Chapter 5.20
GAMBLING ACTIVITIES

Sections:

5.20.010    Tax levied--Authority.

5.20.020    Tax applicability determination.

5.20.030    Tax payable quarterly--Penalty for late payment.

5.20.040    Financial records.

5.20.050    Administration and collection.

5.20.060    Duties of city clerk-treasurer.

5.20.070    Violations -- Misdemeanor -- Gross Misdemeanor -- Civil Infraction.

5.20.010 - Tax levied –Authority

In accordance with RCW 9.46, there is levied upon all persons, associations and organizations who have been duly licensed by the Washington State Gambling Commission:

A.    To conduct or operate any card games, a tax of three percent of the gross receipts received therefrom less the amount awarded as cash or merchandise prizes; to conduct or operate any bingo games or raffle games, a tax of five percent (5%) of the gross receipts received therefrom less the amount awarded as cash or merchandise prizes; and to conduct or operate any amusement games, a tax of two percent of the gross receipts received therefrom less the amount awarded as cash or merchandise prizes; provided, however, that any bona fide charitable or nonprofit organization, as defined in RCW 9.46.0209, which has no paid operating or management personnel and has gross income from bingo or amusement games, or both, not exceeding five thousand dollars ($5,000) per year less the amount awarded as cash or merchandise prizes, shall pay a declaration fee of ten dollars ($10.00) only and shall be exempt from any further excise or tax or payment of any additional fee; and provided further, no tax under this chapter shall be imposed on the first ten thousand dollars ($10,000) of gross receipts less the amount awarded as cash or merchandise prizes from raffles conducted by any bona fide charitable or nonprofit organization; and

B.    To utilize punchboards or pull tabs pursuant to RCW Chapter 9.46, an excise tax or tax computed at the rate of three percent based upon the gross receipts received in the conduct of such activity when used as a commercial stimulant, as defined in RCW 9.46.0217, and at the rate of seven percent based upon the gross receipts, less the amount awarded as cash or merchandise prizes, received in the conduct of such activity by any bona fide charitable or nonprofit organization; the gross receipts in either case shall be computed by multiplying the number of chances played on such board or pull tab times the price or value of each individual chance per play.

(Ord. 5978 §1, 1999; Ord. 5733 §1, 1997; Ord. 4837 §1, 1987; Ord. 4346 §1, 1982; Ord. 4224 §2, 1980; Ord. 3870 §1, 1974).

5.20.020 - Tax applicability determination

A.    For the purpose of identifying who shall be subject to the tax imposed by this chapter, any person, association or organization intending to conduct or operate any gambling activity authorized by Chapter 155, Laws of Washington, 1974 First Extraordinary Session, as amended, shall, prior to commencement of any such activity file with the city clerk-treasurer a sworn declaration of intent to conduct or operate such activity, together with a copy of the license issued in accordance with RCW Chapter 9.46, as amended.

B.    Thereafter, for any period covered by such state license or any renewal thereof, any person, association or organization, shall, on or before the fifteenth day of the month following the end of the quarterly period in which the tax accrued, file with the city clerk-treasurer a sworn statement, on a form to be provided and prescribed by the city clerk-treasurer for the purpose of ascertaining the tax due for the preceding quarterly period.

(Ord. 3870 §3, 1974).

5.20.030 - Tax payable quarterly –Penalty for late payment

A.    The tax imposed by this chapter shall be due and payable in quarterly installments, and remittance therefor shall accompany each return and be made on or before the fifteenth day of the month next succeeding the quarterly period in which the tax accrued.

B.    For each payment due, if such payment is not made by the due date therefor, there shall be added a penalty as follows:

1.    One to seventeen days’ delinquency, ten percent with a minimum penalty of two dollars;

2.    Eighteen to forty days’ delinquency, fifteen percent with a minimum penalty of four dollars;

3.    Forty-one or more days’ delinquency shall be deemed to be a violation of Section 5.20.070.

(Ord. 3870 §4, 1974).

5.20.040 - Financial records

It is the responsibility of all officers, directors and managers of any organization conducting gambling activities to provide access to such financial records as the city clerk-treasurer, his authorized representative, or law enforcement officers may require in order to determine compliance with this chapter.

(Ord. 3870 §7, 1974).

5.20.050 - Administration and collection

The administration and collection of the tax imposed by this chapter shall be by the city clerk-treasurer, and pursuant to rules and regulations as may be adopted by the Washington State Gambling Commission.

(Ord. 3870 §2, 1974).

5.20.060 - Duties of city clerk-treasurer

The city clerk-treasurer shall:

A.    Adopt, publish and enforce such rules and regulations not inconsistent with this chapter as are necessary to enable the collection of the tax imposed by this chapter;

B.    Prescribe and issue the appropriate forms for determination and declaration of the amount of tax to be paid;

C.    Have the power to enter into a contract with Thurston County for the collection of the tax imposed on gambling activities conducted within Olympia.

(Ord. 3870 §6, 1974).

5.20.070 - Violations -- Misdemeanor -- Gross Misdemeanor -- Civil Infraction

A.    Any person, firm, or corporation who knowingly violates or fails to comply with any term or provision of this chapter shall be deemed to have committed a misdemeanor, and if found guilty, shall be subject to a fine not to exceed One Thousand Dollars ($1,000), and/or to imprisonment not to exceed ninety (90) days or to both such fine and imprisonment. Each day shall be a separate offense. In the event of a continuing violation or failure to comply, the second and subsequent days shall constitute a gross misdemeanor punishable by a fine not to exceed Five Thousand Dollars ($5,000) and/or imprisonment not to exceed three hundred and sixty-five (365) days or both such time and imprisonment. Continuing violation shall mean the same type of violation which is committed within a year of the initial violation.

B.    As an additional concurrent penalty, it shall be a civil infraction for a person, firm, or corporation to violate or fail to comply with any term or provision of this chapter. Each day shall be a separate infraction. A person, firm, or corporation found to have committed a civil infraction shall be assessed a monetary penalty as follows:

1.    First offense: Class 3 ($50), not including statutory assessments.

2.    Second offense arising out of the same facts as the first offense: Class 2 ($125), not including statutory assessments.

3.    Third offense arising out of the same facts as the first offense: Class 1 ($250), not including statutory assessments.

See also OMC Chapter 4.44, Uniform Code Enforcement.

(Ord. 6081 §5, 2001; Ord. 3870 §5, 1974).