MN HF1435

Authorizes the director of the State Lottery to adopt rules governing the sale of lottery tickets through video lottery ticket dispensing machines that dispense preprinted tickets and display results on video monitors.

Allows lottery retailers with on-sale intoxicating liquor licenses and licensed lawful gambling organizations to operate up to five video lottery ticket dispensing machines per premises, with restrictions on using the word "casino" in establishment names or advertising.

Requires lottery retailers to transmit 29 percent of their commission from video lottery ticket dispensing machine sales to the lawful gambling organization operating on the premises.

Imposes a two percent tax on gross receipts from video lottery ticket dispensing machine sales payable monthly to the commissioner of revenue, in addition to the standard lottery ticket tax rate.

Clarifies that video lottery ticket dispensing machines are not considered "gambling devices" under chapters 299L, 349A, and 609, and restricts retailers from canceling lawful gambling organization leases for three years following the effective date unless the organization breaches lease terms.