5.2.1. Permitted Non-Electronic Raffle Lottery Events

5.2.1 (A) Stub draw

A stub draw is a raffle lottery with two-part tickets. The purchaser keeps one part of the ticket and the licensee keeps the other part, known as the “stub,” which contains purchaser information. The stubs of all sold tickets are placed in a container and a winner is determined by a random selection.

The lottery advertising and rules pertaining to the raffle must clearly state the sequence of draws and include a listing of all the prizes that will be given for each draw. The advertising and rules must also state whether the prize-winning tickets will be returned to the draw to be eligible for all other prizes. If prizes are drawn from lowest value to highest value, the ticket must be re-entered in the draw for all subsequent draws.

The licensee must ensure that all the rules approved by the licensing authority for the conduct of the draw and awarding of prizes are carefully followed. Any variation from the format approved by the licensing authority would constitute a breach of the terms and conditions of the licence.

5.2.1 (B) Elimination draw

An “elimination draw” is a variation on the stub draw in which all tickets are drawn from the container one at a time, until only one ticket is left. The last remaining ticket is the grand prizewinner. The licensee may also award lesser prizes at specific intervals. For example, every 50th ticket pulled could win $100.

The applicant must establish a procedure for conducting the raffle draw if not all tickets have been sold. This procedure must be submitted as part of the licence application.

In order to minimize complications and ensure that all prizes are awarded as advertised, elimination draws may only be licensed under the following additional conditions:

• Only sold ticket stubs may be put into the container.
• If all tickets are not sold, the licensee must adjust the interval of winning tickets to ensure that all prizes are awarded as originally advertised.
• When all tickets are not sold, the licensee must announce/advertise the altered format prior to conducting the draw.

5.2.1 (C) Calendar draw

In a “calendar draw,” the ticket purchaser buys a calendar on which prizes are identified for a series of draws to take place on selected days. A purchaser wins a prize by matching the number on the calendar with the number drawn from a container on the specific date. Depending on the rules established for the lottery, a winning calendar number may be placed back in the container for subsequent draws or it may be eliminated from future draws. The rules for winning must be clearly stated on the licence application and on the calendar itself.

5.2.1 (D) “Golf ball drop” raffle lottery

A “golf ball drop” raffle lottery is a lottery in which participants buy a numbered ticket that corresponds to a numbered golf ball. The golf balls that are inscribed (in indelible ink) with the corresponding numbers are transported to the venue of the drop by mechanical means (for example, crane, cherry picker) or lifted into the air, and dropped over a pre-determined/designated drop area. The drop must be witnessed by the designated members-in-charge and an auditor.

In addition to the basic application requirements to conduct and manage a raffle lottery event, the applicant must include the following:

• A safety/security plan for the event, approved in writing by the local law enforcement agency or agencies. In the event the “drop” is made from an aircraft or other mechanical lifting device the applicant/licensee must ensure that the operator of the aircraft or other device conforms to all other applicable laws. Please note that any additional equipment used for the dropping of the golf balls must be certified under the airworthiness regulations.
• A copy of written approval for the event, from any other authority with jurisdiction over the lands over which the drop is to take place.
• Liability insurance from the charity and the equipment provider (that is, mechanical equipment/ aircraft provider) against damage, injury and loss of life. Liability insurance must name His Majesty the King in Right of Ontario, the Registrar, and the Alcohol and Gaming Commission of Ontario and its employees and agents as additional insureds. The policy must be submitted for the Registrar’s approval. In the event the licence is issued by a municipal authority, the municipality and municipal officials must also be named insureds in the policy.
• A copy of the municipal approval permitting the drop to take place in the municipality with the confirmation that this is a “golf ball drop” lottery event.
• A written agreement from the owner of the property on which the drop is to take place, indemnifying His Majesty the King in Right of Ontario, the Registrar, and the Alcohol and Gaming Commission of Ontario and its employees and agents of any liability. In the event the licence is issued by the municipality, the municipality must be indemnified from any liability. The agreement must ensure ticket-holders are given access to witness the event.
• A complete site map of the area in which the drop is to take place, inclusive of the safe area for the viewing public. If an aircraft is used for the “drop” the plan must conform with all applicable legal requirements.
• A process for determining the winner(s) of the event after the drop has taken place.
• A procedure for the retrieval of the balls after the event and matching of the balls to ensure that all the balls that were dropped have been accounted for.
• A procedure in the event that the balls have not landed on the designated area.
• A procedure in the event that bad weather prevents the drop from taking place as planned.

