Lottery Officials Tout Scholarships, Revenue to Rotarians

Arkansas Lottery

In an apparent effort to boost the Arkansas Lottery’s image, lottery officials recently have spoken to Rotary groups about the supposed benefits of the Arkansas Lottery.

Among other things, lottery officials highlight the number of scholarships awarded to students.

Frankly, we’ve heard all of this from lottery officials before. Here are some of the problems with the Arkansas Lottery’s talking points–and with the Arkansas Lottery in general.

1. Nearly 1/4 of “Lottery Scholarship” Money Actually Comes from the Legislature

Lottery officials often talk about how much money Arkansas’ students have received in scholarship funds. What they don’t always talk about is where that money actually came from.

Not all “lottery scholarship” money comes from the Arkansas Lottery. The Arkansas Lottery helps fund Arkansas’ Academic Challenge Scholarship. So does the Arkansas Legislature with tax money collected from Arkansans.

When lottery officials talk about how much money Arkansas’ students have received in scholarship funds, they sometimes include money the Arkansas Legislature provided.

Altogether, from July 2009 – June 2016, the Arkansas Legislature provided $187 million in Academic Challenge Scholarship funding. The Arkansas Lottery provided about $603.6 million in scholarship funding.

In other words, nearly one-fourth of the funding for the “lottery scholarship” program (i.e. the Academic Challenge Scholarship) did not come from the Lottery at all. It came from the Arkansas Legislature.

To illustrate it another way, of the 202,000 scholarships lottery officials say have been awarded through Academic Challenge since the Lottery started, approximately 48,000 of those scholarships were actually paid for by the Arkansas Legislature–not the Arkansas Lottery.

Here is a table breaking down the numbers for each complete fiscal year since the Arkansas Lottery started:

Fiscal Year Legislature’s Scholarship Funding Lottery’s Scholarship Funding % Legislature Provided % Lottery Provided
2010 $28,000,000.00 $82,551,784.52 25.33% 74.67%
2011 28,000,000.00 94,243,817.32 22.91% 77.09%
2012 28,000,000.00 97,582,527.66 22.30% 77.70%
2013 28,000,000.00 89,912,449.13 23.75% 76.25%
2014 25,000,000.00 81,457,955.22 23.48% 76.52%
2015 25,000,000.00 72,450,245.62 25.65% 74.35%
2016 25,000,000.00 85,384,111.23 22.65% 77.35%
Total $187,000,000.00 $603,582,890.70 23.65% 76.35%

Does the Arkansas Lottery provide most of the money for the state’s Academic Challenge Scholarship fund? Sure.

Does it provide all of the money for that fund? Not even close.

2. The Arkansas Lottery Does Not Give Full Rides to College

Under Act 234 of 2013, the most a freshman at a four-year college or university in Arkansas can receive from the Academic Challenge Scholarship is $2,000. A senior at a 4-year college or university can receive $5,000.

To put these numbers in perspective, the University of Arkansas at Fort Smith’s website estimates students will pay at least $6,700 per year in tuition and related fees. No lottery scholarship can cover that.

Lottery officials like to talk about the number of students the Lottery sends to college. The truth is a lottery scholarship will not really “send” anyone to college. It will cover some of the costs of going to school, but certainly not all of them.

3. The Arkansas Lottery Does Not “Generate” Money for Scholarships

Lottery officials often say the Arkansas Lottery “generates” money for scholarships. The truth is the Arkansas Lottery does not “generate” any money. It pulls money out of the economy. It entices people to gamble–and lose–money on lottery tickets, and then it spends most of that money on government bureaucracy and contracts with companies in other states.

Since the Arkansas Lottery first set up shop in 2009, the Arkansas Lottery has taken in more than $3.1 billion. Less than 20% of that money was spent on college scholarships. The Arkansas Lottery has spent nearly $2.5 billion on salaries, overhead costs, contracts with lottery vendors, and other expenses.

