Topic:
APPOINTMENT TO OFFICE; EXECUTIVE AND LEGISLATIVE NOMS. COMMITTEE; LOTTERIES; QUASI-PUBLIC AGENCIES;
Location:
EXECUTIVE AND LEGISLATIVE NOMINATIONS COMMITTEE;

OLR Research Report


March 20, 2006

 

2006-R-0227

QUESTIONS FOR CONNECTICUT LOTTERY CORPORATION NOMINEE

By: Veronica Rose, Principal Analyst

The Connecticut Lottery Corporation (CGS § 12-802)

• The board consists of 13 members who serve at the pleasure of the appointing authorities. At least four must have skill, knowledge, and experience in the fields of management, finance, or operations in the private sector.

• The governor appoints five members, including the chairperson; the six top legislative leaders appoint six. The state treasurer and Office of Policy and Management director serve as ex-officio members.

• Both houses confirm the governor's appointees following the procedure for confirming department heads.

• Directors may be removed by court order for misfeasance, malfeasance, or willful neglect of duty and become ineligible for reappointment.

1. What are your goals for the corporation and how can the legislature help you achieve them?

2. What lottery issues would you like to see the legislature address this session?

3. What would you consider the optimum level of legislative oversight for the corporation?

4. Given sufficient personnel and resources, what initiatives would you most like the agency to take on in the future?

5. What would you consider the most pressing issues to be resolved at the corporation, and what would you set as your deadline for resolving them?

6. Do you anticipate that in the next few years the corporation will face any significant challenges not readily apparent now? What are they, and how should the corporation prepare to deal with them?

7. The corporation is charged with (1) operating and managing the lottery in an entrepreneurial and business-like manner, (2) increasing lottery revenue, and (3) operating the lottery with integrity and for the public good. Do you see any tension between these goals? Are they all achievable or must some be subordinated to the others?

8. Last year the corporation paid some large bonuses to several employees. Some legislators criticized them as excessive. Were the criticisms justified? How has the corporation addressed this issue?

9. Some people have suggested that the legislature dissolve the corporation and return the administration of the lottery to the Division of Special Revenue. Is the state better served by having the corporation operate as a quasi-public corporation? What are the arguments for maintaining it as such?

10. One of the corporation's purposes is to operate the lottery for the “public good. ” But, according to numerous studies, the lottery is one of the games of choice of compulsive gamblers. How can we resolve what appears to be an inherent conflict between the organization's purpose and the lottery's role in promoting compulsive gambling?

11. Some states earmark lottery proceeds for a specific purpose. Connecticut once earmarked them for education. What is the case for or against earmarking lottery proceeds for a specific purpose?

12. Despite questions over legal and security issues, gambling has come to the Internet. Based on your understanding of the issue, what are the most useful initiatives the legislature should pursue with regard to the lottery? Should the legislature be exploring the feasibility of using the Internet as a tool for promoting the lottery?

13. Powerball officials have been considering higher odds to increase Powerball jackpots. What are the implications of such a move for the corporation, ticket sales, and revenue? Does the corporation have any say in how the odds are calculated?

14. How frequently does the corporation update its lottery terminals? When does it plan to replace the current terminals?

15. Proposed Bill 100, which died in the Public Safety Committee this year, sought to increase the commission payable to lottery sales agents from five to seven percent of sales. When was the last time the commission was increased? Is an increase justified? How would it affect lottery revenue?

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