- OU Administrative Policies and Procedures
- General/Governance
- 435 Games of Chance Procedures
- Academic
- Business and Finance
- 200 Authorized Signers
- 207 Business Expenditures
- 208 Business Meals and Hosting Expense
- 210 Cash Receipts
- 212 Payment Card Information Security Requirements
- 218 Data Entry Standards for Ellucian Banner Users
- 225 Funding Positions - Regulations and Procedures
- 240 Interdepartmental Charges (IDC)
- 257 Moving Expenses
- 262 Tax Classifications - Independent Contractor vs. Employee
- 266 Petty Cash
- 270 Sales and Use Tax on Rental Property
- 275 Special Checks
- Facilities and Property
- 300 Air Conditioning and Heating
- 310 Building Repairs, Alterations, Renovations and/or Modifications
- 315 Routine Maintenance, Capital Asset Management, and Miscellaneous Facilities Management Departmental Services
- 320 Campus Signs
- 350 Key Control
- 360 Property Management
- 365 Surplus Property Disposal
- 370 Use of Oakland University Facilities
- 380 Work Orders
- General/Governance
- 400 Alcoholic Beverages
- 402 Exceptions to Administrative Policies and Procedures
- 406 Conflict of Interest Policy
- 409 The Constitution of The Oakland University Senate
- 410 Contracting and Employment Appointment Authority
- 412 Detection of and Response to Identity Theft Red Flags
- 415 Distribution and Solicitation on Campus
- 423 Flags at Half-Staff
- 430 Freedom Of Information Act
- 435 Games of Chance Procedures
- 455 Death of Faculty, Staff and Retiree and Floral Tributes
- 460 Commemorative Gifts - Trees/Benches
- 465 Patent Policy And Procedures
- 470 Release of Student Educational Records
- 475 Smoke-Free Campus
- 480 University Archives
- 481 Records Retention and Disposal
- 482 University Closing
- 483 Parking During A Snow Emergency
- 486 University Posting Policy
- Communications and Marketing
- Gifts and Grants
- Health and Safety
- 605 Crisis Management Team
- 610 Driving Practices and Standards
- 615 Animals in University Facilities and on University Grounds
- 620 Environmental Health and Safety
- 625 Student Sexual Misconduct Policy
- 630 Youth Protection Policy
- 640 Oakland University Ordinances
- 642 Parking Regulations and Road Closure Procedures
- 648 Vehicles On Campus Sidewalks And Lawns
- 655 Radio Communications Systems
- 674 Surveillance and Monitoring Technology
- 675 Safety and Security Alarm Systems
- 676 Use of Unmanned Aircraft Systems and Drones
- Human Resources
- 704 Internal Promotions and Transfers
- 710 Administrative Guidelines Prohibiting Discrimination
- 711 Guidelines for Handling Discrimination Complaints
- 712 Administrative Guidelines Supporting the Equal Opportunity Policy
- 714 Workplace Bullying
- 718 Employment of High School Students and Minors
- 725 Filling Vacancies (Excluding Academic)
- 750 Oakland University Faculty Hiring Procedures
- 770 Temporary and Casual Employees
- Information Technology
- Purchasing
- Risk Management
- Students
- Travel
- University Services
- Policy Search
OU Administrative Policies
and Procedures
Police & Support Services, Room 13
201 Meadow Brook Road
Rochester ,
MI
48309-4482
(location map)

435 Games of Chance Procedures
SUBJECT: | CHARITABLE GAMING POLICY |
NUMBER: | 435 |
AUTHORIZING BODY: | BOARD OF TRUSTEES |
RESPONSIBLE OFFICE: | VICE PRESIDENT FOR UNIVERSITY ADVANCEMENT |
DATE ISSUED: | JULY, 1987 |
LAST UPDATE: | MARCH, 2020 |
RATIONALE: Bingo, Millionaire Parties, Charity Games and Raffles are forms of gambling and are illegal activities for all organizations and individuals except as authorized by law. State law provides that Michigan colleges and universities may conduct certain Games of Chance under certain circumstances. Games of Chance that are not on behalf of the University may not be conducted on University property. | |
POLICY: Charitable gaming activities such as Bingo, Millionaire Parties, Raffles and other charity Games of Chance may be useful methods of fundraising and may generate other support for the University. These activities may be conducted during University events and/or on University property under the conditions of this policy.
