Lottery Scholarships Slip

The Arkansas lottery generated $94.2 million for scholarships at state colleges and universities from sales of $465 million in fiscal 2011, up from $82 million of earnings and $383 million of sales in fiscal 2010.

Lottery officials said the revenues are not strictly comparable because the lottery was operational for only nine months of fiscal 2010.

Executive director Ernie Passailaigue said in June he thought the lottery would generate $98 million in fiscal 2011.

 He predicted in April 2010 that $105 million would be generated in fiscal 2011, down by $11 million from initial expectations, due to a legislative mandate that unclaimed prize money be transferred every month into the scholarship trust fund.

Voters approved the state lottery in November 2008.

Proponents said it would earn $100 million a year for scholarships, but the Department of Finance and Administration estimated annual revenues at about $55 million.

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