For a full breakdown of the Arkansas Lottery’s revenue and its scholarship allocations, check out this table:

Month Gross Lottery Revenue Paid to Scholarships % Gross Revenue
September 2009 – December 2009 $140,663,596.38 $29,257,495.48 20.8%
January, 2010 40,732,059.10 8,213,311.32 20.2%
February 46,006,517.45 9,713,297.81 21.1%
March 43,305,930.90 9,677,617.03 22.3%
April 38,182,470.50 8,270,655.49 21.7%
May 39,933,085.50 11,129,450.15 27.9%
June 35,728,633.85 6,289,957.24 17.6%
July 35,031,491.82 7,520,120.34 21.5%
August 35,320,546.96 7,338,723.82 20.8%
September 34,254,979.66 6,549,850.89 19.1%
October 36,656,481.26 9,719,358.08 26.5%
November 35,438,274.50 8,256,268.77 23.3%
December 40,240,809.78 6,696,764.84 16.6%
January, 2011 39,271,538.50 9,033,775.08 23.0%
February 41,429,186.01 8,229,741.60 19.9%
March 46,497,918.23 10,289,409.67 22.1%
April 38,206,042.00 8,397,457.57 22.0%
May 43,330,165.29 8,521,784.66 19.7%
June 39,402,904.75 3,690,562.00 9.4%
July 36,012,930.08 7,152,902.98 19.9%
August 38,111,003.00 7,543,553.59 19.8%
September 39,003,945.00 6,973,179.71 17.9%
October 37,702,362.62 8,133,705.83 21.6%
November 36,549,852.82 7,994,126.51 21.9%
December 39,660,751.64 7,888,279.14 19.9%
January, 2012 35,166,516.65 5,522,746.82 15.7%
February 49,160,394.76 9,729,593.58 19.8%
March 51,432,631.61 12,827,373.05 24.9%
April 39,433,610.80 7,066,187.76 17.9%
May 36,887,158.00 7,571,654.04 20.5%
June 34,504,440.30 9,179,224.65 26.6%
July 33,799,768.89 4,752,501.51 14.1%
August 35,021,798.75 7,193,285.93 20.5%
September 29,774,378.22 6,584,956.76 22.1%
October 33,905,873.06 6,632,866.03 19.6%
November 39,432,474.86 8,443,935.59 21.4%
December 34,257,289.75 6,914,260.68 20.2%
January, 2013 32,503,601.13 6,538,953.09 20.1%
February 41,886,865.34 6,447,118.77 15.4%
March 47,059,333.27 9,775,272.83 20.8%
April 31,319,563.49 8,143,467.33 26.0%
May 42,281,984.15 9,894,347.85 23.4%
June 32,002,883.35 8,591,482.76 26.8%
July 33,078,775.30 4,891,371.69 14.8%
August 34,471,323.18 6,401,829.10 18.6%
September 31,857,565.72 6,023,766.10 18.9%
October 33,271,398.30 6,773,936.78 20.4%
November 31,243,008.93 6,768,352.72 21.7%
December 35,496,013.02 5,831,218.66 16.4%
January, 2014 31,078,390.22 5,616,281.40 18.1%
February 38,985,852.63 5,909,955.50 15.2%
March 41,258,315.52 7,324,233.06 17.8%
April 36,626,908.39 7,476,150.84 20.4%
May 33,323,318.34 6,513,245.39 19.5%
June 29,947,098.30 11,927,613.98 39.8%
July 30,925,067.43 5,928,447.99 19.2%
August 31,571,412.10 5,296,965.80 16.8%
September 30,710,493.31 4,317,227.10 14.1%
October 32,959,739.29 5,939,625.59 18.0%
November 30,617,278.28 5,577,035.16 18.2%
December 34,507,731.54 5,474,318.77 15.9%
January, 2015 35,433,619.67 7,287,773.28 20.6%
February 41,770,314.46 6,161,343.01 14.8%
March 37,367,453.25 6,898,524.35 18.5%
April 33,866,970.54 5,881,005.95 17.4%
May 35,689,036.10 5,409,050.48 15.2%
June 33,815,559.59 8,278,928.14 24.5%
July 31,665,651.14 5,784,683.09 18.3%
August 31,265,177.55 5,490,094.00 17.6%
September 36,134,389.63 6,624,967.11 18.3%
October 35,261,533.80 6,020,642.32 17.1%
November 32,226,599.28 5,725,139.09 17.8%
December 38,670,746.09 6,425,754.66 16.6%
January, 2016 58,746,249.00 13,831,359.75 23.5%
February 40,790,144.05 4,474,356.06 11.0%
March 40,579,421.05 5,758,892.84 14.2%
April 37,516,802.47 7,392,837.00 19.7%
May 38,485,146.05 6,606,164.94 17.2%
June 34,983,951.24 11,249,220.37 32.2%
July 38,237,293.92 8,714,386.39 22.8%
August 35,091,022.09 5,498,714.86 15.7%
Total $3,106,030,814.75 $617,795,991.95 19.9%

