Off-Track Betting Establishments, also known as OTB, are any business where which bets or wagers are made on the results of any race, contest, sports event, game or any other event or occurrence.  This includes horse, harness or dog racing.

Businesses must also apply with the Arizona Department of Gaming (ADG), authorized by Arizona Revised Statutes Title 5 as well as with Tempe Tax & License.  Once a business has completed all paperwork with Tempe Tax & License and ADG, the application is then forwarded to the City of Tempe for background checks, police approval, fire approval, building safety, development services and, finally, Tempe City Council approval.  ADG will make their final approval only after City of Tempe approval.

Terms

A Tote machine or Totalisator is a computerized system that accumulates wagers, records sales, calculates payoffs, and displays wagering data on a display that is located at an Off-Track Betting Establishment. 

Parimutuel betting is a betting system where all bets of a particular type are placed together in a pool; then taxes and the "house-take" , also known as "vigorish", are deducted.  Payoff odds are calculated by sharing the pool among all winning bets.

Code

Tempe City Code §16A-100 to §16A-109

Step One: A Tempe Off-Track Betting Establishment License is required annually for the business and must include information for all owners.  Licenses are valid July 1 to June 30 each year.  (Note: deadlines for paperwork to make specific Council Hearing dates): 

If you need a Tempe Off-Track Betting Establishment License, you will need to renew per city code by June 1 each year.  Tempe Off-Track Betting Establishment Licenses are valid from July 1 to June 30 each year.

CLICK HERE FOR TRAINING VIDEOS ON USING THE ACA LICENSING PORTAL

Step Two:  Have the following documents ready or in process before applying:

• Apply with Arizona Department of Gaming (ADG) for the appropriate Off-Track Betting (OTB) Establishment License.  Tempe Tax & License will send recommendation to ADG after all background checks complete and Tempe City Council decision.  Click ADG logo below to apply for an OTB Location License:         

• A Transaction Privilege Tax (TPT or sales tax) License is required annually for the business for sales of food and alcoholic beverages

Restaurants and Bars include any business where articles of food, drink, or condiment are prepared or served to patrons for consumption on or off the premises. This activity includes bars, lounges, restaurants, caterers, street and mobile vendors and "fast food" establishments. 

Apply, File & Pay Transaction Privilege Tax at AZTaxes.gov link below:

Step Three: Fingerprints are required for all applicants so a background investigation can be completed by Tempe Police Dept.  

Click Here to download City of Tempe Fingerprint Packet

The City of Tempe Code requires that all applicants must submit fingerprints to Tempe Police.

Fingerprints may be obtained at any fingerprinting service company in the United States. Tempe Police Department offers fingerprint services to business license applicants free of charge. To check availability, please call Tempe PD Fingerprint Line at 480-858-2024. Please ensure you are following the proper procedure to submit the fingerprints. Refer to the City of Tempe Fingerprint Packet for further information.

Required items are as follows:

USDOJ FBI Fingerprint Card, FD258, blue and white in color.

$22 fingerprint fee (in the form of a cashier’s check or money order, made out to Arizona Dept of Public Safety) must be submitted with each person’s fingerprint card.

Licensing Fingerprint Form (this is on the first page of the fingerprint packet, and needs to be filled out by the fingerprint technician).

Enclose all items into a sealed envelope that can be mailed or dropped off to Tempe Police Department at the below address.

Mailed to:

Tempe Police Department

Attn: Licensing Unit

120 E. 5th St., Tempe, AZ 85281

Questions on fingerprinting? Please call 480-858-7899

Fees

$200 New license application fee per business  (non-refundable)

$1,200 Annual license fee (*includes up to 4 tote machines or parimutuel betting windows; NOTE: additional tote machine or parimutuel betting windows are $400 each)

Total: $1,400  total for new license (*up to 4 tote machines)

We accept Visa, Mastercard, Discover, American Express by phone or in-person

We accept check by mail or in-person.  We do not accept cash.

Application Processing Time

60 days (from time all documents received)

New license application is forwarded to:

Tempe Police Department

Tempe Fire Department

Building Safety

Planning

Tempe City Council

Step One: A Tempe Off-Track Betting Establishment License is required annually per city code by June 1 for the business.  Licenses are valid July 1 to June 30.

