Pennsylvania casinos have a record July

Even before the first table-games tallies are in, Pennsylvania's casinos had a record July, raking in $211.1 million in gross revenue from slots play alone and adding $116 million in tax revenue - a 17.8 percent increase from a year ago, the state Gaming Control Board said Tuesday.

Powering the haul were the three Philadelphia-area casinos - Parx in Bensalem, Harrah's Chester Casino and Racetrack, and Sands Casino Resort in Bethlehem - which accounted for a combined 42 percent of July's gross slots revenue.

Gambling revenue from slot machines is taxed at a rate of 55 percent in Pennsylvania, which translated into an average of $3.74 million per day for the state's coffers, according to Gaming Control Board figures.

For the cash-challenged state, the money is welcome relief, said Gov. Rendell, who championed legalized slots in 2003 and signed off on table games earlier this year.

"What has caused this explosion is that we've captured 90 percent of what has been leaving the state. One million Pennsylvanians have been gambling in other states, and we've captured that market," Rendell said in an interview Tuesday.

"We're off the charts. We're now getting more revenue from gambling than Nevada, New Jersey, and Delaware, and doing it during a recession. It's stunning."

Most of that revenue has gone toward property-tax relief, an average of $200 per resident, Rendell said. The rest goes to such things as increased purses for the horse racing industry, local governments where casinos are located, and grants for fire companies.

Of course, Pennsylvania's gambling boom is New Jersey's bust - the continuing woes of Atlantic City's 11 casinos are the focus of a major overhaul announced by Gov. Christie on July 21.

Citing cutthroat competition from other states, Christie is pushing for state control over Atlantic City's casino district, streamlining casino regulations, and boosting tourism to help get it back on its feet.

About 25 percent of gamblers at the Shore traditionally have come from Southeastern Pennsylvania, and many apparently are choosing to gamble closer to home.

Last month, Parx led the Pennsylvania pack, generating $36.7 million in slots revenue, up 19 percent from July 2009. Harrah's Chester came in second with $27.3 million, an increase of 0.07 percent, and the Sands in Bethlehem rounded out the top three with $24.5 million, up nearly 25 percent from a year ago.

For Atlantic City, which relies on table games for 30 percent of its revenue, the arrival of poker and blackjack at those casinos is likely to make things worse.

Table games debuted in Pennsylvania early last month, through a series of staggered openings by region. The roulette wheels started to spin at Parx, Harrah's Chester, and the Sands beginning July 18.

Unlike slots, table-game returns must be counted manually; they are taxed at 16 percent for the first year. Revenue data are not yet available, but preliminary reports indicate that the state collected roughly $1.6 million from craps and other games during their first month.

Kevin O'Toole, executive director of the Gaming Control Board, said table-games play has raised casino patronage and seems to have bumped up slot-machine play, too.

"It is too early to gauge a trend, but Pennsylvania casinos have indicated they have experienced a significant increase in the number of visitors since table games were rolled out in mid-July," he said Tuesday.

Since table games launched at Parx, player card sign-ups are up 50 percent, said Darlene Monzo, the casino's vice president of marketing.

"Table games are doing well, as expected," she said. "Players from Pennsylvania, New York, and New Jersey love that they can play tables and slots without having to fight the Shore traffic. We are seeing a lot of new faces."

The state's two newest casinos - the Sands in Bethlehem, which opened in May of last year, and Rivers in Pittsburgh, which opened last August - accounted for much of the year-over-year increase in tax revenue. Without them, the rise was only 5.3 percent.