Lawmakers introduce competing plans to allow video lottery terminals and expand charitable gaming

2676183 · March 18, 2025

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Summary

Two House members presented competing proposals to allow video lottery terminals in licensed establishments and to change charitable‑gaming rules, arguing the measures could produce tens of millions in state revenue and more for charities.

Two House members briefed Finance Division II on proposals to legalize or expand video lottery machines and related charitable gaming rules and described how the changes could generate significant revenue for the state and for nonprofit beneficiaries.

Representative Dan McGuire outlined a draft to place video lottery terminals (VLTs) in locations that today can be licensed for Keno or charitable gaming. He cited examples from other states and described a fiscal model used in a prior draft that projected large gains in later years once an industry ramped up. "This fiscal note...would come in year 3," he said, noting the state could see large increases in gross gaming revenue as operators and machines scaled up.

Representative Joe Sweeney presented a separate, more detailed amendment intended as a replacement for a governor‑proposed video lottery section in HB 2. Sweeney said his change would set a 30% tax on VLT gross revenue (the governor's draft used a higher rate), allocate roughly 25% of the tax proceeds to charitable partners, dedicate roughly 0.25% for problem‑gambling services and send the remainder to the Education Trust Fund. Sweeney also proposed removing statutory caps on maximum wagers so New Hampshire facilities would be competitive with neighboring states, and he included a local opt‑in for municipalities to allow extended hours or 24‑hour operations subject to local agreement with an operator.

Both lawmakers said the state could generate tens of millions in new revenue over the biennium if an operator network develops and argued the changes would allow charities to share in a larger market and help state education funding. Committee members asked the lottery director be consulted about the revenue estimates and asked for concrete projections on how quickly machines would come online and how many would operate in each year. The committee did not vote on either proposal and asked staff to coordinate further drafting and fiscal analysis.