Communities in Chicago’s south suburbs are moving forward with proposals that could result in a casino license. The communities are among the six Illinois municipalities that could receive casino licenses as part of Governor J.B. Pritzker’s massive gambling expansion bill.
In a 6-3 vote, the Waukegan city council rejected—for the second time—a proposal for the Potawatomi Waukegan Casino at Fountain Square. Three other proposals–from Full House Resorts, North Point Casino and Rivers Casino–were sent to the Illinois Gaming Board for certification, Mayor Sam Cunningham said.
Potawatomi officials said the city violated the Open Meetings Act by not allowing public comment when the first vote was taken. Also, tribal officials said a consultant’s report included several inaccuracies about the Potawatomi proposal.
Forest County Potawatomi Attorney General Jeff Crawford said, “There’s still no explanation how we got ranked fourth. It appears the two proposals that promise the smallest number of jobs and the lowest economic impact on the city are ranked No. 1 and 2, and there’s absolutely no explanation for how that was done. It’s shocking to see the Potawatomi bid ranked at the bottom, especially considering one of the applicants has never operated a casino in their life.”
Crawford added the consultant also left out certain “material aspects” of the tribe’s bid, including giving Waukegan an additional 2 percent share of the casino’s gross receipts above $200 million and 3 percent above $300 million, plus charitable contributions of at least $20 million.
Crawford noted Potawatomi’s proposal included the most new jobs– 2,600—and the greatest potential economic impact for the city. However, Potawatomi was downgraded for offering $5.6 million, the lowest bid on the land targeted for the casino; top-ranked Full House offered the most, $30 million.
So the council held a second vote, but the tribe picked up just one vote. Potawatomi spokesman George Ermert said the tribe will re-evaluate its options.
Waukegan City Attorney Bob Long said, “Our consultant was very careful in his analysis and their offers were, in fact, pretty vague. While that might be understandable since each of them didn’t want to commit to spending a lot more than the competition, they’re now trying to improve on their offers or clarify the vagueness.”
North Point is led by former state Senator Michael Bond, whose video gambling firm Tap Room Gaming spent thousands of dollars on Waukegan elections. The Waukegan council also voted to forward the bid from Chicago casino magnate Neil Bluhm’s Rush Street Gaming and Louisville-based Churchill Downs Inc., owners of Rivers Casino in Des Plaines.
In Rockford, the city council recently voted to advance to the Illinois Gaming Board the $310 million proposal from Hard Rock International, in partnership with Rockford Casino Development LLC. It would include a 65,000 square foot casino, a Hard Rock Café and a 1,600-seat Hard Rock Live venue, located at the former Clock Tower Resort. The casino would feature 1,500 slot machines and 55 table games.
The proposal does not include a live poker room. Rockford Charitable Games Association President Jim Kasputis said, “Right now, a casino in Illinois can only have 2,000 gaming positions, and a poker table is 10 positions. You need to give up 10 slot machines to have one poker table. The math is not good. A casino is going to make more money with 10 slot machines.”
The city council in Calumet City, less than two miles from the Indiana border, recently voted to endorse Delaware North’s proposed $275 million, 150,000 square foot Southland Live casino and entertainment venue. The facility would offer a gaming floor with 1,200 slot machines and 35 table games, a music venue, restaurants and lounges and eventually an 18-story, 200-room hotel.
An adjacent 200-room, 18-story hotel would be built three years after the Calumet City casino opens, according to the plans.
Timothy Hughes, Southland Live Casino project manager, said, “Southland Live Casino will fulfill a longstanding goal of establishing a south suburban casino to provide an economic infusion for a predominantly minority community.”
Osi Imomoh, Delaware North regional general manager, added, “Southland Live will be a world-class entertainment destination unlike anything Illinois has seen while revitalizing an iconic location in the south suburbs. We look forward to submitting our proposal and working closely with the Illinois Gaming Board once again to bring another successful casino operation to Illinois.”
