* Grant Morgan…
If the state of Illinois wants more revenue from video gambling, one gaming industry executive said Thursday, lawmakers should loosen betting restrictions rather than raise video gambling tax rates.
Ivan Hernandez, who heads the Illinois Gaming Machine Operators Association, offered that proposal to the state House Executive Committee, which is considering several alternatives for increasing state revenue from video gambling. […]
Video gambling machines are taxed at 30%, with the remaining money split evenly between the machine operator and the establishment housing the machines. Pritzker’s plan would increase the state’s tax rate to 50%, resulting in more than $100 million in new revenue for state and local governments. […]
Elements of Hernandez’s proposal include raising the bet limit on single plays from $2 to $4, increasing the maximum winnings on a single play from $500 to $1,199, allowing games with higher jackpots, and increasing the number of gambling terminals allowed at one location from five to six.
Those measures, Hernandez said, would create $210 million in new tax revenue the first two years, without changing the tax rates.
I dunno. Maybe they can combine the two ideas somehow, while exempting small establishments from an increase and then give local governments a bigger share of the take for property tax relief or something.
As with sports betting, cannabis, etc. I think the more they’re talking about details, the better the prospects are. But only up to a certain point. May 31st is three weeks from today. That’s almost an eternity in General Assembly World, but it’s still just 21 days away.
…Adding… It’s Ivan Fernandez, not Ivan Hernandez. Hannah Meisel got the name right and has this context…
Along with the revenue enhancements, video gaming operators also floated the idea of allowing the state to use additional revenues to plug budget holes for the first two years, and assuming a progressive income tax passes — Pritzker’s number one priority — the money could then be funneled to “vertical” infrastructure projects, like building and maintenance of new construction projects around the state.
Those vertical projects are being pushed hard by colleges and universities, who point to old buildings as evidence the state hasn’t properly invested in every aspect of higher education.