ASSEMBLY, No. 2638

 

STATE OF NEW JERSEY

 

INTRODUCED JANUARY 9, 1997

 

 

By Assemblyman AZZOLINA

 

 

An Act concerning the conduct of raffles and amending and supplementing P.L.1954, c.5.

 

    Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

    1. (New section) The Legislature finds and declares that it is the purpose of this act to assist charitable, civic and service organizations, including volunteer fire companies, first-aid squads, church organizations, school groups, veterans' organizations and senior citizen clubs, in conducting raffles to raise funds for educational, charitable, patriotic, religious and public-spirited purposes.

 

    2. Section 10 of P.L.1954, c.5 (C.5:8-59) is amended to read as follows:

    10. a. No person under the age of 18 years shall be permitted to participate in any manner in any game or games of chance not conducted by a drawing, except that a person under the age of 18 years shall be permitted to play a game of chance not conducted by a drawing when the prize offered and awarded consists of merchandise [only and does not include] or consists of cash or money in an amount not in excess of $20.

    b. No person under the age of 18 years shall be permitted to participate in any manner in any game or games of chance conducted by a drawing, held, operated or conducted pursuant to any license issued under this act, except that a person under the age of 18 years shall be permitted to play an on-premises draw raffle, including a Chinese auction, when any prize offered and awarded consists of merchandise only.

(cf: P.L.1994, c.63, s.16)

 

    3. (New section) A qualified organization which is authorized and licensed to conduct raffles pursuant to the "Raffles Licensing Law," P.L.1954, c.5 (C.5:8-50 et seq.), may conduct a Chinese auction on up to two occasions in each calendar year, except that the Legalized Games of Chance Control Commission may provide, by regulation, that such organizations may conduct Chinese auctions on more than two occasions per calendar year.

 

    4. (New section) As used in P.L.1954, c.5 (C.5:8-50 et seq.), as amended and supplemented, "Chinese auction" means an event at which multiple items of merchandise, or gift certificates therefor, but not cash, are raffled by drawing the winning ticket from a container designated for each item into which players seeking to win that item have placed tickets, with all tickets having been sold for the same price or different prices and each ticket placed in a container having an equal chance of winning.

 

    5. (New section) The Legalized Games of Chance Control Commission shall promulgate regulations allowing qualified organizations to:

    a. offer as a raffle prize any personal or professional service, or a gift certificate for any personal or professional service, which is a lawful activity and which the commission determines to be an appropriate raffle prize;

    b. offer as a raffle prize any live animal the possession of which does not require a permit issued by the Department of Environmental Protection;

    c. offer a discount to any person purchasing two or more tickets for a draw raffle; and

    d. use a big eight wheel to determine the winner of a non-draw raffle.

 

    6. (New section) The Legalized Games of Chance Control Commission shall prepare, publish and make available to any qualified organization, upon request, a pamphlet which describes in plain and simple language the rights, duties and responsibilities of organizations conducting raffles and the exact manner in which games of chance are to be conducted.

 

    7. (New section) Prior to initiating administrative action or bringing charges against an organization qualified to conduct raffles for a violation which relates to the conduct of games or the awarding of prizes, the Legalized Games of Chance Control Commission shall first issue a verbal or written warning and offer the organization the opportunity to cease the conduct which constitutes the violation.

 

    8. This act shall take effect immediately.


STATEMENT

 

    The purpose of this bill is to to assist charitable, civic and service organizations, including volunteer fire companies, first-aid squads, church organizations, school groups, veterans' organizations and senior citizen clubs, in conducting raffles to raise funds for educational, charitable, patriotic, religious and public-spirited purposes.

    The bill would make several changes to the existing law. It would allow a qualified organization to conduct a Chinese auction on up to two occasions each calendar year, except that the Legalized Games of Chance Control Commission could, by regulation, allow Chinese auctions to be held at more frequent intervals. A Chinese auction is an event at which multiple items of merchandise are raffled by drawing a winning ticket from a container designated for each item. Players purchase tickets and place one or more tickets in the container designated for each item they wish to win.

    In addition, the bill directs the commission to promulgate regulations allowing qualified organizations to: (1) offer as a raffle prize certain personal or professional services (or a gift certificate therefor) and live animals not requiring a Department of Environmental Protection permit; (2) offer a discount to any person purchasing two or more tickets for a draw raffle; and (3) use a big eight wheel to determine the winner of a non-draw raffle. The bill would also allow persons under the age of 18 to: (1) play a non-draw raffle awarding a cash prize not in excess of $20; and (2) play an on-premises draw raffle, including a Chinese auction, when any prize offered and awarded consists of merchandise only.

    Finally, the bill provides that the commission shall: (1) prepare, publish and make available to any qualified organization, upon request, a pamphlet which describes in plain and simple language the rights, duties and responsibilities of organizations conducting raffles and the exact manner in which games of chance are to be conducted; and (2) prior to initiating administrative action or bringing charges for a violation which relates to the conduct of games or the awarding of prizes, issue a verbal or written warning and offer the organization the opportunity to cease the conduct which constitutes a violation.

 

 

                             

Makes various changes to the laws governing the conduct of raffles.