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From YouTube: House - Higher Education Subcommittee - February 1, 2022
Description
House Higher Education Subcommittee House Hearing Room 3
A
A
A
C
A
C
C
The
general
assembly
merit
scholarship
awards,
1500
supplement
to
the
hope,
scholarship
for
our
highest
performing
students
and
currently
to
be
eligible
for
the
general
assembly's
merit.
Scholarship.
A
home
school
student
has
to
meet
all
requirements
for
a
tennessee
hope
scholarship
attain
an
act
score
of
at
least
29
on
on
any
single
act,
test
date
or
concordant
equivalent
score
on
the
sat
and
while
in
high
school
enroll
in
at
least
four
dual
enrollment
courses,
which
are
12
credit
hours,
participate
in
a
governor's
school
program
and
achieve
a
cumulative
grade.
C
C
So
that's
what
this
bill
does
and
I
don't
know
how
the
process
I'm
going
to
plead
ignorance,
because
I
know
there's
a
lottery
board.
I
don't
know
how
that
works.
In
fact,
I
have
never
dealt
with
anything
in
higher
education
other
than
to
make
some
of
them
mad
at
me.
So
I'm
I'm
really
ignorant
on
how
this
works,
but
I'm
pleading
my
case.
A
A
Representative
halsey,
since
this
bill
would
require
funding
to
come
from
the
lottery
calendar,
I'm
sorry
from
the
lottery
funds.
It
would
be
need
to
be
rolled
to
the
lottery
calendar.
What
we
can
do
for
you
today
is
go
ahead
and
adopt
the
amendment
and
put
it
on
there
and
then
proceed
toward
the
to
the
lottery
calendar
at
the
end
of
at
the
end
of
the
year.
That's
very
good!
Thank
you.
Okay,
with
that
said,
do
I
have
a
motion
on
adoption
of
the
of
the
amendment.
A
A
D
D
D
Actual
gross
profits
from
instant
games
have
increased
year
over
year.
More
than
doubling
from
153
million
returned
our
first
fiscal
year
to
365
million
last
fiscal
year
for
the
10-year
period
ending
june
30th,
the
lottery
for
education
proceeds.
Funding
from
all
of
our
lottery
products
increased
an
average
of
5.6
every
year.
D
E
E
This
fiscal
year
we
average
on
a
weekly
basis
between
33
and
34
million
on
our
instant
products
and
the
revenue
drivers
specific
to
those
products
include,
but
are
not
limited
to
the
game,
design
our
player
preferences
in
terms
of
price
payouts,
our
marketing
of
the
games
and
how
we
optimize
the
availability
of
those
products
in
our
retail
distribution
network.
Current
retail
distribution
network
is
about
5500
retailers
throughout
the
state
of
tennessee.
E
E
Our
tennessee
only
drawstar
games
provides
about.
Eight
is
projected
to
provide
about
eight
percent
of
our
estimated
revenues
this
fiscal
year.
Gross
revenues
for
that
category
is
projected
at
between
169
to
171
million,
with
daily
cash
3
and
cash
4,
which
make
up
with
the
an
estimated
136
million
of
that
total.
So
they
are
the
most
significant
game
drivers
of
that
category.
E
They're
currently
expected
to
provide
about
seven
percent
of
our
estimated
total
gross
revenues.
Estimating
that
category
between
157
to
160
million
primary
driver
for
those
category
of
games
is
obviously
the
large
size
of
the
jackpots
for
powerball
and
mega
millions
powerball
jackpot
cycles
are.
The
game
is
designed
to
provide
average
jackpot
cycles
of
between
300
and
400
million,
approximately
two
to
three
times
a
year.
E
Our
current
projected
weekly
sales
for
that
game
is
1.6
million
mega
millions,
jackpot
game
design,
identifies
and
project
jackpot
cycles
of
250
to
300
million,
and
we
this
year
projecting
between
900
and
1
million
on
a
weekly
basis
for
that
game.
The
other
two
games
louder,
america
is
is
a
smaller
jackpot
game
and
cash
for
life
is
what's
called
an
annuity
style
game
which
allows
for
two
four
life
games
that
are
paid
through
annuity
prizes,
annuity
payments
on
an
annual
basis.
E
When
we
look
at
our
expenses,
there's
two
major
categories:
direct
gaming
expenses,
which
are
directly
related
to
our
estimated
revenues
throughout
across
all
games
and
our
non-direct
expenses
on
our
direct
gaming
expenses.
We
have
prize
expenses,
makes
up
the
larger
component
of
that
line.
Item
this
year,
projected
at
1.23
to
1.27
billion
in
prizes.
E
Instant
game
as
a
percent
of
revenue
price
payout
would
be,
is
projected
about
68
percent
of
revenues
with
tennessee
draw
style
games
at
50
percent
and
multi-multi-jurisdictional
draw
games
at
51
percent
of
revenues.
Retailer
commissions
is
the
second
largest
category,
and
this
has
six
and
a
half
percent
of
gross
revenues
in
accordance
with
the
statute
requirements
and
the
payments
of
those
are
estimated
at
133.7
to
138.1
million
for
fiscal
year.
2022.
E
major
gaming,
vendor
fees,
as
percent
of
revenue,
were
at
2.7,
which
is
in
the
range
of
38
to
40
million.
Those
crosses
specifically
they're
ready
directed
to
our
two
major
gaming
vendors,
which
is
igt
for
our
draw
style,
games
and
distribution,
network
and
scientific
games
for
our
instant
ticket
production
and
distribution
network
under
contract.
