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Rep. Bliss: House Democrat provision would deal major blow to charitable gaming

Wednesday, April 19, 2023

 

ST. PAUL – State Rep. Matt Bliss, R-Pennington, said House Democrat legislation would effectively end electronic pull tabs as we know them, dramatically reducing revenue generated for local charities and other organizations.

Language in the majority’s omnibus tax bill (H.F. 1938) eliminates the “open all” feature that has been in use in electronic pull-tab games for years. This move, Bliss said, would diminish charitable gaming funds these popular games produce, compromising a critical revenue source for local charities ranging from veteran organizations to youth sports teams, Main Street business partners and beyond.

“Electronic pull tabs have been available to establishments and charities for years,” Bliss said. “People have developed business models around these machines and charities have experienced nice revenue growth. To yank this out from under them is not right. If House Democrats want to throttle down electronic pull tabs, they need to provide tax relief to make these groups whole from the losses they will experience. This bill fails to do so.”

Bliss said, in 2022 alone, electronic pull tabs generated almost $2 billion in revenue that was then invested into communities. Without this critical revenue stream, Bliss said, much of the charitable efforts Minnesotans currently benefit from would not be possible.

“It would be a shame for the House majority to wipe away funding these organizations are counting on to perform their great services for residents in local communities,” Bliss said. “On top of that, these games bring customers to local businesses that already have been fighting an uphill climb in today’s economy. This provision would undermine this attraction to the detriment of establishments at a time many can’t afford any more setbacks.”

Bliss said he continues working with House Democrats to remove this provision from the tax bill, but it's critical that legislators hear directly from charities, bars, restaurants, service clubs, and other community organizations so they understand just how serious the consequences would be if this provision is passed.

More information regarding this bill and contact information for legislators can be found at www.house.mn.gov.

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