nothing in sub. (1) or (2) prohibits the
board department from
17extending the date for cancellation to allow the holder additional time to comply with
18sub. (2) (a) and (b).
AB100-engrossed,2050,2220
563.055
(5) The
board department may reinstate a license that has been
21canceled under this section only if the previous holder complies with sub. (2) (a) and
22(b) and pays a $30 reinstatement fee.
AB100-engrossed,2051,7
24563.10 Rules governing commingling of receipts restricted. 25Notwithstanding ss. 227.11 (2), 227.24 (1) (a) and 563.04 (3), the
board department
1may not promulgate any emergency rule relating to the commingling of bingo and
2raffle receipts unless it can clearly establish that commingling will occur without
3such rule and that the rule will effectively prevent commingling. The
board 4department shall set forth any such finding in its proposed rule. If upon review
5under s. 227.40, the court finds that the finding of fact upon which any emergency
6rule relating to such commingling is based is unsupported by clear and convincing
7evidence, the rule is invalid.
AB100-engrossed,2051,12
9563.12 Bingo license application. (intro.) Each applicant for a license to
10conduct bingo shall file with the
board department an application on a form
11prescribed by the
board department. Except as provided in s. 563.135, the
12application shall include:
AB100-engrossed,2051,1614
563.12
(2) Sufficient facts relating to the incorporation or organization of the
15applicant to enable the
board department to determine if the applicant is eligible for
16a license under this subchapter.
AB100-engrossed,2051,21
18563.14 (title)
Board Department determinations. (intro.) Upon receipt
19of an application for a license to conduct bingo, the
board department shall
20investigate the qualifications of the applicant and the merits of the application and
21before issuing a license shall determine that:
AB100-engrossed,2052,523
563.15
(1) After making the determinations under s. 563.14, the
board 24department shall either notify the applicant organization in writing why a license
25is not being issued or issue a license to such applicant organization authorizing it to
1conduct bingo at the times and places set forth in the license. Except as provided in
2sub. (1m), a license issued under this subsection shall be effective for one year from
3the first day of the month of the first occasion listed on the license and may be
4renewed annually, except that an applicant organization may request that the
5license expire on the first day of any month within the one-year licensure period.
AB100-engrossed,2052,97
563.15
(1m) A license issued under sub. (1) to an organization listed under s.
8563.11 (1) (b) to (d) shall remain in effect unless it is canceled, suspended or revoked
9by the
board department or withdrawn by the organization.
AB100-engrossed,2052,21
11563.16 Amendment of license to conduct bingo. Upon application by a
12licensed organization, a license may be amended, if the subject matter of the
13amendment properly and lawfully could have been included in the original license.
14An application for an amendment to a license shall be filed and processed in the same
15manner as an original application. An application for the amendment of a license
16shall be accompanied by a $3 fee. If any application for amendment seeks approval
17of additional bingo occasions or designates a new member responsible for the proper
18utilization of gross receipts, the appropriate fee under s. 563.13 (4) also shall be paid.
19If the
board department approves an application for an amendment to a license, a
20copy of the amendment shall be sent to the applicant who shall attach it to the
21original license.
AB100-engrossed,2053,8
23563.17 Denial of application; hearing. If the
board department denies a
24license to conduct bingo, within 30 days after receiving written notification of such
25denial, an applicant may demand in writing a hearing before the
board department
1upon the applicant's qualifications and the merit of the application. At the hearing,
2the burden of proof shall be on the applicant to establish his or her eligibility for a
3license. If, after the hearing, the
board department enters an order denying the
4application, the order shall set forth in detail the reasons for the denial. Upon entry
5of such an order or upon the expiration of the 30-day period during which a hearing
6may be demanded, the applicant's license fee shall be refunded less reasonable
7administrative costs. If the
board department approves the application, the
board 8department shall issue the license within 14 days after approval.
AB100-engrossed,2053,1210
563.18
(1) Proceedings to suspend or revoke a supplier's license or a license to
11conduct bingo shall be initiated by the
board department pursuant to the rules
12promulgated under s. 563.05 (4).
AB100-engrossed,2053,1514
563.18
(3) The
board's department's decision under this section is subject to
15judicial review under ch. 227.
AB100-engrossed,2053,2217
563.18
(4) When a license under this subchapter is suspended or revoked by
18the
board department, the licensee shall immediately surrender the license to the
19board department. A licensee whose license has been revoked may reapply for a
20license one year after the effective date of the revocation. If a license has been
21suspended under sub. (3), the
board department shall reinstate the license at the end
22of the period of suspension.
AB100-engrossed,2054,3
1563.21 Supplier's license. Any person intending to sell or distribute bingo
2supplies or equipment to a licensed organization shall apply to the
board department 3for a supplier's license.
AB100-engrossed,2054,75
563.22
(1) (intro.) An application for a supplier's license shall be filed with the
6board department on a form prescribed by the
board department. The application
7shall include:
AB100-engrossed,2054,119
563.22
(1) (g) If the applicant business is organized outside of this state, the
10name and address of a resident agent who is authorized to be served legal documents
11and receive notices, orders and directives of the
board department.
