While the Arkansas Scholarship Lottery seeks to compensate for slumping sales, the state’s colleges and universities are struggling to help incoming freshmen compensate for a decrease of $2,500 in their lottery-funded scholarships.
The Academic Challenge Scholarship is awarded by the Arkansas Department of Higher Education and funded largely by the lottery. When it started in the 2010-11 school year, the scholarship awarded $5,000 to eligible students attending a four-year college and $2,500 to two-year students.
The next year, the award dropped to $4,500 and $2,250 for new recipients while remaining at the higher level for the first group of students. It stayed the same for 2012-13.