[HISTORY: Adopted by the Town Board of the Town of Clay 7-10-1978 by L.L. No. 21-1978 (originally passed at referendum 11-7-1978); amended in its entirety 5-18-1981 by L.L. No. 2-1981. Subsequent amendments noted where applicable.]
Bingo — See Ch. 74.
This chapter shall be known and may be cited as the "Games of Chance Law of the Town of Clay."
The Town Board of the Town of Clay finds the raising of funds for the promotion of bona fide charitable, educational, scientific, health, religious, patriotic and other worthy causes, where the beneficiaries are undetermined, to be in the public interest, and that the mandate of Section 9 of Article 1 of the Constitution of the State of New York, as amended, should be carried out by rigid regulations to prevent commercialized gambling, prevent participation by criminal and other undesirable events and prevent the diversion of funds from the purposes herein authorized.
This chapter is subject and subordinate to all the conditions and provisions contained in Article 9-A of the General Municipal Law and amendments thereto, and any and all rules and regulations and opinions adopted or to be adopted by the New York State Racing and Wagering Board.
"Authorized games of chance lessor," "authorized organization," "authorized supplier of games of chance equipment," "games of chance," "lawful purposes," "net lease," "net proceeds," "one occasion," "series of prizes" and "single prize" shall have the meanings designated in the definitions set forth in Article 9-A of the General Municipal Law.
As used in this chapter, the following terms shall have the meanings indicated:
- GAMES OF CHANCE CURRENCY
- Scrip other than legal tender, or chips of a type authorized by the rules and regulations of the New York State Racing and Wagering Board; and shall be the sole currency authorized for participation in games of chance. Money or other material redeemable other than for prizes to be awarded is prohibited from use for wagering, directly or indirectly, in connection with games of chance.
- LICENSED PERIOD
- A period of time not to exceed 14 consecutive hours.
- The chief law enforcement officer of the Town of Clay.
- STATE BOARD
- The New York State Racing and Wagering Board.
- The Town of Clay.
- TOWN BOARD
- The Town Board of the Town of Clay, New York.
- TOWN CLERK
- The Town Clerk of the Town of Clay, New York.
Words singular in form may include the plural, words plural in form may include the singular and words in the masculine gender shall include the feminine and neuter genders.
The Town Clerk is hereby delegated the authority granted to the "clerk" by Article 9-A of the General Municipal Law, and is hereby additionally delegated the responsibility of "treasurer" to transmit fees to the Comptroller of the State of New York.
The powers and duties of the "officer" set forth in Subdivision 1 of § 194 of the General Municipal Law shall be exercised by the Officer. The Officer is hereby delegated the authority granted to the "officer" by Article 9-A of the General Municipal Law.
No person, partnership, firm, corporation or organization other than an authorized organization or authorized games of chance lessor licensed under the provisions of this chapter shall be permitted to conduct games of chance within the territorial limits of the Town of Clay or to lease any hall for the purposes of conducting games of chance.
Each applicant for a license shall, after obtaining an identification number from the State Board, file with the Town Clerk a written application therefor in a form to be prescribed by the State Board duly executed and verified, in which shall be stated:
The name and address of the applicant together with sufficient facts relating to its incorporation and organization to enable the Town Clerk, to determine whether or not it is a bona fide authorized organization.
The names and addresses of its officers; and the place or places where, the date or dates and the time or times when the applicant intends to conduct games of chance under the license applied for.
The amount of rent to be paid or other consideration to be given directly or indirectly for each licensed period for use of the premises of an authorized games of chance lessor.
All other items of expense intended to be incurred or paid in connection with the holding, operating and conducting of such games of chance and the names and addresses of the persons to whom, and the purposes for which, they are to be paid.
The purposes to which the entire net proceeds of such games of chance are to be devoted and in what manner; that no commission, salary, compensation, reward or recompense will be paid to any person for conducting such game or games or for assisting therein except as otherwise provided in Article 9-A of the General Municipal Law.
That no member of the applicant has ever been convicted of a crime or, if convicted, that he has received a pardon or a certificate of good conduct.
The name of each single type of game of chance to be conducted under the license applied for and the number of merchandise wheels, if any, to be operated.
Any other information as shall be prescribed by the rules and regulations promulgated by the State Board.
In each application there shall be designated not less than four bona fide members of the applicant organization under whom the game or games of chance will be managed and to the application shall be appended a statement executed by the members so designated, that they will be responsible for the management of such games of chance in accordance with the terms of the license, the rules and regulations of the State Board and the provisions of the chapter and Article 9-A of the General Municipal Law.
Each applicant for a license to lease premises to a licensed organization for the purpose of conducting games of chance therein shall file with the Town Clerk a written application therefor in a form to be prescribed by the State Board duly executed arid verified, which shall set forth:
The name and address of the applicant.
