H.B. No. 659




AN ACT

relating to authorizing a qualified organization under the 
Charitable Raffle Enabling Act to conduct a reverse raffle.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 2002.002, Occupations Code, is amended 
by adding Subdivision (7) to read as follows:
		(7)  "Reverse raffle" means a raffle in which the last 
ticket or tickets drawn are considered the winning tickets.
	SECTION 2.  Section 2002.054(c), Occupations Code, is 
amended to read as follows:
	(c)  Except as provided by Section 2002.0541, the [The] 
organization may not permit a person who is not a member of the 
organization or who is not authorized by the organization to sell or 
offer to sell raffle tickets.
	SECTION 3.  Subchapter B, Chapter 2002, Occupations Code, is 
amended by adding Section 2002.0541 to read as follows:
	Sec. 2002.0541.  REVERSE RAFFLE.  (a)  A qualified 
organization may conduct a reverse raffle as provided by this 
section.
	(b)  Notwithstanding Section 2002.056(a), a refund of the 
purchase price of a ticket may be awarded as a raffle prize in a 
reverse raffle.
	(c)  Notwithstanding Section 2002.055(3), after the drawing 
of tickets in a reverse raffle has begun, the qualified 
organization conducting the raffle may auction off additional 
tickets to persons who are present at the drawing for a price other 
than the price printed on the ticket.
	(d)  After the drawing of tickets in a reverse raffle has 
begun, the qualified organization may permit a ticket holder 
present at the drawing to resell the ticket to another person 
present at the drawing for an amount greater than the original 
purchase price of the ticket.  The sale must be made through a 
designated representative of the organization, and not less than 10 
percent of the sale proceeds must be retained by the organization.
	(e)  Notwithstanding Section 2002.055(3), after the drawing 
of tickets in a reverse raffle has begun, the qualified 
organization may permit the holder of a previously drawn ticket:
		(1)  to purchase additional chances for the ticket to 
be selected to win a prize; or
		(2)  to purchase additional tickets for the raffle.                    
	(f)  Only the portion of the proceeds from the resale of a 
ticket under Subsection (d) retained by the organization are 
subject to Section 2002.053.  All proceeds from the sale of 
additional chances for a ticket under Subsection (e) are considered 
to be proceeds from the sale of the ticket for purposes of Section 
2002.053.
	SECTION 4.  This Act takes effect September 1, 2005.                           




______________________________              ______________________________
 
   President of the Senate                               Speaker of the House      

	I certify that H.B. No. 659 was passed by the House on May 9, 
2005, by a non-record vote.

                                                  ______________________________
                                                     Chief Clerk of the House   

	I certify that H.B. No. 659 was passed by the Senate on May 
25, 2005, by the following vote:  Yeas 31, Nays 0.

                                                  ______________________________
                                                     Secretary of the Senate    



APPROVED:  _____________________                                            
 
                   Date                                                      




 
          _____________________                                          
 
                 Governor