Oklahoma Indian gaming revenues soar

Combined, the three tribes are responsible for 58 percent of the record $118.2 million in gaming fees paid to the state last fiscal year by 30 Indian tribes, according to records obtained from the Office of State Finance.

The Chickasaw Nation paid the state $33.3 million, the Choctaw Nation paid $22.7 million and the Cherokee Nation paid $12.2 million.

The other 27 tribes, combined, paid the state about $50 million.

Together, the 30 tribes are responsible for boosting state revenues from Indian gaming 5,000 percent in six years as tribes have expanded their casino operations and shifted to more Las Vegas-style games.

Indian gaming has become a huge industry in Oklahoma, with tribes generating about $2.9 billion in 2008, according to the 2009-2010 edition of Casino City's Indian Gaming Industry Report, authored by California economist Alan Meister.

The success of tribal gaming operations and the resulting windfall to the state could not have come at a better time, said state Treasurer Scott Meacham.

With the state experiencing major drops in revenues from many of its traditional funding sources, state officials used Indian gaming money to stave off some cuts, Meacham said.

Education was the primary beneficiary, since 88 percent of Indian gaming revenue is earmarked for common education funding, Meacham said.

The remaining 12 percent originally was earmarked for a state higher education scholarship program but now goes to the state's general fund.

The Department of Mental Health and Substance Abuse Services gets $250,000 a year of gaming revenues for treatment and educational programs related to compulsive gambling disorders.

Several factors have contributed to the state's growth in Indian gaming revenues, but Meacham said the biggest has been a major shift from Class II to Class III gaming machines in Indian casinos.