AB100-engrossed,2055,2
13563.24 Issuance of supplier's license. Upon receiving an application for a
14supplier's license, the
board department may require the applicant, or if the
15applicant is a corporation, limited liability company or partnership, its officers,
16directors, stockholders and members, to appear and testify under oath on the
17contents of the application. If the
board department determines that the supplier's
18license applicant possesses the requisite qualifications, a license shall be issued to
19the bingo supplier. A license issued under this section shall be effective for one year
20from the first day of the month of its issuance, and may be renewed annually. If the
21application is not approved, the department shall notify the applicant in writing of
22such action. Within 10 days after receipt of such notification, the applicant may
23demand a hearing before the
board department. At the hearing, the burden of proof
24shall be on the applicant to establish his or her qualifications and the merit of the
25application. The fee, less reasonable administrative costs, shall be refunded to the
1applicant upon entry of an order denying an application after hearing, or upon
2expiration of the period during which a hearing may be demanded.
AB100-engrossed,2055,14
4563.25 (title)
Supplier to notify board department of changes. During
5the pendency of an application for a supplier's license, the applicant shall
6immediately notify the
board department in writing of any change in the facts set
7forth in the application, including any change in any item in the application, in the
8organization, structure or mode of operation of the supplier's business and in the
9identity of persons named or required to be named in the application or the nature
10or extent of their interests. Within 10 days after any such change which occurs after
11the issuance of the license, the change shall be reported to the
board department.
12Failure to notify the
board department of such change shall constitute sufficient
13cause for denial of a pending license application or for suspension or revocation of a
14license which has been granted.
AB100-engrossed,2055,24
16563.26 Maintenance of supplier's books and records. Each licensed
17supplier shall maintain his or her books and records in such manner as to enable the
18board department to determine the gross sales of bingo supplies and equipment to
19licensed organizations. Invoices for the sale of bingo supplies and equipment shall
20include the name and license number of the organization to which the supplies were
21sold, the date and amount of the sale and an enumeration of the items sold. Each
22licensed supplier and formerly licensed supplier shall maintain his or her books and
23records for not less than 4 years and shall make them available at reasonable times
24for examination by the
board department or its authorized representatives.
AB100-engrossed,2056,3
1563.29
(3) No licensed supplier shall sell or distribute to a licensed
2organization any card unless it is identified in the standard set of bingo cards
3prescribed by the
board department.
AB100-engrossed,2056,65
563.53
(1) All special bingo cards shall be in a form approved by the
board 6department.
AB100-engrossed,2056,148
563.61
(1) (intro.) Each licensed organization shall file with the
board 9department , on a form prescribed by the
board department, a semiannual report of
10bingo operations for each 6-month period beginning on the date on which the
11organization's license is issued. The report is due on the 60th day after the last day
12of the reporting period. The report shall be accompanied by the payment of the gross
13receipts tax due. The licensed organization shall retain a copy of the report for its
14permanent records. The report shall include:
AB100-engrossed,2056,1716
563.61
(3) If no bingo games are held on a date when a license authorizes them
17to be held, a report to that effect shall be filed with the
board department.
AB100-engrossed,2056,2119
563.62
(1) The
board department may refuse to renew a license of an
20organization found to be delinquent in filing its financial statement or found to have
21filed an incomplete statement of bingo operations.
AB100-engrossed,2057,223
563.62
(2) If a licensed organization fails to file a financial statement of bingo
24operations within 5 days after notification by the
board department of the
1delinquency, the
board department may suspend the license, pending the filing of the
2financial statement.
AB100-engrossed,2057,74
563.62
(3) If the financial statement filed by a licensed organization is not fully,
5accurately and truthfully completed, the
board department may refuse to renew a
6license or may suspend a license until such time as a statement in proper form has
7been filed.
AB100-engrossed,2057,209
563.64
(2) The columnar book, deposit books, canceled checks, records of share
10drafts, check books, records of share accounts, records of negotiable orders of
11withdrawal, deposit slips, bank statements and copies of financial statements of
12bingo operations and all other books and accounts shall be maintained for not less
13than 4 years and shall be available at reasonable times for examination by the
board 14department or its authorized representative. The
board department may require the
15licensed organization to obtain microfilm copies of share drafts to the extent
16necessary for examination purposes. All documents supporting the entries made in
17the books of accounts shall be kept by the licensed organization for a period of not less
18than 4 years. Such documents shall include, but are not limited to, bank statements,
19canceled checks, records of share drafts, deposit slips and invoices for all
20expenditures.
AB100-engrossed,2058,5
22563.65 Proper and legitimate expenditures; reimbursement and
23waiver. If a financial audit of a licensed organization shows that an expenditure of
24bingo funds was not a proper and legitimate expenditure and the
board department 25requests that the licensed organization reimburse the appropriate bingo account in
1an amount equal to the amount so expended, the licensed organization may appeal
2the request to the
board department. The
board department may waive or reduce
3the amount of any such reimbursement if the licensed organization presents
4evidence satisfactory to the
board department that the licensed organization acted
5in good faith and by mistake or inadvertently in so expending the funds.