H.B. No. 4172 aims to regulate charitable bingo in Texas and introduces provisions for the establishment of a nonprofit corporation to promote and advertise charitable bingo activities. The bill amends Section 2001.407 of the Occupations Code, allowing licensed distributors to receive bingo equipment from licensed authorized organizations under specific conditions, such as if the equipment is defective or not ordered. It also mandates that both distributors and organizations maintain records of returned equipment. Additionally, the bill introduces a new section, 2001.4151, which allows a statewide organization to form a nonprofit corporation to assist various stakeholders in the charitable bingo sector, including advertising and promoting bingo events.

Furthermore, the bill modifies existing regulations regarding advertisements for bingo, specifying that only licensed organizations and the newly formed nonprofit corporation can advertise bingo events. It also increases the maximum amount of operating capital that licensed organizations can retain in their bingo accounts from $50,000 to $100,000. Additionally, it allows licensed organizations to reduce the amount of prize fees remitted to counties or municipalities under certain conditions. The bill is set to take effect on September 1, 2025, with specific provisions taking effect earlier on October 1, 2025.

Statutes affected:
Introduced: Occupations Code 2001.407, Occupations Code 2001.415, Occupations Code 2001.451, Occupations Code 2001.502 (Occupations Code 2001)
House Committee Report: Occupations Code 2001.407, Occupations Code 2001.415, Occupations Code 2001.451, Occupations Code 2001.502 (Occupations Code 2001)
Engrossed: Occupations Code 2001.407, Occupations Code 2001.415, Occupations Code 2001.451, Occupations Code 2001.502 (Occupations Code 2001)