Video gambling could become legal this year, NC legislative leaders say

When North Carolina lawmakers return for their short session in late April, gambling expansion could once again be on their agenda.

State House Speaker Tim Moore and Senate leader Phil Berger told reporters Wednesday there's interest within their respective GOP caucuses in legalizing video slot-machine gambling under the state lottery.

"It's kind of like updating the lottery," Moore, R-Cleveland, said of video lottery terminals, also referred to as VLTs. "You already have the lottery, you already have scratch-offs. In fact, you already have those [digital scratch-offs] you can play on your phone right now. So I don't know that it's much of a leap."

The lottery started selling the so-called "digital instants" in November. Lawmakers approved mobile sports gambling in 2023. It will launch on March 11.

Video gambling has been outlawed in North Carolina for decades, but a succession of legal battles and resulting changes in gaming software has kept the doors open at video gambling parlors all over the state.

In 2023, Rep. Harry Warren, R-Rowan, proposed legalizing video gambling and regulating it under the state lottery, rather than continuing to try to fight illegal machines. Under House Bill 512, the revenue VLTs would generate – as much as $1 billion a year by some estimates – would be used to fund forgivable loans for community college tuition.

While Warren's bill never got a floor vote, VLTs were included in one draft version of the proposal to expand casino gambling in 2023. But that proposal, which was never formally made public or filed as a bill, never got a vote, either.

"I think there remains interest in looking at options for new sources of revenue for the state, options for economic development," Berger, R-Rockingham, said. "I do think there there is some discussion about about VLTs, but I'm not familiar with any specifics about that."

However, Berger cautioned, legalization might not happen during this year's short session.

"Some of that may need a little more runway than what we'll have," he said.

Berger also said he will not champion casino expansion this year, and said he hasn't talked to anyone else who intends to, either. Berger last year led an effort to approve four rural tourism districts in economically distressed parts of the state. Each district, including one in Berger's district, would have been anchored by a casino and would have required at least $500 million in development.

The proposal held up budget negotiations between the state House and Senate for weeks in 2023, with Senate leaders pushing for it and rank-and-file House Republicans refusing to take it up.

Moore said there's no appetite among House Republicans to return to casino expansion this year, either.

"I think the casino bill last year just kind of went totally off the rails in the way that it was done through the process," said Moore, who is running for U.S. House seat in 2024.

Republicans have super majorities in both chambers, though support and opposition to gambling measures does not often fall along party lines. The legislature returns to work April 24.