Session of 1999
         
HOUSE BILL No. 2535
         
By Committee on Federal and State Affairs
          
2-25
          
  9             AN  ACT concerning the state lottery; relating to the lottery operating
10             fund; amending K.S.A. 74-8711 and repealing the existing section.
11      
12       Be it enacted by the Legislature of the State of Kansas:
13             Section  1. K.S.A. 74-8711 is hereby amended to read as follows: 74-
14       8711. (a) There is hereby established in the state treasury the lottery
15       operating fund.
16             (b) The executive director shall remit at least weekly to the state
17       treasurer all moneys collected from the sale of lottery tickets and shares
18       and any other moneys received by or on behalf of the Kansas lottery.
19       Upon receipt of any such remittance, the state treasurer shall deposit the
20       entire amount thereof in the state treasury and credit it to the lottery
21       operating fund. Moneys credited to the fund shall be expended or trans-
22       ferred only as provided by this act. Expenditures from such fund shall be
23       made in accordance with appropriations acts upon warrants of the direc-
24       tor of accounts and reports issued pursuant to vouchers approved by the
25       executive director or by a person designated by the executive director.
26             (c) Moneys in the lottery operating fund shall be used for:
27             (1) The payment of expenses of the lottery, which shall include all
28       costs incurred in the operation and administration of the Kansas lottery;
29       all costs resulting from contracts entered into for the purchase or lease
30       of goods and services needed for operation of the lottery, including but
31       not limited to supplies, materials, tickets, independent studies and sur-
32       veys, data transmission, advertising, printing, promotion, incentives, pub-
33       lic relations, communications, and distribution of tickets and shares; and
34       reimbursement of costs of facilities and services provided by other state
35       agencies;
36             (2) the payment of compensation to lottery retailers;
37             (3) transfers of moneys to the lottery prize payment fund pursuant
38       to K.S.A. 74-8712, and amendments thereto;
39             (4) transfers to the state general fund pursuant to K.S.A. 74-8713,
40       and amendments thereto;
41             (5) transfers to the state gaming revenues fund pursuant to subsec-
42       tion (d) of this section and as otherwise provided by law; and
43             (6) the transfers to the county reappraisal fund as prescribed by law.

HB 2535

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  1             (d) The director of accounts and reports shall transfer moneys in the
  2       lottery operating fund to the state gaming revenues fund created by
  3       K.S.A. 79-4801, and amendments thereto, on or before the 15th day of
  4       each month, for fiscal years commencing on or after July 1, 1988 in an
  5       amount certified monthly by the executive director and determined as
  6       follows, whichever is greater:
  7             (1) In An amount equal to the moneys in the lottery operating fund
  8       in excess of those needed for the purposes described in subsections (c)(1)
  9       through (c)(4); or
10             (2)   except for pull-tab lottery tickets and shares, an amount equal
11       to not less than 30% of total monthly revenues from the sales of lottery
12       tickets and shares less estimated returned tickets. In the case of pull-tab
13       lottery tickets and shares, an amount equal to not less than 20% of the
14       total monthly revenues from the sales of pull-tab lottery tickets and shares
15       less estimated returned tickets. 
16       Sec.  2. K.S.A. 74-8711 is hereby repealed.
17         Sec.  3. This act shall take effect and be in force from and after its
18       publication in the statute book.