Minn. Stat. § 349.12
Subd. 1. Scope.
As used in sections 349.11 to 349.23 the terms in this section have the meanings given them.
Subd. 2. Active member.
"Active member" means a member:
Subd. 3. Affiliate.
"Affiliate" is any person or entity directly or indirectly controlling, controlled by, or under common control or ownership with a licensee of the board or any officer or director of a licensee of the board.
Subd. 3a. Allowable expense.
"Allowable expense" means the percentage of the total cost incurred by the organization in the purchase of any good, service, or other item which corresponds to the proportion of the total actual use of the good, service, or other item that is directly related to conduct of lawful gambling.
Subd. 3b. Bar operation.
"Bar operation" means a method of selling and redeeming disposable gambling equipment by an employee of the lessor within a leased premises which is licensed for the on-sale of alcoholic beverages.
Subd. 3c. Bar bingo.
"Bar bingo" is a bingo occasion conducted at a permitted premises in an area where on-sale intoxicating liquor or on-sale 3.2 percent malt beverages are sold and where a licensed organization conducts another form of lawful gambling and consents to the conduct of bar bingo on the premises. Bar bingo does not include bingo games linked to other permitted premises.
Subd. 4. Bingo.
"Bingo" means a game where each player has a bingo hard card, bingo paper sheet, or facsimile of a bingo paper sheet when used in conjunction with an electronic bingo device, for which a consideration has been paid, and played in accordance with this chapter and with rules of the board for the conduct of bingo. "Bingo" also includes a linked bingo game.
Subd. 5. Bingo occasion.
"Bingo occasion" means a single gathering or session at which a series of one or more successive bingo games is played. There is no limit on the number of games conducted during a bingo occasion. A bingo occasion must not last longer than eight consecutive hours, except that linked bingo games played on electronic bingo devices may be played during regular business hours of the permitted premises, and all play during this period is considered a bingo occasion for reporting purposes. For permitted premises where the primary business is bingo, regular business hours shall be defined as the hours between 8:00 a.m. and 2:00 a.m.
Subd. 6. Board.
"Board" is the Gambling Control Board.
Subd. 6a. Booth operation.
"Booth operation" means a method of selling and redeeming disposable gambling equipment by an employee of a licensed organization in a premises the organization leases or owns.
Subd. 7. Capital assets.
"Capital assets" means property, real or personal, except gambling equipment, with an expected useful life of at least two years and a minimum value of $2,000.
Subd. 7a. Charitable contribution.
"Charitable contribution" means one or more of the lawful purposes expenditures under subdivision 25, paragraph (a), clauses (1) to (7), (10) to (15), and (19).
Subd. 8. Checker.
"Checker" means a person who records the number of bingo hard cards purchased and played during each game and records the prizes awarded to the recorded hard cards, but does not collect the payment for the hard cards.
Subd. 8a. Continuation raffle.
"Continuation raffle" means the selection of winning entries from previously selected winning entries until a final selection of winning entries is determined and no additional consideration is required beyond the initial consideration to enter the raffle. A continuation raffle may be conducted over a period of time but cannot exceed 12 months.
Subd. 9. Deal.
"Deal" means each separate package, or series of packages, consisting of one game of pull-tabs or tipboards with the same serial number.
Subd. 10. Director.
"Director" is the director of the Gambling Control Board.
Subd. 11. Distributor.
"Distributor" is a person who sells gambling equipment for use within the state to licensed organizations, or to organizations conducting excluded or exempt activities under section 349.166.
Subd. 11a. Distributor salesperson.
"Distributor salesperson" means a person who in any manner receives orders for gambling equipment or who solicits a licensed, exempt, or excluded organization to purchase gambling equipment from a licensed distributor.
Subd. 12.
MS 1990 [Repealed, 1991 c 233 s 110]
Subd. 12a. Electronic bingo device.
"Electronic bingo device" means a handheld and portable electronic device that:
(1) is used by a bingo player to:
Subd. 12b. Electronic pull-tab device.
