HF 4912

Introduction - 94th Legislature (2025 - 2026)

Posted on 04/09/2026 02:49 p.m.

A bill for an act
relating to gambling; dedicating certain electronic pull-tab revenue for support of
the Minnesota-bred Thoroughbred industry; appropriating money; amending
Minnesota Statutes 2024, section 297E.02, subdivision 3.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2024, section 297E.02, subdivision 3, is amended to read:

Subd. 3.

Collection; disposition.

(a) Taxes imposed by this section are due and payable
to the commissioner when the gambling tax return is required to be filed. Distributors must
file their monthly sales figures with the commissioner on a form prescribed by the
commissioner. Returns covering the taxes imposed under this section must be filed with
the commissioner on or before the 20th day of the month following the close of the previous
calendar month. The commissioner shall prescribe the content, format, and manner of returns
or other documents pursuant to section 270C.30. The proceeds, along with the revenue
received from all license fees and other fees under sections 349.11 to 349.191, 349.211,
and 349.213, must be paid to the commissioner of management and budget for deposit in
the general fund.

(b) The sales tax imposed by chapter 297A on the sale of pull-tabs and tipboards by the
distributor is imposed on the retail sales price. The retail sale of pull-tabs or tipboards by
the organization is exempt from taxes imposed by chapter 297A and is exempt from all
local taxes and license fees except a fee authorized under section 349.16, subdivision 8.

(c) One-half of one percent of the revenue deposited in the general fund under paragraph
(a), is appropriated to the commissioner of human services for the compulsive gambling
treatment program established under section 245.98. One-half of one percent of the revenue
deposited in the general fund under paragraph (a), is appropriated to the commissioner of
human services for a grant to the state affiliate recognized by the National Council on
Problem Gambling to increase public awareness of problem gambling, education and training
for individuals and organizations providing effective treatment services to problem gamblers
and their families, and research relating to problem gambling. Money appropriated by this
paragraph must supplement and must not replace existing state funding for these programs.

(d) The commissioner of human services must provide to the state affiliate recognized
by the National Council on Problem Gambling a monthly statement of the amounts deposited
under paragraph (c). Beginning January 1, 2022, the commissioner of human services must
provide to the chairs and ranking minority members of the legislative committees with
jurisdiction over treatment for problem gambling and to the state affiliate recognized by the
National Council on Problem Gambling an annual reconciliation of the amounts deposited
under paragraph (c). The annual reconciliation under this paragraph must include the amount
allocated to the commissioner of human services for the compulsive gambling treatment
program established under section 245.98, and the amount allocated to the state affiliate
recognized by the National Council on Problem Gambling.

new text begin (e) Beginning in fiscal year 2027, $2,000,000 of the revenue deposited in the general
fund under paragraph (a), attributable to electronic pull-tab deals or games, is annually
appropriated to the Minnesota Racing Commission to supplement purses for races held
exclusively for Minnesota-bred Thoroughbreds and provide grants, loans, and other financial
incentives to breeders and owners, in order to promote, encourage, and support the
Minnesota-bred Thoroughbred industry in the state and encourage breeding and racing of
Thoroughbreds.
new text end