Connecticut Lottery Board prepares to push through new “Management Compensation Program”

State fiscal crisis?

What state fiscal crisis?

At 11:30 am today, the Connecticut Lottery Corporation’s Personnel Committee will meet. 

The agenda begins with an executive session to review a “Draft Management Compensation Report.”  They will then return from executive session and are scheduled to vote on the meeting’s one agenda item – The Management Compensation Report

Then at 1:00 pm, the full board of directors of the Lottery Corporation will meet.  

Agenda Item IV: Executive Session.  Topic: “Review of Draft Management Compensation Report.” 

Return to open meeting, Agenda Item VI. New Business:  “Review and Possible Action: Management Compensation Report.”

Of course, since the Management Compensation Report is presently in “DRAFT” form, the public entity won’t release the document until it is finalized. 

Thus, anyone wishing to see the report would need to attend the meeting; wait for the personnel committee’s executive session to conclude and then read it quickly before the vote is taken.

Interestingly, today’s action might come as a surprise to those who are even paying attention to these things considering that at their December 5th meeting, the public was told that “Management continues to work on a compensation study, utilizing KardasLarson as a consultant…The [Personnel] Committee is assessing the data and findings. Management expects the project work to be finalized in the spring.”

Readers may recall that it was only last October that a headline in the Journal Inquirer caught people’s attention with “Top executives, already making six-figure salaries, given hefty bonuses.”

On October 19, 2012, the JI’s Don Michak wrote, “The Connecticut Lottery Corp. has dished out more than $170,000 in cash bonuses to 17 top executives and managers including 10 officials already paid more than $100,000 annually, the quasi-public agency’s records show…The payments in addition to the officials annual salaries ranged from a 6.7 percent bonus for the general counsel the corporation hired last November to a 10 percent bonus for its president and chief executive officer. Most fell between 9.5 percent and 9.7 percent.”

Although the Lottery Commission’s Board of Directors voted for the “incentive payments” at their September meeting it took a freedom-of-information request by the Journal Inquirer before the Lottery released the details of the bonus program.

At the time, the vice chairman of the lottery corporation’s board of directors and head of its personnel committee, told the JI that the bonuses were deserved, saying, “This is pay-for-performance…”

The Connecticut Lottery Board is made up of 13 members, 11 appointees of various elected officials and two state office holders. The State Treasurer and the Secretary of the Office of Policy and Management serve as ex-officio members of the board of directors. The Governor appoints 5 members, the remaining six are appointed by legislative leaders.  Anne Noble, Governor Rell’s former Chief Legal Counsel has been serving as the president and chief executive officer of the Connecticut Lottery Corporation for five years.

All revenue, after paying for game prizes, retailer commissions, and operational and administrative costs are transferred to the Connecticut General Fund on a weekly basis. In fiscal year 2010, the Lottery transferred $285.5 million and in fiscal year 2011, $289.3 million was transferred. 

While we won’t know until later what the new management compensation plan will look like, we can be pretty sure, considering their previous actions; the management team will be enjoying enhanced compensation packages in the very near future.

Hopefully some reporters will be at the meeting and cover the story.

Check back later for more details.

  • buygoldandprosper

    Public and private companies share the wealth with bonus pools. The concept has NO place in the local, state or federal milieu. Using the private sector as a benchmark for compensation…yes. Within limits. But hogs like Dan Malloy go hog-wild with public funds. Dan and the public payroll is like Dennis Kozlowski at Tyco,now at Mid-State Correctional Facility. Who knows? Dan may be able to join him one day…

  • buygoldandprosper

    Compensation paid out to BarbarPorto,Vp of Admin & Opns, TEMPORARY WORKER (Retiree) was $242,414 I guess she finally moved on. My retirement will not be so cushy!

    As for Dan’s commitment to transparency:
    “Given the importance to the Corporation of a vigorous and consistent defense to the Freedom of Information complaints brought by Adam Osmond against the Corporation and its employees, the Audit Committee supports the President’s determination that the retention and continued use, without open or competitive
    bidding, of the law firm of Horton, Shields & Knox in the defense of those complaints, and any additional Freedom of Information complaints Mr. Osmond may file, is in the Corporation’s best interests.”

    And more of the same:

    “Given the importance to the Corporation of a vigorous and consistent defense to the Freedom of Information Commission and Commission on Human Rights and Opportunities complaints brought by Sandra Cady against the Corporation and its President, the Audit Committee supports the President’s determination that the retention and continued use, without open or competitive bidding, of the law firm of Jackson Lewis (counsel selected by Chubb, the Corporation’s carrier) in the defense of those complaints and any additional complaints Ms. Cady may file is in the Corporation’s best interests.”

    “Mr. Farricker spoke of the recent visit to the Lottery by Governor Malloy. The Governor met with Executive staff and Mr. Mattison and Chairman Farricker. Mr. Farricker noted the positive relationship between the Lottery and the Administration.”
    Gamble responsibly Dan.

  • sharewhut

    “All it takes is our dollar for their dream”

  • I simply don’t understadd the problem. Isn’t this what CT wants?
    The corruption starts by rejecting School Vouchers and fiating SEBAC contracts. SEBAC contracts should be taken to the polls for ratiication. Same with pension plans, And the same with the Quasis and appointees and managerial classes.
    There’s job growth in CT but it doesn’t fit the traditional model. Today’s it gluttony: How much salary can be paid per individual.

  • My favorite is comparing salaries to other states which is now the common method of creating sprialing out of. control wage bubbles in sports contracts.
    Inflation is no longer used as a barometer. Or Median Income. Or Per Capita Income. It’s “Let’s Comp against the Top 10 States with Highest to Lotto Worker salaries and take the average” and “Let’s use Powerball Executive comp as a baseline!”
    You know the joke: the biggest Lotto winners are the Lotto employees
    There was a time that $270,000 woudl be four $60,000 salaries and 401K matching and benefits.
    No more. Believe me, CT’s problem isn’t just the 1%. It Public Sector Workers–union and non-union.
    Talk about a need to place bids for services…. as with Superintendents this extreme stratification at the top means there are fewer peple considered ‘qualified to fill the top line positions like Adamowski which is another salary bubble distortion for Dungeon …err…Special Masters.
    I’d cap these idiots at $100,000 and under. The job will get done.

  • Between 2002 and 2011, CT Lottery sales increased only 12%, transfer to the General Fund increased only 6%, but salary and benefits increased 66%. When you play the lottery the only people who win are the people who run CT Lottery Corporation. Find out more information by visiting. and

  • buygoldandprosper

    Amazing that the lottery meeting minutes regarding Adam Ormond and no-bid legal contracts could bring out Adam. Quite a story there! Make one wonder what kind of nonsense is going on there at Lotto HQ.
    No wonder Dan is tight with them…he LOVES a cookie jar that is full of cash!

  • DrHunterSThompson

    The few managers that remain in the executive branch have not seen a pay increase in 5 years.