The Debate Over Video Lottery Advertising in West Virginia

The Debate Over Video Lottery Advertising in West Virginia article feature image
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Pictured: A debate over advertising for West Virginia video lottery terminals took center stage amongst delegates last week. (Photo By Jerry Cleveland/The Denver Post via Getty Images)

West Virginia recently witnessed a heated debate in the House of Delegates over a bill that sought to allow video lottery retailers to advertise.

House Bill 3154 was ultimately rejected, but the discussions it prompted shed light on varying perspectives regarding gambling's impact on local communities and the state’s economy.

This comes as lawmakers continue to keep sweepstakes casinos in their crosshairs as well.

The Case Against Video Lottery Advertising

Opponents of the video lottery bill raised concerns about the potential negative impact of allowing video lottery retailers to advertise.

Republican Delegate Pat McGeehan from Hancock County voiced his opposition, highlighting that these establishments are not designed to attract wealthy tourists like casinos. Instead, he argued, they are set up to entice local residents, including vulnerable senior citizens, into spending money they might not afford to lose.

one west virginia delegate said passing HB 3154 would have been detrimental to the younger generations sitting in the backseat.
West Virginia Delegates rejected HB 3154 by a 45-52 vote.

Echoing similar sentiments, Republican Delegate Larry Kump from Berkeley County underscored the risks associated with gambling. "Nobody wins in gambling," he stated, labeling it as a "zero-sum game." For delegates like McGeehan and Kump, the bill posed more harm than good by potentially increasing gambling's reach among the community's most susceptible members.

The Argument for Economic Benefits

On the other side of the debate were delegates who believed that allowing advertising for video lottery retailers could benefit the state's economy.

Supporters argued that it would create a level playing field for the gambling industry, as casinos are already permitted to advertise. They also pointed to the potential financial benefits for the state.

Republican Delegate Phil Mallow of Marion County acknowledged that while he isn't a gambler and doesn't endorse gambling, the state stands to gain much-needed revenue from advertising. "We need the money," he asserted, framing the legislation as a means to support programs valued by West Virginians.

Balancing Fairness and Economic Growth

The issue of fairness was pivotal in the discussion. Delegate Jim Butler, R-Mason, pointed out the disparity between casinos, which attract tourists and can advertise, and Limited Video Lottery (LVL) establishments that primarily serve local communities.

While casinos draw in out-of-state visitors, LVL establishments cater to in-state residents. To Butler, allowing advertising for both types of gambling venues would not equate to fairness due to their fundamentally different roles in the tourism and local economies.

Online casinos, like the Horseshoe online casino, are another option for people in West Virginia. West Virginia passed the West Virginia Lottery Interactive Wagering Act in 2019, which legalized online casinos within the state. Subsequently, the first online casinos were launched in 2020.

 History of Video Lottery Terminals in West Virginia

Video Lottery Terminals (VLTs) have been a part of West Virginia's gaming landscape for several decades.

They were first introduced in the early 1990s as a way to generate revenue for the state without establishing full-scale casinos. Initially available at licensed bars and clubs, VLTs rapidly grew in popularity, contributing significant funds to the state's economy and supporting various public programs.

West Virginia Delegates have rejected HB 3154, a bill that aimed to expand advertising opportunities for Limited Video Lottery establishments, such as hot spots and lottery-supported coffee shops.
The West Virginia House of Delegates has rejected a bill that would have allowed local lottery retailers to advertise.

In the following years, the state's gambling landscape expanded, and casinos began to emerge.

However, the difference in marketing capabilities between casinos and smaller lottery-backed establishments became a controversial issue, leading to debates like the recent one in the House of Delegates.

A Narrow Vote Reflects Deep Divisions

Despite the potential economic benefits, the bill was ultimately rejected by a narrow 45-52 vote. This decision highlights the complex views on gambling and advertising within the state. The debate reflected a struggle to balance financial needs with community values, a theme that will likely continue to resonate in West Virginia's policy discussions.

In the end, while the bill did not pass, the discussions it sparked may pave the way for future deliberations on how best to manage and regulate the gambling industry within the state. The story of video lottery terminals in West Virginia is one of economic opportunity intertwined with social responsibility, a delicate dynamic that remains a key issue for policymakers.

About the Author
Dave Grendzynski is a casino writer for Vegas Insider and Action Network. His most cherished casino experience is hitting a royal flush after betting the maximum amount on a machine at Seneca Niagara. 

Follow Dave Grendzynski @casinonewsdave on Twitter/X.

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