House Committee Hears Divided Testimony on Electronic Pull-Tab Bill

The Alaska House Labor and Commerce Committee heard testimony both supporting and opposing legislation that would modernize charitable gaming by allowing electronic pull-tabs on tablets. Operators warned the bill could reduce charity proceeds while manufacturers cited Minnesota's experience of increased revenue.

HB 386 is sponsored by the House Labor and Commerce Committee. Conrad Jackson, staff to Senator Jesse Bjorkman, presented the bill. "The bill before the committee, HB 386, really brings a tradition of charitable gaming, rippies, into the current century. It's electronic pull tabs. The goal, one of the main goals of the bill being to protect nonprofits, the charities, the permit holders," Jackson said.

Senator Bjorkman told the committee: "This bill is going to be really great for charities and nonprofits. We've worked for years now to make sure that this bill protects charities, nonprofits, and makes them the number one beneficiary of the changes made."

HB 386 would allow electronic pull-tabs to be played on tablets while preserving existing limits on where and to whom pull-tabs may be sold. The bill also raises the minimum share guaranteed to multi-beneficiary permit holders from 15 to 30 percent of adjusted gross receipts. It requires electronic pull-tab systems to be tested and certified by an independent laboratory before distribution. The bill prohibits vertical integration between manufacturers, distributors, and permittees. As of April 13, 2026, the bill was in House Labor and Commerce with the Finance Committee as its next stop.

Alaska operators who testified said the bill's cost structure could harm charities. Sandy Powers, who operates Big Valley Bingo in Wasilla and a pull-tab store in Anchorage, told the committee that manufacturer costs of up to 35 percent of net profits combined with 90 percent payouts would nearly double current expenses.

"The expense of electronic pull tabs is nearly double the current cost of paper," Powers said. She submitted a chart showing projected reductions in proceeds to charities and the state at higher costs and payouts. Powers recommended amendments capping manufacturer costs at 20 to 25 percent and limiting payouts to 85 percent.

John Powers, who operates Tutor Bingo Center in Anchorage, said the bill's auto-close feature, which automatically closes games when big winners are gone, would raise effective payouts to 92 percent, similar to Las Vegas slot machines. He said electronic pull-tab sales would have to double or triple for charities to receive current proceeds levels.

"This bill would have to work for charitable gaming operators, or it is going to greatly harm many charities and employees in Alaska," Powers said. Sixteen charitable gaming operators in the state generate 50 percent of all gaming proceeds to charities, approximately $45 million, he said.