Who is allowed to run a bingo game in Texas, and where can they hold it?

Texas AG Opinion DM-0083: Who May Conduct Charitable Bingo

Plain-English summary

A House committee chairman asked the Attorney General to interpret article III, section 47(b) of the Texas Constitution, the provision that lets the Legislature authorize charitable bingo. He was concerned that some "charitable" permit-holders were really fronts: they would take their bingo permits to a commercial hall owned by someone else, send a single member to be present, and let the hall's paid staff run the games.

The opinion answered the question on three points. First, on who may run bingo: section 47(b) lets the Legislature authorize bingo only when it is "conducted" by one of the listed organizations, namely a church, synagogue, religious society, volunteer fire department, nonprofit veterans organization, fraternal organization, or nonprofit organization supporting medical research or treatment programs. An organization that does not fit one of those categories is not allowed to conduct bingo. Whether a given organization fits a category is a fact question the opinion could not decide.

Second, on where games may be held: subsection (b)(2) limits the games to property the organization owns or leases. If a permit-holder neither owns nor leases the building where it runs bingo, the constitutional requirement is violated.

Third, on who must actually run the game: subsection (b)(3) requires that games be "conducted, promoted, and administered by members of" the permit-holding organization. Drawing on dictionary definitions and on William Buchanan Foundation v. Shepperd (which treated "administer" as a general-use word meaning to manage or conduct), the opinion concluded that members of the organization must play a substantial role in running each game. The constitution does not, however, require that every game be run exclusively by members. Because the line between permissible outside help and a sham operation depends on the facts, the opinion declined to say how much non-member involvement is allowed.

Currency note

This opinion was issued in 1992. Subsequent statutory amendments, court decisions, or later AG opinions may have changed the analysis. Treat this page as historical context, not current legal advice. The bingo statute (then article 179d, V.T.C.S.) has since been amended and recodified into the Occupations Code, and the constitutional provision has been amended as well. Verify current law before relying on anything here.

Common questions

Which organizations can legally hold bingo games in Texas?
Under the constitution as interpreted here, only those named in article III, section 47(b): churches, synagogues, religious societies, volunteer fire departments, nonprofit veterans organizations, fraternal organizations, and nonprofit organizations supporting medical research or treatment. A group outside those categories cannot conduct bingo.

Can a charity run its bingo game in a rented commercial hall?
Only if the charity itself owns or leases the property. Subsection (b)(2) ties the games to property the organization owns or leases. If the permit-holder neither owns nor leases the building, the opinion said the constitutional requirement is violated.

Can paid staff who are not members run the game?
Not entirely. The opinion read "conducted, promoted, and administered by members" to mean members must play a substantial role in running each game. It did not require members to do everything, and it would not draw the exact line, because how much outside help is allowed depends on the facts.

Did the opinion decide whether any particular bingo operation was illegal?
No. It set out the rules but repeatedly noted that whether a specific organization qualifies, or whether a specific arrangement crosses the line, are factual questions outside the opinion process.

Background and statutory framework

Article III, section 47 of the Texas Constitution generally bars lotteries and gift enterprises, with section 47(b) carving out charitable bingo conducted by listed organizations, subject to local-option elections and three requirements: proceeds spent in Texas for the organization's charitable purposes; games limited to one location on property the organization owns or leases; and games conducted, promoted, and administered by members. The Legislature implemented section 47(b) through article 179d, V.T.C.S. (the opinion cited § 11a on rent restrictions for bingo premises and § 11(g) on member management). For the meaning of "administer," the opinion relied on Black's Law Dictionary (5th ed. 1979) and on William Buchanan Foundation v. Shepperd, 283 S.W.2d 325, 334 (Tex. Civ. App.-Texarkana 1955, writ dism'd by agr.), which treated "administer" as a word in general use synonymous with "manage" and "conduct."

Citations

Constitutional and statutory provisions:

• Tex. Const. art. III, § 47(b) (authorization and limits for charitable bingo)
• V.T.C.S. art. 179d, § 11a (restrictions on rent for bingo premises)
• V.T.C.S. art. 179d, § 11(g) (member management of games)

Cases:

• William Buchanan Foundation v. Shepperd, 283 S.W.2d 325, 334 (Tex. Civ. App.-Texarkana 1955, writ dism'd by agr.)

Source

• Landing page: https://www.texasattorneygeneral.gov/opinions/dan-morales/dm-0083
• Original PDF: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1992/dm0083.pdf

Original opinion text

Best-effort transcription from a scanned PDF. Minor errors may remain — the linked PDF is authoritative.

