Tribal casinos have in the last 30 years grown to account for nearly half of the U.S. gaming market, with California commanding the largest share of the 28 state industries according to a study of 2016 revenue for the American Gaming Association by Meister Economic Consulting. There are currently 494 Indian casinos in the U.S. and 242 gaming tribes.
Overall tribal gaming generated $105 billion in sales, produced 676,000 jobs, $36 billion in wages and paid state and local government $15 billion. That was a 3.9 percent increase over two years ago. Tribal gaming accounted for 45 percent of all gaming revenue in the U.S. Two years ago, that percentage was 43.5 percent.
This has happened in a relatively short time: since the passage of the Indian Gaming Regulatory Act (IGRA) in 1988, when tribal gaming accounted for about $121 million from bingo parlors.
National Indian Gaming Commission Chairman Jonedev Chaudhuri told a press conference noting the 30th anniversary of the passage of IGRA. “All of Indian Country has worked very hard to maintain a flourishing and constantly growing gaming industry. The success reflected in the 2017 gross gaming revenue is due to tribal self-determined goals and principles.”
The states that exceeded $5 billion in profits were Florida, Oklahoma, California, and Washington.
California and Oklahoma were the highest, with California tribal gaming producing $20 billion in revenue from its 74 casinos, 125,000 jobs and $3.4 billion in revenue sharing and taxes to the state. The study didn’t limit itself to gaming revenue, but also included hotels, restaurants, retail and entertainment venues.
Oklahoma, by contrast, had almost twice the number of the Golden State’s casinos, or 131, but they were generally much smaller in scale. They employed 74,723 employees and paid the state $1.6 billion.
Florida’s eight casinos produced the biggest bang per casino, generating $6.1 billion, employing 45,962 who made more than $2.5 billion in wages.
Washington, with 31 casinos and 35,044 employees also made more than $5 billion.
Arizona was fifth overall, with 25 Indian casinos that generated $4.75 billion. Arizona tribes paid $691 million in revenue sharing.
These states were followed by Minnesota, Wisconsin, Michigan, New York and Connecticut, with between $2 billion-$5 billion each. Oregon, New Mexico, Louisiana, Alabama and North Carolina all brought in more than $1 billion.
Sara Slane, a spokesman for AGA, issued this statement: “This report details the widespread economic impact that tribal casinos have in states across the country, providing diverse career opportunities, supporting local businesses and generating tax revenue and revenue-share payments for all levels of government.”
Although the Great Recession dealt a hard blow to Indian gaming beginning in 2007, after a short pause they rebounded and have grown 24.1 in the last decade.
In 2008 Michigan Gaming Control Board Director Richard Kalm observed about casinos, “When times are bad, they still seem to do good or OK.”
Chaudhuri told reporters that local tribes are working with each state on the issue of whether to enter sports betting. He said tribes ought to “be given a seat at the table to voice their positions” in any legislative or regulatory conversation.”
