Sen. Kevin Coughlin, a Republican and chairman of the committee scheduled to hold hearings on the bill, said it was killed when no agreement could be reached on the distribution of the money. As originally drafted the bill, in the form of a constitutional amendment, had ticketed all of the estimated $500 million to $700 million year in revenue for schools.

Democrats wanted half of the money to go for a prescription drug program for low-income families and senior citizens.

The majority Republicans in both chambers of the legislature needed the Democratic votes for the two-thirds majority needed to place the issue on the Nov. 4 ballot as a constitutional amendment. Coughlin said Republicans wanted all of the money to go to education.

The legislature is expected to adjourn the week of June 23 for the summer, and when it returns in September, there may not be enough time to revive the issue and get it on the ballot by Nov. 4.

"It's a great day for Ohioans," said Sen. James Jacobs, a Republican opponent of VLTs. "They found they couldn't get the votes. It's dead now, but this thing is like a black cloud, and when the state gets into financial trouble again, I am sure it will come up again."

Corwin Nixon, a former president of the United States Trotting Association who served 30 years in the Ohio House of Representatives, said if the VLT bill isn't enacted it could be the beginning of the end of horse racing in Ohio.

"The horsemen need help," said Nixon, who operates Standardbred race meets at Lebanon Raceway. "It would have meant bigger purses, and that would mean better horses."

Tom Smith, spokesman for the 18-denomination Ohio Council of Churches, said allowing VLTs at the tracks would open the state to casino gambling. "Those video slots are the crack cocaine of gambling," he said.

Proponents of VLTs have argued that Ohio is losing millions of dollars a year by residents gambling at casinos in neighboring states.

John Kady, bloodhorse.com

A panel representing academia, industry, advertising and media concluded that online gambling could operate legally and safely in this country so long as federal regulations are enacted to protect consumers, according to a press release issued by BETonSPORTS plc, the largest online wagering service and sponsor of the event.

The Ontario Racing Commission suggests a rule change quietly made last year by former agriculture minister Lyle Vanclief exceeded his legal authority.

Under the bills, each of the state's seven tracks would feature 500 to 2,000 video terminals. The profits from these ventures would go back into agricultural programs and bolster the general budget.

Legal betting would boost attendance at the steeplechase, said Roger Secrist, chairman of the board of the Carolina Horse Park Foundation. He said the region is losing an estimated $25 million because the Nextel Cup series will no longer hold a NASCAR race at the North Carolina Speedway in Rockingham.

200.01 Bingo, Lottery, Raffle and Lottery by Pickle Card Regulations 35‑200 through 35‑222 are adopted to carry out the provisions of the Nebraska Bingo Act.