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Video Poker 247 - Oregon Court Reverses Ruling

The state lottery just got the much desired news that they had been waiting for. The Oregon Supreme Court has reversed an appellate ruling that changes how compensation is determined for video poker retailers.

The law was set in 2004, but an appellate ruling changed it. It really is a small thing for out of 2,300 retailers, only 22 of them offer video poker without also offering video slots and that is where the difference comes in.

They also said that the Oregon Education Association’s arguments were not valid and that the lottery must only provide a “reasonable rate of return.” The Court of Appeals had sided with the OEA stating that the amount of video poker revenue should be shared more evenly, so that the education system would get more of the revenue.

The average compensation for retailers is currently almost 25% of net receipts. Before the law was passed in 2004 it had been 32%. However, the OEA wanted retailers to get 15% so that more money went to schools, parks and other state services that could use the additional income.

They say that getting such a small amount of the video poker revenue is ridiculous, considering that the lottery was set up to support public schools and services. The lottery said that they will keep all of their concerns in mind when negotiating their next contract in 2010.


 

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