Two casino expansion sagas in Indiana and Virginia, both of which are years in the making, were addressed via legislation this month, although the outcomes of both were not what stakeholders had expected, or perhaps hoped for.
In Indiana, Governor Mike Braun signed HB 1038 into law on 4 March, which creates a new state casino licence. Voters from Allen, DeKalb and Steuben counties will have county-specific referendums about whether to allow casinos on their November ballots.
Any counties that pass the referendums will be eligible to solicit bids, and the Indiana Gaming Commission must make a selection by 15 April 2027. The winning bidder will face a $150 million licence fee and a $500 million minimum capital investment within five years. According to a fiscal impact statement attached to the bill, each casino could generate an estimated $170 million to $230 million annually in adjusted gross receipts.
This outcome was notable for two reasons. The first was that it excluded Indianapolis (Marion County) as a potential bidding location, despite a state-commissioned market study that pegged it as the top spot by revenue potential. Additionally, the legislation creates a new licence instead of relocating the existing licence of Rising Star Casino in the city of Rising Sun, which had been a point of discussion for multiple sessions.
Reconciliation needed in Virginia
In Virginia, both legislative chambers have passed a casino expansion bill, SB 756, but there were differences in the two versions that must be reconciled before it can proceed to Governor Abigail Spanberger’s desk. Proponents, however, are optimistic that it will eventually cross the finish line.
This would also be an unexpected outcome given that the legislation makes all of Fairfax County eligible for casino siting, rather than just Tysons, which had been the subject of unsuccessful expansion efforts in previous years.
Tysons, which is located in Fairfax County, is home to a number of corporate headquarters, including Booz Allen Hamilton, Freddie Mac and Capital One.
Full House relocation morphs into additional casino licence
For the Indiana casino industry, the creation of a new licence through HB 1038 is a stark departure from how conversations about expansion originally began.
Full House Resorts, which operates Rising Star Casino, had petitioned for relocation assistance for years due to underperformance related to expansion in nearby Ohio and Kentucky. The company was unable to drum up legislative support for the move itself, but it did spark a broader debate about casino saturation.
That conversation led to the passage of SEA 43 in 2025, which directed state regulators to commission a study identifying two potential relocation sites. The study, authored by Spectrum Gaming Group, said downtown Indianapolis and the Fort Wayne area were the most attractive spots. Those findings inspired a push for an Indianapolis casino this year, but that effort fizzled out due to cannibalisation concerns for existing licensees.
Instead, lawmakers opened the bidding to Allen County, which includes Fort Wayne, as well as DeKalb and Steuben counties. Even then, Braun would not have signed the bill if it didn’t include the referendums, per WANE, a local Fort Wayne news station. All other casino projects in Indiana have been approved via referendum. Full House, meanwhile, is essentially left on its own, as Rising Star’s licence will not be relocated and the company would have to bid for the newly created one.
“This legislation gives our region the opportunity for a half-billion-dollar resort-style development that would mean more jobs, new tourism and major investment in northeast Indiana,” bill sponsor Senator Justin Busch told WANE.
Fairfax casino bill opposed locally but might still pass
Virginia’s expansion saga has been similarly topsy-turvy. What started as a mission to bring a casino to Tysons has spilled into Fairfax County as a whole. Bills attempting to make Tysons an eligible host city have failed for multiple years, with opponents citing concerns about competition and national security.
In 2019, Virginia approved casino expansion in five cities: Bristol, Danville, Portsmouth, Norfolk and Richmond. But Richmond voters twice declined their casino referendum and the last spot was eventually given to Petersburg.
Tysons, located about 15 miles west of Washington, DC, has also lobbied to be a host city. Yet stakeholders have cautioned against expanding too quickly, especially in light of Richmond’s refusals. Its proximity to the nation’s capital has also raised red flags about national security concerns, with intelligence officials warning that government employees and contractors could endanger public safety if prone to addiction and manipulation.
This year, lawmakers pivoted by removing Tysons-specific language from SB 756 and making the entire county eligible for gaming if approved by voter referendum. This move, however, would appear to be for naught, as local support is slim to none. A growing coalition of local groups is calling on Spanberger to veto the bill should it pass.
The legislation passed the House of Delegates by a margin of 59-37 with one abstention. All three representatives from Fairfax County voted against it. Additionally, the county’s board of supervisors has vowed not to put the referendum to voters if the bill is passed as-is.
“If the bill comes out in its current form, I will not support it going to referendum,” board chair Jeff McKay told WTOP. “I am not going to subject my residents to vote on something that we know is a bad deal for them.”
Jess Marquez
Jess has covered the global gaming industry since 2022. A native of Reno, Nevada, he’d like to note that it’s Ne-va-da, not Ne-VAH-da.
Original article: https://igamingbusiness.com/casino/casino-expansion-bills-indiana-virginia/
