HB 0033 2003
1	A bill to be entitled
2	An act relating to the lottery; amending s. 24.121, F.S.;
3	providing for deduction of a portion of Florida Lotto
4	rollover jackpots to be used to enhance funding for public
5	schools; amending s. 1010.70, F.S.; revising provisions
6	relating to revenues deposited in the Educational
7	Enhancement Trust Fund, to update and conform; providing
8	an effective date.
9
10	Be It Enacted by the Legislature of the State of Florida:
11
12	Section 1. Section 24.121, Florida Statutes, is amended to
13	read:
14	24.121 Allocation of revenues and expenditure of funds for
15	public education.—
16	(1) As nearly as practical, at least 50 percent of the
17	gross revenue from the sale of on-line lottery tickets and
18	variable percentages, as determined by the department, of the
19	gross revenue from the sale of instant lottery tickets,
20	excluding funds deducted from Florida Lotto rollover jackpots
21	under subsection (6),shall be returned to the public in the
22	form of prizes paid by the department or retailers as authorized
23	by this act. The variable percentages of gross revenue from the
24	sale of instant tickets returned to the public in the form of
25	prizes shall be established by the department in a manner
26	designed to maximize the amount of funds deposited under
27	subsection (2).
28	(2) Each fiscal year, at least 38 percent of the gross
29	revenue from the sale of on-line lottery tickets, variable
30	percentages of the gross revenue from the sale of instant
31	lottery tickets as determined by the department consistent with
32	subsection (1),funds deducted from Florida Lotto rollover
33	jackpots under subsection (6),and other earned revenue,
34	excluding application processing fees, shall be deposited in the
35	Educational Enhancement Trust Fund, which is hereby created in
36	the State Treasury to be administered by the Department of
37	Education. The Department of the Lottery shall transfer moneys
38	to the Educational Enhancement Trust Fund at least once each
39	quarter. Funds in the Educational Enhancement Trust Fund shall
40	be used to the benefit of public education in accordance with
41	the provisions of this act. Notwithstanding any other provision
42	of law, a maximum of $180 million of lottery revenues
43	transferred to the Educational Enhancement Trust Fund in fiscal
44	year 1997-1998 and for 30 years thereafter shall be reserved as
45	needed and used to meet the requirements of the documents
46	authorizing the bonds issued by the state pursuant to s. 1013.68
47	or s. 1013.70 or distributed to school districts for the
48	Classrooms First Program as provided in s. 1013.68. Such lottery
49	revenues are hereby pledged to the payment of debt service on
50	bonds issued by the state pursuant to s. 1013.68 or s. 1013.70.
51	Debt service payable on bonds issued by the state pursuant to s.
52	1013.68 or s. 1013.70 shall be payable from the first lottery
53	revenues transferred to the Educational Enhancement Trust Fund
54	in each fiscal year. Amounts distributable to school districts
55	that request the issuance of bonds pursuant to s. 1013.68(3) are
56	hereby pledged to such bonds pursuant to s. 11(d), Art. VII of
57	the State Constitution. The amounts distributed through the
58	Classrooms First Program shall equal $145 million in each fiscal
59	year. These funds are intended to provide up to $2.5 billion for
60	public school facilities.
61	(3) The funds remaining in the Administrative Trust Fund
62	after transfers to the Educational Enhancement Trust Fund shall
63	be used for the payment of administrative expenses of the
64	department. These expenses shall include all costs incurred in
65	the operation and administration of the lottery and all costs
66	resulting from any contracts entered into for the purchase or
67	lease of goods or services required by the lottery, including,
68	but not limited to:
69	(a) The compensation paid to retailers;
70	(b) The costs of supplies, materials, tickets, independent
71	audit services, independent studies, data transmission,
72	advertising, promotion, incentives, public relations,
73	communications, security, bonding for retailers, printing,
74	distribution of tickets, and reimbursing other governmental
75	entities for services provided to the lottery; and
76	(c) The costs of any other goods and services necessary
77	for effectuating the purposes of this act.
78	(4) The unencumbered balance which remains in the
79	Administrative Trust Fund at the end of each fiscal year shall
80	be transferred to the Educational Enhancement Trust Fund.
