Lottery Licensing

A lottery event is defined by three elements: 

1. A fee or consideration
2. A chance to win
3. A Prize

• Bingo events
• Raffles
• Break Open Tickets
• Bazaar gaming events

As a lottery licensing authority, the Municipality of Central Huron has a responsibility to follow the lottery licensing process set out by the AGCO. This includes: 

• Conducting eligibility reviews and maintaining current eligibility files; 
• Reviewing and evaluating lottery applications and reports; 
• Ensuring that proceeds are eligible and used in accordance with the licensee's charitable mandates; 
• Ensuring compliance with any issued lottery license; 
• Reporting any breaches to the AGCO

Once the applicant has (1) been deemed eligible, (2) opened a Lottery Trust Account, and (3) submitted a copy of the account information to the Clerk's department, an application to conduct a lottery may be completed. 

Lottery License Fees

The fee for each lottery license is equal to 3% of the total prize value. In Central Huron, lottery license fees are offset by a donation grant in which the fee is 3% of the total prize value and anything above $10.00 is offset by Central Huron donation (i.e. organizations only pay $10.00 per lottery scheme). 

Lottery license fees must be paid by cheque made payable to the Municipality of Central Huron from your organization's lottery trust account.

Eligibility review applications are to be completed every two (2) years to ensure that the information held by the Municipality is up-to-date and that your organization remains eligible to hold a license for lottery schemes. 

An organization must have completed an Eligibility Application for Lottery Licensing.

Please note: eligibility reviews for new groups take approximately two weeks. Additional information may be requested. Please provide all necessary material in a timely manner. Annual eligibility updates of changed or amended documents, programs, or similar material are required by each active group once they are deemed eligible to conduct lotteries.

Once an organization has been deemed eligible by the Clerk's department, organizations should complete a Lottery License Organization Information form. This form can be submitted by organizations whenever there are changes to their general information not relating to their eligibility. 

If your organization is interested in conducting a lottery license, please contact the Clerk's department to inquire about your organization's eligibility. 

Charitable organizations may be permitted to conduct a lottery scheme to raise funds once a license is issued. Organizations must have demonstrated charitable or religious mandate to provide programs for: 

• Relief of poverty
• Advancement of education
• Advancement of religion
• Or other charitable purposes beneficial to the community such as: 
  • Culture and the arts
  • Health and welfare
  • Amateur sports organizations
  • Enhancement of public safety
  • Community service organizations (i.e. Legion, Rotary, Lions, etc.)

In addition, an organization must also demonstrate the following in order to be deemed eligible: 

• Have been in existence for at least one year; 
• Provide charitable community services consistent with a primary objective and purpose of the organization for at least one year; 
• Demonstrate that the organization is established to provide charitable services in the Municipality of Central Huron; 
• Use proceeds for charitable purposes that benefit the Municipality of Central Huron and its residents; 
• Assume full responsibility for the conduct and management of its lottery events; and
• Be deemed eligible to conduct lotteries and open a Lottery Trust Account. 

The Municipality of Central Huron has the authority to only issue a lottery license to organizations that are operating within the municipal boundaries. If your organization will be operating a license outside of the municipal boundaries of the Municipality of Central Huron, please refer to the municipal office that your organization will be conducting a lottery within. 

Individuals are not eligible for a lottery license, nor are the following organizations: 

• Social clubs
• Professional associations, unions, employee groups
• Government ministries, agents, or bodies
• Political lobby groups and those attempting to persuade the public to adopt a particular view on a political issue
• Political parties
• Adult hobby groups
• Private social clubs (i.e. golf, curling) 
• Adult sports teams
• Individual youth sports teams
• Organizations established solely for the purpose of fundraising

Ineligible expenses include: 

• Provision of personal benefit or gain for members of the applicant organization; 
• Supporting tourism or other purely economic benefits; 
• Advancing a particular political issue; 
• Enhancing lands and buildings owned and/or operated by a government; 
• A responsibility traditionally fulfilled by a government; and 
• Funding activities that do not fall within one of the four charitable classifications.

All financial lottery activity must be conducted in a lottery trust account. This account must be used solely for lottery activity and cannot be used for other purposes, such as the proceeds from other types of fundraisers. The types of accounts may vary depending on the bank. For example, the account may be called a 'community organization account' or something similar. 

Accounts must be set up to include monthly statements and images of cheques, which must be submitted to the Municipality with the lottery reports. An organization may use one account for all lottery activity or have separate accounts for each type of lottery held. 

Lottery funds must be held separately to protect them, especially in the case of dissolution. For instance, lottery proceeds cannot be used to pay debts or creditors. A dissolution clause in the organization's constitution will ensure these funds are protected. Two signing officers, who are bona fide members or the organization, are required for the account. All withdrawals from the account must be made by cheque an no transfers are allowed. 

