In 2010, the Legislature changed the primary beneficiary of Lottery revenue from school construction to higher education scholarships and early learning. The 2011-13 operating budget directed JLARC to analyze the impact on ticket sales caused by this recent beneficiary change, as well as the impact of advertising in general on sales. JLARC found that jackpot amounts and economic conditions were the strongest predictors of ticket sales in the last biennium, while advertising and the beneficiary change did not appear to have an impact on sales. In addition, JLARC reviewed Lottery’s incentive pay program for sales representatives and found that it is currently limited in size, and shares some similar characteristics with other state lotteries. JLARC recommends that Washington’s Lottery report to the Lottery Commission with a plan on how to evaluate and improve the effectiveness of its advertising budget in generating ticket sales. Both Lottery and OFM concur with this recommendation.