Section 99B.25. Electronic raffles.

  1.  A qualified organization with a two-year qualified organization license may conduct a raffle using an electronic raffle system, if the qualified organization complies with the requirements of section 99B.24 and this section.

  2.  The licensed qualified organization shall only use an electronic raffle system purchased from a manufacturer or distributor licensed pursuant to section 99B.32 and certified by an entity approved by the department. The electronic raffle system may include stationary and portable or wireless raffle sales units.

  3.  A licensed qualified organization shall hold only one raffle using an electronic raffle system per calendar day. A licensed qualified organization shall not hold a very large raffle using an electronic raffle system and may hold only one large raffle using an electronic raffle system per calendar year. A large raffle conducted using an electronic raffle system counts toward the limit of one large raffle per calendar year under section 99B.24, subsection 1, paragraph “f”.

  4.  Except for a large raffle conducted using an electronic raffle system, the prize for an electronic raffle shall be limited to the amount allowed for a small raffle.

  5.  Entries for a raffle using an electronic raffle system shall not be preprinted and shall be provided to the purchaser at the time of sale.

  6.  The electronic raffle receipt shall contain the following information:

  a.  The name of the licensed qualified organization.

  b.  The license identification number of the qualified organization.

  c.  The location, date, and time of the corresponding raffle drawing.

  d.  The unique printed entry number, or multiple entry numbers, of the raffle entry.

  e.  The price of the raffle entry.

  f.  An explanation of the prize to be awarded.

  g.  The statement, “Need not be present to win”, and the contact information, including name, telephone number, and electronic mail address, of the individual from the qualified organization responsible for prize disbursements.

  h.  The date by which the prize shall be claimed which shall be no fewer than fourteen days following the drawing.

  7.  Each electronic raffle entry shall reflect a single unique printed entry number on the entry.

  8.  The licensed qualified organization shall use a manual draw procedure for the electronic raffle which ensures a draw number is randomly selected as a winner from the entries sold.

  a.  The winning entry shall be verified as a sold and valid entry prior to awarding the prize.

  b.  The drawing of the winning entry shall be done in such manner as to allow the purchasers to observe the drawing.

  9.  If the prize is not claimed, the licensed qualified organization shall donate the unclaimed prize to an educational, civic, public, charitable, patriotic, or religious use.

  10.  The department may determine any other requirements for conducting an electronic raffle by rule.

2015 Acts, ch 99, §38

NEW section