The Kentucky Horse Racing and Gaming Corporation (KHRGC) approved electronic table game themes for historical horse racing (HHR) terminals after previous pushback.
On Tuesday, the KHRGC voted to approve the offering of HHR terminals that include electronic table game themes, marking a significant shift in a state that has yet to authorize table games at licensed brick-and-mortar casinos. The corporation approved themed terminals following a request from electronic table game supplier Interblock and Exacta Systems, a horse racing tech provider owned by Kentucky’s Churchill Downs.
Exacta and Interblock proposed and developed a roulette-themed electronic horse racing terminal for players throughout the Bluegrass State. The gaming system was tested by Gaming Labs International to ensure it adhered to Kentucky’s gaming standards.
Kentucky aims to remain competitive
The KHRGC is embracing table game themes for HHR terminals to remain competitive in a dynamic gaming industry that is continuing to embrace emerging verticals and products.
“I really believe these machines allow Kentucky to stay competitive with the adjoining states that already have table games,” said KHRGC Director William Landes during a special meeting for the board of directors. “And if GLI approves, I think that goes a long way.”
Other board members also voiced their support of the terminals to keep Kentucky competitive, particularly with live table games available in neighboring Indiana.
Regulators discuss HHR terminal designs
The design of the themed HHR terminals was questioned by Valkyre Stud owner Catherine Parke, who asked if the term “roulette” could be replaced with horse imagery on the machines. Parke was the only KHRGC board member to vote against the terminals.
“Our development partner Interblock actually makes all the terminals,” said Church Hill Downs SVP of Operations Justin Paul. “The terminals are used elsewhere outside historical horse racing as well, so I’m not sure how feasible it would be to change out the signage and physical components of the machines.”
Churchill Downs wouldn’t commit to imagery changes but will look into modifications.
Exacta and Interblock are expected to request approval for HHR terminals that include themes from other table games, including poker and blackjack. Each game would also go through the KHRGC’s determination of suitability process to ensure compliance. The KHRGC has yet to announce when table game-themed terminals for roulette will go live.
Kentucky’s journey as a regulated HRR market
The KHRGC approved electronic table game HHR terminals after previously taking a hard stance against the products. In 2023, Exacta and Churchill Downs announced plans to develop roulette-themed HHR terminals but regulators failed to voice their support.
“I will tell you right now, no,” KHRGC Chairman Jonathan Rabinowitz told WDRB News in 2023 when discussing whether Kentucky regulators would authorize table game-themed terminals.
The KHRGC had no initial plans to authorize table game HRR terminals after the Kentucky Supreme Court ruled HHR unlawful in 2020 for not qualifying as “parimutuel wagering.”
Lawmakers responded to the ruling by proposing Senate Bill 120 as a measure that relegalized HHR. In 2021, the measure was signed into law bringing the vertical back.
