North Carolina 2025-2026 Regular Session

North Carolina House Bill H988 Compare Versions

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11 GENERAL ASSEMBLY OF NORTH CAROLINA
22 SESSION 2025
3-H 1
4-HOUSE BILL 988
3+H D
4+HOUSE BILL DRH40516-ML-132
5+
56
67
78 Short Title: Revise Law on Instant Bingo. (Public)
89 Sponsors: Representative Hawkins.
9-For a complete list of sponsors, refer to the North Carolina General Assembly web site.
10-Referred to: Rules, Calendar, and Operations of the House
11-April 14, 2025
12-*H988 -v-1*
10+Referred to:
11+
12+*DRH40516 -ML-132*
1313 A BILL TO BE ENTITLED 1
1414 AN ACT TO REVISE THE LAWS GOVERNING INSTANT BINGO GAMES, TO REVISE 2
1515 THE METHOD BY WHICH FUNDS RECEIVED IN CONNECTION WITH A BINGO 3
1616 GAME MAY BE DISBURSED, AND TO MAKE VARIOUS TECHNICAL 4
1717 CORRECTIONS. 5
1818 The General Assembly of North Carolina enacts: 6
1919 SECTION 1. G.S. 14-309.6 reads as rewritten: 7
2020 "§ 14-309.6. Definitions. 8
2121 For purposes of this Part, the term:following definitions apply: 9
2222 (1) "Exempt organization" means anExempt organization. – An organization that 10
2323 has been in continuous existence in the county of operation of the bingo game 11
2424 for at least one year and that is exempt from taxation under section 501(c)(3), 12
2525 501(c)(4), 501(c)(8), 501(c)(10), 501(c)(19), or 501(d) of the Internal 13
2626 Revenue Code and is exempt under similar provisions of the General Statutes 14
2727 as a bona fide nonprofit charitable, civic, religious, fraternal, patriotic or 15
2828 veterans' organization or as a nonprofit volunteer fire department, or as a 16
2929 nonprofit volunteer rescue squad or a bona fide homeowners' or property 17
3030 owners' association. (If the organization has local branches or chapters, the 18
3131 term "exempt organization" means the local branch or chapter operating the 19
3232 bingo game);game). 20
3333 (2) "Bingo game" means aBingo game. – A specific game of chance played with 21
3434 individual cards having numbered squares ranging from one to 75, in which 22
3535 prizes are awarded on the basis of designated numbers on such cards 23
3636 conforming to a predetermined pattern of numbers (but shall not include 24
3737 "instant bingo" which is a game of chance played by the selection of one or 25
3838 more prepackaged cards, with winners determined by the appearance of a 26
3939 preselected designation on the card);numbers. This term includes instant 27
4040 bingo. 28
4141 (2a) Instant bingo. – A game of chance played by the selection of one or more 29
4242 predesignated paper or digital tickets, with winners determined by the 30
4343 appearance of a preselected designation on the ticket. 31
4444 … 32
4545 (4) "Local law-enforcement agency" means forLocal law enforcement agency. – 33
46-For any bingo game conducted outside the corporate limits of a municipality 34 General Assembly Of North Carolina Session 2025
47-Page 2 House Bill 988-First Edition
48-or inside the corporate limits of a municipality having no municipal police 1
49-force:force, this term means either of the following: 2
50-a. The county police force; orforce. 3
51-b. The county sheriff's office in a county with no county police 4
52-force;force. 5
53-(5) "Local law-enforcement agency" means theLocal law enforcement agency. – 6
54-The municipal police for any bingo game conducted within the corporate 7
55-limits of a municipality having a police force;force. 8
56-(6) "Beach bingo games" means bingoBeach bingo games. – Bingo games which 9
57-have prizes of ten dollars ($10.00) or less or merchandise that is not 10
58-redeemable for cash and that has a value of ten dollars ($10.00) or less; 11
59-andless. This term does not include instant bingo. 12
60-(7) "Licensed exempt organization" means anLicensed exempt organization. – An 13
61-exempt organization which possesses a currently valid license. 14
62-(8) "Nonprofit organization" means anNonprofit organization. – An organization 15
63-or association recognized by the Department of Revenue as tax exempt 16
64-pursuant to G.S. 105-130.11(a), or any bona fide branch, chapter, or affiliate 17
65-of that organization." 18
66-SECTION 2. G.S. 14-309.8 reads as rewritten: 19
67-"§ 14-309.8. Limit on sessions. 20