4. The Arkansas Lottery is Well Below-Average on Education Spending

The typical state lottery allocates about 30% of its revenue for state education, scholarships, or similar programs. Louisiana’s lottery allocates 35% of its revenue. However, the Arkansas Lottery typically allocates less than 20% of its revenue for scholarships. We have written repeatedly about how easily the Arkansas Lottery could bolster scholarship funding if it would simply budget an “average” portion of its revenue for scholarships.

5. The Arkansas Lottery Has Failed to Live Up to Its Promised $100 Million in Scholarship Funding

When then-Lt. Gov. Bill Halter campaigned for the Arkansas Lottery in 2008, he said repeatedly that a state-run lottery would provide at least $100 million per yer in scholarship funds. To date the Arkansas Lottery has failed to provide $100 million in scholarship funding even one year, let alone every year.

Conclusion

The Arkansas Lottery is a drain on the economy. At best it’s an inefficient way to fund scholarships. At worst, it preys on our poorest citizens who gamble out of desperation rather than for fun.

No matter how you look at it, the Arkansas Lottery simply is not all it is cracked up to be.

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Study: Religion Contributes At Least $378 Billion to U.S. Economy Annually

Religion

When we talk about the value of religion to American society, we often mean moral or spiritual value–like the way Christians and churches espouse biblical truth and point people back to God. The Church’s primary “value” in the world is spiritual–not monetary.

However, to prove religion is valuable in more ways than one, researchers writing in the Interdisciplinary Journal of Research and Religion have published a study evaluating religious institutions’ economic contributions to American society.

After examining the revenues of religious organizations as well as the fair market values of the goods and services these organizations offered, researchers estimated “religion” in America contributes at least $378 billion to the U.S. economy annually–and possibly as much as $1.2 trillion or more.

The Ethics & Religious Liberty Commission of the Southern Baptist Convention writes,

Faith-based healthcare networks contribute $161 billion annually (13.9 percent of the total contribution of religion to the U.S. economy). Congregations contribute about $327 billion annually (28.2 percent), plus an additional $91.3 billion if schools and daycare are taken into account (together making 36.1 percent of the total). Higher education adds $46.8 billion annually (4 percent), charities add $95.2 billion annually (8.2 percent), and businesses [with religious roots] add $438 billion annually, slightly more than a third of the total (37.8 percent).

Obviously, this research is imperfect–a point the study’s authors carefully make–but when you consider how many hospitals and adoption agencies were founded by religious organizations; how many Christian charities contribute to things like disaster relief, and how many churches are backing their efforts financially; and how many churches run food pantries, homeless shelters, daycares, and schools; it becomes apparent that people of faith are having a tremendous impact on the world–both in spiritual and economic terms.

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MI Man Gets a Year Probation for Fatal Marijuana-Related Crash

Marijuana

Kush_closeAccording to news reports, a Michigan driver responsible for a fatal collision with a horse-drawn buggy has received a twelve-month delayed sentence.

Records indicate in December of 2015 the driver collided with the buggy, killing a pregnant Amish woman and injuring her other children who were in the buggy with her. Records also indicate the driver had THC, the main ingredient in marijuana, in his system at the time of the crash.

