Missouri lawmakers in the House have approved a bill to legalize and regulate video lottery terminals (VLTs), clarifying the legal status of machines in convenience stores, gas stations, and fraternal organizations. The measure passed narrowly, 83-66, and now faces a difficult path in the Senate.
Legal Uncertainty Spurs Legislative Action
The push follows a federal court ruling declaring many existing machines illegal. U.S. District Judge John Ross found that devices marketed as “no-chance” or skill-based meet Missouri’s definition of gambling devices. “Given this central fact that Torch Devices do indeed involve an element of chance, the devices clearly meet the definitions of gambling device,” the judge wrote. This prohibits their use outside licensed casinos, prompting lawmakers to regulate the market.
Rep. Bill Hardwick, R-Dixon, sponsor of HB 2989, said the bill provides oversight and enforcement authority: “This bill gives the attorney general enforcement authority. This bill is the bill that says all the illegal gaming is enforced, it goes away. This is the bill that eliminates the gray market.” The legislation also criminalizes unregulated machines, giving operators a one-year compliance window.
Structure and Oversight
Under the proposed framework, the Missouri Lottery Commission would manage licensing for manufacturers, distributors, operators, handlers, and retailers. All terminals must connect to a central control system maintained or approved by the lottery. Each machine would have a $4 maximum wager and no more than eight machines per retail location. Players under 21 would be prohibited from participating.
Operators would remit 31 percent of adjusted gross gaming revenue to the lottery commission, which would first cover administrative costs. Remaining funds would be split equally between public K–12 and higher education, with 20 percent earmarked for a new Public Elementary and Secondary School Construction and Rehabilitation Grant Fund.
Rep. Pattie Mansur, D-Kansas City, expressed concerns about legislative pressure to act quickly, saying, “We are being urged to accelerate the passage of a bill by being told it’s the only mechanism available to us to get rid of illegal gaming machines… I find that an unacceptable stance.”
Mixed Political Response
Despite passing the House, HB 2989 faces a challenging road in the Senate, where Republican leaders have signaled little support. Opponents like Rep. Dean Van Schoiack, R-Savannah, point to the court ruling as evidence that the machines are already illegal.“Why in the world are we changing our laws for an industry that knows the laws of the state of Missouri and says, ‘You can’t keep us from doing this, we’re going to do it anyway,’” he said.
Gov. Mike Kehoe has deferred to the legislative process but noted an interest in exploring potential revenue from currently unregulated gaming devices. Proponents argue that HB 2989 could generate a controlled revenue stream while reducing illegal operations, giving communities the option to ban VLTs locally within 120 days of the law taking effect.
The bill represents a significant step in Missouri’s ongoing effort to clarify the legal landscape of in-store gaming while balancing enforcement, regulation, and revenue generation.
Source:
“Missouri House passes bill to legalize video lottery machines. Senate poses slimmer chances”, kcur.org, February 20, 2026
The post Missouri House Passes Bill to Legalize Video Lottery Machines first appeared on RealMoneyAction.com.