The city of Galesburg, Illinois, is considering whether to impose a cap on video gaming terminals (VGTs) or a moratorium on new installations. Part of the reason is concern that the machines target vulnerable people and that they’ve become so widespread as to be hard to avoid. VGTs are simple in design and resemble slot machines, and there are a lot of them.
There are over 45,000 of the machines in Illinois, more than any other state, and Galesburg has one of the highest concentrations per capita. The west Illinois city has 190 terminals for about about 30,000 people. They are located in 33 establishments, such as restaurants, bars, and truck stops. The number of VGTs puts Galesburg above towns with higher populations.
However, there’s no local law limiting VGT numbers. The Illinois Gaming Board has set a six-machine limit per location without limiting the number of locations unless a municipality has its own ordinance. Galesburg does not have one, so it cannot stop the growth. According to Galesburg City Manager Eric Hanson, the city cannot deny an application if the state approves a business with the appropriate liquor license.
Several Local Lawmakers Support a Limit or Moratorium
Hanson and Galesburg City Clerk Kelli Bennewitz have proposed an amendment to the municipal code that would direct city staff not to accept new licenses.
Mayor Peter Schwartzman is another change advocate and believes the city should cap VGTs at 200. He has long monitored the number of gaming establishments and terminals in the city. Schwarzman is concerned with the money lost by residents and noted,
Though there are people outside of Galesburg that play the Galesburg machines, $12 million works out to about $400 per resident — an astounding number in my opinion. The City has also looked at the number of machines in other comparable Illinois cities. Galesburg doesn’t have the most (per capita) but we are near the top.
Council members have mixed opinions. Fourth Ward Alderman Dwight White argues that VGTs prey on vulnerable people who can least afford losses.
On the other end of the argument, Ward 7 Alderman Steve Cheesman believes a cap wouldn’t reduce gambling. He says people will go elsewhere, which could decrease revenue for businesses and the city.
Galesburg Could Follow Other IL Municipalities
While VGTs are legal statewide, some Illinois municipalities have opted not to allow them. Notably, Chicago is among those that have chosen against them, something some lawmakers want to change. Meanwhile, others have taken steps to limit the number of machines.
For example, Cicero has put a limit of 90 machines. Meanwhile, Decatur stopped issuing new licenses and introduced stricter licensing requirements. East Dundee, a village of about 3,100 people, recently enacted new licensing requirements after a one-year moratorium on VGT expansion.
Additional municipalities, including Murphysboro, Batavia, Schaumburg, and Evanston, are also considering restrictions or changes to their VGT policies.
Skill Games Are Facing Similar Pushback in Some States
The debate of whether VGTs should be limited echoes what’s happening with skill game machines in states like Pennsylvania. While Illinois regulates VGTs and is heavily dependent on their revenue, skill games fall in a gray area, causing much confusion about how to deal with them.
However, with both VGTs and skill games, we see similar dynamics: a rapid increase, which brings questions on how to proceed with them. Business owners and machine manufacturers don’t want any restrictions because they’re making a lot of money, but some locals, including lawmakers, are upset with the increase.
Unlike the skill machines, the VGTs are expressly authorized by the state. Yet we still see similar dynamics: business owners don’t want any restrictions or new gambling competition because they’re making lots of money.
At the same time, some residents and lawmakers worry that they’re too accessible, raising the potential for negative social impacts, including problem gambling and crime.
Effective Regulation Involves Some Restrictions
The proliferation of VGTs also shares similarities with the rise of sports betting, which has drawn criticism due to the prevalence of advertisements. While multiple reports show that most US adults approve of or view sports betting favorably, concerns about excessive advertising are rising.
In the past, sportsbooks used to attract new users with language like “risk-free,” which has gotten them in legal trouble. Sportsbooks have moved on from that language, but many feel there are too many ads. That’s why some states have moved towards regulating ads. For example, New York recently passed a law requiring sportsbooks to warn about problem gambling.
Ultimately, whether VTs, skill games, or sports betting, the average person isn’t concerned with gambling’s legal status but rather its scale. Overly permissive policies, like unrestricted VGT numbers or lax advertising rules, risk public disapproval and demand for regulation. Once the public feels it affects them too much, they believe the regulations are insufficient.
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