Lawmakers going after unclaimed lottery money

Mar 4, 2013, 8:03 am (29 comments)

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So a guy walks into a gas station, buys a scratch-off, wins a few bucks, gets distracted with some fool thing and eventually puts the lucky ticket through the wash in his Wranglers. It happens. No big deal.

But for state lawmakers in a tough budget year nationwide, the unclaimed prizes are adding up to a tempting pot of cash.

"It's something we've seen an increased interest in this year," said Jon Griffin, a policy associate at the National Conference of State Legislatures in Washington.

Around the world, some staggeringly huge jackpots have gone unclaimed in recent years, drawing lots of headlines and more than a few schemes. In 2011, a $77 million Powerball winner let the 180-day deadline expire in Georgia. In California last year, a woman claimed her $23 million prize only after state officials put on a five-month publicity campaign to find the missing winner. In Illinois, officials are still searching for the holder of a $1 million ticket set to expire March 17. And in Britain, seven prizes worth $1.3 million each are set to expire between March and July.

After the prize deadlines lapse — usually within a year, sometimes in as few as 90 days — lottery commissions generally put the money toward future prizes or general state revenues.

For the most part, those policies have remained unchanged since the 1960s, when the modern state lottery movement spread from New Hampshire.

"It was all divided up in terms of who gets the profit," said I. Nelson Rose, a gambling industry expert at the Whittier Law School in California. "They didn't think about what's left over unclaimed."

Now, they are officially thinking about it.

In Albany, for example, a New York Senate committee is considering a proposal to transfer unclaimed prizes to a summer reading program known as the Love Your Library Fund.

In Wyoming, where lawmakers are trying to start a new state lottery agency, the unclaimed prize money has become the subject of an intricate power squabble. Members have been shading the prize legislation to change which agencies controlled the money and whose pet causes would benefit, from gambling addiction programs to assorted social needs and maladies.

Here in Texas, where even a big oil boom has not quite rescued the budget from troubles including a $4.7 billion debt to Medicaid, the unclaimed jackpot money seems to fit that name less and less every year.

Over the past decade, the amount has been going up, peaking at $86 million in 2010.

As the pool of cash expanded, the state developed a complex formula allowing appropriations for teaching hospitals, veterans' services and healthcare in border counties.

Other proposals met resistance. In 2005, one unsuccessful bill would have paid $50,000 to the families of Texas soldiers killed in Iraq and Afghanistan.

Last year, the Lottery Commission reported unclaimed prizes of $52 million: $35.6 million from instant games and $16.7 million from draw games.

Though the total amounts to less than a rounding error in the state's proposed two-year budget of $88.9 billion, some strikingly diverse parties have emerged to compete for the money.

"Something like $50 million will get the legislators nuts, because they can all sense, 'That's what a school costs in my district or a bridge or a road,'" said William Thompson, an expert on gambling regulation at the University of Nevada-Las Vegas.

To state Rep. Trey Martinez Fischer, D-San Antonio, $50 million means a chance to send some resources back to the original stated beneficiary of the state lottery, the public schools. His bill would send more to supplement school districts that have low property tax revenues.

"We're still dealing with $5.4 billion in cuts that were imposed by the Republican leadership," Martinez Fischer said. "I think every dollar we can find should be going to educate our schoolchildren."

Sen. Wendy Davis, D-Fort Worth, also kept her request on the modest side. Her bill would stake out $5 million for military veterans' health and education services. Under the current formula, those programs get a maximum of $5 million.

So far, the boldest proposal would carve out $10 million a year to restore the Battleship Texas, which is anchored at the San Jacinto Battleground in the Houston Ship Channel and draws 100,000 visitors annually.

Bruce Bramlett, executive director of a nonprofit foundation devoted to preserving the ship, said leaks in the battleship, which was commissioned in 1914, have caused damage requiring $75 million in repairs.

He said the idea of tapping unclaimed lottery money occurred to him, though he has done little to promote the proposal publicly.

"Loose lips sink ships," he said in an interview.

Rep. Wayne Smith, R-Baytown, who filed the measure, expressed little surprise at the emergence of competition for the unclaimed prize money.

Referring to other lawmakers with rival bills, he added, "Maybe they did their research too."

AP

Comments

golfer1960's avatargolfer1960

I think they should just put the money into the current MM or PB jackpot.

If it's state lottery money then they should roll it into their current jackpot. If it is state scratch off tickets, they should use the money to retire state debts.

However, no way should they figure out a way to "spend" it on their projects. We don't need more government spending I don't care how benevolent the cause.

