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Wednesday, May 8, 2013

The Massachusetts Muddle




Mashpee Wampanoag tribe preparing to release new details about proposed casino design

By Gerry Tuoti
 
Although the Mashpee Wampanoag tribe no longer has exclusivity in the southeastern Massachusetts casino market, it is continuing to pursue a casino in Taunton and is preparing to release new details next week about the proposed facility’s design.

“In light of whatever the Mass. Gaming Commission has done, I don’t think it’s a setback,” Tribal Chairman Cedric Cromwell said when reached by phone Tuesday. “I don’t think it in any way, shape or form affects our progress.”

Cromwell plans to attend next week’s City Council meeting to reveal new architectural details and other information about the proposed tribal casino. A letter from Cromwell was included in Tuesday’s Taunton City Council packet. In the letter, he references “great progress” the tribe has made.

The tribe, which had been given exclusivity in southeastern Massachusetts, or Region C, lost that advantage last month when the Massachusetts Gaming Commission voted unanimously to solicit applications for a commercial casino in the region. Members of the gaming commission expressed concerns over the uncertainty surrounding the Mashpee’s pursuit of the federal land designation they need to open a tribal casino.

“The legislation, as I take it, manifested an intent … a general suggestion, it seems to me, that Region C not be left behind,” Gaming Commission member James McHugh said before voting last month to allow commercial applicants in the region.

The tribe is also awaiting legislative action on the gambling compact it reached in March with Gov. Deval Patrick. Lawmakers have not yet voted on the agreement.

Cromwell said he is undeterred by the Gaming Commission vote and expects the legislature to approve the compact.

“There are exciting things we want to talk with the Taunton City Council about,” Cromwell said. “There are designs and architectural developments we’ve advanced on, and it’s and very important that we review those plans with City Council members and get their input on things. It’s important we go over the architectural design and needs of the destination resort casino to make sure it meets needs of the IGA, the city of Taunton and the Mashpee Wampanoag tribe.”


Read more: http://www.tauntongazette.com/news/x2062763829/Mashpee-Wampanoag-tribe-preparing-to-release-new-details-about-proposed-casino-design#ixzz2Sh7iTsSr
 

United States: The Massachusetts Muddle: What Does It Mean For The Mashpee Wampanoag?

07 May 2013
 

The Mashpee Wampanoag casino project planned for the town of Taunton in southeastern Massachusetts received a major setback when the state Gaming Commission voted last week to suspend the legislated tribal priority for a license in that portion of the state. The priority was part of a statewide casino plan enacted by the state legislature two years ago authorizing three casinos in the state with a preference giving an Indian tribe the rights to the license designated for the southeastern part of the state. That preference clearly was intended to benefit the Mashpee Wampanoag, which was federally recognized in the spring of 2007 through a Department of the Interior administrative process. Non-tribal casinos were authorized for two other areas of the state, and those licenses are the subject of competition among casino development teams.

The Gaming Commission action was a predictable consequence of the legislative priority itself, in that the law established timelines for the Tribe that many believed would be virtually impossible to meet. Indeed, the Tribe's deadline to get the gaming into trust status in a timely manner has been extended to give Interior additional time in which to accept the proposed casino site into trust status for gaming.

The Mashpee propose to operate a $500 million destination resort casino in Taunton, although it must be noted that the Taunton site is the third identified during six years of the tribal efforts to develop a casino. The other sites were within the Town of Middleborough and New Bedford. In addition to changing proposed gaming sites, the Tribe also replaced its original development team after it had executed a comprehensive local services agreement with Middleborough in July 2007. The peripatetic search for a gaming site has consumed money and a considerable amount of time, causing delay that was cited by the Commission in its unanimous vote to allow commercial casino developers to apply for the license. Such applications will constitute competition for a license that Mashpee has viewed as its legislated entitlement.

At last week's hearing, Gaming Commission Chairman Stephen Crosby declared that the law provided for opening up the competition to non-Indian entities if it appears that Mashpee will be unlikely to obtain the federal trust status necessary for tribal gaming. While Interior officials have declared that they are "expediting" consideration of the trust application and expect a final decision sometime during 2013, the continuing delays led to the Commission's invocation of the law's requirement that it "must" seek commercial bids for the license if it decides that the Tribe will not get land into trust for an Indian casino.

Mashpee Chairman Cedric Cromwell urged the Commission to not approve commercial casino applications, noting that the Tribe is proposing to pay "hundreds of millions of dollars" to the state in return for the exclusive right to conduct casino gaming in the designated region. He asserted that the Tribe will continue to develop and operate its project even if the third license goes elsewhere, meaning that the Tribe will develop a fourth casino in the state pursuant to the federal Indian Gaming Regulatory Act. Part of that assertion included the statement that a federal Indian casino would make no payments into the state's treasury. Commission Chairman Crosby responded that if the Tribe does not obtain status for the land and the third license is not issued, then the state would lose the $85 million license fee and annual tax revenue of approximately $100 million.

The controversy is far from over, and the outcome is far from certain.

Meanwhile, the Massachusetts House of Representatives took action last week that could result in the legalization of online poker in the state, an activity that potentially could have adverse impacts on the "brick and mortar" casino gaming revenues anticipated from the "three casino" plan already on the books. This bill was attached to the FY 2014 budget and would authorize online poker to be offered by up to three separate operators. A much broader bill was introduced in the state Senate in February that proposes to go beyond online poker by authorizing online casino games.

The Massachusetts Muddle seems to have a life of its own. Whether and how the Mashpee Wampanoag casino project will be affected by these latest developments is unknown, but events are moving quickly on Beacon Hill. It is safe to say that the overall picture is constantly changing and is likely to continue doing so.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

http://www.mondaq.com/unitedstates/x/237646/Gaming/The+Massachusetts+Muddle+What+Does+It+Mean+For+The

 

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