The licensee is responsible to ensure that safety precautions, safety equipment and safety procedures are in place in the conduct and management of this lottery. For operation of aircraft or other mechanical lifting device, the licensee and aircraft and/or mechanical lifting device operator must conform to all applicable regulations.

Should the licensee choose to insure the lottery event against loss (in the conduct and management of the event), the premium cannot be paid from lottery trust funds.

The licensee must ensure the rules of play submitted for the conduct and management of the event and the awarding of prizes are carefully followed. Any variation from the format approved by the licensing authority would constitute a breach of the terms and conditions of the licence.

The prize board must be a fixed amount and consist of cash, merchandise or a combination of the two.

5.2.1(E) “Rubber duck” race

A “rubber duck” race is a lottery in which participants buy numbered tickets that correspond to numbered artificial, inanimate floating objects of uniform size, shape and weight, such as rubber ducks. All the “ducks” are placed into a river or other naturally moving body of water. The use of any device to create a moving body of water for this type of event is strictly prohibited. The winner is the ticket holder with the number corresponding to the number on the “duck” that crosses the finish line first.

The licensee may award a bonus prize, in addition to the first prize, on a pre-selected “duck” if that duck wins the race. The pre-selected duck must be chosen by a separate draw, prior to the conduct of the event. This draw must be properly witnessed by the designated members-in-charge and/or the auditor. The licensee must keep the identifying number of the pre-selected duck confidential until after the race.

In addition to the basic application requirements for all raffle lottery events, applications to conduct and manage a “rubber duck” race must include:

• a security plan for the race, approved in writing by local law enforcement agencies; and
• written approval for the event from any authority with jurisdiction over the lands and waters to be used for the race (for example, provincial or municipal authority).

The supplier of the “ducks” does not have to be registered under the Gaming Control Act, 1992 as a Gaming-Related Supplier.

5.2.1 (F) 50/50 draw (paper-based)

A paper-based (that is, non-electronic) 50/50 draw is a raffle lottery in which the prize is one half the value of all tickets sold during the event or a defined period of the licence. The purchaser receives a ticket containing a number. A ticket stub with the same number is placed in a drum or other container for a draw.

If roll-type tickets are used, the purchaser must be present at the draw in order to collect his or her prize. If the holder of the winning ticket number is not present when the number is drawn, the licensee must draw another ticket. This information must be included in the rules and any advertising for the event.

A blanket raffle licence allows eligible organizations to obtain a single lottery licence to conduct and manage more than one type of raffle event within a fixed period and from one location within a capped prize amount of $50,000 for total prizes.

The types of raffle events that a licensee may conduct under a blanket raffle licence include:

• stub draws
• elimination draws
• paper-based 50/50 draws
• meat spins/turkey rolls
• “name the raffle” lottery.

See “5.2.1(H) Meat spins/turkey rolls” and “5.2.1(I) “Name the raffle” lottery” for further information.

A licensee may apply to the licensing authority for a blanket licence to conduct any number of these raffle events or combination of these raffle events for up to a maximum of a year and for a total prize board not to exceed $50,000.

In addition to the basic application requirements for all raffle lottery events, each application for a blanket raffle licence submitted to the licensing authority must include the following information:

• types of raffle lottery events to be conducted during the period;
• the number of raffle events to be conducted;
• the total number of tickets to be printed for each individual raffle event and the total value of all tickets printed for each of the events;
• the cost per ticket for each event and the price per set of cards for “name the raffle” lotteries;
• the cost per ticket for each event;
• the location where the events will take place;
• the scheduled dates for each type of raffle event to be held;
• a detailed explanation of the rules for each type of raffle event;
• a description of all prizes to be awarded and the total retail value of all prizes to be awarded for each raffle event;
• total value of all prizes to be awarded for the period; and
• the licence fee.

