Kentucky Casino Bill Proposes Local Voter Control Over Gambling Expansion

Kentucky Casino Bill Proposes Local Voter Control Over Gambling Expansion

By Marcus Bennett

January 8, 2025 at 11:35 PM

Kentucky Rep. Thomas Huff (R-Bullitt) has introduced House Bill 33, proposing to give counties and their voters the power to decide on commercial casino gambling in their communities. The bill would establish the Kentucky Racing and Gaming Corporation (KHRGC) as the regulatory body for brick-and-mortar casinos.

Kentucky highway with road signs

Kentucky highway with road signs

Under the proposed legislation, casinos would pay:

  • 21% monthly tax on gross gaming revenue (GGR) from slots, table games, and sports betting
  • $3 per person admission fee to the gaming floor

Key County Requirements:

  • Must have minimum 30,000 residents
  • Smaller counties can partner with neighbors to meet population threshold
  • Counties with licensed racing associations exempt from population requirement
  • Casino approval requires local referendum through either:
    • County legislative body ordinance
    • Citizen petition with signatures from 25% of last regular election voters

The bill comes as Kentucky shows signs of warming to gambling expansion, despite its historically conservative stance on gaming. Recent developments include:

  • 2023: Legalization of online sports betting
  • 2021: Authorization of historical horse racing (HHR) machines at racing facilities

HHR Performance (July-November 2024):

  • Monthly handle: ~$800 million
  • Total gross revenue: $302.4 million
  • Track retention: $252.5 million
  • Horse racing development: $26.9 million
  • State General Fund: $23 million

The bill's success remains uncertain in Kentucky's Republican-dominated legislature, where religious considerations often influence gaming policy. Republicans currently hold 80 of 100 House seats and 31 of 38 Senate seats.

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