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RULE PROPOSAL
VOLUME 43, ISSUE 13
ISSUE DATE: JULY 5, 2011
Law and Public Safety
DIVISION OF CONSUMER AFFAIRS
LEGALIZED GAMES OF CHANCE CONTROL COMMISSION

Proposed Amendment: N.J.A.C. 13:47-7.3

Alcoholic Beverage Prohibition

Authorized By: Legalized Games of Chance Control Commission, Thomas Calcagni, Acting Executive Officer.
Authority: N.J.S.A. 5:8-6.
 
Calendar Reference: See Summary below for explanation of exemption to calendar requirement.
Proposal Number: PRN 2011-145.
 
Submit comments by September 3, 2011 to:

Legalized Games of Chance Control Commission
c/o Thomas Calcagni, Acting Executive Officer
124 Halsey Street
P.O. Box 46000
Newark, New Jersey 07101

The agency proposal follows:
 
Summary
Prior to amendment in 2010, N.J.S.A. 5:8-33 prohibited the selling or serving of alcoholic beverages while a bingo game is being held. P.L. 2010, c. 77 amended this law to permit alcoholic beverages to be sold or served during a bingo game that is held on the premises of an individual or entity holding a plenary retail consumption license. This license permits an individual or entity to sell alcoholic beverages for consumption on the licensed premises.

Existing N.J.A.C. 13:47-7.3 reflects the statutory prohibition effectuated by N.J.S.A. 5:8-33. The Legalized Games of Chance Control Commission (Commission) proposes to amend N.J.A.C. 13:47-7.3 to be consistent with P.L. 2010, c. 77 and permit alcoholic beverages to be sold or served when bingo games are held on the premises of a holder of a plenary retail consumption license. The proposed amendment clarifies that such an individual or entity would also need to be licensed by the Commission as an approved rentor of premises for bingo games pursuant to N.J.S.A. 5:8-49.3 and N.J.A.C. 13:47-14.2.

The Commission notes that under the Bingo Licensing Law, N.J.S.A. 5:8-24 et seq., a bingo game that is conducted by selling a right to participate and where money or thing of value is awarded as a prize may only be conducted by a qualified organization registered with the Commission and licensed by a municipality. A qualified organization may hold a bingo game on the premises of an approved rentor. If there is no charge to participate in a bingo game, the game does not constitute gambling and is therefore not subject to the Bingo Licensing Law or Commission regulations, including the proposed amendment to N.J.A.C. 13:47-7.3. Note, however, that if patrons of an establishment must pay a cover charge or make a minimum purchase to be eligible to play bingo, the game would be considered a gambling activity and may not lawfully be conducted.

The Commission has determined that the comment period for this proposal shall be 60 days; therefore, pursuant to N.J.A.C. 1:30-3.3(a)5, this proposal is excepted from the rulemaking calendar requirement.
 
Social Impact
Bingo games are held to support educational, patriotic, religious and public spirited charitable purposes, and in the case of senior citizen associations or clubs, the support of such orginzations. Allowing bingo games to be held on premises that are licensed to sell or serve alcoholic beverages could make bingo games more popular. This would increase the number of people taking part in these games and increase the money charities make from these games.
 
Economic Impact
The proposed amendment may have a positive economic impact on the registered organizations that raise money by holding bingo games. If the proposed amendment makes attending bingo games more attractive, those organizations may raise more money through bingo games. The proposed amendment will have an economic impact on a holder of a plenary retail consumption license who seeks to hold bingo games on its premises. Such an individual or entity would be required to obtain a license as an approved rentor. The annual cost of this license is $ 1,000. An approved rentor is also required to submit a $ 20.00 fee to the Commission for each time bingo games are held on its premises.
 
Federal Standards Statement
A Federal standards analysis is not required because the proposed amendment is governed by N.J.S.A. 5:8-6 and are not subject to any Federal requirements or standards.
 
Jobs Impact
The Commission does not believe that the proposed amendment will increase or decrease the number of jobs in New Jersey.
 
Agriculture Industry Impact
The Commission does not believe that the proposed amendment will have any impact on the agriculture industry in the State.
 
Regulatory Flexibility Analysis
A holder of a plenary retail consumption license could be considered a "small business" under the Regulatory Flexibility Act (the Act), N.J.S.A. 52:14B-16 et seq. The proposed amendment will have the same economic impact on small businesses as it does on all holders of plenary retail consumption licenses as outlined in the Economic Impact statement. License holders will not need to employ any professional services to comply with the requirements of the proposal. The proposed amendment does not impose recordkeeping or reporting requirements, but does impose compliance requirements as detailed in the Summary above. As the proposed amendment ensures that individuals or entities that provide premises for holding bingo games are complying with statutory licensing requirements, no differing compliance requirements are imposed on holders of plenary retail consumption licenses based on the size of the business.
 
Smart Growth Impact
The Commission does not believe that the proposed amendment will have an impact on the achievement of smart growth or on the implementation of the State Development and Redevelopment Plan.
 
Housing Affordability Impact Analysis
The proposed amendment will have an insignificant impact on affordable housing in New Jersey and there is an extreme unlikelihood that the amendment would evoke a change in the average costs associated with housing because the proposed amendment concerns selling or serving alcoholic beverages during bingo games.
 
Smart Growth Development Impact Analysis
The proposed amendment will have an insignificant impact on smart growth and there is an extreme unlikelihood that the amendment would evoke a change in housing production in Planning Areas 1 or 2 or within [page=1506] designated centers under the State Development and Redevelopment Plan in New Jersey because the proposed amendment concerns selling or serving alcoholic beverages during bingo games.
 
Full text of the proposal follows (additions indicated in boldface thus; deletion indicated in brackets [thus]):
 
13:47-7.3   Alcoholic beverage prohibition
 
(a) Except as provided in (b) below, [No] no game may be conducted in any room or outdoor area where alcoholic beverages are sold, dispensed or consumed during the period between the commencement of the first and the conclusion of the last bingo game of the occasion.
 
(b) Alcoholic beverages may be sold or served during bingo games held on the licensed premises of the holder of a plenary retail consumption license pursuant to P.L. 1954, c. 6 (N.J.S.A. 33:1-12) as long as the holder of the plenary retail consumption license is licensed as an approved rentor pursuant to N.J.S.A. 5:8-49.3 and N.J.A.C. 13:47-14.2.

   
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