Auditor General issues audit report for Rhode Island Lottery for the fiscal year ended June 30, 2022

 

STATE HOUSE – The Rhode Island Lottery paid $388.6 million to the state’s General Fund for the year ended June 30, 2022, representing the Lottery’s net income after payment of prize awards, commissions and operating expenses. Lottery revenue, including gaming activity at the Lottery’s two casinos, experienced a significant recovery during fiscal 2022 compared to 2021. The fiscal 2022 transfer to the state increased $86.8 million over the previous fiscal year. While increased, the fiscal 2022 transfer was less than amounts transferred in fiscal 2019 prior to the pandemic.

The Lottery’s financial statements for the fiscal year ended June 30, 2022, and the Independent Auditor’s Report thereon are included in a report issued by Auditor General Dennis E. Hoyle and released today by the Joint Committee on Legislative Services. The auditors concluded that the Lottery’s financial statements were fairly presented in accordance with accounting principles generally accepted in the United States of America.

The Lottery’s gross profit from gaming operations before operating expenses totaled $401.7 million for the fiscal year ended June 30, 2022. Video lottery accounted for $288.8 million or 71.9% of total gross profit. Net video lottery revenue increased by approximately 39.4% compared to the prior year. Online revenue increased by 7.0% and instant ticket revenue decreased 3.0% over prior year amounts. The Lottery’s operating expenses totaled approximately $13.2 million for the year ended June 30, 2022.

Net revenue from table games totaled $125.0 million for the year ended June 30, 2022. After commissions paid to the facilities and the towns, and related operating expenses, the state’s share of net revenue from table games amounted to $19.3 million.

Sportsbook gross profit totaled $19.9 million, after commissions, payouts, and marketing expenses. Sportsbook revenue increased 46.5% in fiscal 2022 with the resumption of sporting events and more patrons using the mobile Sportsbook application.

The Lottery disclosed recent amendments to the Master Contracts with IGT Global Solutions and the Rhode Island Affiliates of Bally’s Corporation as well as the increasing competition from gaming activities in neighboring states.

 The auditors reported an internal control deficiency related to the sportsbook contractor’s need to review and improve documentation of the bookmaker’s access to the sportsbook system and obtain coverage of complementary subservice organization controls of the bookmaker.

The full report as well as a summary are available at the Auditor General’s website, oag.ri.gov/reports.html.

 

James Biden says his brother, President Joe Biden, was never involved in any of his financial deals. James Biden sat down for an hours-long interview with lawmakers on Wednesday as part of the Republican-led impeachment inquiry into the president. He denied claims that President Biden used his official positions to profit from his family's overseas business ventures.        The Biden administration is cancelling one-point-two billion dollars in student loan debt for more than 150-thousand borrowers. While delivering remarks in California on Wednesday, the president said student loan payments have become too burdensome for millions of Americans. The move is the administration's latest effort at student debt relief after the Supreme Court blocked Biden's broader forgiveness plan last year.        New York Attorney General Letitia James says she'll seize Donald Trump's assets if he doesn't pay up after his civil fraud trial. Last week, a judge ordered the former President to pay nearly 355-million-dollars for conspiring to manipulate his net worth to receive tax and insurance benefits. On Tuesday, James told ABC News if Trump doesn't have the funds to pay the fine, she'll ask the judge to seize his assets instead.        United is set to resume a daily flight from Newark to Tel Aviv. It marks the first time since October, when passenger and cargo services were suspended following the attack by Hamas militants on southern Israel. Initial flights on March 2nd and 4th will stop in Munich, with the goal to begin nonstop daily service starting March 6th. United says it will continue to monitor things in Tel Aviv.        The University of Alabama is pausing its IVF services after a recent ruling by the state's Supreme Court. Earlier this week, the Alabama Supreme Court ruled that frozen embryos are children. The decision comes from a 2022 case, where several couples filed a wrongful death lawsuit after frozen embryos were dropped on the floor by a hospital patient.        The trial in the murder of Tupac Shakur is being delayed. On Tuesday, KTNV reported the trial has been pushed back to November. Dwayne "Keefe D" Davis is accused of organizing the murder of Tupac and recently hired a new lawyer. The new attorney asked the judge for more time to review all of the discovery materials involved with Davis' case.