 

no more spending

JAP69's avatarJAP69

Unclaimed lottery funds should be returned to the lottery pool it is unclaimed from.

Something like pick 3 and 4 unclaimed funds could be returned in bonus payouts until used up. Scratchers go back to maybe reduced ticket cost. pick 5 and up prizes go back into that pool.

Return it back to the lottery players.

CLETU$

Politicians ran up the debt,why don't they take a cut in pay & benefits to help pay for it.They should do their part BEFORE looking at the lottery to bail them out of the hole that THEY dug!Average Americans bought lottery tickets to make the jackpots climb and the unclaimed jackpots should be returned to us in some way before we let politicians get their grubby hands on it.

Ronnie316

Having an "unclaimed money raffle" each year would create more awareness among lottery players.

RedStang's avatarRedStang

Right, the money belongs to the players. Our taxes are suppose to pay for the other stuff. That battleship would make a nice fish house.

Ronnie316

Quote: Originally posted by RedStang on Mar 4, 2013

Right, the money belongs to the players. Our taxes are suppose to pay for the other stuff. That battleship would make a nice fish house.

I Agree! That's exactly what sinking it would do. Time to sink the tub.

RedStang's avatarRedStang

Quote: Originally posted by Ronnie316 on Mar 4, 2013

Having an "unclaimed money raffle" each year would create more awareness among lottery players.

What happens if the unclaimed goes unclaimed.

atoz

I agree with all on here....any unclaimed prizes should go back into the lottery pool to be given away.  These money grubber politicians just need to forget thier idea and keep their money grubbing hands off of it.   It belongs to the players.

joshuacloak's avatarjoshuacloak

screw that texas ship , let tourist who go to it, pay for it if they WANT it  to stay that bad.

 

i always want money to be given to us players, in next game, add it to prize pool

and i sure think a unclaimed pb/mm jackpot when it goes unclaimed should be put into next full drawing 

maybe next one that has 4 days of ticket sales, aka sundday to wed, for boost to sales

 or they add it to next jackpot to reach 200/300 mark, so for sales, it be like pouring gas into a full fire for  BOOM ,

just idea's

i don't think  its right we grow jackpots ,only to have state win there own jackpot game due to some moron winning.

 

they already get near almust 40 to 50% of money form our tickets in first place,

jackpot prize pool money, should be put back into prize pool, 

 

 

 

such a shame that 77m one went unclaimed but thats bound to happen ever now and then with % always never checking there tickets and throwing/losing them out.

 

however as to many states want to keep the money form pb/mm losers, they never allow that rule to be changed, greedy beeps

Think's avatarThink

Yet again answering the question "just how dumb could they get?"

Prize money is prize money and should go as prizes somewhere.

If they start pilfering it then ticket sales will go down cause players can only take so much nonsense.

noise-gate

Quote: Originally posted by Think on Mar 4, 2013

Yet again answering the question "just how dumb could they get?"

Prize money is prize money and should go as prizes somewhere.

If they start pilfering it then ticket sales will go down cause players can only take so much nonsense.

Yep- its bad enough that in some States they tax the lottery wins, now they want a bigger piece of the pie. That unclaimed money should be put back into the pool, its not " free money". Someone won that money and just because someone does not come forward & claim it does not mean they have imminent domain over unclaimed winnings....White Bounce

nanaimo

i mho,the unclaimed money belongs to us players , so the lottery corporations should have extra draws and give it back to the lottery players, tax department has taken their share alreadyThinking of...

Saylorgirl's avatarSaylorgirl

Quote: Originally posted by Ronnie316 on Mar 4, 2013

Having an "unclaimed money raffle" each year would create more awareness among lottery players.

That is a great idea!!  And it returns the money to the players where it belongs!

tkr333's avatartkr333

Quote: Originally posted by CLETU$ on Mar 4, 2013

Politicians ran up the debt,why don't they take a cut in pay & benefits to help pay for it.They should do their part BEFORE looking at the lottery to bail them out of the hole that THEY dug!Average Americans bought lottery tickets to make the jackpots climb and the unclaimed jackpots should be returned to us in some way before we let politicians get their grubby hands on it.

I agree cut their pay to a working mans wages,make them pay for thier own gas & vehicles,homes,etc... Then see how quick this country turns around.

HaveABall's avatarHaveABall

Quote: Originally posted by golfer1960 on Mar 4, 2013

I think they should just put the money into the current MM or PB jackpot.

If it's state lottery money then they should roll it into their current jackpot. If it is state scratch off tickets, they should use the money to retire state debts.

However, no way should they figure out a way to "spend" it on their projects. We don't need more government spending I don't care how benevolent the cause.

