Colorado 2024 Regular Session

Colorado House Bill HB1326 Latest Draft

Bill / Enrolled Version Filed 05/29/2024

                            HOUSE BILL 24-1326
BY REPRESENTATIVE(S) Ricks and Brown, Epps, Bacon, Catlin, Duran,
Lindsay, Ortiz, English, Hamrick, Mabrey;
also SENATOR(S) Smallwood and Zenzinger, Priola.
C
ONCERNING CONTINUATION UNDER THE SUNSET LAW OF THE LICENSING OF
CERTAIN GAMES OF CHANCE INCLUDING BINGO
, AND, IN CONNECTION
THEREWITH
, MAKING AN APPROPRIATION.
 
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. In Colorado Revised Statutes, 24-21-602, amend
(1)(a) and (6); repeal (5.5); and add (40.5) as follows:
24-21-602.  Definitions. As used in this part 6, unless the context
otherwise requires:
(1)  "Bingo" means:
(a)  A 
STRIP bingo strip card
 game; or
(5.5)  "Bingo strip card game" means a type of bingo that is played
with a strip of up to five connected paper bingo cards, with each card
NOTE:  This bill has been prepared for the signatures of the appropriate legislative
officers and the Governor.  To determine whether the Governor has signed the bill
or taken other action on it, please consult the legislative status sheet, the legislative
history, or the Session Laws.
________
Capital letters or bold & italic numbers indicate new material added to existing law; dashes
through words or numbers indicate deletions from existing law and such material is not part of
the act. containing a concealed grid of preprinted numbers ranging from one to
seventy-five. The winner is the first player to match the numbers drawn on
one or more bingo balls to the prearranged pattern of numbers on a card.
The maximum prize for an individual card may not exceed one thousand
dollars.
(6)  "Board" means the Colorado bingo-raffle advisory CHARITABLE
GAMING
 board created in section 24-21-630.
(40.5)  "S
TRIP BINGO GAME" MEANS A TYPE OF BINGO THAT IS PLAYED
WITH A PAPER STRIP CARD OF UP TO FIVE CONNECTED PAPER BINGO FACES
,
WITH EACH BINGO FACE CONTAINING A CONCEALED GROUPING OF
PREPRINTED SYMBOLS
, FREE SPACES, AND NUMBERS RANGING FROM ONE TO
SEVENTY
-FIVE.
SECTION 2. In Colorado Revised Statutes, 24-21-604, repeal (4)
as follows:
24-21-604.  Legislative declaration - consideration for tickets -
conditions - rules. (4)  A bingo-raffle licensee may, directly or through a
third party, presell tickets to a charitable gaming event.
SECTION 3. In Colorado Revised Statutes, 24-21-605, amend
(1)(a)(II) and (1)(b) as follows:
24-21-605.  Licensing and enforcement authority - powers - rules
- duties - license suspension or revocation proceedings - definitions.
(1)  The secretary of state is hereby designated as the "licensing authority"
of this part 6. As licensing authority, the secretary of state's powers and
duties are as follows:
(a) (II)  In lieu of seeking a suspension or revocation of any license
issued by the licensing authority, The licensing authority may impose a
reasonable fine for any violation of this part 6 or any rule adopted pursuant
to this part 6, not to exceed one hundred
 TWO HUNDRED FIFTY dollars per
citation. The imposition of any such fine may be appealed to an
administrative law judge. 
(b)  To supervise the administration and enforcement of this part 6
and in consultation with the board,
 to adopt, amend, and repeal rules
PAGE 2-HOUSE BILL 24-1326 governing the holding, operating, and conducting of games of chance, the
purchase of equipment, the establishment of a schedule of reasonable fines,
not to exceed one hundred
 TWO HUNDRED FIFTY dollars per citation, for
violation by licensees of this part 6 or of rules adopted pursuant to this part
6, to the end that games of chance shall be held, operated, and conducted
only by licensees for the purposes and in conformity with the state
constitution and the provisions of this part 6;
SECTION 4. In Colorado Revised Statutes, 24-21-609, amend
(2)(b) as follows:
24-21-609.  Application for bingo-raffle license. (2) (b)  Each
designated games manager must have been an active member of the
applicant for at least the six months immediately preceding his or her
 THE
MEMBER
'S designation AS A GAMES MANAGER and shall be certified by the
licensing authority pursuant to section 24-21-610 before assuming games
management duties.
