# Title 99 — State Gaming Commission

## Article 99-01.3 — Games of Chance

## Chapter 99-01.3-01 — Organization Licenses and Local Permits

### § 99-01.3-01-01. Ineligible organizations.

An organization or a closely related organization may be ineligible for a license or permit if either
organization has failed to resolve an imbalance involving its gaming or trust account according to
section 99-01.3-03-05, has deals or games with state gaming stamps that are not accounted for, is
delinquent in paying any tax, interest, penalty, or monetary fine due, has failed to comply with the terms
and conditions of an administrative order, or was convicted of violating this article or North Dakota
Century Code chapter 12.1-28 or 53-06.1. An auxiliary that is not a closely related organization is
eligible for a permit. An organization that is licensed shall either have its principal executive office in
North Dakota or be a foreign corporation authorized to conduct a raffle under chapter 20.1-04 or
20.1-08. A county, city, state, political subdivision, or federal entity is not eligible for a license or permit.
A nonprofit social, hobby, trade, business, professional, similar club or association, or organization
whose primary purpose mainly provides a direct benefit to its officers or members, is not a
public-spirited organization eligible for a license.
History: Effective May 1, 1998; amended effective July 1, 2000; July 1, 2002; July 1, 2004; October 1,
2006; July 1, 2010; July 1, 2012; April 1, 2016.
General Authority: NDCC 53-06.1-01.1
Law Implemented: NDCC 53-06.1-01, 53-06.1-01.1

### § 99-01.3-01-02. Site authorization.

1. An eligible organization shall obtain an approved site authorization for a site within a city or
county from the governing body of the appropriate jurisdiction. The attorney general shall have
final approval of a site authorization. A separate site authorization is required for each site. A
site authorization may be issued for a location on public or private property and may be
restricted or conditional, including types of games, days of the week, and designation where
games will be conducted. An organization shall comply with a restriction of a site authorization
unless an amended site authorization is approved. A site authorization must describe the
gaming area designated by an organization that restricts where games may be conducted and
played. No restroom may be part of the gaming area. A governing body may revoke or
suspend a site authorization based on good cause.
2. A governing body may issue a site authorization to two or more organizations to conduct
games at the same site if the site authorizations restrict the organizations to different days of
the week. However, more than one organization may be issued a site authorization for a
fairground or similar open space of land.
3. For an initial application for a site authorization for an organization that desires to be
recognized as an eligible organization, a governing body of a city or county may determine
whether the organization qualifies by examining documents outlined in subsection 1 of section
99-01.3-01-03.
4. An organization may temporarily use more twenty-one tables at a site than a site authorization
allows for up to fourteen days per special event provided that the event is recognized by a
local governing body, no more than two events are held per quarter, written approval is
granted by a local governing body, and the monthly rent amount does not increase. A special
event is an infrequent, significant, and identifiable activity in the community. The site
authorization does not need to be amended, regardless of where the tables are placed.
History: Effective May 1, 1998; amended effective July 1, 2000; July 1, 2002; October 1, 2006.
General Authority: NDCC 53-06.1-01.1
Law Implemented: NDCC 53-06.1-01.1, 53-06.1-03
### § 99-01.3-01-03. License.

1. An organization may not conduct games at a site unless the attorney general first approves a
site authorization and license for that city or county. A separate license is required for each city
or county. For an initial application for a license for an organization that desires to be
recognized as an eligible organization, the attorney general shall determine whether the
organization qualifies by examining a copy of an organization's articles of incorporation,
charter, bylaws, board of directors' minutes for the previous two years, or any other
documents or records considered necessary to determine its primary purpose and date of
origin. If the attorney general determines that an organization's actual primary purpose does
not qualify it as an eligible organization, the attorney general shall deny the application.
2. A license is effective for one year beginning July first and ending June thirtieth and may be
issued at any time during the fiscal year. However, the annual license fee is not prorated. If an
organization plans to conduct a raffle on or after July first, a license may be issued up to
twelve months prior to the beginning of the licensing period. If an organization received a
restricted event permit during the fiscal year, it may not receive a state license.
3. When an organization first applies for a license to conduct games of chance, the license may
not be issued to the organization until after its gaming manager and individuals responsible for
recordkeeping and independent audit functions have satisfactorily demonstrated to the
attorney general that the organization is capable of properly managing and controlling the

