SRC-DPW C.S.H.B. 844 76(R)BILL ANALYSIS Senate Research CenterC.S.H.B. 844 76R13379 TBy: Wilson (Armbrister) Finance 4/26/1999 Committee Report (Substituted) DIGEST In 1997, the 75th Legislature passed legislation to place a limit on the total amount of lottery prizes that may be awarded in a fiscal year. From fiscal year 1992 through fiscal year 1997, the Texas Lottery experienced five years of sales growth. After the enactment of the legislation to reduce the payout, total sales for the fiscal year 1998 decreased by 17 and one-half percent. This bill would remove the current limit placed on the total amount of state lottery prizes that may be awarded in a fiscal year. PURPOSE As proposed, C.S.H.B. 844 removes the current limit placed on the total amount of state lottery prizes that may be awarded in a fiscal year. RULEMAKING AUTHORITY This bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 466.015(c), Government Code, to delete an exception from the rules governing prizes on winning lottery tickets which prohibits the total amount of prizes awarded from exceeding the amount described in Subsection (d). SECTION 2. Amends Section 466.015(d), Government Code, to require the Texas Lottery Commission to decrease its spending from its advertising budget of $40 million for each fiscal year by $1 million for each one percent increase over Fiscal Year 1999 average prize payout. Deletes a provision prohibiting the total amount of lottery prizes from exceeding a certain amount. SECTION 3. Effective date: September 1, 1999. SECTION 4. Emergency clause. SUMMARY OF COMMITTEE CHANGES SECTION 2. Amends Section 466.015(d), Government Code, to require the Texas Lottery Commission to decrease its spending from its advertising budget of $40 million for each fiscal year by $1 million for each one percent increase over Fiscal Year 1999 average prize payout. Deletes a provision prohibiting the total amount of lottery prizes from exceeding a certain amount. Deletes proposed SECTION 2.