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Kentucky eschews casinos but embraces horse betting. Meanwhile, neighboring states have netted a total of $3.9 billion in taxes in the past decade from their combined eight casinos on the north bank of the Ohio River.

What Does it Take to Legalize Casinos in Kentucky?

Rush Hour in Louisville, Kentucky Skyline at Sunrise
Getty Images/iStockphoto
Rush Hour in Louisville, Kentucky Skyline at Sunrise

 

What does it take to legalize casinos in Kentucky?

According to court rulings and attorney general opinions, Section 226 of the state Constitution would have to be amended. That section does not explicitly outlaw “casinos,” but forbids “lotteries” other than the state lottery. Lotteries are principally regarded as the sale of tickets and awarding of prizes to winning ticket holders.

But lotteries are also defined as “any scheme for the distribution of prizes by chance.” That was the view taken by state courts and former Attorney General Greg Stumbo when, in 2005, he wrote an opinion saying, “The case law is clear; to be a “lottery,” the winner must be chosen “purely by chance.” (Read: How Kentucky Money Fuels Cross-Border Casinos, Other State Budgets)

Somehow, the “purely by chance” doctrine was applied to card games as well as the play-and-pray games of slot machines, roulette and dice. Poker, blackjack and baccarat players would beg to disagree, as success at those games require a high degree of skill to go with elements of chance.

In any case, amending the Constitution has become the go-to route to bring casinos to Kentucky. A bill must be introduced in the General Assembly, and at least 60 percent of each chamber -- the House and the Senate -- would have to vote for the bill. From there, Kentucky voters would have their say on the proposed amendment. A simple majority would make it law.

Two such attempts in the past three years have failed. In 2012, a bill supported by Gov. Steve Beshear was approved by the Democratic-controlled House but rejected by the Republican-controlled Senate, despite the co-sponsorship of Sen. Damon Thayer, who went on to become Senate majority leader. In 2014, several bills were issued in both chambers, and all died in committees.
( Read: Where Kentucky's Gubernatorial Candidates Stand on Casino Gambling)

This year’s bill calls for a maximum of six casinos in the state, no more than one in any Congressional district and only in counties of at least 85,000 in population. Its sponsor? Stumbo, now speaker of the House.

Reporter James McNair can be reached at jmcnair@kycir.org and (502) 815-6543.