Sponsor Statement for SB 199

Senate Bill 199 was introduced as a means of making charitable gaming more accountable.

SB 199 would authorize the use of electronic video gaming machines capable of being linked to a central computer system. The use of these machines will greatly increase our ability to account for the millions of dollars spent annually on charitable gaming in Alaska.

One of the major concerns expressed over the use of pull tabs is the lack of accountability and the susceptibility to theft, fraud and other criminal activity. Many charities appear to be receiving less than their fair share of the proceeds.

SB 199 also directs that proceeds from video machines will be distributed differently than those from pull tabs. It gives 30 percent to the permittee or charity; 30 percent to the vendor; 15 percent to the state and 25 percent to the municipality where the machine is located. If the machine is located in the Unorganized Borough, outside a municipality, that share would go to the state.

If the Alaska Marine Highway System so desires, SB 199 contains a provision allowing AMHS to be licensed to operate video gaming on the state ferries.

It is the sponsor’s conviction that as Alaska’s charities become familiar with video gaming and its accountability, they will gradually phase out the less accountable pull tabs in favor of this new technology.