NEW: Mass Casino Poses “Dire” Fiscal Threat To RI
Thursday, September 15, 2011
For Rhode Island, the issue is less murky: more gambling in Massachusetts means less gambling in Rhode Island.
Currently, the state derives around $300 million in tax revenue from casino gambling. According to Clyde Barrow, a professor at Umass Dartmouth who has researched casino gambling, the fiscal impact of expanded gambling in Massachusetts “will be significant, if not, dire for the Ocean State’s taxpayers.”
Barrow told GoLocal that because most out-of-state gamblers are “convenience gamblers” the issue could be especially bleak.
“Massachusetts residents now account for more than half of all visitations to Twin River and Newport Grand, and they almost certainly account for a similar proportion of spending. These are mostly convenience gamblers, who will almost immediately shift their spending to closer gaming venue if one becomes available. Thus, depending on where Massachusetts locates its gaming venues, Rhode Island could lose approximately $100 to $150 million annually in tax revenues that are now generated by its two slot parlors.”
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Comments:
pearl fanch
6:42am on Friday, September 16, 2011
Our past political leaders insisted that they did not want a full fledged casino in the state of RI. The indian tribes proposed it almost every year and it was always shot down by our government every time. We've had outside sources come in and offer to have casino gambling in RI, and again our leaders said no.
Of course, they didn't want these other casino options to mess up the sweet deal the state already had with Twin River and Newport Grande, but nobody was ever going to tell us that.
Now that Mass may get a casino, all of a sudden it's a good thing for RI to have a casino??
RI government has always been, and always will be a complete and utter joke.
How about the fact that the town of Lincoln voted NOT to have expansion at Twin River. It didn't matter, they were awarded the expansion anyway. They were awarded more slot machines, even though they didn't have space in their facility.
The town of Lincoln then voted NOT to have Twin River open 24 hrs a day. Take a guess what happened. You guessed it, they are now open 24 hrs a day.
So what do we take from this???
The people of Lincoln and RI don't mean anything. The state government will do whatever it wants, whenever it wants. So long as the right pockets are being filled.
What a disgrace.
Gary Arnold
11:47am on Friday, September 16, 2011
Yes, the GA will run to gambling as the savior of RI. Gambling is not a growth industry that builds jobs and an infrastructure of businesses. It is a pleasure industry that thrives on people with excess money, gambling compulsion and the false desire to make it out of poverty.
Look at the Grand in New Port, RI is heavily invested in this location which is losing money, which the state supports any short falls. In fact is full casinos are put in RI the deal with the Grand by our legislators in the GA is that the Grand will be guaranteed a minimum revenue even if/when the losses mount up from the new in state competition.
Why not invest in some real job producing businesses that will build RI for the future and provide competitive industry initiatives that will be the new life blood for RI?
What are the odds of gambling investments paying off in RI with bigger and better casinos on all sides of RI, ZERO POINT ZERO.
Take a look at Twin Rivers, it went into bankruptcy so the bankers could take it over, then get the GA to back a funding program to upgrade the facilities, all at the tax payers expense. These are the kind of deals that we will get the shaft for, this is not to the benefit of the tax payers of RI, just some of the politicians, past and present.
Watch out RI, the gangsters are still here and very active as friends and associates of the members of the GA.