Illinois Racetrack Pushing For Slots

Officials at Fairmount Park racetrack in Collinsville, Illinois said they plan to start lobbying lawmakers to pass legislation allowing slots at the state's five racetracks. However, officials in East St. Louis fear Fairmount slots will lower revenues from the Casino Queen that the city depends on.

Although the Illinois legislative session ended without the expanded gambling bill being called for a vote, officials at Fairmount Park racetrack in Collinsville, Illinois said they will begin lobbying this summer for a measure that would allow slots at the state’s five racetracks, and be approved by lawmakers and Governor Pat Quinn.

Fairmount Park President Brian Zander said, despite the lack of success bringing slots to tracks, “We will have live racing in 2015,” Fairmount’s 90th season. “Beyond that, I don’t know,” Zander said.

Fairmount Park was excluded from an amendment that proposed allowing slots at Illinois horse tracks, because East St. Louis officials feared Fairmount would take away business from the Casino Queen located in that city. State Senator Bill Haine said, “They’re concerned that they face a fiscal cliff. The competition could irreparably damage the casino, and if it closes, East St. Louis has nothing. The other tracks just want the bill. They don’t care about anything but themselves.”

But Haine noted, “The racetrack has to be a racino if it’s going to survive.” He added that only can happen if supporters of the current gambling bill will require the votes of metro-east legislators to pass it. “None of us will vote for it if Collinsville is not in it. It’s a standoff,” Haine said.

One reason the recent bill did not get called for a vote was that lawmakers could not agree on how the local share of taxes from Fairmount slots would be distributed. Zander said an idea that still could work would be to establish revenue sharing between Fairmount, the Casino Queen in East St. Louis and Alton Belle in Alton.  He said, “Would we like all of the money? Sure, we would like all of the money. But it’s just not realistic. We have to make sure that Alton is taken care of and we have to make sure that East St. Louis is taken care of. So you have to think there’s a framework for working something out.”

Illinois Horseman’s Benevolent and Protective Association Executive Director Lanny Brooks said, “We have the summer to put this thing to bed.”

Southeast of Collinsville, on the Illinois-Kentucky border, construction and demolition have begun at Harrah’s Metropolis, which recently received permission from the Illinois Gaming Board to move from the Ohio River onto land at the Riverfront Event Center. State law previously required casinos to be on the water, but a change made a few years ago will make the new casino legal as long as it is over the water. In addition to Harrah’s relocated casino space, the facility will offer new entertainment amenities and dining options—plus a water feature located below the convention center which will keep the new casino space compliant with state law. The new casino will be designed on one level with easy access. The barge that currently houses administrative offices and restaurants will remain in place.

Mark Osterhaus, senior vice president and general manager at Harrah’s Metropolis, said, “This move will provide guests with a brand new gaming floor and easier access to hotel and restaurant amenities. The new facility will offer a better experience for our guests and employees, and will put us in a stronger position to compete with newer casinos in our market.”

When Harrah’s Metropolis opened in 1992, it generated at least $800,000 or more each month in revenue to the city of Metropolis. But gaming revenue from the property has declined in recent years, especially due to the recession and flooding in 2011. Metropolis Mayor Billy McDaniel said the portion of gaming revenue that goes to the city has never returned to earlier levels. “It’s just about stabilized but it’s still down 40-45 percent less than what it was. We received the lowest amount this past month that we have since the boat has been in operation,” McDaniel said. “I do believe this will be just like a brand new casino opening in the community.”

No exact timeline regarding the move has been announced. Vice President and General Manager Brad Hirsch said, “We’ve got a lot of work to do but the team is really excited.”

One of the largest employers in Massac County, Harrah’s Metropolis has 580 employees.