Unfortunately, this is not an isolated incident. For example:

  1. August, 2016:  A Minnesota man crashed his pickup truck into a tree, killing himself and two passengers. According to police, the driver had elevated levels of THC, marijuana’s active ingredient, in his system at the time of the crash.
  2. August, 2016: A Connecticut man crashed his vehicle into a police cruiser after smoking marijuana. The driver reportedly admitted to smoking marijuana two hours before the crash; had marijuana in his possession; and failed a field sobriety test.
  3. August, 2016: Two dozen people were hospitalized in Ohio after accidentally ingesting large amounts of candy laced with marijuana at a musical festival. The candy was reportedly labeled “Prescribed Medibles by Dr. Greenbuds,” which would seem to indicate the candy was originally intended for “medical use.” Health professionals initially believed concertgoers had overdosed on opioids, but later realized the candies contained high levels of marijuana’s active ingredient, THC.
  4. August, 2016: Nineteen people were hospitalized after accidentally ingesting gummy candy laced with marijuana at a birthday party in California. They suffered adverse reactions including rapid heart rates, high blood pressure, dilated pupils, dizziness, light-headedness, nausea, lethargy, and confusion.
  5. July, 2016: A 5-year-old Oregon girl was hospitalized after eating candy laced with marijuana. According to officials, the girl experienced hallucinations and an elevated heart rate. Local police issued a press release, saying, “As many of these edibles come in the form of cookies, brownies, and candy, children are naturally drawn to them. However the small size of children, and the usually higher/concentrated THC levels found in the edibles can easily lead to overdoses by children and adults.”
  6. July, 2016: A Massachusetts teen called 911 after his friend began reacting negatively to marijuana-laced candy. Authorities say the pair had eaten marijuana-laced candy that appeared to have come from a medical-marijuana supplier. The two teens reportedly were sent to the hospital.
  7. July, 2016: Police in Arizona arrested a mother for allegedly giving her 11- and 12-year-old children gummy candy infused with marijuana. Police say the marijuana-infused candy was originally purchased by an Arizona medical marijuana user, but was illegally transferred to the mother in question.
  8. July, 2016: Two California teens were hospitalized after eating a marijuana-laced cookie. The teens reported purchasing the cookie from a third teenager who was subsequently arrested.
  9. July, 2016: A Wisconsin teen admitted to using marijuana shortly before his vehicle missed a stop sign and collided with an SUV. The crash killed two people and put a third in the ICU.
  10. July, 2016: A California man was arrested for giving candy laced with marijuana to a 6-year-old boy and an 8-year-old boy; the 6-year-old was hospitalized for marijuana poisoning.
  11. June, 2016: Authorities in Arizona believe the woman who caused a deadly crash was driving under the influence of marijuana. Court documents reveal the woman was driving at least 75 MPH in a 40 MPH zone when she crossed the center line, plowing into an oncoming vehicle and killing a man and his daughter.
  12. May, 2016: A Washington man pleaded guilty to giving his 4-year-old daughter a piece of chocolate cake infused with marijuana. The man reportedly went to his daughter’s daycare, where he gave her the cake. The girl later became “extremely lethargic,” and was taken to a local hospital, where she tested positive for THC–the main, active ingredient in marijuana.
  13. May, 2016: Hospitals in Colorado reported a spike in the number of newborns born with marijuana in their systems.
  14. May, 2016: Several churchgoers were sent to the ER after accidentally eating marijuana-infused cookies following church services.
  15. May, 2016: A 7-year-old boy in Washington was paralyzed by a car accident involving a teen believed to be driving under the influence of Marijuana.
  16. April, 2016: A twenty-four year old man and two teenage girls were hospitalized after eating gummy candies containing high levels of THC, the active ingredient in marijuana. One of the girls was even admitted to the ICU. According to investigators, each gummy candy contained 450 Mg of THC, and the three victims experienced negative reactions that included seizures, hallucinations, and vomiting. By contrast, 10 Mg of THC is considered a “standard serving size” for a marijuana edible.
  17. April, 2016: A Utah man was charged with driving under the influence of marijuana following a fatal car crash.
  18. April, 2016: A Georgia woman was arrested after her five year old said he ate a marijuana cake for breakfast. The child was taken to the hospital for treatment following the incident; according to officials, his pulse was measured at over 200 beats per minute. According to the child’s mother, the cake laced with marijuana was given to her by another person.
