Connecticut‘s government is trying to have an MGM Resorts International lawsuit dismissed, but MGM isn’t going away quietly. It’s targeted the no-bid process whereby a Mohegan Sun–Foxwoods Resort 
Casino joint venture was juiced into a third, off-reservation casino, location still to be determined. (Were MGM to actually pursue a casino in Connecticut, its agreement with Springfield would forbid it from getting much closer to the Hartford market than New Haven.) Technically, casino expansion isn’t limited to the tribes, they’re merely authorized by law to form the JV. But the advent of non-tribal gaming in Connecticut would mean the end of Native American revenue sharing with the state, so the fix might as well be in.
“The exclusive, no-bid process violates the Equal Protection and Commerce Clauses of the United States Constitution,” counters MGM in its latest legal filing. The likelihood that a Mohegan/Pequot casino could open before slow-moving MGM Springfield adds additional urgency to the company’s legal maneuvers. MGM, which had a now-defunct alliance with Foxwoods, claims to want to develop a Connecticut casino, a change heart that is, if not specious, very late in the game. Whatever the case, MGM appears to be swimming determindely upstream on this one.
* Detroit casinos averted any labor unpleasantness this year, coming to a tentative agreement with unionized workers. The pact, covering five years, is a “george” deal for casino workers, who would see no increase in health care premiums plus a $4,250 signing bonus. (Part-timers would see a $3,400 bonus.) Although the previous labor agreement ran out in mid-October, the Detroit Casino Council hung in there at the bargaining table. The only 
arguable compromise is that base salaries will be flat for the first three years of the contract, escalating 2% in the fourth year and 3% in the fifth.
Although the casinos had pressed for higher health premiums, they ultimately gave ground on the issue — although the lack of salary increases in Years One-Three may represent a tradeoff. The casinos expect their health costs to escalate to $262 million by 2019. MotorCity Casino Hotel CEO Gregg Solomon lived up to his last name, saying, “It was in our collective best interest to reach an agreement that continues to allow our associates to earn the highest wages in the gaming industry, while preserving the hotel and casino operations that provide such critical tax revenue to Detroit.” S&G congratulates all who were involved in the negotiations.
* One has less cause to be optimistic about a pro-union vote (supervised by the National Labor Relations Board) at Trump International. Co-
owner Donald Trump has an obtuse and ham-fisted attitude toward such talks, and it’s doubtful that the process of unionization will go swiftly. It took Trump International Toronto workers nine months to reach an agreement with ownership (the deal was ratified last week.) Also, Trump spawn Eric Trump continues to claim that Trump International Las Vegas’ employees don’t want to be unionized, all evidence to the contrary. I guess this means we can look forward to more Culinary Union rallies, which so far have provided presidential candidates Hillary Clinton and Martin O’Malley with photo ops.
* I doubt Sheldon Adelson loses sleep over much (besides Internet gambling) but he’s got even more reason to be sanguine this week. A new Fitch Ratings report by Nandini Vijayaraghavan and Hasira De Silva deems it “unlikely” that Singapore will authorize new casinos when Las Vegas Sands and Genting Group‘s duopoly expires in 2017. The authors 
cite a “potentially higher frequency of problem gaming with the local population, and the muted outlook for the inbound tourism sector in Singapore.” Last May, Senior Minister of State for Trade & Industry Lee Yi Shya said the government had “no plans” to expand beyond Marina Bay Sands and Resorts World Sentosa.
Fitch also cites a 10% drop in gambling revenue this year and braces itself for ‘stagnation’ in the coming year. “The anti-corruption crackdown in China, weaker Indonesian rupiah and softer regional economic growth have caused earnings to plateau,” wrote its analysts. In the meantime, Resorts World Sentosa has to contend with a shrinking market share, having gone from parity with Marina Bay Sands down to 38% of the market. Fitch ascribed Marina Bay’s dominance to the Sands brand, and to its proximity to the financial district and mass transit. Adelson can get in his famous scooter and take a victory lap; he’s earned it.