If you need a Tempe Off-Track Betting Establishment License, you will need to renew by June 1 each year per city code.  Please note that ADG renewal dates and fees may be different than Tempe.  Click the button below to reach Tempe Tax & License to renew:

CLICK HERE FOR TRAINING VIDEOS ON USING THE ACA LICENSING PORTAL

Step Two:  Confirm the following documents have no changes and, if there are changes, submit documentation to Tempe Tax & License for:

• A Transaction Privilege Tax (TPT or sales tax) License is required and must be renewed annually for the business before January 1

Renew, File & Pay Transaction Privilege Tax at AZTaxes.gov link below:

Step Three: Renewal with Arizona Department of Gaming (ADG) is required annually from the date of issue.

If you need a Tempe Off-Track Betting Establishment License, you will need to renew by June 1 each year per city code.  Please note that ADG renewal dates and fees may be different than Tempe.  Click the link below to renew with ADG:

RENEW WITH ARIZONA DEPARTMENT OF GAMING

Step Four: At Renewal, the starting point for "new" owners begins with Tempe Tax & License. Updates would also need to be made with the Arizona Department of Gaming (ADG); then fingerprints and background checks are required by Tempe Police Dept.  Returning owners do not need to resubmit fingerprints and background each year to Tempe.

Suggested Fingerprinting Locations:

AZ Livescan  602-246-3444

SecureOne   480-500-7309

Community Wellness and Safety of Arizona  480-892-4295

$22 fingerprint fee with each fingerprint card per person (by cashier’s check or money order to: Arizona Dept of Public Safety)

Mailed to:

Tempe Police Department

Attn: Licensing Unit

120 E. 5th St., Tempe, AZ 85281

Questions on fingerprinting? 480-858-7899

Renewal License Fees

$1,200 Annual license fee (*includes up to 4 tote machines or parimutuel betting windows; NOTE: additional tote machine or parimutuel betting windows are $400 each)

Renewal dates with ADG are different than Tempe Tax & License.

We accept Visa, Mastercard, Discover, American Express by phone or in-person

We accept check by mail or in-person.  We do not accept cash.

Late Penalty Fees

 $100

Renewal Processing Time

Less than 30 days (from time all documents received or if there are no changes)

New owners applications are forwarded to:

Tempe Police Department

New License Fees

$200 New license application fee per business  (non-refundable)

$1,200 Annual license fee (*includes up to 4 tote machines or parimutuel betting windows; NOTE: additional tote machine or parimutuel betting windows are $400 each)

Total: $1,400  total for new license (*up to 4 tote machines)

We accept Visa, Mastercard, Discover, American Express by phone or in-person

We accept check by mail or in-person.  We do not accept cash.

Renewal License Fees

$1,200 Annual license fee (*includes up to 4 tote machines or parimutuel betting windows; NOTE: additional tote machine or parimutuel betting windows are $400 each)

We accept Visa, Mastercard, Discover, American Express by phone or in-person

We accept check by mail or in-person.  We do not accept cash.

Late Penalty Fee

$100 added to annual license fee per business after June 1 per city code

Application Processing Time for New Applications

60 days (from time all documents received)

New Applications, for new license or renewal, require fingerprints and background checks for all owners 

Suggested Fingerprinting Locations:

AZ Livescan  602-246-3444

SecureOne   480-500-7309

Community Wellness and Safety of Arizona  480-892-4295

$22 fingerprint fee with each fingerprint card per person (by cashier’s check or money order to: Arizona Dept of Public Safety)

Mailed to:

Tempe Police Department

Attn: Licensing Unit

120 E. 5th St., Tempe, AZ 85281

Questions on fingerprinting? 480-858-7899

Requirement to Renew Annually

Tempe Off-Track Betting Licenses expire annually by June 30, but must be renewed, per Tempe City Code, by June 1 each year. It is unlawful to operate an Off-Track Betting business in Tempe with an expired license.  Renewal applications must be filed before a license expires.  Tempe Off-Track Betting Licenses are valid from July 1 - June 30.

Requirement to Pay Taxes

Double check your Transaction Privilege Tax (TPT or sales tax) to stay on the tax payment schedule established with the Arizona Department of Revenue. You must submit your required filings on-time on the 20th of each month for the previous month's revenues.  You must also renew your Transaction Privilege Tax every year before January 1 . You can access your account online at AZTaxes.gov link here:

Requirement to Keep Contact Information Up to Date

If an owner's information changes, the licensee must contact Tempe Tax & License to make the updates.  If there is a new owner being added to the license, then a new application for that person is required as well as the fingerprint and background check process.  There is no charge for the application.  There will be a fee for submitting new fingerprinting to Tempe Police for the background check.  

"Our mission is to provide quality service to all Tempe taxpayers, and administer the tax code in a fair and equitable manner."