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Maine Racino Proposal Gets Another Push

Posted on April 8th, 2011

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The debate for expanded gambling in the state took a step forward as gambling supporters, today, laid forth their arguments in support of allowing more casinos to operate in the state. The arguments were made in favor LD 1203 that seeks to amend state law that prohibits the addition of slot machines on racetracks. The citizen-initiated bill will, upon approval, combine racetracks and slots into racinos and would put one of these facilities at both ends of the state. “The essence of the bill is to allow a fully-integrated harness racing and slot facility in Biddeford Maine, and in Calais, Maine,” said Peter Connell who represents Ocean Properties, the company that wants to operate one of those two proposed facilities. Ocean Properties currently owns the Samoset Resort in Rockland and plans to invest up to $125 million for a racino facility in Biddeford to the west of the Main Turnpike.

Ocean Properties is working with Scarborough Downs racetrack in the bid to raise the racino complex on 85-acres of land within Biddeford limits. Scarborough Downs is one of the licensed racetrack facilities in the state. The biggest snag in the plan is that state laws will have to be amended to accommodate the plan. Explains Connell, Biddeford residents already ratified the racino proposal back in December and an even early referendum mandating the construction of 2 racino facilities statewide was approved in 2003. Since that referendum was completed, only the Hollywood slots at Bangor, Maine was put up which means the state should have one more to satisfy the citizen’s mandate.

After clearing approval processes, Connell is confident that the facility can be completed and operated in 18 months time. “A grand hotel, entertainment, dining – it’s going to be a resort, entirely different from any of the other projects,” said Connell boasting of the facility’s proposed amenities and attractions. “It will create a minimum of 800 construction jobs immediately, and 500 full-time jobs when it’s operational.” Given how hard the economic crisis has hit Maine, Connell stresses the need of the state for new jobs to be creative. In particular, Biddeford and the towns to the northeast desperately need it more than others. Adds Joseph Socobasin, the Passamaquoddy Chief of Indian Township 4 hours from Biddeford, “We need the jobs. It’s always been about creating jobs in Washington County.”

With LD 1203, Socobasin believes job creation needs can be properly serviced. LD 1203 stipulates the construction of another casino, preferably under the auspices of a willing Indian tribe, at Calais, very close to the Canadian border. In this area, the unemployment rate is a staggering 50 percent; for the whole of Washington County that number drops down to 13 percent but that is still high. This is not the first time that Maine is looking at putting up Indian-owned casinos in Washington County. In 2007, a similar proposal was vetoed by then Gov. John Baldacci and was sent for a statewide referendum. The proposal was subsequently defeated. With the changes contained in LD 1203, Socobasin hopes that approval will be possible this time around. As a centerpiece, the new version includes an all-weather racetrack that could lure in more visitors all year round.

Another argument to support the proposal centers on the need of the equine industry to continue finding a steady “consumer” of horses. Today, this is valued at $91 million and not propping up the Biddeford and Calais proposals can severely cripple horse raising in the state. Opponents argue on the basis of moral reasons and that the proposals are “not economically viable.” Anti-gambling lobbyist Dennis Bailey points to the steady decline of harness racing despite the construction of Hollywood Slots in 2005. “The number of people attending harness racing events and betting on harness racing continues to go down, down, down year after year, despite the money they’re getting from Hollywood Slots,” said Bailey. “And Scarborough Downs is getting money from Hollywood Slots as well, so it’s hasn’t saved the industry.”

A signature campaign by racino supporters generated more than 76,000 supporters. The measure is expected to face a new round of voter scrutiny before a referendum in November. Supporters hope this time around, the proposal goes through.