1.1 	A bill for an act
1.2 	relating to state government; expanding permitted uses of raffle receipts for high 
1.3 	school activities;amending Minnesota Statutes 2018, section 609.761, subdivision 
1.4 	5.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. Minnesota Statutes 2018, section 609.761, subdivision 5, is amended to read:
1.7 		Subd. 5.High school raffles. Sections 609.755 and 609.76 do not prohibit a raffle, as 
1.8 	defined in section 349.12, subdivision 33, conducted by a school district or a nonprofit 
1.9 	organization organized primarily to support programs of a school district, if the following 
1.10 	conditions are complied with:
1.11 	(1) tickets for the 50/50 cash only raffle may only be sold and the drawing conducted 
1.12 	at a high school event sponsored by a school district and at a school district location. All 
1.13 	tickets must be sold for the same price;
1.14 	(2) the school board has authorized the organization or district to conduct 50/50 raffles 
1.15 	at the event or series of events;
1.16 	(3) the organization reports to the school board, within 30 days of each raffle, the gross 
1.17 	receipts, prizes, and expenses of the raffle;
1.18 	(4) all 50/50 high school raffle tickets must be sold independently and not in conjunction 
1.19 	with any other fund-raising activity sponsored by the high school, sponsoring organization, 
1.20 	or other organization or person;
1.21 	(2) (5) tickets may only be sold to persons 18 years of age or older attending the event;
1.22 	(3) (6) the drawing must be held during or immediately after the conclusion of the event;
2.1 	(4) (7) one-half of the gross receipts from the sale of tickets must be awarded as prizes
2.2 	in cash prizes for the raffle, and the remaining one-half may only be expended to defray the 
2.3 	school district's costs of sending event participants to high school activities held at other 
2.4 	locations approved by the school board; and
2.5 	(5) (8) if a school district's or nonprofit organization's gross receipts from the conduct 
2.6 	of raffles exceeds $12,000 in a calendar year or $5,000 in a single raffle, the school district 
2.7 	or organization must report the following information to the Gambling Control Board 
2.8 	annually: the total amount of gross receipts received, the total expenses for the raffles, the 
2.9 	total prizes awarded, and an accounting of the expenditures from the gross receipts of the 
2.10 	raffles.;
2.11 	(9) if the organization fails to file a timely report as required in clause (8), the school 
2.12 	board may refuse to issue any authorization to the organization to conduct any future raffle 
2.13 	until the report has been filed and the organization may be subject to penalty as determined 
2.14 	by the school board. The school board may refuse to issue any authorization if a report is 
2.15 	determined to be incomplete or knowingly contains false or inaccurate information; and
2.16 	(10) merchandise prizes are not allowed under this subdivision.