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House Democrat provision would deal major blow to charitable gaming

Wednesday, April 19, 2023

 

ST. PAUL – State Rep. Ben Davis, R-Mission Township, 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, Davis 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 are important to people in our district, whether they are working with local organizations or benefit from the services these groups provide,” Davis said. “There are five groups in Grand Rapids alone that generate proceeds through electronic pull tabs and for the Democrats to diminish this crucial source of revenue would be very damaging to communities.”

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

“In addition to the local organizations, electronic pull tabs have benefitted bars, restaurants and other establishments as these businesses try to weather a tough economy and recoup losses suffered during the pandemic,” Davis said. “It’s mind-boggling Democrats in St. Paul are threatening to make their hill to climb even steeper by undermining what’s been a popular attraction that helps get people through their doors.”

Davis 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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