| 122nd MAINE LEGISLATURE | |||||||||
| LD ______ | LR 2425(01) | ||||||||
| An Act to Authorize, Subject to State Referendum, a Tribal Commercial Track and Slot Machines in Washington County | |||||||||
| Fiscal Note for Original Bill | |||||||||
| Sponsor: Rep. Moore of Passamaquoddy Tribe | |||||||||
| Committee: Not Referred | |||||||||
| Fiscal Note Required: Yes | |||||||||
| Fiscal Note | |||||||||
| Impact contingent on statewide referendum | |||||||||
| Referendum costs - General Fund | |||||||||
| Projections | Projections | ||||||||
| 2005-06 | 2006-07 | 2007-08 | 2008-09 | ||||||
| Net Cost (Savings) | |||||||||
| General Fund | ($245,000) | ($1,130,605) | ($3,087,491) | ($4,968,063) | |||||
| Fund For Healthy Maine | $0 | ($824,475) | ($2,691,120) | ($4,117,500) | |||||
| Appropriations/Allocations | |||||||||
| General Fund | $116,116 | $343,211 | $493,792 | $592,514 | |||||
| Other Special Revenue Funds | $0 | $2,314,484 | $7,553,167 | $11,547,031 | |||||
| Revenue | |||||||||
| General Fund | $361,116 | $1,473,816 | $3,581,283 | $5,560,577 | |||||
| Fund For Healthy Maine | $0 | $824,475 | $2,691,120 | $4,117,500 | |||||
| Other Special Revenue Funds | $0 | $2,314,484 | $7,553,167 | $11,547,031 | |||||
| Referendum Costs | Month/Year | Election Type | Question | Length | |||||
| Nov-05 | General | Referendum | Standard | ||||||
| The Secretary of State's budget includes sufficient funds to accommodate one ballot of average length for the general election in November. If the number or size of the referendum questions increases the ballot length, an additional appropriation of $8,000 or more may be required. | |||||||||
| Fiscal Detail and Notes | |||||||||
| With the exception of the statewide referendum election costs to the Secretary of State, all fiscal impacts identified for this bill are contingent upon voter approval in a statewide referendum, approval of the host municipal governance body and the successful licensure of one additional commercial racing track and one additional licensed slot machine facility with a total of 1,500 machines by the end of fiscal year 2008-09 beginning with 750 machines first on-line in February 2007. Presented below is a detailed estimate of revenues and subsequent distribution that may be generated if all necessary approvals are achieved. This estimate factors in the net effect on the facility currently pending full licensure. | |||||||||
| Summary of Slot Machine Revenue | 2005-06 | 2006-07 | 2007-08 | 2008-09 | |||||
| Total Slot Machine Revenue | $0 | $82,447,500 | $269,112,000 | $411,750,000 | |||||
| 89% Payback | $0 | $73,378,275 | $239,509,680 | $366,457,500 | |||||
| General Fund Administration @ 1% | $0 | $824,475 | $2,691,120 | $4,117,500 | |||||
| Gross Slot Income @ 10% | $0 | $8,244,750 | $26,911,200 | $41,175,000 | |||||
| 59% of Gross Slot Income to Licensee | $0 | $4,864,400 | $15,877,608 | $24,293,250 | |||||
| 41% of Gross Slot Income to State & Host Municipality | $0 | $3,380,351 | $11,033,592 | $16,881,750 | |||||
| 2005-06 | 2006-07 | 2007-08 | 2008-09 | ||||||
| Required Distribution of Gross Slot Income (41% State & Host Municipality Share) | |||||||||
| General Fund (3%) | $0 | $247,343 | $807,336 | $1,235,250 | |||||
| Fund For Healthy Maine (10%) | $0 | $824,475 | $2,691,120 | $4,117,500 | |||||
| Purse Supplements (10%) | $0 | $824,475 | $2,691,120 | $4,117,500 | |||||
| Agricultural Fair Support Fund (3%) | $0 | $247,343 | $807,336 | $1,235,250 | |||||
| University of Me System Scholarship Fund (FAME)(2%) | $0 | $164,895 | $538,224 | $823,500 | |||||
| Sire Stakes Fund (3%) | $0 | $247,343 | $807,336 | $1,235,250 | |||||
| Fund to Encourage Racing at Commercial Tracks (4%) | $0 | $329,790 | $1,076,448 | $1,647,000 | |||||
| Fund to Stabilize Off-Track Betting Facilities (2%) | $0 | $164,895 | $538,224 | $823,500 | |||||
| Washington County Development Authority (1%) | $0 | $82,448 | $269,112 | $411,750 | |||||
