What exactly is the question? The wording of the referendum is as follows:

"Must Section 7, Article XV!1 of the Constitution of this State be amended so as to delete references to the prohibition on lotteries, their advertising, and ticket sales and to provide that lotteries may be conducted only by the State in the manner that the General Assembly provides by law with the lottery revenues first being used to pay operating expenses and prizes and the remaining revenues credited to a separate "Education Lottery Account" in the state treasury, the earnings on which are credited to this account, with all account proceeds used only for education as the General Assembly provides by law?

Why is it necessary to have a referendum on the lottery? The South Carolina constitution specifically prohibits a lottery. The constitution can only be changed by referendum.

What are the terms of the lottery? The General Assembly has not acted on the implementing legislation, so voters will have to make a decision without knowing precisely how it will be managed or how the funds will be allocated for educational purposes. It is likely that the implementing legislation will be along the lines of S. 3005, the bill in the 2000 session that set up an oversight commission and specified the payout ratio and the allocation of funds in a manner similar to the Georgia lottery.
 

Arguments for a lottery                                                       Arguments against a lottery

Additional funds (up to $200 million) for schools.1                     Lottery players are predominantly low income.2

Funds now going to the Georgia lottery would be                      The state should not encourage or promote
available for education in South Carolina.                                  gambling, on moral and ethical grounds.

A lottery is a "voluntary tax," unlike other ways                          Citizens should be encouraged to pay the cost
of raising revenue for education.                                                of an adequate public school system through taxes and fees.

North Carolina is seriously considering a lottery,                       Other states have promised to use the lottery
which would further drain funds from SC.                                  for education but have then replaced other education funding
                                                                                                with lottery funds, leaving little net increase in education
                                                                                                funding.3

South Carolina is a big tourist destination, so                             Lottery revenues are not dependable:
a significant share of the revenue could come                             after the initial novelty wears off,
from nonresidents.                                                                    revenues decline.4
 

2 Who plays depends on the type of game; scratchoffs are more low income, lotto games are more middle income.  Studies based on ZIP codes are flawed because inner city ZIP codes are low-income for residents but make substantial sales to commuters and tourists.

3 Florida and New York have been guilty of this kind of "bait and switch."  Some states, such as Georgia, have successfully built in safeguards in their implementing legislation to ensure that schools get more funding.

4 Overall lottery revenues have increased steadily, but experience varies from state to state, including such factors as the introduction of other kinds of gambling and adoption of lotteries in adjacent states.