Texas 2015 - 84th Regular

Texas Senate Bill SB898 Compare Versions

Version 1 (Old)

Version 2 (New)

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1	1	By: Fraser S.B. No. 898
2	2	(In the Senate - Filed March 3, 2015; March 9, 2015, read
3	3	first time and referred to Committee on Natural Resources and
4	4	Economic Development; April 1, 2015, reported favorably by the
5	5	following vote: Yeas 7, Nays 3; April 1, 2015, sent to printer.)
6	6	Click here to see the committee vote
7	7
8	8
9	9	A BILL TO BE ENTITLED
10	10	AN ACT
11	11	relating to charitable raffles conducted by certain professional
12	12	sports team charitable foundations; providing penalties.
13	13	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
14	14	SECTION 1. Subtitle A, Title 13, Occupations Code, is
15	15	amended by adding Chapter 2004 to read as follows:
16	16	CHAPTER 2004. PROFESSIONAL SPORTS TEAM CHARITABLE
17	17	FOUNDATION RAFFLES
18	18	Sec. 2004.001. SHORT TITLE. This chapter may be cited as
19	19	the Professional Sports Team Charitable Foundation Raffle Enabling
20	20	Act.
21	21	Sec. 2004.002. DEFINITIONS. In this chapter:
22	22	(1) "Charitable purposes" has the meaning assigned by
23	23	Section 2002.002.
24	24	(2) "Professional sports team" means a team organized
25	25	in this state that is a member of Major League Baseball, the
26	26	National Basketball Association, the National Hockey League, the
27	27	National Football League, or Major League Soccer.
28	28	(3) "Professional sports team charitable foundation"
29	29	means an organization that:
30	30	(A) holds a certificate of formation under the
31	31	Business Organizations Code or is otherwise incorporated under the
32	32	laws of this state;
33	33	(B) is associated with a professional sports
34	34	team; and
35	35	(C) is formed for charitable purposes.
36	36	(4) "Raffle" has the meaning assigned by Section
37	37	2002.002.
38	38	Sec. 2004.003. QUALIFICATIONS TO CONDUCT RAFFLE. A
39	39	professional sports team charitable foundation is qualified to
40	40	conduct charitable raffles under this chapter if the foundation:
41	41	(1) is associated with a professional sports team with
42	42	a home venue located in this state;
43	43	(2) does not distribute any of its income to its
44	44	members, officers, or governing body, other than as reasonable
45	45	compensation for services;
46	46	(3) has existed for at least the three years preceding
47	47	the conduct of a raffle under this chapter;
48	48	(4) does not devote a substantial part of its
49	49	activities to attempting to influence legislation and does not
50	50	participate or intervene in any political campaign on behalf of any
51	51	candidate for public office in any manner, including by publishing
52	52	or distributing statements or making campaign contributions;
53	53	(5) qualifies for and has obtained an exemption from
54	54	federal income tax from the Internal Revenue Service as a
55	55	charitable organization described in Section 501(c)(3), Internal
56	56	Revenue Code of 1986; and
57	57	(6) does not have or recognize any local chapter,
58	58	affiliate, unit, or subsidiary organization in this state.
59	59	Sec. 2004.004. RAFFLE AUTHORIZED; TICKET SALES. (a) A
60	60	professional sports team charitable foundation that meets the
61	61	qualifications under Section 2004.003 may conduct a charitable
62	62	raffle during each preseason, regular season, and postseason game
63	63	hosted at the home venue of the professional sports team associated
64	64	with the foundation to provide revenue for the foundation's
65	65	charitable purposes.
66	66	(b) A professional sports team charitable foundation
67	67	authorized to conduct a raffle under this section may award to a
68	68	raffle winner selected by random draw a cash prize in an amount not
69	69	to exceed 50 percent of the gross proceeds collected from the sale
70	70	of raffle tickets.
71	71	(c) Only employees or volunteers of the professional sports
72	72	team charitable foundation or the professional sports team
73	73	associated with the foundation may sell raffle tickets for a
74	74	charitable raffle conducted under this chapter.
75	75	(d) Only persons 18 years of age or older may purchase
76	76	raffle tickets in a charitable raffle conducted under this chapter.
77	77	Sec. 2004.005. TICKET DISCLOSURES. The following
78	78	information must be printed on each raffle ticket sold or offered
79	79	for sale under this chapter:
80	80	(1) the name of the raffle for which the ticket is
81	81	offered for sale and the sales station at which the ticket was
82	82	purchased;
83	83	(2) the date on which the random draw to determine the
84	84	winner of the raffle will occur and the manner in which the winning
85	85	ticket for the raffle will be announced;
86	86	(3) the procedure and location for claiming a prize;
87	87	(4) the time allowed for a prize winner to claim a
88	88	prize; and
89	89	(5) the logo of the professional sports team
90	90	charitable foundation, the logo of the professional sports team
91	91	associated with the foundation, or both.
92	92	Sec. 2004.006. USE OF RAFFLE PROCEEDS. All proceeds from
93	93	the sale of raffle tickets less the amounts deducted for reasonable
94	94	operating expenses and cash prizes must be used for the charitable
95	95	purposes of the professional sports team charitable foundation.
