Allied Charities of Minnesota


26 Aug 2018 13:35 | Rachel Jenner (Administrator)

See the link to a Star Tribune article dated 08/25/2018

Members, see the article in the StarTribune today, Sunday August 26.

Up to today the strategy of government had been to ignore our concerns of over taxation. That strategy changed with today’s article.  We are now being described as self-serving and opportunistic.

We have finally smoked them out. They have chosen a tactic that is an affront to each and every one of our organizations.  It will be up to us to determine if their strategy works or not.

Government has repeatedly demonstrated that they do not want to make any changes in our current situation. It is far too lucrative for them and their friends (i.e. the Wilfs). 

The ball is now in our court to let our future governor, legislators and those in our community know who we really are. As they say “it’s on like Donkey Kong”.

Here is an example of what is really happening to charitable gaming in Minnesota.  This is the Osseo Lions through FY2018:

Since FY2013 sales have increased by $1 million +33%

Since FY2013 taxes have increased by $61,000 +74%

Since FY2013 payment to site has increased by $21,000 +100%

Since FY2013 cost of games/rev. share has increased by $50,000 89%

Since FY2013 mission dollars have decreased by $38,000 -27%

“Nothing is more liberating than fighting for a cause larger than youself”.  John McCain.

Below is our response to the article that was sent to the StarTribune today.

MN charitable gambling sales hit new high (StarTribune 08/25/2018).

$2 billion dollars in sales in fiscal year 2018.  Hard to wrap your mind around.  Let me peel the onion back a little for you.  We paid out $1.7 billion in prizes to our patrons who play our games.  We were left with $300 million to pay expenses, taxes and make donations.  $75 million went to our 10,000 employees (an average of $7500 per person annually).  $75 million went to other expenses (vendors, rent, etc.). $80 million went to the state in taxes and fees, leaving us with $70 million for our communities and missions.

After citing two shining examples of stewardship (Blain Hockey and KC’s of Columbus) the reader was left to conclude that the rest of us are rather self serving, a conclusion that those of us raising funds for our communities and missions would dispute.

Of the 1150 licensed organizations throughout the state, the majority of gambling managers are paid the equivalent of the minimum wage.

Allied Charities of Minnesota (501c6 trade organization representing licensed gaming charities) has repeatedly asked the Gambling Control board for guidance on gambling manager pay (all other employees are under mandated state/federal guidelines) and the GCB has refused to help.

Each organization needs to decide what to pay (if anything) their gambling manager. One of the considerations is that they need to be able to speak to that amount when questioned, either by members or those outside of the organization. Factors going into compensation are number of sites, number of employees, total dollars involved, hours worked and bottom line mission dollars delivered to the organization.

Charitable gaming in Minnesota is under attack from those that benefit from our labors that would not otherwise be thought of as needing mission dollars.  While our sales and taxes have doubled the past five years our mission dollars have not. The charity is being taken out of charitable gaming.  For the state to be taking more money from us than we have for our communities and missions, yet describe us as self-serving is interesting to say the least.

Allen Lund

Executive Director Allied Charities of Minnesota

Proud member of the Lions and American Legion

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