Casinos’ community involvement role debated

David Strow

Wednesday, July 12, 2000 | 10:32 a.m.

The role of the gaming industry in giving back to its communities was a point of debate during the Urban Chamber's national convention in Las Vegas last week.

The topic was at the top of some Las Vegas black leaders' minds, particularly after MGM MIRAGE turned down a proposal by the NAACP to invest $100 million over the next five years in the struggling, heavily black community of west Las Vegas.

"The Indians call gaming the new buffalo," said Chuck Bremer, former executive director of the National Black Caucus of State Legislators. "The new buffalo hasn't done a lot to advance (black) communities. ($100 million) is not a lot of money for total development, but it's a hell of a good start.

"If now is not the time, then when is? I don't know a better time to start than when it's a time of plenty."

MGM MIRAGE officials explained that the company faced a balancing act -- how to balance its fiduciary responsibility as a company with its desire to be a good corporate citizen.

"Our first priority has always been to our shareholders," said Tony Gladney, vice president of community affairs for MGM MIRAGE. "Our next priority is to our employees. Third, the community comes into play. "You try to do the best you can do with the resources available to you to have the biggest impact you can."

At MGM MIRAGE, some of those programs aimed at employees include a GED program, scholarships, a naturalization program and recruitment programs aimed at recruiting people who are receiving welfare or who are at-risk.

Gladney emphasized that the minority community was a priority for his company.

"We can't back away from these issues .. we need to talk about them," Gladney said. "We have to be out there, interact and find out what the issues are."

Mujahid Ramadan, executive director of Nevada Partners, said MGM MIRAGE has been a good corporate citizen. When Ramadan first began organizing his west Las Vegas job training center, he said, MGM MIRAGE controlling shareholder Kirk Kerkorian was one of its strongest backers.

"Its total cost was $2.5 million, and Mr. Kerkorian bore the majority of that load," Ramadan said.

Some presenters, however, questioned whether the gaming industry had done enough.

"Other cities have the same (social) problems (as Las Vegas), but they don't have the revenue sources to address them that we have," said Sherman Rutledge, executive director of Las Vegas radio station KCEP. "Do it because it's the right thing to do. Do it because you know you're responsible for what's happening out in the streets.

"Las Vegas could fix these problems in the next two weeks if they wanted to. What does that tell you?"

One solution, Rutledge suggested, was to require casino operators to put up a "community bond" whenever they built a new property. Funds from these bonds would go toward community efforts.

"If they can put up $900 million to fund a casino, why not put up a $3-4 million community bond?" Rutledge said.

But Helena Garcia, former executive director of Camino Al Futuro, a Las Vegas life skills center for Hispanics, appealed to black leaders not to break away from the rest of the minority community in its efforts.

"I wasn't too pleased with (the NAACP proposal), because it excluded every community but the black community," Garcia said. "I was disturbed by that. If we're going to be a force, we need to pull together as a minority community.

"We need to stand up together as minorities and say, 'We're not going to take this anymore.' I know how much stronger we can be if we're united."