CT Should Try the “Massachusetts Model for Casino Expansion”

In a previous post, I suggested what was, at the time, a rediculous suggestion on casino expansion in CT.  It was based on how things eventually turned out in Massachusetts.  But it doesn’t seem so far fetched now.  Matter of fact, the latest CT legislature bill resembles my silly suggestion. Let’s call it the “Massachusetts Model for Casino Expansion.”  This is what I suggested a year ago:

  1. Set up a process for  accepting license applications similar to Massachusetts.
  2. Begin the bidding process for both the Bridgeport casino & East Windsor Casino in the mix.  We’ll call them the Southwest license and the Nithern license.
  3. This will stop the 25% guarantee on slots to the state from Mohegan Sun and Foxwoods, but later on, (hopefully) this will not be a problem due to two new casinos.
  4. Allow MMCT to bid for East Windsor & Bridgeport, as well as anyone else, such as MGM, CET, & Boyd. MGM couldn’t bid even if it wanted to on East Windsor because its Massachusetts license has a radius restriction on building new casinos nearby……there are few commercial operators willing to launch a casino between the new MGM Springfield and the tribes’ big destination casinos on the reservations, especially if it also meant matching the state’s revenue from those tribal casinos. So, because MMCT would be considered a company interested in a commercial casino in East Windsor, it would have to cover the new fee together (25% of table games & slot revenue.)
  5. If chosen, Mohegan & Pequot tribes would stop their deposit to the state coffers, but would now cover 25% of slots and table games at the East Windsor site.  If they decide they aren’t interested, someone (but not MGM) will build a casino in northern CT, at the same 25% slots and table game status. (remember, the previous pact with the tribes covered 25% of only slot revenue)
  6. Meanwhile, all applications, similar to Massachusetts, will be accompanied by stringent background checks and $500,000 application fee (higher due to the inflation of 6 years).  Eight companies were interested for the Springfield and Boston region casinos.  An application fee of $400,000 immediately brought in over $3 million dollars in revenue before the process had begun!
  7. In the end, it seemed obvious to me that the MGC were leaning towards Wynn & MGM. I’m not suggesting the process be skewed toward our tribal casinos, but am established working relationship should go a long way compared to unknown relationships with commercial casino companies.
  8. The need for a casino in Bridgeport could change or be voted down. A south-western CT casino could eventually be a moot point, if CT decides it doesn’t want it any more. In Mass, Brockton & Rush Gaming were held hostage until the MGC dropped the Region C license due to the litigation troubles the Mashpee Wampanoags were going through.
  9. In the end, the two tribal casinos would be still standing alone, only the state of CT would have made extra revenue on the process.

So much for daydreaming.  Next, I’ll dream about 99% video poker and 2/1 Blackjack as the expectation for the future.

Thats all for now.

Binbin

MGC Leads New England in Addiction Help

Follow the signs of problem gambling.

Once each year, I pause the gambling news and hype to be sure we look at the seriousness of problem gambling. March is Problem Gambling Awareness month. For the 14th year, PGAM, the Problem Gambling Awareness Month, is a national public awareness and outreach campaign established to bring awareness to issues associated with problem gambling and to also highlight the national and local resources available to provide individuals and families with support.

As any vice/leisure activity allowed in our society, certain responsibilities should be followed.  However, some people are not able to resist the overwhelming dark sides of their actions.  Whether for moral, economic, or basic human caring reasons, we try to provide help to those who cannot help themselves.

Types of Casino Gambling throughout the U.S.

Types of Casino Gambling throughout the U.S.  Massachusetts & D.C. have commercial casinos as of 2017.

You might find it odd to have a post dealing with the “dark side” of gaming, but it is with an objective responsibility that NETime Gambling covers it all, and that includes the awareness of problem gambling. Consider this:

  • According to an info-graphic released by the NCPG, problem gambling accounts for $7 billion in the US annually due to addiction, bankruptcy, and crime.
  • Of the estimated five million Americans who already meet the criteria for gambling addiction, three in four have problems with alcohol, 38 percent use or have used illegal drugs, and 20 percent have attempted or committed suicide.

For more information on problem gambling, go to the National Council on Problem Gambling website.

