Ordinance 15-012 Gambling Tax CITY OF SPOKANE VALLEY
SPOKANE COUNTY WASHINGTON
ORDINANCE NO. 15-012
AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY
WASHINGTON, AMENDING SPOKANE VALLEY MUNICIPAL CODE 3.25, GAMBLING
TAX REGULATIONS FOR THE CITY OF SPOKANE VALLEY, AND OTHER MATTERS
RELATING THERETO.
WHEREAS, the City adopted Ordinance 03-028 on January 28, 2003, to be effective upon the
date of incorporation. Ordinance 03-028 was later codified into Spokane Valley Municipal Code(SVMC)
Chapter 3.25, Gambling Tax; and
WHEREAS, SVMC 3.25.020 states the percentage of tax to be imposed on various types of
gambling activity. SVMC 3.25.020(C) requires that operators of social card playing establishments pay
"a tax equal to 10 percent of the gross revenue from such card games;"and
WHEREAS, the level of tax imposed by the City for social card playing is now higher than that
imposed by other larger governmental entities in this region; and
WHEREAS, the City desires to have the percentage of gambling tax on social card playing at a
more competitive level than it currently is as a way to attract and maintain social card playing businesses;
and
WHEREAS, the City desires to more-clearly identify what exemptions apply for bona fide
charitable or nonprofit organizations engaging in specified gambling activities under this chapter; and
WHEREAS, the City further desires to draft minor modifications to SVMC 3.25.020 to ensure it
is consistent with RCW 9.46.110.
NOW THEREFORE, the City Council of the City of Spokane Valley, Washington, ordains as
follows:
Section 1. Intent. The City of Spokane Valley declares that the intent of this Ordinance is to
amend 3.25.020 to amend the percentage of gambling tax on social card playing from 10 percent to six
percent, and to make other minor amendments to ensure consistency with RCW 9.46.110.
Section 2. Amending SVMC 3.25.020 — Imposition of Tax. SVMC 3.25.020 is hereby
amended as follows:
3.25.020 Imposition of tax.
(A) Pursuant to RCW 9.46.110, as the same now exists or may hereafter be amended,there is levied upon
all persons, associations or organizations conducting or operating in the City for any of the activities
listed below, a tax to be paid to the City of Spokane Valley, in the amount hereinafter specified:
(1) Bingo and Raffles. A tax in the amount of five percent of the gross receipts from a bingo
game or raffle, less the amount awarded as cash or merchandise prizes.
(2) Punchboards and Pulltabs. A tax in an amount of five percent of the gross receipts from the
operation of punchboards and pulltabs, less the amount awarded as cash or merchandise prizes,
and regardless of whether the entity is a for-profit, bona fide charitable non-profit.
Ordinance 15-012 Amending SVMC 3.25 Gambling Tax Page 1 of 2
(3) Social Card Playing. A tax in the amount of six percent of the gross revenue from such card
games.
(4) Amusement Games. Amusement games authorized for operation pursuant to the provisions of
the Washington Administrative Code shall be subject to the levy of a tax in the amount not to
exceed two percent of the gross receipts from the amusement game, less the amount awarded as
prizes, and shall be equal to the amount of actual costs and expenses incurred for enforcement of
Chapter 9.46 RCW by the City of Spokane Valley.
(B) The following shall apply to bona fide charitable or nonprofit organizations pursuant to chapter 9.46
RCW:
(1) No tax shall be imposed on bingo or amusement games when such activities or combination
thereof for an organization which has no 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 from raffles on the first $10,000 of gross receipts less the amount
awarded as cash or merchandise prizes conducted by a qualifying entity.
Section 3. Amending SVMC 3.25.030 — Charitable and nonprofit organizations. SVMC
3.25.030 is hereby deleted.
Section 4. Remainder of SVMC 3.25. Unchanged. The remaining provisions of chapter
3.25 SVMC are unchanged by this amendment.
Section 5. Severability. If any section, subsection, sentence or clause of this Ordinance is
for any reason held to be invalid, such decision shall not affect the validity of the remaining provisions of
this Ordinance.
Section 6. Effective date. This Ordinance shall be in full force and effect July 1, 2015.
Approved this 2nd day of June, 2015.
AT Dean Grafos,Mayor
4., ,-, n,,,A.Iviv ,-1,___
Christine Bainbridge, City Clerk
Approved As o Form:
Office of e City Attorney
Date of Publication: June 12, 2015
Effective Date: July 1, 2015
Ordinance 15-012 Amending SVMC 3.25 Gambling Tax Page 2 oft