Missouri Lottery Proceeds Increase 18.75 Percent, Set New Record
For the 12th year in a row, Missouri Lottery proceeds have surpassed the previous year’s total and set a new record. Today’s final monthly transfer of proceeds to public education for fiscal year 2004 is $17,598,960, bringing the total proceeds to education in fiscal year 2004 to more than $230.3 million. This is an 18.75 percent increase compared to the past fiscal year, when proceeds totaled $193.9 million.
"To put it into perspective, the Lottery generated more in profits this past fiscal year than it achieved in total sales 12 years ago, when the upswing began," said Jim Scroggins, executive director of the Missouri Lottery. "That’s an increase of more than 250 percent in revenue for the state, including education, over the past 12 years."
Scroggins said the past year’s proceeds increase can be attributed to four things: numerous high Powerball jackpots, increased Scratchers sales, growth in the Club Keno game and most recently, growth in the Lotto jackpot. During the past fiscal year, Powerball jackpots exceeded the $100 million mark more than five times, compared with the previous fiscal year, when the jackpot exceeded $100 million only three times.
"We started out the fiscal year last July with a jackpot in excess of $200 million," said Scroggins. "One of the winners of that jackpot was from Missouri, which not only pumped up sales, but also generated a lot of publicity for the game."
Scroggins also noted that Scratchers sales are up approximately 8 percent over the previous fiscal year to date, due to more games and increased sales at the $2 and $5 price levels.
Club Keno continues to grow as more retailers become licensed and more players become acquainted with the game. More than 80 new retailers were licensed to sell Club Keno during the first 11 months of fiscal year 2004, and sales to date are up more than 22 percent.
During the second half of fiscal year 2004, the Missouri Lotto jackpot has risen to its current $9.4 million level, which has brought average weekly sales of approximately $611,000 up to more than $1.1 million.
Proceeds from Missouri Lottery ticket sales in fiscal year 2004 were used for a variety of public education programs including the Foundation Program, the Safe Schools Initiative, the Vocational Rehabilitation Program, the Early Grade Literacy Program and improvements at several colleges and universities around the state. For a complete list of programs funded in FY04, visit the Where The Money Goes section.
From the start of the Lottery in January 1986 through fiscal year 1993, Lottery proceeds of $542,540,033 went to the state’s General Revenue Fund. In August 1992, Missouri voters approved an amendment to direct all Lottery proceeds to public education, and since July 1993, when the law change took effect, the Lottery has contributed more than $1.7 billion to the state’s public education system.
Each year the proceeds are allocated by the governor and the state’s General Assembly during the annual appropriation process. These funds represent approximately 3.5 percent of the total annual funding required for Missouri’s public education system.
For each dollar spent on the Lottery, more than 94 cents goes back to the citizens of the state in one form or another. Approximately 60.5 cents is returned to players as prizes, 27.5 cents goes to the state’s public education programs, 6 cents pays for retailers’ commissions, incentives and bonuses, and 6 cents is used for administrative costs.
For more information concerning Missouri Lottery proceeds, including complete lists of public education programs funded each year since July 1993, visit the Missouri Lottery’s Web site at www.molottery.com.
HISTORY OF LOTTERY TRANSFERS
FY88 $80,047,009.25 (+.05)
FY89 $93,102,306.37 (+16.3)
FY90 $75,000,000.00 (-19.4)
FY91 $76,179,083.01 (+1.6)
FY92 $66,082,246.00 (-13.3)
FY93 $72,129,289.00 (+9.2)
FY94 $110,573,071.00* (+53.3)
FY95 $125,169,977.37* (+13.2)
FY96 $132,311,303.00* (+5.7)
FY97 $134,201,860.00* (+1.4)
FY98 $147,134,560.00* (+9.6)
FY99 $150,578,471.00* (+2.3)
FY00 $155,819,955.00* (+3.5)
FY01 $156,918,454.00* (+.70)
FY02 $160,092,441.00* (+2)
FY03 $193,940,550.00* (+21.1)
FY04 $230,318,233.00* ** (+18.75)
Transfers to General Revenue - $542,540,033.63
Transfers to Education (FY94 - FY04) - $1,697,058,875.37
* All proceeds to public education. All other years’ proceeds went to the General Revenue Fund.
** unaudited figures