LOUISVILLE, KY - MAY 05: Mario Gutierrez seen in purple silks atop I'll Have Another (4th R) and the field take the first turn during the 138th running of the Kentucky Derby at Churchill Downs on May 5, 2012 in Louisville, Kentucky. (Photo…
FRANKFORT, Ky. (AP) -- House Speaker Greg Stumbo says horse racing tracks could generate up to $30 million a year in tax revenue for the state's financially troubled pension system by installing slot-like machines and then taxing the proceeds.
In Kentucky, actual slot machines are banned, but two horse tracks in the state have installed slot-like machines, called instant racing machines, that allow people to wager on the outcomes of past horse races.
Stumbo said he believes instant racing could generate wagers totaling $1 billion a year if expanded to additional tracks. Taxing those wages could be a boon for the pension system.
Stumbo has also proposed raising the state's cigarette tax from 60 cents to $1 a pack in a move he said could generate $100 million a year for the pension system.
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