Question: I have a question about raffles from the ASB Accounting Manual. It states that games of chance are illegal, but can students earn raffle tickets perhaps thorough improving their test scores that can be used in a drawing for prizes or would that also be illegal? I researched the Penal Code referenced in the ASB Manual and it appears that even this procedure would be illegal because not every student would receive a ticket. An I interpreting this correctly?

Response: Raffles are defined (in Penal Code) as paying consideration for the chance to win something of value. So, if they are giving out tickets for a drawing, and the tickets don't cost anything (improved test scores probably doesn't meet the definition of consideration), then it probably isn't a raffle, and instead a drawing and would be perfectly legal. We would caution that the prize not be too valuable, since it is going to an individual, and generally individual rewards are discouraged. It would also be wise to verify this with your auditor as they are responsible for auditing the funds and are generally the best source of asking whether or not something is appropriate for ASB's.

4/15/04