OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http://www.cga.ct.gov/ofa

sHB-7137

AN ACT CONCERNING CHARITABLE BINGO GAMES, BAZAARS AND RAFFLES.


OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 18 $

FY 19 $

Consumer Protection, Dept.

GF - Revenue Loss

Less than 40,220

Less than 40,220

Note: GF=General Fund

Municipal Impact:

Municipalities

Effect

FY 18 $

FY 19 $

All Municipalities

STATE MANDATE - Revenue Gain

Minimal

Minimal

Explanation

State Impact

The bill results in a General Fund revenue loss of less than $40,220 and a minimal revenue gain to municipalities in both FY 18 and FY 19 through shifting most charitable gaming regulation to municipalities.

In FY 16, the Department of Consumer Protection (DCP) took in $40,220 in bingo, bazaar, and raffle revenues, including some funds it then distributed to municipalities. A small portion of the revenues formerly retained by the state, along with the share previously distributed to municipalities from the state, will now go directly to host municipalities.

Municipal Impact

There is expected to be a minimal revenue gain to municipalities. Municipalities will now receive revenue from 1) permit fees and 2) 5% of gross receipts from organizations that administer bingo games. These fees include $75 for Class A permits, $5 per day for Class B permits, and $50 for Class C permits. Parent Teacher Associations must pay $80, but will not receive a permit.

The bill is not anticipated to result in any additional cost to municipalities. As municipalities, under current law, share the responsibility for charitable gaming regulation with DCP, it is anticipated that they have the expertise to carry out the additional responsibility under the bill's provisions.

The Out Years

The annualized ongoing fiscal impact identified above would continue into the future subject to the number of permits issued for various charitable games.