The Texas Lottery, a government-operated enterprise offering draw games and scratch-off tickets, directs a portion of its profit toward public education and veterans’ programs, according to the Texas Lottery. From its inception through 2025, the Texas Lottery Commission managed operations, but the commission was disbanded that year and control passed to the Texas Department of Licensing and Regulation.
Origins and Early Records
Governor Ann Richards instituted the Texas lottery to supplement school finances, according to the record of the U.S. Congress. House Bill 54 was introduced for a state lottery on July 11, 1991, and voters authorized it through a constitutional amendment on November 5, 1991. The first game, a scratch-off called Lone Star Millions, launched on May 29, 1992, with the first ticket sold to Governor Richards at Polk’s Feed Store in Oak Hill. First-day sales of 23.2 million tickets set a then-world record, with first-week sales exceeding 102 million.
Regulatory Shift in 2025
The Texas Lottery Commission, formed by legislation in 1993 to take over management from the Texas Comptroller of Public Accounts, oversaw the lottery and charitable bingo games for more than three decades. Courtney Arbour, executive director of the department, now speaks for the lottery’s operational authority, including the launch of new games such as the Patriotic Payout scratch ticket.
Revenue for Education and Veterans
Since its inception in 1992, the Texas Lottery has generated more than $43 billion in state revenue, including $37 billion contributed to the Foundation School Fund for Texas public education since 1997, according to the Texas Lottery. Veterans-dedicated scratch tickets, introduced after legislation authored by Rep. Chris Turner and former Sen. Leticia Van de Putte was signed by former Gov. Rick Perry on June 19, 2009, have generated more than $313 million for the Texas Veterans Commission’s Fund for Veterans’ Assistance. The fund has awarded more than $400 million through over 1,790 grants since 2009, supporting housing modification, rental assistance, homelessness prevention, mental health support, financial assistance, and job training for the state’s more than 1.5 million veterans.
Ongoing Scrutiny and Operations
The lottery and its operator, International Game Technology, have been criticized and investigated by Texas lawmakers and media. Controversies ended the appointments of the lottery’s first three executive directors and several who followed, including Gary Greif in 2024 and his successor, Ryan Mindell, the following year. The 92nd veterans-themed game, Patriotic Payout, launched October 19 with overall odds of winning any prize at 1 in 4.07 and more than $5.2 million in total cash prizes, including eight top prizes of $30,000.
Sources
- Texas Lottery
- $3 million Texas Lottery ticket sold at northeast Houston store
- Texas Lottery launches Patriotic Payout scratch ticket ahead of Veterans Day to support veterans, families
- Hear from Texas Lottery Second-Chance Winner Mary Ortega
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Photo: Farragutful (CC BY-SA 4.0)