A “name the raffle” lottery is a small-scale type of event conducted under a blanket raffle licence (see “5.2.1(G) Blanket raffle licence (issued by municipality only)”). A “name the raffle” lottery allows licensees to award edible products such as porchetta, meats and desserts as prizes.

The game differs from a typical raffle in a few ways:

• Players use playing cards purchased in sets of three (3) instead of purchasing tickets.
• The winner is determined by matching the set of cards with the cards turned by the “dealer”.
• The winner is the first player whose three (3) cards all match cards turned up by the dealer and who calls out “bingo.”

Players purchase three playing cards at the price approved on the application for licence. Before the start of each game, the dealer announces the number of sets of cards in play. The first game begins when the dealer turns up the first card. The winner is the first player whose set of cards all match the cards turned up by the dealer and who calls out “bingo.”

5.2.1 (l) (i) Terms and conditions and rules of play for “name the raffle“ lotteries

In addition to the Raffle Licence Terms and Conditions, a licensee conducting the “name the raffle“ lottery must operate the event in accordance with the rules of play. The rules of play are set out on the following page. The municipality must ensure a copy of these rules is supplied with each licence issued.

1. Players must be 18 years of age or older.
2. The minimum price for a set of cards is $1.00.
3. The maximum price for a set of cards is $5.00.
4. The maximum value of prizes awarded per game cannot exceed $10.00. In the event there are multiple winners in a game, the payoff may exceed $10.00. However, there will be a reduction in the number of games remaining in order to remain within the prize payout as authorized on the licence except where there are multiple winners in the last game in a draw.
5. All sets of cards must be purchased prior to the first card being called by the Dealer.
6. The games must be played with a minimum of 4 decks of cards (inclusive of the Dealer’s deck). The Dealer’s deck must have a different back design to the cards sold to the players.
7. The Dealer must announce the number of sets of cards sold prior to calling the first card. The Dealer must ensure that unsold sets of cards are put in a secure place prior to the commencement of the game.
8. Prior to the commencement of the game the Dealer must shuffle the Dealer’s deck of cards so that they are randomly intermixed and offer the stack of cards to any one of the players to cut.
9. The Dealer’s deck must be placed in a Dealers “shoe” or container that will permit one card to be turned over at a time from the top.
10. On completion of a draw, the Dealer will ensure that all sets of cards are retrieved from the players. Upon completion of a review to ensure that all cards have been returned, the sets of cards may be re-sold for the next draw. In the alternative, the licensee may use a different set of cards for the next draw. These cards must have a different back design to those that have already been sold for previous events.
11. It is the responsibility of the licensee to post the time of each draw and the games that are to be held in each of the draws. Details respecting the draws, times of draws, games and rules

pertaining to the “Name the Raffle” Lottery are to be submitted to the licensing authority with the application. The documents as approved by the licensing authority must be posted at the venue of the event prior to the event.

12. The licensee must submit reports on the event using Section 1(d) of the Blanket Raffle Lottery Report.

“Bossy bingo” or “cow patty bingo” is a raffle event conducted using a large area divided into many squares. Participants draw a number representing a square. A cow is then placed in the designated area. The prizewinner is the person holding the number of the square upon which the cow’s bowel movement lands.

Technically, this scheme has the three elements necessary for a lottery scheme: consideration, chance and prize; therefore a lottery licence is required.

A municipality may issue a licence for this type of event should it wish to do so. The municipality must ensure that the licensee is able to comply with the terms and conditions of a raffle licence and is able to ensure the integrity of the event.

The licensee must establish rules for playing the game and determining a winner in a case where more than one square is “marked.” These rules must be approved by the municipality.

5.2.1 (K) Auction-style raffles

An “auction-style” raffle is a raffle in which a series of draws is made during a single event, with one prize for each draw. Elements of the game use terminology and actions reminiscent of an auction, but the game does not involve the purchase and sale of items at agreed-upon prices as in an ordinary auction setting.

In an auction-style raffle, participants “bid” by indicating that they wish to enter the draw. A “bid” is the participant’s entry into a draw. During play, the opportunity to enter a “bid” will be announced. Prior to conducting the draw, the licensee may announce additional opportunities to enter the draw by inviting additional entries in an “auction style”; that is, by soliciting second “bids,” third “bids,” and so on until no further participants want to increase their number of entries for the draw. When no further entries are forthcoming, the opportunity to enter the draw is closed and a draw is made from all tickets entered.

