Lottery officials say FY proceeds likely around $440M; instant tickets drive most sales

Rebecca (President Paul) and Andy Davis, CFO of the Tennessee Education Lottery Corporation, presented revenue and proceeds estimates, telling the committee the lottery has "raised over 8,100,000,000 for the education programs that we fund" since inception and that education proceeds through Dec. 31 were $231,700,000.

Davis gave a breakdown of game categories and expense estimates: instant games are projected to contribute roughly 82% of estimated revenues this year (gross revenues between about $1.54 billion and $1.56 billion for instant products), multi‑jurisdictional games (Powerball/Mega Millions) and Tennessee draw games make up the rest, and prize payouts, retailer commissions (about 6.5%), and vendor fees are the major expense categories. The agency projected it will "return roughly 440,000,000" in education funding for the fiscal year based on current trends.

Committee members asked whether online gaming and two recent large Powerball jackpots drove the improvement in revenues. President Paul and Davis said online sales have helped attract younger players and that the jackpots materially boosted this fiscal year’s totals — Davis noted last year’s lack of jackpots affected the prior-year comparison. Members also questioned staff counts and vacancy practices; Davis said authorized positions range between about 155 and 165, with some part‑time computer operators excluded from that count.