Slots bill heads to governor

A measure that would allow slot machines at Hoosier Park and Indiana Downs was endorsed by the Indiana House and Senate late Sunday evening and now heads to Governor Mitch Daniels for consideration. If signed into law, the legislation would allow each track could add up to 2,000 machines after paying a $250 million licensing fee. The votes by both chambers came in the final hours of the session.

The Indiana House of Representatives voted 54-44 Sunday to advance a conference committee report on House Bill 1835 to the Indiana Senate, where it passed by a 33-17 margin. The $500 million in total licensing fees both tracks would pay for slots licenses is earmarked for property taxes, which are projected to increase an average of 24 percent statewide.

“Our constituents want us to help,” Senate President Pro Tem David Long, R-Fort Wayne told fellow lawmakers. “We’re doing what we can, even though the source of the money is certainly not my choice. It is where we are right now given the circumstances the state’s facing.”

The committee report would require each track to spend at least $100 million on facilities to house slot machines. It also calls for a graduated tax schedule. The first $100 million in adjusted receipts would be taxed at a 25 percent rate. The rate would increase to 30 percent on the next $100 million, and revenue above $200 million would be taxed at a 35 percent rate.

Gov. Daniels can now elect to sign HB 1835 into law or veto the bill.

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