5.2.1 (k) (i) Auction-style raffle rules of play

1. Licensees must require that tickets be used for the draw.
2. Each ticket must have a set price (for example, 50 cents per ticket). The only cost of participating in an auction-style raffle is the cost of entering the draw through the use of tickets.
3. The licensee may use stub or roll tickets. Where events will include multiple draws, the licensee may choose to have a set number of tickets per draw or may choose to allow participants to allocate tickets over a series of draws during the course of the event. Prior to each draw, the type of ticket to be used in the round of play (for example, the colour of the tickets, or the numerical range of the tickets) must be announced.
4. The licensee must announce, prior to the selling of tickets for a particular prize, the value of the prize and how many tickets are required per “bid” to participate in the draw. Participants may purchase as many tickets as they wish. Where a “bid” requires more than one ticket, participants must provide a number of tickets that corresponds to the number of “bids” they seek to enter. Fractional “bids” are not permitted. For example, if a single “bid” requires two tickets, a participant must provide two tickets for a single “bid” and four tickets for two “bids.” In this example, entering three tickets is not permitted.

5. For entertainment purposes only, each participant in an auction-style raffle may be given a “paddle” or other device. Licensees must not sell or otherwise charge any fee whatsoever for a “paddle” or similar device. Paddles are used by the participants to signal to the “Auctioneer,” that is, the person that facilitates each round of play by announcing opportunities to “bid,” that the participant wishes to enter the draw.
6. Admission to an event does not require participation in the auction-style raffle.
7. The Winner is determined by drawing a ticket at random from the container and matching the number of the drawn ticket to a corresponding ticket held by a participant.
8. Several prize items may be offered at the auction-style raffle, with one draw per item.
9. Each prize may consist of a single item or several items bundled as a single prize (for example, a gift basket).
10. The prize items must be in the possession of the licensee before the draws take place.
11. Prize items may be donated to or purchased by the licensee. However, the prizes must comply with the restriction on prizes detailed in 5.1.2 (8).
12. An approximate market value for each prize must be determined before the event. The maximum total prize value may not exceed $10,000.
13. All funds generated by the auction-style raffle go the licensee conducting and managing the event and must be used for the approved purposes detailed in the licence application.

5.2.1 (L) Catch the Ace progressive raffle lottery (non-electronic)

A “Catch the Ace” progressive (accumulating jackpot) raffle lottery is a multiple-draw game in which:

• all ticket holders have a chance to win a prize consisting of 20% of ticket sales for an initial draw;
• the winner of the draw has a chance to win a prize consisting of 30% of ticket sales from each draw held to date, which progresses from draw to draw until the winner of the initial draw selects the Ace of Spades from a regular deck of cards.

If the card selected is not the Ace of Spades, the selected card is removed from the deck and the progres- sive prize portion of the ticket sales for that draw is rolled over into the progressive jackpot for the next scheduled draw. The licensee conducts the scheduled events using the playing cards remaining from the original deck until the Ace of Spades has been selected and the progressive jackpot has been awarded.

The prize structure must be as follows:

• 20% of event ticket sales—awarded to the bearer of the winning ticket at each draw
• 30% of event ticket sales—allocated to the progressive jackpot
• 50% of event ticket sales—retained by licensee, from which all allowable expenses will be paid.

5.2.1 (L) (i) Catch the Ace progressive raffle lottery policies

1. The playing cards from a standard deck of 52 cards (the 2 through to the ace of diamonds, hearts, clubs and spades, totalling 52 cards) are each placed in identical, opaque envelopes and sealed. Those sealed envelopes are shuffled, randomly numbered from 1 to 52 and placed on public display, in a secure fashion, at each draw.
2. As an alternative to using a deck of playing cards, the licensee may also use approved gaming supplies from a registered supplier.
3. Tickets:

• Roll tickets or stub tickets may be used.
• Tickets (serialization) must be unique from draw to draw.
• There must be no duplicate ticket numbers for all draws under a licence. There must be a documented process in place showing how the licensee will ensure there are no duplicate tickets for all draws.
• Tickets are only eligible for the draw for which they are purchased. At the conclusion of the draw, all non-winning tickets must be removed from the container. Non-winning tickets may be destroyed after 30 calendar days.
• Winning tickets must be kept in accordance with the requirements outlined in the Raffle Terms and Conditions.
• The licensee will keep a log of all draws, recording the sequence numbers and other characteristics for all tickets in play.