Designation and address of the premises intended to be covered by the license sought.
A statement that the applicant in all respects conforms with the specifications contained in the definition of "authorized organization" set forth in Article 9-A of the General Municipal Law.
A statement of the lawful purposes to which the net proceeds from any rental are to be devoted by the applicant.
Any other information as shall be prescribed by the State Board and the provisions of this chapter.
The conduct of games of chance authorized by this chapter shall be subject to the restrictions contained in General Municipal Law § 189, as amended.
The Town Clerk shall make an investigation of the qualifications of each applicant and the merits of each application with due expedition after the filing of the application. The Officer is hereby designated to assist the Town Clerk in said investigation.
No less than seven days from the filing of the original application and upon having conducted an investigation of the qualifications of each applicant and the merits of each application or an amendment of a license, the Officer will record the finding and determination on a form duly designated by the State Board. The Officer will then file the report, in duplicate, with the Town Clerk.
If such Town Clerk shall determine that the applicant is duly qualified to be licensed to conduct games of chance under this chapter; that the member or members of the applicant designated in the application to manage games of chance are bona fide active members of the applicant and are persons of good moral character and have never been convicted of a crime, or, if convicted, have received a pardon, a certificate of good conduct or a certificate of relief from disabilities; that such games are to be conducted in accordance with the provisions of this chapter and in accordance with the rules and regulations of the State Board; that the proceeds thereof are to be disposed of as provided by this chapter; and if the Town Clerk is satisfied that no commission, salary, compensation, reward or recompense whatever will be paid or given to any person managing, operating or assisting therein except as otherwise provided in this chapter; it shall issue a license to the applicant for the conduct of games of chance upon payment of a license fee as provided in Chapter 105, Fees.
If such Town Clerk shall determine that the applicant seeking to lease premises for the conduct of games of chance to a games of chance licensee is duly qualified to be licensed under this chapter; that the applicant satisfies the requirements for an authorized organization as defined in Article 9-A of the General Municipal Law; that the applicant has filed its proposed rent for each licensed period and that the Town Clerk has approved the proposed rent as fair and reasonable; that the net proceeds from any rental will be devoted to the lawful purposes of the applicant; that there is no diversion of the funds of the proposed lessee from the lawful purposes as defined in Article 9-A of the General Municipal Law; and that such leasing of premises for the conduct of such games is to be in accordance with the provisions of this chapter, with the rules and regulations of the State Board, she shall issue a license permitting the applicant to lease said premises for the conduct of such games to the games of chance licensee or licensees specified in the application during the period therein specified or such shorter period as such Town Clerk shall determine, but not to exceed 12 license periods during a calendar year, upon payment of a license fee as provided in Chapter 105, Fees. Nothing herein shall be construed to require the applicant to be licensed under this chapter to conduct games of chance.
On or before the 30th day of each month, the Treasurer of the town shall transmit to the State Comptroller a sum equal to 50% of all authorized games of chance lessor license fees and the sum of $15 per license period for the conduct of games of chance collected by such Town Clerk pursuant to this section during the preceding calendar month.
No license shall be issued under this section which shall be effective for a period of more than one year.
No application for the issuance of a license to an authorized organization shall be denied by the Town Clerk until after a hearing is held, upon due notice to the applicant, at which time the applicant shall be entitled to be heard upon its qualifications and the merits of the application.
Any applicant for, or holder of, any license issued or to be issued hereunder aggrieved by any action of the Town Clerk to which an application has been made or by which a license has been issued may appeal to the State Board from the determination of the Town Clerk by filing with the Town Clerk written notice of appeal within 30 days after the determination or action appealed from and, upon the hearing of such appeal, the evidence, if any, taken before the Town Clerk and any additional evidence may be produced and shall be considered in arriving at a determination of the matters in issue. The action of the State Board upon said appeal shall be binding upon the Town Clerk and all parties to said appeal.
Any license issued under this section may be amended, upon application made to such Town Clerk which issued it, if the subject matter of the proposed amendment could lawfully and properly have been included in the original license and upon payment of such additional license fee, if any, as would have been payable if it had been so included.
Each license to conduct games of chance shall be in such form as shall be prescribed in the rules and regulations promulgated by the State Board, and shall contain a statement of the name and address of the licensee, of the names and addresses of the members of the licensee under whom the games will be managed, of the place or places where and the date or dates and time or times when such games are to be conducted and of the purposes to which the entire net proceeds of such games are to be devoted; the name of each single type of games of chance to be conducted under the license and the number of merchandise wheels, if any, to be operated; and any other information which may be required by said rules and regulations to be contained therein, and each license issued for the conduct of any games of chance shall be conspicuously displayed at the place where same is to be conducted at all times during the conduct thereof.
