Lottery reform must be in the cards

The issue: After a search for a new director that lasted 16 months and included 80 candidates, Illinois Lottery director Gregory Smith has emerged as holder of the Connecticut Lottery’s golden ticket. The agency was recently embroiled in investigations and controversies, including a lucrative severance deal for Smith’s predecessor. The most notorious scandal was the discovery three years ago that workers at outlets dealing 5 Card Cash cards were printing their own winning tickets.

What we wrote: “The 5 Card Cash game isn't the only one that seems rigged. Outgoing president Anne Noble quit her $212,000-a-year post last September, then got a better deal to serve as a ‘senior adviser.’ She now earns $25,000 a month in her consultant role. The (Connecticut Department of Consumer Protection) believes lottery officials knew of the kinks in the 5 Card Cash game before it was unveiled. Members of the lottery board certainly knew of the sweet deal they were giving Noble. ... The Legislature needs to take a deep dive into the operations of the lottery, starting with a reconsideration of its status as a ‘quasi-state’ agency as well as more independent oversight. In its current incarnation, it's hard to have faith the dealers are not palming the cards.” Editorial, May 12, 2017

“Rather than start 2018 with a fresh slate, another million-dollar scandal emerged when the New Year's Super Draw game excluded almost half of the tickets from the pool. It is the lottery's third such blunder since 2015. The game's real loser was our impoverished state, which came up short $1 million. The lottery responded by placing employees on leave. The (DCP), which has oversight of the lottery, launched yet another investigation, along with an order that the disciplinary actions cease. The board of directors ignored the mandate and, rather than welcome transparency, called for a probe into Consumer Protection for overstepping its bounds.” Editorial, March 12, 2018

What’s new: Smith is to start his new $200,000 job July 20. He worked his way to his former position

as director of the Vermont Lottery after running an inn and serving as director of operations for the catalog company Vermont Country store. Connecticut Lottery Board Chairman Donald DeFronzo has acknowledged the agency’s “damaged image,” which has hardly been a deterrent for thousands of people hoping to get rich quick. The state’s starving general fund collected a record $345 million from the lottery last year.

What’s next: Smith accepts his position as the DCP continues its “wide-ranging” investigation. Transforming the lottery into a full state agency should be on the table as well. Smith may not be able to explain the agency’s past sins, but he must create checks and balances to instill faith in the lottery’s integrity, and be transparent with consumers, lawmakers, an incoming governor and the DCP. It won’t be an easy undertaking. Just because the dealer has changed doesn’t mean we’re ready to trust the cards.

Smith may not be able to explain the agency’s past sins, but he must create checks and balances to instill faith in the lottery’s integrity.