Las Vegas Sun

March 28, 2024

Natchez trying to break gaming fund habit

At the time the city's gambling fund was put in place in 1993, the mayor and aldermen intended to use the money for capital improvements. Over the years, Natchez has fallen back on the fund to cover other shortfalls.

Smith said a recent hiring freeze on city employees and a probable across-the-board budget cut will help safeguard the fund derived from revenues of the city's only casino, the Isle of Capri. The gambling barge was formerly known as the Lady Luck Casino.

Every month, the state puts 3.2 percent of the casino's revenues into the fund, City Clerk Donnie Holloway said.

Last year, the fund received more than $1.12 million on top of the existing balance of $624,014, according to a Sept. 22 gaming fund summary.

After loans and transfers to other funds and financing a few capital projects, the fund was left with $369,864 when the fiscal year ended Sept. 30.

More than a third of the money taken from the fund - $502,670 - repaid loans elsewhere, including the city treasury, employee hospital insurance and the recreation department.

Holloway said money will be returned to the fund as it becomes available.

"We're trying to build it back up," he said.

The city shares about a third of its casino take with Adams County - an amount that totaled $365,647 last year.

Alderwoman Sue Stedman said the gaming fund is not viewed as a dependable source of income.

"It generally runs a certain amount per month, but the casino may decide tomorrow to shut down or pick up and move, and then we'd be out of that money," Stedman said.

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