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SB 2189

A BILL for an Act to amend and reenact subsection 1 of section 53-06.1-03 and subsection 1 of section 53-06.1-11.1 of the North Dakota Century Code, relating to reporting the value of prizes distributed by an organization using a permit to conduct raffles, bingo, sports pools, paddlewheels, twenty-one, and poker.

69th Legislative Assembly (2025-26) Introduced by Josh Boschee and 4 co-sponsors

Reforms require charitable gaming groups to report prize values and net income use, cap prizes, and tighten political expenditure reporting and enforcement.

Second reading, failed to pass, yeas 2 nays 45
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Bill Summary · SB 2189

SB 2189 — Summary (North Dakota)

A bill to amend ND Century Code sections 53-06.1-03 and 53-06.1-11.1 to add prize‑value reporting and related clarifications for organizations conducting charitable gaming (raffles, bingo, sports pools, paddlewheels, twenty‑one, and poker).

Note: the version packet included unrelated Illinois bill text (an Illinois Eminent Domain provision). The summary below focuses only on the North Dakota provisions shown in the packet.

Main purpose / intent

  • Increase transparency and regulatory clarity for charitable gaming in North Dakota by:
    • Requiring organizations to report the value of prizes they distribute; and
    • Clarifying permit application rules, prize limits, permitted uses of net proceeds, and reporting/disciplinary rules for political expenditures.

Key provisions and changes

  • Permit eligibility and application (amends NDCC §53‑06.1‑03(1)):
    • Permits available to organizations recognized as "public‑spirited" by a city or county governing body (local permits limited to raffles, bingo, sports pools; restricted event permits can include paddlewheels, twenty‑one, poker).
    • Organizations must disclose intended use of net income on their permit application.
    • Governing bodies may charge a permit fee up to $25; permits may be fiscal‑year or calendar‑year based.
    • Only one of two or more closely related organizations may hold a permit at a time.
  • Prize limits (new or restated limits in subdivision b.(1)):
    • Primary prize may not exceed $8,000.
    • Total prizes for all games by an organization (or closely related organizations collectively) may not exceed $40,000 per year.
    • (These caps do not apply to raffles under chapter 20.1‑08.)
  • Prize reporting (subdivision b.(2)):
    • After conducting charitable gaming (raffles, bingo, sports pools, paddlewheels, twenty‑one, poker), the organization must provide the attorney general a list of each prize awarded and its value, on a form prescribed by the attorney general.
  • Restricted event permit conditions:
    • Limited to one event per year; no remuneration paid to employees for personal services; wagers must use chips; chips redeemed for merchandise or cash; net income distributed to eligible uses; must file a report with the governing body and attorney general.
  • Political expenditure reporting and enforcement (amends NDCC §53‑06.1‑11.1(1)):
    • Organizations with licenses/permits generally may not use funds to place measures on the ballot or to campaign for/against public office; restrictions on using net proceeds to influence legislation or initiatives (except uses tied to primary purpose).
    • Funds spent to promote/oppose ballot measures or non‑reportable lobbying activities must be reported to the attorney general as prescribed.
    • Violation of the subsection may lead to suspension of the organization’s license or permit for up to one year.

Who is affected

  • Nonprofit or other organizations that seek local permits for charitable gaming in North Dakota (or already hold them), and any closely related organizations.
  • Local city/county governing bodies (responsible for recognizing public‑spirited organizations, issuing permits, and collecting permit fees).
  • North Dakota Attorney General’s office (will receive prize and certain political expenditure reports, and will enforce reporting and suspension provisions).

Enforcement and consequences

  • Reporting requirements enforced by the Attorney General; failure to comply (particularly for unreported political expenditures) can result in suspension of license/permit for up to one year.
  • Permit issuance remains discretionary with local governing bodies.

Procedural / timeline status

  • Introduced in the Sixty‑ninth Legislative Assembly by Senators Lee, Boschee, Klein and Representatives Jonas, Mitskog, Pyle.
  • Companion bill: HB 4095.
  • Legislative status (as provided): Second reading — failed to pass (yeas 2, nays 45).

If you want, I can prepare a red‑line showing exactly how the ND Century Code text would change, or extract the AG reporting form requirements that would likely be needed to implement the new reporting duties.

Compiled from official sources — confirm details with the bill’s official record.

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