An Act to Provide Opportunities and Sustainable Revenue for
Maine Legislature, Session 132, LD 1838
Committee: Veterans and Legal Affairs
Sponsors: FARRIN, ROLLINS

Legislative Document
No. 1838
S.P. 721
In Senate, April 30, 2025
An Act to Provide Opportunities and Sustainable Revenue for 
Maine Farms, Agricultural Fairs, Wabanaki Tribes and Veterans' 
Homes
Reference to the Committee on Veterans and Legal Affairs suggested and ordered printed.
DAREK M. GRANT
Secretary of the Senate
Presented by Senator FARRIN of Somerset.
Cosponsored by Representative ROLLINS of Augusta and
Senators: DUSON of Cumberland, HICKMAN of Kennebec, MOORE of Washington, 
Representatives: FREDETTE of Newport, PARRY of Arundel.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  8 MRSA c. 39 is enacted to read:
CHAPTER 39
REGULATION OF ELECTRONIC GAMES
§1501. Definitions
As used in this chapter, unless the context otherwise indicates, the following terms 
have the following meanings.
1.  Beano.  "Beano" means a game of chance, as defined in Title 17, section 1831, 
subsection 5, in which:
A.  A participant plays with one or more cards bearing numbers or other designations;
B.  A participant covers those numbers or other designations on that participant's card 
or cards when objects similarly numbered or designated are drawn;
C.  The winner of the game is the first person who covers a previously designated 
arrangement of numbers or other designations on the cards under paragraph A; and
D.  A participant plays for prizes, including monetary prizes.
2.  Director.  "Director" means the director of the Gambling Control Unit within the 
Department of Public Safety.
3.  Electronic beano.  "Electronic beano" means a game of beano played in an 
electronic or electromechanical format that replicates the game of beano by incorporating 
all of the characteristics of the game of beano and that allows the participant to play against 
other participants who are playing electronic beano, but not to play with or against the 
electronic wagering terminal.
4.  Electronic wagering terminal.  "Electronic wagering terminal" means an 
electronic device approved by the director that allows a person to insert cash, a token or 
credit and:
A.  Place one or more wagers on a historical horse race, as long as the outcome of each 
wager is based on the outcome of the historical horse race and a random element does 
not determine the outcome of the wager;
B.  Play one or more games of electronic beano from a draw of no more than 75 
numbers or other designations that correspond to the electronic beano game, as long as 
the element of chance is determined by a central computer server system that 
communicates with the electronic wagering terminal; or
C.  Purchase one or more virtual sealed tickets, as long as the element of chance is 
provided by the virtual sealed ticket based on the sealed ticket deal and not by the 
electronic wagering terminal.
An electronic wagering terminal may not distribute cash but may issue a printed or 
electronic voucher or other noncash physical item to a player that may be redeemed for 
cash or other prizes. An electronic wagering terminal is not a slot machine as defined in 
section 1001, subsection 39.
5.  Gambling Control Unit.  "Gambling Control Unit" means the Gambling Control 
Unit within the Department of Public Safety.
6.  Historical horse race.  "Historical horse race" means a horse race that:
A.  Was previously run at a licensed pari-mutuel facility located in the United States;
B.  Concluded with official results; and
C.  Concluded without scratches, disqualifications or finishes in a dead heat.
7.  License.  "License" means a license issued by the director under this chapter.
8.  Licensee.  "Licensee" means a person granted a license under this chapter.
9.  Net terminal income.  "Net terminal income" means cash, tokens, credits or similar 
objects or things of value used to play on an electronic wagering terminal minus cash, 
credits or prizes paid out to winners.
10.  Sealed ticket.  "Sealed ticket" means a ticket or card with preprinted symbols, 
numbers or other figures that are hidden by an opaque, removable material. Each ticket or 
card represents a chance to win a specific single prize, including a monetary prize, or 
specific single set of prizes. A winning ticket or card contains a predetermined winning 
configuration of symbols, numbers or other figures. "Sealed ticket" does not include a 
lottery ticket under chapter 14-A or chapter 16.
