Montana State Lottery Audited Financial Statements 1991

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It is an insurance fund intended to protect the member lotteries against the liability that could result from a system failure at one of the member lotteries. All money paid to this fund, as well as the interest earned on the Lottery's share of the fund, would be returned to the Lottery upon leaving MUSL (assuming that no unanticipated prize claims have been paid).
The Lottery contributes to the reserve fund through the 45 percent set-aside for prizes. In addition the Lottery was required to co
...ntribute for its portion of the reserve fund accumulated since the start of the Lotto*America game. The Lottery made this payment in full as of June 1990, through an additional 2 percent of drawing revenue rather than making a lump sum payment. Payments made to the reserve fund are considered a portion of the prize expense associated with the on-line game.
The unreserved accounts were created by the MUSL Board in July 1990.
The purpose of this account was to record interest earned on the prize reserve fund when the prize reserve fund balance is not below the ceiling amount.


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