S 0719 {Rat #157, Act #148 of 2020} General Bill, By Hembree, Fanning and Campsen

Similar(H 4353, H 4937)
 AN ACT TO AMEND SECTION 33-57-140, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA,
 1976, RELATING TO STANDARDS FOR RAFFLES CONDUCTED BY NONPROFIT ORGANIZATIONS,
 SO AS TO INCREASE THE MAXIMUM FAIR MARKET VALUE OF AN INDIVIDUAL PRIZE; TO
 AMEND SECTION 33-57-150, RELATING TO ALLOWABLE EXPENSES FOR A RAFFLE, SO AS TO
 ADJUST CERTAIN RECORDING REQUIREMENTS AND ALLOW A NONPROFIT ORGANIZATION TO
 SUBMIT A SINGLE REPORT FOR ALL RAFFLES CONDUCTED; AND TO REPEAL SECTION
 33-57-200 RELATING TO THE REPEAL OF CHAPTER 57, TITLE 33. - ratified title
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   03/28/19  Senate Introduced and read first time (Senate Journal-page 2)
   03/28/19  Senate Referred to Committee on Judiciary
                     (Senate Journal-page 2)
   02/07/20  Senate Referred to Subcommittee:  Campsen (ch), Massey,
                     McElveen, Fanning, Loftis
   03/04/20  Senate Committee report: Favorable with amendment
                     Judiciary (Senate Journal-page 17)
   03/05/20         Scrivener's error corrected
   03/10/20  Senate Committee Amendment Adopted (Senate Journal-page 50)
   03/10/20  Senate Read second time (Senate Journal-page 50)
   03/10/20  Senate Roll call Ayes-42  Nays-0 (Senate Journal-page 50)
   03/11/20         Scrivener's error corrected
   03/11/20  Senate Read third time and sent to House
                     (Senate Journal-page 17)
   03/19/20  House  Introduced and read first time (House Journal-page 24)
   03/19/20  House  Referred to Committee on Ways and Means
                     (House Journal-page 24)
   05/12/20  House  Recalled from Committee on Ways and Means
   09/15/20  House  Read second time (House Journal-page 110)
   09/15/20  House  Roll call Yeas-103  Nays-0 (House Journal-page 110)
   09/16/20  House  Reconsidered (House Journal-page 5)
   09/16/20  House  Amended (House Journal-page 7)
   09/16/20  House  Read second time (House Journal-page 7)
   09/16/20  House  Roll call Yeas-112  Nays-0 (House Journal-page 7)
   09/22/20         Scrivener's error corrected
   09/22/20  House  Read third time and returned to Senate with
                     amendments (House Journal-page 22)
   09/22/20  Senate Concurred in amendment (Senate Journal-page 11)
   09/22/20  Senate Roll call Ayes-40  Nays-0 (Senate Journal-page 11)
   09/22/20  Senate Ordered enrolled for ratification
                     (Senate Journal-page 11)
   09/25/20         Ratified R  157
   09/28/20         Signed By Governor
   10/02/20         Effective date  09/28/20
   10/02/20         Act No.  148

(A148, R157, S719)

AN ACT TO AMEND SECTION 33-57-140, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO STANDARDS FOR RAFFLES CONDUCTED BY NONPROFIT ORGANIZATIONS, SO AS TO INCREASE THE MAXIMUM FAIR MARKET VALUE OF AN INDIVIDUAL PRIZE; TO AMEND SECTION 33-57-150, RELATING TO ALLOWABLE EXPENSES FOR A RAFFLE, SO AS TO ADJUST CERTAIN RECORDING REQUIREMENTS AND ALLOW A NONPROFIT ORGANIZATION TO SUBMIT A SINGLE REPORT FOR ALL RAFFLES CONDUCTED; AND TO REPEAL SECTION 33-57-200 RELATING TO THE REPEAL OF CHAPTER 57, TITLE 33.

Be it enacted by the General Assembly of the State of South Carolina:

Raffle prize value increased

SECTION    1.    Section 33-57-140(L) of the 1976 Code is amended to read:

"(L)    An individual prize awarded to each winner in a raffle shall not exceed a maximum fair market value of eighty thousand dollars. No real property shall be offered as a prize in a raffle. For each raffle event, the total fair market value of all prizes offered by any nonprofit organization shall not exceed three hundred thousand dollars."

