TRENTON, N.J. - New Jersey lawmakers are discussing a proposal that would sell state lottery tickets online, MyCentralNewJersey.com reports. Assemblywoman Annette Quijano sponsored the bill she says would enlarge the yearly $2.6 billion lottery.

However, allowing lottery sales to happen online would not be good for small businesses, according to Kashmir Gill, operator of 25 convenience stores and gasoline stations. Businesses selling lottery tickets receive 5 percent commissions.

"If these people play the lottery at home, they won??t come to our stores. A high percentage of lottery players buy other things and those sales will go away if tickets can be purchased online," Gill said.

The measure passed an Assembly panel last December and is now in the Appropriations Committee. Justin Braz, Quijano??s chief of staff, said the assemblywoman amended the proposal to give up to 5 percent of online sales to lottery agents.

"There??s no exact formula on how to redistribute that revenue, but that was done after (Quijano) heard the concerns. Everybody is looking for ways the state can raise revenue and the intent is to expand the lottery to a new demographic. The amendment provides a mechanism of compensation if there is an impact," said Braz.

Sal Risalvato, executive director of the New Jersey Gasoline, Convenience Store and Automotive Association, told the newspaper that selling lottery tickets online will seriously harm stores that are already hurt by lower profit margins. "Our organization opposes this very strenuously. The state should not be in competition with private industry," he said.

In 1969, New Jersey authorized a state lottery, selling the first ticket a year later. Currently, only four states do not have lotteries. New Jersey lottery sales for 2011 first quarter reached $693 million.