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Judiciary committee backs bill to block Internet ‘sweepstakes’ gambling machines in alcohol‑serving venues
Summary
The Senate Judiciary Committee voted to give a favorable report to legislation clarifying that Internet sweepstakes machines are illegal in establishments that sell alcohol, after testimony from law enforcement and debate over notice for affected owners.
The Senate Judiciary Committee gave a favorable report to legislation aimed at closing a perceived loophole that some businesses have used to operate Internet sweepstakes or "video‑style" gambling machines in establishments that serve alcohol.
A committee member introducing the bill said it would clarify that such sweepstakes machines are not legal in places licensed to sell beer or wine, aligning Title 61 (alcohol regulation) and the state’s existing gambling prohibitions in Title 12. The sponsor said magistrate rulings and inconsistent enforcement created confusion and that law enforcement and the attorney general's office had urged clarification.
Committee members heard that the State Law Enforcement Division (SLED) and the attorney general's office had seized machines and that magistrates had largely upheld those seizures; the transcript records a committee statement that Chief Keel told the subcommittee seized machines were found illegal when challenged. One senator said SLED had been involved in seizing over 1,000 machines to date.
Some members asked to carry the bill over to give machine owners and industry participants an opportunity to testify because a subcommittee hearing had taken place during the holidays; others argued the bill had been vetted in prior sessions and that swift action was needed to stop creative loopholes from proliferating. The sponsor said a substantially similar measure had been handled by the committee previously and that law enforcement testified this targeted fix would help enforcement.
After debate, the committee recorded a favorable report by voice and a physical show of hands; the transcript records a committee favorable report with a numeric tally described as 17 in favor and 2 opposed and an expected minority report from the senator who opposed. The committee chair said the report would be sent to the Senate desk for floor consideration.
The committee discussion focused on closing a narrow statutory gap for alcohol‑licensed establishments and did not, in the hearing, adopt a comprehensive regulatory overhaul for all sweepstakes operations. The committee did not take testimony from identified machine owners at that session; several senators requested additional opportunities for affected parties to be heard before the bill reaches the floor.
