Slots at Nebraska Horse Tracks May Allow Casinos to Tribes
Casinos may become available to Native American tribes in Nebraska if the state follows through on a plan to install slots at horse tracks. Generally, the rule of thumb is that tribes may legally operate any form of gambling found to exist under state law, unless otherwise limited or expanded by a compact with the state.
Legislators in Nebraska have received the results of studies indicating the state horse racing industry may collapse and die without the ability to compete with higher purses and handles at tracks in other states. The tracks drawing the best horses and owners are supported largely by slot machines and video lottery terminals.
A state constitutional amendment has been proposed, allowing 3500 gaming machines to be placed at Nebraska tracks. But that would give tribes the right to petition the federal government for casinos on reservation lands, containing slots of their own.
The study showed a potential of $220 million in annual revenue from slots for the state, forty percent of which is earmarked for roads and infrastructure improvements under the proposed measure. Only thirty-nine percent would benefit machine operators, a figure so low some investors were skeptical of the chances to make a profit.
Some lawmakers seemed reluctant to vote for the bill because of the opening of the casino situation to state tribes, rather a harsh response considering Nebraska Native Americans live in some of the worst poverty in the us.
