Wednesday, April 24, 2013

Lottery

Radio Commentary



            When state funds gets tight, people often ask what happened to lottery money for schools? Originally billed as the salvation for education, the lottery has become what columnist Dan Walters dubbed “the big lie.”
            It is a “smoke and mirrors” illusion that vast sums are going to schools when in fact state funding to schools dropped by the same amount the lottery raised, and no one claims this was a coincidence.
The funds seem vast, but it’s important to remember that by law, half the money goes to prizes, 9.5 percent goes to administration, and 6.5 percent goes to retailers as commissions.
About 1/3 goes to schools. But that 1/3 of the “pot” must be divided by the more than six million students in the state.
How much money do schools get? During the lottery’s peak many years ago, it gave schools $179 per student, or about 3 percent of their budgets. That fell to $77 a few years later. On average, it’s about $100 per student.
            A study of the lottery confirms our worst fears: Lottery money is shrinking, state money is not making up the difference, and basic education programming is being starved.
What’s more, I’ve always opposed the lottery as a funding source for education because it encourages gambling while we try to teach values to youngsters.
            I believe it is fundamentally wrong to encourage people to gamble to support schools. The lottery is risky business and the money raised provides very little reliable support for educational programs. In my view, it’s a bad deal all around.