ENGR. S. B. NO. 616 Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 ENGROSSED SENATE BILL NO. 616 By: Howard of the Senate and Kannady of the House An Act relating to lotteries; amending 21 O.S . 2021, Section 1051, which r elates to organizations permitted to issue tickets ; modifying requirements for certain tickets; modifying persons authorized to conduct raffles for qualified orga nization; updating statutory references; and providing an effecti ve date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 21 O.S. 2021, Section 1051, is amended to read as follows: Section 1051. A. A lottery is any scheme for the disposal or distribution of property by chance among persons wh o have paid, or promised, or agreed to pay any valuable consideration for the chance of obtaining such property, or a portion of it , or for any share of or interest in such property, upon any agreement, understanding or expectation that it is to be distrib uted or disposed of by a lot or chance, whether called a lottery, a r affle, or a gift enterprise, or by whatever name the same may be known. “Valuable consideration ” shall be construed to mean money or goods of actual pecuniary value. ENGR. S. B. NO. 616 Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Provided, it shall not be a violation of the lottery or g ambling laws of this state for: 1. The Oklahoma Lottery Commission to conduct a lottery pursuant to the provisions of the Oklahoma Education Lottery Act; 2. A bona fide resident merchant or merchants of a city or town, acting in conjunction with the Cham ber of Commerce or Commercial Club of this state thereof, to issue free of charge numbered tickets on sales of merchandise, the corresponding stub of one or more of which tickets to be drawn or chosen by lot by a representative or representatives of the Ch amber of Commerce or of the Commercial Club in the manner set forth on the tickets, the numbered stub or stubs so drawn to entitle the holder of the corresponding numbered issued ticket to a valuable prize donated by the merchant; 3. A bona fide community chest welfare fund on a militar y post or reservation to issue numbered tickets in conjunction with voluntary contributions to the fund, the corresponding stub or stubs of one or more of the tickets to be drawn by lot under the supervision of a military co mmander, the stub or stubs so dr awn entitling the ticket holder to a prize of some value. Pro vided, however, that no person shall sell tickets or receive contributions to the fund off the military reservation; 4. a. A qualified organization to raise funds by issuing numbered tickets in conjunction with voluntary ENGR. S. B. NO. 616 Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 contributions to the qualified org anization, the corresponding stub or stubs numbered ticket or tickets of one or more of the tickets to be drawn by lot under the supervision of an official of the qualified organization, the stub or stubs corresponding numbered ticket or tickets so drawn entitling the ticket holder to a prize. As used in this paragraph, “qualified organization” means: (1) a church, (2) a public or private school accredited by the State Department of Education or registered by the State Board of Education for purposes of participating in federal programs, (3) a student group or organization affiliated with a public or private school qualified pur suant to division (2) of this subparag raph, (4) a parent-teacher association or organization affiliated with a public or private sch ool qualified pursuant to division (2) of this subparagraph, (5) fire departments, (6) police departments, (7) organizations that are exempt from taxation pursuant to the provisions of subsectio n (c) of ENGR. S. B. NO. 616 Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Section 501 of the United States Internal Revenue Code, as amended, 26 U.S.C., Section 501(c) et seq., or (8) an “organization” as such term is defined in paragraph 20 of Sectio n 402 of Title 3A of the Oklahoma Statutes. b. Any raffle conducted by a qualified organization shall be conducted by employees or members of the qualified organization without compensation to any member or employees of a company as sociated with or an affi liate of the qualified organization, w hether paid or unpaid; provided, such persons shall not be provided with additional compensati on, incentives, or bonuses based on the number of tickets sold. The qualified organization shall not hire or contract with any person or business association, co rporation, partnership, limited partnership or limited liability company to conduct a raffle, to sell raffle ticke ts or to solicit contributions in connection with a raffle on behalf of the organization; 5. The Oklahoma Department of Wildlife Conservation to conduct controlled, draw, lo ttery or raffle hunts; or 6. Savings promotion raffle accoun ts or programs pursu ant to Section 1 of this act 908 of Title 6 of th e Oklahoma Statutes. ENGR. S. B. NO. 616 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 B. If the Oklahoma Education Lotte ry Act ceases to have the force and effect of law pursuant to Section 735 of Title 3A of the Oklahoma Statutes, the provisions of p aragraph 3 of subsection A of this section shall cease to ha ve the force and effect of law. SECTION 2. This act shall become effective November 1, 2023. Passed the Senate the 8th day of March, 2023. Presiding Officer of the Senate Passed the House of Representatives the ____ day of __________, 2023. Presiding Officer of the House of Representatives