Guam § 64 - Organizations Authorized to Conduct Gambling:

§ 64. Organizations Authorized to Conduct Gambling:

Permit Procedure.

(a) Sections 64.10 and 64.20 do not apply to gambling

activities sponsored, promoted and conducted by an organization

which has been issued a permit to conduct such activities

pursuant to Subsection (c).

(b) A permit to conduct gambling activities shall be issued

by the Director of the Department of Revenue and Taxation if:

(1) the organization which applies for the permit has

been organized and functioning actively as a nonprofit

organization in the Territory for not less than two (2) years

prior to filing its application and is:

(A) a church or religious organization;

(B) a fraternal or fraternal benefit society;

(C) an educational or charitable organization; or

(D) a club or organization organized and operated

exclusively for pleasure, recreation and other nonprofit

purposes not part of the net earnings of which inures to

the benefit of any member or shareholder;

(2) the promotion and management of such bingo

games or lottery (raffle tickets) are confined solely to the

qualified members of the sponsoring organization, no

member of which receives remuneration in any form for

time or effort devoted to the promotion and management of

the bingo games or lottery (raffle tickets); and

(3) all net proceeds derived from such gambling

activities are used exclusively for the purposes stated in the

sponsoring organization's application to conduct such

activities, which purposes shall be limited to educational,

charitable, religious, fraternal or civic purposes.

(c) (1) An organization which meets the requirements of

Subsection (b) and which desires to conduct or operate

gambling activities shall apply for a permit to conduct such

activities from the Director of the Department of Revenue

and Taxation.

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(A) The application form shall include:

(i) the name and address of the applicant;

(ii) the evidences on which the applicant

relies in order to qualify under Subsection (b);

(iii) the names of three (3) officers or

members of the organization who shall be

responsible for the operation of the gambling

activities;

(iv) the address of the premises on which the

operation of the gambling activities will be held;

and

(v) the uses to which the net proceeds will

be applied.

(B) Upon receipt of such application the Director

shall determine whether it is in conformity with this

Section.

(i) If so, the Director shall forthwith issue a

permit. The permit shall be valid for one (1) year

from the date of its issuance. The Director shall

retain a copy of the application.

(ii) If there is any change subsequent to the

making of the application for a permit in the facts

set forth therein, the applicant shall forthwith

notify the Director of such change, and the

Director shall issue a permit if the applicant is

qualified, or, if a permit has already been issued

and the change in the facts set forth in the

application disqualify the applicant, the Director

shall revoke such permit.

(2) If an application for a permit to conduct gambling

activities is not acted upon within thirty (30) days after

submission, or if the organization is denied a permit, or if a

permit is revoked, any person named on the application may

obtain a judicial review of such inaction, refusal or

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revocation by filing a petition for review in the Superior

Court.

(A) Such petition for review shall be filed within

ten (10) days of the refusal or revocation of a permit or

within ten (10) days of the expiration of the thirty (30)

day period.

(B) If the court is satisfied that there was no

reasonable ground for refusing a permit and that the

applicant was not prohibited by law from holding

gambling activities, he may direct that such permit be

issued.

(d) The Director shall immediately revoke a permit in case

of violation of any provision of this Section, and the Director

shall not issue any permit to such permittee within three (3)

years following the date of such violation.

(1) Any person aggrieved by such action may appeal to

the Superior Court provided that such appeal is filed within

twenty (20) days following receipt of notification by the

Director.

(2) The court shall hear all pertinent evidence and

determine the facts; upon the facts so determined the court

shall annul such action or make such decision as equity may

require. This remedy shall be exclusive.

(e) (1) An organization which is issued a permit shall

submit a report to the Director on a form to be approved by

him within thirty (30) days of the expiration of the permit.

Such form shall require information concerning the nature

of the gambling activities held, the amount of money

received, the expenses incurred in connection with such

activities, the net proceeds of such activities, and the uses to

which the net proceeds were applied.

(2) The organization shall maintain and keep such

books and records as may be necessary to substantiate the

particulars of such report; such books and records shall be

preserved for at least one (1) year after such report is

submitted and shall be available for inspection.

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(3) The report shall be certified to by the three (3)

persons designated in the permit application as responsible

for such gambling activities and by an accountant.

(4) Failure to file such a report shall constitute

sufficient grounds for refusal to renew a permit to conduct

gambling activities.

(f) As used in this Section:

(1) Bingo Games means a specific game of chance,

commonly known as bingo, in which prizes are awarded on

the basis of designated numbers or symbols on a card

conforming to numbers or symbols selected at random;

(2) Lottery (Raffle Tickets) means a plan whereby

prizes are distributed by chance among persons who have

paid or promised to pay anything of monetary value for a

chance to win a prize; and

(3) Gambling Activities means either a lottery (raffle

tickets) or bingo games and does not include any form of

casino gambling.

(g) Notwithstanding any other law, rule or regulation, a

non-profit tax exempt organization issued a permit pursuant to

Subsection (c) may conduct bingo operations on any premises

where it is authorized to do so by the Department of Revenue

and Taxation, regardless of whether the premises is owned or

leased by it or another non-profit tax exempt organization.

However, the use of such premises shall not be conditioned on

the payment of a share of bingo proceeds.

(h) Notwithstanding any other law, rule or regulation, a

bingo licensee, as that term is used in Title 3 GAR Chapter 7, is

required to own all equipment used to conduct the bingo games

or lease such equipment from an organization licensed with the

Department of Revenue and Taxation (DRT). However, the use

of such premises shall not be conditioned on the payment of a

share of bingo proceeds.

(i) Notwithstanding any other law, rule or regulation, a

bingo licensee, as that term is used in Title 3 GAR Chapter 7,

shall file an annual itemized report with the Gaming Control

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Commission each year disclosing the gross receipts and all

expenses and expenditures associated with the operation of the

bingo games. Such report shall be filed on or before April 15th

of every year. The report must be prepared on the form

prescribed and provided by the Gaming Control Commission.

(j) Notwithstanding any other law, rule or regulation, no

person or organization may receive any money or other

consideration for salary, expense money, or any other fees for

the operation of or assistance with regard to any bingo game,

except that a member or auxiliary member of the licensed non-

profit tax exempt organization who assists in the conducting of

such games on such day shall be compensated based on the

prevailing wages according to the member’s position.