Indian casino factor

By , May 28, 2010 7:32 am

I’ve been meaning to comment on this Globe article:


A fight over Indian rights is reemerging as a central issue in the Massachusetts gambling debate, as the uncertain legal status of the Wampanoags is thwarting efforts to control how many casinos get built and how much to charge for the coveted licenses.
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The major stumbling block concerns a measure in Congress that would allow tribes to build casinos on so-called sovereign land that would be outside the control of state regulators. The bill is intended to reverse a US Supreme Court ruling last year that blocked some tribes, including those in Massachusetts, from putting land outside their reservations into trust in order to run a casino.


First of all, the possibility of sovereign lands is slim at this point and the possibility of tribal casinos even slimmer. I also have major issue with the way licensing fees are structured in the casino bills that have been floated so far. They mostly call for fairly large initial licensing fees – on the order of a couple of hundred million dollars – followed by renewal fees that are quite small. That gives the state an artificial one-time infusion of cash, that will get squandered and create budget crisis the following year when it disappears.
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The solution is simple. If the indian-casino factor is making it difficult to calculated license fees, change the fee from a one-time bulk payment to a yearly fee that can be raised or lowered depending on market factors. In the extremely unlikely event that we ever have sovereign indian casinos, the license fees can be lowered dramatically and issued to more facilities saturating the market.
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It’s rather disheartening to see the state so uninformed on the indian casino factor. It is also annoying to see the mindless chanting of the casino mantra of jobs, jobs, jobs, recapture, jobs, jobs. Massachusetts is pulling a Middleboro – an uniformed rush job.

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