Casino news source: Pittsburg Tribune-Review - http://www.pittsburghlive.com/
Gambling board faces cash crunch
By Andrew Conte
TRIBUNE-REVIEW
Tuesday, January 30, 2007
The state Gaming Control Board could run out of cash in June, Pennsylvania’s top gambling regulator warned today.
Pennsylvania loaned regulators $36.1 million to set up slots gambling, but that money runs out Feb. 9.
Casinos open this year will pay $9.4 million to keep the gambling agency running through the end of the fiscal year. But after that, all bets are off, said Gaming Board Chairman Tad Decker.
“We are going to need some help on the appropriations side,” Decker told members of the state Senate’s new Community Economic and Recreational Development committee.
The gambling board could either borrow money from the state or from private lenders to keep going until all 11 licensed casinos open, Decker said.
So far three casinos have opened and two more, including The Meadows in Washington County, are scheduled to open this spring.
Operators of those slots parlors object to picking up all of the state’s regulatory costs before the other casinos open, said Revenue Secretary Greg Fajt.
“The act did not anticipate gaming facilities would open in phases,” he said.
To keep paying its bills through June, the board will borrow $800,000 from each open casino and charge them 1.5 percent of gross terminal revenues, Fajt said. To date, the three casinos have brought in $63.7 million in revenues, including $8.6 million last week.
Andrew Conte can be reached at aconte@tribweb.com or (412) 320-7835. |
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