§ 67-7710 — RAFFLES — DUCK RACES

(1) It is lawful for any charitable or nonprofit organization to conduct raffles in accordance with the provisions of this chapter. Any charitable or nonprofit organization or any person that conducts a raffle in violation of any provision of this chapter may be assessed a civil penalty not in excess of ten thousand dollars ($10,000) per violation. Additionally, any person knowingly conducting a raffle in violation of any provision of this chapter or rule of the state lottery commission may be charged under the gambling laws of the state contained in chapter 38, title 18, Idaho Code, and may be assessed a civil penalty by the lottery not in excess of ten thousand dollars ($10,000) per violation. It shall not constitute a violation of state law to advertise a charitable raffle conducted pursuant to this section. It is lawful to participate in a charitable raffle conducted pursuant to this chapter. A charitable raffle conducted lawfully pursuant to this chapter is not gambling for purposes of chapter 38, title 18, Idaho Code.
(2) Raffle drawings must be held in Idaho and shall be limited to twelve (12) per charitable or nonprofit organization per year, provided that this limitation shall not apply to public or private elementary schools, secondary schools or higher education institutions located in this state. The maximum aggregate value of cash prize(s) that may be offered or paid for any one (1) raffle, which is not a duck race is one thousand dollars ($1,000) and if merchandise is used as a prize and it is not redeemable for cash, there shall be no limit on the maximum amount of value for the merchandise. For duck races, there shall be no limit on the maximum amount of the value of a cash prize if the cash prize is underwritten by insurance. If a duck race offers a cash prize that is not underwritten by insurance, the maximum aggregate value of the cash prize(s) is one thousand dollars ($1,000). There shall be no limit on the maximum of value for merchandise used as a prize in a duck race if the merchandise is not redeemable for cash.
(3) As used in this subsection, "net proceeds of a charitable raffle" means the gross receipts less the cost of prizes awarded. "Net proceeds of a duck race" shall mean gross receipts, less the cost of prizes awarded and the rental cost of the ducks used in the race. No less than eighty percent (80%) of the net proceeds of a raffle shall be used by the charitable or nonprofit organization for charitable, religious, educational, civic or other charitable purposes.
(4) Any licensed charitable or nonprofit organization conducting raffles pursuant to this chapter shall prepare a statement at the close of its license year and shall file such statement with the state lottery. The statement shall be prepared on a form prescribed by the lottery commission and shall include, at a minimum, the following information:
(a) The number of raffles conducted or sponsored by the charitable or nonprofit organization;
(b) The location and date at which each raffle was conducted;
(c) The gross revenues of each raffle;
(d) The fair market value of any prize given at each raffle;
(e) The amount paid in prizes at each raffle;
(f) The amount paid to the charitable or nonprofit organization;
(g) An accounting of all gross revenues and the disbursements required by statute and rule of the state lottery commission that shall be retained in the organization’s records for a period of five (5) years.
(5) Every charitable or nonprofit organization whose annual gross revenues exceed two hundred thousand dollars ($200,000) from the operation of raffle events shall provide the state lottery with a copy of an annual audit of the raffle events. The audit shall be performed by a certified public accountant who is licensed in the state of Idaho and who meets the peer review requirements set forth by the Idaho state board of accountancy. The audit shall be submitted to the Idaho state lottery within ninety (90) days after the end of the license year.

Legislative History

[(67-7710) 67-7706, added 1993, ch. 391, sec. 2, p. 1451; am. 1994, ch. 281, sec. 4, p. 878; am. and redesig. 1995, ch. 350, sec. 9, p. 1158; am. 1996, ch. 382, sec. 6, p. 1299; am. 1999, ch. 134, sec. 1, p. 380; am. 2000, ch. 340, sec. 8, p. 1141; am. 2005, ch. 356, sec. 2, p. 1127; am. 2012, ch. 259, sec. 2, p. 721; am. 2013, ch. 251, sec. 8, p. 617.]