For more information regarding lottery trust accounts, please refer to the AGCO's website. 

Documentation is required which supports the contents of the lottery report. These items will include: 

• Receipts for expenses; 
• Name and address of winner(s); 
• A copy of a ticket used (for raffle lotteries); 
• Funds disbursement information; 
• Bank statements for the lottery trust account; and
• Cheque images for payments made from the lottery trust account.

It is important to keep track of the financial particulars over the course of the license, especially when the lottery extends for a significant time period. 

Please include and complete a Central Huron Lottery Report Checklist with your lottery report submission to the Municipality of Central Huron. 

1. Ensure that your organization's eligibility is up-to-date with the Municipality 
2. Review the Bingo License Terms and Conditions
3. Complete the Application to Manage and Conduct a Bingo Lottery and the Bingo Application Checklist with supporting documentation. 
4. Submit the Checklist, application form, and supporting documentation to the Municipality of Central Huron Clerk's department for review. 

Following a bingo lottery event, your organization must submit a Bingo Lottery Report within 15 days of holding the lottery. A report can be submitted to the Clerk's department by mail, fax, email, or in-person at the municipal office. 

Supplementary documentation is required to complete the report such as lottery trust account bank statements, copies of cheques, invoices for expenses, and use of lottery proceeds. Please refer to the Central Huron Lottery Report Checklist or contact the Clerk's department. 

• Stub draw
• Elimination draw
• Calendar draw
• "Golf ball drop" raffle lottery
• Rubber duck race
• 50/50 draw (paper-based) 
• Blanket raffle
• Meat spin/turkey roll
• "Name the Raffle" lottery
• Bossy bingo/cow patty bingo
• Auction-style raffles
• Catch the Ace (non-electronic)

1. Ensure your organization's eligibility is up-to-date with the Municipality
2. Review the Raffle License Terms and Conditions
3. Complete the Application to Manage and Control a Raffle Lottery or the Application to Manage and Conduct a Blanket Raffle Lottery and the Raffle Application Checklist and gather supporting documentation such as a mock raffle ticket. 
4. Submit the Checklist, Application form, and the supporting documentation to the Clerk's department for review. 

Following the commencement of a raffle lottery event, your organization must submit a Raffle Lottery Report or Blanket Raffle Lottery Report within 30 days of holding the lottery. If the event was a Catch the Ace then a Catch the Ace Raffle Report must be submitted within 7 days after every fourth draw. Your report can be submitted to the Clerk's department by mail, fax, email, or in-person at the municipal office. 

A raffle lottery report must include the following when submitted: 

• A list of prize winner(s) 
• An itemized list of administrative costs (licensing fee, ticket purchase/printing fees, etc.) 
• Lottery trust account bank statements
• Copies of cheques and invoices for expenses and use of lottery proceeds 
• One unsold ticket (this is not needed if it is a "rip ticket" for 50/50 draws)

To assist with the information and documentation to be provided, please refer to the Central Huron Lottery Report Checklist, the Raffle Lottery Report Instructions, or contact the Clerk's department.

1. Ensure your organization's eligibility is up-to-date with the Municipality 
2. Review the Break Open Ticket License Terms and Conditions
3. Complete the Break Open Ticket License Application and the Break Open Ticket Application Checklist and gather supporting documentation
4. Submit the Checklist, Application form, and the supporting documentation to the Clerk's department for review

Groups may request extensions on their break open ticket license if required. This must be done in writing before your current license expires. Requests will be evaluated on a case-by-case basis.

Following the commencement of a break open lottery event your organization must submit a Break Open Ticket Lottery Report within 30 days after the license has ended or the last ticket has been sold (whichever is first). Your report can be submitted to the Clerk's department by mail, fax, email, or in-person at the municipal office. 

Supplementary information is required to complete the report such as lottery trust account bank statements, copies of cheques, and copies of invoices matched to corresponding cheques. Please refer to the Central Huron Lottery Report Checklist or contact the Clerk's department. 

1. Ensure your organization's eligibility is up-to-date with the Municipality
2. Review the Bazaar License Terms and Conditions 
3. Complete the Bazaar License Application and the Bazaar Application Checklist and gather supporting documentation
4. Submit the Application form and the supporting documentation to the Clerk's department for review

Following the commencement of your event your organization must submit a Lottery Report within 30 days of holding the lottery. Your report can be submitted to the Clerk's department by mail, fax, email, or in-person at the municipal office.

The report must be submitted with the following:

• A list of prize winner(s)
• Itemized list of administrative costs (license fee, ticket purchase/printing, etc.) 
• Lottery trust account bank statements and copies of cheques and invoices for expenses and use of lottery proceeds
• One unsold ticket (this is not needed if it is a "rip ticket" for penny tables)

To assist with the information and documentation to be provided, please refer to the Central Huron Lottery Report Checklist or contact the Clerk's department.