RubinBrown Gaming Stats 2012

Commercial GamingHeadlines

Photo courtesy of Rivers Casino located in Des Plaines, Illinois

Colorado Governor John Hickenlooper fires the entire gaming Commission. On July 6, 2011, the Colorado Governor replaced the entire Colorado Limited Gaming Control Commission after the Board unanimously approved a lower tax rate in May 2011. Colorado approved the use of promotional downloadable credits. On November 17, 2011, the Colorado Limited Gaming Control Commission approved the use of downloadable promotional credits. Casinos are expected to implement promotional credits by Spring 2012. Colorado’s new Commission considers a tax increase. Late in 2011, the Commission held several public meetings to discuss a potential increase in gaming taxes for commonly owned connected casinos. Currently, individual casinos may operate in connected buildings in an effort to spread revenue across several businesses, thereby taking advantage of the lower graduated tax rates.

Illinois Rivers Casino becomes the 10th casino in Illinois. On July 15, 2011, Illinois welcomed the opening of Rivers Casino in Des Plaines, a Chicago suburb, which claimed the 10th and last license available in Illinois. The opening of Rivers boosted Illinois gaming revenues, producing over $177 million in less than 6 months. Gaming expansion takes the attention of the political stage. Throughout 2011, gaming expansion was a central theme in both the state legislature and governor’s office, with the two branches of government never agreeing on the quantity of expansion. The legislature approved a measure that would have increased the number of gaming positions from 12,000 to 32,000. The issue is expected to continue into 2012.

Indiana Bankruptcy reorganization was a common theme in 2011. During 2011, Hoosier Park, Majestic Star Casino, and Majestic Star Casino II emerged from bankruptcy protection. Additionally, Indiana Live Casino filed for Chapter 11 bankruptcy protection in April 2011 and operated the remainder of the year under bankruptcy protection. Indiana considers land based casinos in Gary. In an effort to respond to increased competition from new casinos in neighboring Illinois and Michigan, the state legislature discussed approving land based casinos in Gary, Indiana. The measure ultimately did not pass in 2011, but continues to be discussed in 2012. Flooding along the Ohio River closes Horseshoe Casino twice. The Horseshoe Casino in Elizabeth, Indiana, closed twice in 2011 due to flooding along the Ohio River. Since 2000, flooding has cost the state an estimated $2.75 million in lost gaming tax revenues.

9 RubinBrown - Commercial & Tribal Gaming Stats 2012