The Minnesota Senate recently voted 56-8 for a bill that gives state lottery officials 130 days to end online ticket sales. The bill also would ban lottery ticket sales at gas-pump terminals at 70 stations statewide, and would prohibit the lottery from offering casino-style games such as blackjack, craps, keno, dice games, roulette and poker. The House will vote this week on a companion bill.
At issue is the lottery’s launching of the games in February 2014 without the approval of the legislature. Minnesota was the first state to offer the instant play “e-scratch-off” games, allowing customers to buy up to $50 in tickets per week as long as they are located within the state and can prove they are an adult.
“I hope the lottery has learned a lesson from this because this is an expansion of gambling that should not have happened,” said state Senator Barb Goodwin.
Last year lawmakers passed similar legislation, but Governor Mark Dayton vetoed it, too late for an override vote. At the time, Dayton said the lottery acted in accordance with the 1988 constitutional amendment that established it, and was working to modernize and remain viable. He stopped short of promising to veto the law, and lawmakers this year left more time for an override if necessary. “the legislature will adjourn May 18.
In a written statement, lottery Director Ed Van Petten said he was disappointed in the Senate’s vote. He said online ticket sales were insignificant compared with the standard tickets sold at gas stations and other retailers. Earlier he had described the new platforms as essential to reaching the next generation of players, who prefer online transactions.
The lottery must give gambling technology firms it works with four months’ notice to wind down the games. However, lottery officials warned vendors still could seek millions of dollars in damages for early termination of contracts. Senators defeated an amendment that would have given the lottery until 2018, when vendor contracts expire, to suspend online ticket sales. State Senator Sandy Pappas, said, “We’re scrambling for dollars every day here. It is not a wise move.”
