Skill Slot Machines In Virginia

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Dave Willis says he would’ve been forced to close down his Norfolk bar, if it wasn’t for the Queen of Virginia “skill” games.

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Slot machines have been entirely based on luck for decades. Unlike blackjack or poker, they don’t offer any control over the results. However, a new breed of skill-based slots has begun to enter casinos. These games do provide the chance to control results to a degree. Casinos aren’t necessarily offering skill-based slot machines willingly. Get the best deals on skill stop slot machine when you shop the largest online selection at eBay.com. Free shipping on many items Browse your favorite brands affordable prices. Skill games subject to this tax include slot machine-type games and similar game machines that have cash, or cash equivalent prizes. You’ll find these sorts of machines in some gas stations, truck stops, restaurants, bars, grocery and convenience stores, and other venues throughout Virginia. What types of skill games are not subject to the tax? Ban on slot-machine-like 'games of skill’ in Virginia would cost jobs, small business owners say Dave Willis says he would’ve been forced to close down his Norfolk bar, if it wasn’t for the.

But now, with state lawmakers close to banning the games, he and thousands of other Virginia businesses will likely have to get rid of them.

Willis installed the games — similar, at least on their surface, to slot machines — at the Haven Inn on South Military Highway two years ago, because business wasn’t doing well, and he had nothing to lose.

Southern Amusement, the company that operates these games and others like pool tables and jukeboxes, told Willis the Alcohol Beverage Control Authority had approved the Queen games at ABC-licensed establishments.

So Willis started with two machines. It was tough for the first six or eight weeks, having to put his own money down for payouts. But then the customers started noticing. People he’d never seen before would come in just to play the games, and stay for a beer or dinner.

Willis added two more machines.

“I made more last year off just the machines than I made in five years as just a beer bar,” he said over the phone Wednesday. He was able to raise employee wages by 25%. He was able to get new furniture, to redo the bartop and the worn-out bar stools.

Other Hampton Roads business owners have similar experiences. Melody Weekly, who owns Mel’s Place in Virginia Beach, said she’s been able to upgrade the bathrooms, countertops and furniture since she added seven machines. She went from one bartender to two, and gave the cook more hours.

Michael Arrigo has also been able to add staff members and increase wages at Long Shots Billiards and Darts in Chesapeake. With the revenue from six machines — as well as the increased business that comes with it — he’s been able to give higher payouts during his billiard and dart tournaments.

Courtney Hyatt, owner of Just One More Bar and Grill in Virginia Beach, said she’s been able to offer one of her employees a dental plan thanks to extra cash she’s brought in from her four games.

Lottery

But the General Assembly voted this month to label them as “illegal gambling” and ban them rather than tax and regulate them, as Southern Amusement, Queen of Virginia and the small business owners wanted. The Senate and the House still have to work out small differences in the bills’ language, but it’ll soon head to Gov. Ralph Northam’s desk, and he hasn’t taken a position on the issue.

A group of the business owners protested outside the Capitol in Richmond on Thursday urging lawmakers to support games of skill.

“Save our jobs!” people shouted as lawmakers walked by. “Support games of skill!”

Queen of Virginia doesn’t like to be lumped in with other electronic games it says aren’t games of skill, aren’t self regulating like Queen and didn’t ask permission to operate their games in Virginia.

Queen says its games require an action — that’s the “skill” part — like pushing a button to match some shapes in order to win. The Virginia ABC decided Queen of Virginia is predominantly based on skill, not chance, and therefore is legal.

The lawmakers who favored the ban say the machines take revenue away from Lottery sales, which are supposed to go to schools. The money was originally meant to be a supplement to what the state was already set aside for schools, but it has since been used as a replacement to the dried-up state funds.

Lottery sales in Virginia have dropped 11.3% over the past year, according to the Virginia Lottery Board, and many attribute that drop to the increase in the games of skill appearing in bars, truck stops and convenience stores around the state. Legislative fiscal analysts have said lottery profits would increase by about $40 million each year starting in 2021 if the ban takes effect.

The machines would also be expensive to regulate. The state’s audit commission found that in Georgia, it costs about $15 million annually to regulate and tax the games.

Lawmakers also say they don’t want these slot-like machines proliferating and increasing the risk of problem gambling. And they’re upset Queen didn’t come to the General Assembly first for approval, but to the ABC Authority and later, to local commonwealth’s attorneys.

“When you think about the future of Virginia, do we really want mini-casinos on every street corner and every bar in Virginia?” said Del. David Bulova, a Democrat from Fairfax who sponsored the bill that bans the machines.

The Joint Legislative Audit and Review Commission estimated between 4,500 and 9,200 devices are now installed in Virginia and could bring in $83 million to $468 million a year in revenue after accounting for winnings to players if taxed. In Georgia, where 23,000 such machines are regulated, the estimated revenue in 2019 was around $800 million.

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“We don’t have table games and lights and glitter and all the stuff that casinos have. We have the back of a smoky bar.”

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Michael Arrigo, owner of Longboard Billiards and Darts

The ban comes as lawmakers are formulating a plan to bring five casinos to the state and legalize sports betting, which the legislative commission estimates would bring in a combined $362 million a year from taxes. They also voted to expand lottery sales online.

“Casinos have been studied for years. There’s been careful planning, they are being regulated and taxed. And none of that applies to (games of skill),” said Sen. Janet Howell, D-Fairfax, before the Senate voted to ban the machines on Feb. 11.

But the group against the ban argues the General Assembly is favoring casinos — whose investors come with lots of out-of-state money — over Virginia small businesses struggling to get by.

“We don’t have table games and lights and glitter and all the stuff that casinos have,' said Arrigo from Long Shots. 'We have the back of a smoky bar.”

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Truck stop owners who have also benefited from the games were slated to meet with Northam on Thursday afternoon to discuss the ban, according to Jeanna Bouzek, Queen of Virginia’s general manager.

“He has been carefully monitoring this issue and will thoroughly review this legislation when it reaches his desk,” Northam’s spokeswoman said.

Convenience store, bar and restaurant owners are also scheduled to hold a rally protesting the ban at Azalea Inn on Little Creek Road in Norfolk at 1 p.m. Monday.

Marie Albiges, 757-247-4962, malbiges@dailypress.com

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