To help alleviate the potential fall in revenue, Kupec said the Legislature capped the amount of money distributors can charge for their product, as well as lowered taxes on the percentage of revenue that is going to the charities, he said. Jim Joy, R-Hawley, attended Thursday's event, and took a flurry of questions asked by the 50 or so people in the audience, most of whom were concerned about the change. The new restriction will lower the number of games people play and thereby reduce revenue, he said.ĭuring the 2022 fiscal year, e-pull tabs generated $1.9 billion in revenue, according to the Minnesota Gambling Control Board. Franke is concerned that the changes will reduce that revenue by as much as 60%.
If the e-pull tab revenue drops, so does the money that the charities get. Franke has one in his own bar in Minneapolis, he said, and estimates that about 85% of the money put into e-pull tabs is redistributed in winnings to the players.īetween the bars and the distributor, charities get around 3% of the revenue before taxes, he said. The rest of the money is divvied up between the distributor of the machine, the establishment that hosts it, and local charities.
