Sure. I don't see why not.
I suppose one may use any codesnippet they see fit. Of course, the majority of what makes the game - adn this is entirely subjective and will be judged by the voters individually - has to be created from scratch for the contest. For you, this means (most) levels and models. For me, it means most of the code.
Honestly, I'm just happy that someone is doing this as well - Thanks!