Each license to lease premises for conducting games of chance will be in such form as shall be prescribed in the rules and regulations of the State Board and shall contain a statement of the name and address of the licensee and the address of the leased premises, the amount of the permissible rent and any information which may be required by said rules and regulations to be contained therein, and each such license shall be conspicuously displayed upon such premises at all times during the conduct of games of chance.
The Officer shall have and exercise rigid control and close supervision over all games of chance conducted under such license, to the end that the same are fairly conducted in accordance with the provisions of such license, the provisions of the rules and regulations promulgated by the State Board, and the provisions of this chapter. Such Officer and the State Board shall have the power and the authority to temporarily suspend any license issued by the Clerk and/or impose fines for violations not to exceed $1,000. Temporary suspension of licenses shall be promptly followed by a hearing, and after notice and hearing, the Clerk or State Board may suspend or revoke the same and declare the violator ineligible to apply for a license for a period not exceeding 12 months thereafter. Any fines tendered to the Clerk or State Board shall not be paid from funds derived from the conduct of games of chance. The Officer or the State Board shall additionally have the right of entry, by their respective officers and agents, at all times into any premises where any game of chance is being conducted or where it is intended that any such game shall be conducted, or where any equipment being used or intended to be used in the conduct thereof is found, for the purpose of inspecting the same. Upon suspension or revocation of any license or upon declaration of ineligibility to apply for a license, the State Board may suspend or revoke the identification number issued pursuant to General Municipal Law § 188-a. An agent of the appropriate officer shall make an on-site inspection during the conduct of all games of chance licensed pursuant to this chapter.
Subject to the applicable provisions of the Alcoholic Beverage Control Law, beer may be offered for sale during the conduct of games of chance on games of chance premises as such premises are defined in this chapter; provided however, that nothing herein shall be construed to limit the offering for sale of any other alcoholic beverages in areas other than the games of chance premises.
Within seven days after the conclusion of any license period, the authorized organization which conducted the same, and its members who were in charge thereof, and when applicable the authorized games of chance lessor which rented its premises therefor, shall each furnish to the Town Clerk a statement subscribed by the member in charge and affirmed by him as true, under the penalties of perjury, showing the amount of the gross receipts derived therefrom and each item of expense incurred, or paid, and each item of expenditure made or to be made other than prizes, the name and address of each person to whom each such item of expense has been paid, or is to be paid, with a detailed description of the merchandise purchased or the services rendered therefor, the net proceeds derived from the conduct of games of chance during such license period, and the use to which such proceeds have been or are to be applied and it shall be the duty of each licensee to maintain and keep such books and records as may be necessary to substantiate the particulars of each such statement.
Upon the filing of such statement of receipts, the authorized organization furnishing the same shall pay to the Town Clerk as and for an additional license fee a sum based upon the reported net proceeds, if any, for the license period covered by such statement and determined in accordance with such schedule as shall be established from time to time by the State Board to defray the actual cost to the town of administering the provisions of Article 9-A of the General Municipal Law, but such additional license fee shall not exceed 5% of the net proceeds for such license period.
The Town Clerk and Officer and the State Board shall have the power to examine or cause to be examined the books and records of the following. Any information so received shall not be disclosed except for the purpose of carrying out the provisions of this chapter.
Any authorized organization which is and has been licensed to conduct games of chance so far as they may relate to games of chance, including the maintenance, control and disposition of the net proceeds derived from games of chance or from the use of its premises for games of chance, and to examine any manager, officer, director, agent, member or employee thereof under oath in relation to the conduct of any games of chance under any license, the use of its premises for games of chance, or the disposition of the net proceeds derived from games of chance, as the case may be.
Any authorized games of chance lessor so far as the same may relate to leasing premises for games of chance and to examine said lessor or any manager, officer, director, agent, or employee thereof under oath in relation to said leasing.
No person under the age of 18 years shall be permitted to play any game or games of chance conducted pursuant to any license issued under this chapter. Persons under the age of 18 years may be permitted to attend games of chance at the discretion of the games of chance licensee. No person under the age of 18 years shall be permitted to operate any game of chance conducted pursuant to any license issued under this chapter or to assist therein.
No game or games of chance shall be conducted under any license issued under this chapter more often than 12 times in any calendar year. No particular premises shall be used for the conduct of games of chance on more than 24 license periods during any one calendar year. Games shall be conducted only between the hours of 12:00 noon and 12:00 midnight on Monday, Tuesday, Wednesday and Thursday, and only between the hours of 12:00 noon on Friday and 2:00 a.m. Saturday, and only between the hours of 12:00 noon on Saturday and 2:00 a.m. Sunday. The 2:00 a.m. closing period shall also apply to a legal holiday.
