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Well first of all you need to tell me what age this thing is for. If it's for kids you should get kids to donate old stuffed animals, it may seem weird but honestly it worked! If it's for adults you should get gift certificates from nail salons (it's not that expensive) and get things from kohls, sears, marshalls, and whatever else you can think of.
Gardening items, which are on sale and close out now. The Dollar Store has a lot of stuff: mugs, figurines, candles, bath things. Gift cards. Maybe try a "bag" auction where the bidder has to bid on a bag and then they get to see what it is in. If you do this include a few more expensive items also. Summer patio dinner ware and glasses are also on clearance and I've seen some really cute stuff at Walmart. Also maybe some DVD's. And you might try some food items, like maybe a bag of pasta and spaghetti sauce with a spoon with a ribbon tied to it. This could work for all sorts of things. And maybe get younger people that would volunteer to do things like yard work or house cleaning for the elderly and you could auction that off too.
Have a recycled aucton. Have fellow workers donate never or seldom used items, such as unused Christmas gifts, etc. One man's junk is another mans's treasure. This way it will next to nothing to have prizes.
Gift cards, or maybe gift baskets of stuff from dollar store-i.e. snack food basket, bath and beauty basket, etc...