The bill amends Section 6-24-24 of the New Mexico Lottery Act to require that monthly net receipts from the sale of lottery games be deposited into the Lottery Tuition Fund. It establishes a minimum annual deposit requirement, stipulating that if the net revenue for two consecutive fiscal years falls below $43 million from fiscal years 2027 to 2029, the authority must deposit thirty percent of the gross revenue from the previous month. This threshold increases to $45 million for fiscal year 2030 and beyond, at which point the same deposit requirement applies if the revenue falls below this amount.

Additionally, the bill modifies the language regarding the distribution of lottery revenue, specifying that at least fifty percent of the gross annual revenue from lottery games must be returned to the public as prizes. The previous requirement of depositing a minimum percentage of gross revenue has been replaced with a focus on net revenue, with the authority now required to ensure that the funds are directed to the Lottery Tuition Fund by the last business day of each month. The effective date for these provisions is set for July 1, 2026.

Statutes affected:
introduced version: 6-24-24