Minnesota Sweeps Bill Likely To Move Forward In Senate

A bill that would ban sweepstakes casinos in Minnesota is expected to continue progressing through the state Senate after the Committee on State and Local Government recommended to pass SF 4474.

The committee adopted one amendment to the legislation co-sponsored by Sens. John Marty, Erin K. Maye Quade, and Matt Klein of the Democratic Farmer-Labor Party and Republicans Jordan Rasmussen and Warren Limmer. It gives the commissioner of public safety “all powers necessary to investigate and enforce this section and may issue notices of violation, impose civil fines, and bring enforcement actions.”

The amendment required the bill to be sent to the Rules Committee, which would then re-refer the legislation to the State and Local Government Committee for passage. The companion bill in the House, HF 4410, was re-referred to the Committee on Public Safety Finance and Policy on Tuesday.

What the amendment tweaks

The original version of SF 4474 called for the commissioner and attorney general to “deny a person from commencing or continuing operations if the person or an affiliate of the person knowingly accepts revenue that is directly or indirectly derived from an online sweepstakes game.”

By applying penalties and remedies for violations via Minnesota Statute 325F.755, Subdivision 7, violators can face fines of up to $25,000. That amount could add up quickly if each notice or game entry is considered a separate violation. State courts can also order restitution for Minnesota consumers, and violators could be subject to paying the state’s legal and investigation fees.

The statute also gives private citizens the right to sue, which allows them to conceivably recover damages, legal expenses, and attorney fees from violators if “injured” by a violation.

Indiana and Maine have already passed legislation this calendar year banning online sweepstakes casinos, with Gov. Janet Mills signing Maine’s bill into law Monday.