Raynham promised a jackpot
Slots deal would pay town $1M annually
Wednesday, June 12, 2013
By: Dave Wedge
Raynham Park became the first slots developer to strike a local deal as the former greyhound racetrack won approval last night from selectmen for a pact that could pay the southeastern Massachusetts town $1 million a year in gaming cash.
Townspeople and the state gaming board must still vote on the plan before any deal is done.
“The town of Raynham will be well-served by this agreement,” said Joe Pacheco, chairman of the Board of Selectmen. “We look forward to a robust discussion about this proposal, and hope for a favorable vote later this summer.”
Under the deal, the slots palace would pay the town $1 million a year in its first three years, a fee that will increase by 2.5 percent each subsequent year.
The town’s haul would be capped at 1 percent of all gross gaming revenue after 20 years.
Raynham Park, which has partnered with Pennsylvania casino company Greenwood Racing/Parx, will also pay the town $100,000 a year for capital improvements and $15,000 a year to improve Route 138. The agreement also includes preferential hiring for Raynham residents, as well as requirements to use local vendors.
“We are very excited,” said Greenwood Racing CEO Tony Ricci. “Raynham Park ... will be a beautiful addition to the social landscape of the town and will provide a significant boost to the local economy.”
Raynham Park owner George Carney added: “Our location ... offers the highest revenue potential to the commonwealth of Massachusetts for the slot casino license. Our outstanding management team will ensure that we deliver the full promise of this opportunity.”
The pact marks the first “host community agreement” approval for any of the four developers competing for the state’s sole slots license. The state gambling law requires a local deal to be in place before a license is issued.
Plainridge Racecourse, which is seeking a slots license, is in talks with the town of Plainville, while Worcester recently rejected a proposal by Chicago’s Rush Street Gaming. Cordish Co. of Maryland is also reportedly seeking a slots license, but has yet to identify a location.
The state gaming board is expected to award the slots license this fall.
For resort casinos, Springfield has struck a pact with MGM Resorts International while Everett officials have a deal with Wynn Resorts. Both deals need voter approval.
- See more at: http://bostonherald.com/business/business_markets/2013/06/raynham_promised_a_jackpot#sthash.Ke307YEV.dpuf
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