Welcome Guest
Log In | Register )
You last visited January 20, 2017, 7:00 pm
All times shown are
Eastern Time (GMT-5:00)

Illinois border states report increased lottery sales

Illinois LotteryIllinois Lottery: Illinois border states report increased lottery sales
4.25
Rating:

CHICAGO — With Illinois delaying payouts of more than $600 because of its budget mess, neighboring states are salivating at the chance to boost their own lottery sales. Businesses near borders, particularly in Indiana, Kentucky and Iowa, say they've already noticed a difference.

The Lottery problems stemming from Illinois' budget impasse have led to a lawsuit and come amid questions about Illinois revenues and a shake-up in lottery management.

Many gas stations, smoke shops and convenience stores in states bordering Illinois say they first noticed an increase in August, when the state said payouts over $25,000 would have to wait because there wasn't authority to cut checks that big. Now those businesses are reporting a bigger flurry since Oct. 14 when the Illinois Lottery announced it had lowered that threshold to payouts over $600.

Idalia Vasquez, who manages a GoLo gas station in Hammond, Indiana, said irked Illinois residents have been streaming in to buy lottery tickets. She estimates ticket sales are up as much as 80 percent since Illinois' second delay announcement.

"We have long lines, but they're patient with it because Illinois is not paying," Vasquez said of the store roughly 20 miles from Chicago. "They're all coming here and saying, 'I'm from Illinois, how do you play it here?'"

The Hoosier Lottery even issued a statement welcoming Illinoisans.

Lotteries in Missouri, Indiana, Iowa and Kentucky say sales have increased since Illinois first set a cap on prize payouts. But they all caution that other factors might be in play.

In Kentucky's McCracken County, along Illinois' southern border, there was a 13 percent jump in scratch-offs from July 1 through Oct. 9, compared with a 9 percent jump statewide.

One retailer with higher sales is Paducah's Kentucky Tobacco Outlet, where most of customers are already from Illinois. According to manager Michael Coomer, those customers are now buying more and say trust in Illinois is gone.

"It's definitely known and very vocal," he said of Illinois' problems. "It's definitely going to be better for us."

Ticket sales in the St. Louis area were up 3.8 percent from June to Oct. 17, while Missouri saw a 3 percent jump. Iowa Lottery officials said five counties bordering Illinois are seeing recent sales that far outpace the overall 3.66 percent increase statewide this fiscal year compared to last. Hoosier Lottery officials said northwestern Indiana counties near Illinois also posted an increase. Wisconsin couldn't provide figures.

The Illinois Lottery declined to release its ticket sales data, and spokesman Steve Rossi refused to answer questions about the impact of delaying payouts. He said revenues are still going to a school fund, which is required by law.

It's hard to say when Illinois lottery payouts will resume. The Illinois Lottery is one casualty of the budget stalemate and there's no sign of when it'll end.

First-term Republican Gov. Bruce Rauner and the Democrats who control the Legislature haven't been able to agree on a spending plan for the fiscal year that began July 1. Rauner wants to enact pro-business changes before signing off on a budget. Democrats want Rauner to support new taxes. Meanwhile, most state money is being spent at unsustainable rates through state laws and consent decrees.

An attempt in the Legislature last week to release money to lottery winners and others didn't make it to the floor.

For now, anyone who wins more than $600 won't get their money right away because the office doesn't have money in the account used to pay those winnings.

Winners have already filed a federal lawsuit seeking payment with interest.

Complicating matters for the lottery is its search for a new lottery manager after terminating its contract with private company, Northstar Lottery Group, over concerns about management. A legislative report showed the Lottery saw a drop in proceeds last year for the first time since 2009.

The state has put out feelers for a replacement, with responses due Wednesday. After that, there will be requests for proposals.

It will take time. Under the termination agreement Chicago-based Northstar will continue operations until 2017 when a new company is expected to take over.

Journal Star, Lottery Post Staff

We'd love to see your comments here!  Register for a FREE membership — it takes just a few moments — and you'll be able to post comments here and on any of our forums. If you're already a member, you can Log In to post a comment.

28 comments. Last comment 1 year ago by bowmangwenda.
Page 1 of 2
noise-gate's avatar - images q=tbn:ANd9GcR91HDs4UJhjxO7cmeMQWZ5lB_FOcMLOGicau4V74R45tDgPWrr
Bay Area - California
United States
Member #136477
December 12, 2012
4146 Posts
Offline
Posted: October 27, 2015, 10:08 am - IP Logged

For lack of a better word.." F- Yeah". Serves Illinois right.

People who say it cannot be done should not interrupt those who are doing it- George Bernard Shaw.

    Gleno's avatar - Lottery-001.jpg
    New Jersey
    United States
    Member #80354
    September 25, 2009
    705 Posts
    Offline
    Posted: October 27, 2015, 10:16 am - IP Logged

    This is what happens when states such as Illinois, become derelict in their duties.

    People see what's happening and go to sources nearby to meet their demands for a

    chance to win and not have to wait for payment until the budget issues are settled.

    No No

      JADELottery's avatar - YingYangYong 01.PNG
      The Quantum Master
      West Concord, MN
      United States
      Member #21
      December 7, 2001
      3684 Posts
      Offline
      Posted: October 27, 2015, 11:25 am - IP Logged

      Well, good for them.

      It's a double whammy, no dollars to the Illinois Lootery and take dollars out of the state.

      If your playing Iowa and win big, Move there, stay long enough to be a resident then claim the prize and screw Illinois out any chance of getting tax revenue.