4. It is not mandatory for the purchaser of the ticket selected at a draw to be in attendance. However:
   1. If the licensee is using roll tickets, the licensee is required to include in the Rules of Play the amount of time within which the winner must claim the prize before another ticket is drawn.
   2. If stub tickets are used, the licensee shall require purchasers to provide their name and contact informa- tion and to indicate in a designated area on the stub the envelope number selected by the purchaser in the event that his or her ticket is drawn. The licensee must also set out a procedure to be followed in the event that that envelope number has already been chosen and is no longer available.
5. Once sales for a draw have closed, a ticket must be selected as the winning ticket for that draw. The number on the ticket will be announced at the draw and the prize shall be awarded accordingly.

6. The licensee must use a container that is large enough to hold all sold tickets or stubs.
7. All prizes must be paid by cheque in Canadian funds.
8. The Rules of Play must be posted at the location of the draw and be readily available to the public.
9. The ConnexOntario name and phone number (1-866-531-2600) must appear on the Rules of Play, in all print advertising and on all stub tickets.
10. Once the Ace of Spades card is selected, the event and licence are concluded. If the licensee wishes to conduct another Catch the Ace event, a new licence must be obtained.
11. Draw Process:
    1. Immediately prior to the draw, the ticket sales for the draw, the draw prize and the current progressive jackpot amount must be announced.
    2. In the event that the Ace of Spades is not drawn, the licensee will immediately destroy the card selected by the winner of the draw.
    3. The licensee must maintain a log to record the destruction of all cards. The log must include the draw date, complete card details and verification by the bona fide member who destroyed the card, and by another bona fide member in charge of the lottery.
12. All draws will be video recorded by the licensee. The following requirements must be met:
    1. Participants will be advised in the Rules of Play that all raffle draws will be video recorded in order to en- sure raffle integrity.
    2. Video recordings must be secured by the licensee and made available to the licensing authority upon re- quest. All video recordings must be maintained for at least 30 calendar days after the draw date, after which they may be deleted or destroyed.
    3. The video recording shall in be high definition (minimum resolution — 720p) in a well-lit environment, have an unobstructed view of all raffle activities and show:
    • selection of the winning draw ticket;
    • selection of the envelope by the bearer of the winning draw ticket;
    • reveal of playing card within selected envelope; and
    • destruction of the playing card.

In addition to completing the required application form, applicants will also submit a proposed draw schedule along with a safety and security plan describing the control measures that will be put in place as the progressive prize amount grows. Control measures should address issues including (but not limited to) how the applicant will address the potential for increased attendance and traffic at the draw venue, and how the money from ticket sales will be secured.

5.2.1 (L) (iii) Catch the Ace progressive raffle lottery terms and conditions

The following Terms and Conditions are applicable to Catch the Ace progressive raffles:

Under a Raffle Lottery Licence:

• Lottery Licence Terms & Conditions 
• Raffle Licence Terms & Conditions 
• Financial Management and Administration of Non-Pooling Bingo Halls Terms and Conditions

The following Raffle Licence Terms and Conditions do not apply to Catch the Ace events:

• Section 4.3 (a) (vii): total number of tickets printed does not have to appear on the tickets.
• Section 7.2 (a) (v): the price of the ticket must be included in all print advertising, but the total number of tickets printed does not.
• Section 8.5 (a) & (b): Ticket sellers are not permitted to be paid a sales commission.
• Section 9.2: Licensees shall keep winning tickets throughout the period of the licence and for reporting requirements. All unsold tickets or counterfoils may be destroyed 30 calendar days after the date of the draw. Winning tickets must be kept in accordance with the requirements outlined in the Terms and Conditions.

Under a Bingo Revenue Model Lottery Licence:

• Charitable Gaming Events Conducted and Managed in Pooling Bingo Halls Terms & Conditions 
• Financial Management and Administration of Pooling Bingo Halls Terms and Conditions