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STATE LOTTERY AGENCY

ORIGIN & FUNCTIONS


[photo, Montgomery Park Business Center, 1800 Washington Blvd., Baltimore, Maryland] Formed by constitutional amendment in 1972, the State Lottery Agency began operation on January 2, 1973 (Chapter 365, Acts of 1972, ratified November 7, 1972). The State Lottery Agency oversees the Maryland State Lottery. Lottery tickets are sold and cashed at licensed retail establishments throughout Maryland. These lottery agents are private businesses that receive commissions and fees to sell the games to the public. Transactions are conducted through terminals connected to a computerized on-line real-time system.

Revenues from the State Lottery are deposited in the General Fund of the State Treasury for the use of Maryland government. Lottery income is the State's third largest source of revenue, after income taxes and sales taxes.

Montgomery Park Business Center, 1800 Washington Blvd., Baltimore, Maryland, February 2004. Photo by Diane F. Evartt.


The State Lottery Agency provides a variety of on-line games which include Pick 3, Pick 4, Bonus Match 5, Keno, Mega Millions, Multi-Match, Powerball, and Racetrax. In addition, the Agency offers an assortment of instant ticket games. Subscriptions are offered for Multi-Match and Mega-Millions. Official winning numbers are drawn on live television and are posted on the State Lottery Agency website.

The Director of the Agency is appointed by the Governor with Senate advice and consent (Code State Government Article, secs. 9-101 through 9-125). With the approval of the State Lottery Commission and the Legislative Policy Committee of the Maryland General Assembly, the Director of the State Lottery Agency may enter into agreements to operate multijurisdictional lotteries with any other political entity outside the state or outside the United States, or with a private licensee of a state or other nation (Chapter 449, Acts of 2002).

Within the State Lottery Agency are five divisions: Administration, Finance, and Operations; Information Technology; Procurement and Minority Business Enterprise; Creative Product Services and Communications; and Sales. The Agency also is aided by the State Lottery Commission.


ADMINISTRATION, FINANCE & OPERATIONS DIVISION

Under the Administration, Finance and Operations Division are nine units: Administration and Operations; Agent Administration; Budget; Customer Resource Center; Facilities Management; Finance and Accounting; Human Resources; Security; and Warehouse Operations.


CREATIVE PRODUCT SERVICES & COMMUNICATIONS DIVISION

In June 2005, the Product Development Division, the Creative Services Division, and the Research and Planning Division joined to form the Product Development, Creative Services and Research Division. In January 2008, the Communications Division was added to form the Product Development, Creative Services and Communications Division. In 2009, it received its present name.

The Division oversees four sections: All Products; Communications; Creative Services; and Publications.

ALL PRODUCTS
Functions of All Products started with the Electronic Data Processing, Research and Development Division from which the Research and Planning Division emerged as a separate entity in 1997. In June 2005, when the Division combined with the divisions for product development and creative services, it reformed as a section called Strategic Products. In February 2008, it reorganized as All Products.

COMMUNICATIONS
As the Public Affairs Division, Communications originated in 1997, and reformed as the Communications Division in 2001. In January 2008, it joined the Product Development, Creative Services and Research Division to form the Product Development, Creative Services and Communications Division.

Communications oversees Lottery drawing operations and functions, including: public and media relations; public affairs; second-chance drawings; promotions and special events; website services; and VIP Club initiatives. Annual reports, newsletters, and special publications are produced by the Division.

Under Communications are three units: Lottery Drawings; Promotions and Special Events; and Public Affairs.

CREATIVE SERVICES
In 2001, Creative Services was initiated as the Creative Services Division. It merged with the Product Development Division and the Research and Planning Division to form the Product Development, Creative Services and Research Division in June 2005.

Under the Division, Creative Services develops advertising strategies to achieve the Lottery Agency's sales and revenue objectives. It evaluates the effectiveness of advertising in terms of reach, frequency, and impression on audiences. Advertising time and space for jackpot announcements, product introductions, promotions, and winner awareness are purchased by this section. To inform consumers about Lottery products, promotions, and programs, the section manages the development and production of advertising materials for television, radio, and print media, as well as at retail sales outlets.


INFORMATION TECHNOLOGY DIVISION

The Information Technology Division began as the Electronic Data Processing, Research and Development Division, and reorganized under its present name in 1997. The Division manages the operation of data processing systems that support Lottery gaming activities. It also provides technical assistance to the Agency, and develops and supports internal data systems, the local area network, and website infrastructure.

Three units are directed by the Division: On-Line Gaming System Management; Operations; and Systems and Programming.


PROCUREMENT & MINORITY BUSINESS ENTERPRISE DIVISION

The Procurement and Minority Business Enterprise Division was created in June 2005. At that time, the Minority Business Enterprise Program transferred to the Division from the Research and Planning Division.

SALES DIVISION

The Sales Division began as the Marketing Division, reformed as the Marketing and Advertising Division in 1997, reverted to its original name - Marketing Division - in 1998, and adopted its present name in 2001. The Division works to maximize Lottery sales throughout Maryland. It recruits new outlets and ensures that all locations have sufficient products and materials available for players. The Division informs the public and Lottery agents about new games, and monitors the compliance of retailers with Lottery Agency regulations.

This division oversees Corporate Sales, and Regional Sales.

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