No person shall operate any game of chance under any license issued under this chapter except a bona fide member of the authorized organization to which the license is issued, or a bona fide member of an organization or association which is an auxiliary to the licensee or a bona fide member of an organization or association of which such licensee is an auxiliary or a bona fide member of an organization or association which is affiliated with the licensee by being, with it, auxiliary to another organization or association. Nothing herein shall be construed to limit the number of games of chance licensees for whom such persons may operate games of chance nor to prevent nonmembers from assisting the licensee in any activity other than managing or operating games.
No game of chance shall be conducted with any equipment except such as shall be owned or leased by the authorized organization so licensed or used without payment of any compensation therefor by the licensee.
The head or heads of the authorized organization shall, upon request, certify under oath that the persons operating any game of chance are bona fide members of such authorized organization, auxiliary or affiliated organization. Upon request by an officer any such person involved in such games of chance shall certify that he or she has no criminal record.
No items of expense shall be incurred or paid in connection with the conducting of any game of chance pursuant to any license issued under this chapter except those that are reasonable and are necessarily expended for games of chance supplies and equipment, prizes, security, personnel, stated rental, if any, bookkeeping or accounting services according to a schedule of compensation prescribed by the State Board, janitorial services and utility supplies, if any, and license fees, and the cost of bus transportation, if authorized by such Town Clerk.
A fee may be charged by any licensee for admission to any game or games of chance conducted under any license issued under this chapter. The Town Clerk may in its discretion fix a minimum fee. Every winner shall be determined and every prize shall be awarded and delivered within the same calendar day as that upon which the game of chance was played.
A licensee may advertise the conduct of games of chance to the general public by means of handbill and poster, and by one sign not exceeding 60 square feet in area, which may be displayed on or adjacent to the premises owned or occupied by a licensed authorized organization, and when an organization is licensed to conduct games of chance on premises of an authorized games of chance lessor, one additional sign may be displayed on or adjacent to the premises in which the games of chance are to be conducted. Additional signs may be displayed upon any fire-fighting equipment belonging to any licensed authorized organization which is a volunteer fire company, or upon any equipment of a first aid or rescue squad in and throughout the community served by such volunteer fire company or such first aid or rescue squad, as the case may be. All advertisements shall be limited to the description of such event as "Games of Chance" or "Las Vegas Night," the name of the authorized organization conducting such games, the license number of the authorized organization as assigned by the Town Clerk and the date, location and time of the event.
No person, firm, partnership, corporation or organization lawfully conducting, or participating in the conduct of games of chance or permitting the conduct upon any premises owned or leased by him or it under any license lawfully issued pursuant to this chapter, shall be liable to prosecution or conviction for violation of any provision of Article 225 of the Penal Law or any other law or ordinance to the extent that such conduct is specifically authorized by this chapter, but this immunity shall not extend to any person or corporation knowingly conducting or participating in the conduct of games of chance under any license obtained by any false pretense or by any false statement made in any application for license or otherwise, or permitting the conduct upon any premises owned or leased by him or it of any game of chance conducted under any license known to him or it to have been obtained by any such false pretense or statement.
No person, firm, partnership, corporation or organization who or which shall make any material false statement in any application for any license authorized to be issued under this chapter shall pay or receive, for the use of any premises for conducting games of chance, a rental in excess of the amount specified as the permissible rent in the license provided for in § 118-11B of this chapter; shall fail to keep such books and records as shall fully and truly record all transactions connected with the conducting of games of chance or the leasing of premises to be used for the conduct of games of chance; shall falsify or make any false entry in any books or records so far as they relate in any manner to the conduct of games of chance, to the disposition of the proceeds thereof and to the application of the rents received by any authorized organization; shall divert or pay any portion of the net proceeds of any game of chance to any person, firm, partnership, corporation, except in furtherance of one or none of the lawful purposes defined in this chapter; shall be guilty of a misdemeanor and shall forfeit any license issued under this chapter and be ineligible to apply for a license under this chapter for at least one year thereafter.
Any person, association, corporation or organization holding, operating, or conducting games of chance shall be guilty of a misdemeanor except when operating, holding or conducting:
In accordance with a valid license issued pursuant to this chapter; or
On behalf of a bona fide organization of persons 60 years of age or over, commonly referred to as "senior citizens," solely for the purpose of amusement and recreation of its members where:
The organization has applied for and received an identification number from the State Board.
No player or other person furnishes anything of value for the opportunity to participate.
The prizes awarded or to be awarded are nominal.
No person other than a bona fide active member of the organization participates in the conduct of the games of chance.
No person is paid for conducting or assisting in the conduct of games of chance.
No alcoholic beverage, with the exception of beer, shall be sold at any games of chance.
No alcoholic beverage shall be offered or given as a prize in any games of chance.
The unauthorized conduct of a game of chance shall constitute and be punishable as a misdemeanor.