Bally’s & Chicago Weigh Airport Slot Machines as City Eyes New Gambling Revenue

Chicago officials are considering installing slot machines at O’Hare and Midway airports in partnership with Bally’s, which is building the city’s first casino. The move could bring tens of millions to the city’s strained budget.

During the first day of City Council budget hearings on Mayor Brandon Johnson’s proposed $16.6 billion budget, CFO Jill Jaworski told aldermen: “We’ve had a conversation with Bally’s about moving that forward. … We have been in conversation with them about investigating that. They have expressed interest. … They have identified a site at Midway, and we continue to work to move that forward.”

Jaworski said that Bally’s and city officials must work through some “technical challenges” to ensure the machines comply with airport and federal regulations.

Ald. Gilbert Villegas projected the plan could bring in “anywhere between $30 million to $40 million” annually. Villegas noted that travelers often “have time to kill” before a flight. That makes airport gaming an attractive new revenue stream.

Early concepts envision segregated lounges beyond the security checkpoint — self-contained spaces resembling compact casino floors, rather than scattered terminals.

Bally’s Could Expand Chicago Footprint

For Bally’s, the airport idea extends its existing partnership with the city. The company is developing a $1.7 billion casino resort in the River West, projected to open in late 2026. Meanwhile, it operates a temporary casino in the Medinah Temple building in downtown Chicago.

Under the proposal, Bally’s would operate and brand the airport’s slots. Likely, the same oversight and tax framework that applies to the city casino would also apply. Villegas added that the plan enables Bally’s to promote itself to travelers and provides an opportunity to attract them to its city casino.

The River West project remains the centerpiece, expected to bring 3,000 jobs and hundreds of millions in annual tax revenue. Still, the airport slots could give Bally’s a visible entry point for many travelers.

Expanding Gambling, Raising Tax Revenue

The airport plan arrives as Chicago discusses Mayor Johnson’s proposed budget plan. That includes a 10.25% city tax on sports betting revenue. The mayor’s office estimates the measure would bring the city $26 million annually.

However, when combined with state taxes, some of the top-grossing sportsbooks could pay effective rates above 50%. That would make Illinois among the nation’s costliest markets for operators.

Johnson’s idea is now under threat from House Bill 4171, filed by Illinois Rep. Daniel Didech. If enacted, the bill would leave all regulation and taxation of sports wagering under the state, denying municipalities “home rule” authority.

The measure could wipe out one of Chicago’s few remaining plans to raise gambling-based revenue amid a $1.15 billion budget hole.

VGT Proposal Also on the Table

Another proposal on the table is whether to legalize video gaming terminals (VGTs) in thousands of bars, restaurants, and hotels. The measure advanced narrowly in September after Ald. Anthony Beale argued that the city was ignoring $60 million to $100 million in potential revenue.

However, Mayor Johnson argues it would generate at most $10 million, citing a city analysis. He also warned VGTs would cannibalize Bally’s revenue. The operator shared his sentiment.

Bally’s warned that VGT legalization would cost Chicago about $74 million annually in lost tax revenue. It would also eliminate up to 1,050 jobs.

Still, if the city legalizes VGTs, Bally’s could potentially find consolidation in the airport slots, which could make up some of the lost revenue.

Balancing Expansion & Stability

Chicago’s approach to gambling now spans multiple fronts: the permanent Bally’s resort, temporary downtown casino, proposed airport slots, sports-betting tax debate, and ongoing VGT deliberations. Each piece ties into the city’s broader goal of diversifying revenue streams amid a $1.15 billion budget shortfall.

While each carries its share of pushback, airport slots could be a win for the city and travelers alike. As Villegas put it during the hearing, “You’re supposed to get to the airport two to three hours ahead of time. This would allow adults 21 and over to kill some time while they’re waiting to get on their flight.”