Louisiana Lottery revenue has fallen to a three-year low, prompting state officials to consider online ticket sales (iLottery) as a potential solution to support education funding and increase overall revenue.

The Louisiana Lottery Corporation reported $653.3 million in revenue in 2023, its all-time high, but figures dropped to $642.8 million in 2024 and further to $585.2 million in 2025. About $200 million annually from lottery revenue is allocated to the Minimum Foundation Program (MFP), which funds K-12 education. In 2023, lottery proceeds contributed $212 million to public schools, offsetting general fund expenditures.

iLottery Could Boost Revenue
The dip in revenue follows natural jackpot cycles, according to Louisiana Lottery President and CEO Rose Hudson. “Those years created an unusually high benchmark, and as expected, performance has normalized,” Hudson said.

To address the decline, lawmakers are studying proposals for online lottery ticket sales. A House Criminal Justice subcommittee, chaired by Rep. Vanessa Caston LaFleur, is expected to submit a final report within a week and may introduce legislation during the current session.

Hudson emphasized the importance of balancing innovation with responsibility: “Any discussion this session would prioritize responsibility, public trust, and long-term support for the state.” Previous iLottery proposals failed due to opposition from brick-and-mortar retailers and anti-gambling groups.

National Trends and Retailer Concerns
Other states, including Michigan, Pennsylvania, New Hampshire, and Virginia, have successfully adopted online lottery sales without cannibalizing in-person ticket purchases. Studies show iLottery can attract new players, including younger demographics, while offering retailers benefits such as free advertising, higher commissions, and shared databases.

Opponents, however, warn that online lotteries could expand gambling too easily. Alton Ashy, a video poker lobbyist, criticized the proposal: “This is just one more step in turning your phone or your computer into a full-blown casino.”

Revenue Normalization vs. Crisis
Experts note the recent revenue decline reflects normal market fluctuations rather than a crisis. Legislative Fiscal Officer Alan Boxberger called the two-year revenue drop of 1.6% and 9% “within normal variation,” while economist Greg Albrecht highlighted jackpot cycles and player behavior as key factors.

As Louisiana considers joining the growing number of states embracing iLottery, officials aim to strike a balance between boosting revenue, protecting retailers, and funding public education.