Hoosiers worry casino’s location will hurt industry

Monday, June 5, 2000 | 8:25 a.m.

Gaming experts say the arrival of a third riverboat casino in southeastern Indiana will not harm the gambling industry, but area residents are worried the Belterra will create fierce competition among employers already strapped for reliable workers.

The Belterra is slated to open in August near the Markland Dam in Switzerland County, south of two casinos already established along the Ohio River.

The Argosy docks at Lawrenceburg and the Grand Victoria docks at Rising Sun.

Experts told the Indiana Gaming Commission there are enough bettors to keep three riverboats afloat in the Cincinnati market.

"They're going to generate the market. ... There'll be ads in the newspapers, on radio and TV and billboards," said William Thompson, a gambling expert and professor at University of Nevada-Las Vegas. "Casinos don't care where the gamblers come from."

And it seems the three boats will vie more fiercely for employees than for customers.

"A lot of people I know working for Argosy and 'Grand Vic' are going to transfer down there, to Belterra," said Terri Devers, owner of Jack's Place restaurant in Rising Sun.

Combined, the three casinos will have at least 5,000 employees - and Argosy alone could employ Ohio County's entire work force of 2,300.

The area's unemployment rate hovers around 3.4 percent - the Nine West Group Inc. shoe factory closed last fall, bringing Switzerland County's unemployment rate to an unusually high 10.5 percent, but it was at about 5 percent one year ago.

And history shows area residents aren't afraid to commute for jobs.

At least 16,000 workers travel daily either to or from the boat counties of Dearborn, Ohio, and Switzerland, according to the 1990 census.

That means nearly three of four residents cross those counties' lines to find work - something that only one in four Hoosiers does statewide.

The 2000 census is expected to show an increase in commuting.

Small-business owners already feel Belterra's weight as employees jump ship, looking for better wages and benefits.

"I just lost one waitress to Belterra the other day," Devers said. "And that's in spite of the drive."

Some employers west of Switzerland County, in Jefferson County, are on red alert.

"Belterra will give me more business, but the problem is low unemployment," says restaurant manager Scott Koerner. "Good employees are scarce. Every day, you go by windows with help-wanted signs."

Koerner runs Madison's Key West Shrimp House. His servers rely on tips to beef up their $2.65 hourly pay, which he expects Belterra to beat.

UNLV law professor Shannon Bybee said housing is the key to attracting workers. While some employees might tolerate long commutes, others eventually will want to move closer to work, he said.

The 9,000 people of Switzerland County know new businesses will bring change.

Mark McNair, who runs the Belmark Inn, a bed-and-breakfast in Vevay, hopes the community will become less isolated.

"If your family hasn't lived here for generations, you're an out-of-towner. I know a guy who's been here for 20 years, but he's still an out-of-towner."

McNair looks forward to increased traffic through Vevay toward Belterra. Next spring, he'll convert the back of his 150-year-old hotel into two suites, each with a hot tub.

Others are not so excited about the change.

Belterra's 15-story, 308-room hotel all but consumes the nearby riverside town of Florence. When the $55 million riverboat docks, it will hold 3,000 gamblers, 1,400 slot machines and 60 gaming tables. The boat-side pavilion will have five restaurants, and the site also has a golf course.

The promise of $39 million in casino taxes - Switzerland's share is $14 million - isn't enough to convert some of Florence's 120 or so residents.

"Float it on down the river," said Charles Pickett, 62. "I'll keep the money I got."