Grand Casino Inc. has option on race track in Louisiana

Wednesday, Oct. 8, 1997 | 10:46 a.m.

The option, however, is not contingent on Calcasieu Parish voters approving slot machines, said Jaye Snyder, Grand Casino's director of communications.

"We do have an option to buy the Delta Downs facility or enter into a joint venture agreement with the current owners. I cannot confirm or deny any money figures," she said.

Grand Casino manages the 142,000-square-foot Coushatta Indian casino near Kinder, which opened Jan. 16, 1995. It has more than 2,200 slot machines.

Riverboat officials have said putting 1,000 slots at the track could generate as much as $200,000 a day or $73 million a year.

Asked if the sale was dependent on the outcome of the Oct. 18 referendum, she said, "No, it's not. We are not saying we would go forward with it. We are saying we could."

Jim Grundy, a spokesman for Delta Downs, said Tuesday the track "has never denied the fact that we needed to team up with somebody to get this project put together."

He noted Lee Berwick, Delta Downs owner, was asked by the Calcasieu Parish Police Jury if he would consider selling the track if someone gave him $45 million. "He told him, 'I'm not a damn fool,"' said Grundy. "We have never denied that."

Grundy said the Grand Casino option does not contradict statements made by the racetrack in campaign fliers sent by Delta Downs to Calcasieu voters.

One of them reads: "Delta Downs is a locally owned business that wants the opportunity to compete with out-of-state owned riverboats." It adds: "Let's be fair to the Calcasieu owners of Delta Downs - allow them to compete with the millionaire owners of the riverboats."

"Mr. Berwick did make it clear that we would not sell this to a non-taxpaying entity. Grand only manages the casino for the Coushattas," Grundy said.

He also made it clear that he would not negotiate with anyone who would discontinue horse racing there, Grundy said.

"The law is quite clear. You cannot have slot machines without live horse racing."

Grundy said the racetrack hasn't taken any money from Grand Casino to help in its election effort.

"We have cashed in treasury notes and everything else of our own money," Grundy said.

A recent campaign finance report filed in Baton Rouge by the racetrack shows it spent $215,463 from July 29 through Sept. 8. All of this money came from the racetrack itself, according to the report. It listed no outside contributions.

Figures obtained by the Lake Charles American Press show that Grand Casino Coushatta generated nearly $90 million in the first six months of this year. The company gets 40 percent of gross profits under its agreement with the Coushatta tribe.