HB390 (2019) Detail

Relative to the amount retained by a Keno operator.


HB 390-FN - AS INTRODUCED

 

 

2019 SESSION

19-0373

08/10

 

HOUSE BILL 390-FN

 

AN ACT relative to the amount retained by a Keno operator.

 

SPONSORS: Rep. Cahill, Rock. 17; Rep. DiSilvestro, Hills. 9; Rep. Morrison, Rock. 9; Rep. Nutting, Hills. 32

 

COMMITTEE: Ways and Means

 

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ANALYSIS

 

This bill lowers the commission paid to Keno operators.

 

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

19-0373

08/10

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Nineteen

 

AN ACT relative to the amount retained by a Keno operator.

 

Be it Enacted by the Senate and House of Representatives in General Court convened:

 

1  Keno Operators; Commission.  Amend the introductory paragraph of RSA 284:47, II to read as follows:

II.  A licensee may retain [8] 5 percent of the proceeds from keno games.  Of the remaining [92] 95 percent:

2  Effective Date.  This act shall take effect July 1, 2019.

 

LBAO

19-0373

12/26/18

 

HB 390-FN- FISCAL NOTE

AS INTRODUCED

 

AN ACT relative to the amount retained by a Keno operator.

 

FISCAL IMPACT:      [ X ] State              [    ] County               [    ] Local              [    ] None

 

 

 

Estimated Increase / (Decrease)

STATE:

FY 2020

FY 2021

FY 2022

FY 2023

   Appropriation

$0

$0

$0

$0

   Revenue

Indeterminable

Indeterminable

Indeterminable

Indeterminable

   Expenditures

Indeterminable

Indeterminable

Indeterminable

Indeterminable

Funding Source:

  [    ] General            [ X ] Education            [    ] Highway           [ X ] Other - Restricted revenue to Department of Health and Human Services

 

 

 

 

 

METHODOLOGY:

This bill reduces the amount of commission licensees receive from keno games from 8 percent to 5 percent.  The Lottery Commission predicts this bill will reduce the financial incentive for licenses to operate keno games, will likely lead to fewer businesses choosing to operate keno games, and will negatively impact keno sales.  Since the effect this bill will have on keno sales is unknown, revenues and expenditures will be impacted by an indeterminable amount.

 

Keno games have been operational since December 2017 and the Lottery Commission has collected 11 months of sales data to date.  Below is a table showing currently available historical data on keno sales with the current commission and the estimated net difference if the proposed change in commission was effective as of December 2017.

 

Month

Gross Ticket Sales

Current 8% Commission

Estimated Proposed 5% Commission

Estimated Net Difference In Commission

December 2017

$388,725.00

$31,201.76

$19,436.25

$11,765.51

January 2018

$683,650.00

$54,929.94

$34,182.50

$20,747.44

February 2018

$890,648.00

$71,401.84

$44,532.40

$26,869.44

March 2018

$1,380,266.00

$ 110,421.28

$69,013.30

$41,407.98

April 2018

$1,447,566.00

$115,805.28

$72,378.30

$43,426.98

May 2018

$1,472,292.00

$117,933.36

$73,614.60

$44,318.76

June 2018

$2,008,742.00

$160,699.36

$100,437.10

$60,262.26

July 2018

$1,593,740.00

$127,699.20

$79,687.00

$48,012.20

August 2018

$1,740,639.00

$139,244.40

$87,031.95

$52,212.45

September 2018

$2,293,531.00

$183,482.48

$114,676.55

$68,805.93

October 2018

$1,884,947.00

$150,895.76

$94,247.35

$56,648.41

Total

$15,784,746.00

$1,263,714.66

$789,237.30

$474,477.36

 

After a licensee retains their commission, one percent of remaining revenue is paid to the Department of Health and Human Services to support research, prevention, intervention, and treatment for problem gamblers.  The remaining funds, less the administrative costs of the Lottery Commission and prize payouts, are deposited into the Education Trust Fund.

 

AGENCIES CONTACTED:

Lottery Commission

 

Links


Date Body Type
Jan. 16, 2019 House Hearing
Jan. 29, 2019 House Exec Session
House Floor Vote
Feb. 14, 2019 House Floor Vote

Bill Text Revisions

HB390 Revision: 4583 Date: Jan. 7, 2019, 3:26 p.m.

Docket


Feb. 14, 2019: Inexpedient to Legislate: MA VV 02/14/2019 HJ 5 P. 23


Feb. 14, 2019: Committee Report: Inexpedient to Legislate for 02/14/2019 (Vote 19-0; CC) HC 11 P. 12


: Committee Report: Inexpedient to Legislate (Vote 19-0; CC)


Jan. 29, 2019: Executive Session: 01/29/2019 01:30 pm LOB 202


Jan. 22, 2019: Full Committee Work Session: 01/22/2019 02:00 pm LOB 202


Jan. 16, 2019: Public Hearing: 01/16/2019 01:00 pm LOB 202


Jan. 3, 2019: Introduced 01/03/2019 and referred to Ways and Means HJ 3 P. 12