ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: TUESDAY, March 9, 1993                   TAG: 9303090261
SECTION: VIRGINIA                    PAGE: C-1   EDITION: METRO 
SOURCE: JOEL TURNER STAFF WRITER
DATELINE:                                 LENGTH: Medium


CHARITIES NET LITTLE ON BINGO

Nearly $3 million was spent on bingo games in Roanoke in the past year, but less than 5 percent of the money was given to charitable organizations.

Five organizations that operated bingo games received $2.9 million in gross receipts. They gave $124,880 to charity, according to a report that was given Monday night to City Council.

Voice of the Blue Ridge, one of the organizations, collected $492,913 and gave $1,000 to charity. The organization supports a radio reading service for the blind at public radio WVTF.

Mayor David Bowers said Monday night that he is concerned that such a small amount of the bingo money is being given to charities and non-profit organizations.

Bowers said he questions whether the intent of the state and city laws regulating bingo games is being circumvented by some organizations.

State and city laws require that the proceeds from bingo games be used for charitable, religious, community or educational purposes.

But the laws don't establish any percentage of the proceeds that must be used for charitable or non-profit organizations.

City Attorney Wilburn Dibling told council the city is restricted by state law and can't impose a more stringent law than the state's on the issue.

Council decided to contact the city's representatives in the General Assembly and seek their help in getting tougher bingo restrictions.

Dana Long, the city's tax compliance administrator, said the organizations operating bingo games are complying with the reporting requirements. But the city can't require them to earmark a specific amount for charities.

Councilman James Harvey suggested that council might want to refer the issue to the commonwealth's attorney. But other council members said they saw no reason to do that at this point.

According to the report given to council, the five organizations running bingo games paid $2.1 million in prizes in the past year and spent $575,000 for rent, supplies, utilities and other expenses.

Collectively, the organizations reported a profit of $202,378, with $124,800 for charities and the rest being held in their bank accounts. In addition to the Voice of the Blue Ridge, the other organizations with bingo operations are: Veterans of Foreign Wars, Northwest Recreation Club, Knights of Columbus and Central Virginia Council of the Blind.



by Archana Subramaniam by CNB