This bill amends the apportionment of State lottery contributions, specifically regarding the percentage of proceeds from lottery ticket sales that must be dedicated to the Common Pension Fund L investment account. Under current law, a minimum of 30 percent of these proceeds is required to be allocated to the fund. The new provisions will reduce this minimum to 25 percent, starting with the first fiscal year following the bill's effective date, provided that the average annual total sales and revenues from lottery tickets in that year are equal to or greater than those from a defined "base fiscal year."

Additionally, the bill establishes a mechanism for adjusting the percentage allocation in subsequent years. If, during the fourth fiscal year following the base fiscal year, the average annual sales and revenues from the three preceding fiscal years remain equal to or exceed those from the base fiscal year, the 25 percent allocation will remain in effect. Conversely, if the sales and revenues fall below the base fiscal year figures, the allocation will revert to the original 30 percent, effective in the next fiscal year after the shortfall is identified. The bill defines the base fiscal year as the fiscal year in which the bill becomes effective.

Statutes affected:
Introduced: 5:9-7