Casino news source: Foster's Online - http://www.fosters.com
Tribe's casino plans start debate in Massachusetts
BY SEAN P. MURPHY
New York Times News Service
Two of the world's richest, flashiest casinos soar above rural corners of southern New England, and now the Mashpee Wampanoag Indian tribe of Massachusetts wants to make it three.
The tribe last month signaled its intention to emulate Foxwoods and Mohegan Sun when it swept up 350 acres of developable woodland in Middleborough, about 40 miles southeast of Boston, as a potential site for a casino and resort that would take in an estimated $700 million a year. The Wampanoags envision a 1,500-room five-star hotel, at least 3,000 slot machines, dozens of table games, restaurants, lounges, entertainment, golf courses, a health spa, shopping, and convention space - all easily accessed off Interstate 495.
The tribe, which needs to work out an agreement with the state, predicts its casino would funnel as much as $100 million a year into the Commonwealth's coffers by the time it opens in 2010. It's the same formula that got the operators of Foxwoods, Mohegan Sun, and the state of Connecticut on the same team.
From an economic point of view, a new casino colossus is quite plausible, says Clyde W. Barrow, a gambling specialist at the University of Massachusetts at Dartmouth. Compared to national spending rates, New England still trails other regions. New Englanders spend about $3.5 billion a year on gambling, but would spend another $1.5 billion a year if casinos are added, he says.
Enter the Mashpee Wampanoag, a Cape Cod-based tribe of about 1,460 members who descend from the Indians who first befriended the Pilgrims.
Twenty years ago, Congress gave Indian tribes broad rights to operate the kinds of casinos others legally cannot — so long as they are recognized by Washington as authentic tribes. This year, after decades of trying, the Wampanoags got the nod from Washington. Now, the tribe may feel pressure to act quickly on its casino: Foxwoods and Mohegan Sun are undergoing $1.4 billion dollar expansions.
The casino gambling debate heated up last week when Gov. Deval Patrick made a surprise appearance at a Mashpee Wampanoag celebration on Cape Cod, hours after Treasurer Tim Cahill proposed the state enlist private developers to build one or more resort casinos.
Cahill's plan would involve an auction, open to any developer including the Mashpee Wampanoag tribe, to seek the most lucrative bids. The proposed casino or casinos would be privately owned and operated, but regulated by the state.
The tribe has already purchased options on land in Middleborough to possibly open a casino by 2010. The tribe is also considering New Bedford as a site.
Cahill's plan would involve an auction to seek the most lucrative bids. The proposed casino or casinos would be privately owned and operated, but regulated by the state.
The treasurer said state-sanctioned resort casinos could generate up to $1 billion in annual revenue, far more than what the state would get in a pact with the tribe.
The Wampanoags still have much to navigate to realize their dream, but the tribe says much of the path has already been blazed in Connecticut.
From a political point of view, the tribe's strongest argument may be the amount of money Massachusetts residents are already spending in the Connecticut casinos, close to a $1 billion a year, which translates into $119 million a year for the Connecticut state budget. Still, opposition is likely to come from ]those who fear the social reverberations of gambling, increases in traffic, and even a possible threat to the lucrative Massachusetts Lottery game. |
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