The Nebraska Racing and Gaming Commission recently issue 67 pages of rules for casino gaming in the state, which voters authorized at the state’s horse racetracks in 2020.
All six licensed horse racetracks, in Lincoln, Omaha, South Sioux City, Columbus, Grand Island and Hastings have announced plans to add casinos. Lincoln Race Course, for example, plans a $220 million project with 1,200 gaming stations, a 196-room hotel, an event space, a spa and dining options.
In addition, new racetracks have been proposed in Bellevue, Gering, Kimball, Norfolk, North Platte and York; all are expected to apply for a casino gaming license. Global Gaming Nebraska (GGN), a subsidiary of the Chickasaw Nation of Oklahoma, has proposed operating casinos at the existing track in Hastings and proposed new tracks in North Platte and Gering.
GGN President Sean Boy said, “We are thankful for the opportunity to work with the Nebraska Racing and Gaming Commission towards strict and integral regulation of gaming within the state.”
The commission will hold a public hearing on the rules on December 17. Upon the commission’s approval, the rules will be forwarded to Governor Pete Ricketts and the attorney general’s office for their okay. Then the rules will go to the office of the secretary of state for official recognition.
Racing and Gaming Executive Director Tom Sage said the board hired Gaming Laboratories International (GLI) to help state officials create the new rules.
“They basically took what worked in some other Midwest states and incorporated it into our rules,” Sage said. Among them are a $1 million, 20-year up-front license fee and an annual assessment to be paid to the state. Also, all casinos will be smoke-free and no individuals besides law enforcement officers or licensed security guards will be allowed to carry firearms.
Sage said details of the annual assessment still are being worked out, but it probably will depend on a casino’s gaming machines and table-game spots, so larger operations would pay more than smaller ones. Also, Sage said individuals associated with casinos will have to be licensed, including vendors and key operators. Vendors will have to pay $5,000 for a 3-year license and an annual fee of up to $2,000. Key personnel will have to pay application fees of $10,000 to $15,000.
Sage said currently the Racing and Gaming Commission does not have the authority to set limits on the number of casinos it approves. Also, it cannot consider proximity to other operations when determining whether to grant a license.
Lynne McNally, executive vice president at the Nebraska Horsemen’s Benevolent and Protective Association, said the rules are comprehensive
“The Racing Commission worked efficiently and diligently, and we really appreciate their efforts,” she said. “The NHBPA is partnering with Ho-Chunk Inc. to build WarHorse casinos in Lincoln, Omaha and South Sioux City. WarHorse officials said as soon as a casino license is granted, they’ll erect a temporary casino at Lincoln Race Course to operate during the 18 months to 24 months it could take to build the casino resort.
However, Fonner Park Chief Executive Officer Chris Kotulak said he’s concerned the state may end up with too many racetracks, due to companies wanting to operate casinos.
“There’s not the human or equine infrastructure in place to support any more racing than we already have,” he commented.
