In Virginia, the Richmond city council recently gave unanimous consent to plans and contract terms for a casino resort project that will appear on the November 2 ballot. If local voters approve the ballot issue, media conglomerate Urban One will proceed to build a casino resort on property currently owned by Philip Morris USA.
The Washington, D.C.-based Urban One operates several radio stations in the Richmond-area market. It’s partnering with Rosie’s Gaming Emporiums and Colonial Downs racetrack operator Peninsula Pacific Entertainment on the project.
Supporters point to the projected $30 million in annual tax revenue and 1,000-plus jobs the development could create. However, opponents are concerned much of the money will come from people who can least afford to lose it.
If the measure passes, Urban One will provide a $25.5 million upfront payment to the city and $16 million in payments to local nonprofits and government organizations over the next 10 years. In addition, terms include $25 million in advertising for public initiatives at no cost to the city; an annual compensation package averaging $55,000 for casino resort employees; up to $500,000 in reimbursement to the city for consulting fees it paid during the evaluation process; $200,000 annually for problem gambling services; and a 40 percent participation goal for small and minority owned businesses for the facility’s construction and operation. Plans also include a television and radio production studio on-site.
Prior to the vote, Councilwoman Reva Trammell, who represents the area where the casino would be built, urged colleagues and Richmond residents to support the project. She said, “This is a golden opportunity, not just for the South Side and 8th District, but for the city as a whole. Give my people, all of us, a chance.”
Trammell said nearly everyone in her district supports the casino resort. But Quinton Robbins of the social justice advocacy group Richmond for All said that’s not so. He said the organization surveyed residents near the project site and found 45 percent of those individuals opposed it; an additional 25 percent said they were undecided. Robbins stated, “Casino developers have pushed the narrative that South Side residents support the expansion of the gaming industry in their neighborhood. I believe the results are clear: There’s no broad-based neighborhood support for this casino.”
A new state law allows Richmond to allow a casino if a majority of voters approve it in the referendum. Voters in Danville, Norfolk, Portsmouth and Bristol already have approved casinos in those cities.