      Iowa has 1 year to claim and I think you need to be a resident at least half the year to counted as Iowaian.

      The other states, I'd find a family member or very close friend and broker a deal so they claim the prize and yet again, screw Illinois out the tax revenue.

      Presented 'AS IS' and for Entertainment Purposes Only.
      Any gain or loss is your responsibility.
      Use at your own risk.

      Order is a Subset of Chaos
      Knowledge is Beyond Belief
      Wisdom is Not Censored
      Douglas Paul Smallish
      Jehocifer

        RJOh's avatar - chipmunk
        mid-Ohio
        United States
        Member #9
        March 24, 2001
        19900 Posts
        Offline
        Posted: October 27, 2015, 11:29 am - IP Logged

        Before anything really changes in Illinois they'll have too see a MM or PB jackpot won by a resident of their state in a neighboring state.  Then and only then will they realize how much the state is losing in lottery money to the neighboring states.

         * you don't need to buy more tickets, just buy a winning ticket * 
           
                     Evil Looking       

          Avatar
          Maryland
          United States
          Member #162434
          January 2, 2015
          940 Posts
          Online
          Posted: October 27, 2015, 11:51 am - IP Logged

          Before anything really changes in Illinois they'll have too see a MM or PB jackpot won by a resident of their state in a neighboring state.  Then and only then will they realize how much the state is losing in lottery money to the neighboring states.

          Good point.  I also think the other states should run promos for games they want Illinois residence to 'try' which they might normally not.  For me a good promo is buy 3 get 2 games free, as its close to 1/2 price per game.

            Erzulieredeyes's avatar - spider miss.png
            Painesville, Ohio
            United States
            Member #117718
            October 12, 2011
            215 Posts
            Offline
            Posted: October 27, 2015, 12:17 pm - IP Logged

            I don't blame them.  I would do the same if my State ever had the nerve to present me with an I.O.U.

            I'd tell them F-YOU! After I've taken my I.O.U. of course. LO L

              zephbe's avatar - animal butterfly.jpg
              South Carolina
              United States
              Member #77167
              July 15, 2009
              569 Posts
              Offline
              Posted: October 27, 2015, 12:56 pm - IP Logged

              No money in the lottery account?? what happened to it?

                music*'s avatar - nw bookeep.jpg
                Happy California
                United States
                Member #157856
                August 2, 2014
                1549 Posts
                Offline
                Posted: October 27, 2015, 1:40 pm - IP Logged

                 I believe it is time for the voters to rise up and demand change in Illinois.  They are already voting with their feet and cash.Hit With Stick

                 Chi ha danari, trova cugini. (He who has money finds many cousins.) Italian proverb

                  Drenick1's avatar - villiarna
                  USA
                  United States
                  Member #152799
                  February 25, 2014
                  1095 Posts
                  Offline
                  Posted: October 27, 2015, 2:02 pm - IP Logged

                  I find it odd that the lottery money wasn't held in a separate account as it should be it's own entity. Mixing all the lottery proceeds into the states account just leaves itself vulnerable to being siphoned away by another branch of the government.

                  I hope other states don't utilize the same practice or this same scenario will play out again in the near future.

                    savagegoose's avatar - ProfilePho
                    adelaide sa
                    Australia
                    Member #37136
                    April 11, 2006
                    3316 Posts
                    Offline
                    Posted: October 27, 2015, 2:49 pm - IP Logged

                    Before anything really changes in Illinois they'll have too see a MM or PB jackpot won by a resident of their state in a neighboring state.  Then and only then will they realize how much the state is losing in lottery money to the neighboring states.

                    I would think  the take not covering wages for operations would be a  critical point, as they point out, payouts dont matter, but missed wages  bring the whole business down

                    2014 = -1016; 2015= -1409; 2016  = -1171; 2017 = ?  TOT =  -3596

                    keno historic = -2291 ; 2015= -603; 2016= -424; 2017 = ? TOT = - 3318

                      JADELottery's avatar - YingYangYong 01.PNG
                      The Quantum Master
                      West Concord, MN
                      United States
                      Member #21
                      December 7, 2001
                      3684 Posts
                      Offline
                      Posted: October 27, 2015, 3:32 pm - IP Logged

                      Lottery in the Politician's Eyes

                      Presented 'AS IS' and for Entertainment Purposes Only.
                      Any gain or loss is your responsibility.
                      Use at your own risk.

                      Order is a Subset of Chaos
                      Knowledge is Beyond Belief
                      Wisdom is Not Censored
                      Douglas Paul Smallish
                      Jehocifer

                        SergeM's avatar - slow icon.png
                        Economy class
                        Belgium
                        Member #123700
                        February 27, 2012
                        4035 Posts
                        Offline
                        Posted: October 27, 2015, 3:38 pm - IP Logged

                        Cash driven

                          Gleno's avatar - Lottery-001.jpg
                          New Jersey
                          United States
                          Member #80354
                          September 25, 2009
                          705 Posts
                          Offline
                          Posted: October 27, 2015, 5:23 pm - IP Logged

                          With tonight's Mega Millions at $117M, anyone willing to bet that their sales are not going to go up because of their budget impasse?

                          Any protest calls being made by the public of Illinois to get that budget through for approval ?

                          Thud

                            ArizonaDream's avatar - Lottery-009.jpg

                            United States
                            Member #169277
                            October 10, 2015
                            630 Posts
                            Offline
                            Posted: October 27, 2015, 8:20 pm - IP Logged

                            I wish I lived closer to Indiana or Wisconsin.