A recreational gaming activity (RGA) is a nongambling activity, using poker tables and gambling equipment authorized for use in fund-raising events. A RGA is conducted no more than two times per calendar year, by, or on behalf of, a sponsoring organization, business, or association, or department of an organization, business, or association.

(1) An organization, business, or association, or department of an organization, business, or association, that holds or sponsors an RGA must either:

(a) Apply for and get a permit before the event; or

(b) Hire a licensed fund-raising equipment distributor to organize and conduct the activity.

(2) Only members and guests of the sponsoring organization, business, or association, or department of the sponsoring organization, business, or association, may participate in the RGA.

(3) Permit holders must:

(a) Rent the gambling equipment used in the RGA from:

(i) A licensed distributor of fund-raising event equipment; or

(ii) A licensee who has conducted a fund-raising event within the last twelve months; and

(b) Use scrip or chips which have no cash value; and

(c) Limit the RGA to eight hours.

(4) The permit holder may charge a fee to enter the premises if that fee pays for:

(a) An accompanying meal and entertainment associated with the RGA; or

(b) The costs of renting the equipment used in the RGA.

(5) All prizes must be donated to, or provided by, the permit holder.

(6) The permit holder may allow participants to:

(a) Redeem their scrip or chips for prizes; or

(b) Trade scrip or chips for tickets which are then drawn to determine the prize winners.