The Senate of Connecticut has given the green light to the amended agreements that are expected to result in establishing the first casino located on non-tribal land on the territory of the state.
The vote was held yesterday, with the state Senate approving the changes with a 27 to 8 vote. This happens only one week after the local House of Representatives greenlighted the changes in the state’s compacts with the two federally-recognised Indian tribes that have been operating casinos on the territory of Connecticut. The House of Representatives also approved a special memoranda of understanding between the state of Connecticut and the Mohegan and the Mashantucket Pequot tribes.
Now, the amendments need to be finally receive the approval of the federal Bureau of Indian Affairs.
The changes that are to be implemented to the agreement between the state and the two Indian tribes would finally give the green light to the proposed tribes’ satellite casino project. The satellite casino has been proposed to be build in East Windsor in order to compete with the Springfield-based casino of MGM Resorts. The best part about the agreements’ changes is the fact that the amendments would not enforce any compromise to be made with the current revenue-sharing arrangement between the state of Connecticut and the two Indian tribes.
Up to date, the Mashantucket Pequots and the Mohegans own the Foxwoods Resort Casino and the Mohegan Sun casino. The two Indian tribes have faced the strong opposition of MGM Resorts International, with the latter filing a lawsuit at the time when local legislature approved the project by providing the two tribes with the permission to start a new casino consideration process.
As mentioned above, the new satellite casino is to compete with the multi-million casino of MGM Resorts in Springfield. The building process has already started, with the Springfield-based project of the MGM brand being estimated to $950 million.
The way to the long-awaited gambling expansion for the state of Connecticut was finally open at the end of June 2017, when the Public Act 17-89 got the Governor Dannel Malloy’s signature. The new piece of gambling legislation eventually cleared the way for the satellite casino in East Winsor to be built, despite the MGM Resorts’ objections against a rival casino to its Springfield-located property.
According to the company, the permission received by the Mashantucket Pequot and the Mohegan Tribes breaches the constitution. On the other hand, MGM Resorts objected the decision of local authorities, saying that such a construction requires an open bidding process. Moreover, the MGM Resorts International claims that larger revenue could be generated by the state and more jobs could be created in case that a third casino is allowed in Fairfield County, rather than in East Windsor.
As reported by Casino Guardian, the official ceremony was held in July, with the new bill obliging the two operators to comply with a 25% tax on their slot-machines and table-games revenue in the casino that is to be built. With the new piece of legislation being officially signed, the Connecticut tribes finally managed to clear the legislative hurdle for them to start the construction process of their East Windsor casino. The casino is expected to be worth about $300 million. It would be operated via a joint venture of the two tribes, called the MMCT Venture.
- Author
Daniel Williams
