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House panel hears bill to clarify use of raffle proceeds by local political committees
Summary
A Government and Veterans Affairs committee hearing on House Bill 1276 centered on clarifying that state-registered political committees may use net raffle proceeds for political purposes and fixing a 2021 drafting error that created uncertainty.
House lawmakers heard testimony March 12 on House Bill 1276, which would clarify that nonprofit-structured political committees registered with the Secretary of State may use net raffle proceeds for political purposes and correct a drafting error in a 2021 bill.
The bill’s sponsor, Representative Jared Hendricks, said the measure fixes an unintended grammatical problem in 2021 legislation and aligns state statute with the practice of legislative district committees that raise funds through raffles, including gun raffles. “HB 1276 simply requires that these organizations cannot be denied on the basis of designation alone,” Hendricks told the Government and Veterans Affairs committee.
Hendricks said the bill does not change existing limits on prize values in gaming permits: an organization’s total prizes in a 12-month period remain capped at $40,000 and the maximum individual prize remains $8,000. He emphasized the measure is not intended to affect federal campaign law or finance rules overseen by the Federal Election Commission.
Committee members asked how the bill interacts with prior activity and enforcement. Hendricks described the measure as a “cleanup bill” intended to reflect legislative intent after SB2251 in 2021 and to prevent inconsistent local decisions that could prohibit political committees — organized purely for political purposes — from using funds they lawfully raise. Representative Carls and Representative Christi asked whether bingo or progressive jackpots would be affected; Hendricks and committee staff said existing prize caps continue to apply and that the raffle-specific clarification does not expand allowances for bingo and other gaming types.
Representative Wolf noted another bill in the Judiciary Committee would raise the prize caps from $8,000 to $15,000 for a single prize and from $40,000 to $50,000 total annual prizes. Hendricks said HB1276 does not change prize ceilings; it addresses only the designation issue and the grammatical error in earlier language.
The committee took no vote and closed the hearing after hearing no public testimony for or against the bill.