In recognition of PGAM this year, the  Massachusetts Gaming Commission presents the following initiatives:

  • PREVENT: This month, MGC will introduce an updated version of its Responsible Gaming Framework. Originally published in 2014, the RGF is intended to inform gaming regulation in Massachusetts and provide an overall orientation to the responsible gaming practices and policies adopted by MGC and its licensees. After a comprehensive review process which included participation of independent experts and members of the recovery community, the latest RGF now includes updated key principles, expanded strategies and is grounded in the most up-to-date research.
  • EDUCATE: MGC is currently developing a new marketing and advertising campaign for the GameSense program, MGC’s innovative and comprehensive responsible gaming strategy to encourage responsible play and mitigate program gambling. Expected to launch this summer, the new outreach campaign will extend to Western Massachusetts in anticipation of the MGM Springfield opening.
  • COMMUNICATE: Throughout the month, MGC will implement a targeted social media campaign to increase awareness about problem gambling prevention and the resources available.
  • COLLABORATE: Working closely with MGC, GameSense Advisors at Plainridge Park Casino will conduct a series of training and awareness-building activities for casino employees.
  • RESEARCH: MGC remains committed to its robust research agenda and using findings to further inform problem gambling intervention, prevention and treatment strategies. View MGC’s latest research report about problem gambling. Last month, the MGC released the first significant report of the Massachusetts gaming impact cohort study. Information from this study provides new and much-needed information about problem gambling incidence rates and behavioral trajectory. This study will yield important information leading to tailored treatment and prevention programs.
  • SUPPORT: MGC supports the Cambridge Health Alliance’s Gambling Disorder Screening Day. On 13 March 2017, the Cambridge Health Alliance’s Division on Addiction and Outpatient Addiction Services are sponsoring a Gambling Disorder Screening Day as part of the Cambridge Health Alliance Readiness for Gambling Expansion (CHARGE) Initiative

Other New England States have the following to help gamblers with addiction problems:

Connecticut – The Connecticut Council on Problem Gambling

Rhode Island – Play Responsibly, The Rhode Island Council on Problem Gambling

Maine – Problem Gambling Links at Maine Gov

Help each other if your friends, family or children seem to be spending money they don’t have.  If you have questions or concerns about your own gambling, take the 20 Question Check at Gambler’s Anonymous.  Wouldn’t it be great to not have to worry?

Sincerely,

Binbin

 

Wynn, MGM, Bridgeport & MMCT – Questions Abound

Over the last few days, news reports have made my mind spin.  While so many headlines have come from different angles, they all seem related to NETimeGambling interests.  Our coverage of New England Casinos news this week has noticeably been missing, but not on purpose. You see, we could report all the news that you have read about already, but it’s too early for comprehensive coverage. The past week’s headlines could actually turn the entire southern New England gambling landscape upside down. Covering this takes careful perspective and consideration.

However, it hasn’t stopped me from thinking about all of it – past, present, and future. Random thoughts running rampant.  Now, I need to share before my head bursts.

Billionaire casino mogul Steve Wynn steps down as chairman and CEO of Wynn resorts, amidst allegations of sexual misconduct.

Steve Wynn with his rendition of Wynn Boston Harbor

It’s sad to think that these allegations go back so many years. The “good old boys” network of covering for each other in entertainment and political fields is now being uncovered in the casino industry.

  • Will it stop the casino in Boston Harbor from still built and becoming the jewel of New England’s casino landscape?  Emphatically “No!”
  • Will the Massachusetts Gaming Commission take the charge and investigate the lies Steve-o made to Cosby and the MGC?  If they have any integrity they will – something that was questionable in the way the license was handled in the first place.
  • By the way, the state Gaming Commission said the omission of mentioning the $7.5 million settlement paid to a woman by Wynn in 2005 in the gaming license application is “critical” to the commission’s review and decision whether or not to approve. How should Mohegan Sun feel about such an unfair process of choosing Wynn over their Revere casino application.

Future Of Proposed East Windsor Casino In Doubt

Proposed MMCT joint venture casino between CT’s Mohegan & Pequot tribes

The fed’s delay, influenced by MGM adding itself to the MMCT lawsuit defense, has seemingly turned the tables on the Pequot and Mohegan joint casino in East Windsor. The U.S. Department of Interior’s Bureau of Indian Affairs had 45 days to approve or deny the changes to Connecticut’s gaming compact with the tribes. But, recently, the Trump administration advanced an interesting argument that may even cause the extinction of the East Windsor Casino project even as demolition is scheduled for the casino site. In a motion filed on Monday, government attorneys called for the removal of the Pequots from the case. They contend the tribe’s new casino deal is not subject to “mandatory deadlines — or any deadlines at all” at the federal level, all of which proves true and stops the tribe of Foxwoods fame to be deleted from the MMCT suit.

