Tribal Government Gaming

 

Economic Benefits to Federal and State Governments

Tribal government gaming is also responsible for dramatic reductions in numbers of people on welfare, Temporary Aid to Needy Families (TANF), unemployment insurance and other public assistance, resulting in more than $1 billion in savings to state and federal governments.

 

  • According to a University of Wisconsin study, welfare costs in 11 rural counties with Indian casinos dropped 26% over 3 years. The reduction saved the state's taxpayers $470,000 every month.
  • In Minnesota, welfare payments in counties with casinos dropped 14% between 1987 and 1991; statewide, payments increased 17%. The drop in welfare payments in counties with casinos saved the state an estimated $7 million in welfare payments.
  • In Michigan, approximately 37% of tribal gaming employees were receiving state or federal welfare assistance, and an additional 31% were receiving state or federal unemployment compensation prior to gaining their casino jobs.
  • In Connecticut, every new job created by tribal gaming is responsible for reducing about ½ of one recipient from Aid to Families with Dependent Children (AFDC) rolls. Thus, employment gains from the Mashantucket Pequots’ Foxwoods casino saves the state $9.6 million-$16 million per year.
  • In Idaho, a study by economists at the University of Idaho found employment by tribal government gaming facilities led to a reduction in federal, state and local welfare and social service payments saving taxpayers an estimated $6 million a year.
<< back