Can I offer contests that involve entry fees in South Dakota? What are the requirements?

Based on the provided context documents, it is possible to offer contests that involve entry fees in South Dakota. However, there are specific requirements that must be met.

Contest Fees

Contests with entry fees are subject to fees as per SDAR 20:81:02:03. For each approved contest, the promoter shall pay a fee of three thousand dollars or three percent of the gross revenue of the contest, whichever is greater. The maximum contest fee for an event is three hundred thousand dollars. At the time of application to register a contest, the promoter applying for registration shall submit a fee of one thousand dollars. The fee is refundable if the application is denied. If the application is approved, the submitted fee must be applied to the remaining contest fee owed to the commission. The commission shall provide forms for the calculation and payment of contest fees due to the commission based on the gross revenue of the contest as set forth in § 20:81:07:05. The promoter shall pay the remaining contest fee due to the commission within thirty days of the completion of the event.

Additional Requirements

The commission may adopt rules pursuant to chapter 1-26 to establish additional requirements to preserve the integrity and security of the lottery. Any applicant for any license under this chapter has the burden of proving his or her qualifications to the satisfaction of the commission and executive director. The executive director shall consider all relevant factors including security, competence, experience, timely performance, and maximization of net revenues to the state. Any contract entered into pursuant to subdivision 42-7A-4(3) for major procurements are subject to the approval of the commission and are subject to the provisions of chapters 5-18A and 5-18D.

Conclusion

To offer contests that involve entry fees in South Dakota, promoters must pay the required fees and meet the additional requirements established by the commission.

Jurisdiction

South Dakota

• Gaming