Third County Places Indiana Casino Vote on November Ballot

A third Indiana county has added a casino referendum to its November ballot, giving voters the final say on potential casino in the state’s northeastern corner.

Steuben County, the northern-most county on Indiana’s eastern border, is one of three counties that could approve construction of a new casino. If passed, it could place a new gambling facility within an hour’s drive of more than 600,000 people.

Allen County, DeKalb County and Steuben County, all located near the Fort Wayne metropolitan area, will all vote on whether to permit casino gambling in their counties. In order to build the casino, at least one county must vote yes on accepting the license.

Should that happen, developers would have until Dec. 1 to submit proposals to the Indiana Gaming Commission. That would require working with any county that voted yes to figure out the right location.

Why Is the Indiana Casino Vote Happening?

The question exists because of the relocation of a struggling casino in Rising Sun, located in southern Indiana. That casino, the Rising Star Casino Resort, once enjoyed robust traffic when it opened in 1996, largely because of its proximity to Cincinnati. At the time, neither Ohio nor Kentucky had any form of legal gambling. That made crossing the Ohio River to Rising Sun a popular activity.

But Ohio legalized casinos in 2009, and Kentucky now has gaming halls. Together, that has eaten into Rising Star’s revenue, along with Cincinnati’s Hard Rock Casino. Without Cincinnati traffic, Rising Star has little population to draw from. While Rising Sun is only 100 miles from Indianapolis, bettors from Indiana’s largest city encounter Shelbyville’s Horseshoe Casino well before they get near Rising Sun, giving little incentive to keep driving.

Moving the casino license to Northeastern Indiana would put it much closer to a population center. Fort Wayne is Indiana’s second-largest city, yet bettors there must drive to either South Bend or Anderson to visit an Indiana casino. Neither is within 80 miles of the city center.

For bettors in the northern or eastern parts of the Fort Wayne metro area, it’s often easier to drive to casinos in Battle Creek, Mich., or Toledo, Ohio. In both cases, Indiana loses out on potential tax revenue.

That’s one reason why placing a casino in northeastern Indiana became appealing. But under House Bill 1038, citizens of the counties in question must have the final say, necessitating the Indiana casino vote. That bill was signed by Gov. Mike Braun in March, and placing the question before voters was long expected.

What Are the Terms of the Indiana Casino Vote?

HB 1038 specifically spells out that only Allen, DeKalb and Steuben Counties are allowed to vote. The easiest result would be if only one of the three counties votes yes. That would give the single yes county the sole right to choose where the casino would be built.

Leverage shifts to developers if two or all three counties support the Indiana casino vote. In that case, developers could shop around for favorable conditions and locations among all three counties. For example, Steuben County appears to favor placing the casino near the intersection of Interstate 69 and the Indiana Toll Road in Angola. If a developer preferred to be closer to downtown Fort Wayne, they could instead go to Allen County to ask for similar or better terms.

If none of the three counties vote yes, that’s the end of the casino. Under HB 1038, if the voters say no, the counties may not put the casino up for a vote again.

Why Did the Referendum Get Added a Second Time?

In May, Steuben County passed an ordinance placing the question on the ballot. However, the wording was unclear, as it implied that it was the county’s decision to have the question on the ballot and not the state.

To make sure the vote was accurate, the county opted to pass a new referendum. This one made clear the Indiana casino vote was because of state law, ensuring full compliance. The vote will take place Nov. 3.