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Senate narrows charitable-gaming definition after contentious debate; bill passes 27-20
Summary
After nearly an hour of floor debate about youth sports, tourism definitions and oversight, the North Dakota Senate adopted Senate Bill 2035 to narrow the state's definition of "public spirited organization" for charitable gambling. Sponsors say youth sports remain covered; critics say the bill does not do enough to curb the industry's growth.
The North Dakota Senate voted 27-20 to pass Senate Bill 2035, a measure that narrows the statutory definition of "public spirited organization" for purposes of charitable gambling.
Senator Tim Bridal, sponsor and member of the Judiciary Committee, told the chamber the bill aims to rein in broad language added in prior decades and to clarify that "adult amateur sports" are no longer included while "youth sports are still considered charitable" and remain eligible under other provisions. Bridal said the change followed an interim study and consultations with the attorney general's office.
"We have received some emails about youth sports. Youth sports are still considered charitable," Bridal said on the floor, framing the bill as a targeted clarification rather than a ban on youth athletics.
Supporters said the narrower language limits the category to activities appropriate for charitable-gaming qualifications and restores local discretion for some economic-development uses. Opponents, including Senator Brownberger, said the bill "lacks the tools to do that" and does not sufficiently address concerns about the rapid expansion of pull-tab machines and related venues.
"One of the concerns was regards to the CVBs," Brownberger said on the floor, arguing the bill could leave organizations that use gaming revenue for community improvements without adequate checks on how proceeds are spent.
Senators questioned oversight and enforcement. Senator Mike Mathern asked whether the state audits recipients and tracks expenditures; Senator Murdall, answering from committee discussions, said oversight is conducted through the attorney general's office but acknowledged the practical limitations of monitoring high volumes of cash transactions.
The bill removes the phrase "amateur sports competition" as an eligible category (intended to exclude adult amateur athletics) and narrows a broad definition of tourism; the sponsor and the attorney general's office told the committee and the floor that the bill does not remove youth athletic organizations from eligibility and that local governing bodies retain discretion in certain cases.
After debate, the Senate adopted the bill on final passage, 27 ayes, 20 nays.
The measure now moves to the next step in the legislative process for enrollment and transmittal to the House as required by legislative procedure.
