Legislative Update April 29,1998

1998 Omnibus Lawful Gambling Bill

 On Monday, March 23, 1998 Governor Arne Carlson signed into law Chapter No. 322
S.F. 2911. This bill, authored by Senator Jim Vickerman of Tracy and Representative
Mike Delmont of Lexington, makes the following changes in law:
 

 *Amends the lawful purpose expenditures statute to allow expenditures to bring
buildings into compliance with the American with Disabilities Act. Requires board
approval.

 *Allows electronic transfer of funds. Specifies the requirements necessary if
organizations are to conduct electronic transfer of funds. Allows electronic transfer of
funds for payment of state, local, or federal taxes. Allows payroll processing firms to
conduct electronic transfer. Allows utility and other payments to be conducted by
electronic transfer. Specifies supporting documentation that is required for electronic
transfer.

 *Allows gambling employees to purchase pull-tabs at the site of the employee's place of
employment if the organization voluntarily posts major prizes, and if the employee is not
involved in the sale of pull-tabs at that site.

 *Allows local governments who have an account for expenditures of local taxes on
lawful gambling to use those receipts for police, fire, and other emergency equipment.
Requires cities or counties who make expenditures under this provision to report by
March 15 of each year to the board on the nature of these expenditures.

1998 Omnibus Tax Bill

On Tuesday, April 21, 1998 Governor Carlson signed into law Chapter No. 389 H.F. 3840.
Article 13 of this bill, authored by Senator Doug Johnson of Tower and Representative Dee
Long of Minneapolis, makes the following changes in law:
 

 *Reduces Net Receipts Tax on bingo, paddlewheels, & raffles from 10% to 9.5%.

 *Reduces Ideal Gross Tax on pull-tabs & tipboards from 2% to 1.9%.

 *Reduces Combined Receipts Tax on pull-tabs & tipboards from 2%-4%-6% to
1.9%-3.8%-5.7%.

Click here for text of S.F. 2911 (Omnibus Lawful Gambling Bill).
 

Click here for text of Article 13 of H.F. 3840 (Omnibus Tax Bill) plus Tax Bill spreadsheets.