Without extreme changes in how it functions, the Arkansas Scholarship Lottery could fold in just over a year, said Shane Broadway, interim director of the state Department of Higher Education.
According to Arkansas News, Broadway has cautioned funds are expected to completely deplete by February 2014 should the current scholarship levels of $2,250 a year for two-year colleges and $4,500 a year for four-year university amounts continue.
A proposal by Sen. Johnny Key, who co-chairs the legislative oversight committee, would alter recipient amounts to benefit those who stay in school the longest. Freshmen would receive $2,000; sophomores, $3,000; juniors, $4,000; and seniors, $5,000.
When the lottery debuted in 2009 it was projected to reach $98 million in revenue by the current fiscal year, lottery director Bishop Woosley told a state legislative panel this week. However, gross revenue for this fiscal year has so far been $4.3 million under forecast, he said.