(A) (1) All operation of and the conduct of raffles and poker runs shall be under the supervision of a single manager designated by the licensed organization. The manager must be a bona fide member of the organization holding the license for such a raffle or poker run and may not receive any remuneration or profit for participating in the management or operation of the raffle or poker run.
(2) In the case of Class A and B raffles, the manager shall provide a fidelity bond in a sum equal to the aggregate retail value of all prizes or merchandise awarded in the raffle, with two sureties thereon who are residents of the state, and who are acceptable to the issuing authority, or with a solvent surety company licensed to do business in the state, in favor of the sponsoring licensee conditioned upon his or her honesty and performance of his or her duties. Terms of the bond shall provide that notice shall be given in writing to the Commission not less than 30 days prior to its cancellation. The issuing authority shall consider the bond and shall have the right to disapprove the bond.
(3) In the case of Class C and D raffles and poker runs, the manager shall give a fidelity bond in a sum equal to the aggregate retail value of all prizes and merchandise to be awarded in the raffle with a solvent surety bond company licensed to do business in the state, in favor of the sponsoring licensee, conditioned upon his or her honesty and performance of his or her duties. Terms of the bond shall provide that notice be given in writing to the Commission not less than 30 days prior to its cancellation. The issuing authority shall consider the bond and shall have the right to disapprove the bond.
(4) Fidelity bonds shall be conditioned upon the faithful observance by the licensee of this subchapter upon the provisions of all laws of the state and the United States of America applying to raffles.
(B) The issuing authority may, in its discretion, waive the bond requirement for Class A raffles only, subject to the following conditions:
(1) Upon the unanimous vote to the members of the licensed organization that said requirements maybe waived;
(2) A written waiver is filed with the application for the license;
(3) The license application must contain a sworn statement attesting to the unanimous vote of the members of the licensed organization signed by the presiding officer and the secretary of said organization; and
(4) All licenses issued to the organization shall include a provision that the fidelity bond has been waived.
(Ord. passed 7-15-2014)