games that it intends to conduct and has provided a copy of the organization's internal control
and policy manuals.
4. If an organization only conducts a raffle or calcutta in two or more cities or counties, the
organization may apply for a consolidated license prescribed by the attorney general and
remit a one hundred fifty dollar license fee for each city or county in which a site is located.
History: Effective May 1, 1998; amended effective July 1, 2000; July 1, 2002; July 1, 2004; October 1,
2006; July 1, 2010; July 1, 2012; April 1, 2016; January 1, 2023.
General Authority: NDCC 53-06.1-01.1
Law Implemented: NDCC 53-06.1-01.1, 53-06.1-03
### § 99-01.3-01-04. Reporting a change in information.

If information on a site authorization or license application becomes inaccurate or outdated in a
material way, including a change in an organization's primary purpose, the organization shall provide
the attorney general, in writing, items of change within fourteen days following the change.
History: Effective May 1, 1998; amended effective July 1, 2000; July 1, 2002.
General Authority: NDCC 53-06.1-01.1
Law Implemented: NDCC 53-06.1-01.1
### § 99-01.3-01-05. Permits.

1. A permit is issued by a city or county governing body and may be for a site located on public
or private property. It may be restricted, including types of games, days of the week, and
designation of an area at a site where games will be conducted. A governing body may revoke
or suspend a permit based on good cause.
2. A permit is required for each site at which games have been authorized. The primary prize
under a permit may not exceed eight thousand dollars and total prizes of all games may not
exceed forty thousand dollars per year. A donated merchandise prize is valued at its retail
price.
3. When a governing body issues a permit, it shall assign a permit number, specify the day or
period for which it is effective, identify the game types authorized, and send a copy to the
attorney general within fourteen days from when it was issued. An organization that has a
license may not at the same time have a permit.
4. An organization may receive one or more local permits to conduct a raffle, bingo, or sports
pool from a city or county governing body during a year and may be issued two or more local
permits at the same time. For a calendar raffle, a local permit may be issued for a calendar
year. If an organization plans to conduct a raffle, a permit may not be issued more than twelve
months prior to the first raffle drawing date unless authorized by the attorney general.
5. An organization deemed as a state political party or legislative district party committee only
may conduct raffles under a local permit and may use the net income for a political purpose.
6. An organization may receive one restricted event permit to conduct a raffle, bingo, sports pool,
paddlewheels, twenty-one, or poker from a city or county governing board during a year. If the
organization has received a local permit or license during the fiscal year, it may not receive a
restricted event permit. If the organization received a restricted event permit during the fiscal
year, it may not receive a local permit. For a restricted event permit an organization shall
within thirty days of the event file a report on a prescribed form with the attorney general and
governing body.

7. For all game types conducted, an organization shall comply with section 99-01.3-02-08. For
bingo, an organization shall comply with sections 99-01.3-04-01 and 99-01.3-04-02 and the
applicable subsections of section 99-01.3-04-03. For a raffle, an organization shall comply
with sections 99-01.3-05-01 through 99-01.3-05-04 and subsections 1 through 3 of section
### § 99-01.3-05-05. For a sports pool, an organization shall comply with section 99-01.

3-07-01. For
twenty-one, an organization shall comply with sections 99-01.3-08-01, 99-01.3-08-02,
99-01.3-08-08, 99-01.3-08-09, 99-01.3-08-10, 99-01.3-08-11, 99-01.3-08-12, and
### § 99-01.3-08-13. For poker, an organization shall comply with sections 99-01.

3-09-01 through
### § 99-01.3-09-06. For paddlewheels, an organization shall comply with subsection 1 of section

tickets, or subsection 2 of section 99-01.3-11-01 and the applicable subsections of sections
as a table game.
8. Any advertising of a gaming event must include the name of the organization and include the
purpose for which the net proceeds will be used. Advertising must cease once the local permit
or restricted event permit has expired.
History: Effective May 1, 1998; amended effective July 1, 2000; July 1, 2002; July 1, 2004; October 1,
2006; July 1, 2010; April 1, 2016; July 1, 2018; January 1, 2023.
General Authority: NDCC 53-06.1-01.1
Law Implemented: NDCC 53-06.1-01.1, 53-06.1-03, 53-06.1-06
