SENATE BILL REPORT

                   SB 5907

                      As of March 7, 1997

Title:  An act relating to state lottery accounts.

Brief Description:  Shifting the uses of moneys in state lottery accounts.

Sponsors:  Senators Swanson, Wojahn, Fraser, Goings, West and Oke.

Brief History:

Committee Activity:  Ways & Means:  3/10/97.

SENATE COMMITTEE ON WAYS & MEANS

Staff:  Maura Sullivan (786-7431)

Background:  All lottery ticket sales revenues are deposited into the nonappropriated state lottery account.

In the current 1995-97 biennium, the lottery expects to spend about $540 million from this account on prizes, retailer commissions, game production expenses and advertising.  The lottery will also transfer about $210 million from the account into the general fund this biennium.

In addition, the lottery transfers funds into the appropriated lottery administrative account (about $20 million this biennium).  The funds are used for all administrative and operating expenses including employees= salaries and benefits, computer system resources, marketing management, sales and customer service.

Summary of Bill:   Retailer commissions, game production services and advertising expenses are moved into the appropriated lottery administrative account.  In the current biennium, these items total about $95 million.  Prize expenditures continue to come from the nonappropriated state lottery account.

Appropriation:  None.

Fiscal Note:  Requested on March 5, 1997.

Effective Date:  Ninety days after adjournment of session in which bill is passed.