Center for Gaming Research
UNLVGamingReseach on Facebook UNLVGaming on Twitter
UNLV Home UNLV home Center for Gaming Research University Librarites
Delaware Gaming Summary

Background

Delaware has a state lottery, pari-mutuel betting on horse-racing, and wagering on slot machines at racetracks and slot parlors.

Casino Gaming: Video Lottery at racetracks (racinos)

Development: Since December 1995, when Video Lottery operations began at Delaware Park and Dover Downs, the Lottery's ability to contribute to the General Fund has increased significantly. Delaware Park and Dover Downs each now have over 3,100 Video Lottery machines. Harrington Raceway, which has been operating since August 1996, now has over 2,000 Video Lottery machines. Since its start, the Delaware Video Lottery has contributed more than $2 billion to the General Fund.

Regulation: Video lottery terminals are overseen by the Delaware Lottery.

Taxation: Effective tax rate: 37% paid to state general fund, plus 11% towards increasing the size of the horse race purses.

In 2009, the state approved sports betting (parlay) and table games at racinos.

Currently, there are 3 licensed slot/casino operators in the state: Dover Downs, Delaware Park, and Harrington Raceway.

Lottery

Development: The Delaware Lottery was established by an act of the General Assembly and signed into law on July 31, 1974. The first weekly tickets were sold in October 1975. The lottery is charged with maximizing revenue contributions to the State's General Fund, thereby helping to fund the delivery of governmental services to the people of Delaware.

Beneficiaries: The Delaware Lottery contributes its profits to the State General Fund. Since 1975, more than $3 billion has been transferred to the General Fund from Lottery proceeds. In fiscal year 2009, the Lottery's contribution was $248 million, making it the state's fourth-largest revenue generator. The Lottery's contributions to the General Fund help to pay for vital state services that would otherwise require funding through additional tax dollars

 

For more information:

Delaware Lottery 

Delaware Video Lottery

Delaware Thoroughbred Racing Commission

Delaware Harness Racing Commission

Delaware Gaming Control Board
Video Lottery Revenue Data (Calendar Year)
Year
Slots
Wagers
Payouts
Revenue
Hold%
1996
2,498
$2,189,773,111
$2,005,394,700
$184,378,411
8.41%
1997
2,580
$3,581,620,700
$3,282,715,600
$298,905,100
8.34%
1998
2,982
$4,198,141,600
$3,847,320,400
$350,821,200
8.35%
1999
4,070
$4,968,902,000
$4,556,408,700
$412,493,300
8.30%
2000
5,151
$6,023,213,700
$5,538,109,400
$485,104,300
8.05%
2001
5,277
$6,503,362,200
$5,976,722,300
$526,639,900
8.09%
2002
5,430
$6,955,428,400
$6,389,518,500
$565,909,900
8.13%
2003
5,683
$6,197,751,200
$5,695,751,500
$501,999,700
8.09%
2004
6,435
$6,777,325,400
$6,224,006,700
$553,318,700
8.16%
2005
6,581
$7,093,571,500
$6,514,125,500
$579,446,000
8.16%
2006
7,360
$7,974,701,500
$7,322,967,700
$651,733,800
8.17%
2007
7,448
$8,095,144,200
$7,482,737,100
$612,407,100
7.56%
2008
8,327
$7,618,504,200
$7,029,581,200
$588,923,000
7.73%
2009
7,523
$7,404,297,400
$6,840,058,100
$564,239,300
7.62%

This chart has information on the total number of slot machines as of the end of the year in question, total amount wagered (slot drop), total payouts to winners, gross slot revenues, and the average hold percentage.
Total Lottery Revenue Data (Fiscal Year)
Year
Total Sales
Total Cost of Games
Cost %
Net Income
Net %
1993/94
$100,654,819
$53,408,779
53.0%
$34,355,981
34.1%
1994/95
$114,101,301
$56,331,372
49.3%
$43,250,000
37.9%
1995/96
$188,913,769
$120,311,806
63.4%
$64,283,976
34.0%
1996/97
$359,491,632
$227,256,458
63.2%
$127,809,245
35.5%
1997/98
$447,394,580
$277,791,958
62..0%
$164,508,859
36.7%
1998/99
$527,732,950
$311,058,185
58.9%
$209,129,367
39.6%
1999/00
$556,618,927
$311,542,423
55.9%
$238,193,395
42.7%
2000/01
$601,211,417
$332,014,768
55.2%
$261,891,202
43.5%
2001/02
$674,048,792
$372,787,866
55.3%
$293,965,521
43.6%
2002/03
$628,064,000
$347,464,879
55.3%
$274,223,567
43.6%
2003/04
$640,925,267
$351,384,231
54.8%
$283,914,792
44.2%
2004/05
$689,291,202
$380,871,971
55.2%
$301,228,333
43.7%
2005/06
$727,992,948
$403,347,125
55.4%
$318,995,346
43,8%
2006/07
$755,126,923
$417,566,696
55.2%
$331,016,219
43.8%
2007/08
$742,260,464
$412,006,967
55.5%
$323,036,851
43.5%
2008/09
TBA
TBA
TBA

"Total sales" reflects all money wagered on the lottery in the fiscal year in question; from 1995 on, this includes money wagered on video lottery terminals. "Total Cost of Games" includes the total amount of prize money paid back to winners, vendor and video lottery commissions, and gaming vendor fees and costs. "Net Income" is the total revenue minus operating expenses and fees. Cost and net revenue percentages are taken from the total sales.

Delaware Gaming Timeline

1974: Delaware Lottery legalized

1975: First lottery tickets sold

1995:Video lottery terminals begin operation at Delaware Park and Dover Downs(racinos)

1996: VLTs begin operation at Harrington Raceway

2002: On May 31, Governor Ruth Ann Minners signs a bill banning smoking in, among other places, racinos

2009: On May 14, Governor Jack MArkell signs legislation allowing sports betting and live table games (blackjack, craps, roulette, and poker)

2009: Delaware racinos begin offering parlay bets on professional football games
© 2011University of Nevada Las Vegas >
Last modified Wednesday, 09-Nov-2011 10:31:24 PST