Michigan Laws 432.109 – Use of net proceeds of event; expenses
Current as of: 2019 |
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Terms Used In Michigan Laws 432.109
- Commissioner: means the commissioner of state lottery appointed under section 7 of the McCauley-Traxler-Law-Bowman-McNeely lottery act, 1972 PA 239, MCL 432. See Michigan Laws 432.102
- Licensee: means a person or qualified organization licensed under this act. See Michigan Laws 432.103
- Qualified organization: means , subject to subdivision (h), either of the following:
(i) A bona fide religious, educational, service, senior citizens, fraternal, or veterans' organization that operates without profit to its members and that either has been in existence continuously as an organization for a period of 5 years or is exempt from taxation under section 501(c) of the internal revenue code of 1986, 26 USC 501. See Michigan Laws 432.103
(1) Except as provided in subsection (2), the entire net proceeds of an event shall be devoted exclusively to the lawful purposes of the licensee. A licensee shall not incur or pay an item of expense in connection with the holding, operating, or conducting of an event except the following expenses in reasonable amounts:
(a) The purchase or rental of equipment necessary for conducting an event and payment of services reasonably necessary for the repair of equipment.
(b) Cash prizes or the purchase of prizes of merchandise.
(c) Rental of the location at which the event is conducted.
(d) Janitorial services.
(e) The fee required for issuance or reissuance of a license to conduct the event.
(f) Other reasonable expenses incurred by the licensee, not inconsistent with this act, as permitted by rule of the commissioner.
(2) A qualified organization described in section 3(g)(ii) shall use the entire net proceeds of an event, after paying items of expense incurred in reasonable amounts in connection with the holding, operating, or conducting of the event and listed in subsection (1), only for the expense of training or purchasing goods or services for the support of the activities of the component.