Maine officials debate Vegas-backed casino

Friday, April 11, 2003 | 11:06 a.m.

SUN STAFF AND WIRE REPORTS

AUGUSTA, Maine -- Proponents of a gambling casino in Maine made their pitch to a legislative panel today at a hearing that many regarded as a mere formality.

The Judiciary Committee session drew a relatively small turnout -- given the depth of public sentiment for and against -- of fewer than 100 people.

And the leadoff witness, Erin Lehane of the Think About It political action committee formed to promote the Penobscot and Passamaquoddy Indian proposal, urged panelists to simply vote against the enabling legislation and thereby speed it on its way to referendum.

"We ask that you vote unanimously ought not to pass, including a note to the House and Senate that this committee believes that this decision -- the largest economic opportunity that Maine has seen in at least 30 years -- this decision should be made by the people of Maine," Lehane said in prepared testimony.

A committee work session on the proposal is slated for April 30.

The Senate chairwoman of the Judiciary Committee, Democrat Peggy Pendleton of Scarborough, shrugged off a suggestion that the outcome of the proposal's treatment by the House and Senate is a foregone conclusion.

"In the Legislature, you just don't know," she said shortly before the hearing got under way.

But citizen initiatives are routinely passed on for statewide voting by lawmakers. And posing a formidable hurdle to legislative enactment of a casino bill is Gov. John Baldacci.

On Thursday night Baldacci spoke at a fund-raiser in Freeport that raised more than $85,000 for an expected fall campaign against the casino proposal.

"There's no such thing as easy money," Baldacci told guests at the event to raise money for the Casinos No! campaign organization.

Previously, Baldacci used his inaugural speech in January to reiterate his opposition to casino gambling.

The Passamaquoddy Tribe and the Penobscot Nation, which want to build the $650 million casino in southern Maine, say it would create hundreds of jobs and promote economic development.

Supporters also say it would generate millions of dollars in state and local taxes.

The Indians advanced their proposal by collecting enough voters' signatures to take it to the Legislature, which must approve the plan or send it to voters.

The Maine casino is backed by Marnell Corrao Associates of Las Vegas, which has spent more than $200,000 in in-kind services for the campaign to legalize the casino.

Marnell Corrao is the general contractor for Steve Wynn's high-profile $2.4 billion Le Reve casino resort under construction on the Las Vegas Strip.

Current projects include a $375 million expansion to the Bellagio, which will include a 925-room tower. Marnell Corrao built the original Bellagio in 1998 for $1.8 billion. Owner Anthony Marnell previously controlled The Rio hotel-casino.

If the tribes are allowed to build the $650 million casino, they will pay Marnell Corrao back for services rendered so far and use the company for construction, architectural and design services, project spokeswoman Erin Lehane said.