LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6193 NOTE PREPARED: Nov 24, 2021
BILL NUMBER: SB 126 BILL AMENDED:
SUBJECT: Wagering Tax Distributions.
FIRST AUTHOR: Sen. Perfect BILL STATUS: As Introduced
FIRST SPONSOR:
FUNDS AFFECTED:XGENERAL IMPACT: State & Local
DEDICATED
FEDERAL
Summary of Legislation: The bill requires the Indiana Gaming Commission to annually certify the total
amount of adjusted gross receipts for each riverboat during the preceding state fiscal year. It also provides
that the Auditor of State shall distribute certain tax revenue deposited in the State Gaming Fund to certain
cities and counties in Ohio County.
Effective Date: July 1, 2022.
Explanation of State Expenditures: Indiana Gaming Commission: The provision requiring the Indiana
Gaming Commission to certify the total amount of adjusted gross receipts for each riverboat may be
accomplished within the normal course of business.
Auditor of State: The Auditor of State will have to make changes in the distribution schedule for the
Riverboat Wagering Tax. The Auditor of State would be able to accomplish the adoption of these
distribution changes within the normal course of business.
Explanation of State Revenues: The bill changes the distribution of the Riverboat Wagering Tax generated
at the riverboat in Ohio County. The distribution change will begin in FY 2023. This provision will reduce
revenues deposited in the state General Fund and increase distributions to Ohio County. The revenue loss
to the state General Fund is estimated to be about $494,000 annually.
Explanation of Local Expenditures:
Explanation of Local Revenues: Riverboat Wagering Tax Distributions: The bill increases the share of
SB 126 1 Wagering Tax revenue distributed to the local units in Ohio County. This would impact the distribution of
revenue generated from the riverboat currently operating in Rising Sun, Indiana. The county will receive
additional revenue as a result of increasing the share of local distributions from 25% to 50% of the residual
wagering tax revenues. The bill requires that the additional revenue be distributed to Ohio County. The
county unit is estimated to receive an additional $247,000 annually. The city of Rising Sun is estimated to
receive an additional $247,000.
Additional Information: The DOR deposits Riverboat Wagering Tax revenue in the State Gaming Fund.
Funds are first appropriated to the Indiana Gaming Commission to administer riverboat gaming. From the
remaining funds, the first $33 M, or an amount determined under a formula enacted under P.L. 268-2017,
each fiscal year is set aside for local revenue sharing. After the revenue-sharing set aside, 25% of the
remainder up to the FY2002 distribution level is distributed to the dock city or county of the riverboat from
which the revenue is received. Currently, the city of Rising Sun receives all of the local distribution from the
Ohio County riverboat. The remaining wagering tax revenue is distributed to the General Fund. Starting FY
2023, the bill increases the local share for wagering tax revenues from the Ohio County riverboat 25% to
50% and distributes half of the local share of revenue to Ohio County.
State Agencies Affected: Indiana Gaming Commission; Auditor of State.
Local Agencies Affected: Rising Sun, Ohio County; Ohio County.
Information Sources: Auditor’s Database, State Revenue Forecast (RFTC).
Fiscal Analyst: Seth Payton, 317-233-3546.
SB 126 2