  19. February, 2016: An eight-year-old Oregon boy was taken to the hospital after eating a marijuana-infused cookie he found. The cookie was sealed and labeled that it contained approximately 50 milligrams of THC, the active ingredient in marijuana.
  20. February, 2016: A Pennsylvania driver involved in an accident that severely injured a pedestrian tested positive for THC, the active ingredient in marijuana.
  21. October, 2015: A 27-year-old Oregon man admitted to using marijuana shortly before he struck and killed a female pedestrian.
  22. August, 2015: An Indiana woman who tested positive for THC, the active ingredient in marijuana, crossed the median, striking another car head-on and killing its driver.
  23. August, 2015: A Michigan man drove his car off the road, crashing it into a tree and killing his girlfriend who was a passenger in the vehicle. Officials initially believed the driver was drunk, but later determined the driver had THC, the active ingredient in marijuana, in his system.
  24. August, 2015: A New York man crashed into a motorcycle carrying two riders; both riders died at the scene of the accident. According to court testimony, the driver admitted to smoking marijuana twice on the morning of the crash.
  25. June, 2015: A California man involved in a fatal crash tested positive for elevated levels of THC, according to police. The crash killed one woman and injured five other people. Police said the driver was at a local medical marijuana dispensary prior to the crash, that marijuana was found in his car, and that the driver admitted to smoking marijuana at the dispensary before the accident.
  26. May, 2015: An Indiana man who officials say tested positive for THC was involved in a head-on collision that resulted in the death of another driver.
  27. March, 2015: Four high school students were hospitalized after eating brownies laced with marijuana hash oil. One student was actually found unresponsive in a school bathroom after eating a marijuana-laced brownie.
  28. March, 2015: A Virginia man driving under the influence of marijuana collided with an oncoming train, killing a three-year-old child riding in his car, and injuring two other children.
  29. February, 2015: A 20-month-old Canadian toddler overdosed after eating a marijuana-laced cookie authorities say his father baked. The child survived, but suffered seizures and had to be admitted to a hospital.
  30. January, 2015: News outlets in Oregon reported a woman overdosed after she ate three gummy candies laced with marijuana.
  31. December, 2014: Oklahoma authorities reported a man with marijuana both in his system and on his person drove into oncoming traffic, crashing into another vehicle and killing its driver.
  32. December, 2014: A high school teacher in Maryland was hospitalized after a student gave her a brownie containing marijuana.
  33. December, 2014: Two middle school students in Oklahoma were rushed to the hospital after one of them reportedly passed out following marijuana-use at school.
  34. November, 2014: A Connecticut teen was taken to the hospital from school after she started having difficulty breathing following ingestion of a marijuana-laced gummy bear.
  35. October, 2014: Officials say a Washington woman with high levels of THC in her system sped through a stoplight at high speed before broadsiding another car and killing its driver.
  36. June, 2014: According to The Aspen Times, a seven-year-old girl was taken to the hospital after eating marijuana-laced candy her mother brought home from work at an area hotel. The candy was left by a hotel guest–presumably as a tip.
  37. May, 2014: A Utah man driving under the influence of marijuana crashed into another vehicle, severely injuring a teenage girl and her 30-year-old cousin. The driver was sentenced to up to 5 years in prison.
  38. March, 2014: A California man driving at high speeds under the influence of marijuana ran a red light before losing control of his car and striking another vehicle, killing its driver.
  39. March, 2014: A 19-year-old college student jumped to his death after eating a marijuana-laced cookie purchased at a licensed marijuana store in Colorado. Reports indicate the man began shaking, screaming, and throwing objects in his hotel room after eating the marijuana “edible.” He ultimately jumped over the fourth-floor railing, into the lobby of the hotel at which he was staying. According to CBS News, the autopsy report listed marijuana as a “significant contributing factor” to his death.
  40. December, 2013: A two-year-old in Colorado overdosed and was hospitalized after eating a cookie laced with marijuana. News outlets indicate the girl found the cookie in the yard of an apartment complex.

As we keep saying, marijuana may be many things, but “harmless” simply is not one of them.

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