New England Public Radio

Hashing Out The Economic Impact Of The Delayed Springfield Casino

Springfield area business leaders are wondering if they’ll ever see the economic impact from a proposed casino project. That’s after the state’s highest court placed a question repealing Massachusetts’ casino law on the November ballot.

The agreement between MGM and Springfield calls for the casino company to buy $50 million in goods each year from local vendors once the casino opens. Jeff Ciuffreda, with the Affiliated Chambers of Commerce of Greater Springfield, says with 3,000 jobs expected to be created, business owners stand to gain in another way.

“The workers at the casino are going to take that money that they earn and go up to places like the Eastfield Mall or go out to the restaurants in Springfield or whatever,” Ciuffreda says.

But Mark Mullan with Citizens Against Casino Gaming says businesses could see a negative impact, as well.

“Are people going to drive downtown to their business if they’ve got to fight traffic? If what I believe is going to be an increase in crime in that downtown area related to the kind of people that are going to go to this casino, is that going to make them go to their business?,” Mullan says.

MGM this week is meeting with vendors who are interested in working with the casino, if the project happens.

Group Calls On Mass. Gaming Commission To Suspend Casino Referendum Votes Statewide

An anti-casino group is calling for the suspension of all casino referendum votes in Massachusetts, including next week’s scheduled vote in Springfield. In letters sent to the Massachusetts Gaming Commission and top elected officials, the group Citizens Against Casino Gaming says it expected to be heavily outspent by MGM and supporters of its proposed casino in Springfield. But Dr. Mark Mullan, the group’s treasurer, says the existing referendum process makes no opportunity for dissenting views to be heard. And that is something he says the Commission needs to provide.
“We believe that people need to hear both sides before they’re able to vote. People still may be in favor of a casino but they clearly have not heard the other side at all.”
Mullan says along with the virtually one-sided coverage by Springfield-area media outlets, the City’s elected officials have failed to provide a forum where voters can hear both sides of the casino issue. And he takes to task Mayor Domenic Sarno for sending out an information packet to voters about next Tuesday’s vote that, unlike other ballot initiatives, includes no opposing summary.
“He can be in favor a casino, and he clearly is, but I think it’s his job as mayor of a city to be sure that both sides are heard. And the fact that he’s doing commercials for this business entity, I just find that an incredible conflict.”
A Gaming Commission spokesperson says its lawyers are currently reviewing the group’s letter, but adds the commission is respectful of the legislature’s intent which establishes local control over the referendum process. A spokesman for Mayor Sarno is declining comment.

 

MGM, Supporters Launch Voter Referendum Campaign For Casino In Springfield

Executives with casino developer MGM Resorts joined Mayor Domenic Sarno today [Wednesday] to kick off their referendum campaign for a casino in Springfield. Voters go to the polls July16th to decide whether or not to approve the host agreement signed by MGM and Sarno, and endorsed by the City Council. MGM’s Kelley Tucky says the campaign will launch a voter information drive on the proposed 800 million dollar resort in the city’s South End
“They should say yes for a lot of reasons. Number one; 3,000 permanent direct jobs, 2,000 construction jobs, and a lot of development monies and tax dollars coming to the city as a result of MGM Springfield coming here.”
Tucky would not disclose how much MGM plans to spend on the campaign, adding that will come later. But she says it will “do whatever it takes without breaking the bank to get their message out”. Michael Kogut of the group Citizens Against Casino Gaming, says he and other opponents expect they will be heavily outspent in the campaign, calling it a David versus Goliath battle.  But he says their grassroots campaign will continue working the trenches to bring out their message to residents and officials that urban casinos rarely deliver on the promises promoters make.
“An urban center like Springfield is not a destination for a resort casino. It’s going to be an urban box-type casino regardless of the type of fanfare that they’ve surrounded with the host agreement. And we just believe it’s going to increase the socio-economic problems they city has.”
The State Gaming Commission will ultimately decide next year whether Springfield, West Springfield or Palmer will get to host western Massachusetts’ sole casino.

 

Anti-Casino Group Forms In Springfield

As Springfield officials continue their plan to select one or more bidders to develop a possible casino in the city, a new group has organized to oppose the effort. The group Citizens Against Casino Gaming filed papers as a municipal ballot question committee with the Springfield Election Commission two weeks ago. Chairman Michael Kogut, a lawyer and nearly 30-year Springfield resident, says the filing allows the committee to solicit donations of any amount, including corporate support, to help educate residents about what he calls the negative effects of siting a casino in Springfield.
“Study after study will show that when gaming comes to town, there’s an up-tick in crime, there’s an up-tick in additional socioeconomic and social ills that an urban center like Springfield suffers. Not to mention traffic and a drain on resources like police and fire.”
Springfield officials have touted a proposed casino as a major catalyst for economic development. Kogut says while he gives Mayor Domenic Sarno credit for proposing a competitive bidding process, he’s not buying the Mayor’s argument that a casino in the city would be a boon to economic development.
“His so-called billion dollar economic plan or economic stimulus for glitz and glitter is not the way to correct the problems the city has.”
City officials say they are not surprised a committee would form in opposition to a casino. Kevin Kennedy is Springfield’s Chief Development Officer.
“I think it will be healthy for the citizens. I mean, there should be both pro and con in any type of election like this. It’s not unanticipated.”
Meanwhile, Kogut says Citizens Against Casino Gaming has filed a request with the city about fees paid to its casino consultant, Shefsky and Froelich. And he says the committee will begin filing requests every month for invoices and expenses until Springfield’s contract with the consultant ends. According to Kogut, state law requires the city to respond within ten days to such a request.