566#3c (SLD) Lottery Study. HB30 - Conference Report

State Budget

1998 Session

Budget Amendments - HB30 (Conference Report)

Bill Order » Item 566 #3c

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Lottery Study (language only)

Item 566 #3c

Item 566 #3c
Independent Agencies
Lottery Department, State

Language
Page 334, line 40, after "revenues." insert:
"The Request for Proposal or other specifications regarding the scope of work, and the potential contractor's proposal for conducting such study, shall be provided to the Chairmen of the House Appropriation Committee, the Senate Finance Committee, and the Joint legislative Audit and Review Commission, prior to the execution of such contract."
Page 334, line 42, strike "a" and insert "an interim".
page 334, line 43, after "Governor" insert "and the chairmen of the House Appropriation Committee, the Senate Finance Committee, and the Joint legislative Audit and Review Commission, no later than September 1, 1998 and a final report"

Explanation
(This amendment provides for copies of the scope of work document, and an interim and final report evaluating the State Lottery Department's revenue estimating process also be submitted to the General Assembly as well as the Governor.)

Item 566

Item 566	First Year - FY1999	Second Year - FY2000
State Lottery Operations (81100)	$69,220,828	$69,309,981
State Lottery Management Services (81101)	FY1999 $69,220,828	FY2000 $69,309,981
Fund Sources:
Enterprise	FY1999 $69,220,828	FY2000 $69,309,981

Authority: Title 58.1 Chapter 40, Code of Virginia.

A. The amounts for the State Lottery Management Services are estimated at $69,220,828 the first year and $69,309,981 the second year.

B. Appropriations for the Lottery Department may be transferred to this Item from any unexpended amounts in Item C-10 of this act for the purpose of leasing equipment.

C. Out of the amounts for State Lottery Management Services shall be paid:

1. Reimbursement for compensation and reasonable expenses of the members of the State Lottery Board in the performance of their duties, as provided in § 2.1-20.3, Code of Virginia.

2. The total costs for the operation and administration of the state lottery, pursuant to § 58.1-4022, Code of Virginia.

D. There is hereby appropriated from affected funds in the state treasury, for payment of prizes awarded by the state lottery and of commissions to lottery sales agents, in accordance with law, a sum sufficient.

E. Consistent with § 58.1-4020, Code of Virginia, the State Lottery Department shall in each year transfer to the Unclaimed Property Trust Fund an amount which represents the estimated current monetary value of unclaimed Lotto prizes owing to such Fund.

F.1. The State Lottery Department shall establish a nine-month pilot project, consisting of new lottery tickets or shares game in order to determine whether the funds generated, coupled with other funds, will be sufficient to make construction of a major league baseball stadium in Virginia feasible. The purpose of the pilot project shall be to determine whether the moneys estimated to be placed in the State Lottery Fund during fiscal years 1998 and 1999, pursuant to § 58.1-4022, Code of Virginia, will increase with the addition of a baseball-oriented lottery tickets or shares game.

2. The pilot project shall not include either Keno or Video Lottery type gaming.

3. The State Lottery Department shall submit a progress report on the pilot project to the Chairmen of the House Appropriations and the House and Senate Finance Committees, and to the members of the Joint Subcommittee Studying Financing Options for Constructing a Baseball Stadium in Virginia by December 1, 1998.

4. In the event that, having implemented the pilot project, deposits to the State Lottery Fund for fiscal years 1998 and 1999 exceed the official revenue estimate, the Director shall report such amount to the Chairmen of the House Appropriations and the House and Senate Finance Committees.

5. Nothing in this section shall reduce or otherwise affect the amount of prize payments, vendor compensation, or limitation on administrative expense which are otherwise set forth by law regarding Lottery gaming.

G. The Secretary of Finance and the Director of the State Lottery Department are hereby directed to jointly contract for a study of the methodology and forecasting processes employed by the State Lottery Department in projecting lottery revenues. The cost of the study shall be paid from the appropriation in this item. The Secretary and the Director shall submit a report on the study to the Governor no later than December 1, 1998.