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Maine Officials Plans to Allow Non-Profit Groups to Offer Keno

A legislative committee is studying the possibility of allowing a new online gambling game that could produce as much as $2.5 million for the state annually. Keno is a game in which a gamer chooses ten numbers from the field of eighty numbers. Cash prizes are based on how many of the player's numbers match the winning numbers.

Besides improving revenues, state officials say that keno could give new choices for non-profit organizations. Rep. Stacey Fitts, a Pittsfield Republican, said on February 1st, 2010 said that for most Maine residents, video gaming is a complicated issue. They either play or do not play. The same cannot be said for those who manage the games.

He added that they have three different kinds of gaming machines in Machines, white, black and gray machines. Fitts is one of the members of the Legislature's Legal and Veterans Affairs Committee who have been trying to find a way to answer the demands of veterans organizations and other non-profit groups that have been feeling the pain of decreased earnings since the Maine State Police stepped up the enforcement of the states games of chance laws over the past few years.

The so-called white video gaming payouts credits that permit a player to keep on enjoying the game based on the number of games won. Gray machines payout a cash prize once in a while. The black machines also payout cash but are not allowed among non-profit organizations.

State Senator Nancy Sullivan, a Biddeford Democrat said that as someone who always sees things either in white or back, she thinks that they should get rid of the gray. Sullivan said that she would like to help the non-profit groups and veterans organizations that would like to improve their revenues from the games-but she believes that Governor John Baldacci will never support expanding video gambling to non-profit organizations.

Sullivan said that keno could help non-profit groups raise additional money. She said that keno offers a lot of things to players, including the opportunity to socialize and play with their friends. The director of the Maine State Lottery, Dan Gwadosky, said that they anticipate that they might be asked how much could be earned from keno.

Gwadosky said that there are thirteen states that currently offer keno. Based on sales of about $8.4 million yearly, Gwadosky said that there would be numerous payouts; vendor fees and game costs before Maine receive its share of the gaming proceeds.

Gwadosky said that the balance would be returned to Maine, which in this case would be approximately $2.3 million, based on sales of $8.4 million. The $2.3 million is the money that would be allocated for the general fund.

Maine non-profit organizations are already offering games that carry a total cash handle of about $70 million, leaving the non-profit groups with a collective net profit of about $10 million.

State Representative Stacey Fitts said that he would prefer that the non-profit groups be permitted to run whatever they want to offer, rather than settle for the game of keno as their only choice.

Gov. John Baldacci has yet to announce his position on the keno proposal but state officials said that Gov. Baldacci is likely to view the keno plan or any other gaming plan negatively.

 

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John Sullivan