| Washington County Career & Technical Education (1%) | $0 | $82,448 | $269,112 | $411,750 | |||||
| Maine Community College System Scholarships (1%) | $0 | $82,448 | $269,112 | $411,750 | |||||
| Host Municipalities (1%) | $0 | $82,448 | $269,112 | $411,750 | |||||
| Other Revenue Impacts: | |||||||||
| License fees to the General Fund | $200,000 | $399,250 | $74,500 | $199,500 | |||||
| Reimbursements to the General Fund | $161,116 | $0 | $0 | $0 | |||||
| Commercial Racetrack Handle to the General Fund | $0 | $2,748 | $8,327 | $8,327 | |||||
| Commercial Racetrack Handle to Other Special Revenue | $0 | $5,951 | $18,031 | $18,031 | |||||
| Summary of Revenue Impacts | |||||||||
| General Fund: | |||||||||
| - 1% of Total Slot Income | $0 | $824,475 | $2,691,120 | $4,117,500 | |||||
| - 3% of Gross Slot Income | $0 | $247,343 | $807,336 | $1,235,250 | |||||
| - Reimbursements | $161,116 | $0 | $0 | $0 | |||||
| - License fees to the General Fund | $200,000 | $399,250 | $74,500 | $199,500 | |||||
| - Commercial Racetrack Handle to the General Fund | $0 | $2,748 | $8,327 | $8,327 | |||||
| General Fund Total | $361,116 | $1,473,816 | $3,581,283 | $5,560,577 | |||||
| Fund for Healthy Maine: | |||||||||
| - Proceeds From Slot Machines | $0 | $824,475 | $2,691,120 | $4,117,500 | |||||
| Fund for Healthy Maine - Total | $0 | $824,475 | $2,691,120 | $4,117,500 | |||||
| Other Special Revenue Funds: | |||||||||
| - Agriculture, Food and Rural Resources | $0 | $1,819,384 | $5,937,245 | $9,075,281 | |||||
| - Harness Racing Promotional Board | $0 | $413 | $1,250 | $1,250 | |||||
| - Public Safety (Host Municipalities) | $0 | $82,448 | $269,112 | $411,750 | |||||
| - FAME | $0 | $164,895 | $538,224 | $823,500 | |||||
| - Maine Community College System | $0 | $82,448 | $269,112 | $411,750 | |||||
| - Washington County Development Authority | $0 | $82,448 | $269,112 | $411,750 | |||||
| - Washington County Career & Technical Education | $0 | $82,448 | $269,112 | $411,750 | |||||
| Other Special Revenue Total | $0 | $2,314,484 | $7,553,167 | $11,547,031 | |||||
| 2005-06 | 2006-07 | 2007-08 | 2008-09 | ||||||
| Summary of Expenditure Impacts | |||||||||
| General Fund Appropriations: | |||||||||
| - Agriculture, Food & Rural Resources 1 | $0 | $28,021 | $57,686 | $59,798 | |||||
| - Public Safety 2 | $116,116 | $315,190 | $436,106 | $532,716 | |||||
| General Fund Total | $116,116 | $343,211 | $493,792 | $592,514 | |||||
| Other Special Revenue Funds Allocations3: | |||||||||
| - Agriculture, Food and Rural Resources | $0 | $1,819,384 | $5,937,245 | $9,075,281 | |||||
| - Harness Racing Promotional Board | $0 | $413 | $1,250 | $1,250 | |||||
| - Public Safety (Host Municipalities) | $0 | $82,448 | $269,112 | $411,750 | |||||
| - FAME | $0 | $164,895 | $538,224 | $823,500 | |||||
| - Maine Community College System | $0 | $82,448 | $269,112 | $411,750 | |||||
| - Washington County Development Authority | $0 | $82,448 | $269,112 | $411,750 | |||||
| - Washington County Career & Technical Education | $0 | $82,448 | $269,112 | $411,750 | |||||
| Other Special Revenue Total | $0 | $2,314,484 | $7,553,167 | $11,547,031 | |||||
| Notes; | |||||||||
| 1 | The Harness Racing Commission within the Department of Agriculture, Food and Rural Resources will require additional General Fund appropriations of $28,021 in fiscal year 2006-07 for the costs of 2 part-time positions and operational costs necessary to regulate a new commercial track in Washington County | ||||||||
| 2 | The Gambling Control Board within the Department of Public Safety will require additional General Fund appropriations of $303,551 and $392,782 in fiscal years 2005-06 and 2006-07, respectively, for the costs of one additional Detective position, two additional Public Safety Inspector positions, background checks and operational costs necessary to regulate the new slot machine facility. | ||||||||
| 3 | Allocations are included to authorize the distribution of the additional dedicated revenue. | ||||||||