The Senate in West Virginia has announced plans to extend the current gambling legislation. On Wednesday, the Senate Judiciary Committee voted for the possibility of gamblers being able to bet more within casinos in the state. The West Virginia Lottery, the Greenbrier and the four horse race tracks have been particularly vocal over this matter.
The Recent Struggle
The recent economic recession has had a major financial impact on casinos within West Virginia. This is not the only cause. The state has also had to struggle against increased competition from its neighbors. In 2010, Maryland opened its very first casino in an attempt to benefit from gambling and present plans are for setting up at least three more slot casinos, one pending and two planned. Pennsylvania, along with a multitude of northeastern states, has also decided to up the number of casinos available. Ohio plans to introduce new establishments within the following months.
This competition has had a major impact on the money being drawn in by West Virginia’s gambling establishments. In 2007, profits stood at $972 million. Last year, this had fallen to just $727 million. Wheeling Island and Mountaineer Park, two of the state’s panhandle tracks, have been hit badly by this competition with slot business revenue being reduced by approximately a third over the past three years.
The Proposed Bill
The bill has only been designed to affect the slot machines found at Greenbrier and the four race tracks. It will not cover the video lottery machines. Basically, it will allow players to bet larger amounts than they are currently able to bid. The current maximum stands at $5 but if the bill is passed, then this limit would be removed from around 10, 000 slot machines in these establishments. Currently, many other states have a higher limit, if one at all. For example, Maryland has a limit of $100 while Ohio and Pennsylvania have none. Machines in West Virginia would then be able to accept bills of $50 and $100. Presently, they only accept bills with the value of $1, $5, $10 and $20. This would also benefit the state as it would not be forced to order these specialist slot machines because these bill limitations are hardly used by other states anymore.
The bill would also give a certain percentage of track revenue towards improvements and upgrades within these gambling organizations. Around 2.5 percent of any net winnings would be placed into a fund and the money would then be matched in terms of profits made at the race tracks and by Greenbrier. The funds could then be used to purchase gaming equipment, slot machines and security features. In addition, the bill would allow Greenbrier to supply off track horse racing.
The Future Benefits
It has been estimated by officials that this bill could produce an increased yearly profit of approximately $19 million for the state. By placing themselves at a more even level with their competitors, West Virginia expects to see an influx of players into the region. These changes could be implemented as early as Friday.