Hughes said if Southland Live wins the license, Delaware North will open a temporary gaming facility within 90 days, creating 300 temporary jobs.
Officials in the village of Lynwood recently approved a resolution the Ho-Chunk tribe’s proposed casino. Phase one would include construction of a temporary casino. Phase two would be building the permanent casino, a 300-room luxury hotel and restaurants and bars. Phase three would include repurposing the temporary casino and adding a 15,000 square foot space for a golf simulator, indoor climbing rock wall, racquetball and pickleball courts. Finally, phase four would include landscaping, boutique outlet store, and an outdoor seating area.
The Danville city council recently unanimously voted to certify Haven Gaming to develop the $232 million Danville Casino and Resort, located south of the Interstate 74 and Lynch Road interchange. Mayor Rickey Williams Junior said, “We’re excited about the opportunity for work for our citizens but also for the revenue that it will bring, and the benefits that it will provide to the community at large. We don’t have any competitors for a 90-mile radius in Danville right now, and even when Terre Haute is built, that’s still about an hour and 15 minutes away from us, if they pass that.”
Williams said the casino is expected to generate $6-$8 million in annual revenue for the city. He said he’d like to use the funds on infrastructure and paying down pension debt for the police and fire departments. Haven Gaming officials said the casino will generate twice as much as Williams’ projection once it’s fully operational.
Upon approval by the Illinois Gaming Board, Haven officials have pledged to donate $3 million to the city and the local Boys and Girls Club.
The Matteson Village board of trustees recently unanimously approved the Choctaw Nation’s plan for a casino operated by the Choctaw Nation of Oklahoma, featuring 2,000 gaming positions, a food hall, 200-room hotel, upscale restaurant and 36,000 square foot convention space. The facility also would include an exhibit on the multicultural history of the area.
Officials said a portion of casino revenue would go toward building a south suburban trauma unit.
Mayor Sheila Chalmers-Currin said, “I believe this project will be an asset not just to Matteson, but to the entire Southland Region. After interviewing multiple casino operators, we felt the team led by the Choctaw Nation provided the best combination of experience, vision, community engagement and a financially feasible plan.”
In Williamson County, the board recently approved a $180 million casino resort at Walker’s Bluff winery, owned by Cynde and David Bunch. Board Chairman Ron Ellis said, “Williamson County, as a result of Senate Bill 690, has a very unique opportunity.” Walker’s Bluff and the county board agreed to the location, governance, revenue sharing and negotiating members for both the temporary and permanent casinos. The Kehl family’s Elite Casino Resorts will manage the venue, Cynde Bunch said. The company also owns Grand Falls Casino Resort in Larchwood, Iowa and Rhythm City Casino Resort in Davenport.
Omar Garcia, chief financial officer for Walker’s Bluff Casino Resort, said annual estimated revenue from the proposed casino would be $63 million. The project will create 1,010 construction jobs and 330 permanent jobs. Annual tax revenue is projected to be $4.2 million.
The project design by Mohammed Lawal of Minneapolis-based Lawal Scott Erickson Architects also incorporates several environmental and sustainability goals, such as storm water storage, use of indigenous plants and geothermal heating and cooling systems. “It is designed to connect natural elements with an upscale design,” Lawal said.
Finally, since Pritzker’s administration recently ended developer Rick Heidner’s plans for a Tinley Park racino, Country Club Hills officials have moved forward with a casino plan of their own. Mayor James Ford said, “When the racino got pulled off the table, we decided to go for the casino. We weren’t going to go for it if the racino was going to happen in Tinley Park, with us being next door. We’ve been down this road before. Our land is totally undeveloped. It’s there, and we’re ready to go.” The New York-based Spreads Group is leading the Country Club Hills effort.
Developers have until the end of the month to submit proposals to the Illinois Gaming Board, which can take up to one year to make its final selections.
