HB418 Alabama 2020 Session

Summary

Primary Sponsor

Steve ClouseRepresentative

Republican

Session

Regular Session 2020

Title

Lottery, sale of lottery tickets, distrib. of proceeds, const. amend.

Summary

HB418 would amend Alabama’s constitution to create an Alabama Lottery, authorize ticket sales, and set how lottery money is used.

What This Bill Does

It would amend Section 65 to allow the state to establish an Alabama Lottery and require laws to run it. It would let the sale of lottery tickets, including instant and multi-state games, at retail outlets and via self-service machines, with paper or electronic tickets; it would not allow video lottery or online casino-style gambling. Proceeds would first cover administration and prizes, then set aside 0.25% of net for compulsive gambling programs, with the rest deposited to the Lottery Trust Fund and distributed each year to the First Class Pre-K program and to scholarship awards (after other gift aid). The Legislature would regulate the lottery and could enter reciprocal agreements with other states.

Who It Affects

• Alabama residents who would be able to buy lottery tickets and participate in lottery games (instant and non-instant) under the new system.
• Education programs and students who would receive funding from lottery proceeds (First Class Pre-K and scholarships), plus retailers and others involved in selling tickets.

Key Provisions

• Proposes amending Section 65 of the Alabama Constitution to authorize an Alabama Lottery and require general laws to implement it.
• Allows sale of lottery tickets, including instant (paper) and non-instant (paper or electronic) games, with tickets sold at retail outlets or via self-service vending, and permits reciprocal agreements with other states.
• Creates the Lottery Trust Fund and directs that net proceeds first cover lottery administration and prizes, then 0.25% of net to compulsive gambling programs, with remaining funds split annually to 50% for the First Class Pre-K program and 50% for scholarship awards (after other gift aid).
• Excludes video lottery and other forms of electronic casino-style or internet-based gambling; requires the Legislature to enact laws regulating the lottery.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Constitutional Amendments