The city of Joliet, Illinois recently filed claims on estimated monthly tax losses of $1.3 million resulting from the closures of Hollywood Casino and Harrah’s Casinos due to the Covid-19 pandemic. The city has business loss insurance on the two casinos, which it purchased to cover the loss of tax revenue when the then-Empress Casino burned down in 2009.
At a recent city council meeting, Finance Director James Ghedotte said the city took out the insurance mainly over concern that property damage, like the former casino fire, could cut into revenue. “Will this insurance cover a pandemic or a natural emergency? Most experts say no,” Ghedotte said. However, he said the city will continue to pursue the claims. “This is going to take a while to play out,” he noted.
Interim City Manager Steve Jones said he has spoken with officials in other Illinois municipalities that have business loss insurance on their casinos. “They’re all awaiting the dispensation of their claims. We all have to see what the insurance world says about this particular loss and whether it’s covered,” Jones said.
