I saved hard copies of the responses from each gaming jurisdiction regarding VLTs to support my research. Here's part of the answer to one of my myriad of questions. (I have a thick file on VLTs.)
I selected two top members of the gaming community, Seth Briliant, Senior Counsel, CCC (Atlantic City) and I. Nelson Rose, Professor of Law, Whittier Law School (considered a top gaming authority), for this response.
Excerpts from Briliant:
Mrs. Boyd,
By law, all slot machines in New Jersey must have a theoretical payout of at least 83% but less than 100%; no slot machine can exceed either of these payout limits. All modern computerized slot machines (which include video poker machines ) have one or more computer chips, which contain a random number generator as well as the program for the game. Each handle pull must produce a random result that is entirely independent of previous results.
Unlike the usual "cherries/lemons/bars" type of slot machine, a video poker game requires a certain amount of skill. Players who use good poker strategy may, in the long run, be more successful than those who do not. However, if our calculations did indicate a payout of 100% or more, the machine would not be approved for use in New Jersey casinos. (My note: Maybe this is the reason for adios AA.)
Regarding your question about VLT's (video lottery terminals), the Commission only regulates gaming in Atlantic City casinos, and the only types of gaming permitted at present are certain table games, slot machines, keno and simulcasting. In New Jersey casinos, a video poker machine must also be a slot machine and is subject to all regulatory requirements for slot machines.
Unfortunately, the terms "slot machine" and "VLT" do not have universally accepted definitions; they may refer to the same type of gaming devices in some jurisdictions, and different types of gaming devices in other jurisdictions. The term VLT is frequently used to refer to a lottery terminal in which the winner is not determined by the individual gaming device but by a computer which links all of the terminals together. Such VLT's are not authorized under the Casino Control Act or any other statute in New Jersey.
Excerpt from Rose:
There are some legal battles over this issue. It is ultimately up to the highest court of each state to decide if VLTs are slot machines. Usually VLTs are linked to a central computer which decides the winner and the machines do not pay in cash, only in coupons. But the major difference is VLTs are owned by a state lottery or a tribe allowed to have lotteries and slot machines are owned by a casino or a tribe allowed to have slot machines.
My comments:
This issue is complicated by the requirement that VLTs have RNGs in some jurisdictions, but not in others. Also, VLTs are not labeled as such and, therefore, can not be distinguished from video poker devices until you've played them. (Sometimes not even then.)
There is an annotated outline of my book on my web site:
www.videopokerstrategycards.com
The second link, "My New Book FAQ's", FAQ #3, "What topics... subject?" has the annotated outline.
My publisher:
www.squareonepublishers.com
Games/Gambling link
Hope this helps, LD Boyd
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