SECTION 5. In Colorado Revised Statutes, 24-21-614, amend
(1)(c) as follows:
24-21-614.  Application for manufacturer's agent license or
supplier's agent license. (1)  Each application for a manufacturer's agent
license or supplier's agent license must include, but not be limited to, the
following information:
(c)  A statement by the applicant that he or she
 THE APPLICANT has
read, understands, and will comply with this part 6 as to manufacturer's and
supplier's agents and the conditions of the agent's license;
SECTION 6. In Colorado Revised Statutes, 24-21-617, amend (1);
and add (16) as follows:
24-21-617.  General conduct games of chance - premises -
equipment - expenses - rules. (1)  A licensee shall not hold, operate, or
conduct a game of bingo or lotto more often than as specified by the
licensing authority by rule. after consultation with the board.
(16)  A BINGO-RAFFLE LICENSEE MAY, DIRECTLY OR THROUGH A
THIRD PARTY
, PRESELL TICKETS TO A CHARITABLE GAMING EVENT .
PAGE 3-HOUSE BILL 24-1326 SECTION 7. In Colorado Revised Statutes, 24-21-618, amend
(3)(d); and add (11) as follows:
24-21-618.  Conduct of bingo games. (3) (d)  An operator shall not
reserve or allow to be reserved any bingo cards for use by players except
braille cards or other cards for use by legally blind players. A person who
is legally blind may use his or her
 personal braille cards when a licensed
organization does not provide such cards. A licensed organization may
inspect and reject any personal braille card. A person who is legally blind
or an individual with a disability may use a braille card or hard card in place
of a purchased disposable paper bingo card.
(11)  I
N THE CONDUCT OF ANY STRIP BINGO GAME OR ANY OCCASION
THAT INCLUDES A STRIP BINGO GAME
:
(a)  A
 BINGO-RAFFLE LICENSEE MAY USE ANY STYLE OF STRIP BINGO
GAME AUTHORIZED BY THIS PART 
6 OR BY THE RULES ADOPTED PURSUANT
TO THIS PART 
6;
(b)  T
HE MAXIMUM PRIZE FOR A STRIP BINGO GAME MUST NOT EXCEED
ONE THOUSAND DOLLARS
;
(c)  B
OTH STRIP BINGO GAMES AND TRADITIONAL BINGO GAMES MAY
BE PLAYED DURING THE SAME OCCASION
; AND
(d)  THE TOTAL AMOUNT OF PRIZES AWARDED FOR ALL BINGO GAMES
AT A SINGLE OCCASION MUST NOT EXCEED FIFTEEN THOUSAND DOLLARS
.
SECTION 8. In Colorado Revised Statutes, 24-21-622, amend
(3)(a) as follows:
24-21-622.  Bingo-raffle licensee's statement of receipts -
expenses - fee - definitions. (3) (a)  All money collected or received from
the sale of admission, extra regular cards, bingo strip cards, special game
cards, sale of supplies, and all other receipts from the games of
TRADITIONAL AND STRIP bingo GAMES, raffles, and pull tab games shall be
deposited in a special checking or savings account, or both, of the licensee,
which must contain only this money. If the licensee conducts progressive
games of chance, the licensee may maintain one additional checking or
savings account, which must contain only money received from the sale of
PAGE 4-HOUSE BILL 24-1326 progressive games. The licensee may withdraw money from these accounts
only by consecutively numbered checks or withdrawal slips or by electronic
transactions referenced by transaction number or date. A check or
withdrawal slip must not be drawn to "cash" or a fictitious payee. The
licensee shall maintain all of its books and records in accordance with
generally accepted accounting principles.
