Current through Register Vol. 49, No. 13, September 23, 2024
Subpart 1.
Organization license required.
An organization may not conduct lawful gambling unless it has
received a license issued by the board. The license, when issued, is not
transferable from one organization to another.
Subp. 2.
Organization licensing
qualifications.
In addition to the qualifications in Minnesota Statutes,
sections
349.155,
subdivision 3, and 349.16, subdivision 2, an organization does not qualify for
a license if:
A. an organization that
has not been licensed to conduct lawful gambling within the preceding 12 months
and its current chief executive officer and a person who will be its gambling
manager have not completed a gambling manager seminar within the last six
months;
B. the organization has not
established a permanent location in Minnesota where the gambling records
required by this chapter will be kept and has not established a gambling bank
account within Minnesota;
C. the
organization's conduct of lawful gambling is or would be inconsistent with
Minnesota Statutes, sections
349.11 to
349.23,
as indicated by lack of financial responsibility, demonstrated lack of control
of lawful gambling, or incomplete consent order or termination plan
requirements;
D. the organization
does not have a gambling manager who will be licensed by the board when the
organization obtains its license; and
E. the organization will not obtain at least
one premises permit when the organization obtains its license.
Subp. 3.
Contents of
organization license application.
The application must contain the following organization
information:
A. legal name and any
other names used;
B. business
address and telephone number;
C.
Minnesota tax identification number and federal employer identification
number;
D. names, titles, dates of
birth, and daytime telephone numbers of the chief executive officer and
treasurer;
E. home address of the
chief executive officer;
F. a
designation of whether the organization is a fraternal, veterans, religious, or
other nonprofit organization and the number of years the organization has
existed;
G. number of active
members;
H. day and time of regular
meetings;
I. acknowledgment that
the organization will file a license termination plan if the organization
terminates lawful gambling;
J. for
a 501(c)(3) organization or 501(c)(4) festival organization that chooses to
make lawful purpose contributions to itself, an acknowledgment regarding the
provisions of part
7861.0320, subpart 14;
and
K. additional information that
may be required by the board to properly identify the applicant and ensure
compliance with Minnesota Statutes, sections
349.11 to
349.23.
Subp. 4.
Attachments to
organization license application.
The organization must attach the following to the
application:
A. proof of Internal
Revenue Service income tax exempt status or current certificate of nonprofit
status from the Minnesota secretary of state. If the organization is a
501(c)(3) organization or 501(c)(4) festival organization, the organization
must attach documentation from the Internal Revenue Service showing proof of
its income tax exempt status;
B. a
copy of a charter of the parent organization, if chartered;
C. a membership list, signed by the
organizations chief executive officer, with the first and last names of at
least 15 active members as defined in Minnesota Statutes, section
349.12, subdivision
2, and date of membership;
D. an
affidavit of the chief executive officer and treasurer, in a format prescribed
by the board;
E. for a 501(c)(3)
organization or 501(c)(4) festival organization that chooses to make lawful
purpose contributions to itself, a copy of the organizations annual report on
income and expenses provided to the Internal Revenue Service, or in a format
prescribed by the board; and
F. a
copy of the organizations by-laws, signed by the organizations chief executive
officer.
Subp. 5.
Changes in organization license application information.
If any information submitted in the application changes, the
organization must notify the board within ten days of the change.
Subp. 6.
Issuing or denying
an organization license.
The following items apply to an organization license issued or
denied by the board.
A. The board must
issue a license to an organization that:
(1)
submits the information required in the application and application
attachments;
(2) pays the fee
required by Minnesota Statutes, section
349.16,
subdivision 6; and
(3) is eligible
to receive a license under subpart
2. The license must be issued
at the same time as any premises permits when the organization is applying for
a license.
B. The board
must deny the application if an organization:
(1) is ineligible under subpart
2; and
(2) failed to submit all information required
by subparts
3 and
4 and the application has
remained incomplete for more than 90 days after it was received by the board.
When the board determines that an application should be denied,
the board must promptly give a written notice to the organization. The notice
must contain the grounds for the action and reasonable notice of the rights of
the organization to request an appeal under part
7865.0260, subpart
2.
C. All fees submitted with a
license application are considered earned and are not refundable.
Subp. 7.
Effective date for
organization license.
An organization license is effective on the first day of the
month or as otherwise determined by the board.
Subp. 8.
Termination of organization
license.
If an organization voluntarily or involuntarily terminates all
of its gambling activities, it must submit a license termination plan to the
board for approval on a form prescribed by the board. The board must require
the organization to revise the plan if it does not meet with board approval.
The plan must include but is not limited to the following information upon
which board approval must be based:
A.
documentation that provides information on how the organization will expend all
remaining funds in the gambling account for lawful expenditures;
B. documentation of the return or disposal of
all unused gambling equipment in the possession of the organization;
and
C. an acknowledgment by the
organization that it will resolve any pending compliance issues as noted in the
termination plan as approved by the board as a condition of license
reapplication in the future.
Statutory Authority: MS s
14.055;
349.12;
349.151;
349.154;
349.155;
349.16;
349.162;
349.163;
349.1635;
349.165;
349.166;
349.167;
349.169;
349.17;
349.1711;
349.1721;
349.173;
349.19;
349.191;
349.211
