A player wins on the machine. The store can give the winner three things:
That’s it. Never cash.
“On and after July 1, 2026: Only replays, lottery products, and nonreloadable and reloadable gift cards shall be allowed as a legal form of redemption for Class B machines.”
O.C.G.A. § 50-27-71.1(a)(2)(B) · Read the statute →
Sources: O.C.G.A. § 50-27-71.1 and the Georgia Lottery Corporation’s COAM Prize Redemption notice · Read the GLC notice ↓
The law doesn’t say which one to pick. Here’s the difference for your store.
Never cash. Never change. The law says a gift card “may be honored by the location licensee upon presentation but shall not be exchanged for cash, change, or currency.” — O.C.G.A. § 50-27-71.1(b)
The law does not list exceptions. The Lottery’s notice to store owners (updated June 17, 2026) repeats it: a gift card “cannot be exchanged for cash, change, or currency.”
How the Coam Tracker store card handles it: it can only be spent on store merchandise at your store — no cash back, no money orders, no prepaid cards, no money transfers. That is our rule for our card, printed on every receipt.
“The award of such gift card shall be a lawful act of in-store redemption and shall be permitted to be fully redeemed off the premises.”
“No value shall be placed on a gift card unless such value has been won by the player for the successful play of a game on the bona fide coin operated amusement machine … [and it] shall be loaded or caused to be loaded only on the location licensee’s premises and only by the location licensee or its employees on such premises or by a self-service gift card redemption device on such premises.”
O.C.G.A. § 50-27-71.1(b) · Read the statute → · GLC’s official copy of the COAM law →
Sent by the Georgia Lottery Corporation, COAM Division, to COAM Location License Holders. Updated as of June 17, 2026. Copied here for your reference exactly as received — Coam Tracker is not the GLC. The GLC’s law documents are on the COAM Portal: gacoam.com →
COAM Prize Redemption Changes Effective July 1, 2026
Dear COAM Location License Holders,
This notice serves as a reminder of upcoming changes to allowable prize redemption options for Coin Operated Amusement Machines (COAMs) that will take effect on July 1, 2026, as required by state law.
The information below outlines the redemption options that will be permitted beginning July 1, 2026, along with important planning and compliance considerations.
Prize Redemption Options
Effective July 1, 2026, only the following prize redemption options are authorized for COAMs:
Class A Machines
A Class A machine does not allow players to carry over points from one game to the next and is different from a Class B machine. These machines may offer rewards in a few specific ways: they can provide free replays or extra play time, or they may give non-cash prizes such as toys, gift certificates, or novelty items, as long as these comply with Georgia’s prize regulations. Players might also receive points, tokens, or tickets that can only be exchanged for those same types of non-cash prizes. In some cases, a combination of these rewards is allowed. Importantly, the value of any non-cash prize per play cannot exceed a wholesale value of $50 (for details see O.C.G.A. § 50-27-70(b)).
Class B Machines
Additional information regarding applicable statutes, rules, and regulatory guidance governing COAM prize redemption is available in the “COAM Laws, Rules and Regulations” section of the COAM Portal’s Documents page: https://www.gacoam.com/API/Documents/Document?documentID=840
Planning and Compliance Considerations
For Class B COAMs, Location License Holders may choose to offer lottery products, gift cards, or both as prize redemption options. Offering both is not required and is solely at the discretion of the business owner or operator.
To ensure continued compliance after July 1, 2026, please review your current business status and take the following steps, if applicable:
Lottery Retailer Status:
Gift Card Retailer Status:
Taking these steps in advance will help avoid disruptions to your COAM operations when the new requirements take effect.
Enforcement Reminder for Class B Machines
For Class B machines, any location owner or operator that redeems products or services, other than replays, lottery products, or gift cards, will be subject to enforcement action and any applicable administrative penalties under Georgia law, including O.C.G.A. § 16-12-35 and Georgia Lottery Corporation Rules.
We strongly encourage all Location License Holders to review their redemption practices and make any necessary business arrangements well in advance of July 1, 2026. Additional guidance and reminders will be provided as the effective date approaches.
If you have questions or need clarification, please contact COAM Retailer Services Helpline at 1-800-746-8546.
We appreciate your proactive efforts to prepare for these changes and ensure continued compliance.
Georgia Lottery Corporation
Coin Operated Amusement Machine (COAM) Division
Call / Text (404) 992-8675 · [email protected]
This page explains a Georgia law in simple words. It is general information, not legal advice for your store. Confirmed against our attorney’s written review of O.C.G.A. § 50-27-71.1. Statute text quoted from the 2025 Georgia Code; the GLC notice is copied as received. If the law or the GLC’s guidance changes, the official sources win.
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