Gambling in Missouri

Riverboats Lead to Resorts

The modern casino industry in Missouri dates back to 1991. That’s when the legislature barely managed to pass a bill that would allow voters to determine whether the state could host riverboat gambling in order to help fund educational programs. From the beginning, the proposal was controversial, and that only became clearer over the next few years.

In 1992, voters indeed approved the referendum, and did so by a surprising margin, with more than 60% of voters backing the proposal. The next year, with a few minor amendments, Governor Mel Carnahan signed the bill into law, and it appeared that riverboat games would begin.

But progress is rarely simple, and before long, a clear problem emerged. The law that was passed allowed only for games of skill, and not for those of chance, an interpretation that was supported by a ruling from the Missouri Supreme Court. That meant that while games such as blackjack, craps, and poker would be allowed, slot machines could not be a part of the riverboats: something that sent operators into a panic.

Attempts were made to pass a constitutional amendment to fix what the industry saw as a major problem, but this time, voters weren’t on their side: a referendum saw the proposal rejected, and when the first casino games were launched on the Admiral riverboat in May, 1994, no slots were present. Several more casinos would open in the months to come, all offering the same limited number of games.

That November, voters were given another opportunity to approve games of chance, and this time, the outcome was different: Missourians amended their constitution to allow a complete range of gambling options on the boats. Over the next few years, more changes to state law would expand the industry: restrictions on the hours of operation were lifted, and the boats were allowed to be placed on artificial moats rather than on river waters.

More changes were in store as time moved on. Central to the original passage of the gambling laws was the idea that players would be limited in their losses, both by restrictions on when they could “board” the casino boats and by a strict $500 loss limit. For many years, officials claimed that they had no interest in getting rid of that limit, but it was eventually repealed by voters in 2008, after the gaming industry waged a long campaign against the protections.

Today, the landscape has transformed from a few quaint riverboats to full resorts throughout Missouri creating a panorama similar to California, with 13 venues located in various cities including St. Louis and Kansas City. While many lament the fact that the current resorts look nothing like what was originally envisioned, there is no denying the billions in revenue that they have brought in over the past two decades.

Also available is a standard government-run lottery, which was approved by Missouri voters in 1984. Drawings have been ongoing since 1986, and the state participates in nationwide games like Mega Millions and Powerball. Interestingly, there is no horse racing here at present; while there have been discussions about reviving the racing industry in recent years, little progress has been made on this front.