The facts about legislation that will help all Kentucky horse owners and the state of Kentucky:

• This bill establishes video lottery terminals. Because these are new lottery games, there is no need for a constitutional amendment on the expansion of gaming.

• It is estimated that the VLT’s will provide $700 million in total revenue.

• The video lottery terminals may only be located at horse racing tracks licensed by the Kentucky Horse Racing Commission.

• The video lottery terminals must be placed in limited areas of the tracks where admission can be limited to only those who are over 21 years old.

• All video lottery terminals will be connected to lottery headquarters through a computer information network. Though the terminals will be purchased and maintained by the tracks, the lottery will have oversight of each terminal through the network and will have the ability to shut down any terminal or series of terminals as the lottery deems necessary.

• Proceeds from the video lottery terminal games will be distributed to the following activities:

  • Kentucky taxpayers will no longer pay a state tax on their cars and boats. Under the bill, the state’s share of the motor vehicle and motor boat property tax (approximately $110 million per year) is eliminated and the cost to the General Fund is offset by video lottery terminal revenue.

  • Also, a trust fund for drug and alcohol addiction rehabilitation is established and funded up to $20 million per year.

  • Additionally, up to $20 million per year is distributed to county fiscal courts to offset the cost of housing prisoners in county jails.

  • Up to $2.5 million is set aside for a problem gamblers awareness and treatment fund.

  • And, up to $1 million per year is designated for the Kentucky PRIDE program.

  • Moneys from the video lottery terminal revenue is also designated to support primary education throughout the Commonwealth, but we have not set a ceiling on the amount dedicated to education – the more money we take in through video lottery games, the more education receives. If the $700 million figure is met, education funding will receive roughly $80 million.

• 12 percent of the revenue generated by video lottery terminals, $84 million, will be used to increase Thoroughbred and Standardbred purses and purse supplements.

• The Kentucky Quarter Horse Purse Program will receive $770,000.

• The Kentucky Thoroughbred Breeders Incentive Fund and the Kentucky Standardbred Breeders Incentive Fund will receive 2.65 percent, $18.6 million, to provide rewards for breeders of horses bred in Kentucky.

• The Kentucky Breed Authority will receive $7 million to enhance equine interests for horse breeds in Kentucky for non-racing breeds. This money will be used for equine education, construction and improvement of equine facilities and economic development. Registered breeds will be able to use the funds for breeder development and racing, show and performance enhancement.

Please call your legislator at 1-800-372-7181 or click here to send them an email and urge them to pass House Bill 158.