With
those
two
vendors,
the
non-direct
expenses.
E
I'm
sorry
nondirect
expenses
we're
budgeting
this
year
at
35.5
million,
which
about
1.7
percent
of
revenue,
and
that
covers
all
the
remaining
cost
of
doing
business,
which
includes
all
of
our
general
administrative
advertising
and
any
other
retailer
support
expenses
that
we
project
for
this
fiscal
year
in
terms
of
our
education
funding
for
this
fiscal
year,
we're
projecting
a
range
between
468
to
483
million
and
on
after-school
program
proceeds
which
are
generated
through
unclaimed
prizes
between
17
and
18
million.
For
this
fiscal
year
for
fiscal
year
2023
and
the
three
succeeding
years.
A
B
Thank
you,
mr
chairman.
Thank
you
all
for
being
here.
That
was
a
lot
of
numbers,
but
while
we
got
that
up
right
now,
the
after
school
programs
proceeds
can
you
just.
I
know
you
said
that
comes
from
unclaimed
prizes,
but
can
you
elaborate
on
that
just
a
little
bit
more
of
what?
What
that
actually
is
funding
yeah
all.
E
Right
in
terms
of
what
it
funds,
it's
cf
school
programs
that
was
approved
by
the
legislation
at
the
time
that
the
lottery
was
implemented.
So
that
would
be
the
app
school
programs
at
different
counties
as
determined
by
the
program's
administrator.
And
we
are
not
the
administrator.
We
just
transfer
the
funds
over
to
them.
D
F
Thank
you,
mr
chairman,
and
I
too
I
would
like
to
thank
you
for
the
hard
work
you
do
and
to
be
doing
this
for
18
years,
and
I've
never
heard
a
negative
word
about
how
things
are
counted
or
the
work
that
you
do
so.
Thank
you
very
much.
Thank
you.
Thank
you.
Yes,
ma'am
am
I
correct
in.
I
don't
know
if
it
was
from
the
beginning
or
just
the
last
five
years
that
it's
been
on
average
about
five
percent
a
year
increase
in
the
I
guess.
D
D
D
So
and
that's
with
sports
betting
starting
so
you
know
our
biggest
concern
moving
forward,
which
is
one
of
the
reasons
we're
only
projecting
two
and
a
half
percent
growth,
or
so
is.
Last
year
there
was
over
two
million
dollars
in
sports
betting
wagering
that
had
to
come
from
somewhere.
So
you
know,
would
we
have
had
more
growth?
Had
we
not
had
online
sports
betting?
You
never
know,
but
we're
concerned
about
what
a
full
fiscal
year
of
that
will
do
to
us
for
the
next
fiscal
year.
F
One
last
question
for
me
for
persons
who
I
guess
play:
I
guess
the
different
games
sparingly.
Can
they
go
to
your
website
as
to
I
guess,
knowing
when
they
win
or
how
to
win
us?
I
guess
some
people
get
those
tickets
you're
talking
about
the
monies
that
are
not
claimed
to
know
when
they
win.
So
if
you
understand
what
I'm
trying
to
say.
D
D
We
had
a
billion
six
and
powerball
a
billion
five
and
mega
millions,
and
when
you
have
those
kinds
of
numbers
everybody
plays,
so
they
don't
realize.
Even
though
we
try
as
hard
as
we
can
to
say,
there
are
nine
ways
to
win,
but
if
they
don't
win
the
jackpot
and
they
see
somebody
else
win
the
jackpot,
then
they
never
check
their
ticket.
So
again,
a
lot
of
those
are
one
dollar
winners
where
you
just
got
the
powerball
or
you
just
got
the
mega
ball.
D
D
D
Both
of
those
organizations
have
about
the
same
population,
because
the
10
states
that
operate
mega
millions
are
illinois.
Georgia
michigan
your
bigger
states
where
a
lot
of
the
38
that
operate
powerball
in
north
dakota
and
south
dakota
and
wyoming,
and
of
course
we
also
have
a
pennsylvania
and
florida
and
texas
and
tennessee
in
in
the
powerball
consortium.
A
Can
you
follow
up
representative,
okay,
sure
thing,
any
anyone
else?
Okay,
I've
I've
got
a
couple.
I
think
I
already
know
the
answer
based
on
what
you
told
representative
gillespie,
the
dollars
that
come
in
go
to
multiple
sources
since
we're
in
higher
education.
We'll
talk
about
all
of
the
hope,
scholarships,
the
promise
and
there's
several
others.
A
A
E
E
A
D
Our
advertising
budget
is
7.8
million,
but
so
I'm
not
sure
where
35
million
came
from.
That's
all
of
our
expenses
are
35
million,
including
advertising.
That's
everything!
So
our
advertising
budget
7.8
we
have
never
cut
back.
There
are
a
handful
of
jurisdictions
that
have
and
have
seen
major
decline
in
revenues
and
then
went
back
to
advertising,
but
those
jurisdictions
who
have
stopped
advertising
have
done
so
at
legislative
mandates,
not
because
of
good
business
practices.
So
we
believe,
if
we
cut
back
our
advertising,
it
would
have
a
negative
impact.
D
A
D
Been
years
so
I'll
I'd
have
to
go
back
and
and
look
see.
If
I
can
get
that
for
you,
but
well,
we
may
be
the
only
lottery
product
in
town,
we're
not
the
only
choice
for
that
type
of
entertainment.
Obviously
you
have
online
sports
betting.
You
have
casinos
in
tupelo
and
in
kentucky
you
have.
You
know
buses
that
go
from
nashville
to
kentucky
to
play
bingo.