Indiana sees $6.5 million from slots in June

July 08, 2008

Casino operations at Hoosier Park and Indiana Downs sprang from the gate quickly in their first month of operation, and according to a report released by the Indiana Gaming Commission, both casinos combined to bring in just over $26 million in adjusted gross receipts in the month of June, generating just over $6.5 million in tax revenue for the state.

Hoosier Park ranked fifth of the state�s 13 casinos, reaping $15.7 million in gross receipts. The Anderson-based facility, which features 2,000 slots, opened June 2.

Jim Brown, executive director of gaming at Hoosier Park, is happy with the first month�s performance. �From a business and financial standpoint we are very pleased. We have met the expectations for the first month of operation, and business will continue to grow if we can present a first-rate product and customer service,� he stated. �It provides a great economic impact in many ways, be it 600 jobs or tax revenue generated for the state and local community. This is what was expected of us.�

Indiana Live! casino in Shelbyville brought in more than $10.2 million in gross receipts to rank 10th on the list. The Indiana Live! temporary facility opened to the public June 9 and offers 1,900 slot machines. The owners of both facilities paid the state a $250 million licensing fee for the right to offer up to 2,000 slots each.

While the news is good for the two new casinos, total attendance and tax revenue in Indiana has slipped. IGC reports show what 2.25 million patrons attended Indiana�s casinos in May. In June the figure fell to 2.06 million. Despite the two new entities commencing operation in June, tax revenue fell from $81.5 million in May to nearly $78.7 million in June. IGC executive director Ernie Yelton told the Indianapolis Star that the decreases in attendance and revenue could be attributed to the economy and gas prices.

�Historically, the industry has been resistant to the economy,� Yelton added. �I believe this is the first time in gaming history that it has had an effect.�

Casinos aren�t the only entities feeling the pinch. Hoosier Park�s harness meet is drawing to a close July 12, and the track will post a decrease in total handle compared with 2006 business totals. Indiana Downs is also putting the wraps on its Thoroughbred meet, which depends heavily on ship-ins. That track, like many others, struggled for horses at times during the spring and summer, resulting in fewer races carded.--By James Platz

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