Key Moments:
- The Kentucky Horse Racing and Gaming Corporation authorized electronic table-game themes for Historical Horse Racing (HHR) systems on 25 November.
- Churchill Downs Incorporated, Exacta Systems, and Interblock Gaming submitted the request for approval.
- Only one board member, Catherine Parke, opposed the measure, voicing concerns over roulette-themed displays.
Regulator Approves Major HHR Expansion
The Kentucky Horse Racing and Gaming Corporation (KHRGC) has granted approval for electronic table-game themes to be incorporated into the state’s Historical Horse Racing (HHR) system. This marks a significant expansion of technology used for pari-mutuel wagering at racetrack gaming venues. The nearly unanimous decision was finalized on 25 November during a special meeting of the regulatory board.
How the HHR Table-Game System Functions
Officials reviewed and approved new HHR terminals simulating popular table games, including roulette, blackjack, and craps. Churchill Downs Incorporated, Exacta Systems, and Interblock Gaming jointly submitted the request. The internal memo outlined the system’s basic design: “Churchill Downs Incorporated (“CDI”), Exacta Systems, LLC (“Exacta”), and Interblock Gaming (“Interblock”) have requested Kentucky Horse Racing & Gaming’s approval of a historical horse racing roulette game theme, system, and terminals.” It further noted this would introduce electronic table-game themes and terminals to the market in Kentucky.
The new system incorporates five historical horse races to determine outcomes on each machine. The memo clarified: “HHR roulette involves a set of five historical horse races. One race is the ‘selector race’ and horses in this race are assigned a number one through four. The winner of the selector race determines which of the four main races will include the ‘ultimate winner’. The horses in the four main races are assigned roulette numbers. The winner of the main race as determined by the selector race is the ultimate winner, whose corresponding number will be where the roulette wheel/ball stops.”
Unlike traditional table games, game results do not depend on a physical wheel or ball. Instead, outcomes are linked directly to the historical results of horse races. Gaming Laboratories International (GLI) conducted testing prior to regulatory approval, confirming that the system operates in accordance with Kentucky pari-mutuel wagering rules and requirements for accounting, pool allocation, help information, and game integrity. KHRGC staff completed additional reviews, including a demonstration at Exacta’s Lexington office, and deemed the system compliant.
| Requesting Companies | Tested By | Game Themes Approved |
|---|---|---|
| Churchill Downs Incorporated, Exacta Systems, Interblock Gaming | Gaming Laboratories International | Roulette, blackjack, craps |
Board Members Discuss Competitive Strategy
Several board members emphasized that this approval strengthens Kentucky’s competitive position relative to neighboring states that offer live table games. Dale Romans stated, “I’d just like to say I agree with it. We’re doing very well in Kentucky, and we can’t be complacent. We have to keep getting better, and I think this makes us more competitive with the three major racetracks on the Indiana border that are competing with (inaudible) casinos. This is going to make us more competitive.” Bill Landes also emphasized that the new terminals “allow Kentucky to stay competitive.”
However, Catherine Parke voted against the proposal, expressing concerns about moving away from traditional horse imagery in favor of casino-style displays. Churchill Downs indicated its partner would consider revising the design in response to these comments.
Context: Regulatory Amendments and Wider Implications
The approval aligns with broader regulatory review underway at the KHRGC. One pending amendment, introduced earlier in 2025, would allow HHR operators to make use of pari-mutuel race data from tracks located outside the United States. This proposal is currently open for public comment and may move to the Legislative Research Commission for further evaluation.
Churchill Downs has spoken in favor of expanding the data pool to bolster competitiveness, while Equibase has objected, preferring the issue be settled contractually. Meanwhile, community and charitable gaming advocates have raised questions regarding the scope of the regulator’s oversight.
Looking Ahead: Potential Impact on Kentucky’s Gambling Landscape
With HHR machines still representing the only casino-like options available in Kentucky, the addition of table-game themes could have ripple effects on future gaming debates. Some lawmakers have revived House Bill 33, a proposal to authorize casinos statewide. Should the bill gain traction, it could lay groundwork for further exploration of online casino gaming. For now, the KHRGC’s approval of electronic table-game themes stands as a pivotal moment in Kentucky’s gaming regulatory environment.
- Author
Daniel Williams