Raffle allowable expenses

SECTION    2.    Section 33-57-150 of the 1976 Code is amended to read:

"Section 33-57-150.    (A)    Expenses that are reasonable and necessary to operate and conduct raffles, as authorized by this chapter, are allowable.

(B)    Allowable expenses include only reasonable and necessary expenses incurred for:

(1)    advertising, including the cost of printing raffle tickets and gift certificates, provided that costs of advertising are reasonable and the services are not provided, directly or indirectly, in connection with any other service related to operating or conducting a nonprofit raffle regardless of whether those services are compensated;

(2)    office supplies, copying, and minor office equipment costs incurred in conducting or operating a nonprofit raffle;

(3)    reasonable postage, parking, and shipping costs;

(4)    costs of food and beverages, including corkage and gratuity fees, provided to the attendees and volunteers of the event;

(5)    costs of materials and supplies for decorating a facility used for a nonprofit raffle drawing;

(6)    entertainment-related costs, such as disc jockeys, music bands, auctioneers, waiters, bartenders, and wait staff incurred during the conducting or operating of a nonprofit raffle drawing;

(7)    repairs to premises and equipment related to conducting or operating a nonprofit raffle;

(8)    door prizes or raffle prizes;

(9)    stated premises' rental or insurance expenses;

(10)    security expenses incurred in conducting or operating a nonprofit raffle;

(11)    bookkeeping, accounting, or legal services utilized in connection with a nonprofit raffle including, but not limited to, the registration fees and the required financial reports;

(12)    permit costs, fees, or taxes required by local or state government to conduct and operate a nonprofit raffle; and

(13)    janitorial services and supplies incurred in conducting or operating a nonprofit raffle.

(C)    A report shall be submitted annually to the secretary no later than the fifteenth day of the fifth month after the end of the nonprofit organization's fiscal year. The report must be signed under penalty of perjury and must contain the following information for each raffle conducted within the preceding year:

(1)    the amount of the gross receipts;

(2)    the amount of adjusted gross receipts;

(3)    the total amount of expenses incurred in conducting the raffle;

(4)    the amount of the net receipts;

(5)    the total value of cash prizes awarded;

(6)    the total value of noncash prizes awarded; and

(7)    the number of tickets sold.

(D)    A nonprofit organization that has affiliates or subsidiaries that are registered to conduct raffles pursuant to the provisions of this chapter may submit a single report that contains all of the required information for each raffle conducted by the affiliate or subsidiary to the secretary provided that the report is submitted in a format authorized by the secretary.

(E)    Records required by this chapter shall be preserved for three years, and organizations shall make available their records relating to operations of raffles at any time at the request of a member of the organization, or investigators from the secretary or from law enforcement. For each raffle conducted, the nonprofit organization must maintain records of the following information:

(1)    a list of prizes offered and given with an estimate of their respective values;

(2)    an itemized list of expenses incurred or paid, including the name of each person, company, or governmental entity to whom an expense was paid;

(3)    each item of an expenditure made or to be made, with a detailed description of the merchandise purchased or the services rendered, and the name of each person, company, or governmental entity to whom the expenditure is to be made; and

(4)    the use to which the net receipts have been applied.

(F)    No new registration shall be issued to an organization that fails to file its report as required by this section until all reports are filed, and the secretary has confirmed that the information in the reports is in compliance with the provisions of this chapter. An organization that fails to file a timely annual report required by this section may be assessed by the secretary administrative fines of ten dollars for each day of noncompliance for each delinquent report not to exceed two thousand dollars for each separate violation. In addition to the assessed fines, the secretary may revoke an organization's registration for failure to file an annual report and bring an action before an administrative law judge to enjoin the organization from conducting raffles until the required reports are filed with the secretary."

Repeal

SECTION    3.    A. Section 33-57-200 of the 1976 Code is repealed.

B.    This SECTION takes effect upon approval by the Governor. The provisions of Chapter 57, Title 33 of the 1976 Code, as they existed on June 30, 2020, are reenacted. The reenactment discharges, releases, and extinguishes any penalty, forfeiture, or liability incurred after July 1, 2020, but before the effective date of this SECTION. This SECTION shall continue to apply until such time as Chapter 57, Title 33, or parts thereof, are otherwise repealed, mutatis mutandis.

Time effective

SECTION    4.    This act takes effect upon approval by the Governor.

Ratified the 25th day of September, 2020.

Approved the 28th day of September, 2020.