  • My first response was MGM will do anything to protect its MGMSpringfield project.  It shows me that rumors of questionable success and an unsure feeling about MGM does exist. If you were sure the product you were peddling was so great, why try to kill off all competition?
  • How could Foxwoods not see this coming? Not realizing this snafu was serious enough to put the 3rd casino project in jeopardy could start tribal hostilities between the two tribes once again – dating back to 1637 when the Mohegan’s were originally part of the Pequot tribe, but gradually became independent and allied with English colonists in the Pequot War.

Revoke East Windsor license and set up competition in Bridgeport?

Supporters of a casino in Bridgeport rolled out a bill this week, to revoke the East Windsor license granted last year and replace it with a competition for proposals for a single casino costing at least $500 million. The bill calls for bids by Jan. 1, which would have to include a deal with a city or town, complete with a referendum, anyplace in Connecticut.

Distance from Bridgeport to Resorts World, less than 60 miles away.

  • Why Bridgeport?  Well, before the tribal pacts were made Mohegan and Pequot Tribes, Wynn and Trump saw Bridgeport as a perfect site with proximity to the Big Apple. But, then Governor Weicker made the agreement with the tribes for sole gambling rights. Trump, Wynn, and Bridgeport probably still haven’t forgiven the state of CT.
  • Why Bridgeport?  Because MGM, who has found a new city for financial promises, can’t build a casino anywhere in CT that is within a 90 mile radius of Springfield, according to their licensing agreement.
  • Why Bridgeport? It will open up a bidding war for the first commercial casino in the Nutmeg State, with developers required to meet specific requirements, including: A minimum of 2,000 people to be directly employed at the facility, $500 million minimum total investment for Commercial Casino Gaming Facility, $50 million nonrefundable license fee due before construction, 25% of the annual gross gaming revenue on both Slots and Tables, and additional 10 percent of the annual gross gaming revenue from the operation of video slot machine games to fund Educational Cost Sharing grants for distribution to municipalities.
  • Guess what – NETG suggested rebidding 2 years ago.  Only it was to add more money to the state coffers like Massachusetts did – all those application fees add up!  Then, turn around and do what you want anyway. Ask Rush Gaming and CET Gaming how The MGC choices stack up in their eyes.

MGM is quite the instigator!

Casino.org says, “Although Connecticut’s two tribal operators believe it’s part of a very elaborate bluff, an artist’s rendering of the proposed MGM Bridgeport casino, which the gaming operator says will bring 2,000 permanent jobs and a tax revenue stream of $316 million per year, has been created and presented to the state’s power brokers. (Image: MGM Resorts International)

It all began with CT’s reaction to MGM Springfield. MGM was not happy that Connecticut would acquiesce to their competition. Lobbyists infiltrated the MMCT process in choosing a site, and continued to lobby against it when East Windsor was chosen. Then another tactic – trying to get the Schaghticokes tribe federal and state recognition. That didn’t happen, so it was on to  Bridgeport.  I guess MGM is seen as the Golden Ticket to needy groups and cities.

MGM sure has a lot of money to stop CT’s “slot-box.”

Yep, that’s what they called it, even though it will be close in size, casino area, and gambling offered – with a full casino, unlike Plainridge Park in Plainville Massachusetts. MGM could stand for “Money Gone Mad” if referring to expenditures to battle the MMCT venture. Check this out:

  • MGM spent more than $3.8 million in TV and radio ads and lobbying state agencies and lawmakers, including Gov. Dannel P. Malloy and Attorney General George Jepsen. The Mashantucket Pequot and Mohegans’ joint venture spent less than $1.2 million.
  • MGM hired a Washington lobbyist to focus on the Department of the Interior and the White House, paying Ballard Partners $270,000.
  • Lobbying totals: Mashantucket Pequot Tribe/Foxwoods $77,850; MGM Resorts International $3.8 million; MMCT Venture, (East Windsor tribal casino) $1.2 million; Mohegan Tribal Gaming Authority $178,702; Schaghticoke Tribal Nation of Kent $158,194
  • MGM Resorts International’s growing investment in Connecticut lobbying; 2015 — $172,937; 2016 — $1,224,440; 2017 — $3.8 million  *Source: Office of State Ethics

What will Southern New England’s gaming look like by 2020?

Your guess is as good as mine. Questions abound:

  • Could we see one or two commercial casinos rise up in Bridgeport, New Haven, Hartford?
  • How many will be operated by MGM?
  • Will Caesars Entertainment make an appearance in CT?
  • Will CT’s tribes extend to Bridgeport? East Windsor?

Too many questions.  Now my head really hurts.  I guess I’ll just have to wait and see…………we all will.

Binbin