HF 3268 Summary

• Establishes video lottery terminals (VLTs) operated and controlled by the State Lottery Director, with net terminal income taxed at 28 percent and deposited to the state treasury for allocation to conservation, parks, trails, and zoo funding.

• Permits video lottery terminals only at establishments licensed to sell alcoholic beverages, with retailers retaining 31 percent of net terminal income as commission and transmitting 29 percent to lawful gambling organizations on premises.

• Imposes an 8.5 percent tax on gross receipts from lawful gambling (other than video lottery terminals and specific exempted games) effective July 1, 2010, replacing previous gambling taxes.

• Authorizes electronic bingo devices at permitted premises, limiting their use to linked bingo games and establishing profit allocation requirements (minimum 50 percent for lawful purposes, maximum 15 percent for allowable expenses).

• Authorizes electronic pull-tab devices subject to Gambling Control Board rules, including requirements for finite tickets per deal, serialized tracking, on-site play only, and limit of five devices per location.