The provisions of HB 1290 significantly amend existing regulations on gaming in Indiana. By setting stringent licensing requirements and establishing a state-tax framework, the bill aims to centralize authority over video gaming. In addition to revenue collection, the bill allocates tax proceeds for mental health and addiction interventions, and supplies for law enforcement in municipalities. This funding model aims to ensure the integrity of gaming operations while addressing potential public health implications of gambling.
House Bill 1290 introduces a regulatory framework for video gaming terminals in Indiana, allowing establishments such as convenience stores and fraternal organizations to operate such gaming terminals under a licensing structure. Effective July 1, 2024, the bill establishes the Indiana Gaming Commission as the main authority overseeing the licensing process and ensuring compliance with state regulations. The measure also stipulates a video gaming wagering tax set at 30% of the adjusted gross receipts from the operations of these terminals, aimed at generating revenue for the state.
While supporters of HB 1290 argue that it will create a consistent regulatory approach to gambling and improve state revenues, opponents voice concerns over local government authority being preempted. The bill restricts municipalities' ability to impose additional taxes or regulations on video gaming operations beyond what is set forth in state law. Critics assert that local decision-making on matters that impact community welfare could be undermined, particularly related to the placement of these terminals near sensitive areas such as schools and places of worship.