The ordinance codified in this chapter shall be known as the city of Port Orchard gambling ordinance.
(Ord. 1790 § 1, 2000)
The words and terms used in this chapter shall have the same meaning as each has under Chapter 9.46 RCW, as amended, and under WAC Title 230, as amended, unless otherwise specifically provided or the context in which they are used clearly indicates that some other meaning is intended.
(Ord. 1790 § 2, 2000)
The city, in accordance with RCW 9.46.295 as amended, prohibits the conduct or operation of house-banked social card games as a commercial stimulant, as defined in RCW 9.46.0217 and 9.46.0282; provided, house-banked social card games lawfully operating as of the effective date of the ordinance codified in this section may continue to operate in accordance with the provisions of Chapter 9.46 RCW and the rules adopted thereunder until September 1, 2004; and further provided, that this section shall not apply to social card games conducted or operated by a bona fide charitable or nonprofit organization pursuant to RCW 9.46.0311.
(Ord. 1825 § 1, 2001)
Effective January 1, 2000, there is levied upon all persons, associations and organizations conducting or operating within the city any of the activities listed below a tax in the following amount to be paid to the city:
(1) 
Bingo. In the amount of gross receipts therefrom, less the amount of money paid in cash or for merchandise actually awarded as prizes during the taxable period, multiplied by the rate of five percent;
(2) 
Raffles. In the amount of gross receipts therefrom, less the amount of money paid in cash or for merchandise actually awarded as prizes during the taxable period, multiplied by the rate of five percent;
(3) 
Amusement Games. In the amount of the gross receipts therefrom, less the amount of money paid in cash or for merchandise actually awarded as prizes during the taxable period, multiplied by the rate of two percent;
(4) 
Punchboards or Pull Tabs. In the amount of three percent of the gross receipts derived directly from the operation of the punchboards or pull tabs;
(5) 
Card Games. In the amount of 10 percent of the gross receipts received as fees charged persons for the privilege of playing card games;
(6) 
Fundraising Events. In the amount of the gross receipts therefrom, less the amount of money paid in cash or for merchandise actually awarded as prizes during the taxable period, multiplied by the rate of five percent.
(Ord. 1790 § 3, 2000)
(1) 
No tax shall be imposed under the authority of this chapter on bingo or amusement games when such activities or any combination thereof are conducted by any bona fide charitable or nonprofit organization as defined in this chapter, which organization has not paid operating or management personnel and has gross receipts from bingo or amusement games, or a combination thereof, not exceeding $5,000 per year, less the amount awarded as cash or merchandise prizes.
(2) 
No tax shall be imposed on the first $10,000 of gross receipts, less the amount awarded as cash or merchandise prizes from raffles, conducted by any bona fide charitable or nonprofit organization as defined in this chapter.
(3) 
Any bona fide charitable or nonprofit organization desiring to obtain this exemption must make a verified application for exemption to the city finance director for each calendar year during which the exemption is sought. Such application shall set forth the facts and circumstances by which the organization qualifies for the exemption.
(Ord. 1790 § 4, 2000; Ord. 017-23 § 4 (Exh. A))
Each of the various taxes imposed by this chapter shall be computed on the basis of activity during each calendar quarter year, shall be due and payable in quarterly installments, and remittance therefor together with return forms shall be made to the city of Port Orchard on or before the last day of the month next succeeding the quarterly period in which the tax accrued, i.e., on January 31st, April 30th, July 31st and October 31st of each year; provided, the following exceptions to the above payment schedule shall be allowed or required:
(1) 
Except as provided in subsection (2) of this section, whenever any person, association, or organization taxable hereunder conducting or operating a taxable activity on a regular basis discontinues operation of that taxable activity for a period of more than four consecutive weeks, or quits business, sells out, or otherwise disposes of its business, or terminates the business, any tax due hereunder shall become due and payable, and such taxpayer shall, within 10 days thereafter, make a return and pay the tax due.
