Arkansas Administrative Code Agency 216 - Arkansas Lottery Commission
1. Purpose of the Commission
The Arkansas Lottery Commission is responsible for regulating and overseeing the state lottery. Its main goals are to:
Generate revenue for public programs, especially for education in Arkansas.
Ensure that the lottery operates fairly, honestly, and transparently.
Protect the public from fraud, misconduct, or illegal gaming activities.
Establish rules, procedures, and standards for the operation of the lottery.
Essentially, the Commission is the regulatory authority and manager of all lottery activities in the state.
2. Scope of Authority
The Commission has broad authority to:
Regulate lottery operations: Approve games, ticket designs, and prize structures.
License and oversee vendors: Ensure contractors, retailers, and service providers comply with regulations.
Enforce rules and regulations: Investigate violations and take corrective action.
Audit financial operations: Ensure proper accounting, prize payment, and revenue allocation.
Educate the public: Provide information about responsible gambling and lottery operations.
3. Lottery Operations
The Arkansas Lottery Commission oversees:
Lottery games:
Scratch-off tickets (instant win)
Draw games (like Powerball or state-specific number games)
Online or digital lottery operations, if authorized
Revenue collection and distribution:
Ensures revenue is collected and distributed according to state law.
Funds are allocated to programs such as scholarships, public education, or other designated state programs.
Retailer management:
Approves stores or outlets that sell lottery tickets.
Monitors retailer compliance with sales procedures and responsible gaming rules.
4. Licensing and Compliance
The Commission regulates:
Lottery retailers and vendors: Must meet qualifications, follow procedures, and pay fees or commissions as required.
Employees or contractors working in lottery operations: Background checks and ethical standards may apply.
Audit and reporting: All licensees must maintain accurate records and submit reports to the Commission.
Non-compliance can result in:
Suspension or revocation of license
Fines or penalties
Legal action if fraud or misconduct is discovered
5. Public Transparency and Accountability
The Commission ensures that:
Lottery operations are transparent and fair to players.
Prizes are awarded accurately and promptly.
Financial reports are auditable and available to the public or legislature.
Players and vendors have a mechanism to report complaints or violations.
This builds trust in the state lottery.
6. Enforcement and Penalties
The Commission has the authority to:
Investigate violations of lottery rules by players, retailers, or vendors.
Suspend or revoke retailer or vendor licenses for misconduct.
Impose fines or require corrective actions.
Ensure fraud or illegal lottery activity is reported to law enforcement.
Violations may include:
Selling tickets to underage players
Tampering with lottery equipment or tickets
Falsifying reports or accounting records
✅ 7. Summary
Arkansas Administrative Code, Agency 216 – Arkansas Lottery Commission ensures that:
The lottery operates legally, fairly, and efficiently.
Revenue from lottery sales is properly collected and distributed to public programs, especially education.
Retailers and vendors comply with rules and standards.
Lottery operations are auditable, transparent, and accountable.
Violations and misconduct are investigated and penalized appropriately.
In short, the Commission acts as Arkansas’ regulator, auditor, and manager of all lottery activities, making sure the lottery benefits the state while maintaining fairness and public trust.

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