JEFFERSON CITY — The Missouri House gave narrow preliminary approval Monday to a plan to tax and regulate the video gambling machines that have spread across the state for the past decade.
But, even if it wins final approval in the House, the measure could be dead on arrival in the state Senate, where top leaders have signaled there is little appetite among the 34 members for an expansion of gambling this year.
Under legislation sponsored by Rep. Bill Hardwick, R-Dixon, the state would establish a fee and tax structure for the Missouri Lottery to administer the program. There also would be safeguards in place to limit play of the games by minors.
A fiscal analysis shows the program could generate nearly $350 million in tax revenue for the state at a time when revenue growth is slowing.
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Rep. Bill Hardwick, R-Dixon.
Hardwick said businesses that have the machines need regulatory certainty about the future of the games.
“There’s definitely some ambiguity when it comes to the legality,” Hardwick said. “We owe it to them to give them regulatory certainty.”
Rep. John Martin, R-Columbia, said the proposal could represent the biggest expansion of gambling in state history, but Hardwick said it could result in fewer machines than there are now if cities and counties opt out of the program.
An amendment introduced by Rep. Brenda Shields, R-St. Joseph, to send the matter to voters failed to be adopted.
The overall measure was endorsed on a 74-70 vote and needs one more roll call in the House before it moves to the Senate for further debate. The bar will be higher on the House’s second vote, where 82 votes will be needed to advance.
In opening the legislative session in January, Senate President Cindy O’Laughlin, R-Shelbina, signaled she is not in favor of more gambling in Missouri, which is in the midst of rolling out a sports betting program approved by voters in November.
“Our greatness is not found in enabling destructive behaviors, whether it’s gambling away a paycheck or the normalization of drug use,” O’Laughlin said.
O’Laughlin told the Post-Dispatch that legalization and taxation of the unregulated machines could be positive for the state, but the Senate has a heavy load of other legislation it is wrestling with between now and the scheduled end of session in May.
“I’m not sure there is a big push for that here,” O’Laughlin said.
Her assessment is shared by others in the upper chamber.
Sen. Lincoln Hough, R-Springfield, said there is little chance the measure will find support in the Senate Appropriations Committee, which he chairs.
“There is no appetite for that,” Hough said in March.
The looming standoff comes as video gambling companies spent the election season contributing more than $1 million to state officials in an attempt to sway their votes for and against the changes.
The Missouri Gaming Commission has deemed the machines illegal, and the Missouri State Highway Patrol has referred numerous cases to local prosecutors for charges. But county prosecutors have taken limited legal action against Wildwood-based Torch Electronic, which has placed thousands of machines in businesses across the state.
Torch has argued its machines are legal amusement devices even though players can win money from them.
The state’s 13 casinos are opposed to the legalization, primarily because it could result in a decrease in customers going to their facilities.
The tax rate on the games would be set at 34%, which is similar to the tax on state-regulated casinos, but more than the tax rate approved by voters in November for sports wagering.
The proposal would limit the number of machines per location to eight and allow local governments to vote on whether to permit them.
The legislation is House Bill 970.
March 2025 saw severe weather, fish fries, opening day and the beginning of spring. Here’s what the Post-Dispatch photographers captured in those 31 days. Video by Jenna Jones.
