HB 1364
In CommitteeHouse
Unlicensed bingo, etc.
Increasing the gross revenue threshold for unlicensed bingo, raffles, and amusement games conducted by charitable or nonprofit organizations.
This status may be delayed. See Action History below for the latest updates.
How does a bill become law?
- Introduced: The bill is filed and assigned a number.
- Committee: A subject-matter committee holds hearings, takes public testimony, and decides whether to advance the bill.
- Floor Vote: The full chamber (House or Senate) debates and votes on the bill.
- Opposite Chamber: The bill repeats the committee and floor vote process in the other chamber.
- Governor: The Governor reviews the bill and decides whether to sign or veto it.
- Signed: The bill has been signed into law.
AI Analysis
This bill raises the annual revenue cap for unlicensed charitable fundraising games like raffles, bingo, and amusement games from $5,000 to $15,000, allowing more nonprofits to operate without state licenses. It also tightens tax rules to protect low-revenue nonprofits from local taxation and clarifies prize rules (e.g., alcohol permits, prize display).
- Raises the annual gross revenue threshold for unlicensed raffles from $5,000 to $15,000 for qualifying nonprofits.
- Raises the annual gross revenue threshold for unlicensed bingo, raffles, and amusement games (combined) from $5,000 to $15,000 for qualifying nonprofits.
- Allows unopened containers of alcohol as raffle prizes for nonprofits with proper permits from the Liquor and Cannabis Board.
- Permits raffles to run longer than 12 days (unlike bingo/amusement games, which remain limited to 12 days max per event), while still exempt from licensing if under $15,000 annual revenue.
- Prohibits local governments from taxing qualifying nonprofits that conduct bingo or amusement games with gross receipts of $15,000 or less per year (less prize costs).
- Exempts the first $15,000 of raffle gross receipts (less prize costs) from local taxation for qualifying nonprofits.
Who is affected
- Bona fide charitable or nonprofit organizations — Nonprofit and charitable groups that currently run small raffles, bingo, or amusement games without a license — they can now earn up to $15,000 annually from such activities without needing a state license, provided they meet other requirements.
- Local governments — Local governments (counties, cities, towns) gain new authority to impose taxes on certain gambling activities, but are prohibited from taxing qualifying nonprofits conducting low-revenue games.
- Members of qualifying nonprofits — Members of qualifying nonprofits who participate in or attend raffles/bingo events — they benefit from more accessible fundraising opportunities and clearer rules about prize limits and ticket eligibility.
- Prize suppliers — Vendors and suppliers of prizes (e.g., alcohol, merchandise) — may see increased demand from nonprofits hosting more frequent or larger events under the new thresholds.
Pro/Con Analysis
Stronger case for benefits
Potential Benefits (5)
Raising the annual gross revenue cap from $5,000 to $15,000 for unlicensed raffles, bingo, and amusement games significantly increases fundraising flexibility for small, volunteer-run nonprofits—many of which serve vulnerable populations—allowing them to retain more revenue for programs without costly licensing or compliance overhead.
Business & EmploymentPeopleRef: Sec. 1 (RCW 9.46.0315), Sec. 2 (RCW 9.46.0321)Prohibiting local taxation of qualifying nonprofits with gross receipts ≤$15,000 (less prize costs) protects small, mission-driven organizations from local tax burdens that could otherwise force them to scale back or cease operations—preserving community-based services like food banks, senior support, and youth programs.
Local GovernmentPeopleRef: Sec. 3 (RCW 9.46.110(3)(c), (d))Permitting unopened alcohol containers as raffle prizes—subject to LCB permits—standardizes and formalizes a previously ambiguous practice, reducing confusion and potential health risks while ensuring compliance with state alcohol regulations.
HealthcarePeopleRef: Sec. 1 (RCW 9.46.0315)Allowing raffles to run longer than 12 days (while bingo/amusement games remain capped) gives nonprofits more flexibility to maximize participation and revenue—especially for events tied to holidays or community calendars—without triggering licensing requirements.
Business & EmploymentPeopleRef: Sec. 2 (RCW 9.46.0321(2))By exempting the first $15,000 of raffle gross receipts from local taxation (less prize costs), the bill helps small nonprofits—many of which operate community centers, shelters, or housing assistance programs—retain more funds for direct service delivery rather than diverting them to local coffers.
HousingPeopleRef: Sec. 3 (RCW 9.46.110(3)(d))
Potential Concerns (5)
The bill raises the revenue cap for unlicensed charitable fundraising games from $5,000 to $15,000, which may encourage small nonprofits to rely more heavily on gambling-style fundraising instead of professional development or diversified revenue strategies—potentially reinforcing unsustainable, labor-intensive fundraising models that crowd out paid staff and limit organizational capacity.
Business & EmploymentPeopleRef: Sec. 1 (RCW 9.46.0315), Sec. 2 (RCW 9.46.0321)The bill prohibits local governments from taxing qualifying nonprofits conducting bingo/amusement games under $15,000 gross receipts and exempts the first $15,000 of raffle gross receipts from local taxation—reducing local tax revenue that could support public services like schools, roads, and emergency response, especially in jurisdictions where such nonprofits are common.
Local GovernmentPeopleRef: Sec. 3 (RCW 9.46.110(3)(c), (d))By exempting low-revenue nonprofits from local taxation and licensing, the bill may reduce local enforcement resources and oversight capacity for gambling activities, potentially increasing risks of noncompliance, fraud, or underage participation—especially where local law enforcement lacks dedicated gambling units.
Public SafetyPeopleRef: Sec. 3 (RCW 9.46.110(3)(c), (d))Allowing unopened alcohol containers as raffle prizes without additional restrictions may increase access to alcohol in settings with minimal oversight, potentially exacerbating public health risks—especially in communities with high rates of alcohol misuse or among youth who attend events.
Rights & LibertiesLean peopleRef: Sec. 1 (RCW 9.46.0315)While the bill allows raffles to run longer than 12 days (unlike bingo/amusement games), it does not increase the annual revenue cap for combined activities, creating an uneven regulatory playing field that may incentivize nonprofits to shift resources toward raffles—even if less aligned with their mission—just to maximize exempt revenue.
Business & EmploymentLean peopleRef: Sec. 2 (RCW 9.46.0321(2))
Who Is Most Affected
Small, volunteer-run nonprofits (e.g., neighborhood associations, church groups, service clubs) benefit significantly: they can now raise up to $15,000/year without licensing, reduce administrative costs, and retain more revenue for programs—especially impactful for organizations serving low-income communities.
Local governments lose potential tax revenue from nonprofits that previously operated just above the $5,000 threshold, especially in jurisdictions where such groups are numerous and active—this may strain budgets for public safety, parks, or infrastructure maintenance.
Members of qualifying nonprofits (e.g., participants in food banks, senior centers, youth programs) benefit indirectly through preserved or expanded services—though they may face slightly higher alcohol exposure if raffles increasingly feature alcohol prizes.
Prize suppliers (e.g., alcohol distributors, local retailers) may see increased demand from nonprofits now able to legally offer more alcohol prizes—but since most nonprofits still buy in bulk or use donated items, the effect is modest and not broadly distributed.
Larger nonprofits or for-profit entities that partner with or sponsor small nonprofits may benefit from expanded fundraising capacity among community partners, but the bill’s thresholds and membership rules limit spillover benefits to well-resourced organizations.