WHERE THE MONEY GOES
Since the Kansas Lottery's start up in November 1987, through
June 30, 2013, Lottery ticket sales have produced more than $1.4
billion in revenues transferred to the State of Kansas.
The Lottery's Fiscal Year 2014, which ended June 30, 2014,
produced $246.4 million (unaudited) in sales and $74.3 million
transferred to the state.
The Kansas Lottery Act requires that a minimum of 45 percent of
total sales be paid back to the players through the prize fund. In
Fiscal Year 2013 (July 1, 2012 through June 30, 2013), the Kansas
Lottery paid out 56.6 percent in prizes. The State Gaming Revenues
Fund received 29.5 percent of ticket sales; cost of sales was 3.9
percent (which covers online vendor fees, telecommunications costs
and instant ticket printing); 5.8 percent was paid to Lottery
retailers for commissions and bonuses; and 4.2 percent covered
administrative expenses (salaries, advertising, depreciation,
professional services and other administrative expenses.)
How are Kansas Lottery Proceeds Distributed?
The State Gaming Revenues Fund (SGRF) is funded
through monthly transfers from the Kansas Lottery. Transfers are
then made from the Gaming Fund to funds dedicated to economic
development initiatives, prison construction and maintenance
projects, local juvenile detention facilities, problem gambling
assistance, and the State General Fund.
The first $50 million is divided by a formula which first
transfers $80,000 to the Problem Gambling and Addictions Grant
Fund. Then 85 percent of the balance is transferred to the Economic
Development Initiatives Fund, 10 percent to the Correctional
Institutions Building Fund, and 5 percent to the Juvenile Detention
Facilities Fund. Any receipts in excess of $50 million must be
transferred to the State General Fund.
Gaming Revenues Fund Fiscal Year 2013
|Economic Development Initiatives Fund
|Juvenile Detention Facilities Fund
|Correctional Institutions Building Fund
|Problem Gambling Grant Fund
|State General Fund
Kansas Lottery Veterans Benefit Tickets
Legislation passed by the 2003 Legislature authorizes net
profits from Veterans Benefit Games to go directly to designated
veterans programs. Every penny of the money is used here in
Kansas and goes to provide basic things for our Kansas military
All net profits received from the sale of Kansas Lottery
Veterans Benefit Games are deposited into the state treasury and
are then directed to three special funds:
- 40 percent for National Guard educational assistance act
- 30 percent to the veterans home fee fund to be used for the
Kansas veterans homes and the state veterans cemetery system
- 30 percent to the veterans enhanced service delivery
Click to learn more about the Veterans
Enhanced Service Delivery Program.
about the Veterans Enhanced Delivery Program.
Initially, Veterans Benefit Games were sold only from May
through November each year. A change in the legislation
authorized the Lottery to sell the games year round, starting in
May 2008. Fiscal Year 2009 was the first year that included
year round sales.
How does the Kansas Lottery transfer revenue from Veterans
Net profits from the sale of Kansas Lottery Veterans games are
transferred to the state treasury once a year on June 15. The
transfer is made at the same time as the Lottery makes its monthly
transfer to the State Gaming Revenues Fund. From the state
treasury, the Veterans Benefit funds are distributed directly to
the designated programs, according to the percentages in the
Money Has the Lottery Transferred from Veterans
Fiscal Year Transfers