 

no more spending

I Agree!, golfer1960.  It is necessary to return the monies into the JACKPOT of the SAME lottery game, so that the REGULAR players of THAT SAME game stand a second chance to still win those monies via a jackpot win.

Regarding the idea to create a new lottery game, an "annual raffle" doesn't make sense/help.  Since REGULAR players from the lottery games wins, which went unclaimed, NEVER played and lost via the raffle.  The goal shouldn't be forcing regular players to play unbudgeted, additional, more expensive games/raffles.

Regarding the very damaged battleship refurbishment. The article doesn't indicate if there is currently a fee to receive a tour of the ship.  Even if there was, tourists probably wouldn't be able to pay more to allow for any sizable amount of monies to be collected over the next decade or two.  Perhaps an hour-long, thorough, documentary video of the battleship should be created (though probably already exists), sold via mail-order, then the mainly steel ship scrapped for profit.  Then monies collected could be used for that battleship foundation's (inter-state or national) 'patriotic spendings' or debts settlements.

HaveABall's avatarHaveABall

Quote: Originally posted by tkr333 on Mar 4, 2013

I agree cut their pay to a working mans wages,make them pay for thier own gas & vehicles,homes,etc... Then see how quick this country turns around.

It's too late for this "turn around" to occur; the debt on the backs of these politician's populace is way too high.  This debt will continue to be to high, even four decades from today.

This is what happens when a state's/country's voting and unvoting populace is so distracted doing mainly unimportant slave-like, rote, tasks to stop their non-inspected, non-experienced, non-altruistic hired/elected personnel from destroying economies!  It's too late for this country, and most of the other ones, fleeced by 3/4s of their highly paid, elected, constantly higher-office-jumping officials.  Currently, even all of the trillionaires in this country couldn't bail our country out of debt; even if they all died and gave our government all of their monies as inheritance to be paid only towards debt reduction.

Breathe. Read. Breathe.Rant

VenomV12

Money should be put back in the pool, period point blank. It is not their money, it is the players' money. If it not claimed, back it goes. Politicians are just thieves. 

savagegoose's avatarsavagegoose

they should have an anual unclaimed prizr drawm all the unclaimed money goes in a pool. and every ticket that was  bought that didnt win a prize goes in the draw for  a selection of  prized, would also save on litter.. and it makes sure all players WOULD KEEP THEIR TICKETS

Lottery Playa

You could give government ALL THE MONEY THAT EVER EXISTED and guess what, "it" would still claim that it needs more! 

Just more evidence that government has at least for me, out served it's purpose and has become the abuser of property rights. The very sacred ground from which Liberty grows, lives and thrives. 

The moment that happened, was the moment that Liberty was being doused with chemical weed repellents so that Liberty would no longer grow and power would be further consolidated into the hands of far far fewer "men". And I use that term very loosely. Because, those who seek such power are NOT men, but cowards usurping power for their own God knows what reasoning from all of us to whom it rightfully belongs!

Power that most people never desire to be in the hands of few, but somehow has become so. Which is why most people are lead astray with the false notion that somehow "government" is a magic organization of magicians who can do wonderful things because they gave themselves a magical presence and have tricked people that this is true. Funny how most people have seem to bought it. But then again, most people never really wanted to be 100% responsible for themselves and their actions. That includes both Wall street who got away with probably one of the largest thefts ever and the average guy on the street who is always seeking to find ways for government to serve his/her self interests.

Where are the real "men and women" who desire REAL Liberty. Not this packaged up non-sense that is sold to the masses of people through TV, public schools and "official" propaganda disseminated by the powers in government and flag worship.

And all this story does is just remind me of just how much disrespect government has for us as a people and our Liberty which many seem to never want to lift a finger to defend from usurping powers, called government. (Just as a side note, if someone steals, and they are in government, it's still stealing. Just thought I would point that out) 

I even read stories of how government wants to tax lottery sales. HOW MUCH IS ENOUGH!!??? Then you come to realize that EVERYTHING THAT HAS EVER EXISTED IS NOT ENOUGH TO SATISFY GOVERNMENT POWER! What a sad self fulfilling prophecy of self destruction. Where are real patriots when you need them? That's my question! I know one thing, YOU WILL NOT FIND THEM IN GOVERNMENT IN ANY consistent amount! And you wont be able to solve all this non-sense at the voting booth either. Just my 2 cents! 

Self responsibility, Independence and Reliability are the necessary ingredients for a free society with a free government. Sadly, it's lacking in drastic amounts in our failing country! The moment "average" Americans STOP relying on government for survival, is the moment Liberty starts its restoration to it's glorious self! I pray I can see that day from which TRUE and REAL Liberty is realized!

