Salisbury voters could decide the future of casinos in Massachusetts

Tuesday, May 9, 2000 | 4:36 a.m.

Voters in this once-bustling town were going to the polls today to decide whether to allow a $350 million casino in its decaying commercial district.

Although the referendum is not binding on public officials, State Sen. James P. Jejuna, D-Methuen, promised that if voters rejected the proposal, he would stop pushing for his bill which would allow three casinos statewide. There are currently none.

The Salisbury vote is actually the third time the town has weighed-in on the issue. A 1991 referendum approved a casino, but a Town Meeting vote later that year rejected it. Town Meeting reversed itself in 1994 and approved casino gambling.

Since then, Jajuga has been submitting a bill to allow three casinos statewide - one in Salisbury and one each in Hampden and Bristol counties. Jajuga said his legislation is the only way to remain competitive with states that allow casinos.

A study commissioned by a pro-casino business group found that Massachusetts residents spend $620 million on casino gambling per year, but Jajuga believes the number is much higher.

"We're going to have to address this issue sooner or later," Jajuga said, and added that it might as well be in Salisbury, which needs the casino to recreate itself.

"People used to come from all over the northeast to have fun in Salisbury," said Jajuga, who owns a summer home at the beach. "If handled appropriately, we think that could happen again."

Once a bustling resort community, Salisbury is home to an increasing number of vacant or decaying storefronts and empty lots.

Klima said he believes the casino proposal partly is to blame for the poor state of the commercial districts.

In 1997, Harveys Casino Resorts of Nevada unveiled its plans for a Victorian-style casino. The company spent about $1 million buying options to properties in the commercial district, and another $1 million in lobbying state legislators.

Since Harveys purchased its options, business owners have had no incentive to improve their property, Klima said. Some owners have even razed structures to reduce their tax burden, Klima said.

Harveys says a casino would add $10.1 million to the $8 million in taxes the town now collects, although Klima disputes that number. Harveys envisions a complex with a 1,000-room hotel, a 1,500-seat theater, a cabaret lounge and a health club. Shops and restaurants would lease space from Harveys along the beach.

The company's plans include an amusement park completely enclosed in glass so it can be used year-round.