News writer, Interviewer
The New York State Lottery has become a powerhouse for educational funding in the state, growing from $7.9 billion in fiscal year 2011 to $10.6 billion in fiscal year 2023-24. This remarkable growth has occurred despite significant changes in New York's gambling landscape.
A steady source of educational funding
Gweneth Dean, the New York State Lottery director since 2017, told City & State New York:
The advent of casinos, mobile sports wagering, or horse racing in New York state has had minimal impact on the New York Lottery. For 60 years, the New York Lottery has become one of the most recognized brands in the state and has a large, dedicated, and active player base that enjoys the various lottery games that we offer.
This resilience is evident in the numbers. Combined traditional lottery sales and video lottery revenue have grown steadily each year, with the exception of 2020 due to COVID-19. The $10.6 billion generated in 2023-24 resulted in $3.8 billion directed to education in New York State.
Beyond traditional lottery games
The New York State Lottery's reach extends beyond just scratch-off tickets and draw games. According to Dean:
In 2002, New York state authorized the operation of video lottery terminals at certain race tracks across the state. These lottery games are server-controlled and not traditional, standalone slot machines. The revenue produced is lottery revenue, is directed to education and distributed to school districts across the state.
Responsible gambling initiatives
As gambling options expand in New York, the state has taken steps to address problem gambling. The Responsible Play Partnership (RPP), formed in 2013, brings together gaming operators, problem gambling treatment professionals, and regulators. Dean explained:
The New York Lottery is a division of the state Gaming Commission, which formed the RPP in 2013 to bridge the gap between gaming operators, problem gambling treatment professionals, and regulators as more gaming opportunities became available in the state. Since then, the RPP has held dozens of events across the state with gaming operators to educate players and employees on the issue, as well as public service announcements and other campaigns. We are proud to work with the RPP to protect New Yorkers.
How New York compares
New York's lottery outperforms other major state lotteries in terms of educational funding:
- New York: $3.8 billion for education
- Texas: $2.0 billion for the Foundation School Fund, General Revenue Fund, and other programs
- Michigan: $1.2 billion for the education (K-12), General Fund, Health and Human Services
- Massachusetts: $1.1 billion for the Arts Council, Cities and Towns, Compulsive Gamblers, General Fund
- North Carolina: $1.1 billion for education, Alcohol Law Enforcement, NC Problem Gambling
While exact player numbers are difficult to determine, Dean notes that "Lottery products have various price points and individuals purchase an indeterminate number of products, making it difficult to gauge the number of people who play the lottery. The sales numbers and net win speak for themselves."
Under Dean's leadership, the New York Lottery continues to be North America's largest and most profitable lottery operation, providing critical funding for education throughout the state despite the ever-evolving gambling landscape.
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