Aug 19, 2008 6:27 pm US/Pacific
Bingo Bill Backed By Tribes, Catholic Church
SACRAMENTO (CBS13) ―
The Catholic Church and Indian gaming tribes are supporting a new plan to change the way bingo is played in California, a plan that could put some bingo halls out of business.
Bill SB 1369 will expand prizes for traditional paper bingo, and open up the option for charities to use "remote caller bingo," where several bingo locations are linked by video, to create bigger prize pools.
"It would mean more money would go to charities, and less to the players," said Ken Larsen of the California Association of Nonprofits.
Single-site bingo maximum prizes will go from $250 to $500. But the payout to the players, now in the 75 percent range in bingo halls with machines, will decrease to just 37 percent.
Indian gaming tribes, along with the Catholic Church and other charities, are behind the bill. Nonprofits stand to benefit significantly from the bill.
The bill would ensure that 43 percent of revenue goes right to charities. A report from the Sacramento County Sheriff's Department shows that just 8 percent of gross revenue here ended up going to charity.
About 30 percent of the revenue goes to the gaming companies that manufacture the machine.
"Essentially what's happening is the charities are getting pennies on the dollar," said Doug Elmets, a supporter of the bill. "They're being used by the manufacturers and the operators of these bingo halls."
Critics of the bill say that existing bingo halls are in danger if it passes, arguing that decreasing the 75 percent payout to a 37 percent payout to players will reduce interest.
Supporters counter by saying that the larger prize pools, plus the addition of more players, will do just the opposite.
The bill is sponsored in part by the California Association of Nonprofits, which represents more than 1,800 charities in the state.
(© 2009 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)
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