Husted Wants to Regulate Bingo
The Hannah Report - Vol. 124, No. 281 - February 15, 2002

Rep. Jon Husted (R-Kettering) introduced HB512 Thursday, a bill aimed at reforming Ohio's Charitable Fundraising Law. The legislation is designed to better regulate charitable gaming to ensure the proceeds are used for charitable purposes.

"It has become clear to me that while most of the gaming proceeds in Ohio go toward legitimate charities, there are those storefront operations that abuse bingo laws to line their own pockets," said Husted. "It is time to crack down on the illegal gambling going on in Ohio."

One of the problems with the current charitable gaming statute, according to Husted, is the lack of resources to crack down on illegal operations. This, coupled with antiquated and confusing definitions of what constitutes legal and illegal bingo make enforcement efforts almost impossible.

"This legislation gives the attorney general the tools to go after those that abuse the system. At the same time it clarifies existing laws for legitimate charities," said Husted.

The bill establishes a structure for licensing bingo operators, distributors, and manufacturers that will allow the attorney general to better regulate the industry. In addition, it sets up a system to track proceeds, ensuring that they are going to proper charities. The licensing system will generate new revenues that can be used for enforcement officers and busting scams and illegal operations.

While setting up a new tracking system, the bill also strengthens the ability of legitimate charities to raise money through charitable games. "I grew up watching members of my parish play bingo at our church festivals, and understand how important this fundraising source is to legitimate charities. That is why my bill allows legitimate charities like churches and veterans' and fraternal organizations to operate charitable games," continued Husted.

The bill specifies that licensed charitable organizations may keep a portion of the net profits from bingo while assuring that the majority of the money goes to charity. It also allows these organizations to keep some revenues to pay for specified operating expenses. Another provision eases restrictions on who can sell bingo tickets, thus permitting charities to raise more money.

"It is my belief that by enacting this legislation, good, legitimate bingo operation will be able to continue to raise money for worthy and deserving charities. At the same time, it establishes a series of changes that will help Ohio weed out those that would abuse the system for their own personal profit," Husted concluded.

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