11.  Sealed ticket deal.  "Sealed ticket deal" means each separate package or series of 
packages of sealed tickets consisting of one sealed ticket game with a unique serial number 
or their substantial equivalent in the case of a virtual sealed ticket.
12.  Shared wagering arrangement.  "Shared wagering arrangement" means an 
agreement to operate electronic wagering terminals from a central computer server system 
located in the State controlled by a licensee providing common access to a historical horse 
race, virtual sealed ticket deal or electronic beano game from multiple locations.
13.  Pari-mutuel wagering.  "Pari-mutuel wagering" means a method of wagering in 
which those who wager on horses that finish in the position or positions for which wagers 
are taken share in the total amounts wagered.
14.  Terminal distributor.  "Terminal distributor" means a person, firm, corporation, 
association or organization that sells, markets or otherwise distributes electronic wagering 
terminals.
15.  Virtual sealed ticket.  "Virtual sealed ticket" means a sealed ticket displayed on 
a screen or other display substantially similar to a physical sealed ticket in a manner 
approved by the director.
§1502. Powers of director
1.  Powers.  In administering and enforcing this chapter, the director may:
A.  Pursuant to section 1503, approve or deny an application for and issue, limit, 
restrict, suspend or revoke a license issued under this chapter;
B.  Review reports of the investigation and qualifications of an applicant before a 
license is issued;
C.  Prescribe the manner for the collection of all revenues under this chapter;
D.  Investigate complaints regarding the operation of electronic wagering terminals in 
violation of this chapter and rules adopted pursuant to this chapter;
E.  Impose sanctions, penalties and costs of investigation or hearing against an 
applicant or licensee for violation of this chapter or rules adopted pursuant to this 
chapter;
F.  Conduct a financial audit of a licensee at any time to ensure compliance with this 
chapter; and
G.  Adopt rules, which are routine technical rules under Title 5, chapter 375, subchapter 
2-A, for licensing of employees or agents of licensees under this chapter.
§1503. License to operate electronic wagering terminals
1.  License required.  A person may not operate an electronic wagering terminal unless 
the person has been issued a license by the director.
2.  Persons eligible for electronic wagering terminal licenses.  The director may 
issue licenses to operate electronic wagering terminals to:
A.  Federally recognized Indian tribes within the State;
B.  Commercial tracks licensed to conduct pari-mutuel wagering under chapter 11 and 
not licensed under chapter 31, subchapter 2;
C.  Organizations described in Title 17, section 1832, subsection 2 that were licensed 
under Title 17, chapter 62 at any time between January 1, 2021 and December 31, 
2024; and
D.  Off-track betting facilities licensed under section 275-D that were in operation at 
any time between January 1, 2024 and December 31, 2024.
3.  Application; license fee; term.  An application for a license must be submitted in 
a manner prescribed by the director. The initial fee and renewal fee for a license to operate 
electronic wagering terminals may not exceed the greater of $500 or $10 per electronic 
wagering terminal in operation by the licensee. Licenses must be renewed annually.
4.  Location; number of electronic wagering terminals; municipal approval.  
Electronic wagering terminals may be located in the State according to this subsection.
A.  A licensed commercial track under subsection 2, paragraph B may operate up to 
electronic wagering terminals at the location of the commercial track, subject to 
approval of the municipality where the commercial track is located.
B.  An eligible organization under subsection 2, paragraph C may operate up to 4 
electronic wagering terminals on the premises of the organization, subject to the 
approval of the municipality where the premises of the organization is located.
C.  An off-track betting facility under subsection 2, paragraph D may operate up to 25 
electronic wagering terminals on the premises of the facility, subject to the approval of 
the municipality where the premises of the facility is located.
D.  A federally recognized Indian tribe under subsection 2, paragraph A may operate 
up to 100 electronic wagering terminals in any territory under the jurisdiction of the 
respective tribe not subject to a zoning ordinance of a municipality. In addition, a 
federally recognized Indian tribe may operate electronic wagering terminals in any 
municipality, subject to the approval of the municipality where the electronic wagering 
terminals are located, except that each federally recognized Indian tribe may not 
operate more than 100 electronic wagering terminals in total.