68-The number of sessions of bingo conducted or sponsored by an exempt organization shall be 21
69-limited to two sessions per week and such sessions must not exceed a period of five hours each 22
70-per session. No two sessions of bingo shall be held within a 48-hour period of time. No more 23
71-than two sessions of bingo shall be operated or conducted in any one building, hall or structure 24
72-during any one calendar week and if two sessions are held, they must be held by the same exempt 25
73-organization. This section shall not apply to bingo games conducted (i) at a fair or other 26
74-exhibition conducted pursuant to Article 45 of Chapter 106 of the General Statutes.Statutes or 27
75-(ii) by an organization exempt from taxation under section 501(c)(8), 501(c)(10), or 501(c)(19) 28
76-of the Internal Revenue Code." 29
77-SECTION 3. G.S. 14-309.9(a) reads as rewritten: 30
78-"(a) TheExcept as otherwise provided in this section, the maximum prize in cash or 31
79-merchandise that may be offered or paid for any one game of bingo is five hundred dollars 32
80-($500.00). The maximum aggregate amount of prizes, in cash and/orcash, merchandise, or cash 33
81-and merchandise, that may be offered or paid at any one session of bingo is one thousand five 34
82-hundred dollars ($1,500). Provided, however, that if an exempt organization holds only one 35
83-session of bingo during a calendar week, the maximum aggregate amount of prizes, in cash 36
84-and/orcash, merchandise, or cash and merchandise, that may be offered or paid at any one session 37
85-is two thousand five hundred dollars ($2,500). The maximum prize in cash or merchandise that 38
86-may be offered or paid for any one game of instant bingo is six hundred dollars ($600.00)." 39
87-SECTION 4. G.S. 14-309.10 reads as rewritten: 40
88-"§ 14-309.10. Operation of bingo. 41
89-(a) The operation of bingo games shall be the direct responsibility of, and controlled by, 42
90-a special committee selected by the governing body of the exempt organization in the manner 43
91-provided by the rules of the exempt organization. 44
92-(b) Only organizations exempt from taxation under section 501(c)(8), 501(c)(10), or 45
93-501(c)(19) of the Internal Revenue Code may conduct instant bingo. 46
94-(c) Paper instant bingo tickets shall comply with the standards for instant bingo tickets 47
95-or cards established by the North American Gaming Regulators Association, as amended from 48
96-time to time. 49 General Assembly Of North Carolina Session 2025
97-House Bill 988-First Edition Page 3
98-(d) Prior to use, electronic instant bingo systems shall be tested by an independent gaming 1
99-test laboratory and certified as compliant with the GLI-14 standard produced by Gaming 2
100-Laboratories International, LLC." 3
101-SECTION 5. G.S. 14-309.11 reads as rewritten: 4
102-"§ 14-309.11. Accounting and use of proceeds. 5
103-(a) All funds received in connection with a bingo game shall be placed in a separate bank 6
104-account. No funds may be disbursed from this account except the exempt organization may 7
105-expend proceeds for prizes, advertising, utilities, and the purchase of supplies and equipment 8
106-used in conducting the raffle and in playing bingo, taxes and license fees related to bingo 9
107-andbingo, the payment of compensation as authorized by G.S. 14-309.7(c)14-309.7(c), and for 10
108-the purposes set forth below for the remaining proceeds. Such payments shall be made by 11
109-consecutively numbered checks.checks or by electronic funds transfer. Any proceeds available 12
110-in the account after payment of the above expenses shall inure to the exempt organization to be 13
111-used for religious, charitable, civic, scientific, testing, public safety, literary, or educational 14
112-purposes or for purchasing, constructing, maintaining, operating or using equipment or land or a 15
113-building or improvements thereto owned by and for the exempt organization and used for civic 16
114-purposes or made available by the exempt organization for use by the general public from time 17
115-to time, or to foster amateur sports competition, or for the prevention of cruelty to children or 18
116-animals, provided that no proceeds shall be used or expended for social functions for the members 19
