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State of Play’s TL;DR
- A Massachusetts proposal to authorize historical horse racing devices remains unsettled.
- Casino operators have warned it could rob them of up to $216 million in annual revenue.
While Massachusetts lawmakers are deciding whether to allow historical horse racing devices, the state’s three major casino operators want the idea removed from the final bill.
PENN Entertainment, Wynn Resorts, and MGM say the machines could pull significant revenue from existing casinos while being taxed at a lower rate.
A provision authorizing the slot machine-like devices was included in an economic development bill passed by the Massachusetts House in July. The Senate excluded that language from its version, leaving senior legislative leaders to determine whether the expansion survives in the final package.
House-backed proposal faces Senate resistance
The legislation would permit historical horse racing devices, which pay out based on the outcomes of previously run horse races.
The proposal has become a flashpoint in broader negotiations over the state’s economic development bill.
At this stage, the key question is simple: whether legislative leadership keeps the House-backed gambling expansion in the final version or sides with the Senate’s decision to leave it out.
PENN, Wynn, and MGM warn of revenue and job losses
PENN joined Wynn and MGM Resorts International in opposing the measure. In an economic report, the three operators said the devices could divert as much as $216 million in annual revenue from their casinos.
The same report said the expansion could put up to 1,074 jobs at risk. The operators also argued that the new machines would be taxed at a lower rate than the state’s existing casinos, making the fight not just about competition but about unequal tax treatment.
Massachusetts legislative leaders now hold the decisive step. If they keep the historical horse racing language in the final bill, the state would move closer to authorizing a new gambling product. If they follow the Senate’s approach, the provision could be dropped.
Based on reporting by Bloomberg News via CDC Gaming.