(a) "Electronic pull-tab device" means a handheld and portable electronic device that:
Subd. 12c. Electronic pull-tab game.
(a) "Electronic pull-tab game" means a pull-tab game containing:
Subd. 12d. Electronic pull-tab game system.
"Electronic pull-tab game system" means the equipment leased from a licensed distributor and used by a licensed organization to conduct, manage, and record electronic pull-tab games, and to report and transmit the game results as prescribed by the board and the Department of Revenue. The system must provide security and access levels sufficient so that internal control objectives are met as prescribed by the board. The system must contain a point of sale station.
Subd. 12e. Electronic raffle selection system.
"Electronic raffle selection system" means a system which uses a random number generator to select winning raffle numbers and includes raffle sales devices.
Subd. 13. Face value.
"Face value" means the price per ticket printed on the ticket or the flare.
Subd. 14.
MS 2000 [Repealed, 2002 c 386 art 1 s 12]
Subd. 15. 501(c)(3) organization.
"501(c)(3) organization" is an organization exempt from the payment of federal income taxes under section 501(c)(3) of the Internal Revenue Code.
Subd. 15a.
MS 2010 [Renumbered subd 15c]
Subd. 15b. 501(c)(19) organization.
"501(c)(19) organization" is an organization exempt from the payment of federal income taxes under section 501(c)(19) of the Internal Revenue Code.
Subd. 15c. Festival organization.
"Festival organization" is an organization conducting a community festival that is exempt from the payment of federal income taxes under section 501(c)(4) of the Internal Revenue Code.
Subd. 16. Flare.
"Flare" is the posted display, with registration stamp affixed or bar code imprinted or affixed, that sets forth the rules of a particular game of pull-tabs or tipboards and that is associated with a specific deal of pull-tabs or grouping of tipboards.
Subd. 16a. Fraternal organization.
"Fraternal organization" means a nonprofit organization which is a branch, lodge, or chapter of a national or state organization registered by the Internal Revenue Service as a 501(c)8 or a 501(c)10 nonprofit organization and exists for the common business, fraternal, or other interests of its members. The term does not include college and high school fraternities and sororities.
Subd. 17. Free play.
"Free play" means a winning ticket that is labeled as a free play or its equivalent.
Subd. 18. Gambling equipment.
"Gambling equipment" means gambling equipment that is either disposable or permanent gambling equipment.
(a) Disposable gambling equipment includes the following:
(b) Permanent gambling equipment includes the following:
Subd. 19. Gambling manager.
"Gambling manager" means a person who has been designated by the organization to supervise the lawful gambling conducted by it, has been an active member of the organization for at least the most recent 90 days at the time of the application for a gambling manager license, and meets other qualifications as prescribed by the board by rule.
Subd. 20. Gross profit.
"Gross profit" means the gross receipts collected from lawful gambling, less reasonable sums necessarily and actually expended for prizes.
Subd. 21. Gross receipts.
"Gross receipts" means all receipts derived from lawful gambling activity including, but not limited to, the following items:
(5) interest, dividends, annuities, profit from transactions, or other income derived from the accumulation or use of gambling proceeds.
Gross receipts does not include rental proceeds from premises owned by an organization and leased to one or more other organizations for the purposes of conducting lawful gambling.
Subd. 21a. Hot-ball bingo prize.
"Hot-ball bingo prize" is an additional prize awarded for a winning bingo face for which the last bingo number called in the bingo game matches a previously designated bingo number announced to all players immediately prior to the beginning of the bingo game or the bingo occasion.
Subd. 22. Ideal gross.
"Ideal gross" means the total amount of receipts that would be received if every individual ticket in the pull-tab or tipboard deal was sold at its face value. In the calculation of ideal gross and prizes, a free play ticket shall be valued at face value.
Subd. 23. Ideal net.
"Ideal net" means the pull-tab or tipboard deal's ideal gross, as defined under subdivision 22, less the total predetermined prize amounts available to be paid out. When the prize is not entirely a monetary one, the ideal net is 50 percent of the ideal gross.
