What's happening
This bill changes the percentage of lottery ticket sales allocated to prize payouts and state funds for various New York lottery games.
Why it matters
Changes the share of lottery revenue allocated to prizes and state funds. , which could impact both how attractive the games are to players (if prize payouts go down) and how much money is directed to state programs funded by the lottery.
Reduces the percentage of ticket sales used for prizes. in specific lottery games (e.g., joint, multi-jurisdiction, Daily Numbers, Win 4, Pick 10, Take 5), which may decrease the winnings for players and potentially make these games less appealing.
Increases the minimum percentage of ticket sales allocated to the state lottery fund. for certain games, which could result in more consistent or increased funding for state initiatives, including education and other state-budgeted services.
Reflects a significant policy shift in how lottery revenues are distributed. , signaling state priorities between maximizing player payouts versus ensuring stable or increased state revenues from lottery operations.
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Headline styles
Change Lottery Revenue Rules
Plain English, a few words. Used as the page title.
Sponsors
1 Co-sponsor
History
- Referred to racing, gaming and wagering
- Referred to racing, gaming and wagering
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
589
2019-2020 Regular Sessions
IN SENATE (Prefiled)
January 9, 2019
Introduced by Sen. KENNEDY -- read twice and ordered printed, and when printed to be committed to the Committee on Racing, Gaming and Wagering
AN ACT to amend the tax law, in relation to the disposition of revenue from the lottery prize account
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Paragraphs 3 and 4 of subdivision a of section 1612 of the tax law, as amended by of chapter 174 of the laws of 2013, are amended to read as follows:
(3) [fifty-five] forty-five percent of the total amount for which tickets have been sold for any joint, multi-jurisdiction, and out-ofstate lottery except as otherwise provided in paragraph one of subdivision b of this section for any joint, multi-jurisdiction, out-of-state video lottery gaming; or
(4) [fifty] thirty-five percent of the total amount for which tickets have been sold for games known as: (A) the "Daily Numbers Game" or "Win 4", discrete games in which the participants select no more than three or four of their own numbers to match with three or four numbers drawn by the division for purposes of determining winners of such games, (B) "Pick 10", offered no more than once daily, in which participants select from a specified field of numbers a subset of ten numbers to match against a subset of numbers to be drawn by the division from such field of numbers for the purpose of determining winners of such game, (C) "Take 5", offered no more than once daily, in which participants select from a specified field of numbers a subset of five numbers to match against a subset of five numbers to be drawn by the division from such field of numbers for purposes of determining winners of such game; or
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02775-01-9
S. 589 2
§ 2. The opening paragraph of paragraph 1 of subdivision b of section 1612 of the tax law, as amended by chapter 174 of the laws of 2013, is amended to read as follows:
Notwithstanding section one hundred twenty-one of the state finance law, on or before the twentieth day of each month, the division shall pay into the state treasury, to the credit of the state lottery fund created by section ninety-two-c of the state finance law, not less than [forty-five] fifty percent of the total amount for which tickets have been sold for games defined in paragraph four of subdivision a of this section during the preceding month, not less than thirty-five percent of the total amount for which tickets have been sold for games defined in paragraph three of subdivision a of this section during the preceding month, not less than [twenty] forty percent of the total amount for which tickets have been sold for games defined in paragraph two of subdivision a of this section during the preceding month, provided however that for games with a prize payout of seventy-five percent of the total amount for which tickets have been sold, the division shall pay not less than ten percent of sales into the state treasury and not less than twenty-five percent of the total amount for which tickets have been sold for games defined in paragraph one of subdivision a of this section during the preceding month; and the balance of the total revenue after payout for prizes for games known as "video lottery gaming," including any joint, multi-jurisdiction, and out-of-state video lottery gaming,
§ 3. This act shall take effect on the first of October next succeeding the date on which it shall have become a law.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the tax law, in relation to the dispo- sition of revenue from the lottery prize account
Summary of provisions
Section one decreases, by fifteen percent, the maximum amount of money allocated for prizes for the "Daily Numbers Game," "Win 4," "Pick 10," and "Take 5" games, and decreases, by five percent, the amount allo- cated for prizes for multi-jurisdiction lottery games.
Section two increases, by five percent, the minimum amount owed to the state lottery fund for education from sales of the "Daily Numbers Game," "Win 4," "Pick 10," and "Take 5" games, and increases, by twenty percent, the minimum amount owed to the state lottery fun d for educa- tion from sales of "Instant Game" scratch-off tickets.
Section three sets the effective date.
Justification
The voters of New York amended the State Constitution in 1967 to allow for a state lottery to support public education within the state. However, for the 2015-16 year, only 30.5% of traditional lottery sales were diverted to support public education within the state.
State aid to education funding has been severely restricted over the past few years. A minor change in the disposition of revenue fro m the lottery prize account will increase state aid to struggling schools. This would bring the lottery closer in line to its intent of funding New York's education.
Prior legislative history
2013-14:5.2870 REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
2015-16:S.648 REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
2017-18:S.2781 REFERRED TO RACING, GAMING AND WAGERING
Effective date
This act shall take effect on the first of October next succeeding the date on which it shall have become a law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.