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April 28, 2004

Proposed fees on slot machines in Texas called too low

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The Tigua Tribe of Texas says a bill to impose a $25,000 fee on every slot machine is too high. But a consultant says its not high enough.

State Reps. Jim Pitts (R) and Ron Wilson (D) introduced a bill to authorize up to 40,000 video slot machines at racetracks and tribal casinos. Revenues would be directed to education.

The tracks would pay 40 percent to the state while the tribes would pay 25 percent. The Tigua Tribe says it can't afford the high fees associated with the machines.

But consultant Jeff Hooke, whose travel expenses to Texas were paid by the Baptist General Convention, according to The Houston Chronicle, said the state should charge more. He pointed to a casino in Detroit, Michigan, where a tribe reportedly paid $265 million for an interest in slot machines.

Get the Story:
East Texas lawmakers voice doubts about plan (The Lufkin Daily News 4/28)
Video gambling fees too cheap, critic says (The Houston Chronicle 4/28)

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