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Mega Casinos’ First Hearing

November 16th, 2011 by Mike Vasilinda

Three of the world’s largest casino operators testified today that Florida could reap millions from allowing destination casino and convention resorts, although as Mike Vasilinda tells us one of the most enthusiastic operators called for a slow approach to expanded gaming.

This is what a two billion-dollar convention and casino would look like, according to Genting, the largest gaming operator in the world. Legislation being considered would create three such casinos. Colin Au, CEO of the gaming giant, used blunt language to brush back claims that casino expansion would cost the state jobs.

“That’s bull****. 95 percent would be from Miami-Dade and Broward,” Au said.

Two other gaming giants, MGM and Sands, as well as two unions agreed on job creation.

“There will be thousands jobs for construction workers,” Alan Feldman with MGM Resorts said. “That will be followed very closely by thousands more permanent, both direct and indirect, jobs.”

But existing South Florida dog and horse track casinos told lawmakers they could not survive without the same low tax rate as a mega gaming house.

“There’s going to be normal cannibalization when new gaming product comes into a market,” Don Mitchell with the Isle of Capri Casino said.

And one casino operator, Sands, suggested that three mega casinos are unsustainable.

“Our suggestion would be that they should start with one now and incentivize the maximum investment from a company, and then take it slow,” Andy Abboud with the Sands Corporation said.

No vote was taken.

Those counting the votes say the biggest problem was going to be in the Florida House. Making expanded gambling this year anything but a sure bet.

Only the Florida Restaurant Association came to the hearing to say no to expanded gambling. A Seminole Tribe representative was also there but did not speak. The latest gaming plan likely violates the states compact with the tribe and could result in the tribe cancelling payments.

Posted in Gambling, Legislature, State Budget, State News | 2 Comments »

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