Dozens of retailers ready for lottery

— Thirty-six retailers in Fayetteville are approved to sell lottery tickets when the clock strikes 12:01 a.m. Monday. They will earn 5 percent of ticket sales and expect lottery customers to spend more on impulse items after being drawn inside stores.

Washington County has 85 approved stores, and Benton County has 69, according to the Arkansas Lottery Commission as of Monday. Those numbers may increase as retailers continue to apply. Statewide, there are 1,729 locations, including most major chains such as Murphy USA, E-Z Mart and Kum & Go - and, locally, White Oak Station.

Four types of scratch-off tickets will be offered at first, and Powerball tickets will be added Oct. 31.

Staff in retail stores are trained and ready for the big moment, store managers said Tuesday. Many local employees attended two-hour training seminars at the University of Arkansas School of Continuing Education and Academic Outreach tolearn rules, regulations and how to use equipment.

"The public's reaction is better than ours; this is something we have to adjust to - one more electronic device is not so great," said Drew Turner, manager of White Oak Station No. 37 at Crossover and East Zion roads, also known as Crossover Corner. "But we're excited.The main concern is validating numbers - making sure you got the right numbers."

Turner said he was involved with the lottery in Branson, Mo., stores, which helps the transition.

"You have to leave your register and go to a different station," he said. "And the big question in every store will be payouts. No store keeps $500. It's policy in Fayetteville that no store keeps more than $100 in a drawer. If there was one problem, that would be it."

Bridgette Frazier, attorney for the Arkansas Lottery Commission, said retailers must pay prizes of $20 or less in cash but otherwise can pay by check.

Prizes of $500 or less can be cashed in stores, and any approved retailer can cash a winning ticket - not just the store where it was purchased. Retailers are paid 1 percent of each dollar they pay out as compensation for acting as a bank, Frazier said.

For prizes $10,000 or more, retailers earn a 1 percent selling commission. The maximum a store can be paid for a winning ticket is $50,000, she said.

Retailers also earn 5 percent of each $1 in lottery tickets sold. Yet, perhaps the biggest bonus is increased customer flow, Frazier said.

"It gets the customer away from the gas pump and into the store," Frazier said.

Getting approved as a retailer takes at least two weeks, in most cases, as background checks are required and the state Department of Finance and Administration must clear a business for tax compliance. The lottery director can issue provisional launches, she said.

The commission actively marketed the lottery and offered retailer training throughout the state.

The Arkansas Oil Marketers Association also informed its members. The association has 180 petroleum wholesale members, including large chains such as E-Z Mart, Ann Hines, executive vice president, said.

"We started early getting information out, helping them getting applications and providing seminars for anyone interested. We helped with 107 applications, and all the large chain retailers are on board," Hines said.

Some smaller owners, which Hines called "onesies and twosies," are calling more recently with questions.

Customers who buy lottery tickets visit stores more frequently, Hines said. Participating in the lottery is a business decision, but for some retailers it's also a moral issue.

"A few have strong objections to gambling; we have at least two members who won't carry the lottery because of that, and I respect that decision," Hines said.

Getting set up is relatively inexpensive - an application fee is $100 for a first store and $25 for additional. Surety and fidelity bonds are required. For an owner with good credit, a surety bond costs $85 per year but could be as much as $1,000 without, she said. All equipment - electronic machines and satellite dishes - are provided by the lottery commission.

Washington County locations, according to a list provided by the commission, include the following: Tobacco Superstore No. 48, By Pass Mini Mart, Conoco Express, 12 E-Z Mart stores, Pops Xpress, Rose Stop, Murphy Express, two Murphy USA stores, four White Oak stations, One Stop Shell, Frederick's One Stop, six Flash Markets, Wedington Liquor, City Liquor, Fast Boys, four Kum & Go stores, Branch Arrow Express, North Street Mini Mart, College Friendly Liquor, Payday Money Store, two Wild Bill's Fast Trax stores, Green Oak Center, King's Express, King's Korner, Morrow Country Store, Al's Fast Trax, Crossover Corner, The Express, Fastrip, Family Shop 8, Tobo's 66, Stout's Home-Style Country Store, Quik-AWay, A to Z Pawn, Ozark Liquor, Phoenix Market, Town & Country Liquor, Farmington One Stop, Highland Store, Chuckwagon Liquor, County Line Liquors, Last Chance Liquors, Sunset Liquors, Cheers Liquor & Wine Shoppe, Y Liquors, Fiesta Liquors, Hi-Way Liquor, Liquor Depot, two Handi-Marts, Elmwood Express, Tontitown Valero, Cardinal Corner, Tontitown ZMart El Progresso BakeryThe Big Dipper, Liquor World, Liquor Mart & Wine Shoppe, Supermercado El Ranchito, Country Lane Liquor, 265 Liquor and Tontitown Liquor.

News, Pages 1, 3 on 09/23/2009

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