State governments are expanding commercial gaming options even as revenue from the industry has taken a dive in the past year.

About a dozen states expect to take in an additional $2 billion in gambling taxes by 2010, USA Today reports. At the same time, gambling taxes have fell by 2.2 percent last year.

Overall, revenues at commercial casinos fell to $5.7 billion last year, according to the American Gaming Association. Eight of the 12 states that allow commercial casinos saw their take of gambling revenue fall in the fiscal year ended June of this year, The Wall Street Journal reported.

"Gambling revenues are declining across the board, and states can no longer count on gambling when it comes to closing budget gaps," Lucy Dadayan, a senior policy analyst at the Rockefeller Institute, told the Journal.

The tribal gaming industry experienced modest growth in the last year although some markets, notably California and Connecticut, have seen declines. Oklahoma tribes saw double-digit gains over the last year.

Get the Story:
States seek to expand casinos, other gaming (Gaming Today 8/11)
States bank on gambling to boost revenue (USA Today 8/10)
States End Up Losers in Gambling Pullback (The Wall Street Journal 8/10)