As used in this subsection, "approval of the municipality" means an affirmative vote by the 
municipality or the municipal officers in the manner provided by Title 30-A, section 3002.
5.  Cooperative agreements; approval.  Upon application by 2 or more licensees 
under subsection 2, the director may approve a cooperative agreement among the licensees 
to colocate electronic wagering terminals at a single facility controlled by one licensee 
authorized under subsection 2, paragraph A or B, or to operate electronic wagering 
terminals through a shared wagering arrangement. Any such cooperative agreement may 
authorize one licensee to be the party under the agreement responsible for operating the 
electronic wagering terminals under this chapter and pay to the other licensee or licensees 
a fee to host or otherwise operate the electronic wagering terminals. The terms of a 
cooperative agreement under this subsection are confidential.
6.  Electronic wagering terminal fee.  In addition to the license fee under subsection 
3, the fee for each electronic wagering terminal is $50 annually.
7.  Terminal distributor; registration.  A licensee may use only electronic wagering 
terminals that are certified and registered with the Gambling Control Unit and that are 
provided by a terminal distributor licensed under section 1505. The director shall adopt 
rules regarding the certification and registration of electronic wagering terminals. Rules 
adopted pursuant to this subsection are routine technical rules as defined by Title 5, chapter 
375, subchapter 2-A.
8.  Minimum age.  A licensee may not permit a person under 21 years of age to operate 
an electronic wagering terminal. A licensee may not permit a person under 21 years of age 
to enter any area where an electronic wagering terminal is being operated unless otherwise 
permitted by rule adopted under this chapter.
§1504. Allocation of funds
1.  Distribution of net terminal income.  A licensee shall collect and distribute 25% 
of the net terminal income from electronic wagering terminals to the director for 
distribution by the director as follows:
A.  One percent of net terminal income must be deposited to the General Fund for 
administrative expenses of the Gambling Control Unit;
B.  One percent of net terminal income must be forwarded by the director to the 
Treasurer of State, who shall credit the money to the Gambling Addiction Prevention 
and Treatment Fund established by Title 5, section 20006-B;
C.  Two percent of net terminal income must be forwarded by the director to the 
Treasurer of State, who shall credit the money to the Agricultural Fair Support Fund 
established by Title 7, section 91;
D.  Five percent of net terminal income must be forwarded by the director to the 
Treasurer of State, who shall credit the money to the fund established in section 298 to 
supplement harness racing purses;
E.  One percent of net terminal income must be forwarded by the director to the 
Treasurer of State, who shall credit the money to the Harness Racing Promotional Fund 
established in section 299-A;
F.  One percent of net terminal income must be forwarded by the director to the 
Treasurer of State, who shall credit the money to the Sire Stakes Fund established under 
section 281;
G.  Five percent of net terminal income must be forwarded by the director to the 
Treasurer of State, who shall credit any money received before January 1, 2035 to the 
Maine Milk Pool established in Title 7, section 3153, and any money received on or 
after January 1, 2035 to the Agricultural Development Fund established in Title 7, 
section 306-A;
H.  Five percent of net terminal income must be forwarded by the director to the 
Treasurer of State, who shall credit the money to the Maine Veterans' Homes 
Stabilization Fund established in Title 37-B, section 613;
I.  Three percent of net terminal income must be forwarded by the director to the 
Treasurer of State, who shall credit the money to the Fund for the Efficient Delivery of 
Educational Services in Title 20-A, section 2651, to be expended in support of career 
and technical education; and
J.  One percent of net terminal income must be forwarded by the director to the 
Treasurer of State, who shall remit the funds annually to the municipality in which the 
electronic wagering terminals are located.
2.  Failure to collect and distribute funds.  A licensee who knowingly or intentionally 
fails to comply with this section commits a Class D crime. In addition to any other sanction 
available by law, the license of the person may be revoked by the director and electronic 
wagering terminals operated by the licensee may be disabled and the proceeds and 
associated gaming equipment may be confiscated by the director and are subject to 
forfeiture under Title 17-A, section 959 or 960.