Subd. 24. Lawful gambling.
"Lawful gambling" is the operation, conduct or sale of bingo, raffles, paddlewheels, tipboards, and pull-tabs.
Subd. 25. Lawful purpose.
(a) "Lawful purpose" means one or more of the following:
(6) activities by an organization or a government entity which recognize military service to the United States, the state of Minnesota, or a community, subject to rules of the board, provided that the rules must not include mileage reimbursements in the computation of the per diem reimbursement limit and must impose no aggregate annual limit on the amount of reasonable and necessary expenditures made to support:
(13) a contribution to or expenditure on projects or activities approved by the commissioner of natural resources for:
(16) an expenditure by a licensed fraternal organization or a licensed veterans organization for payment of water, fuel for heating, electricity, and sewer costs for:
(22) an expenditure for the repair, maintenance, or improvement of real property and capital assets owned by an organization, or for the replacement of a capital asset that can no longer be repaired, with a fiscal year limit of five percent of gross profits from the previous fiscal year, with no carryforward of unused allowances. The fiscal year is July 1 through June 30. Total expenditures for the fiscal year may not exceed the limit unless the board has specifically approved the expenditures that exceed the limit due to extenuating circumstances beyond the organization's control. An expansion of a building or bar-related expenditures are not allowed under this provision.
(c) Notwithstanding paragraph (a), "lawful purpose" does not include:
Subd. 25a. Linked bingo game.
"Linked bingo game" means a bingo game played at two or more locations where licensed organizations are authorized to conduct bingo, where there is a common prize pool and a common selection of numbers or symbols conducted at one location, and where the results of the selection are transmitted to all participating locations by satellite, telephone, or other means by a linked bingo game provider.
Subd. 25b. Linked bingo game provider.
"Linked bingo game provider" means any person who provides the means to link bingo games, who provides linked bingo prize management, and who provides the linked bingo game system.
Subd. 25c. Linked bingo game system.
"Linked bingo game system" means the equipment used by the linked bingo provider to conduct, transmit, and track a linked bingo game. The system must be approved by the board before its use in this state and it must have the capability to permit the board to electronically monitor its operation remotely. For linked electronic bingo games, the system includes electronic bingo devices.
Subd. 25d. Linked bingo prize pool.
"Linked bingo prize pool" means the total of all prize money that each participating organization has contributed to a linked bingo game prize and includes any portion of the prize pool that is carried over from one game to another in a progressive linked bingo game.
Subd. 25e. Manually activate.
For purposes of this section, "manually activate" means that a person must either touch an icon on the electronic pull-tab device screen or press a button located elsewhere on the electronic pull-tab device, or, exclusively for purposes of accommodating use by a player who is visually impaired, perform some other action that initiates activity on an electronic pull-tab device.
Subd. 26. Manufacturer.
"Manufacturer" means a person or entity who assembles from raw materials or subparts a completed piece of gambling equipment, and who sells or furnishes the equipment for resale or for use in the state. The term includes a person who converts, modifies, adds to, or removes parts or a portion from an item, device, or assembly to further its promotion, sale, or use as gambling equipment in this state. A person only adding or modifying promotional flares to advise the public of the prizes available, the rules of play, and the consideration required is not a manufacturer.
Subd. 26a. Master flare.
"Master flare" is the posted display, with registration stamp affixed or bar code imprinted or affixed, that is used in conjunction with sealed groupings of 100 or fewer sequentially numbered paddle ticket cards.
Subd. 27. Net profit.
"Net profit" means gross profit less reasonable sums actually expended for allowable expenses.
Subd. 28. Organization.
"Organization" means any fraternal, religious, veterans, or other nonprofit organization.
Subd. 28a. Paddle ticket.
"Paddle ticket" means a preprinted ticket that can be used to place wagers on the spin of a paddlewheel.
Subd. 28b. Paddle ticket card.
