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Wampanoags May Already Be Assured Of A Casino License

Posted on June 6th, 2010

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The Senate drafted a bill this week which deviated from the House-approved bill sponsored by House Speaker Robert DeLeo, but concurred with Gov. Deval Patrick’s House-rejected 2007 proposal of allowing three resort casinos but not slots at the state’s racetracks.

The Senate proposal calls for a competitive bidding process for the licensing of the three casinos whose locations would be spread out across the east, west and southeast of the state of Massachusetts. But the bill also provides that one casino would go to the Mashpee Wampanoag Tribe that is planning to construct an integrated casino complex on a 300-acre property off Route 24 in the city of Fall River.

The bill’s stipulation is almost like giving the license to the Wampanoags on a silver platter, and since the proposed site is on the southeast part of the state, the two companies, the Northeast Resorts of East Longmeadow and New York-based KG Urban Enterprises, that are competing for a license to build in neighbouring New Bedford may not be given the chance to bid.

Clyde W. Barrow, head of the UMass Dartmouth Center for Policy Analysis which studies gambling activities in New England, says that the way things look, it is not a “preference” for the tribe in a bidding process, but it’s already a “guarantee.” The bill seems to secure the area and the license for the Wampanoags.

The Mashpee Wampanoags, with the blessing of the city mayor of Fall River, has proposed to develop a resort-style casino complex that would hold three hotels, convention facilities, a shopping mall and a spa on a land initially reserved for a biotechnology plant for UMass Dartmouth.

Legislators say that the Senate proposal has just been presented in a caucus, and before it can be implemented it still has to go through a series of obstacles like public hearings, debates, conference committee and approval from the governor. Senate President Therese Murray said after stepping out of the caucus they will elaborate on the details of the bill after public hearing on the bill has been conducted Tuesday.

Sen. Mark C.W. Montigny, D-New Bedford said that things have not yet been settled, but nevertheless vowed to do everything in his power to make sure that one city will not have the exclusive privilege of having a casino and the biotech park should the proposed bill be adopted.

Rep. Robert Koczera, D-New Bedford, said he still does not have sufficient information about the license for the tribe, but he said there would be no problem if the bidding process was done fairly. Officials of Northeast Resorts, one of the competing developers in New Bedford did not provide any comment on the issue, but John Toohey, spokesman for KG Urban Enterprises, the rival developer said equal opportunity must be provided to all concerned, otherwise it is the people who will lose.

Sen. Stanley Rosenberg, D-Amherst, who helped draft the bill, said only the Wampanoags would be given a license because the other federally recognized tribe in the state, the Aquinnah, agreed to relinquish any gaming rights when they signed a land settlement agreement in the ‘80s, as has been gathered by a legal investigation. But the chairwoman of Aquinnah Gaming Corp. Naomi Carney denied Rosenberg’s statement and said the tribe is proceeding with its plan for a casino in Fall River.

In Western Massachusetts, only the Mohegans have presented a proposal. They intend to construct a facility in Palmer not as a tribe but as private developers. The Mohegans, a federally recognized Indian tribe, operate the Mohegan Sun in Connecticut. Their plan in Palmer is for a $600 million casino having 3,000 slot machines and a hotel and a theatre that could seat 2,500.

License for an Eastern Massachusetts casino has two interested developers competing. One is the Crossroads in Milford, off Interstate 495, a proposed project of David Nunes and Warner Gaming which consists of a 267,000 square-foot casino, a hotel with 250 rooms, retail outlets and restaurants put together on a 26-acre lot. The other is a resort-style mega-complex casino proposed by the two tracks Suffolk Downs and Wonderland Greyhound Park which decided to form a partnership instead of competing with each other for a license.