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House of Representatives

File No. 801

General Assembly

 

January Session, 2017

(Reprint of File No. 282)

House Bill No. 6041

 

As Amended by House Amendment

Schedule "A"

Approved by the Legislative Commissioner

May 26, 2017

AN ACT PERMITTING NONPROFIT ORGANIZATIONS TO SELL RAFFLE TICKETS ONLINE.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 7-172 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2017):

No bazaar or raffle may be promoted, operated or conducted in any municipality after the adoption of the provisions of sections 7-170 to 7-186, inclusive, unless it is sponsored and conducted exclusively by (1) an officially recognized organization or association of veterans of any war in which the United States has been engaged, (2) a church or religious organization, (3) a civic, service or social club, (4) a fraternal or fraternal benefit society, (5) an educational or charitable organization, (6) an officially recognized volunteer fire company, (7) a political party or town committee thereof, or (8) a municipality acting through a committee designated to conduct a celebration of the municipality's founding on its hundredth anniversary or any multiple thereof. Any such sponsoring organization, except a committee designated pursuant to subdivision (8) of this section, shall have been organized in good faith and actively functioning as a nonprofit organization within the municipality that is to issue the permit for a period of not less than six months prior to its application for a permit under the provisions of said sections. The promotion and operation of a bazaar or raffle shall be confined solely to the qualified members of the sponsoring organization, provided a committee designated pursuant to subdivision (8) of this section may promote or operate through its members and any officially appointed volunteers. No such member or officially appointed volunteer in the case of a raffle held pursuant to subdivision (8) of this section may receive remuneration in any form for time or effort devoted to the promotion or operation of the bazaar or raffle. No person under the age of eighteen years may promote, conduct, operate or work at a bazaar or raffle and no person under the age of sixteen years may sell or promote the sale of any raffle tickets, nor shall any sponsoring organization permit any person under the age of eighteen to so promote, conduct or operate any bazaar or raffle or any person under the age of sixteen to sell or promote the sale of such tickets. Any sponsoring organization having received a permit from any municipality may (A) sell or promote the sale of such raffle tickets in that municipality and in any other town, city or borough which has adopted the provisions of sections 7-170 to 7-186, inclusive, or (B) mail such raffle tickets to any resident of that municipality or of any other town, city or borough which has adopted the provisions of sections 7-170 to 7-186, inclusive, provided any such mailed raffle ticket is printed with the words "no purchase necessary to enter the raffle". Any such sponsoring organization may promote its raffle by offering coupons to any person who purchases a raffle ticket. Such sponsoring organization may accept a credit card, debit card, check or cash as payment for a raffle ticket. Any such sponsoring organization, except a committee designated pursuant to subdivision (8) of this section, may sell or promote the sale of such raffle tickets on such sponsoring organization's Internet web site. In no event shall any sponsoring organization conduct or operate an online raffle. All funds derived from any bazaar or raffle shall be used exclusively for the purpose stated in the application of the sponsoring organization as provided in section 7-173.

This act shall take effect as follows and shall amend the following sections:

Section 1

October 1, 2017

7-172

The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.


OFA Fiscal Note

State Impact: None

Municipal Impact: None

Explanation

The bill, which allows nonprofits to sell raffle tickets online but prohibits them from conducting a raffle online, has no fiscal impact to the state or municipalities.

House “A” prohibits nonprofits from selling raffle tickets online. This has no fiscal impact.

The Out Years

State Impact: None

Municipal Impact: None

OLR Bill Analysis

HB 6041 (as amended by House "A")*

AN ACT PERMITTING NONPROFIT ORGANIZATIONS TO SELL RAFFLE TICKETS ONLINE.

SUMMARY

This bill allows organizations qualified to conduct bazaars or raffles to sell or promote the sale of raffle tickets on their website. It specifically prohibits any sponsoring organization from conducting or operating an online raffle.

The bill applies to the following organizations conducting bazaars or raffles under a permit in a municipality that has adopted the Bazaar and Raffle Act: veterans', religious, civic, fraternal, educational, and charitable organizations; volunteer fire companies; and political parties and their town committees. It does not apply to sponsoring municipalities acting through a designated centennial, bicentennial, or other centennial celebration committee.

*House Amendment “A” specifically prohibits sponsoring organizations from conducting or operating an online raffle.

EFFECTIVE DATE: October 1, 2017

BACKGROUND

Federal Wire Act

A 2011 U.S. Department of Justice (DOJ) opinion concluded that the federal Wire Act's anti-gambling provisions apply only to Internet transmissions that relate to “sporting events or contests.” The DOJ thus reversed its long-standing interpretation of the act that all forms of Internet gambling are illegal, contending that this new interpretation is more in line with congressional intent.

A DOJ opinion is a written interpretation of existing law. It is not binding or controlling on the courts. An opinion can also change from one attorney general to another.

Related Bills

sSB 191 (File 197), reported favorably by the General Law Committee, and HB 7137, reported favorably by the Public Safety and Security Committee, generally transfers the Department of Consumer Protection's charitable gaming (including bazaar and raffles) investigation, oversight, and permitting functions to the municipality where the games are held.

COMMITTEE ACTION

Public Safety and Security Committee

Joint Favorable

Yea

23

Nay

2

(03/15/2017)

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