State Lottery Commission Looking At Future Of Gaming Machines

(KXLG) — The South Dakota Lottery commission is dealing with the future look of video lottery machines. Under consideration is replacement of the old legacy machines with the next generation of line games. Lottery Deputy Director Clark Hepper requested the Lottery Commission allow the transition to the newer gaming technologies…

Pierre Attorney Bob Riter works with the South Dakota Music and Vending Association of South Dakota. His remarks before the commission last week leaned towards keeping the old machines in play because they’re still productive…

The State Lottery Commission is considering a faster track for changing out the old legacy machines in favor of the new models that offer more bells and whistles for players. However, lottery establishments are fearful that going too fast with the change out could create hardships for those businesses that are relying on the old devices to create the new revenue to purchase the new technology. Riter says Legacy Video Lottery machines still bring in about the same amount of revenue as do the new…

Troy Erickson is with MG Oil in Rapid City. His company has been in the Video Lottery business since the very beginning. He admits the younger players are looking for the next generation of gaming, but that he would like more time to replace the old legacy machines, preferably one at a time. He knows the industry is moving away from the old video lottery machines to the newer line of games, but he doesn’t want to see a hasty decision from the lottery commission to shut down the old legacy machines by 2019 because they’re still making money…

There are still about 5,000 legacy machines operating in the state.. Video Lottery is the state’s second highest source of income. About a third of the larger cities in South Dakota are showing video lottery growth with the top 15 cities showing a 3.2 percent growth. Over 29 percent of the counties are showing a more than 5 percent increase in video lottery play whereas smaller cities show a 6.2 percent growth. In the last six years the state’s video lottery industry has grown 25 percent. No action was taken by the Lottery Commission.