Game Machines In Gas Stations
It seems okay for gas stations to make people pay for charging their mobile phones. But what if these phone chargers are just slot machines (a.k.a. “gasinos”) in disguise?
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In Wisconsin, these phone-charger stations are presented as kiosks, where you insert money, then play games while your phone is charging. This sounds harmless enough, but every dollar you put in gives you entries into a sweepstakes where cash prizes are up for grabs. And given that you spin the reels to play the sweepstakes, these seem an awful lot like casino slots – hence the term “gasinos.”
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“I get truckers or somebody waiting on food or something. You know, they get to kill time while they make me money,” said Sudhdev Gill, a gas station owner who spoke with FOX6 News.
The news channel spoke with several residents of West Bend, WI, most of whom said they wouldn’t pay more than a dollar to charge their phones. The problem with kiosks at the aforementioned gas stations is that the average player loses $1 per minute playing these games, or $60 an hour.
Let’s compare this with an online slot machine, with, say, 96% payback and a $0.25 minimum bet. Assuming you performed 600 spins an hour (10 per minute), here’s how much you’ll lose on average:
0.04 (house edge) x 600 spins x $0.25 per spin = $6 loss per hour
As you can see, these kiosks are charging the average player 10 times what a normal online slot machine would. That said, these games may look like slots, but they pay like the lottery.
Given that commercial slot machines are illegal in Wisconsin, certain lawmakers are trying to shut these gasinos down.
“It seemed like a pretty complicated process just to get that dollar worth of time,” said Representative Jeffrey Mursau, R-Crivitz. “I would say these machines are put in specifically for reasons other than charging your phone.”
The only question is how long it will take lawmakers to prove that these aren’t regular phone chargers, but instead casinos in disguise.
The ControversialStir
In January 1998, former Attorney General Morales stirred upcontroversy in the gaming industry by publishing his opinion DM-466 regarding the legality of gaming machines, namely “eight-liners.” Morales’sstated that there are three major components that make eight-liners illegal:
1. They operate on the basis of chance.
2. They require the payment of consideration toplay.
3. They offer a prize, either coupons redeemablefor gift certificates or, in some cases, cash.
In his opinion, Morales mentions that stripped of the“amusement” amendment the gaming devices would be considered illegal in a courtof law. Since the release of the opinion opponents of gaming have used it as atool to define their stance.
What AreEight-Liners?
Eight-Liners” have become the epicenter of the controversy.They require the player to deposit money into the machine to receive gamingcredits. The players then activate the machine by pressing a button or pullingan arm. The gaming screen contains eight lines- three across, three down, andtwo diagonals- on which players can win. Players usually push a button or otherdevice to convert credits into tickets or other tokens which are then tradedfor something of value such as a certificate, lottery tickets, etc.
The Facts
In a Focus Report published by the Texas House ofRepresentatives’ House of Research Organization, the organization states thefollowing:
“Chapter47 of the Penal Code explicitly prohibits gambling-device versions of bingo,keno, blackjack, lottery, roulette, and video poker... it also defines illegalgambling devices as electronic, electromechanical, or mechanical contrivancesthat, for a price, allow players an opportunity to obtain anything of value,with the prize awarded solely or partially by chance, even though some skillmay be necessary. Owning a gambling device is a Class A misdemeanor, punishableby a $4,000 fine, one year in prison, or both. “
However, in 1993 and 1995, amendments were made to the PenalCode that legalized “amusement” machines. These are described as electronicgames that offer low-value prizes not to exceed $5 or 10 times the cost ofplaying the game once, whichever is less.
You may be asking yourself, “what about the lottery?” Theanswer is, only the state lottery, charity-sponsored bingo, and charitableraffles have been specifically authorized by constitutional amendments.
Article 3,Section 47 of the Constitution states…
Sec.47. LOTTERIES AND GIFT ENTERPRISES;BINGO GAMES. (a) The Legislature shall pass laws prohibitinglotteries and gift enterprises in this State other than those authorized bySubsections (b), (d), (d-1), and (e) of this section.
Toaccess the full Article, click here.
Who Has the Authorityto Take Action?
State agencies that regulate lottery sales, bingo, andalcoholic-beverage licenses, such as The Texas Alcoholic Beverage Commission(TABC) have the authority to regulate and take action for any illegal gamblingactivity.
The Great Debate
Gas Stations With Slot Machines
Prior to the attorney general’s opinion being published, lawenforcement found it challenging to crack down on anti-gaming laws because thestatutes were far too complex and the law contained many, many gray areas. Thelimited resources for departments also pushed the topic onto a back burner inorder to address other criminal issues. Since most gambling offenses aremisdemeanors offenders are most likely to risk criminal prosecution in returnfor high profits.
Proponents of the gaming industry argue that the attorneygeneral misinterpreted the constitution. They state that eight-liners are beingjudged on how they look rather than how they function. One of the majorproponents include The Amusement and Music Operators of Texas (AMOT)- a tradeassociation consisting of 250 members who own and operate coin machines. AMOTsays the attorney general’s opinion could cause a demise to all gaming- notjust eight-liners. Others argue that eight-liners require skill and shouldtherefore be safe-guarded to stay within the legal realm of gaming. In fact,the focus report mentions Mike Macke’s testimony before the Governor’s TaskForce on Illegal Gambling. Mike is the president of Cadillac Jack, Inc., amachine manufacturer. In his testimony, he says that the machines have a buttonthat must be pushed to complete a play of the game and that using this buttonis a matter of skill.
How To Play Gas Station Slot Machines
Critics, on the other hand, argue that the attorneygeneral’s opinion should be taken as concrete legal advice and should becarefully considered by the courts involving civil and criminal cases in thegambling industry. Since the release of the AG’s opinion many opponents haveflourished by using DM-466as a basis for their argument and thus picked up pace to fight their position. Infact, the Governor’s Task Force has since recommended amending the Penal Codeto prohibit all slot machines.
Civil lawsuits involving illegal gaming have been difficultto interpret. Many are pending, some have resulted in temporary restraining andseizures, and some have been dismissed. The limited history of illegal gamblingincrimination statutes isn’t much help either. Criminal prosecutions have alsobeen few and far between.
Game Machines In Gas Stations Near Me
For more information on the Focus Report click here.
Citations
Morales, Dan, JorgeVega, Sarah Shirley, and Rick Gilpin. 'Morales Opinion No. DM-466.' Morales Opinion No. DM-466.Texas Attorney General, 23 Jan. 1998. Web. 26 Aug. 2016.
'THE TEXASCONSTITUTION ARTICLE 3. LEGISLATIVE DEPARTMENT.'THE TEXAS CONSTITUTIONARTICLE 3. LEGISLATIVE DEPARTMENT. The Texas Constitution, n.d. Web. 26Aug. 2016.
Air Machines At Gas Stations
Research Organization.'A Fuzzy Issue: Are Eight-Liners Amusement or Gambling?' Texas History. UNT, 2 Feb.1999. Web. 26 Aug. 2016.