Our library is organizing an essay and art contest this spring, and are considering the prize we will offer to winners. 

Have any of your libraries offered a cash prize for a program or contest? If so, what was the source of these funds? Legal factors to consider? We have consistently offered gift cards donated from local businesses as reading challenge prizes, but wonder about broadening our scope to larger prize amounts not specific to a business. 

We have not yet consulted a lawyer, but wanted to pose this on the listserv to learn of others' experiences.