SECTION 9. In Colorado Revised Statutes, 24-21-630, amend (1),
(2) introductory portion, (2)(a)(I), (2)(a)(V), (2)(a)(VI), (2)(b), (2)(d),
(2)(e), (2)(f), (2)(g), (2)(h), and (2)(i); repeal (2)(a)(II) and (2)(a)(III); and
add (2)(a)(VII), (2)(l), (2)(m), and (2)(n) as follows:
24-21-630.  Colorado charitable gaming board - creation.
(1)  There is hereby
 created, within the department of state, the Colorado
bingo-raffle advisory CHARITABLE GAMING board.
(2)  The board consists of nine SEVEN members, all of whom must
be citizens of the United States who have been residents of the state for at
least the past five
 TWO years. A member must not have been convicted of
a felony or gambling-related offense, notwithstanding section 24-5-101. No
more than five
 THREE of the nine SEVEN members may be members of the
same political party; 
EXCEPT THAT THE POLITICAL PARTY AFFILIATION OF
THE SECRETARY OF STATE
'S DESIGNEE SHALL NOT BE CONSIDERED FOR
PURPOSES OF DETERMINING COMPLIANCE WITH THIS REQUIREMENT
. THE
SECRETARY OF STATE
'S DESIGNEE SHALL CONVENE THE BOARD 'S FIRST
MEETING AS SOON AS PRACTICABLE BUT NOT LATER THAN SIXTY DAYS AFTER
A MAJORITY OF THE SEVEN BOARD MEMBERS ARE APPOINTED IN
ACCORDANCE WITH THIS SECTION
. At the first meeting of each fiscal year,
a majority of the members must choose a chair and vice-chair of the board
from the membership. Membership and operation of the board must
additionally meet the following requirements:
(a) (I)  Three members of the board must be bona fide members of
a bingo-raffle licensee that is classified as a religious organization, a
charitable organization, a labor organization, an educational organization,
A VETERANS' ORGANIZATION, A FRATERNAL ORGANIZATION, or a voluntary
firefighter's organization; except that no more than one member shall be
appointed from any one such classification;
(II)  One member of the board must be a bona fide member of a
PAGE 5-HOUSE BILL 24-1326 bingo-raffle licensee that is a veterans' organization;
(III)  One member of the board must be a bona fide member of a
bingo-raffle licensee that is a fraternal organization;
(V)  Two members ONE MEMBER of the board must be A landlord
licensees LICENSEE; and
(VI)  One member of the board must be a registered elector of the
state who is not employed by or an officer or director of a licensee, does not
have a financial interest in any license, and does not have an active part in
the conduct or management of games of chance by any bingo-raffle
licensee; 
AND
(VII)  ONE MEMBER OF THE BOARD MUST BE THE SECRETARY OF
STATE
'S DESIGNEE.
(b) (I)  Of the five
 THE GOVERNOR SHALL APPOINT THE THREE
members of the board who are categorized as bona fide members of a
bingo-raffle licensee. two shall be appointed by the president of the senate,
two shall be appointed by the speaker of the house of representatives, and
one shall be appointed jointly by the president and the speaker.
(II)  Of the two members THE GOVERNOR SHALL APPOINT THE
MEMBER
 of the board who are categorized as landlord licensees, one shallbe appointed by the president of the senate and one shall be appointed by
the speaker of the house of representatives IS A SUPPLIER LICENSEE AND THE
MEMBER OF THE BOARD WHO IS A LANDLORD LICENSEE
.
(III)  The president of the senate shall appoint the member of theboard who is a supplier licensee. The speaker of the house THE SECRETARY
OF STATE
 shall appoint the member of the board who is a registered elector
AND THE MEMBER OF THE BOARD WHO IS THE SECRETARY OF STATE 'S
DESIGNEE
.
(d)  Any vacancy on the board shall
 MUST be filled for the unexpired
term in the same manner as the original appointment; 
EXCEPT THAT, IN THE
EVENT OF AN EXTENDED VACANCY OF MORE THAN THREE MEETINGS OR THE
FAILURE OF THE GOVERNOR TO APPOINT A NEW MEMBER WITHIN THREE
MONTHS OF THE VACANCY
, THE SECRETARY OF STATE MAY APPOINT A
PAGE 6-HOUSE BILL 24-1326 REPLACEMENT MEMBER . The member appointed to fill such vacancy shall
be from the same category described in subsection (2)(a) of this section as
the member vacating the position.
