Pence Passes Two, Vetoes One

Two gambling-related bills became law in Indiana without Governor Mike Pence's signature. He let pass a bill allowing riverboat casinos to move onto land, and another that helps the Indiana Horse Racing Commission promote the industry. Pence vetoed a bill that would have permitted online horserace wagering.

Indiana Governor Mike Pence recently allowed two gaming bills to become law without his signature. He vetoed a third bill. The approved bills were HEA 1540, which allows riverboat casinos to move onto land, and SEA 252, which allows the Indiana Horse Racing Commission to use breed development funds to promote their industry. Pence vetoed HEA 1270 which would have allowed Indiana residents to place bets on horseraces outside of the four existing off-track betting parlors and two parimutuel horse tracks.

Pence said, “Most Hoosiers know that I oppose an expansion of gaming in Indiana, but I recognize that gaming has become an important part of the economy of many communities in our state and is an important part of our state budget. From early in the legislative process, I made it clear that I would not stand in the way of reforms that would allow these businesses to remain competitive with surrounding states so long as it did not constitute an expansion of gaming in Indiana. HEA 1540 and SEA 252 meet this standard and, as such, I will permit them to become law without signature.”

The legislature failed to pass a bill that would have allowed live dealers at the state’s two horse racetracks. Instead lawmakers moved that to 2021, when Pence will be out of office, assuming a second term. President and Chief Operating Officer of Centaur Gaming and General Manager of Indiana Grand Racing & Casino Jim Brown said, “We are disappointed in the short term for our host communities. They would have benefited from the jobs created. We didn’t feel replacing an electronic dealer with a live dealer was expansion, but others did.”

John Warren, chairman of the Pokagon Band of Potawatomi Indians , also expressed disappointment over the new gaming laws. The tribe, which wants to build a casino in South Bend, said the new law prevents Pence from engaging in good faith negotiations with the tribe on a compact. Warren said the new law, which specifies the process for the state to enter into a compact, is in violation of the Indian Gaming Regulatory act as it contains stipulations on the management of the tribe’s gaming operation, the games that are offered and the regulation and administration of these games, revenue sharing with the state and local governments, the infrastructure and site improvements and that the compact will need the approval of the legislature.

The Federal Bureau of Indian Affairs is reviewing the tribe’s application to take land into trust for a casino, 500-room hotel, tribal village and service facilities.