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2005 2nd Quarter Press Releases: Article

06.15.2005
CALIFORNIA’S ENTRY INTO MEGA MILLIONS LEGAL AND PROCEEDING
-- State Attorney General Stands Behind His Opinion --


SACRAMENTO (CA) – June 15, 2005 – The California Lottery is moving ahead with ticket sales for the multi-state MEGA Millions lotto game on Wednesday, June 22, despite a last minute opposing opinion from the Legislative Counsel.

Based on two years of discussions and legal opinions by the State Attorney General, the California Lottery believes it has the right to join the multi-state game.   Before the Lottery moved forward, the State Attorney General reviewed the game concept, rules and the joint powers agreement.

“The Lottery has worked closely with the State Attorney General for two years to ensure MEGA Millions is in accordance with the California Lottery Act’s mandated standards and law,” stated Chon Gutierrez, Acting Director of the California State Lottery.  “The Lottery has done everything right.  We have been very deliberate and cautious every step of the way.”

Gutierrez continued, “We are disappointed in this eleventh-hour opinion from the Legislative Counsel.  We believe there are flaws in this opinion since they were not given all the necessary background information – such as the rules or the joint powers agreement in order to make a completely informed decision.”

The California Lottery is having its best sales year ever with approximately $3.3 billion in sales projected this fiscal year, these sales levels are $525 million more than projected for June of 2005.  Proceeds forwarded to California’s public classrooms are expected to top $1.16 billion.

Lottery officials estimate that MEGA Millions could increase overall Lottery revenue significantly over the next few years with a net increase from $300 million to $500 million in the first year.  This could translate into increased proceeds to California schools.

In the first year of California joining the wildly popular MEGA Millions game, Lottery officials project more than 18 “MEGA” jackpots of $100 million or more, four of which will be of $200 million-plus.

“MEGA Millions is a proven winner in every state,” stated Buddy Roogow, president of MEGA Millions.   “Every state has seen tremendous increases in sales and proceeds as a result of the big jackpots and excitement.  A delay on MEGA Millions in California would be a disappointment for players everywhere and a lost opportunity for California.”


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Last updated:  April 12, 2006 5:11:56 PM  | ©2007 California State Lottery