| |
SCOPE AND APPLICABILITY: It is University policy that, a Game of Chance on behalf of any University program or activity, will not be conducted by any employee, student, volunteer, or other agent of the University unless it is held for the direct institutional benefit of the University or its activities and is in compliance with State law and the procedures set forth below. This policy applies to all Charitable Gaming activities, regardless of offering mode (i.e., online raffles and bingo are also within scope). All Games of Chance located on campus must be reviewed and approved by the Vice President of the sponsoring area first, before being submitted to the Vice President of University Advancement for review. In addition to campus review, non Oakland University entities, including student organizations, must be deemed as a qualified organization by the state of Michigan in order to host a raffle on campus. After the organization has been judged by the State of Michigan as their own Qualified Organization and received both VP approvals, the organization must submit proof of license prior to the event and submit a copy of their financial statement for our records. | |
DEFINITIONS:
Bingo A Game of Chance in which prizes are awarded on the basis of Bingo balls randomly drawn from a receptacle that match a previously announced pattern on a player's Bingo card. Charity Game Tickets with a break-open or pull-tab. These tickets are sold at licensed gaming events. Charity Game tickets can only be purchased from a licensed supplier by a licensed organization. Chairperson Person(s) listed on the gaming license application responsible for the conduct of the Bingo, Millionaire Parties, Charity Games, or Raffle in accordance to the act, rules, and directives of the State of Michigan Charitable Gaming Division. Millionaire Party An event at which wagers are placed upon Games of Chance customarily associated with a gambling casino through the use of imitation money or chips that have a nominal value that is equal or greater than the value of the currency for which they can be exchanged. Promotional Activity: means an activity that is calculated to promote a business enterprise or the sale of its products or services, but does not include a lottery or gift enterprise involving the payment of money solely for the chance or opportunity to win a prize or a lottery or gift enterprise that may be entered by purchasing a product or service for substantially more than its fair market value. Qualified Organization: A nonprofit organization that is eligible to conduct Bingo, Raffles, and to sell charity game tickets. The State of Michigan specifies that this means either of the following: (i) A bona fide religious, educational, service, senior citizens, fraternal, or veterans' organization that operates without profit to its members and that either has been in existence continuously as an organization for a period of 5 years or is exempt from taxation under section 501(c) of the internal revenue code of 1986, 26 USC 501. Unincorporated student groups and organizations are not qualified organizations. Raffle A Game of Chance where tickets are sold, a winner(s) is determined by randomly drawing a ticket stub from a container, and a prize is awarded. | |
PROCEDURES: A. Bingo There are three types of Bingo licenses that Qualified Organizations may apply for: 3. Special Bingo: A special Bingo license entitles a Qualified Organization to hold Bingo games up to seven consecutive days. Special Bingo means a single or consecutive series of Bingo occasions during which the total value of all prizes awarded through Bingo at a single occasion does not exceed $3,500 and no single game prize exceeding $1,100. B. Millionaire Parties A Millionaire Party License which entitles a Qualified Organization to conduct a Millionaire Party for up to four consecutive days and is valid for one location. C. Raffles Raffle licenses entitles a Qualified Organization to conduct random drawings for prizes. Prizes will be cash, merchandise or services. A large Raffle license is required when the total value of all prizes awarded through the Raffle drawings will exceed $500 in a single day. A small Raffle license is required when the total value of all prizes awarded does not exceed $500 in a single day (including any Raffle ticket seller incentive prize). A Raffle drawing cannot take place during a licensed Bingo event. The drawing can occur before or after the time listed on the Bingo license. Types of Raffles: 1. Traditional Raffle: tickets are sold prior to the drawing date and the winner does not need to be present to win. 2. In-house Raffle: tickets are sold and all prizes are awarded at the location and during the beginning and ending times on the license. Types of in-house Raffles include: a. 50/50 Raffles b. Gift basket Raffles c. Door prize drawings d. Giveaway drawings 3. Exemption Raffle: lawful Raffles that are conducted at a scheduled assembly or meeting with a specific beginning and ending time that is conducted or sponsored by a Qualified Organization of all the following are true: a. The Raffle will be held at a single gathering of the Qualified Organization D. Charity Games Charity Game tickets may be purchased only by the Qualified Organizations that have been issued Bingo or Millionaire Party licenses and may be sold only at scheduled licensed events. E. Promotional Activities A person may conduct a lottery or gift enterprise "as a promotional activity that is clearly occasional and ancillary to the primary business of that person." To fit within the exception, the activity must be calculated to promote the business, must not involve payment of money solely for the chance to win a prize, and must not involve purchase of a product or service for substantially more than fair market value. Authorization of Games of Chance
1. A limited number of Games of Chance will be authorized each year with the total number to be determined by the President in conformance with State law and the regulations of the Bureau of State Lottery. University Requirements A. The sponsoring group shall complete the Application for Game of Chance Proposal, Exhibit A, and the State of Michigan application, which can be found on the State of Michigan Charitable Gaming Website. F. In the case of a Game of Chance which involves a State licensing or registration fee, a check in the appropriate amount made payable to the State of Michigan shall accompany the application. Funds for such check shall be provided by the sponsoring University entity. Application Process See Exhibit B Tax Reporting Requirements A. Tax Reporting Requirements Report all anticipated cash or noncash payouts with a value of $600 or more to the Tax Compliance Office of the Controller's Office at ouacctingdept@oakland.edu prior to the event for a review of reporting and withholding requirements. In the event of a reporting or withholding requirement, proper documentation to report game winnings to the IRS must be obtained prior to the payout. B. Unrelated Business Income Tax Requirements If a Qualified Organization holds multiple Raffles per year the IRS may seek federal unrelated business income tax (UBIT) on the net revenue from the activity. In order to meet the federal exclusion for UBIT on charitable gaming, the department is required to keep accurate records reflecting the number of hours worked on the raffle by compensated and volunteer workers. The net revenue can be excluded if substantially all the work is performed by volunteers. Contact the Tax Compliance Office of the Controller's Office with any additional questions regarding tax reporting, tax withholding, or UBIT issues on Games of Chance. Prizes Games of Chance prizes can be cash, merchandise, or services. Prizes can be purchased or donated. Refer to Policy 500 for conditions regarding donated prizes. State Licensing Requirements The VPUA shall be responsible for preparing and submitting any state licensing requests or registration forms. Fees are set by the State of Michigan Charitable Gaming Division, Act 382 of the Public Acts of 1972, as amended. A. Gaming License Application Departments or organizations must submit a gaming license application provided on the State of Michigan website with applicable license fee. Rules and Directives along with license forms and fee amounts are available online at www.michigan.gov/cg. | |
RELATED POLICIES AND FORMS: | |
APPENDIX: Exhibit A - Game of Chance Proposal Form | |