Section 901.702. Prize limits

(a) Maximum individual prize limit. The maximum cash value of a prize that may be awarded for a single chance in a game of chance is $500.

(b) Weekly limit. No more than $5,000 in cash or merchandise may be awarded as prizes in games of chance conducted by a licensed eligible organization during an operating week.

(c) Raffle limit. No more than $5,000 in cash or merchandise may be awarded as prizes in raffles in a calendar month except under a special raffle permit.

(d) Special raffle permit. A licensed eligible organization may conduct a raffle and award a prize valued in excess of $500 only if it has obtained a special raffle permit. The total cash value of prizes awarded under all special raffle permits during a calendar year may be no more than $100,000.

(e) Prize limit exceptions for daily drawings.

(1) A licensed eligible organization may award a prize in excess of the prize limitations in subsections (a) and (b) if the prize is the result of a carryover of a drawing when the following conditions apply:

(i) The winning number was not held by one of the eligible entrants in the drawing.

(ii) The carryover is not the result of the licensed eligible organization’s failure to hold a drawing on an operating day during which chances for a daily drawing were sold.

(iii) The chances for the daily drawing were not sold for an amount in excess of $1.

(iv) An eligible participant may not be sold more than one chance.

(2) A prize awarded in a daily drawing that is set up to pay out 100% of the gross revenues from the drawing is not included as a prize for purposes of the limitation in subsection (b).

(f) Prize limit exceptions for weekly drawings.

(1) The prize limitation in subsection (a) does not apply to weekly drawings. Weekly drawings are subject to the prize limitations in subsection (b).

(2) A prize awarded in a weekly drawing will not be considered a prize for purposes of the limitation in subsection (b) if either:

(i) The prize is the result of a carryover of a drawing when the winning number was not held by one of the eligible entrants in the drawing, and the following conditions apply:

(A) The carryover is not the result of the licensed eligible organization’s failure to hold a weekly drawing at the end of the operating week during which chances were sold.

(B) The chances for the weekly drawing were not sold for an amount in excess of $1.

(ii) The drawing is set up to pay out 100% of the gross revenues from such drawing.

The provisions of this § 901.702 amended August 11, 2006, effective August 12, 2006, 36 Pa.B. 4475. Immediately preceding text appears at serial page (265911).