Assigned to COM FOR COMMITTEE
ARIZONA STATE SENATE
Fifty-Fifth Legislature, Second Regular Session
FACT SHEET FOR S.B. 1066
raffles; nonprofits; length of existence
Purpose
Reduces, from five years to one year, the time period that a nonprofit organization is
required to exist in Arizona immediately before conducting a raffle.
Background
Current statute allows nonprofit organizations to conduct a raffle subject to the following
restrictions: 1) no person that is not a true local member of the sponsoring organization may
participate, directly or indirectly, in the management, sales or operation of the raffle; 2) nonprofit
organizations must be in existence in Arizona for at least five years immediately before conducting
a raffle; and 3) no member, officer, employee or agent of the nonprofit organization may receive
any direct or indirect monetary benefit other than being able to participate in the raffle on a basis
equal to all other participants (A.R.S. § 13-3302).
Nonprofit organizations under the U.S. Internal Revenue Code include charitable
organizations, churches and religious organizations, business leagues and chambers of commerce,
social and recreational clubs, civics leagues, social welfare organizations and other nonprofits (26
U.S.C.
§ 501).
There is no anticipated fiscal impact to the state General Fund associated with this
legislation.
Provisions
1. Reduces, from five years to one year, the time period that a nonprofit organization is required
to exist in Arizona immediately before conducting a raffle.
2. Makes technical changes.
3. Becomes effective on the general effective date.
Prepared by Senate Research
January 24, 2022
JT/CY/sr