(2) 
It is recognized that some bona fide charitable or bona fide nonprofit organization taxpayers will be conducting or operating taxable activities only upon an occasional and random basis. Except as provided in subsection (3) of this section, when such taxpayer conducts only one taxable activity during any calendar quarter, the duration of each such activity does not exceed 15 consecutive calendar days, and the gross receipts therefrom do not exceed $1,500, that taxpayer need not remit the tax due with a return therefor until on or before January 31st of the year following that year in which the activity took place.
(3) 
Whenever it appears that the collection of taxes from any person, association or organization may be in jeopardy, the city finance director, after not less than five days' notice to the taxpayer, is authorized to require that taxpayer to remit taxes and return at such shorter intervals than quarterly or annually, as the city finance director shall deem appropriate under the circumstances.
(Ord. 1790 § 5, 2000; Ord. 017-23 § 4 (Exh. A))
(1) 
Administration and collection of the various taxes imposed by this chapter shall be the responsibility of the city finance director. Remittance of the amount due shall be accompanied by a completed return form prescribed and provided by the city finance director. The taxpayer shall be required to swear and affirm that the information given in the return is true, accurate and complete.
(2) 
The city finance director is authorized, but not required, to mail to taxpayers forms for returns. Failure of the taxpayer to receive such a form shall not excuse a taxpayer from making the return and timely paying all taxes due. The city finance director shall make forms available to the public during regular business hours.
(3) 
In addition to the return form, a copy of the taxpayer's report to the Washington State Gambling Commission as required by WAC Title 230, for the period in which the tax accrued, shall accompany the remittance of the tax amount due. The return, and copy of the report to the Washington State Gambling Commission, shall be filed in the city finance director's office after notation by that office upon the return of the amount actually received from the taxpayer.
(Ord. 1790 § 6, 2000; Ord. 011-14 § 1; Ord. 017-23 § 4 (Exh. A))
(1) 
Taxes payable hereunder shall be remitted to the city finance director on or before the time required. If payment is made by draft or check, the tax shall not be deemed paid until the draft or check is honored in the usual course of business, nor shall the acceptance of any sum by the city finance director be an acquittance or discharge of the tax unless the amount paid is the full amount due.
(2) 
Taxes imposed under this chapter become a lien upon personal and real property used in the gambling activity in the same manner as provided for under RCW 84.60.010. The lien shall attach on the date the tax becomes due and shall relate back and have priority against real and personal property to the same extent as ad valorem taxes.
(Ord. 1790 § 7, 2000; Ord. 017-23 § 4 (Exh. A))
(1) 
If full payment of any tax or fee due under this chapter is not received by the city finance director on or before the date due, there shall be added to the amount due a penalty fee as follows:
(a) 
One through 10 days late: five percent of tax due;
(b) 
Eleven through 20 days late: seven and one-half percent of tax due;
(c) 
Twenty-one through 31 days late: 10 percent of tax due;
(d) 
Thirty-two through 60 days late: 15 percent of tax due.
(2) 
In no event shall the penalty amount be less than $10.00. In addition to this penalty, the city finance director shall charge the taxpayer interest of eight percent per annum of all taxes and fees delinquent for more than 30 days.
(3) 
Failure to make payment in full of all tax amounts and penalties within 60 days following the day the tax became due shall be both a civil and criminal violation of this chapter.
(Ord. 1790 § 8, 2000; Ord. 017-23 § 4 (Exh. A))
In order that the city may identify those persons who are subject to taxation under this chapter, each person, association, or organization shall file with the city finance director a sworn declaration of intent to conduct an activity taxable under this chapter upon the form prescribed by the city finance director, together with a copy of the license issued therefor by the Washington State Gambling Commission. The filing shall be made not later than 10 days prior to conducting or operating the taxable activity. No fee shall be charged for such filing. Failure to timely file shall not excuse any person, association, or organization from any tax liability.