3.  Late payments.  The director may adopt rules establishing the dates on which 
payments required by this section are due. All payments not remitted when due must be 
paid together with interest on the unpaid balance at a rate of 1.5% per month.  Rules adopted 
pursuant to this subsection are routine technical rules as described in Title 5, chapter 375, 
subchapter 2-A.
§1505. Terminal distributors; licenses; records and reports
1.  Terminal distributors licensed.  A terminal distributor may not sell, lease, market 
or otherwise distribute electronic wagering terminals unless licensed by the Gambling 
Control Unit. A nonresident manufacturer or distributor of electronic wagering terminals 
doing business in the State must have an agent in this State who is licensed as a terminal 
distributor. A terminal distributor may not sell, market or otherwise distribute electronic 
wagering terminals to a person or organization, except to persons licensed to operate 
electronic wagering terminals under section 1503.
2.  Application; fee.  An applicant for a terminal distributor license or, if the applicant 
is a firm, corporation, association or other organization, its resident manager, 
superintendent or official representative, shall file an application with the Gambling 
Control Unit on a form provided by the Gambling Control Unit. The fee for a terminal 
distributor license is $5,000 annually. In addition to the license fee, the director may charge 
a one-time initial application fee for a terminal distributor license in an amount equal to the 
projected cost of processing the application and performing any background investigations. 
If the actual cost exceeds the projected cost, an additional fee may be charged to meet the 
actual cost. If the projected cost exceeds the actual cost, the difference may be refunded to 
the applicant.
3.  Terminal distributor employee licenses.  An employee of a terminal distributor 
whose duties include directly interacting with electronic wagering terminals may not 
undertake such duties without the receipt of a license from the director. The fee for a license 
under this subsection is $250 for an initial license and $50 for a renewal of the license.  A 
license is valid for a period of one year.
4.  Sales agreements.  A terminal distributor shall forward to the Gambling Control 
Unit, prior to delivery of any electronic wagering terminals to the purchaser, a copy of all 
sales agreements, sales contracts or any other agreements involving the sale of any 
electronic wagering terminals. The terms of these agreements must include, but are not 
limited to: the name of the seller; the name of the purchaser; the address of the seller; the 
address of the purchaser; a description of the electronic wagering terminals, including serial 
number and model name and number; total sale price; any arrangement or terms for 
payments; and the date of final payment. Any change, modification or alteration of these 
agreements must be reported to the Gambling Control Unit by the purchaser within 6 days 
of the change, modification or alteration.
5.  Service agreement.  With the sale of any electronic wagering terminals that 
includes a service agreement, the terminal distributor shall forward to the Gambling 
Control Unit a copy of the service agreement prior to delivery of the electronic wagering 
terminal. The terms of the service agreement must include, but are not limited to: the name 
of the seller; the name of the purchaser; the address of the seller; the address of the 
purchaser; a description of the electronic wagering terminal to be serviced, including serial 
number and model name and number; and all prices and payments for that service. Any 
change, modification or alteration of the agreement must be reported to the Gambling 
Control Unit by the purchaser within 6 days of the change, modification or alteration.
6.  Lease agreement.  When an electronic wagering terminal is leased, the terminal 
distributor shall forward to the Gambling Control Unit a copy of the lease agreement and 
shipment approval prior to delivery of the electronic wagering terminal. The terms of the 
lease must include, but are not limited to: the name of the lessor; the address of the lessor; 
the name of the lessee; the address of the lessee; a description of the electronic wagering 
terminal; the serial number, model name or number of the electronic wagering terminal; 
and all prices and payments for the lease. Each lease must be for a specific period of time. 
Electronic wagering terminals leased under this section must be clearly marked to identify 
the name and address of the terminal distributor. A lease agreement under this subsection 
may not allow a terminal distributor to receive more than 30% of net terminal income.
