Lessor Frequently-Asked Questions (FAQs)
Can building owners lease facilities to organizations to conduct charitable bingo without a
license?
No. Building owners must have a license to lease bingo premises even if they intend
to charge no rent unless the organization is conducting bingo under a temporary license. If
an organization is playing at their own (owned) facility, they do not require a lessor license
unless they intend to lease to an organization other than themselves.
I understand you can no longer get a commercial lessor license to lease bingo facilities; that
you can only buy an existing one from the current owners.
This is partially correct and a common misunderstanding. Commercial lessor
licenses are still being issued. There is a type of lessor license commonly referred to as a
"grandfathered" lessor license which means the license existed prior to June 10, 1989 and has
certain aspects that newer commercial lessor licenses do not have. This "grandfathered" lessor
license is no longer available as an original license, but in certain situations, may be
transferred to another person. Contact our office at 1-800-246-4677 (BINGO-77) and ask to speak to
a licensing examiner concerning the types of commercial lessor licenses and the
requirements.
If I file and pay my prize fees or rental tax after the due date can I have the penalties
waived for various reasons?
The Charitable Bingo Operations Director, for good cause shown, may waive a penalty
if a licensee holding a license to conduct bingo or license to lease bingo premises exercised
reasonable diligence to comply with Occupations Code, Section 2001.504. The Division will not
consider a request for a penalty or interest waiver until the principal related to the specific
request is paid in full. To be considered, a written request stating the reason(s) penalty should
be waived must be sent to the Charitable Bingo Division within 14 days of the date the quarterly
report and prize fees or rental taxes were due. For more information, consult Section 2001.504 of
the Bingo Enabling Act and Administrative Rule 402.602.
Why can't we drop off the applications at the regional offices? Why can't the regional office
give me my license?
The regional offices are not set up to receive applications and license fee checks
except under emergency conditions. All licenses are issued and printed in Austin. Please do not
drop off any application or payment at a regional office unless you have received specific
permission to do so from a licensing examiner in Austin.
I mailed in my renewal overnight express mail. It came back in the mail as undeliverable. What
is going on?
When using the U.S. Postal Service, you must use our mailing address: Charitable
Bingo Operations Division, Texas Lottery Commission, P.O. Box 16630, Austin, 78761-6630. The
U.S. Postal Service does not deliver any mail to our physical address: 611 E. 6th Street, Austin,
78701, even if it is express overnight, next-day delivery. If you are using express delivery
services (FEDEX, UPS, Lone Star Overnight, etc.) they deliver only to our physical address.
I submitted an application; the examiner mentioned the "lessor tier structure"; what is
that?
Section 2001.151 of the Bingo Enabling Act requires anyone who leases premises, on
which bingo is conducted, directly to a licensed authorized organization, to be a licensed
commercial lessor. Section 2001.152 describes the types of lease situations which would require a
lessor license.
Lessor Tier Structures
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Can I receive one check from the organizations for rent and expenses?
Rent for premises used for the conduct of bingo must be paid to the lessor in a lump
sum. The lump sum must include all expenses authorized by Section 2001.458 that are paid by
the licensed authorized organization to the lessor in connection with the use of premises.
A licensed authorized organization or unit may pay as a separate expense, based on
the percentage of the total area of the lessor’s facility that the organization or unit uses as the
bingo premises for the conduct of bingo, the organization’s or unit’s pro rata share of:
1)
property taxes on the facility that are paid by the
lessor, excluding penalties and interest on the taxes;
2)
water, electric, and gas utility expenses for the
facility that are paid by the lessor; excluding any late fees or other penalties;
3)
and property and casualty insurance premiums for the
facility that are paid by the lessor, excluding any late fees or other penalties. |
