Montana Secretary of State



NEW SECTION. Section 1. Lotteries by nonprofit corporations allowed – requirements – rulemaking. (1) A nonprofit corporation that complies with the requirements of this section may conduct a lottery for the purpose of acquiring or enhancing access to land and wildlife. The provisions of 23-5-413 do not apply to nonprofit corporations conducting a lottery under this section.

(2) A nonprofit corporation may not conduct a lottery without first obtaining a permit from the department. The nonprofit corporation shall submit an application for a permit on a form provided by the department. Permits to conduct lotteries shall be issued for 7 year time periods. Permits for lotteries shall allow nonprofits to conduct lotteries on an annual, quarterly, monthly, weekly or bi-weekly basis.

(3) In order to obtain a permit, the nonprofit corporation:

(a) must be established to do business in Montana;

(b) must be established for the purpose of acquiring or enhancing access to land and wildlife for the benefit of all citizens of this state; and

(c) shall restrict ticket sales and participation to persons located within the geographic confines of this state at the time of sale.

(4) The nonprofit corporation may not spend more than 18.5% of the funds raised by the lottery on administrative expenses that are not directly related to acquiring or enhancing access to land and wildlife.

(5) The nonprofit corporation shall submit an accounting of each lottery conducted within 30 days after the grand prize of each lottery has been won.

(6) The department shall adopt rules to implement the provisions of this section. The rules must include, but are not limited to, developing application forms and accounting and reporting requirements.

(7) The drawing must be held in a public location.

(8) No employee or officer of the nonprofit may play the nonprofit lottery.

NEW SECTION. Section 2. Codification instruction. Section 1 is intended to be codified as an integral part of Title 23, chapter 5, and the provisions of Title 23, chapter 5, apply to section 1.

NEW SECTION. Section 3. Effective date. This act is effective upon approval by the electorate.

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