117-of the exempt organization. 20
118-(b) An audit of the account required by subsection (a) of this section shall be prepared 21
119-annually for the period of January 1 through December 31 or otherwise as directed by the Alcohol 22
120-Law Enforcement Division of the Department of Public Safety and shall be filed with the 23
121-Division and the local law-enforcement agency at a time directed by the Division. The audit shall 24
122-be prepared on a form approved by the Division and shall include all of the following 25
123-information: 26
124-(1) The number of bingo games conducted or sponsored by the exempt 27
125-organization;organization. 28
126-(2) The location and date at which each bingo game was conducted and the prize 29
127-awarded;awarded. 30
128-(3) The gross receipts of each bingo game;game. 31
129-(4) The cost or amount of any prize given at each bingo game;game. 32
130-(5) The amount paid in prizes at each session;session. 33
131-(6) The net return to the exempt organization; andorganization. 34
132-(7) The disbursements from the separate account and the purpose of those 35
133-disbursements, including the date of each transaction and the name and 36
134-address of each payee. 37
135-…." 38
136-SECTION 6. This act becomes effective October 1, 2025, and applies to bingo 39
137-games conducted on or after that date. 40
46+For any bingo game conducted outside the corporate limits of a municipality 34
47+or inside the corporate limits of a municipality having no municipal police 35
48+force:force, this term means either of the following: 36
49+H.B. 988
50+Apr 10, 2025
51+HOUSE PRINCIPAL CLERK General Assembly Of North Carolina Session 2025
52+Page 2 DRH40516-ML-132
53+a. The county police force; orforce. 1
54+b. The county sheriff's office in a county with no county police 2
55+force;force. 3
56+(5) "Local law-enforcement agency" means theLocal law enforcement agency. – 4
57+The municipal police for any bingo game conducted within the corporate 5
58+limits of a municipality having a police force;force. 6
59+(6) "Beach bingo games" means bingoBeach bingo games. – Bingo games which 7
60+have prizes of ten dollars ($10.00) or less or merchandise that is not 8
61+redeemable for cash and that has a value of ten dollars ($10.00) or less; 9
62+andless. This term does not include instant bingo. 10
63+(7) "Licensed exempt organization" means anLicensed exempt organization. – An 11
64+exempt organization which possesses a currently valid license. 12
65+(8) "Nonprofit organization" means anNonprofit organization. – An organization 13
66+or association recognized by the Department of Revenue as tax exempt 14
67+pursuant to G.S. 105-130.11(a), or any bona fide branch, chapter, or affiliate 15
68+of that organization." 16
69+SECTION 2. G.S. 14-309.8 reads as rewritten: 17
70+"§ 14-309.8. Limit on sessions. 18
71+The number of sessions of bingo conducted or sponsored by an exempt organization shall be 19
72+limited to two sessions per week and such sessions must not exceed a period of five hours each 20
73+per session. No two sessions of bingo shall be held within a 48-hour period of time. No more 21
74+than two sessions of bingo shall be operated or conducted in any one building, hall or structure 22
75+during any one calendar week and if two sessions are held, they must be held by the same exempt 23
76+organization. This section shall not apply to bingo games conducted (i) at a fair or other 24
77+exhibition conducted pursuant to Article 45 of Chapter 106 of the General Statutes.Statutes or 25
78+(ii) by an organization exempt from taxation under section 501(c)(8), 501(c)(10), or 501(c)(19) 26
79+of the Internal Revenue Code." 27
80+SECTION 3. G.S. 14-309.9(a) reads as rewritten: 28
81+"(a) TheExcept as otherwise provided in this section, the maximum prize in cash or 29
82+merchandise that may be offered or paid for any one game of bingo is five hundred dollars 30
83+($500.00). The maximum aggregate amount of prizes, in cash and/orcash, merchandise, or cash 31
84+and merchandise, that may be offered or paid at any one session of bingo is one thousand five 32
85+hundred dollars ($1,500). Provided, however, that if an exempt organization holds only one 33