81	(5)(a) Public educational programs and purposes funded by
82	the Educational Enhancement Trust Fund may include, but are not
83	limited to, endowment, scholarship, matching funds, direct
84	grants, research and economic development related to education,
85	salary enhancement, contracts with independent institutions to
86	conduct programs consistent with the state master plan for
87	postsecondary education, or any other educational program or
88	purpose deemed desirable by the Legislature.
89	(b) Except as provided in paragraphs (c), (d), and (e),
90	the Legislature shall equitably apportion moneys in the trust
91	fund among public schools, community colleges, and universities.
92	(c) A portion of such net revenues, as determined annually
93	by the Legislature,and those funds deducted from Florida Lotto
94	rollover jackpots under subsection (6)shall be distributed to
95	each school district and shall be made available to each public
96	school in the district for enhancing school performance through
97	development and implementation of a school improvement plan
98	pursuant to s. 1001.42(16). A portion of these moneys, as
99	determined annually in the General Appropriations Act, must be
100	allocated to each school in an equal amount for each student
101	enrolled. These moneys may be expended only on programs or
102	projects selected by the school advisory council or by a parent
103	advisory committee created pursuant to this paragraph. If a
104	school does not have a school advisory council, the district
105	advisory council must appoint a parent advisory committee
106	composed of parents of students enrolled in that school, which
107	committee is representative of the ethnic, racial, and economic
108	community served by the school, to advise the school's principal
109	on the programs or projects to be funded. A principal may not
110	override the recommendations of the school advisory council or
111	the parent advisory committee. These moneys may not be used for
112	capital improvements, nor may they be used for any project or
113	program that has a duration of more than 1 year; however, a
114	school advisory council or parent advisory committee may
115	independently determine that a program or project formerly
116	funded under this paragraph should receive funds in a subsequent
117	year.
118	(d) No funds shall be released for any purpose from the
119	Educational Enhancement Trust Fund to any school district in
120	which one or more schools do not have an approved school
121	improvement plan pursuant to s. 1001.42(16) or do not comply
122	with school advisory council membership composition requirements
123	pursuant to s.1001.452(1)229.58(1). Effective July 1, 2002,
124	the Commissioner of Education shall withhold disbursements from
125	the trust fund to any school district that fails to adopt the
126	performance-based salary schedule required by s. 1012.22(1).
127	(e) All components of the Florida Bright Futures
128	Scholarship Program shall be funded annually from the
129	Educational Enhancement Trust Fund. Funds shall be allocated to
130	this program prior to application of the formula for equitable
131	distribution to public schools, community colleges, and state
132	universities. If shortages require reductions in estimated
133	distributions from the Educational Enhancement Trust Fund, funds
134	for the Florida Bright Futures Scholarship Program shall be
135	reduced only after reductions in all other distributions are
136	made.
137	(f) Each school district shall, on a quarterly basis, make
138	available to the public and distribute, in an easy to understand
139	format, the expenditures of lottery funds allocated to the
140	school district.
141	(6) After each Florida Lotto drawing in which the initial
142	jackpot rolls over, $1 million shall be deducted from the
143	original jackpot prior to the advertisement of the next
144	projected jackpot. After each succeeding Florida Lotto
145	rollover, an amount equal to double the amount of the
146	immediately preceding deduction shall be deducted from the
147	jackpot prior to the advertisement of the next projected
148	jackpot. The funds deducted under this subsection shall be
149	deposited in the Educational Enhancement Trust Fund as provided
150	in subsection (2) and shall be used to enhance funding for
151	public schools as provided in paragraph (5)(c).
152	Section 2. Section 1010.70, Florida Statutes, is amended
153	to read:
154	1010.70 Educational Enhancement Trust Fund.—Each fiscal
155	year, at least 38 percent of the gross revenue from the sale of
156	lottery tickets, variable percentages of the gross revenue from
157	the sale of instant lottery tickets as determined by the
158	department, funds deducted from Florida Lotto rollover jackpots,
159	and other earned revenue, excluding application processing fees,
160	shall be deposited in the Educational Enhancement Trust Fund as
161	provided in s. 24.121.
162	Section 3. This act shall take effect July 1, 2003.
163