AB401: Bill Text

LRB-3159/1

EAW:amn

2021 - 2022 LEGISLATURE

2021 Assembly BILL 401

June 14, 2021 - Introduced by Representatives Sortwell, Allen, Brandtjen, Brooks, Cabral-Guevara, Dittrich, Horlacher, Knodl, Murphy, L. Myers, Thiesfeldt, Tranel, Wichgers, Mursau and Tusler, cosponsored by Senators Bradley, Ballweg, Cowles, Felzkowski, Jacque, Marklein and Nass. Referred to Committee on State Affairs.

AB401,1,3 An Act to renumber 563.908; to amend 563.907 (1); and to create 563.908 (2) and (3) of the statutes; relating to: exempting 50/50 raffles from license requirements.

Analysis by the Legislative Reference Bureau

Under current law, certain local nonprofit, charitable, religious, or veteran's organizations may conduct a raffle after receiving a raffle license from the Department of Administration. This bill allows these organizations to conduct a 50/50 raffle without a license. Under the bill, a 50/50 raffle is a raffle in which a cash prize is awarded that is equal to one-half of the proceeds from ticket sales. Under the bill, an eligible organization does not need to obtain a license from DOA if the cash prize is $500 or less, if the ticket sales are limited to the organization's own membership, and if the organization complies with all other requirements for the conduct of raffles, including the requirements for raffles conducted under a Class B raffle license.

For further information see the state fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB401,1 Section 1. 563.907 (1) of the statutes is amended to read:

AB401,2,8 563.907 (1) Any local religious, charitable, service, fraternal or veterans organization or any organization to which contributions are deductible for federal income tax purposes or state income or franchise tax purposes, which has been in existence for one year immediately preceding its application for a license or date on which a raffle is conducted under s. 563.908 (3) or which is chartered by a state or national organization which has been in existence for at least 3 years, may conduct a raffle upon receiving a license for the raffle from the department in accordance with this subchapter. No other person may conduct a raffle in this state.

AB401,2 Section 2. 563.908 of the statutes is renumbered 563.908 (1).

AB401,3 Section 3. 563.908 (2) and (3) of the statutes are created to read:

AB401,2,12 563.908 (2) Except as provided under sub. (3), a qualified organization under s. 563.907 may not conduct a raffle unless it first receives a license under s. 563.92.

AB401,2,14 (3) A qualified organization under s. 563.907 that has not received a license under s. 563.92 may conduct a raffle if all of the following apply:

AB401,2,16 (a) The raffle tickets are offered for sale only to members of the qualified organization.

AB401,2,18 (b) The prize is a cash award equal to one-half of the ticket proceeds, rounded up to the nearest whole dollar.

AB401,2,19 (c) The prize does not exceed $500.

AB401,2,21 (d) The qualified organization complies with the requirements of s. 563.935 and all other applicable requirements of this subchapter.

AB401,2,22 (End)