Local communities and Majestic Star Casino breathed a bit easier on Tuesday after the Indiana House approved amendments that brought desired changes to the casino gaming bill, but the bill’s prospects are still murky if it advances to the Senate on Wednesday.
And what happens if it eventually reaches Gov. Mike Pence’s desk is an even bigger question.
An amendment from Rep. Tim Brown, R-Indianapolis, removed tax changes that would have cost host communities — such as Hammond, Gary, and East Chicago — millions of dollars and it also removed the requirement that Majestic Star would have to give up one of its two licenses if it decides to move to a land-based facility.
Hammond Mayor Thomas McDermott and Majestic Star Casino CEO Pete Liguori were among those in discussions with legislators as 25 amendments to the bill were being considered.
McDermott said the millions in gaming revenue that local communities receive goes toward essential services and programs.
“It’s important for legislators to remember that this gaming revenue meets a lot of obligations,” McDermott said. “Three years ago we passed a jobs bill and used $10 million in gaming revenue to match $30 million in federal money.”
Liguori was pleased with the elimination of the license requirement. Majestic Star’s two casinos each have separate licenses, and thus are treated as two separate companies, so combining their operations under one license could mean some negative tax implications.
“We’ve been able to have some collaborative, constructive conversations with legislators,” Liguori said.
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Pence has indicated that he is opposed to an expansion of gaming in Indiana, specifically pointing to a proposal that would allow live dealers at racetrack casinos, but legislators are still guessing what that means for the rest of the bill.
McDermott suspects that’s why the tax changes and the license requirement for Majestic Star were inserted in during last week’s House Ways and Means Committee meeting.
“It was so offensive to so many communities, and Republicans and Democrats alike just thought it was a bad amendment,” McDermott said. “I thought it was basically a chance to kill the bill. This is not done deal at all. I don’t think Gov. Pence wants to sign the bill and think Rep. Tim Brown, R-Indianapolis, was trying to help by providing cover for him.”