HOUSE BILL REPORT

SB 5806

As Reported by House Committee On:

Ways & Means

Title: An act relating to a veteran lottery raffle.

Brief Description: Authorizing a statewide raffle to benefit veterans and their families.

Sponsors: Senators Conway, Swecker, Kastama, Hobbs, Roach, Kilmer, Shin and Kline.

Brief History:

Committee Activity:

Ways & Means: 4/14/11, 4/15/11 [DP].

Majority Report: Do pass. Signed by 26 members: Representatives Hunter, Chair; Darneille, Vice Chair; Hasegawa, Vice Chair; Alexander, Ranking Minority Member; Bailey, Assistant Ranking Minority Member; Dammeier, Assistant Ranking Minority Member; Orcutt, Assistant Ranking Minority Member; Carlyle, Chandler, Cody, Dickerson, Haigh, Haler, Hinkle, Hudgins, Hunt, Kagi, Kenney, Ormsby, Parker, Pettigrew, Schmick, Seaquist, Springer, Sullivan and Wilcox.

Staff: Jeff Olsen (786-7175).

Background:

Lottery.

The Washington Lottery (Lottery) was established in 1982 to produce revenues for the state. Proceeds from lottery revenues are deposited into the State Lottery Account to support lottery operations and also for specific beneficiaries. Lottery beneficiaries include:

• the Washington Opportunity Pathways Account;

• distributions to counties for payment of stadium bonds;

• problem gambling education;

• economic development; and

• the State General Fund.

The Washington Lottery has general authority to conduct draw games. A raffle is a type of draw game where the Lottery conducts a drawing to determine winning tickets. Proceeds from raffles are deposited into the State Lottery Account. Washington has conducted three raffles, including the Thanksgiving Raffle in 2010, which generated approximately $2.5 million in sales and $330,000 for beneficiaries.

Veterans Innovations Program.

In 2006 the Legislature established the Veterans Innovations Program (VIP) within the Washington Department of Veterans Affairs. The purpose of the VIP is to provide crisis and emergency relief and education, training, and employment assistance to veterans and their families. The VIP terminates on June 30, 2016.

Two separate programs were created within the VIP: the Defenders' Fund Program and the Competitive Grant Program. The Defenders' Fund Program allows recent veterans to receive a one-time financial hardship grant of no more than $500 related to employment, education, housing, and health care. The Competitive Grant Program provides crisis and emergency relief and education, training, and employment assistance.

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Summary of Bill:

Beginning in 2011 and each subsequent year, the Lottery is directed to conduct a statewide raffle to benefit veterans and their families. The veterans raffle tickets will go on sale on Labor Day with a drawing to occur on Veteran's Day, which is November 11 of each year. All revenues received from the sale of the games, less amounts paid out in prizes and actual administrative expenses related to the veteran lottery games, must be deposited into the VIP Account for purposes of serving veterans and their families.

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Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.

Staff Summary of Public Testimony:

(In support) The VIP has helped over 1,800 veterans by assisting those returning from combat zones to transition back to civilian life. This important program is administered by the Washington Department of Veterans Affairs, and is looking for a dedicated funding source. The Veterans Legislative Coalition supports this bill.

(Neutral) The veterans have worked with the Lottery to develop a raffle to generate funding for the veterans programs.

(Opposed) None.

Persons Testifying: (In support) Senator Conway, prime sponsor; John Lee, Washington State Department of Veterans Affairs; and Dennis Primoli, Veterans Legislative Coalition.

(Neutral) Arlen Harris, Washington State Lottery.

Persons Signed In To Testify But Not Testifying: None.