Enrolled Bill Summary

House Bill 659	House Author:  Hupp
Effective:  9-1-05	Senate Sponsor:  Fraser

            House Bill 659 amends the Occupations Code to authorize a qualified organization to conduct a "reverse raffle," defined as a raffle in which the last ticket or tickets drawn are considered the winning tickets, and to award as a raffle prize a refund of the ticket's purchase price.  The bill authorizes the organization, after the raffle drawing has begun, to auction off additional tickets to persons present at the drawing for a price other than that printed on the ticket, to allow a ticket holder present at the drawing to resell a ticket to another person at the drawing for an amount greater than the ticket's original price, and to allow the holder of a previously drawn ticket to buy additional chances for the ticket to be selected to win a prize or to buy additional tickets for the raffle.  The bill requires that the authorized resale of a raffle ticket be made through a designated representative of the organization and that the organization retain not less than 10 percent of the resale proceeds.  The bill provides that the retained amount from the resale of tickets and all proceeds from the sale of additional chances for a ticket must be spent for charitable purposes of the organization.