N.H. Admin. Code § Pari 1006.04

Current through Register No. 50, December 12, 2024

Section Pari 1006.04 - Responsibilities of the Licensed Charitable Organization

Licensed charitable organizations shall:

(a) Adopt house rules in accordance with Pari 1007.05 below;

(b) Prominently display the following documents within the commercial hall or facility in areas that are accessible to and easily seen by the public, including in the immediate area where bingo games are played:

(1) The organization's current bingo license, pursuant to RSA 287-E:6;

(2) At least one copy of RSA 287-E and this chapter;

(3) At least one copy of any house rules that apply; and

(4) A copy of the approved game schedule;

(c) Prominently display a sign in the immediate area where the bingo games are played advising the public of the phone number where complaints related to charitable gaming may be made;

(d) For each bingo event, designate a member of the charity to act as the gaming manager, who shall be responsible for:

(1) Ensuring that the games are conducted in accordance with RSA 287-E and this chapter;

(2) Controlling the execution of the games, including payouts and the preparation of transaction records; and

(3) Remaining on the premises during the bingo event to address and resolve any issues that occur during the bingo event;

(e) Only sell bingo supplies and systems that have been:

(1) Purchased from a licensed distributor, pursuant to RSA 287-E:8-a;

(2) Manufactured by a licensed manufacturer, pursuant to RSA 287-E:8-a; and

(3) Approved by the commission;

(f) Conduct bingo games in accordance with RSA 287-E and this chapter;

(g) Establish and institute administrative and accounting procedures and controls to ensure that:

(1) Assets are safeguarded;

(2) Financial records and transactions are accurate, reliable and permit proper reporting of gaming revenue, fees and taxes;

(3) Functions, duties, and responsibilities are appropriately segregated in accordance with sound business practice;

(4) Integrity of the game is preserved by preventing unauthorized access, misappropriation, forgery, theft, or fraud; and

(5) Controls that have been put in place are effective, and that any abnormalities are investigated and addressed;

(h) Establish and incorporate the following control procedures to provide the maximum accountability for all bingo supplies, systems, revenues and disbursements:

(1) Control the access and distribution of all bingo supplies;

(2) Designate an individual who will control, purchase, track, and account for bingo supplies;

(3) Develop procedures to track the purchase, storage, and distribution to individuals selling bingo supplies and their removal from inventory;

(4) Develop a perpetual inventory tracking system and conduct monthly physical inventory counts to compare and reconcile with that system;

(5) Develop a receipting system for the sale of the cards and sheets to be completed for each bingo event that includes comparing cash register receipt or manual receipt summaries to calculated sales based on the selling price of the cards and sheets sold, where the calculated sales are based on the quantity of cards and sheets sold, determined by the quantity of cards and sheets issued out of inventory at the beginning of the bingo event, less the quantity of cards and sheets returned to inventory at the conclusion of the event;

(6) Develop a procedure to record the gross receipts generated from the sale of cards and sheets sold by floor workers. This procedure shall be implemented through such things as an inventory accounting system or a floor worker sales report;

(7) Limit access to the funds in the bingo bank accounts created in accordance Pari 1009.01(a) to authorized executive members of the organization; and

(8) Assign an individual, who is independent of the person primarily responsible for the control of the inventory and purchasing of the cards and sheets or responsible for accounting for the funds generated from the sale of cards and sheets, to reconcile the funds deposited into the bingo bank accounts to the funds generated from the sale of cards and sheets;

(i) Maintain records pertaining to bingo gaming activities including:

(1) Copies of all policies and procedures;

(2) Any records or documents necessary to track bingo cards and sheets from the date of purchase through the final disposition, including:

a. The purchase register which includes the quantity, description, series, serial number, cut, color, date of purchase, cost and purchase invoice number;

b. Inventory control records which include the quantity and description, series, serial number, cut, color, and date the bingo cards and sheets placed into, withdrawn from, or returned to, inventory;

c. The sales register controls for the cards or sheets sold by individual floor workers, which includes:

1. A record of the quantity of all cards or sheets sold by individual floor workers;

2. The individual's name;

3. The value of the cards or sheets;

4. The type of cards or sheets; and

5. The amount of cash turned in by the individual;

d. The bingo event report which reflects:

1. The gross receipts;

2. Prizes paid;

3. The number of players in attendance; and

4. The quantity of singles or packets sold with corresponding value of the bingo card or sheet;

e. For each game, the center number of all winning cards, the quantity of winning cards, the game name or number as described on the game program, and the amount of balls called;

f. For each progressive game, the amount of balls called and the value of the prize, if carried over;

g. The record of all prizes paid, with separate listing for those paid by cash from those paid by check;

h. The daily cash count records which include the amount of cash available for deposit and the amount actually deposited in the bingo bank account; and

i. The check register which details all deposits and disbursements from the bingo bank account;

(3) Bank statements, check registers, reconciliations, and cancelled checks and bank deposit slips for bingo bank accounts;

(4) The purchase of bingo paper supplies and electronic bingo player systems, including copies of invoices provided by the distributor;

(5) The calculation of charity allocation and state tax;

(6) All written contracts, agreements, leases, rental agreements, or any other statement of understanding;

(7) Work schedules and assignments of all employees, volunteers and bona fide members; and

(8) Copies of by-laws, articles of incorporation and organization chart listing titles, roles, and responsibilities;

(j) Prepare general accounting record according to U.S. Generally Accepted Accounting Principles (GAAP) on a double-entry system of accounting, maintaining detailed, supporting, and subsidiary records;

(k) Retain full custody and control over all bank accounts pertaining to bingo and lucky 7 activities;

(l) Comply with the financial and reporting requirements set forth in Pari 1009 below;

(m) Submit a copy of the written agreement to the commission prior to services being rendered, in accordance with RSA 287-E:7, II(b);

(n) Maintain all bingo related records on the premises for a period of 2 years;

(o) Notify the commission in writing within 15 days of an event affecting the charitable organization's:

(1) Qualifications for licensure under Pari 1003.02, such as a change in IRS exemption status; or

(2) Status of good standing with the New Hampshire secretary of state or director of charitable trust, or with the organization's state or national organization;

(p) Not allow an individual to serve as both the treasurer and the chairperson of the charitable organization or their designee; and

(q) Notify the commission in writing within 3 days of cancelling an authorized bingo event, and include the following information in the notification:

(1) The name and contact information of the licensed charitable organization submitting the notification;

(2) The date and location of the cancelled bingo event;

(3) The reason for the cancellation; and

(4) Whether or not lucky 7 tickets were sold on this game date.

N.H. Admin. Code § Pari 1006.04

Derived From Volume XXXV Number 40, Filed October 8, 2015, Proposed by #10928, Effective 9/10/2015, Expires 9/10/2025.

Amended by Volume XXXVII Number 15, Filed April 13, 2017, Proposed by #12130, Effective 3/10/2017, Expires 3/10/2027.