Pursuant to the requirements of C.R.S. 24-4-103, notice of proposed rule-making is hereby given by the Secretary of State. A rule-making hearing will be held on August 7, 2002, at 9:30 A.M. in the Old Supreme Court Chambers of the State Capitol Building in Room 220, for the consideration of proposed additions and amendments to the Rules Covering and Regulating Bingo and Raffles.

Subject of the Proposed Rule-Making

The rule additions and amendments to be considered are those that are necessary and desirable for the implementation of House Bill 02-1321, "Concerning the Regulation of Games of Chance by the Secretary of State…" Specifically, but without limitation, the following proposals will be considered:

(1) Amendment of Rule 16, "Pull Tab Operations," to make permanent the temporary removal of the repeal language from the "Last Sale" pull tab provisions of section 13);

(2) Amendment of Rule 11.5, "Promotions," to conform the rule to the revisions made by section 2 of HB 02-1321 to C.R.S. 12-9-102.5 on the subject of prize promotions conducted in connection with charitable gaming activities, and to remove provisions from the rule that were added to the statute by the enactment of HB 02-1321;

(3) Addition to the rules of games manager certification provisions, including specifically the time period for which a games manager's certificate shall be valid, in accord with new section 12-9-105.1 C.R.S., added to the Bingo and Raffles Law by section 6 of HB 02-1321;

(4) Amendments and additions to the rules, specifically, but without limitation, Rule 12, "Sale and Use of Bingo Cards", Rule 13, "Conduct During Bingo Games", and Rule 16, "Pull Tab Operation", to provide for the conduct of progressive bingo and pull tab games and detail the procedural and accounting standards for such games, in accord with C.R.S. 12-9-107 (13), as amended by section 11 of HB 02-1321;

(5) Addition to the rules of safeguards to protect players against defaults in charitable gaming debts owed to such players by bingo-raffle licensees (this rule is specifically mandated by paragraph (g) added to 12-9-107 (13) by HB02-1320);

(6) Repeal of the language in sections 3), 4), and 8) of Rule 11, "Allowable Expense Amounts", that refers to, or sets requirements for, determination and approval by the Secretary of State of reasonable rental amounts for commercial bingo, in accord with the repeal at C.R.S. 12-9-108 (6) (a) (II) (C) effected by HB 02-1321, section 12;

(7) Addition to Rule 21, "Fines", of specific violations added to the Bingo and Raffles Law by the enactment of HB 02-1321; and

(8) Any necessary technical corrections to the Rules Regulating Bingo and Raffles, whether or not such corrections are directly related to the enactment of HB 02-1321.

Authority for the Proposed Rulemaking

These rules are proposed pursuant to the authority delegated to the Secretary of State in C.R.S. 12-9-103 (1) to "adopt, amend, and repeal rules and regulations governing the holding, operating, and conducting of games of chance, and the purchase of equipment and the establishment of a schedule of reasonable fines. . .for violation by licensees of this article or of rules adopted pursuant to this article. . ."

Copies of the proposals may be obtained from the Office of the Secretary of State, 1560 Broadway, Suite 200, Denver, Colorado 80202, at least five days prior to the hearing. Copies will be distributed free of charge. Only one copy of the proposals per requesting party can be provided free, however. Drafts of proposals will also be available via the Internet on the Secretary of State web site at www.sos.state.co.us.

The hearing will be held in accord with the provisions of C.R.S. 24-4-103. At the time and place stated in this Notice, the Secretary of State will receive written or oral data, views, and arguments from anyone interested in the proposed rules. Written submissions must be filed at or before the time set for commencement of the hearing in order to be considered. Oral testimony may be limited as necessary to allow the proceedings to go forward with reasonable promptness and efficiency.