(e)  A member of the board having a direct personal or private
interest in any matter before the board shall
 MUST disclose such fact on the
board's record. A member MEMBERS may disqualify himself or herself
THEMSELVES for any cause deemed by him or her THEM to be sufficient. 
(f)  The appointing officer shall terminate the term of any member
of the board who misses more than two consecutive regular board meetings
without good cause, or who no longer meets the requirements for
membership imposed by this section. The member's successor shall
 MUST
be appointed in the manner provided for appointments under this section.
(g)  Board members are entitled to receive as compensation for their
services fifty SEVENTY-FIVE dollars for each day spent in the conduct of
board business, not to exceed five hundred dollars per member per year, and
are entitled to be reimbursed for necessary travel and other reasonable
expenses incurred in the performance of their official duties.
(h)  Prior to commencing his or her
 A term of service, each person
nominated to serve on the board, 
OTHER THAN THE SECRETARY OF STATE 'S
DESIGNEE
, shall
 MUST file with the secretary of state a financial disclosure
statement in the form required and prescribed by the licensing authority and
as commonly used for other Colorado boards and commissions. Such
statement shall
 MUST be renewed as of each January 1 during the member's
term of office.
(i)  The board shall hold at least two SIX meetings each year and such
additional meetings as the members may deem necessary. In addition,
special meetings may be called by the chair, any three board members, or
the licensing authority if written notification of the meeting is delivered to
each member at least seventy-two hours before the meeting.
Notwithstanding section 24-6-402, in emergency situations in which a
majority of the board certifies that exigencies of time require that the board
meet without delay, the requirements of public notice and of seventy-two
hours' actual advance written notice to members may be dispensed with, and
board members as well as the public shall
 MUST receive such notice as is
reasonable under the circumstances.
PAGE 7-HOUSE BILL 24-1326 (l)  A MAJORITY OF THE BOARD CONSTITUTES A QUORUM , BUT THE
CONCURRENCE OF A MAJORITY OF ALL MEMBERS IS REQUIRED FOR ANY FINAL
ACTION OR DETERMINATION BY THE BOARD
.
(m)  T
HE MEMBERS OF THE BOARD MAY INVITE ADDITIONAL
INDIVIDUALS AND REPRESENTATIVES OF ENTITIES TO ATTEND WORKING
GROUP MEETINGS AND PARTICIPATE IN SUCH MEETINGS AS NONVOTING
MEMBERS OF THE BOARD
.
(n)  T
HE SECRETARY OF STATE MAY EM PLOY STAFF TO ASSIST THE
BOARD IN CARRYING OUT ITS DUTIES AND TO ENSURE THAT THE BOARD
MAINTAINS ITS REGULAR MEETING SCHEDULE SET FORTH IN SUBSECTION
(2)(i) OF THIS SECTION.
SECTION 10. In Colorado Revised Statutes, repeal and reenact,
with amendments, 24-21-631 as follows:
24-21-631.  Board - duties. (1)  I
N ADDITION TO ANY OTHER DUTIES
SET FORTH IN THIS PART 
6, THE BOARD SHALL:
(a)  C
ONDUCT A CONTINUOUS STUDY OF CHARITABLE GAMING
THROUGHOUT THE STATE FOR THE PURPOSE OF IMPROVING CHARITABLE
GAMING AND ASCERTAINING ANY DEFECTS IN THIS PART 
6 OR IN THE RULES
PROMULGATED PURSUANT TO THIS PART 
6; AND
(b)  COMMENCING ON AND AFTER JANUARY 1, 2025, AT THE
DISCRETION OF THE BOARD
, SUBMIT A REPORT TO THE GENERAL ASSEMBLY
CONTAINING RECOMMENDATIONS FOR CHANGES TO THIS PART 
6, WHICH
REPORT SHALL BE SUBMITTED ON OR BEFORE 
OCTOBER 31, 2025, AND ON OR
BEFORE 
OCTOBER 31 OF EACH YEAR THEREAFTER.
