Development Agreements

Above and beyond the required admissions and wagering taxes paid by the Indiana casinos to the State and the host communities, there are the funds paid via the Local Development Agreements (LDA's). The LDA's were negotiated with the host communities, and approved by the Indiana Gaming Commission, as a requirement of initial and continued licensure in Indiana.

Summary of Indiana Local Development Agreement Terms
From Crowe Chizek January 15, 2002 Report "Indiana Riverboat Gaming Estimated Fiscal Impacts of Flexible Boarding"

Argosy

• $115,112,646 in LDA payments;
• Water, wastewater, electrical and emergency infrastructure improvements for the City of Lawrenceburg;
• 5%-14% sliding Scale AGR tax payable to the City of Lawrenceburg;
• Improvements to US Route 50 payable to Indiana Department of Transportation

Aztar

• $34,660,731 in LDA payments;
• Riverfront park lease and downtown revitalization paid to the City of Evansville through graduated yearly AGR taxes;
• Economic development cash contributions to the City of Evansville;
• Contributions to the Downtown Learning Center, Evansville ONE Project and United Way of Vanderburgh County;
• Cash contributions toward the renovation of the Vanderburgh Auditorium and Victory Theatre;
• Replacement of an additional city park and additional infrastructure improvements across the city and county;

Belterra

• $1,730,240 in LDA payments;
• Graduated AGR taxes payable to Switzerland County School Corporation, Vevay-Switzerland County Foundation, Vevay Town Board and Patriot Town Board;
• Funding for emergency medical facility;
• Funding for EMS and firefighting equipment;
• Donation to Switzerland County for infrastructure improvements;
• Donation to 4-H fairgrounds for improvements;
• Funding for law enforcement;
• Donation for riverfront park;

Blue Chip

• $10,088,339 in LDA payments;
• AGR tax paid to the Michigan City Community Endowment Corporation;
• Infrastructure improvements payable to Michigan City;
• Donation of lakefront property to Michigan City;
• Donation of land and boat slips as well as assistance in marina development for the Michigan City Port Authority;

Grand Victoria

• $22,429,017 in LDA payments;
• Cash contributions to the City of Rising Sun for legal, financial and consulting fees, the Rising Sun Redevelopment Commission, community parks, Rising Sun/Ohio County Convention and Visitors' Bureau and the Rising Sun Regional Foundation;
• Road improvements payable to the City of Rising Sun and the Indiana Department of Transportation;

Harrah's

• $52,001,747 in LDA payments;
• 3/4%-1% AGR tax payable to various units including the City of East Chicago, the East Chicago Community Foundation, Twin City Education Foundation and East Chicago Second Century, Inc.;
• Cash contributions payable to the City of East Chicago for road improvements, job training, home buyer assistance, economic development initiatives, and additional community-oriented projects and programs;

Horseshoe

• $71,703,109 in LDA payments;
• Graduated AGR tax payable to the City of Hammond;
• Cash contributions to Hammond Community Corporation, Hammond Development Corporation, Hammond Parks Foundation, Whiting Community Improvement Corporation, Nurseryland, Inc. and Harbor House, Inc.;
• Construction of the 33-home Higgins Park subdivision;
• Construction of railroad overpass; a new building for the Hammond Port Authority;
• Wastewater, water, and additional public safety contributions payable to the City of Hammond;
• $1 per admission tax for lease payments payable to the Hammond Port Authority;

Majestic Star

• $17,992,625 in LDA payments;
• AGR tax payable to the City of Gary;
• Cash contributions to the City of Gary for economic development, consulting fees for Gary redevelopment, youth training programs and the purchase of 12 police cars;
• $10 million in off-site development commitments;

Trump

• $37,327,169 in LDA payments;
• AGR tax payable to the City of Gary;
• Cash contributions for police substations, the Sheraton Hotel renovation, and the purchase of 12 police cars;
• Road and utility improvements for off-site developments;
• Establishment of and yearly contribution to the Trump Foundation for Scholarships for Local Youth;