96	96	Sec. 2004.007. REASONABLE OPERATING EXPENSES. (a) For
97	97	each raffle conducted under this chapter, a professional sports
98	98	team charitable foundation may deduct not more than 10 percent of
99	99	the gross proceeds collected from the sale of tickets for the raffle
100	100	to pay the reasonable operating expenses of conducting the raffle.
101	101	(b) For purposes of this chapter, reasonable operating
102	102	expenses include:
103	103	(1) promotion, advertisements, charitable foundation
104	104	fund-raising events, equipment, and administrative expenses; and
105	105	(2) purchase, lease, or licensing fees for the
106	106	equipment, hardware, and software necessary to:
107	107	(A) sell raffle tickets to raffle participants;
108	108	(B) conduct random drawings to select prize
109	109	winners; and
110	110	(C) continuously calculate the number of ticket
111	111	sales, amount of money collected, amount of cash prize to be
112	112	awarded, amount of money raised for charitable purposes, and amount
113	113	of gross ticket sales that may be deducted for reasonable operating
114	114	expenses.
115	115	Sec. 2004.008. CRIMINAL PENALTIES. (a) A person commits
116	116	an offense if the person accepts any form of payment other than
117	117	United States currency for the purchase of a raffle ticket for a
118	118	charitable raffle conducted under this chapter.
119	119	(b) A person commits an offense if the person sells or
120	120	offers to sell a raffle ticket for a charitable raffle conducted
121	121	under this chapter to an individual that the person knows to be
122	122	younger than 18 years of age.
123	123	(c) A person commits an offense if the person purchases a
124	124	raffle ticket for a charitable raffle conducted under this chapter
125	125	with the proceeds of a check issued as a payment under the financial
126	126	assistance program administered under Chapter 31, Human Resources
127	127	Code.
128	128	(d) A person commits an offense if the person misrepresents
129	129	the person's age or displays fraudulent evidence that the person is
130	130	18 years of age or older in order to purchase a raffle ticket for a
131	131	charitable raffle conducted under this chapter.
132	132	(e) An offense under this section is a Class C misdemeanor.
133	133	Sec. 2004.009. INJUNCTIVE ACTION AGAINST UNAUTHORIZED
134	134	RAFFLE. (a) A county attorney, district attorney, criminal
135	135	district attorney, or the attorney general may bring an action in
136	136	county or district court for a permanent or temporary injunction or
137	137	a temporary restraining order prohibiting conduct involving a
138	138	raffle or similar procedure that:
139	139	(1) violates or threatens to violate state law
140	140	relating to gambling; and
141	141	(2) is not authorized by this chapter, Chapter 2002,
142	142	or other law.
143	143	(b) Venue for an action under this section is in the county
144	144	in which the conduct occurs or in which a defendant in the action
145	145	resides.
146	146	SECTION 2. Section 47.02(c), Penal Code, is amended to read
147	147	as follows:
148	148	(c) It is a defense to prosecution under this section that
149	149	the actor reasonably believed that the conduct:
150	150	(1) was permitted under Chapter 2001, Occupations
151	151	Code;
152	152	(2) was permitted under Chapter 2002, Occupations
153	153	Code;
154	154	(3) was permitted under Chapter 2004, Occupations
155	155	Code;
156	156	(4) consisted entirely of participation in the state
157	157	lottery authorized by the State Lottery Act (Chapter 466,
158	158	Government Code);
159	159	(5) [(4)] was permitted under the Texas Racing Act
160	160	(Article 179e, Vernon's Texas Civil Statutes); or
161	161	(6) [(5)] consisted entirely of participation in a
162	162	drawing for the opportunity to participate in a hunting, fishing,
163	163	or other recreational event conducted by the Parks and Wildlife
164	164	Department.
165	165	SECTION 3. Section 47.09(a), Penal Code, is amended to read
166	166	as follows:
167	167	(a) It is a defense to prosecution under this chapter that
168	168	the conduct:
169	169	(1) was authorized under:
170	170	(A) Chapter 2001, Occupations Code;
171	171	(B) Chapter 2002, Occupations Code; [or]
172	172	(C) Chapter 2004, Occupations Code; or
173	173	(D) the Texas Racing Act (Article 179e, Vernon's
174	174	Texas Civil Statutes);
175	175	(2) consisted entirely of participation in the state
176	176	lottery authorized by Chapter 466, Government Code; or
177	177	(3) was a necessary incident to the operation of the
178	178	state lottery and was directly or indirectly authorized by:
179	179	(A) Chapter 466, Government Code;
180	180	(B) the lottery division of the Texas Lottery
181	181	Commission;
182	182	(C) the Texas Lottery Commission; or
183	183	(D) the director of the lottery division of the
184	184	Texas Lottery Commission.
185	185	SECTION 4. This Act takes effect January 1, 2016, but only
186	186	if the constitutional amendment proposed by the 84th Legislature,
187	187	Regular Session, 2015, authorizing the legislature to permit
188	188	professional sports team charitable foundations to conduct
189	189	charitable raffles is approved by the voters. If that amendment is
190	190	not approved by the voters, this Act has no effect.
191	191	* * * * *