(Ord. 1790 § 9, 2000; Ord. 017-23 § 4 (Exh. A))
(1) 
Each person, association, or organization engaging in an activity taxable under this chapter shall maintain records respecting that activity which truly, completely and accurately disclose all information necessary to determine the taxpayer's tax liability hereunder during each base tax period. Such records shall be kept and maintained for a period of not less than three years. In addition, all information and items required by the Washington State Gambling Commission under WAC Title 230, and the United States Internal Revenue Service respecting taxation, shall be kept and maintained for the periods required by those agencies.
(2) 
All books, records and other items required to be kept and maintained under this section shall be subject to, and immediately made available for, inspection and audit at any time, with or without notice, at the place where such records are kept upon demand by any city law enforcement officer or agency for the purpose of enforcing the provisions of this chapter.
(3) 
Where a taxpayer does not keep all of the books, records, or items required to be kept or maintained under this section in this jurisdiction, so that any city law enforcement officer or agency may examine them conveniently, the taxpayer shall either:
(a) 
Produce all of the required books, records, or items for such inspection within the city within 15 days following a request of any city law enforcement officer or agency that they do so; or
(b) 
Bear the actual cost of inspection by any city law enforcement officer or agency at the location at which such books, records, or items are located. A taxpayer choosing to bear these costs shall pay in advance to the city law enforcement officer or agency the estimated cost thereof including, but not limited to, round-trip fare by the most rapid means, lodging, meals and incidental expenses. The actual amount due, or to be refunded, for expenses shall be determined following the examination of the records.
(4) 
The taxpayer who fails, neglects, or refuses to produce such books and records either within or without this jurisdiction, in addition to being subject to other civil and criminal penalties provided by this chapter, shall be subject to a jeopardy fee. The jeopardy fee shall be the amount of tax or fee owed by the taxpayer.
(Ord. 1790 § 10, 2000; Ord. 011-14 § 2; Ord. 017-23 § 1 (Exh. A))
If, upon application by a taxpayer for a refund or for an audit of its records, or upon any examination of the returns or records of any taxpayer, it is determined by the city finance director that within three years immediately preceding the receipt by the city finance director of the application by the taxpayer for a refund, or an audit, or in the absence of such an application, within the three years immediately preceding the commencement by the city finance director of such examination:
(1) 
A tax or other fee has been paid in excess of that properly due, the total excess paid over all the amounts due to the city within such period of three years shall be credited to the taxpayer's account or shall be refunded to the taxpayer at the taxpayer's option. No refund or credit shall be allowed for any taxes or fees paid more than three years before the date of such application or examination;
(2) 
A tax or other fee has been paid which is less than that properly due, or no tax or other fee has been paid, the city finance director shall mail a statement to the taxpayer showing the balance due, including the tax amount or penalty assessments and fees. It shall be a separate, additional violation of this chapter, both civil and criminal, if the taxpayer fails to make payment in full within 10 calendar days of such mailing.
(Ord. 1790 § 11, 2000; Ord. 017-23 § 4 (Exh. A))
If any taxpayer fails, neglects, or refuses to make and file his return as and when required under this chapter, the city finance director is authorized to determine the amount of tax payable together with any penalty and/or interest assessed under the provisions of this chapter, and by mail to notify such taxpayer of the amount so determined, which amount shall thereon become the tax and penalty and/or interest and shall become immediately due and payable.
(Ord. 1790 § 12, 2000; Ord. 017-23 § 4)
(1) 
Any person, association, or organization violating or failing to comply with any of the provisions of this chapter shall, upon conviction thereof, be punished by a fine not to exceed $300.00, or by imprisonment in the Kitsap County jail for a period not to exceed 90 days, or both such fine and imprisonment.
(2) 
Any person engaging in any gambling activities subject to a tax hereunder without having complied with the provisions of this chapter shall be guilty of a violation of this chapter for each day during which the gambling activity is carried on.
(Ord. 1790 § 14, 2000)