North Dakota Lottery Director Randy Miller recently announced in the fiscal year ending June 30, lottery ticket sales dropped by 22 percent, to .6 million from a record .7 million in fiscal 2016. Miller blamed smaller Powerball jackpots for the decline. However, he noted sales still were the third-highest in the state’s history, and just 0,000 short of the second-highest record set in fiscal 2013. Lottery profits to the state were .2 million, down from .5 million in fiscal 2016.
“We just didn’t have the record jackpot last year like we did the year before,” Miller said, referring to the $1.5 billion Powerball jackpot in 2016.
Lottery figures showed prizes from all games fell from $18.3 million in fiscal 2016 to $14.4 million in fiscal 2017. Overall expenses declined from $26 million to $20.8 million due to a drop in ticket sales, Miller said.
Besides prize payouts, the lottery’s largest expense was $2.88 million in commissions paid to Scientific Games International Inc., which supplies and services the lottery’s sales terminals and takes a 10-cent commission for every lottery ticket sold, Miller said. The lottery also paid $1.38 million to the 450 merchants who sell tickets throughout the state and receive a 5-cent commission for every $1 ticket they sell.
The lottery offers four multistate games: Powerball, Mega Millions, 2by2 and Lucky For Life. Most of the profits go to the state’s general treasury; smaller amounts are set aside to provide counseling for gambling addicts and drug enforcement. For each of the past two years, the lottery has transferred $320,000 to a compulsive gambling program and $422,500 to drug enforcement.
Although ticket sales and revenue were down, data indicate salaries and benefits for the agency’s eight full-time and two part-time employees increased from $830,172 in fiscal 2016 to $887,569 last year.
Miller said in fiscal 2017, North Dakota players did not cash winning tickets worth $734,280, including a $25,000 Mega Millions ticket. That total is up from $449,431 in fiscal 2016. Gamblers have six months in which to cash a winning lottery ticket or the money goes to the state.
