Dannel P. Malloy, Governor of the state of Connecticut, signed a bill which is to authorise two of the state’s tribes to build a new casino in the town of East Windsor. The new piece of legislation was signed at an official ceremony, attended by the leaders of the Mashantucket Pequots and the Mohegan tribes.
The new legislation was in fact signed by Malloy three weeks ago. This past Thursday, the Governor went on to approve various amendments to the memorandums of understanding between the state of Connecticut and the two tribes. The said amendments have to do with the agreement concerning the revenue sharing between the state and the tribal casino operators.
Under the terms of the new bill, the two tribal casino operators are to comply with a 25% tax on their revenue from the slot machines and table games in the East Windsor casino. The Mashantucket Pequots and the Mohegan tribes would also have to pay $30 million to obtain the necessary permits from the state, allowing them to build and operate the casino. One of the amendments to the new legislation states that this sum is to be divided among the biggest cities in the state of Connecticut. This provision aimed at winning the support of the local legislators.
The new memorandums of understanding need to be upheld by the Connecticut General Assembly before they are sent to the Bureau of Indian Affairs for further approval. Members of Governor Malloy’s office revealed the memorandums of understanding are to be sent to the Senate and the House of Representatives within a period of 10 days.
After the General Assembly signs off the amendments, they will be reviewed by the Bureau of Indian Affairs within 45 days. Once the Bureau approves these amendments, the two tribes will be enabled to move forward with obtaining the necessary permits for the casino’s construction from the officials in East Windsor.
Tribal leaders Kevin Brown and Rodney Butler expressed their satisfaction with Governor Malloy signing the new bill. According to Butler and Brown, this piece of legislation was necessary in order to protect the state’s economy and revenue against competition on behalf of MGM Resorts International in nearby Springfield, Massachusetts. The MGM complex is already under construction and is expected to open its doors for visitors in 2018.
MGM Resorts International contested the Connecticut lawmakers’ decision to provide the two Indian tribes with exclusive rights to operate gambling venues outside the territory of their reservations in the south-eastern part of the state. Representatives of MGM’s management called for the approval of an alternative bill which was to allow for competition on behalf of other casino operators. Now that the legislation is already signed by Governor Malloy, MGM Resorts International is expected to legally challenge the state of Connecticut with a lawsuit.
The Mashantucket Pequot Chairman Rodney Butler shared there had been tension between the two tribal nations in the past but the new East Windsor casino project has brought them together for the good of the state. Butler stressed that the project aims at creating more job opportunities for the locals and transforming Connecticut into a strong competitor with Massachusetts since the East Windsor casino is expected to divert traffic from the new MGM complex in nearby Springfield.
- Author
Daniel Williams
