New bills may help clubs with bingo to survive slots

Local clubs, fraternal organizations and fire departments that stage bingo, raffles and other small games of chance may soon be able to stave off some of the competition from slots under a set of bills pending in the state Legislature.

House Bill 169 was approved by state representatives June 30 by a vote of 173-27. Introduced by state Rep. Timothy Solobay, D-Canonsburg, the bill, which now awaits Senate approval, would increase prize payouts for clubs and would allow for multiple daily, weekly and monthly drawings.

Also up for consideration is House Bill 1467, currently parked in the House Gaming Oversight Committee. It would raise bingo jackpots, although it requires stringent reporting and licensing guidelines. Other proposed legislation calls for allowing and regulating poker tournaments and video poker games in clubs.

Mr. Solobay introduced his bill after a crackdown last year by the state Liquor Control Board over multiple games of chance being played at clubs and organizations. At issue were monthly prize drawings being held in conjunction with daily and weekly drawings, which is prohibited by law.

"It put a real damper on these small clubs," Mr. Solobay said. "Their proceeds benefit the community."

Fearing repercussions, clubs ended many prize drawings to the chagrin of members, especially seniors, some of whom came to the clubs to socialize and participate in the monthly drawings.

Another provision of the bill would allow clubs to use gaming proceeds for general operating expenses, such as utilities, taxes and insurance. Under current law, clubs can use gaming proceeds only for charitable purposes, or to operate the game. Other organizations, such as volunteer fire departments and churches, can use proceeds as they wish.

Some clubs, such as the Eagles Lodge in Washington, pay out all of the gaming revenue that's taken in while turning profits on food and liquor sales. In such cases, gaming is simply the draw that pulls in the customer.

But fewer customers are being pulled in since dozens of clubs in the Washington area are competing for the same players, along with bingo operators and now slots.

Keith "Giz" Baumgardner of the Eagles Club said the competition has been eating away at gaming sales in recent years.

"This town is too overloaded with clubs," he said.

The evidence has been a dearth of bingo games, with all but a handful of local churches, fire departments and clubs closing their bingo operations in recent years, including the weekly bingo game at the Eagles Club which ended last year after more than 50 years of continuous operation.

The Immaculate Conception Catholic Church in Washington still sponsors bingo twice a week, and the Miraculous Medal Catholic Church in Chartiers has a weekly game, but they are two examples of what's become a rapidly dwindling pastime.

Some, such as the North Strabane Volunteer Fire Department which cancelled its bingo several years ago, blamed gaming in West Virginia for low attendance rates, while others say they just don't see much interest in bingo among baby boomers and younger generations.

"It may be a generational thing that's going on here, not just gaming and slots," said Mr. Solobay, who is first assistant chief at the Canonsburg Volunteer Fire Department and chairman of the House Firefighter's Caucus.

Mr. Solobay said he thought electronic bingo might catch on as a more exciting alternative to paper bingo with daubers, but it never really did.

It involves the use of an electronic device to track multiple bingo numbers rather than paper cards, but most groups said they did away with the machines several years ago because users didn't like them, and because they had to be rented from vendors for about $7 apiece. For a typical bingo game with 150 participants, $1,000 and up is a serious cut into the already slim profit margin.

"It about buried us," said Lt. Jim Bowden of the South Franklin Volunteer Fire Department, who said his department's game dropped by more than half with the electronic machines.

Although bingo operators are limited to two games per week and a maximum daily payout of $4,000, many have found ways to increase the jackpots by use of "midnight bingo" or "super bingo" games, and by combining licenses under one roof.

Midnight bingo games usually start about 10 p.m. on Saturdays, and run into the early morning hours of the next day, allowing operators to offer $8,000 jackpots.

Likewise, volunteer fire department with attached support clubs, such as a ladies' auxiliary, can combine their licenses for double jackpots during the same event.

The proposed bingo legislation would bump prizes up to $6,500 a day and would offer regulations aimed at eliminating fraud and embezzlement, which has plagued some area bingo games over the years.

Although The Meadows opened its casino about a month ago, local bingo operators say it's too soon to assess the effects of slots.

South Franklin hosts one of the largest bingo games in the area with an average attendance of about 180 players on Wednesday nights and even more during Sunday games.

The game was off by about 50 players during the opening week of slots, but has slowly rebuilt to an attendance of 172 by last Sunday. The key, Lt. Bowden said, is to keep playing fees low and prizes high.

"They have definitely taken a chunk out of our profit," Lt. Bowden said of slots. "But, we decided to ride the storm out."

Bingo revenue accounts for about 25 percent of the department's annual budget, he said.

Legislation allowing higher payouts would only help fire departments like South Franklin and other nonprofits compete with slots, Lt. Bowden said.

Chartiers Township Volunteer Fire Department has also felt the pinch of slots, especially since its fire hall is just down the road from The Meadows.

Its average bingo attendance of about 115 regulars dipped to 95 during the first two weeks of slots, then shot to 135 last week, even pulling in some slots players who saw the bingo sign outside the building at Racetrack Road and Pike Street.

"We noticed a lot of new people coming from the casino," said fire department President Mike Altieri. "We counted some West Virginia license plates."

In preparation for the slots, Chartiers began basing its prize payout on the number of players, and it too relies on profits from the weekly game for about 25 percent of its annual budget, which has steadily increased in recent years.

The department bought a $500,000 fire engine, and it's seen significant hikes in utility costs, with average monthly electric bills of $400 and gas bills of up to $2,000 in the winter, Mr. Altieri said.

Turnout in general has been decreasing as devotees get older and fewer volunteers step forward, he said.

"It's hurting us," Mr. Altieri said. "It's a difficulty right now."

In its heyday, the department, which celebrates its 50th anniversary this year, included a ladies auxiliary and catering service, along with supporters who would spend the day gambling at slots in Wheeling then the evening at bingo.

"It was like a club," Mr. Altieri said. "You are helping somebody, but there's a lot of pride in it too."

The proposed legislation would provide beneficial jackpot increases, Mr. Altieri said, but it also would force fire departments to jump through more hoops and red tape. Already, applying for government grants is a hassle that seems to require an advanced degree at times, Mr. Altieri said.

"You've got to fill out papers the size of the Sears, Roebuck catalog," he said. "It's discouraging."