A bipartisan group of Connecticut legislators has put together a compromise casino bill that they hope will pave the way for sports betting and a tribal casino in Bridgeport, the state’s largest city.
The proposed Connecticut Jobs and Revenue Act would require the Pequot and Mohegan tribes to commit to spending at least $100 million on a casino and entertainment venue around which private development would be encouraged.
The tribes would be guaranteed exclusive rights to offer sports betting at Foxwoods and the Mohegan Sun, and through mobile wagering platforms.
Senator Cathy Osten, a strong supporter of the gaming tribes, told the Associated Press, “We all are very interested in growing Connecticut jobs and Connecticut revenue and we believe that by working together we can do the best that we can for the state of Connecticut.”
The senator predicted that the state’s third casino would create jobs through an entertainment zone in Hartford and two other parts of the state where sports betting would be allowed under the tribal banner.
The bipartisan group, whose member come from both chambers of the legislature, are expected to ask Governor Ned Lamont to call a special session to address their proposal. If that doesn’t happen, the next session begins in February.
Rep. Christopher Rosario of Bridgeport declared in a statement, “By investing in our cities, we can create new destinations that will spur additional development and create not only jobs but also vibrant urban centers. I’m proud to support this bill and urge other elected leaders to join the fight.”
Lamont says he worries that such a bill would draw legal challenge from MGM Resorts International, which has stubbornly fought any and all expansion of the two tribal casinos without allowing a bidding process in which MGM could compete.
Lamont commented, “I’ve got to see where all the players are on this because if this gets stuck in the legal muck, like it’s been for the last five years, we’re not going to show any progress.”
Like his predecessor, Lamont has been negotiating with the tribes and other interests to try to craft a bill that allows the tribes to expand, while satisfying the aspirations of Bridgeport lawmakers for a casino.
He indicated his displeasure about not being consulted on this latest project, commenting, “A matter of such significance requires substantial involvement from multiple stakeholders, in particular the executive branch.”
Two years ago, MGM proposed a $650 million casino resort along the Bridgeport waterfront. It argued that it would pay the state more money in taxes than it would lose if it violated the tribal state gaming compacts.
Last year the city’s delegation to the legislature pushed for tossing aside the tribal state gaming compacts that grant the tribes exclusive gaming rights in return for 25 percent of all slot profits and allowing commercial interests such as MGM the chance to compete. Last year the tribes paid the state about $253 million.
The bill would not require that the tribes give up their joint East Windsor satellite Tribal Winds Casino, which they are building as a direct challenge to the $950 million MGM Springfield about 14 miles away in Massachusetts.
Under the new plan, the tribes would pay 10 percent of table revenues from the new casino to a tourism marketing fund; another share would be directed toward Hartford, New Haven and Waterbury. There would be an 8 percent tax on sports betting and 10 percent tax on internet gaming.
Finally, the bill would launch the Connecticut Lottery into the high-tech world by allowing it to sell lottery tickets online as well as sell online Keno.
Rodney Butler, chairman of the Mashantucket Pequot Tribal Nation, and James Gessner, interim chairman of the Mohegan Tribe, both said they are “extremely grateful” for the support. “We’ve long believed that the best way forward for the state is to protect and preserve the historic partnership with our two tribes, one that’s generated more than $8 billion in revenue for Connecticut.”
If Lamont signs any legislation that gives the tribes exclusivity, it’s almost a certainty that MGM Resorts will challenge it with a lawsuit.
