Director Bishop Woosley reported to the lottery committee Tuesday afternoon.
The prize game has awarded 65,000 scholarships since it started, but spends more than it takes in.
Lawmakers are considering a tiered payout of awards, so students get more money the longer they stay in school.
Senator Johnny Key, Co-Chair of the Lottery Oversight Committee says it will help the lottery's finances and encourage students to stay in school.
"It would affect students moving forward, not students who already have a scholarship. Looking ahead to see how we can make this think work mathematically," he says.
The committee voted to send the tiered payout proposal to interim study, but it would require a change in the law to take effect.