Bill calls for three casinos, slots at tracks

Steve LeBlanc

Friday, March 7, 2003 | 9:55 a.m.

BOSTON -- Massachusetts would welcome three new resort casinos and license slot machines at the state's four racetracks under a bill filed Thursday by a member of Senate President Robert Travaglini's leadership team.

One of the casinos would be in New Bedford and another in Fall River. A third would be in Hampden County under the 52-page bill sponsored by Sen. Joan Menard, D-Somerset.

The bill would also allow a maximum of 1,000 slot machines at each of the state's two dog tracks and two horse tracks.

The state would collect a license fee of $150 million on each of the three casinos and $50 million on each of the four slot operations for an annual injection of about $650 million into the state's coffers, according to supporters of the bill.

In addition, the state would impose a 17 percent gaming tax on each casino and a 55 percent gaming tax on each of the slot machine operations.

The bill would also:

Require a local referendum before a casino could open.

Create a five-member state gambling commission.

Give the Wampanoag Indian Tribe of Martha's Vineyard a first crack at the New Bedford casino.

The legislation, dubbed "The Massachusetts Gaming Control Act," is similar to past bills filed by Travaglini, D-Boston. It has four sponsors in the Senate, including Menard, and 12 in the House.

One of the House co-sponsors, Rep. Benjamin Swan, D-Springfield, said the casinos would help the state out of its fiscal crunch.

Other Beacon Hill leaders, including Gov. Mitt Romney, have suggested the state explore casino-type gambling as a way to boost revenues as Massachusetts grapples with a looming $3 billion spending gap for the new fiscal year.

In his budget plan, Romney offered a deal for casinos and race tracks in neighboring states: Give Massachusetts annual payments of $75 million or the Bay State will cut into your profits by expanding its own gambling opportunities.

If the states decline the offer, Romney's plan would allow video gambling machines at the state's four race tracks.

"If they refuse to provide at least $75 million to us, and there's some logic for saying yes and some for saying no, then we will engage in video lottery terminals of our own in Massachusetts," Romney said when he unveiled the idea.

Some New England gambling operators have portrayed Romney's plan as a form of extortion.

Romney has said that for the plan to work, casino operators and leaders in neighboring states must be convinced that Massachusetts is ready to move ahead with its own casino gambling plans.

It is estimated that Massachusetts residents spend as much as $250 million each year at casinos in Connecticut and at race tracks in Rhode Island and New Hampshire.