Casino bid could hike Hub payroll

All bets may be off if city costs rise

Sunday, July 21, 2013

Boston’s hefty public payroll could be puffed up even more if the Suffolk Downs casino bid calls for more city workers.

Both the Palmer and Everett casino proposals include provisions for more municipal employees.It’s still unclear how deep the Hub will have to dig to help Suffolk Downs — and even if that’s a wise move.

“We need to re-think casinos if they include hiring more municipal employees,” said David Tuerck, executive director of Suffolk University’s Beacon Hill Institute. “Public payrolls are generally too big. If this is coming up in Palmer, we need to see it addressed in every plan.”

A representative of Suffolk Downs pointed to the ongoing months of “host community agreement” negotiations between his organization and city officials.

Boston Mayor Thomas M. Menino told the Herald yesterday he’s still hammering out a deal and could not divulge any details concerning added City Hall or police and fire posts.“We’re still negotiating,” Menino said. “We’re getting the best deal we can. The best deal in the state.”

Suffolk Downs is fighting with Wynn Resorts in Everett and Foxwoods in Milford for the sole Boston region casino license. Final applications, which are due Dec. 31, must include the signed host community agreement approved by voters.

A consultant for Mohegan Sun, which wants to build a $1 billion resort-casino in Palmer, and a consultant for the small Massachusetts town, concluded additional employees, such as police and firefighters, are needed if the town lands the casino bid.

Last month, voters in Everett overwhelmingly approved an agreement to move forward on Las Vegas mogul’s Steve Wynn’s proposal to build a $1.2 billion resort on the Mystic River, a site of a former chemical plant.Wynn Resorts set aside a $5 million “impact fee” for the city for public safety. The chunk of cash escalates 2.5 percent yearly. It is part of their host agreement.

Celeste Myers, co-chairwoman of No Eastie Casino, said hiring more city employees could be a negative.

“One of the things we’re concerned about is having to staff up the police, fire and emergency personnel, and taking them from other parts of the city,” Myers said. “That’s what has been seen in places like Queens (N.Y.) and Connecticut.”Joe Dwinell and Gary Remal contributed to this report. - See more at: http://bostonherald.com/news_opinion/local_politics/2013/07/casino_bid_could_hike_hub_payroll?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+bostonherald%2Fnews+%28News+%26+Opinion+-+BostonHerald.com%29#sthash.vFumj5Fk.dpuf



Caesars gambles on credit Casino owner has $21 billion in debt and racking up big losses
Thursday, June 27, 2013
By: Donna Goodison

Despite its precarious financial health, Caesars Entertainment remains confident it will pass state Gaming Commission background checks as part of its partnership’s bid to build a $1 billion resort casino at Suffolk Downs.The largest U.S. casino owner has $21 billion-plus in debt and racked up losses of $1.5 billion and 
$687.6 million in the past two fiscal years. And when South Korea last week rejected a license for a $500 million casino in which Caesars had a 40 percent stake, Reuters reported Caesars’ credit rating as a reason.

- See more at: http://bostonherald.com/business/business_markets/2013/06/caesars_gambles_on_credit#sthash.sSsIwEJr.dpuf