The West Virginia Senate is considering SB 116, a bill sponsored by Senate Minority Leader Jeff Kessler, that would allow bars and clubs to have up to seven limited video lottery machines instead of five, and fraternal organizations up to 12 instead of 10. “It is certainly an opportunity to enhance some of the lottery revenue. This is one of the few gaming options that we have under the Lottery that seems to be holding its own,” Kessler said.
In fact, a study by Michael Haid, executive director of the West Virginia Amusement and Limited Video Association, indicated the change at some of the state’s 1,300-plus authorized locations could increase limited video lottery revenue by $20-$25 million annually. Machines at certain “hot” locations each generate $8,000-$9,000 a month, while others barely clear $500, the study showed. “Most of our operators rely on probably 15 percent of their locations for 80 percent of their revenue,” Haid said.
LVL revenue contributed about $187 million to the state in the 2014-2015 budget year—a slight decrease in recent years. Video lottery machines at the state’s racinos have significantly declined as a result of competition from new casinos in Ohio, Pennsylvania and Maryland.
Regarding the bill’s chances in the House, Kessler said, “I have no idea what they’re going to do with it.” He said considering the state’s budget deficit, he hoped the House would be open to any bills that could increase state revenue.
Last year the state Senate voted 29–4 for a similar.
