WASHINGTON: Through the first four months of the current fiscal year, West Virginia Lottery revenue is down by about 4 percent — more than $14 million — compared to the same period last year.
From July through October, total Lottery revenue was a little more than $381 million. For those same four months last year, revenue was more than $395 million. The revenue numbers were announced at the monthly meeting of the state Lottery Commission on Friday.
The bulk of the decline is attributable to the continued slowdown of video lottery machines at the state’s four racetrack casinos. Revenue for those venues is about $8.5 million lower than last year.
The state’s share of Lottery revenues is also down, compared to last year. The Lottery gave about $165.6 million to state coffers from July through October, compared to about $171.8 million last year.
Revenue at the state’s casinos has been declining for years, mostly due to increased competition from casinos in Ohio, Pennsylvania and Maryland. Lottery revenue last year was already down more than 20 percent — about $314 million from 2012.
The decline in Lottery money, while unsurprising, comes at a time when the state is already dealing with declining revenue due to business tax cuts and the coal industry’s ongoing struggles.
Gov. Earl Ray Tomblin, last month, ordered a 4 percent budget cut to most state agencies amid what he called “unexpected and unprecedented” drops in severance tax collection. Tomblin also ordered a 1 percent budget cut to the state’s public schools, which had been spared prior rounds of cuts in the past several years.
Lawmakers are planning a push in next year’s legislative session to “decouple” two of the state’s casinos from their accompanying dog tracks. Such legislation likely would pay a buyout to state greyhound owners and breeders, but would free the casinos from contributing to a fund subsidizing the breeders. Once the buyout became complete, revenue that had subsidized greyhound racing would go to the state’s general revenue fund.
