Some local groups move-up under state gambling board STAR Rating System

The state Gambling Control Board recently released 2011 Star Ratings for charitable gambling organizations. A good number of permitted charitable gambling groups in this area saw their ratings improve from the year before.

The ratings announcement was delayed somewhat due to the work stoppage over the end-of-the-year fiscal cycle, last summer, when there was a state government shutdown. The good news is that a few local organizations boosted their ratings for 2011 from what they were in 2010, elevating their operations out of the danger zone. The North Branch Hockey Association was on-probation at a 2-Star rating and boosted that to 3-Stars for 2011. Lakes Area recreation Association or LARA maintained its three star rating. It was a 3-Star rated organization in 2010. The Gambling Control Board gives ratings based on financial information required to be submitted.

The reports detail how much of the charitable gambling revenues spent that year went into “allowable charitable expenses.”

(There’s a listing of Minnesota groups gross and net and prize payout on the gambling control board’s website, see the line for annual reports.) If the organization spends 50 percent on appropriate expenditures, it gets a 5-Star rating. At 40 percent of proceeds going into allowed expenses the group gets a 4-Star rating and so on. Organizations holding a 2-Star level are placed on “probation” and must demonstrate acceptable charitable expenditures to the GCB by the following year to avoid state sanctions and/or fines. The Minnesota legislature created this system (2010 was the first year for ratings) so that people who play pulltabs or enjoy bingo can feel somewhat assured their money is going to support worthy causes.

The organizations do get to pay their associated bills (wages, supplies, booth rentals, etc.) for providing the gambling programs before the ratings percentages kick-in. 5-Star rated organizations locally include: Lindstrom Fire Relief Assoc. (which rose from a 4-Star in 2010); Stacy-Lent Fire is also a 5-Star and rose from a 4-Star; North Branch Firefighters Relief Assoc. held its 5-Star rating and Scandia-Marine Lions are also 5-Star. Center City Fire Relief increased its rating to 4-Star. And the Shafer Firefighters rose to a 4-Star rating from the 3-Star they held in 2010. Rush City Lions achieved a 4-Star rating for 2011-- up from 2-Stars. Rush Lake Improvement Assoc. remains at 3-Stars. Some local groups saw ratings decrease from 2010 including: Stacy Lions are now 4-Star, down from 5-Star; Rush City Sno Bugs were a 5-Star and are now a 3-Star organization. Chisago City Fire Relief dropped to a 4-Star rating from a 5-Star. The FLAAA (Forest Lake Area Athletic Assoc) was at 5-Stars and dropped to a 4-Star Rating.