The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1997, Landmark Communications, Inc.

DATE: Monday, January 27, 1997              TAG: 9701270058
SECTION: LOCAL                   PAGE: B2   EDITION: NORTH CAROLINA 
SOURCE: ASSOCIATED PRESS 
DATELINE: RICHMOND                          LENGTH:   46 lines

BINGO REGULATORS TOO BUREAUCRATIC, LAWMAKERS SAY

In its seven-month existence, the Charitable Gaming Commission has stirred up so much animosity among the state's volunteer bingo organizations that some lawmakers are trying to abolish it.

While several legislators said that's not likely to happen, they said the commission needs to demonstrate it can regulate the industry without stepping on too many toes.

Gov. George F. Allen, trying to buy time for the beleaguered agency, has proposed a two-year sunset. By July 1, 1999, the Charitable Gaming Commission will expire, unless the General Assembly decides it should be continued.

``My people are going nuts up there,'' said Del. John J. ``Butch'' Davies III, D-Culpeper, who represents a district that has a number of volunteer fire departments and rescue squads. ``They feel like a new level of bureaucracy shouldn't be overseeing organizations that serve for the community's benefit.''

State Sen. Malfourd W. ``Bo'' Trumbo, R-Botetourt, said his constituents say that ``the paperwork involved is absolutely ridiculous.''

Davies and Trumbo joined several other legislators in filing bills to do away with the commission. Regulation of bingo and raffle games would be returned to local governments, which oversaw the industry until a series of scandals prompted the formation of the Charitable Gaming Commission last July.

The 1995 bill establishing the seven-member commission arose out of a two-year study that found some bingo game operators skimming profits and inflating rents charged to the charitable groups.

An operator in Henrico County went to jail after pleading guilty to seven felony counts. An investigation showed that he had stolen more than $1 million from charities over a 12-year period.

Secretary of Administration Michael E. Thomas, representing the Allen administration, said a bill in the General Assembly could address a lot of the complaints arising from the new commission.

It would require an audit fee of up to 2 percent be charged to pay for the commission's activities. It would eliminate a requirement that large bingo operations with annual revenues of more than $250,000 be reviewed by a certified public accountant.

Latest estimates place the bingo take at $250 million a year, generated by more than 2,000 groups.

KEYWORDS: GENERAL ASSEMBLY BINGO


by CNB