Florida’s House of Representatives voted on a bill limiting Broward County’s pari-mutuels to bingo-style slot machines. This measure follows an October decision by Broward County voters approving a constitutional amendment to allow slot machines in county pari-mutuels. The bingo machines have a lower rate of return for machine owners than standard one-armed-bandit type slot machines. Because players bet against each other, and winnings are based on money coming into the machine, they are considered Class-II slots machines.
The bill passed in the House, but is expected not to pass in the senate, which favors standard slot machines for race tracks and jai-alai venues. The House and Senate have agreed, however, that the four pari-mutuels affected by the ruling will not be allowed to have ATM machines from which the gamblers will be able to draw cash.
The House’s version of the bill would tax pari-mutuel’s earnings at 55%, while the senate intended to tax at a rate of 30-35%. Adding to the tension is the fact that the Seminole and the Miccosukee tribes are pushing for their right to add Las Vegas style slot machines to the tribes’ gambling offerings in exchange for a percentage going to local taxes.
The bill has the potential to add $200 million to $300 million to the tax coffers, all of which will be appropriated to education in the state, but because of the large differences between the House and Senate, it is doubtful that the bill will pass before the current two-month session ends.
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