Massachusetts Lawmakers Reach Casino Agreement

Massachusetts lawmakers have agreed to a deal in which the state could be home to up to four casinos. The agreement was reached after private meetings between Governor Deval Patrick and the leaders of the State House and state Senate.

Under the deal, the state would allow casinos to be placed in three designated regions. These casinos would be full-service, “Las Vegas-style” gambling resort centers, with the full variety of gambling options available for players. In addition, a fourth facility – a slot parlor that would be allowed to have up to 1,250 machines – could be built anywhere in the state.

According to those who have been pushing for casino gambling in Massachusetts, the deal would allow the state to raise new revenues and provide jobs for many of the state’s unemployed residents. Under the agreement, the casinos would each have to pay the state 25% of their revenues, while the slot parlor would give 40% to the state, and an additional 9% to a fund for the horse-racing industry.

The terms of the deal would also provide some up front revenues for the state. Each casino license would be auctioned for a minimum of $85 million, while the slot parlor license would have a minimum bid of $25 million. In addition, each developer would have to meet a minimum investment threshold -- $500 million for the casinos, and $125 million for the slot parlor.

Critics of the casino agreement see it as a revenue stream that primarily impacts the poor and gambling addicts, and have criticized the closed-door nature of the agreement. Supporters have combated those criticisms by pointing out that up to 10,000 jobs could be created as a result of the casinos being built, and say that the private meetings avoided another public battle over legalized casino gambling.

While the casino deal does appear to have broad support, it will still need to pass both houses of the Massachusetts legislature before going into law. In addition, local communities would have to approve a ballot referendum before a casino would be allowed to be built in their area.