Office of the Attorney General
State of Texas

DAN MORALES
Attorney General

January 30, 1992

Honorable Doyle Willis
Chairman
General Investigating Committee
Texas House of Representatives
P. O. Box 2910
Austin, Texas 78768-2910

Opinion No. DM-83

Re: Application of article III, section 47(b), of the Texas Constitution, which imposes limitations on the kinds of organizations that may conduct bingo games (RQ-255)

Dear Representative Willis:

You have requested our opinion regarding the application of article III, section 47(b), of the Texas Constitution, which imposes restrictions on playing bingo. That section provides:

The Legislature by law may authorize and regulate bingo games conducted by a church, synagogue, religious society, volunteer fire department, nonprofit veterans organization, fraternal organization, or nonprofit organization supporting medical research or treatment programs. A law enacted under this subsection must permit the qualified voters of any county, justice precinct, or incorporated city or town to determine from time to time by a majority vote of the qualified voters voting on the question at an election whether bingo games may be held in the county, justice precinct, or city or town. The law must also require that:

(1) all proceeds from the games are spent in Texas for charitable purposes of the organizations;

(2) the games are limited to one location as defined by law on property owned or leased by the church, synagogue, religious society, volunteer fire department, nonprofit veterans organization, fraternal organization, or nonprofit organization supporting medical research or treatment programs; and

(3) the games are conducted, promoted, and administered by members of the church, synagogue, religious society, volunteer fire department, nonprofit veterans organization, fraternal organization, or nonprofit organization supporting medical research or treatment programs.[1]

You first ask which organizations may conduct bingo under article III, section 47(b) and whether an organization not listed therein may do so.

Section 47(b) makes clear that the legislature is empowered to authorize only those bingo games that are "conducted" by an organization which falls within one of the categories listed therein. An organization that may not properly be classified into one of those categories is not authorized to conduct bingo games. Of course, whether a particular organization falls within one of the categories requires the resolution of factual inquiries that we cannot accomplish in the opinion process.

You also express concern about compliance with subsection (b)(2). You indicate that

[h]undreds of so-called charitable institutions now have permits to play bingo. Many take their permits to lessors who have buildings and who then use the permits and require only one member of each organization to be present. This means that the permit-holder neither owns the building nor leases it. This would appear to be in direct violation of the constitutional provision.

If in fact the charitable organization neither owns nor leases the property on which it conducts a bingo game, the constitutional provision would be violated. See, e.g., V.T.C.S. art. 179d, § 11a (restrictions on rent for bingo premises).

You appear to be most alarmed about the lack of compliance with subsection (b)(3). You state that

[t]he organization that holds the bingo permit frequently sends only one member over to the commercial hall where the game is being played and does not conduct the game itself. I feel that this is a violation of this section of the Constitution in that the word "administered" means that the members of the organization shall conduct the bingo games themselves. At the present time, these commercial lessors are paying personnel not affiliated with the bingo permit holders to run bingo games.

In that regard, you ask whether "hired hands who are not members of the organization can actually run the game."

The constitutional provision directs that the games be "conducted, promoted, and administered by members of" the organization that holds the bingo permit. In our opinion, this requirement means that members of the organization must play a substantial role in "running" the bingo game. Black's Law Dictionary defines the verb "conduct" as meaning

[t]o manage; direct; lead; have direction; carry on; regulate; do business.

BLACK'S LAW DICTIONARY 268 (5th ed. 1979). That same work defines "administer" as

[t]o manage or conduct. . . . to take charge of business; . . . to manage affairs.

Id. at 41. In William Buchanan Foundation v. Shepperd, 283 S.W.2d 325, 334 (Tex. Civ. App.-Texarkana 1955), writ dism'd by agr., 289 S.W.2d 553 (Tex. 1956), the court declared that the word "administer" does not have a "strict legal or technical import" but is rather "a word in general use," and that it is synonymous with "manage" and "conduct."

We believe it is evident that subsection (b)(3) requires that every bingo game be managed, supervised, and directed by members of the organization holding the permit. See V.T.C.S. art. 179d, § 11(g). The constitution does not, however, demand that every game be conducted or administered exclusively by members of the organization. Because we cannot resolve factual issues in the opinion process, we cannot opine on the amount of outside involvement in games which is permissible.

SUMMARY

Only those organizations named in article III, section 47(b), of the Texas Constitution may conduct bingo games, and such an organization may conduct the bingo game only on property owned or leased by the organization.

DAN MORALES
Attorney General of Texas

WILL PRYOR
First Assistant Attorney General

MARY KELLER
Deputy Assistant Attorney General

JUDGE ZOLLIE STEAKLEY (Ret.)
Special Assistant Attorney General

RENEA HICKS
Special Assistant Attorney General

MADELEINE B. JOHNSON
Chair, Opinion Committee

Prepared by Rick Gilpin
Assistant Attorney General

[1] Pursuant to this subsection, the legislature has enacted article 179d, V.T.C.S. You do not ask any questions relating to this statute, but rather confine your inquiry to the authorizing language of the constitution.