In Missouri, all state agencies, including the Missouri Gaming Commission, are facing Republican Governor Eric Greitens’
executive order freezing new rules and regulations for businesses until February 28. The gaming commission, which oversees Missouri’s 13 licensed casinos, has been writing rules to regulate online daily fantasy sports betting, which legislators approved last fall.
Troy Stremming, executive vice president of government relations and public affairs for Pinnacle Entertainment, said “We believe that it is always great to have fresh eyes take a look at all rules and regulations to ensure that burdensome and restrictive regulations on business growth and development do not impede the excellent progress being made in St. Charles and in south St. Louis County.” He added the governor’s order most likely will not “have any detrimental impact on our industry or our business, and we anticipate a successful 2017.” Las Vegas-based Pinnacle owns the Ameristar casinos in Kansas City and St. Charles and the River City Casino in south St. Louis County.
Daniel Holmes, manager of the Gaming Services Group at RubinBrown in St. Louis, said the governor’s freeze could thwart casino operators’ plans to upgrade equipment or make other modifications requiring commission approval.
In 2016, Missouri casino revenue rose 0.8 percent from 2015 to $1.7 billion. Revenue increase 2.5 percent in 2015 over 2014, according to RubinBrown figures. In the St. Louis casino market, which includes the Argosy Alton and the Casino Queen in East St. Louis, casino revenue grew by 0.7 percent from $7.2 million in 2015 to $1.01 billion in 2016.
Gaming commissioners estimated DFS taxes would generate taxes of $600,000 annually. Missouri casinos generate more than $440 million in annual tax revenue for the state.
Holmes said DFS will have little impact on casino gambling in Missouri since they appeal to different audiences. FanDuel, DraftKings and the three other fantasy sports sites operating in Missouri appeal mainly to younger people, while casinos attract an older demographic, Holmes noted.
