INDIANAPOLIS - A bill that would allow bars and taverns to offer pull tabs and other low-stakes gambling narrowly gained approval Wednesday in the Senate.

Tavern owners have argued that they should be able to offer the games, which are already allowed at charitable fraternal organizations or clubs. Those organizations have long offered pull tabs under a bingo license, and the General Assembly created a specific license for them last year. Bill supporters said tavern owners deserve equal treatment.

"All they're asking for is a fair, level playing field," said Sen. Jim Arnold, D-LaPorte.

The Senate voted 26-21 for the bill, which had already cleared the House.

The bill's author, Rep. Dennis Tyler, D-Muncie, said before the Senate vote that he would likely seek to have the bill put in a conference committee, where Senate and House members could work out compromise legislation.

Pull tabs, which typically cost $1, are paper games that pay off when symbols underneath tab windows on the back sides of cards match winning combinations shown on the front sides. Other games such as punchboards and tipboards, which also pay out prizes, also would be allowed.

Besides fees for obtaining licenses to offer the games, excise taxes on the ticket sales also would be collected. Lawmakers have estimated that if the bill becomes law, it would generate between $5 million to $25 million in annual tax revenue.

SHERIFF'S PAY

The Senate also passed a bill Wednesday that would limit sheriff's pay to no more than what a full-time county prosecutor earns.

Current policy allows sheriffs to subsidize their salaries with fees for collecting overdue taxes. Under the bill, those fees would be placed in the county's main checking account. The salary limits would apply after the 2010 election.

The base salary for county prosecutors last year was $119,000, and their pay is tied to that of circuit court judges. Eight sheriffs made more than their county's prosecuting attorney last year, according to the Legislative Services Agency.

The Senate voted 42-5 for that bill, which had already cleared the House and now moves to the governor.

IMMIGRATION

The Senate voted 41-6 for an unemployment insurance bill that was amended to include a proposal to crack down on companies that hire illegal immigrants. The immigration proposal is also contained in a separate bill before the House. Sen. Mike Delph, R-Carmel, said he wanted to include the proposal in both bills in case the one became stalled.