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Tribes Pick East Windsor For Possible Third State Casino

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Tribes Pick East Windsor For Possible Third State Casino

A push to expand casino gambling beyond federally recognized tribal reservations in the state will kick into high gear now that the operators of Foxwoods and Mohegan Sun have selected East Windsor as the site of a possible third casino.

But in addition to proposed legislation that would allow the Mashantucket Pequots and Mohegans to jointly operate a casino in the Hartford area, a bill also is being drafted that would open up the process to other potential operators.

"We're going to bring forth two bills," Rep. Joe Verrengia, D-West Hartford and co-chairman of the legislature's public safety and security committee, said Monday. "It's the two sides of the issue."

Verrengia said the bills would be drafted in the next day or so, and he expects public hearings to be scheduled next week. The committee oversees gaming in the state.

A partnership of the Mashantucket Pequots and Mohegans — MMCT Venture — announced Monday it selected the long-vacant Showcase Cinemas property off I-91 after more than a year of evaluating potential sites. MMCT was under pressure to select a site because the deadline for voting on a bill in the public safety committee is March 16 to determine if it will move on to the House and Senate.

Sen. Timothy D. Larson, D-East Hartford, and also co-chairman of the public safety committee, said Monday he believes there is enough support in the legislature to back MMCT's vision to establish a Hartford-area casino.

"I think it's a great step forward," Larson said of the East Windsor selection. "It's important that we save jobs in the state of Connecticut. We've done that in the defense industry — Pratt & Whitney, Electric Boat. Now it's time to do it in the tourism industry."

Supporters of casino expansion frame it as a strategy to respond to the competitive threat of a $950 million casino and entertainment complex in Springfield being built by MGM Resorts International.

A satellite casino, they say, would preserve jobs tied directly and indirectly to the state's gambling industry and guard against the further erosion of slot revenue the state receives monthly from Foxwoods and Mohegan Sun.

Critics say lawmakers in 2015 inappropriately gave MMCT the sole right to pursue a third location. One, MGM, is pursuing a court challenge and along with other opponents argues the process should be opened to more competitors, giving the state more options alongside MMCT's vision.

Last week, the public safety committee held an informational meeting with key players in the expansion debate. After the event, Verrengia said the committee should consider all alternatives, including opening up the process to other potential operators.

"The good news is there is still time for Connecticut to get this right," Uri Clinton, senior vice president and legal counsel for MGM Resorts, said Monday. "As we have been saying for more than a year, the state should scrap the current process and put one in place that is fair, open, transparent and competitive."

The Kent-based Schaghticoke Tribal Nation echoed similar sentiments Monday. MGM bankrolled a similar court challenge against the 2015 law by the Schaghticokes, which has since been withdrawn.

On Saturday, the board of selectmen in East Windsor approved a development agreement with MMCT. The MMCT board approved the agreement Monday and sees a bright future for the casino.

"From the beginning, we've said that we want to site our new facility in a town that's eager to have us," said Rodney Butler, chairman of the Mashantucket Pequot Tribal Nation. "With the unanimous vote by the board of selectmen, East Windsor fits that bill, and we're thrilled to enter a partnership with them."

Local approval was a key requirement for the two towns that had emerged as finalists to host the casino. Windsor Locks pledged to hold a townwide referendum, but East Windsor just needed the backing of the board of selectmen.

East Windsor First Selectman Robert Maynard said Saturday the town reached an agreement with the tribes at noon on Friday. The town hastily called a special selectmen's meeting and public hearing for Saturday because the tribes must now move quickly to seek legislation.

In Windsor Locks, First Selectman Chris Kervick said Monday the town could have held a referendum sooner. MMCT just hadn't made a decision, Kervick said.

Kervick said he got a call from MMCT Monday morning saying Windsor Locks hadn't been chosen.

"What was upsetting to me was the reason," Kervick said. "The primary reason was there didn't appear to be unanimity among town officials. They specifically mentioned the board of finance. It scared them that it appeared to be a partisan issue, Republican versus Democrat."

The development agreement with East Windsor calls for, among other things, a $3 million annual payment on top of $5.5 million in annual property taxes, which together could bring the town $8.5 million in the first years of operation.

Kervick said Windsor Locks' proposal was structured differently than East Windsor's and would have required an $8.25 million annual payment to the town, in addition to other things.

MMCT's selection of a site has stretched out over more than a year and through two rounds of proposals. East Windsor was eliminated in the first round but came back with a new proposal in the second round.

The plans for the old movie theater property call for an investment of about $300 million. The venue would be 200,000 square feet, just slightly larger than the nearby Wal-Mart Supercenter. Half the casino would have a gaming floor and the other half, restaurants, retail, entertainment and offices.

The gaming floor would have 2,000 slot machines and 50 to 150 gaming tables. The entertainment might feature bands but wouldn't be a full-blown arena.

The Springfield venue is expected to open in fall 2018. Initially, MMCT had hoped to open a Hartford-area casino before MGM, but a spokesman said Monday the timeline is still being "evaluated."

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