Governor Signs Omnibus Tax Bill

On Monday, May 15, 2000, Governor Ventura signed into law Chapter No.
490 H.F. No. 4127. This bill, the 2000 Omnibus Tax Bill, authored by
Representative Ron Abrams of Minnetonka & Senator Doug Johnson of Tower,
INCLUDES a 5.6% Charitable Gambling Tax Reduction.

 Charitable Gambling Tax Rates have now been reduced by 15% in the last
3 years for each and every Charitable Gambling Organization in the
state. Because of ACM's efforts Minnesota's 1500+ licensed Charitable
Gambling Organizations now have approximately $9.6 million dollars more
to spend annually on the many worthwhile programs and projects they
support in their communities. If you add in the approximately $6 million
dollars per year from ACM's succesful 1996 Unsold Ticket Tax Refund
initiative Minnesota's licensed Charitable Gambling Organizations are
paying about 22% less on average in Minnesota Charitable Gambling Taxes.

 Sections 3, 5, & 6 of Article 10 (Special Taxes) of H.F. No. 4127
change Minnesota's Charitable Gambling Taxes effective July 1, 2000 as
follows:

• Net Receipts Tax on bingo, paddlewheels, & raffles reduced from 9.0%
to 8.5%

• Ideal Gross Tax on pull-tabs & tipboards reduced from 1.8% to 1.7%

• Combined Receipts Tax on pull-tabs & tipboards reduced from
1.8%-3.6%-5.4% to 1.7%-3.4%-5.1%

 For fiscal year 2001 (July 1, 2000 - June 30, 2001) the 5.6% Charitable
Gambling Tax Reduction will provide an additional $3,100,000 to licensed
Charitable Gambling Organizations to spend in their communities for
lawful purpose contributions. The 5.6% Charitable Gambling Tax Reduction
will be around $3,250,000 for each subsequent fiscal year.

 Sections 3, 4, 5, & 6 of Article 10 (Special Taxes) of Chapter No. H.F.
No. 4127 are printed on pages 15, 16, & 17 of this newsletter.