Councilwoman sees 'extortion' in Hill group's opposition to casino plan
Thursday, November 30, 2006
By Rich Lord, Pittsburgh Post-Gazette
A Hill District group asked would-be casino developers for multimillion-dollar pledges and became critical of a proposal to build in that neighborhood after it was rebuffed, a Pittsburgh councilwoman said yesterday.
Councilwoman Tonya Payne, who represents the Hill, said the group's requests reeked of pressure tactics first, and sour grapes later.
"You can't ask [gambling companies] for their money, and then say, 'If you don't give me the money, we won't support you,' " she said. "This seems like extortion to me."
Leaders of the Hill District Gaming Task Force and its nascent Greater Hill Development League said their requests reflect a desire to counter the negative impact gambling will have on the neighborhood, especially if a casino is built there.
"Asking for adequate reinvestment to offset gambling addiction, crime, poverty ... is not extortion," said Marimba Milliones, who co-chairs the task force with Evan Frazier.
Ms. Milliones is chairwoman of the Hill Community Development Corp. and Mr. Frazier is president of the Hill House Association. Also on the task force is state Rep. Jake Wheatley, D-Hill.
A 13-page report the group gave casino license applicants in April concluded that any slot machine casino in the city would have "broad social implications" for the Hill, since many low-income people gamble. The impact would be most acute if Isle of Capri Casinos Inc. builds a slots parlor in the Hill, as it has proposed, Ms. Milliones said.
Isle of Capri has promised to build a $290 million arena there, too, if the Pennsylvania Gaming Control Board gives it the right to build the city's lone casino. The board is expected to choose one from three applicants next month.
In April, the task force gave the Isle of Capri two "reinvestment options."
The first involved putting $29 million into the new Development League or another "institution that we might select," plus plowing 1 percent of the casino's revenue into redevelopment. The Isle of Capri could also invest $1 million a year in the Hill through Pittsburgh First, a development group it has helped to create.
The second involved giving "$10 million up front," plus 3 percent of casino revenue, to the Development League for development and social services.
The group made a different request to Forest City Enterprises, which wants to build a casino at Station Square, and PITG Gaming LLC, which has proposed building on a North Shore site. It asked them for $5 million "once your site is selected" and 1.5 percent of casino revenue, all to go through the Development League.
The Isle of Capri-allied Pittsburgh First responded to the request in May, outlining plans to build a $450 million casino, $350 million housing and retail development, and the arena, plus allot $1 million a year in development investments. It did not agree to the request to fund the Development League.
"One million dollars is not going to address the negative social impact," said Ms. Milliones.
The Rev. James Simms, chairman of Pittsburgh First, said that after his group responded, "all of a sudden it became alienation" and the task force would not negotiate. He said the task force wanted to control development funds, while his group wants a new leadership paradigm in the Hill.
Ms. Milliones countered that Pittsburgh First is a creation of the casino company meant to bypass the Hill's "indigenous leadership. ... You have to engage the people who have been doing the work."
She said the Development League is "in the exploratory and development phase." It would include people already working on rebuilding the Hill.
Mr. Wheatley said he supports the concept of the league. He said he opposes the Isle of Capri because it has been "disrespectful in how they engaged the Hill," but doesn't back any other casino bidder.
The task force hasn't come out for or against any bidder, but has ranked their responsiveness.
"PITG has been the most responsive," said Ms. Milliones. "Isle of Capri has been the least responsive."
PITG has said it will spur a $350 million development in the Hill, and has hired Detroit-based Hannah Murano Architecture to plan it. PITG spokesman Bob Oltmanns said the company is talking with the task force, and was the only bidder to attend its Nov. 15 public forum in the Hill.
A Forest City spokesman said it would keep talking with the league, like other groups.
Mr. Simms said PITG is "the invisible hand that's sort of orchestrating" opposition to the Isle of Capri in the Hill.
"If the gaming application goes any way except for the Isle of Capri, we'll be left with a Hill District that won't change for another 50 years," he said. |