86+session of bingo during a calendar week, the maximum aggregate amount of prizes, in cash 34
87+and/orcash, merchandise, or cash and merchandise, that may be offered or paid at any one session 35
88+is two thousand five hundred dollars ($2,500). The maximum prize in cash or merchandise that 36
89+may be offered or paid for any one game of instant bingo is six hundred dollars ($600.00)." 37
90+SECTION 4. G.S. 14-309.10 reads as rewritten: 38
91+"§ 14-309.10. Operation of bingo. 39
92+(a) The operation of bingo games shall be the direct responsibility of, and controlled by, 40
93+a special committee selected by the governing body of the exempt organization in the manner 41
94+provided by the rules of the exempt organization. 42
95+(b) Only organizations exempt from taxation under section 501(c)(8), 501(c)(10), or 43
96+501(c)(19) of the Internal Revenue Code may conduct instant bingo. 44
97+(c) Paper instant bingo tickets shall comply with the standards for instant bingo tickets 45
98+or cards established by the North American Gaming Regulators Association, as amended from 46
99+time to time. 47
100+(d) Prior to use, electronic instant bingo systems shall be tested by an independent gaming 48
101+test laboratory and certified as compliant with the GLI-14 standard produced by Gaming 49
102+Laboratories International, LLC." 50
103+SECTION 5. G.S. 14-309.11 reads as rewritten: 51 General Assembly Of North Carolina Session 2025
104+DRH40516-ML-132 Page 3
105+"§ 14-309.11. Accounting and use of proceeds. 1
106+(a) All funds received in connection with a bingo game shall be placed in a separate bank 2
107+account. No funds may be disbursed from this account except the exempt organization may 3
108+expend proceeds for prizes, advertising, utilities, and the purchase of supplies and equipment 4
109+used in conducting the raffle and in playing bingo, taxes and license fees related to bingo 5
110+andbingo, the payment of compensation as authorized by G.S. 14-309.7(c)14-309.7(c), and for 6
111+the purposes set forth below for the remaining proceeds. Such payments shall be made by 7
112+consecutively numbered checks.checks or by electronic funds transfer. Any proceeds available 8
113+in the account after payment of the above expenses shall inure to the exempt organization to be 9
114+used for religious, charitable, civic, scientific, testing, public safety, literary, or educational 10
115+purposes or for purchasing, constructing, maintaining, operating or using equipment or land or a 11
116+building or improvements thereto owned by and for the exempt organization and used for civic 12
117+purposes or made available by the exempt organization for use by the general public from time 13
118+to time, or to foster amateur sports competition, or for the prevention of cruelty to children or 14
119+animals, provided that no proceeds shall be used or expended for social functions for the members 15
120+of the exempt organization. 16
121+(b) An audit of the account required by subsection (a) of this section shall be prepared 17
122+annually for the period of January 1 through December 31 or otherwise as directed by the Alcohol 18
123+Law Enforcement Division of the Department of Public Safety and shall be filed with the 19
124+Division and the local law-enforcement agency at a time directed by the Division. The audit shall 20
125+be prepared on a form approved by the Division and shall include all of the following 21
126+information: 22
127+(1) The number of bingo games conducted or sponsored by the exempt 23
128+organization;organization. 24
129+(2) The location and date at which each bingo game was conducted and the prize 25
130+awarded;awarded. 26
131+(3) The gross receipts of each bingo game;game. 27
132+(4) The cost or amount of any prize given at each bingo game;game. 28
133+(5) The amount paid in prizes at each session;session. 29
134+(6) The net return to the exempt organization; andorganization. 30
135+(7) The disbursements from the separate account and the purpose of those 31
136+disbursements, including the date of each transaction and the name and 32
137+address of each payee. 33
138+…." 34
139+SECTION 6. This act becomes effective October 1, 2025, and applies to bingo 35
140+games conducted on or after that date. 36