Account Requirements and Restrictions

Separate gambling bank account required	All licensed organizations are required to keep receipts from charitable gambling separate from all non-gambling revenue of the licensed organization and deposit in an account used only for lawful gambling receipts and expenditures. Because of this requirement, organizations new to lawful gambling should open a new account to be used solely for charitable gambling. An organization may transfer funds from the gambling checking account to a nonchecking gambling account such as a savings account. Gambling account(s) must be with a bank, savings and loan, or credit union located in Minnesota. Pay all gambling-related expenses and lawful purpose expenditures, including gambling taxes, directly from the gambling checking account—either by check or electronic transaction.
Copies of checks must be kept for 3.5 years	An organization must be able to obtain, upon demand, the original check or a copy of all checks - both front and back. This is an important requirement that helps regulators verify who actually received the funds.
Gambling account signatures	The person who accounts for an organization’s gambling funds may not be a person who accounts for the organization’s non-gambling funds, such as the organization’s treasurer. The organization’s treasurer may not sign checks from the gambling account or the authorization for electronic transactions. Two active organization members must sign all checks from the gambling account. More than two members may be authorized. Failure to have two authorized signatures may result in a citation from the Gambling Control Board. Pre-signing blank checks is not allowed. Two active organization members must authorize all expenditures made from the gambling account by electronic transfer. An acceptable method of documenting this authorization is by having two active members review the electronic payments listed on each month’s bank statement. If the electronic payments were authorized, the two active members would then sign and date the bank statement to document their authorization.

Separate gambling bank account required

All licensed organizations are required to keep receipts from charitable gambling separate from all non-gambling revenue of the licensed organization and deposit in an account used only for lawful gambling receipts and expenditures. Because of this requirement, organizations new to lawful gambling should open a new account to be used solely for charitable gambling. An organization may transfer funds from the gambling checking account to a nonchecking gambling account such as a savings account. Gambling account(s) must be with a bank, savings and loan, or credit union located in Minnesota.

Pay all gambling-related expenses and lawful purpose expenditures, including gambling taxes, directly from the gambling checking account—either by check or electronic transaction.

Copies of checks must be kept for 3.5 years

An organization must be able to obtain, upon demand, the original check or a copy of all checks - both front and back. This is an important requirement that helps regulators verify who actually received the funds.

Gambling account signatures

The person who accounts for an organization’s gambling funds may not be a person who accounts for the organization’s non-gambling funds, such as the organization’s treasurer.
The organization’s treasurer may not sign checks from the gambling account or the authorization for electronic transactions.
Two active organization members must sign all checks from the gambling account. More than two members may be authorized. Failure to have two authorized signatures may result in a citation from the Gambling Control Board.
Pre-signing blank checks is not allowed.
Two active organization members must authorize all expenditures made from the gambling account by electronic transfer. An acceptable method of documenting this authorization is by having two active members review the electronic payments listed on each month’s bank statement. If the electronic payments were authorized, the two active members would then sign and date the bank statement to document their authorization.

Check Register Required

A check register is a record of transactions in a checking account including expenditures and deposits. A check register typically calculates a running balance in the checking account. In this way, it’s a lot like a real-time record of the bank account. The gambling manager/organization can check to see the total balance in the account as well as the checks and disbursements. The check register is a necessary part of the monthly reconciliation of gambling bank account statements.

The check register must include:

the transaction date of expenditure or deposit,
the check number or write “EFT” for electronic funds transfer,
the payee,
the amount of expenditure or deposit, and
the running balance.

Record checks in numerical order in the check register. Any voided checks must be kept with the gambling records for 3½ years and recorded in the check register by number, with the notation “void”.