(2)  T
HE LICENSING AUTHORITY IS ENCOURAGED TO COLLABORATE
WITH THE BOARD ON PROPOSALS DEVELOPED BY THE BOARD CONCERNING
SUBJECTS INCLUDING BUT NOT LIMITED TO
:
(a)  T
HE TYPES OF CHARITABLE GAMING ACTIVITIES TO BE
CONDUCTED
, THE EXISTING RULES AND POTENTIAL NEW RULES FOR THOSE
ACTIVITIES
, AND THE NUMBER OF OCCASIONS PER YEAR UPON WHICH A
LICENSEE MAY HOLD
, OPERATE, OR CONDUCT A GAME OF BINGO OR LOTTO ;
PAGE 8-HOUSE BILL 24-1326 (b)  THE TYPES OF CHARITABLE GAMING ACTIVITIES TO BE
CONDUCTED IN THE FUTURE BASED UPON A CONTINUING REVIEW OF THE
AVAILABLE STATE
-OF-THE-ART EQUIPMENT IN COLORADO AND OTHER
STATES AND THE POLICIES AND PROCEDURES APPROVED AND IMPLEMENTED
BY OTHER STATES FOR THE CONDUCT OF CHARITABLE GAMING ACTIVITIES
,
PROVIDED THAT NO NEW TYPE OF CHARITABLE GAMING ACTIVITY IS
RECOMMENDED BY THE BOARD FOR APPROVAL FOR LICENSING OR PLAY
, OR
APPROVED BY THE LICENSING AUTHORITY FOR LICENSING OR PLAY
, THAT
DOES NOT COMPORT WITH THE LIMITATIONS OF SECTION 
2 (3) OF ARTICLE
XVIII OF THE STATE CONSTITUTION CONCERNING THE CONDUCT ONLY OF
THE SPECIFIC GAME OF CHANCE COMMONLY KNOWN AS BINGO OR LOTTO OR
THE SPECIFIC GAME OF CHANCE COMMONLY KNOWN AS RAFFLES
; AND
(c)  AN ANNUAL REVIEW OF AT LEAST TEN PERCENT OF ALL
CHARITABLE GAMING RULES AND A COMP LETE REVIEW OF ALL CHARITABLE
GAMING RULES EVERY FIVE YEARS
.
(3)  T
HE BOARD SHALL OFFER ADVICE TO THE LICENSING AUTHORITY
UPON SUBJECTS INCLUDING BUT NOT LIMITED TO
:
(a)  T
HE REQUIREMENTS, QUALIFICATIONS, AND GROUNDS FOR THE
ISSUANCE OF ALL TYPES OF PERMANENT AND TEMPORARY LICENSES
REQUIRED FOR THE CONDUCT OF CHARITABLE GAMING
;
(b)  T
HE REQUIREMENTS, QUALIFICATIONS, AND GROUNDS FOR THE
REVOCATION
, SUSPENSION, AND SUMMARY SUSPENSION OF ALL LICENSES
REQUIRED FOR THE CONDUCT OF CHARITABLE GAMING
;
(c)  A
CTIVITIES THAT CONSTITUTE FRAUD , CHEATING, OR ILLEGAL
ACTIVITIES
;
(d)  T
HE GRANTING OF LICENSES WITH SPECIAL CONDITIONS OR FOR
LIMITED PERIODS
, OR BOTH;
(e)  T
HE ESTABLISHMENT OF A SCHEDULE OF REASONABLE FINES TO
BE ASSESSED FOR VIOLATIONS OF THIS PART 
6 OR ANY RULE ADOPTED
PURSUANT TO THIS PART 
6;
(f)  T
HE AMOUNT OF FEES FOR LICENSES ISSUED BY THE LICENSING
AUTHORITY AND FOR THE PERFORMANCE OF ADMINISTRATIVE SERVICES
PAGE 9-HOUSE BILL 24-1326 PURSUANT TO THIS PART 6;
(g)  T
HE ESTABLISHMENT OF CRITERIA UNDER WHICH A PERSON MAY
SERVE AS A GAMES MANAGER
;
(h)  T
HE CONTENT AND CONDUCT OF CLASSES OR TRAINING SEMINARS
TO BENEFIT BINGO
-RAFFLE CHARITABLE LICENSEES , OFFICERS, AND
VOLUNTEERS TO BETTER ACCOUNT FOR FUNDS COLLECTED FROM GAMES OF
CHANCE
;
(i)  S
TANDARDIZED RULES, PROCEDURES, AND POLICIES TO CLARIFY
AND SIMPLIFY THE AUDITING OF LICENSEES
' RECORDS; AND
(j)  THE CONDITIONS FOR A LICENSEE'S PLAN FOR DISPOSAL OF ANY
EQUIPMENT AND THE DISTRIBUTION OF ANY REMAINING NET PROCEEDS UPON
TERMINATION OF A BINGO
-RAFFLE LICENSE FOR THE LICENSEE'S FAILURE TO
TIMELY OR SUFFICIENTLY RENEW SUCH LICENSE
.
