A BILL to amend and reenact §§ 18.2-340.16 and 18.2-340.19 of the Code of Virginia, relating to charitable gaming; use of proceeds; charitable gaming adjusted gross receipts.
HB1034 revises Virginia’s charitable gaming laws, primarily by updating definitions and expanding the Department of Agriculture and Consumer Services’ regulatory authority over how charitable gaming is conducted and how proceeds are used. The bill amends the statutory definitions governing bingo, raffles, instant bingo, pull tabs, seal cards, network bingo, Texas Hold’em poker tournaments, social organizations, and related terms, and it adds or clarifies categories of eligible nonprofit organizations that may participate in charitable gaming, including organizations serving older Virginians, health care and medical research groups, environmental conservation groups, and certain museums and community organizations.
The bill also directs the Department to adopt regulations setting conditions for permits, audits, fees, equipment standards, member participation, youth participation, network bingo sales, and poker tournaments. It specifically requires the Department to establish uniform standards for counting certain real-property-related expenses toward the required use of gaming proceeds, and it delays the effective date of those regulations until July 1, 2028, while the rest of the act becomes effective January 1, 2027.
HB1034 would amend §§ 18.2-340.16 and 18.2-340.19 of the Code of Virginia, affecting the legal framework for charitable gaming operators, qualified organizations, social organizations, suppliers, and the Department of Agriculture and Consumer Services. It broadens and clarifies which nonprofit entities may conduct charitable gaming, refines the calculation of adjusted gross receipts for electronic gaming, and authorizes the Department to regulate a wider range of gaming-related activities and compliance requirements. The bill also creates a future regulatory mandate for standardized treatment of certain real property acquisition, construction, maintenance, repair, and rental expenses in determining whether organizations meet their required use-of-proceeds thresholds.
The bill appears to be a technical and regulatory update to charitable gaming law rather than a highly partisan measure. Its structure suggests an effort to modernize definitions, tighten administrative rules, and provide clearer standards for organizations that rely on gaming revenue for charitable purposes. Because the bill was left in the House Committee on General Laws and there were no recorded votes or committee transcripts, there is no direct evidence of broad support or opposition in the available record, but the absence of advancement indicates it did not move forward in committee.
The most likely points of contention are the expanded scope of eligible organizations and the new regulatory treatment of expenses tied to real property and social organizations. The bill’s provisions on electronic gaming, network bingo, and Texas Hold’em poker tournaments may also draw scrutiny from those concerned about gambling expansion, compliance burdens, or enforcement. In addition, the requirement that the Department create uniform standards for counting property-related costs toward use-of-proceeds requirements could be debated by charitable gaming operators, landlords, and regulators over how much flexibility organizations should have in meeting statutory spending thresholds.