OKLAHOMA CITY – The Oklahoma Lottery Commission on Tuesday decided to ask the legislature to remove a rule that requires 35 percent of lottery money to go to schools.
Lottery Executive Director Jim Scroggins said that the commission could provide more money for education without the 35-percent mandate, the Journal Record reports.
“You can spend real dollars, you can’t spend real percentages,” Scroggins said.
Scroggins presented a budget with the 35-percent payout, but cited statistics showing Missouri, New York and Texas had more money for schools when they lowered the percentage and increased prizes.
When Texas reduced prize payouts, lottery participation immediately dropped. Once the Legislature changed the prize payout back, Scroggins said, participation exceeded the prior numbers.
Scroggins said those hired to ensure the greatest amount of money for schools should also have the freedom to make changes that would lead to more dollars.
Scroggins said such a change would be necessary in the face of a proposed Arkansas lottery that, if approved, could cost Oklahoma’s game $10 million or more in lost revenue.
“They’ll stay at home and play their own lottery,” Scroggins said.
Should that happen, Scroggins said cuts would have to be made in prizes or operations. The agency was already operating on a slim margin and that cutting prizes could drive lottery participants to other states.
Scroggins said he would meet with members of the Legislature, education officials, and the governor’s office to gain support for the recommended change. Gov. Brad Henry said he was willing to listen to any offer that would lead to more education dollars.