Senate panel advances bill to let veterans and charities use electronic pull tabs; vote 10‑0

The Senate Public Policy Committee voted 10‑0 to advance Senate Bill 209 as amended, a bill that would permit qualified charitable organizations — including American Legion and VFW posts — to offer electronic pull tabs in place of or alongside paper pull tabs.

Sponsor Sen. Kyle Walker told the committee the bill limits devices, preserves the finite‑ticket structure of traditional pull tabs, requires Indiana Gaming Commission approval of devices, and keeps the existing 10% excise tax on pull tab receipts. After debate, the committee adopted an amendment and approved the bill on a roll call vote of 10‑0.

Why it matters: Many veterans’ posts and nonprofit fraternal organizations rely on charitable gaming revenue to fund local services, veterans’ programs and community grants. Proponents say electronic pull tabs increase revenue security and appeal to younger members; opponents from the casino industry warned of competitive effects and urged caution about distributed electronic gaming.

What the bill says and how it would work Senate Bill 209 (as presented at the hearing) would authorize electronic pull‑tab devices for licensed charitable organizations and describe permitted hardware: freestanding cabinet units, stationary tabletop devices and non‑personal handheld tablets owned and controlled by the licensee. The measure preserves core features of pull‑tab games — a predetermined finite number of winning/losing tickets per series, fixed prize schedules, identical pricing for a series and unique serial numbers — and requires the Indiana Gaming Commission (IGC) to approve devices. The bill also prohibits devices from dispensing cash; only credit vouchers would be permitted. The bill’s occupant‑based device limits discussed in committee were described as a 3/5/10 cap tied to venue occupancy levels (the bill text used a published tiered limit).

Supporters’ arguments Veterans organizations, local posts and veterans‑serving nonprofits strongly supported the bill. Speakers included commanders and legislative chairs from the VFW and American Legion, commanders of individual posts and leaders of veteran nonprofits: they said proceeds fund scholarships, honor‑guard costs, emergency assistance, housing and addiction recovery programs.

- Mike Bath, commander of American Legion Post 9 in Madison, said post gaming funds underwrite veterans’ emergency aid and honor‑guard uniforms and maintenance. - Richard Ellis, VFW legislative chairman, and other veterans’ leaders said electronic pull tabs would help recruit younger members and increase revenues that remain in local communities. - Emmy Hildebrand, CEO of HVAF (a veteran homelessness service), said charitable revenue from local posts supports the nonprofit’s housing and services for veterans and cited Ohio and Kentucky as examples where e‑pull tabs increased charitable giving.

Industry concerns and technical comments Casino companies and the trade association opposed the bill or urged caution. Casino association and major operators (Boyd, Penn National and Caesars) said distributed electronic gaming devices have in some states produced market disruption, reduced revenues at existing casino properties and presented regulatory challenges. Their testimony also raised responsible‑gaming and self‑exclusion concerns: the state’s self‑exclusion lists are tied to casino and sports‑wagering systems, and witnesses asked how distributed devices would integrate with existing protections.

Small suppliers and distributors of paper pull tabs urged statutory protections to preserve competition. Several manufacturers and small distributors recommended a three‑tier market model (manufacturer/operator/retailer) so manufacturers could not also act as exclusive distributors, and they asked for clear statutory revenue splits and device quotas so small businesses and local operators could compete.

Committee action and vote After testimony from veterans groups, operators and suppliers, the committee considered and moved an amendment that clarified device limits, required IGC approval and emphasized that devices must replicate a traditional pull‑tab reveal rather than mimic slot machines. The committee then approved the bill as amended on a roll call vote of 10‑0. Senators recorded as voting “yes” in the roll call were: Alting (chair), Kyle Walker (sponsor), Becker, Bush, Jornell, Maxwell, Greg Walker, Spencer, Jackson and Nyaskotsky (names as recorded on the committee roll call). The committee’s recorded vote was 10 in favor, 0 opposed.

Clarifying details recorded in testimony - Taxation: The bill preserves the existing 10% excise tax applied to paper pull‑tab receipts. - Device limits: The bill sets a capped number of devices per license tied to occupancy (described in testimony as a 3/5/10 tier; committee amendment clarified device definitions and IGC approval requirements). - Regulatory control: The Indiana Gaming Commission must approve device interfaces and devices may not dispense cash, only credit vouchers.

Speakers (selected) - Senator Kyle Walker, sponsor (author of SB 209) - Mike Bath, Commander, American Legion Post 9 (Madison) (support) - Richard Ellis, State Legislative Chairman, VFW (support) - Emmy Hildebrand, CEO, HVAF of Indiana (support) - John Hammond, Penn National Gaming (opposed) - Matt Bell, President & CEO, Casino Association of Indiana (opposed) - Ryan Soltz, Boyd Gaming (opposed) - Michael Galetka, Indiana Amusement Operators Association (technical concerns) - Mark Shublak, Muncie Novelty (manufacturer; technical concerns) - Jim Case, Lancaster Bingo Company (support of modernization and three‑tier ideas)

Authorities referenced on the record - "Senate Bill 209" (modernization of charitable gaming to allow electronic pull tabs) - Indiana Gaming Commission (approval authority for devices and regulatory oversight)

Discussion versus decision - Discussion: Committee heard operational, regulatory and market arguments; suppliers argued for a three‑tier structure and device quotas; veterans groups described charitable uses of proceeds. - Direction/assignment: The bill directs IGC approval of devices and establishes statutory constraints on device features, game structure and taxation if enacted. - Formal action: Committee adopted an amendment and approved the bill as amended on a roll call vote, 10‑0.

Ending note The committee’s unanimous vote advanced SB 209 to the next step in the legislative process. Supporters said the bill would modernize charitable gaming, increase security and attract younger members to veterans’ organizations; opponents, including casino operators and some suppliers, asked lawmakers to consider market structure safeguards and the bill’s potential competitive effects on regulated casinos.