This bill introduces Chapter 287-J, which authorizes and regulates video lottery terminals (VLTs) at charity gaming facilities while repealing the existing authorization for historic horse racing (HHR). It defines VLTs and establishes licensing requirements for game operators, mandating that they submit a responsible gaming plan to the lottery commission annually. The bill also includes new legal language allowing the Lottery Commission to impose civil penalties for unlicensed operation of VLTs, with each terminal and each day of violation considered a separate offense. Additionally, it clarifies that electronic gaming devices cannot be used for wagers on horse racing unless specifically authorized, and it requires unclaimed ticket money from pari-mutuel pools to be paid to the state treasurer.

The legislation modifies the revenue distribution from VLTs, increasing the daily revenue per terminal from $230 to $300 and adjusting the number of terminals to 4,300. The new allocation structure distributes 70% to game operators, 18% to the Lottery Commission, 10.5% to charities, 0.075% to problem gaming services, and 1.425% to Group II retirement. The bill anticipates significant revenue increases, projecting over $33 million by FY 2027, and includes provisions for hiring additional staff within the Lottery Commission to oversee expanded operations. The repeal of HHR provisions will take effect on January 1, 2028, while the VLT regulations will be effective upon passage. Overall, the bill aims to create a regulated framework for VLTs, ensuring revenue supports charitable organizations and problem gaming services.

Statutes affected:
Introduced: 284:6-a, 284:31, 284:39