| (a) A bingo gift certificate may be sold, issued, or
redeemed for bingo paper, pull-tab bingo or card-minding devices provided
that the licensed authorized organization or unit, as defined in Occupations
Code, §2001.431(1), maintains adequate records relating to the
gift certificate as provided in this section.
(b) A licensed authorized organization's cost of printing
the bingo gift certificate is an allowable bingo expense and shall
be paid out of the bingo checking account. In order to maintain adequate
records relating to gift certificates, all gift certificates shall
be pre-numbered and consecutively issued.
(c) A bingo gift certificate may not be awarded as
a prize for bingo unless the value of the certificate is paid for
by the licensed authorized organization and recorded as a bingo prize
on the daily schedule of prizes for the bingo occasion.
(d) A bingo gift certificate may not be awarded as
a door prize unless the value of the certificate is paid for before
it is awarded as a door prize.
(e) Each bingo gift certificate shall be:
(1) imprinted with the name and address of the licensed
location(s) where the gift certificate may be redeemed for bingo paper,
pull-tab bingo or card-minding devices;
(2) imprinted with the monetary value of the certificate;
(3) imprinted with the name of the licensed authorized
organization(s) authorized to accept the bingo gift certificate at
the licensed location;
(4) imprinted with the expiration date or a blank space
for the licensed authorized organization or unit to fill in an expiration
date; and
(5) paid for by the customer in full at the time it
is issued by the licensed authorized organization or unit.
(f) A licensed authorized organization may not accept
a gift certificate in exchange for bingo paper, pull-tab bingo or
card-minding devices if the licensed authorized organization is not
licensed to conduct bingo at the licensed location(s) imprinted on
the gift certificate.
(g) Reporting Requirements:
(1) Funds from the sale of the gift certificate shall
be maintained separately from the bingo funds. Such funds are not
considered bingo funds until the gift certificate is redeemed for
a bingo card, pull-tab bingo, or a card-minding device.
(2) Funds remaining from an expired or unredeemed gift
certificate shall be disbursed equally among the participating licensed
authorized organizations and deposited into each of their respective
general fund accounts.
(3) When a gift certificate is redeemed, the sale of
bingo paper, card-minding device, or pull-tab bingo shall be reported
for that occasion. The gift certificate, when redeemed, shall be exchanged
for cash from the gift certificate funds and deposited into the bingo
account by the end of the third business day after the bingo occasion.
(4) At the end of each month, the licensed authorized
organizations collectively shall reconcile the gift certificates purchased,
sold, expired, redeemed, or remaining during the month to the cash
on hand.
(h) Records Retention. The purchase invoice or receipt
from the printing of a gift certificate and the reconciliation documents
relating to the sale or redemption of gift certificates must be maintained
and available for inspection by the Commission for a period of four
years.
(i) Gift Certificate Log. A gift certificate log shall
be maintained collectively by the participating licensed authorized
organizations at the location(s) and shall include the following for
each gift certificate:
(1) certificate number;
(2) certificate value;
(3) date of issue;
(4) expiration date;
(5) date of redemption; and
(6) if awarded as a bingo or door prize, the date of
the bingo occasion and the date the prize is awarded.
|
| Source Note: The provisions of this §402.503 adopted to be effective March 21, 2005, 30 TexReg 1630; amended to be effective February 3, 2013, 38 TexReg 372; amended to be effective January 2, 2020, 44 TexReg 8292; amended to be effective January 4, 2024, 48 TexReg 8369 |
