LD 1169
pg. 32
Page 31 of 32 An Act To Permit Video Gaming for Money Conducted by Nonprofit Organizations ... LD 1169 Title Page
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LR 985
Item 1

 
on-line monitoring of video gaming terminal activity. Persons
under 21 years of age are not allowed to use the machines. The
bill specifies that if an organization's liquor license is
suspended, the license to operate video gaming terminals is also
suspended until the liquor license is reinstated. Only members of
the organization and their guests are allowed to play. The maximum
dollar amount for each play is $5 and the maximum payout is $1,250.
Each game on each machine must return at least 80% of wagers to
players, calculated on an annual basis.

 
Net terminal income, which is income after payback to players,
is divided among the State, the municipalities, a compulsive
gambling fund for prevention and treatment of compulsive gambling
and the charitable organization. The bill provides that 2% of
the net terminal income goes to the Compulsive Gambler
Rehabilitation Fund and 65% to the licensee. The bill provides
that 23% of the net terminal income goes to the State for payment
into the Video Gaming Fund for administrative expenses not to
exceed 10%; the rest of the Video Gaming Fund is divided between
municipal revenue sharing and the municipalities that host the
organizations that operate video gaming terminals. Host
municipalities receive their share in proportion to the amount of
revenue that is generated by video gaming terminals in their
municipality.

 
Licenses are issued for one year. The license fee per
terminal is $500, and for wholesalers, manufacturers and
operators, the fee is $3,500. Applicants for an initial license
must pay the actual costs of processing the application and
performing the background investigation.

 
The bill also specifies that any rules put forth by the Bureau
of Alcoholic Beverages and Lottery Operations and the Chief of
the State Police to administer and enforce the laws related to
video gaming by nonprofits are major substantive rules.


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