North Dakota Senate Bill SB2390

North Dakota 2023-2024 Regular Session

• Introduced: 1/23/23
• Refer: 1/23/23
• Report DNP: 2/10/23

Caption

Electronic pull tab payout limitations and the use of charitable gaming gross proceeds.

Impact

The proposed modifications within SB2390 will impact state laws governing charitable gaming, particularly in how organizations must calculate and report their earnings from electronic pull tabs. By establishing new payout percentages differentiated by the amount of gross proceeds, the bill seeks to encourage greater participation in charitable gaming by making it more profitable for smaller organizations while capping excessive payouts for larger ones. The underlying goal is to ensure that more funds are retained within the nonprofit sector for community benefit.

Summary

Senate Bill 2390 addresses the regulations surrounding electronic pull tab gaming and sets limitations on payouts from charitable organizations. The bill proposes to adjust existing rules by modifying the criteria for payout percentages based on the gross proceeds organizations receive. By introducing biannual adjustments instead of annual ones, the bill aims to create a more responsive regulatory environment that reflects the changing financial circumstances of these organizations. This change is expected to allow nonprofits more flexibility in their gaming activities, thereby supporting their fundraising efforts.

Sentiment

Discussions around SB2390 reveal a mixed sentiment among stakeholders. Supporters argue that the bill enhances opportunities for charitable organizations to engage in gaming activities without overly burdensome restrictions, thereby potentially increasing their financial viability. Conversely, opponents express concerns regarding the implications for responsible gaming practices and potential risks of increased accessibility to gambling for vulnerable populations. This creates a tension between fostering charitable fundraising and ensuring responsible oversight.

Contention

Notable points of contention have arisen during deliberations, especially concerning the adjustment of payout thresholds. Critics fear that the proposed changes may dilute protections that ensure responsible gaming practices are upheld. There is apprehension about how these adjustments might lead to unintended consequences, such as an increase in gambling-related problems in communities. Finding a balance between promoting charitable contributions while safeguarding public interest remains a central challenge as the bill moves through the legislative process.