Thanks for reading my rant. I just had to express how I felt. Smile

sully16's avatarsully16

Quote: Originally posted by JAP69 on Mar 4, 2013

Unclaimed lottery funds should be returned to the lottery pool it is unclaimed from.

Something like pick 3 and 4 unclaimed funds could be returned in bonus payouts until used up. Scratchers go back to maybe reduced ticket cost. pick 5 and up prizes go back into that pool.

Return it back to the lottery players.

Sounds good to me.

helpmewin's avatarhelpmewin

i agree if the money was Not actually won & claimed then it should go back in the jackpotsDance

jamella724

Unclaimed lottery money should still go to the players. Aside from advertisement, knowing that there are unclaimed prizes that add to the current prize makes the player more eager to bet. I guess the bigger the prize is the more players want to put a wager on it.

JezzVim

When or Who can put the stops to our Government in just taking and taking what is OURS!!!    No matter how you slice it, its the TAXPLAYERS Money!!   Whenever the Government takes money from the citizens, its a TAX! 

I think its time to MARCH ON WASHINGTON folks.   Get your signs dusted off from the 60's and 70's and let's board the busses and go to Washington and give those jokers a piece of our minds.   What is left from their brainwashing that is.  We ALL know that half the crap they have been dishing out is wrong and the other half is questionable. 

We have MORE poor in the US than in the Great Depression, not in population, but in percentages.  And they said we were in a recession?   I knew it was a depression two, three years ago.   We are officially a third world country now due to lack of employment, home ownership, homeless population, and hunger.   And they still want to take more from us and not help us with the immediate problems. 

I can only think of one reason they need the lottery money for:  Time to give themselves a raise and they need the money?

rdgrnr's avatarrdgrnr

It should go back to the players who put it in their in the first place.

But let's face it.

The government needs the money.

They just gave $250 Million to Egypt the other day and just paid $50 Million for new uniforms for the TSA Airport Gestapo Agents.

And they're ordering thousands of AR-15's, millions of rounds of ammo, hundreds of armored assault vehicles and hundreds of drones for Janet Napolitano.

Somebody's gotta pay for it.

HaveABall's avatarHaveABall

Quote: Originally posted by JezzVim on Mar 6, 2013

When or Who can put the stops to our Government in just taking and taking what is OURS!!!    No matter how you slice it, its the TAXPLAYERS Money!!   Whenever the Government takes money from the citizens, its a TAX! 

I think its time to MARCH ON WASHINGTON folks.   Get your signs dusted off from the 60's and 70's and let's board the busses and go to Washington and give those jokers a piece of our minds.   What is left from their brainwashing that is.  We ALL know that half the crap they have been dishing out is wrong and the other half is questionable. 

We have MORE poor in the US than in the Great Depression, not in population, but in percentages.  And they said we were in a recession?   I knew it was a depression two, three years ago.   We are officially a third world country now due to lack of employment, home ownership, homeless population, and hunger.   And they still want to take more from us and not help us with the immediate problems. 

I can only think of one reason they need the lottery money for:  Time to give themselves a raise and they need the money?

Um hum, JezzVim.  However, those signs haven't worked; not intimidating enough.  Better to imitate the French people's successful "Revolution" tactics used a couple of centuries ago.  Where signs would simply be replaced with non-negotiating, okay-with-dying, furious, hungry, and angry over-year-long-unemployed-surplus "rushing" late-teens and adults.  They'd arrive in buses and walking ... carefully yielding guns, sabers, hatchets, sling-shots, and pitchforks.  The plan would be to rush, and long-term occupy all state and national capitols world-wide.

Surrender Lurking

helpmewin's avatarhelpmewin

Quote: Originally posted by rdgrnr on Mar 6, 2013

It should go back to the players who put it in their in the first place.

But let's face it.

The government needs the money.

They just gave $250 Million to Egypt the other day and just paid $50 Million for new uniforms for the TSA Airport Gestapo Agents.

And they're ordering thousands of AR-15's, millions of rounds of ammo, hundreds of armored assault vehicles and hundreds of drones for Janet Napolitano.

Somebody's gotta pay for it.

I Agree!

Ronnie316

Quote: Originally posted by tkr333 on Mar 4, 2013

I agree cut their pay to a working mans wages,make them pay for thier own gas & vehicles,homes,etc... Then see how quick this country turns around.

That's a little harsh, don't you think?

Ronnie316

What?

helpmewin's avatarhelpmewin

Quote: Originally posted by Ronnie316 on Mar 9, 2013

That's a little harsh, don't you think?

LOL

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