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Can I offer contests that involve charity donations in West Virginia? What are the requirements?
To offer contests that involve charity donations in West Virginia, you must register with the Secretary of State if you intend to solicit contributions, donations, or grants within the state or have funds solicited or received on your behalf [3.2]. If you want to conduct a raffle game, you must obtain a raffle license [1.4]. However, if you are a charitable or public service organization that has been in existence in West Virginia for at least one year, you are authorized to conduct raffles without compliance with the licensing provisions of this article, provided that any prize awarded in any single raffle at a raffle occasion may not exceed in value the sum of $4,000, and the cumulative gross proceeds derived from the conduct of raffle occasions by any such charitable or public service organization shall not exceed $15,000 during any calendar year [1.3].
There are no specific requirements for contests that involve charity donations in West Virginia, but charitable organizations are subject to certain limitations on their activities [3.1]. For example, charitable organizations must include in each solicitation a clear description of programs for which funds are requested and source from which written information is available, pursuant to section thirteen of this article. Expenditures shall be related in a primary degree to stated purpose (programs and activities) described in solicitations and in accordance with reasonable donor expectations [3.1].
In addition, all registered charitable organizations and their professional fund raisers and solicitors are required to disclose in writing: (1) The name of a representative of the charitable organization to whom inquiries can be made; (2) the name of the charitable organization; (3) the purpose of the solicitation; (4) upon request of the person solicited, the estimated percentage of the money collected which will be applied to the cost of solicitation and administration or how much of the money collected will be applied directly for the charitable purpose; and (5) the number of the raffle, bingo or other such state permit used for fund raising. Every printed solicitation shall include the following statement: “West Virginia residents may obtain a summary of the registration and financial documents from the Secretary of State, State Capitol, Charleston, West Virginia 25305. Registration does not imply endorsement.” The disclosure statement shall be conspicuously displayed on any written or printed solicitation. Where the solicitation consists of more than one piece, the disclosure statement shall be displayed on a prominent part of the solicitation materials [3.1].
Conclusion
To summarize, you can offer contests that involve charity donations in West Virginia, but you must register with the Secretary of State if you intend to solicit contributions, donations, or grants within the state or have funds solicited or received on your behalf. If you want to conduct a raffle game, you must obtain a raffle license. Charitable or public service organizations that have been in existence in West Virginia for at least one year are authorized to conduct raffles without compliance with the licensing provisions of this article, subject to certain limitations. All registered charitable organizations and their professional fund raisers and solicitors are required to disclose certain information in writing.
Source(s):
- [3.1] Limitations on activities of charitable organizations.
- [3.2] Registration of charitable organizations; fee.
- [1.3] Authorizing the conduct of certain raffles without a license.
- [1.4] Information required in application.
Jurisdiction
West Virginia