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Video poker enjoys rapid expansion in Montana
By RICHARD ECKE

Live poker is waning, video poker continues to grow and the fate of horse racing is up in the air.

Those are some trends in Montana gambling, even while much attention these days is focused on the expansion of gambling on the state's Indian reservations.

Electronic gambling games have enjoyed steady growth in the 2000s in Montana's cities, and that growth continued in the state fiscal year ending June 30.

Gamblers pumped $35.7 million into video gaming machines in Great Falls from July 2005 to June 2006, according to state figures.

That's the equivalent of $633.67 for each man, woman and child in the Electric City last year. Of course, kids can't legally gamble, and some of the money is spent by visitors.

Some 15 percent of money spent on video poker and other video gaming devices in the state is collected in taxes. Gaming tax collections have risen by $1 million in four years in Great Falls, according to state figures. That's a 22 percent jump over that span.
The biggest increase came in Gallatin County, which saw a huge 50.5 percent jump in video gaming in four years.

Great Falls casino owner Tim Murphy doesn't foresee a big boom in video gaming in the area.

"I would say it's saturated," Murphy said Thursday. He sees "a lot of flattening out" in video gambling.

One trend in gambling noted by state Sen. Joe Tropila, D-Great Falls, is a decline in live poker games across the state. For a while, televised Texas Hold 'Em competitions sparked a high interest in poker, but now interest appears to be waning, he said.

For one thing, the former tavern owner said, poker "isn't that simple."

"I think it's fading away now," said Tropila, a member of the state Gaming Advisory Council. Statewide, live card game table permits soared from 187 in fiscal 2002 to 491 in fiscal 2006. So far in fiscal 2007, 421 card game table permits have been issued.

Perhaps more revealing is that state figures show a dropoff in card dealer licenses issued since July. Some 192 card dealer licenses have expired so far this year, more than double the 82 that were renewed.

Horse racing remains on the ropes in Montana as officials try to find affordable jockey insurance in 2007. Without insurance for jockeys, races won't be held.

Tropila agreed the picture for horse racing appears gloomy.

"The handle (betting) in horse racing is down even in Great Falls," he said.

Even if the jockey insurance issue is resolved, it remains expensive for owners to take their horses all over the state to meets, Tropila said.

However, he offered a solution.

"I'm advocating one track and I think it should be in Helena," he said. The Capital City's track is a mile long, and Helena is centrally located, Tropila said, adding that a state meet in Helena could run for a month or two in the summer.

Meanwhile, video gambling keeps plugging along.

Video gambling tax collections amounted to $418,021 last year in Cascade County — outside city limits. Some $42,490 in gaming taxes were collected in Belt, $30,558 were collected in Cascade, and just $2,258 in gaming taxes were collected in Neihart in for the fiscal 2006.

Until this decade, cities and counties received a flat percentage of gaming dollars, according to Coleen Balzarini, fiscal officer for the city of Great Falls. Since 2001, cities and counties receive state revenue sharing in place of about 30 different taxes, including gaming and vehicle taxes, she said.

Great Falls' share this year amounts to $5,674,515, Balzarini said. She noted that there's no way to say how much of that amount comes from gambling.

"It's totally disconnected," she said. At the same time, local government officials no longer worry about a fall in gambling revenue because of the new revenue sharing arrangement, she added.

Nationwide, Internet gaming took a hit when Congress banned the practice during the fall.

Murphy said he has not gambled on the Internet, but, he added, "I would think it (the ban) would slow some people down."

He also offered the observation that growth in gaming cannot be unlimited.

After all, Murphy said, "there's only so much money to go around."

 

 

 

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