7.  Reports.  A terminal distributor shall file annually with the Gambling Control Unit 
a report indicating:
A.  The names and addresses of all persons or federally recognized Indian tribes to 
which the terminal distributor has distributed electronic wagering terminals and the 
dates of the distribution;
B.  A description of the electronic wagering terminals distributed, including serial 
number and model name and number; and
C.  The number of electronic wagering terminals distributed.
8.  Retention and inspection of records.  A terminal distributor shall maintain and 
keep for a period of 3 years, on the premises of the terminal distributor, any records that 
may be necessary to substantiate the reports required by this section or by the rules adopted 
under this chapter. The records must be open to inspection by the Gambling Control Unit, 
and a terminal distributor may not refuse the Gambling Control Unit permission to inspect 
or audit the records. Refusal to permit inspection or audit of the records does not constitute 
a crime under this chapter but constitutes grounds for the revocation of a terminal 
distributor license.
9.  Rulemaking.  The director shall adopt rules as necessary to administer this section, 
including rules regarding the licensing of terminal distributors under subsection 1 and the 
licensing of terminal distributor employees under subsection 3. Rules adopted pursuant to 
this subsection are routine technical rules pursuant to Title 5, chapter 375, subchapter 2-A.
§1506. Violations and penalties
1.  Violation.  A person, firm, corporation or association or an agent or employee of 
one of those entities who violates any provision of this chapter or a rule adopted pursuant 
to this chapter is subject to the penalties under subsection 2.
2.  Penalty.  For each violation of this chapter or of a rule adopted pursuant to this 
chapter, the director may:
A.  Impose a fine of up to $1,000 per violation; or
B.  Impose a fine not to exceed $5,000 for violations arising out of the same transaction 
or occurrence.
§1507. Applicability of other laws
Unless otherwise specified in this chapter, the provisions of Title 17, chapter 62 and 
Title 17-A, chapter 39 do not apply to the conduct of electronic beano and historical horse 
racing operated in accordance with this chapter and rules adopted pursuant to this chapter. 
Any materials provided to the Gambling Control Unit under this chapter by a licensee that 
would be confidential if provided to the Gambling Control Unit under another provision of 
law for any other license are confidential.
§1508. Rulemaking
The director shall adopt rules to implement this chapter. Rules adopted pursuant to this 
section are routine technical rules as defined in Title 5, chapter 375, subchapter 2-A.
1.  Required rules.  Rules adopted pursuant to this section must include, but are not 
limited to, the following:
A.  Provisions allowing individuals to restrict themselves from using an electronic 
wagering terminal upon request by placing themselves on the list established pursuant 
to section 1003, subsection 3, paragraph I;
B.  Standards for involuntary placement on the list established pursuant to section 1003, 
subsection 3, paragraph I and for removal from the list;
C.  Provisions to prevent undesirable conduct relating to the ownership, leasing, 
distribution and operation of electronic wagering terminals;
D.  Provisions for the licensure of employees conducting wagering activities for 
persons licensed under section 1503, subsection 2; and
E.  Provisions enabling licensees authorized to conduct similar wagering activities, 
including but not limited to pari-mutuel wagering, sports wagering and high-stakes 
beano, to use facilities and staffing for such similar wagering activities concurrently 
with the operation of electronic wagering terminals.
SUMMARY
This bill authorizes the licensed operation of electronic wagering terminals to place 
wagers on historical horse races, purchase virtual sealed tickets and to conduct electronic 
beano by federally recognized Indian tribes, certain off-track betting facilities and 
commercial tracks and organizations eligible to conduct certain games of chance. Licenses 
are issued by the director of the Gambling Control Unit within the Department of Public 
Safety. The bill also requires distributors of electronic wagering terminals to be licensed 
with the Gambling Control Unit.
The bill establishes limits on the number and location of terminals based upon the type 
of licensee. The bill requires an operator of an electronic wagering terminal to collect 25% 
of net terminal income for distribution among the General Fund for administrative expenses 
of the Gambling Control Unit; gambling addiction prevention and treatment services; the 
Maine Milk Pool until January 1, 2035 and, on or after January 1, 2035, to the Agricultural 
Development Fund; agricultural fairs; funds dedicated to supporting and promoting harness 
racing; career and technical education; the Maine Veterans' Homes Stabilization Fund; and 
municipalities in which terminals are located.