New Deal; Same old same-old at Wynncore

In a dramatic semi-reversal, Georgia Gov. Nathan Deal (R) has said he is open “to keep the discussion going” on casinos in the state. The governor’s sudden open mindedness comes with several caveats, including the assurance that casino gambling won’t detract from the Georgia Lottery, which helps fund Peachtree State schools. Conveniently for casino advocates and adversaries alike, last week saw the emergence of a study which showed a 23% increase in lottery sales in Plainville, Massachusetts, home of Plainridge Park racino — but noteworthy drop-off in surrounding communities. As for casino operator, “I don’t think we’re going to see any of them take us up on the offer,” Deal predicted of his desired 24% to 35% tax rate. Oh, I dunno, guv. They’ve paid that much in other states — and far more.

The two casinos proposed in legislation so far would be a $1 billion Atlanta mega resort and a $450 million casino for Columbus, Savannah or Augusta. With its potent tourist allure, Savannah would seem to be the logical choice. Smallish (200,000 souls) Augusta would be a tougher sell, although it would ideally positioned to pick off gamblers from South Carolina, whose state capitol is hour away. “We absolutely need to be on our toes. There are more gambling lobbyists than there are state senators,” said the Faith & Freedom Coalition‘s Virginia Galloway. That may be hyperbole but Georgia is one of the last juicy fruits eluding the casino industry’s reach. MGM Resorts International has already promised to see Deal’s $1 billion and raise him another billion. But the industry can’t get carried away with itself. Supermajorities of both houses of the Lege have to pass a constitutional amendment, which then goes to the voters. Enabling legislation then has to be hacked out. It’s not Sherman’s March to the Sea but it’s not a cakewalk either.

* Sleazy slot huckster Eugene McCain is in the soup again. He has to pay the Commonwealth of Massachusetts $125,000 for concealing the identity of the some of the backers of his would-be Everett slot parlor. McCain, who was also in bed with gamy Shawn Scott, created “pass-through” accounts that three of his supporters used to help fund the campaign. McCain isn’t talking but the Commonwealth said, “According to the agreement, the committee accepted and disclosed contributions to support the question from Capital Productions, a company that registered in Delaware on Sept. 28, 2015. The committee knew that the contributions from Capital Productions actually originated with other entities and individuals. The total that was channeled to Capital Productions to disguise the true source of the funds was approximately $1.6 million.” Everett dodged a stink bomb when it gave McCain the heave-ho.

* New Jersey has gained an ally in its fight for sports betting. In Michigan, Rep. Robert Kosowski has introduced legislation to void the Bradley Act and permit wagering on sports. “All we’re doing right now is keeping illegal bookmaking happening in our state when we could regulate it. We could help people if they have problems when they gamble. They’re going to do it anyway, why not have people watching over it? I actually think the federal government will change something in the near future. I bang the drum of saying ‘Why is it legal to do in Vegas, why could Oregon have parlay cards? What made them so special?’ It should be equal everywhere. Are we going to do it next month? No but maybe next year,” Kosowski told Global Gaming Business. Unfortunately, there is no companion bill in the state Senate, so Kosowski’s going to have go it alone and hope that logic eventually prevails.

* Up until now, Steve Wynn has had to chafe at being in the oversize shadow cast by Sheldon Adelson in the political sphere. That may change now that Wynn has been tentatively tapped to head the Republican Financial Committee‘s 2018 money raising push, making him Donald Trump‘s #1 rainmaker. Guess Trump will have to rethink his former tagging of Wynn as “an underachiever.” Speaking of which, have you noticed that Wynn Paradise Park is beginning to look a LOT like everything else Steve Wynn has built since leaving Mirage Resorts? Has his well of ideas run dry?

* While Tokyo had been regarded a front-runner for a casino megaresort, height restrictions and construction involved with the 2020 Olympics stand to render the city an also-ran. MGM Resorts International, which had been banking heavily on Tokyo, may want to look to Osaka instead before Sheldon Adelson gets deeply entrenched there.

This entry was posted in Architecture, Delaware, Donald Trump, Election, Georgia, Japan, Massachusetts, MGM Mirage, Penn National, Politics, Regulation, Sheldon Adelson, South Carolina, Sports, Steve Wynn, Taxes, The Strip. Bookmark the permalink.