An Act Regarding Establishing a Slot Machine Facility
Maine Legislature, Session 125, LD 0985
Committee Amendment CA_A_H436 (House)

LD985 
LR 2075(02) 
An Act Regarding Establishing a Slot Machine Facility 
Fiscal Note for Bill as Amended by Committee Amendment "A" 
Committee: Veterans and Legal Affairs 
Fiscal Note Required: Yes 
Fiscal Note 
Future biennium cost increase - General Fund 
Future biennium cost increase - Other Special Revenue Funds 
Future biennium revenue increase - General Fund 
Future biennium revenue increase - Other Special Revenue Funds 
If this initiated bill is enacted without amendment, it would allow the Gambling Control Board to accept applications 
for licenses to operate additional slot machine facilities in Maine. Current law allows for a total of 1,500 slot 
machines to be operated in the state. The existing facility in Bangor has already been licensed to operate the entire 
1,500, effectively preventing the establishment of additional facilities. Although this proposed legislation would open 
the licensing opportunity to multiple facilities with up to 1,500 slot machines per facility, specific limiting criteria in 
the proposed language would make it highly unlikely that more than one new facility would be possible. 
Presented below is an estimate of the potential revenues that may be generated from one new slot machine facility and 
the subsequent distribution of those revenues. This fiscal note assumes one new facility would be established with 
1,000 slot machines that would generate annual revenue of$6,534,000 for the State's General Fund and $20,908,800 
for various other funds. The General Fund would also receive license fees of $414,500 in the first year and $188,250 
for license renewals in subsequent years. Annual state costs associated with a Deputy Director, Inspectors, State 
Police Detective, Auditor II, contracts for monitoring services and other related expenses are estimated to be 
$1,123,661. 
This analysis assumes no significant effect on revenue generated by the licensed racino facility in Bangor or the casino 
facility pending licensure in Oxford. lfthere is an appreciable reduction in racino or casino revenue, there will be a 
reduction in the amounts distributed from those facilities. Any negative impact on the racino facility in Bangor and 
the casino facility pending licensure in Oxford would depend upon the timing of the opening of this proposed facility 
and cannot be determined at this time. The tax structure at the new facility would be I % of gross slot machine income 
and 40% of net slot machine income. 
Summary of Slot Machine Facility Revenue 
Gross Slot Income (total value of money, tokens, credits, other value used to playa slot machine) 
Player Payback - Slot Income 
General Fund - 1 % of Gross Slot Income 
LR2075(02) - Fiscal Note - Page lof2 
Annual 
Estimate 
$653,400,000 
$594,594,000 
$6,534,000 
Net Slot Income 
Share of Net Income for Distribution - 40% 
Operator Share of Net Income - 60% 
State Revenues by Fund 
General Fund 
From Slot Machines 
From Annual License Fees (I st year will be $414,500) 
Total General Fund Revenue 
Distribution of 40% Share of Net Income 
Androscoggin River Minimum Water Quality Standards 
Downtown Revitalization - Statewide 
Downtown Revitalization - Host Municipality 
CJi LH- 4 3(PJ 
Grants and Low-Interest Loans to Upgrade and Convert to Renewable Energy - Efficiency Maine 
Grants and Low-Interest Loans to Upgrade and Convert to Renewable Energy - Host Municipality 
Counties Other Than County in Which Host Municipality is Located 
Maint,enance, Repairs and Improvements to Ports and Fisheries 
Support Collector Roads and East-West Highway 
Capital Improvements to Rail Service 
Capital Improvements to Support Rail Service to Bethel 
Host Municipality 
Municipality Closest to Host Municipality With Population of at Least 20,000 
County in Which Host Municipality is Located 
Capital Improvements to the University of Maine, Maine Community Colleges and/or Maine Maritime 
Organizations Licensed Under MRSA Title 17, §332 
Agricultural Fair Support Fund 
Lewiston Auburn Economic Growth Council 
Maine Scholars Program 
Maine Office of Tourism 
Maine State Grant Program 
Home-Based Care for the Elderly 
Maine Technology Institute 
Organizations Licensed Under MRSA Title 17, §314 
Fund to Supplement Harness Racing Purses 
Host Municipality - Infrastructure Improvements 
Each Humane Society Within the State 
Riverfront Bike Path Connecting Lewiston/Auburn to Brunswick 
Meals on Wheels 
Cities of Lewiston and Auburn for Joint Expenses 
Municipalities Adjacent to Host Municipality 
Total Other Special Revenue Funds Revenue 
Total Revenue All Funds 
Summary of Expenditure Impacts to the State 
General Fund 
- Public Safety 
LR2075(02) - Fiscal Note - Page 2 of2 
$52,272,000 
$20,908,800 
$31,363,200 
Annual 
Estimate 
$6,534,000 
$188,250 
$6,722,250 
$1,568,160 
$1,411,344 
$156,816 
$1,411,344 
$156,816 
$1,568,160 
$1,568,160 
$1,568,160 
$1,568,160 
$1,045,440 
$1,045,440 . 
$522,720 
$522,720 
$522,720 
$522,720 
$522,720 
$522,720 
$522,720 
$522,720 
$522,720 
$522,720 
$522,720 
$261,360 
$261,360 
$261,360 
$261,360 
$261,360 
$261,360 
$261,360 
$261,360 
$20,908,800 
$27,631,050 
$1,123,661