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Is Galveston Ready for Casinos?

Posted on September 2nd, 2010

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A survey about casinos was conducted by the Chamber of Commerce of the town of Galveston in Texas, and the results have been released just this week. The survey showed more than ¾, or 79 percent of the survey’s respondents, which are business owners, said that casinos would give a boost to local business and industry. The local economy is currently depending on very few industries these days, tourism being the biggest source of revenue. The industry is now in ruins as well, after hurricane Ike nearly destroyed all facilities in the area. The city has since then been greatly affected and recent tallies in Wall Street have dubbed Galveston as one of the “dead cities” in the country. Thus, the need to give the place a boost, hence the arrival of high rollers,will be welcomed by most locals.

More than two thirds of the businesses in the area think that allowing gambling in Galveston would bring a boost in sales resulting in bigger revenues. Victor Pierson of the Galveston Chamber of Commerce has been quoted in saying that adding a casino will be a good crowd drawer to the island. He adds, “I think [casinos] would be a net benefit for the community from the tax perspective, be a nice shot in the arm for businesses.” In this case, Galveston will have to play and compete with other states and cities within Texas. As there are no casinos in Galveston, many believe it has become a disadvantage that there is no such attraction in the island-city. Many people from the South have noticed that Texans have been spending a lot of money in casinos in other states, thus not allowing the state to profit from this trend. An observer from Louisiana remarks that three out of four vehicles in Shreveport casino parking garages are from Texas. Another tourist from Houston added that places that have gambling facilities seem to have bustling tourism.

Every year, at least one group in the Galveston area has been pushing for legislature to make gambling legal. Every year, they fail. This year, though, it seems that this movement is gaining more momentum than ever. Pierson points out that the biggest factor that may be helping the cause is the fact that the state is facing very serious budget concerns, and that revenue that will come from casino gambling is supposed to be one feasible opportunity to have the deficit decreased. With the 76 percent of businesses agreeing to a casino though, the survey also points out that there is the minority of 21 percent that absolutely does not want to have a casino constructed in the area. Pierson says that the fear of this group may grow from the fact that they may not be able to compete with a big establishment such as a casino. Pierson may seem to insinuate that opposition to the casino project stems from small businesses, which pro-casino groups may have to take into consideration. That fear may be abated as there are tourists who say that despite the casino’s promised opening, they would still want to support the area’s smaller business such as shops and restaurants.

As for the population, the sentiment is still unknown. Referendums regarding casinos for the past years have declared an anti-casino sentiment. As it has already researched on businesses, the chamber says that it will now focus its attention on individuals, and gives itself until February to see if the population is for gambling or not, which in turn, can make them decide whether they would support the push for gambling. The session of the legislature, which will be its 82nd, will commence in January and will likely discuss gambling. Many observers think that a vote on a bill on gambling legalization will be taken up by that time. But even if the legislature does pass a law allowing gambling in Texas, it would still take a lot of time, most probably years before Texans and visitors alike would finally see a built casino in the Lone Star State. Aside from the legislature, a constitutional amendment, a popular vote statewide and local action in the area where the casino will be put are still some of the actions required.