1. Can a school district or a school-sponsored student activities club hold a raffle or lottery to raise money?
No. Arizona Attorney General Opinion I84-018 states that only clubs that are not school-controlled (such as off-campus clubs, clubs sponsored by civic groups, or parent-teacher organizations) and fit within the tax exempt categories defined by A.R.S. §43-1201 may hold raffles or lotteries if they also meet the requirements of A.R.S. §13-3302(B).
2. Is a school district required to follow the School District Procurement Rules and the USFR guidelines for written quotes for goods and services purchased using only student activities monies?
No, except when the vendor is a district employee (USFR §VI-G, Expenditures).
School District Procurement Rule R7-2-1002(C) exempts purchases made with student activities monies from procurement requirements unless district monies are involved. To maximize purchasing power, it is recommended that student clubs follow the purchasing guidelines in USFR §VI-G, for obtaining written quotes for student activities disbursements below $100,000; however, the student clubs are not required to do so.
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