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Audit identifies potential $2M savings for Ohio Lottery; calls for change to “quasi-public corporation”
State Auditor Mary Taylor has identified potential savings of more than $2 million for the Ohio Lottery Commission in a performance audit released on Tuesday, Aug. 31.
The audit also said that Gov. Ted Strickland and the legislature should consider reorganizing the lottery as a quasi-public corporation to increase effectiveness and maximize profits.
If the lottery doesn’t convert to a quasi-public corporation, the commission should be eliminated, the audit said. Its role is “duplicative” and does not maximize efficiency or the mission of generating money for education.
The audit said that while the commission has responsibility for adopting rules, that the executive director practice “defers to the governor’s judgment for major policy decisions, especially those which could be viewed as expanding the lottery in any way….”
“The Ohio Lottery is a multi-billion dollar enterprise,” Taylor, a Republican running for lieutenant governor on the ticket with John Kasich, said in a press release.
“I am pleased my office was able to work with lottery officials to develop recommendations that will help ensure the Lottery’s continued success and enhance its important support for education in our state.”
Recommendations include:
*Consider reducing the number of regional lottery offices by two and eliminating jobs associated with closed offices for $633,000 in annual savings.
*Consider eliminating other lottery staff positions for annual savings of $1,376,000.
*Consider studying the impact the emergence of casinos will have on lottery sales.
*Implement leading business practices in planning and strategic management.
Click here to see a copy of the full audit on the auditor’s Web site.
The audit also commended the lottery commission for a successful conversion of the lottery’s gaming system to a new vendor and for a “high level of employee engagement.”
In a response letter to Taylor, Kathleen Burke, lottery commission executive director, said the audit report “will be integrated into the strategic planning process.
“We will carefully review your office’s findings and recommendations with a view towards taking appropriate responsive measures.”
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By beam
August 31, 2010 3:11 PM | Link to this
So, Taylor, along with the lottery commission finding waste that could be used for our Ohio schools and students is a bad thing? How about you blow hard hypocrite posters go out and buy stuff you don’t need and can’t afford putting yourself in financial hardship and call it a job creating effort. Cut the political bantering and do what’s best for the public.
By beam
August 31, 2010 3:07 PM | Link to this
So let me get this right … Taylor, along with the lottery commission, find ways to save irresponsibly spent monies that should be going toward our Ohio schools and students and you blow hard posters are slamming her because she is pointing out this waist. Wow - you folks truly do not get it. How about all you go buy a lot of stuff you don’t need and can’t afford and praise yourself for creating jobs. Oh yeh, spending other peoples money is OK with you.
By TonyS
August 31, 2010 3:02 PM | Link to this
In all reality, $2m is not a lot of money. The Ohio Lottery gives large school districts more than that. There are probably many other areas in the State to cut.
By Chef Bill
August 31, 2010 2:34 PM | Link to this
It is all about Mary Taylor. Just as long as she keeps eating steak.
By J
August 31, 2010 2:14 PM | Link to this
How about reducing the number of instant games that they lottery has? That should shave quite a bit off of printing costs. Who really needs an Aerosmith concert in this economy?
By Bill
August 31, 2010 1:31 PM | Link to this
That’s Kasich’s plan. Eliminate as many OHIO jobs as possible. He’ll try to find a way to ship the lottery overseas.
By ??
August 31, 2010 11:48 AM | Link to this
have you ever been behind the lottery players your local quickie mart? They have no regard for the patrons of the establishment, all they do is hold up the line by rattling off numbers and wanting to know what instant is “Hot”. Maybe the audit recommends that the quickie stores do all the admin things for the lottery since they are basically already rent free in these places. That would save a ton of money!
By sw
August 31, 2010 11:46 AM | Link to this
So how many more people from Ohio will be put out of work by this suggestion? Sounds just like what Ohio needs?
By jules
August 31, 2010 11:39 AM | Link to this
hmm… so the answer to saving a multi-billion dollar non-profit agency a million dollars is pretty much to eliminate jobs that people need… Interesting.
By jules
August 31, 2010 11:38 AM | Link to this
hmm… so the answer to saving a multi-billion dollar non-profit agency a million dollars is pretty much to eliminate jobs that people need… Interesting.
By ed
August 31, 2010 11:32 AM | Link to this
Looks like political posturing. The lottery commission could never have figured this one out for itself. How about eliminating some higher paying postions in the State Auditors and Attorney Generals office. There got to be aloy of fat in those two Departments.
By ed
August 31, 2010 11:30 AM | Link to this
Looks like political posturing. The lottery commission could never have figured this one out for itself. How about eliminating some higher paying psotions in the Audittors and Attorney Generals office. There got to be some fat in those two Departments.