SECTION 11. In Colorado Revised Statutes, amend 24-21-632 as
follows:
24-21-632.  Repeal of part - review of functions. This part 6 is
repealed, effective September 1, 2024
 SEPTEMBER 1, 2031. Before the
repeal, the licensing functions of the licensing authority and the functions
of the Colorado bingo-raffle advisory
 CHARITABLE GAMING board in the
department of state are scheduled for review in accordance with section
24-34-104.
SECTION 12. In Colorado Revised Statutes, 24-34-104, repeal
(25)(a)(XV) and (25)(a)(XVI); and add (32)(a)(XV) as follows:
24-34-104.  General assembly review of regulatory agencies and
functions for repeal, continuation, or reestablishment - legislative
declaration - repeal. (25) (a)  The following agencies, functions, or both,
are scheduled for repeal on September 1, 2024:
(XV)  The licensing of bingo and other games of chance through the
secretary of state in accordance with part 6 of article 21 of this title 24;
(XVI)  The Colorado bingo-raffle advisory board created in section
PAGE 10-HOUSE BILL 24-1326 24-21-630;
(32) (a)  The following agencies, functions, or both, are scheduled
for repeal on September 1, 2031:
(XV)  T
HE LICENSING OF BINGO AND OTHER GAMES OF CHANCE
THROUGH THE SECRETARY OF STATE AND THE FUNCTIONS OF THE 
COLORADO
CHARITABLE GAMING BOARD AS SPECIFIED IN
 PART 6 OF ARTICLE 21 OF THIS
TITLE 
24.
SECTION 13. Appropriation. (1)  For the 2024-25 state fiscal
year, $226,445 is appropriated to the department of state. This appropriation
is from the department of state cash fund created in section 24-21-104
(3)(b), C.R.S. To implement this act, the department may use this
appropriation as follows:
(a)  $173,185 for use by the business and licensing division for
personal services, which amount is based on an assumption that the division
will require an additional 3.0 FTE;
(b)  $44,240 for use by the business and licensing division for
operating expenses; and
(c)  $9,020 for use by the information technology division for
operating expenses.
SECTION 14. Safety clause. The general assembly finds,
determines, and declares that this act is necessary for the immediate
PAGE 11-HOUSE BILL 24-1326 preservation of the public peace, health, or safety or for appropriations for
the support and maintenance of the departments of the state and state
institutions.
____________________________ ____________________________
Julie McCluskie Steve Fenberg
SPEAKER OF THE HOUSE PRESIDENT OF
OF REPRESENTATIVES THE SENATE
____________________________  ____________________________
Robin Jones Cindi L. Markwell
CHIEF CLERK OF THE HOUSE SECRETARY OF
OF REPRESENTATIVES THE SENATE
            APPROVED________________________________________
                                                        (Date and Time)
                              _________________________________________
                             Jared S. Polis
                             GOVERNOR OF THE STATE OF COLORADO
PAGE 12-HOUSE BILL 24-1326