The U.S. State of Kansas is at the heart of the most consequential change to hit the U.S. casino gaming market since Pennsylvania allotted more casino licenses and 65,000 slot machines. Kansas Governor, Kathleen Sebelius, has officially signed gaming legislation that will permit the State to operate up to four casinos and three racinos. At this time, the State Attorney General is asking the Supreme Court to give a ruling whether the legislation is constitutional (to prevent potential lawsuits), while local city and county referendums where the casinos will be proposed to operate must still be obtained. Although the legislation has been written into law, voter referendum is yet to be had.

Casino operators are definitely not banging on anyone's door to get licensed. Some gaming analysts speculate that because of the nearby casino operations across the Missouri River in Kansas City, operators are weary of competing against themselves. Gaming business in Missouri would almost certainly be lost to Kansas if the legislation is approved by voters. Some of America's and the world's most well-known casino operators have their doors open in Missouri, including Harrah's, Ameristar Casinos, Penn National Gaming and Isle of Capri.

Operators would not speculate on any prospects of building casinos in Kansas. Ameristar's second most successful casino is their Kansas City site, which could easily pose as a conflict of interest to a property in Kansas, while Harrah's is busy focusing their energies in Kansas City and St. Louis (although they will be handing over their Topeka property to the Prairie Band Potawatomi Nation Indians in July).

The gaming bill calls for an initial allotment of 2,200 slot machines with an eventual increase to 2,800 machines scattered amongst three racinos near Dodge City, Kansas City and Wichita. With an additional four casinos up-and-running there could very well be over 10,000 slot machines in Kansas. The legislation calls for an eleven percent tax rate on gross gambling revenues to the state, and additional 5% to host cities, a $25 million fee and at least $225 million in investment for each casino. Racinos would be required to pay 40% of earnings on slot machines and $2,500 per machine. Furthermore, operators would be responsible for funding problem gambling initiatives. The State would use revenue to help provide property tax relief and help fund debt reduction plans.