(Jefferson City, MO) – The Missouri House of Representatives has given initial approval to a bill that would regulate video lottery machines.
The machines are often found in Missouri bars, restaurants, truck stops, fraternal organizations, and convenience stores. They are not currently being taxed and Rep. Bill Hardwick, R-Dixon, wants the state to get its share of the proceeds.
“I don’t want the small business owners to lose out on opportunities,” said Hardwick. “I don’t want the gas station owners not to be able to have a way to make money. I don’t want the VFW not to have as cash flow supplement. I want them to. I just want it to be regulated and controlled, right, and not everywhere in every corner.”
Under House Bill 970, cities and county commissions would decide whether they want to allow the machines. It would cap the number of video lottery machines to eight per location.
“If you vote no, you’re voting for a situation that’s completely unregulated and people are losing their paychecks, and there is a problem. If you vote yes, you’re not getting rid of gambling, but you’re moving it all to a place where it’s licensed, controlled and limited, right? And it’s taxed appropriately for the municipalities and lottery fund where it goes to schools,” said Hardwick.
Rep. Bryant Wolfin, R-Ste. Genevieve, opposes the plan. He said it would expand government.
“You’ve got ridiculous fees on machines,” he said. “You’ve got placement regulations. You’ve got gaming caps that are capping business owners on how many games they get. You’re capping the percentage of winnings. Now we’re creating a new bureaucracy.”
The tax rate on the games would be set at 34%. Tax revenue would provide funding for Missouri education programs and the Veterans Commission.
A financial estimate says regulating the machines could generate nearly $350 million in tax revenue.
The House voted 74-70 to advance the bill on Monday. The next House vote would require a minimum of 82 votes of support to move to the Senate for more debate.
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