FOUNTAIN VALLEY : Ordinance Allows City to Ask Bingo Audits

A new city ordinance allows denial of a permit to hold games if an organization has violated state or local bingo laws in the past five years.

In addition, the revised ordinance recently adopted by the City Council allows the city to require an audit of a bingo organization’s financial records at the group’s expense, City Atty. Alan R. Burns said.

Bingo ordinance revisions will go into effect immediately.

The city could require an audit if it wanted to verify an organization’s expenses relating to bingo games and to ensure money is going toward charitable causes, Burns said.

The Police Department or city Finance Department are not able to perform the financial audit to verify contributions and expenses.

In most cases, however, an independent audit will not be required because most bingo games are put on by small local high school booster clubs and other local charities, Burns said.

City forms for bingo permits will also be revised to provide more information about the use of bingo money.

Officials said changes in the ordinance will help the city make sure that only legitimate bingo operations are conducted here.

According to city officials, one organization conducting bingo games in the city has been found to have commingled bingo money and paid salaries from bingo proceeds, violating state and local bingo laws.