New
Mexico Register / Volume XXXVII, Issue 5 / March 10, 2026
This
is an amendment to 15.4.4 NMAC, Section 9, effective 3/10/2026.
15.4.4.9 AREA OF LICENSED PREMISES;
RESTRICTIONS:
A. The licensed premises shall be clearly marked and no
games of chance shall be permitted outside of the licensed premises.
B. No bingo operator’s license shall encompass more than
one licensed premise.
C. Licensees allowing use of their licensed premise by a
non-licensed organization, as defined in Subsection Y of 60-2F-4 1978 and
Paragraph (2) of Subsection A of 60-2F-26 NMSA 1978, in the conduct of bingo or
raffle shall submit forms prescribed by the board.
D. Any applicant or licensee who leases all or part of
the licensed premises or proposed licensed premises shall furnish the following
information to the board [within] 30 days [of] prior to
the effective date of the lease:
(1) the lessor’s name and address;
(2) copy of the lease;
(3) statement describing any business
relationships between the licensee or applicant and the lessor other than the
lease; and
(4) any other information requested by the
board.
E. Failure of applicant or licensee to provide the
information requested constitutes sufficient grounds for the board to deny the
application.
F. The applicant or licensee shall furnish to the
board complete information pertaining to any change in any premises lease
within 30 days after the effective date of such change.
G. No applicant or licensee shall conduct any
activity authorized under the act, if the lease, rent, contract, or any other
arrangements under which the right to use the premises requires rental or other
payment to another, based on a percentage of receipts or profits derived from
such licensed activities.
H. No rental or
lease agreement for real or personal property shall be in excess of fair market
value, which shall be the responsibility of the licensee to demonstrate to the
board or its agents upon request.
I. All rental and
lease agreements shall be subject to prior approval by the board or its agents
to ensure compliance with all applicable laws, rules and regulations. Rental agreements, lease agreements and
contracts shall be submitted for board review and approval 30 days prior to the
effective date.
J. A nonprofit bingo operator and distributor licensee
jointly shall submit any contract or lease agreement between the nonprofit
bingo operator licensee or distributor licensee and any other licensee to the
board for review not less than 30 calendar days before the contract or lease
agreement goes into effect. The term
“contract or lease agreement” shall include any amendment of an existing
contract or lease agreement.
K. Any contract or lease agreement submitted for review
shall include copies of any ancillary agreement, shall state with specificity
the beginning and expiration date of the contract, and shall include meeting
minutes or other evidence that the contract has been approved by the nonprofit
bingo operator’s governing body.
L. The contract or lease agreement shall be deemed approved
unless the board disapproves the contract or lease agreement in writing prior
to the effective date of the contract or lease agreement. The board shall disapprove a contract or
lease agreement submitted for review if the contract or lease agreement was not
submitted in compliance with this rule or if it directly or indirectly permits
another licensee to manage or otherwise control the nonprofit bingo operator
licensee.
M. The factors that may be considered by the board to be
indicia of direct or indirect management or control include, but are not
limited to:
(1) whether the amount and terms of any
loans made to the nonprofit gaming bingo operator licensee, including the
principal amount, interest rate, monthly payment and re-payment period, are
disproportionate to the assets of the nonprofit bingo operator licensee or
create an excessive debt to income ratio;
(2) whether the terms and conditions of
any gift, donation or other benefit conferred to the nonprofit gaming bingo
operator licensee permit another licensee to exercise any direct or indirect
management or control over the day-to-day operations of the nonprofit bingo
operator licensee;
(3) whether the contract or agreement
contains a provision that calls for automatic renewal of the contract or
agreement without notice;
(4) whether the term of the contract or
agreement is greater than five years;
(5) whether any other term or condition
of the lease agreement or contract permits any licensee to effectively exercise
direct or indirect management or control over any of the day-to-day operations
of the nonprofit bingo operator licensee.
[15.4.4.9
NMAC - Rp, 15.4.4.9 NMAC, 2/23/2021, A, 3/10/2026]