Maryland May Be Overcharging for Slot Machines

Maryland has finally won the right to bring in slot machines, but they way be overcharging those that they want to bring them in. The state has tried for years to legalize slot machines, and it is only this past Election Day did officials see their dream finally become a reality.

However, all those years spent trying to get slot machines in may be in vain, as it may take several more years before they get someone to handle it. The state has placed their slot machines with a whopping 33% gaming tax, which means not many are going to be interested in bidding on the franchise.

The state has already set next February 1st as the deadline for bids on the slot machines, but there aren’t many bidders looking to get involved at that price. They have five locations that they need slot machines in, and so far only one seems to have a bid. The Anne Arundel County location is expected to go to Laurel Park, which is owned by Maryland Jockey Club. MJC just so happens to be owned by Magna Entertainment Corp., so they have that one pretty much sewn up.

However, with a high gaming tax coupled with the fact that the state is also looking for initial license fees of $3 million, they may not get many bidders for the other locations that will need to be managed. Many think that there is a real need for the slot machines, but they say that at a time when revenues are down for most gaming companies – expecting this much from them is just absurd.

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