This bill will have significant implications for how charitable organizations operate in Hawaii. Previously, the legal framework around fundraising activities was limited, and many online fundraising efforts could potentially fall under the definition of 'gambling' due to the nature of raffles. By expressly excluding online fundraising conducted by charitable organizations from the definition of gambling in the Hawaii penal code, the bill aims to streamline processes for these organizations, making it easier for them to raise funds while adhering to legal stipulations. This change is anticipated to bolster the financial sustainability of nonprofits during challenging economic conditions.
Summary
House Bill 97 is a legislative proposal that seeks to amend existing laws in the state of Hawaii regarding charitable organizations and their ability to conduct online fundraising events. The bill specifically allows for charitable organizations to hold online fundraising activities, including raffles, which can benefit the organization or a charitable cause. This amendment is aimed at accommodating the growing trend of digital fundraising, especially in the aftermath of the COVID-19 pandemic that has shifted many traditional fundraising efforts to online platforms.
Contention
While the bill has gained support for facilitating charitable activities and increasing funding avenues for organizations, it may face opposition from those concerned about the potential for misuse or lack of regulation in online gambling activities. Critics might argue that allowing online raffles could open doors to illegal gambling practices under the guise of charitable fundraising. The debate surrounding this bill could center on finding the right balance between supporting charitable organizations and ensuring robust regulatory measures to prevent the exploitation of the system.