New Hampshire Lottery Revenues Dip Due to Coronavirus

CONCORD, NH — After an upbeat and successful 2019, the New Hampshire State Lottery Commission, like a lot of other state agencies, was hopeful for a strong 2020.

Late in the year, in time for the Super Bowl, the agency was able to get sports betting up and running with Gov. Chris Sununu placing the first ceremonial bet that the New England Patriots would win it all — a losing bet, as we all know now. More communities also added Keno 603, to fund full-day Kindergarten in the state, and voters in a few cities and towns approved retail locations for sports betting.

And then, the new coronavirus hit.

Restaurants closed or moved to takeout only, meaning those establishments with Keno don't have any players to play. Stores like Market Basket stopped selling lottery tickets and games, in an effort to limit germ transmission on cash, which is the only way to purchase lottery tickets at stores.

So far this year, according to Maura McCann, revenues are off about 1 percent when compared to last year. But that dip is bound to decrease depending on how long the pandemic lasts. This would lead to lower than expected funds for education in the state, which is funded, in part, by lottery revenues.

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Keno 603 has "dropped off considerably" due to restaurants closing, she said, although sales were up about $7 million more than last year, year-over-year before the stay-at-home order.

The big games, Powerball and Mega Millions, are down, too.

"Powerball and Mega Millions sales are down somewhat to do with the current public health emergency as folks are rightfully staying home, however, those sales tend to fluctuate with the size of the jackpot," she said. "Our players love big jackpots offered in both of those games."

Two major changes announced recently were the elimination of fixed minimum jackpots and increases on the Powerball and Mega Millions games due to the COVID-19 containment and a nosedive in sales.

After each win, Powerball will go back to a starting jackpot of $20 million instead of $40 million. Increases between drawings, which were $10 million, will be based on ticket sales and interest rates. The cost of a ticket, however, which went from $1 to $2 in January 2012 for Powerball and October 2017 for Mega Millions, will not be reduced in light of lesser jackpots. The odds aren't changing either.

The commission said it hoped the changes would be temporary.

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Sports betting was another positive note — until games were canceled. The state has nearly 50,000 players registered and those bettors waged more than $49 million since late December. In mid-April, the commission surpassed two million bets mark.

"While all major U.S. sports leagues are on hold for the time being, we have seen new sports emerging from a sports betting standpoint, such as table tennis, soccer leagues and futures bets," she said. "We’re also on the cusp of making a major announcement regarding a new sport."

The commission also launched an online purchase platform, iLottery, which "has experienced considerable sales increases … up by nearly 100-percent year-over-year." Bettors can purchase e-instant play along with Powerball and Mega Millions online.

Charlie McIntyre, the executive director of the New Hampshire Lottery Commission, was also upbeat about the future.

"We've worked hard to make New Hampshire synonymous with winning," he said. "Given our success to date, and with the introduction of new products, such as KENO 603, NH iLottery and sports betting, that have been so well received in recent years, I think we have put ourselves in a strong position. We are all adapting to the circumstances but we look forward to continuing to be a source of fun and excitement for the people of New Hampshire and to continuing to maximize revenue for education in New Hampshire."

McCann said the commission was also working on future promotion plans when things get back to normal. Promotions being discussed include assisting and supporting the 200 restaurants and bars around the state that have Keno 603 — once it is safe to dine out again.

The sales office in Concord is no longer selling tickets and is accepting prize claims via drop-off only. Those claims are being processed within 48 hours, with prize checks mailed to winners.

"I've always said we have the best lottery players in the world right here in New Hampshire and we cannot thank them enough for their loyalty," McIntyre added.

McCann also thanked the many stores in the state that were still open saying officials were "appreciative of the stores that are open and serving the daily needs of residents" — beyond selling lottery tickets.

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