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Kansas Lottery briefed committee on revenues, transfers and growth of iLottery and vending machines
Summary
Legislative Research fiscal analyst Molly Pratt and Lottery Director Steven Dorell presented the Kansas Lottery FY26 revised estimates and FY27 request, detailing how expanded gaming and sports wagering revenues flow to facility managers, state funds, and local governments, and raising questions about problem‑gambling spending and unregulated 'gray' machines.
The Senate Federal and State Affairs committee heard a detailed presentation on the Kansas Lottery budget and revenue flows from Molly Pratt, fiscal analyst for the Legislative Research Department, followed by comments from Kansas Lottery Director Steven Dorell.
Pratt told the committee the agency does not receive state general funds and instead operates from special-revenue sources. She described how the Kansas Expanded Lottery Act allows the state lottery to operate electronic gaming machines at four state-owned casinos managed by third-party facility managers who retain the majority of expanded gaming revenue. Pratt said contractual services account for roughly 89% of the agency's FY26 request due to those contracts.
On FY25 and FY26 numbers, Pratt reported FY25 net casino gaming revenue totaled about $418 million, of…
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