"Paddle ticket card" means a card to which detachable paddle tickets are attached.
Subd. 28c. Paddle ticket card number.
"Paddle ticket card number" means the unique serial number preprinted by the manufacturer on the stub of a paddle ticket card and the paddle tickets attached to the card.
Subd. 29. Paddlewheel.
"Paddlewheel" means a vertical wheel marked off into sections containing one or more numbers, and which, after being turned or spun, uses a pointer or marker to indicate winning chances, and may only be used to determine a winning number or numbers matching a winning paddle ticket purchased by a player. A paddlewheel may be an electronic device that simulates a paddlewheel.
Subd. 30. Person.
"Person" is an individual, organization, firm, association, partnership, limited liability company, corporation, trustee, or legal representative.
Subd. 30a. Profit carryover.
"Profit carryover" means cumulative net profit less cumulative lawful purpose expenditures.
Subd. 31. Promotional ticket.
A paper pull-tab ticket or paper tipboard ticket created and printed by a licensed manufacturer with the words "no purchase necessary" and "for promotional use only" and for which no consideration is given is a promotional ticket.
Subd. 32. Pull-tab.
"Pull-tab" means a single folded or banded paper ticket, multi-ply card with perforated break-open tabs, or a facsimile of a paper pull-tab ticket used in conjunction with an electronic pull-tab device, the face of which is initially covered to conceal one or more numbers or symbols, and where one or more of each set of tickets, cards, or facsimiles has been designated in advance as a winner.
Subd. 32a. Pull-tab dispensing device.
"Pull-tab dispensing device" means a mechanical device that dispenses paper pull-tabs and has no additional function as an amusement or gambling device. A pull-tab dispensing device may have as a component an auditory or visual enhancement to promote or provide information about a game being dispensed, provided the component does not affect the outcome of a game or display the results of a game or an individual ticket.
Subd. 33. Raffle.
"Raffle" means a game in which a participant buys a ticket or other certificate of participation in an event where the prize determination is based on a method of random selection and all entries have an equal chance of selection.
Subd. 33a. Raffle board.
"Raffle board" means a placard with up to 200 squares whereby participants in the raffle write their names to indicate entry.
Subd. 33b. Raffle sales device.
"Raffle sales device" is an attendant-operated cashier station used as a point of sale for raffle tickets from which a raffle participant may purchase a raffle ticket to participate in an electronic raffle selection system.
Subd. 33c. Share the pot raffle.
"Share the pot raffle" means a raffle in which the prize amount is a percentage of the raffle's gross receipts.
Subd. 34. Tipboard.
"Tipboard" means a board, placard or other device containing a seal that conceals the winning number or symbol, and that serves as the game flare for a tipboard game. A sports-themed tipboard is a board, placard, or other device that contains a grid of predesignated numbers for which the winning numbers are determined in whole or in part by the numerical outcome of one or more professional sporting events, serves as the game flare for player registration, but is not required to contain a seal. For a sports-themed tipboard, the winning numbers must be determined solely by the numerical outcome.
Subd. 35. Tipboard ticket.
"Tipboard ticket" is a single folded or banded ticket, or multi-ply card, the face of which is initially covered or otherwise hidden from view to conceal a number, symbol, or set of symbols, some of which have been designated in advance and at random as prize winners. For a sports-themed tipboard, the tipboard ticket contains a set of numbers used to determine the winner based on the numerical outcome of a professional sporting event.
Subd. 36. Veterans post home.
"Veterans post home" means a building, or portion of a building, that is leased or owned by one or more licensed veterans organizations, and that is considered the post home for all licensed veterans organizations at that site.
Subd. 37. Wholly leased building.
"Wholly leased building" means a building that is leased in its entirety by a licensed organization, and no part or portion of the building is subleased to any other entity or licensed organization.
Subd. 38. Wholly owned building.
"Wholly owned building" means a building that is owned in its entirety by a licensed organization, and no part or portion of the building is subleased to any other entity or licensed organization.