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(INDIANAPOLIS) – Indiana’s most significant gambling bill in a quarter-century is on its way to Governor Holcomb.

The House approved a final deal on a sweeping casino and sports-betting bill 59-36, minutes after a 37-12 vote in the Senate. The bill legalizes sports wagering, in casinos or via smartphone, and turns the video gambling in Anderson and Shelbyville into full-fledged casinos in 2020, a year ahead of schedule. It also authorizes a casino in Terre Haute if voters there approve, and moves Gary’s Majestic Star Casino off Lake Michigan to downtown Gary, just off the interstate.

Senate Majority Leader Mark Messmer (R-Jasper) says the bill severs casino gambling’s tether to waterways. He says when Indiana first legalized casinos in 1993, riverboat gambling was the national model. He says that’s changed, and Indiana needs to keep pace.

Gary Senator Eddie Melton (D) says the city hopes to turn the newly available lakefront into a shipping hub. He predicts the combination of the new casino and the waterfront opportunities will be “transformational” for the economically troubled city.

The bill compensates Evansville, French Lick, East Chicago, Hammond and Michigan City for the anticipated drop in business at their casinos as new competitors open their doors nearby. Opposition from legislators in those areas had held up a final deal until late Wednesday afternoon, the final day of the session. The operator of the eventual Terre Haute casino will pay Evansville nine-million dollars over three years, while Majestic Star will compensate the three northwest Indiana cities for four years, based on how much market share shifts. Majestic Star’s owners Spectacle Gaming will also pay the state $20 million to move the casino.

House Ways and Means Co-Chairman Todd Huston (R-Fishers) voted against the bill, despite being House Republicans’ lead negotiator and signing off on the final deal. He says he has serious problems with the idea of “hold harmless” payments to competing casinos. But he says gambling bills are unique in affecting local interests across the state, and says he agreed to bring the bill to the floor in deference to the will of the Republican caucus.

The bill will become law if Governor Holcomb signs it. He’s stayed out of discussions on the bill but has said he’s not automatically opposed to a gambling measure.

(Photo: lucadp/Thinkstock)