Traditional

Here’s a breakdown of FY19 traditional lottery sales, by game, compared to FY18 sales:

FY 2018 FY 2019 Game Type % Change Thru 6/30/2018 Thru 6/30/2019 Instants & Pull Tabs 157,389,042 165,625,843 5.23% 40,047,750 35,707,327 -10.84% 17,220,849 28,997,959 68.39% Super Kansas Cash 11,831,489 21,077,568 78.15% 3,326,783 Discontinued -100.00% 4,011,859 6,567,708 63.71% 5,887,198 5,655,846 -3.93% Pick 3 7,089,797 7,090,765 0.01% 1,550,011 1,610,272 3.89% 14,200,817 13,157,552 -7.35% Kansas Hold’Em 2,459,770 Discontinued -100.00% Racetrax New in 2019 5,791,350 100.00% Raffle 3,933,440 4,000,000 1.69% Total All Games $268,948,805 $295,282,190 9.79%

Expanded () Gaming

State-owned and operated casino gaming generated a transfer of $98.7 million in FY19. Of that, $90.5 million went to the Expanded Lottery Act Revenues Fund, and $8.22 million went to the Problem & Addictions Grant Fund. In addition to revenue transferred to the State, casino gaming generated a transfer of $12.3 million to local units of government in the four casino gaming zones.

Here is the distribution of revenue at Boot Hill Casino & Resort in Dodge City in FY19:

Adjusted Net Revenue as of June 30, 2019: $41,589,906

Distribution Percentage Received Amount Received State of Kansas 22% $9,149,779 Problem Gambling & 2% $831,798 Addictions Grant Fund Local Governments* 3% $1,247,698 Casino Manager 73% $30,360,631 *1.5% to City of Dodge City and 1.5% to Ford County

Here is the distribution of revenue at Kansas Star Casino in Mulvane in FY19:

Adjusted Net Revenue as of June 30, 2019: $184,157,835

Distribution Percentage Received Amount Received State of Kansas 22% $40,554,718 Problem Gambling & $3,683,156 2% Addictions Grant Fund Local Governments* 3% $5,524,735 Casino Manager 73% $134,395,226 *1% to City of Mulvane, 1% to Sumner County, and 1% to Sedgwick County

Here is the distribution of revenue at Hollywood Casino at Kansas Speedway in Kansas City, Kans., in FY19:

Adjusted Net Revenue as of June 30, 2019: $150,790,865

Distribution Percentage Received Amount Received State of Kansas 22% $33,173,990 Problem Gambling & $3,015,818 2% Addictions Grant Fund Local Governments* 3% $4,523,726 Casino Manager 73% $110,077,331 *3% to the Unified Government of Wyandotte County and Kansas City, Kans.

Here is the distribution of revenue at Kansas Crossing Casino in Pittsburg, Kans., in FY19:

Adjusted Net Revenue as of June 30, 2019: $34,489,213

Distribution Percentage Received Amount Received State of Kansas 22% $7,587,627 Problem Gambling & $689,784 2% Addictions Grant Fund Local Governments* 3% $1,034,676 Casino Manager 73% $25,177,126 1% to City of Pittsburg, 1% to Cherokee County, and 1% to Crawford County

Where Does the Money Go?

Traditional Lottery Revenue

Traditional lottery revenue goes into the State Gaming Revenues Fund. On a yearly basis, the first $50 million is divided by a formula which first transfers $80,000 to the Problem Gambling and Addictions Grant Fund. Then 85 percent of the balance is transferred to the Economic Development Initiatives Fund, 10 percent to the Correctional Institutions Building Fund, and 5 percent to the Juvenile Detention Facilities Fund.

The Economic Development Initiatives Fund supports state programs that create and retain jobs in Kansas. Those include Kansas Department of Commerce programs, Tourism and Parks programs in the Kansas Department of Wildlife & Parks, the Kansas Board of Regents for vocational education programs, and many more.

Other portions of traditional lottery revenue are specifically appropriated for veterans’ programs and, beginning in Fiscal Year 2020, mental health programs. All other net revenues in excess of $50 million must be transferred to the State General Fund.

In Fiscal Year 2020, up to $8 million of the net profits generated from vending machine sales will be directed to mental health programs throughout the state.

Veterans Games Included in the Fiscal Year 2019 transfer of traditional lottery was $1.2 million from the sale of special $1 and $2 Veterans Benefit instant scratch tickets. Proceeds from the tickets go to state programs benefiting Kansas Military veterans. Some of the programs include Veterans Enhanced Service Delivery Program, National Guard scholarships and Kansas Veterans homes and cemeteries.

Expanded Lottery (Casino) Revenue

The 2007 Kansas Expanded Lottery Act created the Expanded Lottery Act Revenues Fund (ELARF). The State’s share of revenue from state-owned and -operated casino gaming is transferred from the ELARF for purposes of reduction of state debt, state infrastructure improvements and reduction of local ad valorem ; and/or for other purposes as directed by the Kansas Legislature, such as Kan-Grow Engineering Funds at state universities and the reduction of unfunded actuarial liability of the Kansas Public Employees Retirement System (KPERS).