South Dakota Statewide Rule
South Dakota Charitable Bingo and Lottery Rules
Key Facts
- Governing statute
- SDCL 22-25-25
- Bingo prize cap
- $2,000 maximum per game
- Advance notice required
- 30 days' written notice to local body
- Worker pay cap
- Minimum wage or $60 per session
- Penalty
- Class 2 misdemeanor, up to 30 days/$500
- Eligible sponsors
- Veterans, religious, charitable, civic, fire-dept groups
- Local override
- City may ban lottery ticket sales by ordinance
Summary
South Dakota bans lotteries and gambling as a Class 2 misdemeanor, but SDCL 22-25-25 exempts bingo and lotteries run by veterans', religious, charitable, fraternal, civic, service, or booster clubs, political parties, and volunteer fire departments. Qualifying groups must give the county or municipality 30 days' written notice before each event, cap bingo prizes at $2,000 per game, and can't pay workers more than minimum wage or $60 a session. A municipality may still block ticket sales by ordinance.
The game, bingo, as defined in §22-25-23, or lottery, as defined in §22-25-24, may not be construed as gambling or as a lottery within the meaning of §22-25-1, if: (1) The bingo game or lottery is conducted by a: (a) Bona fide congressionally chartered veterans' organization; (b) Religious, charitable, educational, or fraternal organization; (c) Local civic, service, or booster club; (d) Political party; (e) Volunteer fire department; (f) Local industrial development corporation as defined in § 5-14-23; or (g) Political action committee or political committee on behalf of any candidate for a political office, which exists under the laws of this state; (2) The proceeds therefrom do not directly benefit any individual; ... (5) No prize in excess of two thousand dollars is awarded at any one play of bingo; ... (7) The organizations ... give thirty days' written notice of the time and place thereof to the governing body or designated administrative official of the county or municipality in which it intends to conduct the bingo game or lottery, and the governing body does not pass a resolution objecting thereto.
Full Breakdown
SDCL 22-25-1 makes gambling and lotteries a Class 2 misdemeanor statewide, but Chapter 22-25 carves out charitable gaming. SDCL 22-25-23 defines bingo as the traditional card-and-caller game, including electronic bingo devices, so long as the device can't be activated with inserted coins or tokens and doesn't dispense payouts itself. SDCL 22-25-24 defines lottery separately for raffles and similar chance drawings.
SDCL 22-25-25 then exempts both games from prosecution if eight conditions are all met. The organization must be a congressionally chartered veterans' group, a religious, charitable, educational, or fraternal organization, a local civic, service, or booster club, a political party, a volunteer fire department, a local industrial development corporation under SDCL 5-14-23, or a political action committee for a candidate. Proceeds can't benefit any individual, and only the sponsoring organization -- not a hired outside operator -- may run the game, with a narrow exception under SDCL 22-25-41. Worker pay per bingo session is capped at the state minimum wage or $60, whichever is higher, with separate carve-outs for county fairs, the state fair, and civic celebrations. No single bingo play may pay out more than $2,000, and any lottery's prize value must be disclosed before tickets go on sale.
Before the first event, the organization must give the county or municipal governing body 30 days' written notice of the time and place, and the local body can block it by resolution. Statewide lottery sellers instead notify the secretary of state plus the municipality hosting the drawing. SDCL 9-29-5 lets a municipality pass its own ordinance banning lottery ticket sales inside city limits even where state law would otherwise permit them. Groups also can't lease equipment or services from an outside vendor to run the game, again subject to the SDCL 22-25-41 exception for licensed bingo equipment distributors.
Violations & Penalties
Conducting bingo or a lottery without meeting every condition in SDCL 22-25-25 -- wrong sponsoring organization, no 30-day notice filed, prizes over $2,000, a hired outside operator, or leased equipment outside the SDCL 22-25-41 exception -- is a Class 2 misdemeanor under SDCL 22-25-26, punishable by up to 30 days in county jail, a $500 fine, or both under SDCL 22-6-2. A city or county can also head off an event before it happens by passing a resolution objecting to the required notice.
Frequently Asked Questions
Who can legally run a charity bingo game in South Dakota?
How much notice does a nonprofit need to give before a bingo night?
Is there a cap on bingo prizes in South Dakota?
What happens if a charity runs bingo without following these rules?
Can a city ban charity lotteries even though state law allows them?
Sources
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