Column: Casino expansion must address Seminole compact

Thursday, November 3, 2011  

"In the past month, we've had a bill filed to bring three Vegas-style casino resorts to Broward and Miami-Dade counties, a Miami slots "racino" get tentative approval to move a spinoff license to another location, and everyone from the Miami Dolphins to the ghost of Meyer Lansky express interest in building gambling parlors.

To which I say, let's slow down and make sure some proper analysis is done.

Any gambling expansion needs to bring enough guaranteed cash from casino operators to offset reductions in the state's revenue-sharing deal with the Seminole Tribe's seven casinos (projected to generate $150 million to $250 million annually for 20 years) and the potential destruction of South Florida's underperforming parimutuel racinos. The five slots racinos sent $125 million to the state last year, and $573 million overall since the first one opened five years ago.

The casino resort bill, which has industry giants like Genting, Sands and Wynn exploring sites in South Florida, doesn't have the best terms for the state. Not with a low 10 percent tax rate (the parimutuels pay 35 percent) and no upfront bidding for lucrative casino licenses. The developers have to pledge their projects will be a certain size and scope ($2 billion), but there really should be some upfront cash for the state."

Get the Story:
Michael Mayo: Florida casino strategy needs to make dollars – and sense (The South Florida Sun Sentinel 11/3)

Also Today:
Casino job seekers see industry as career opportunity (The South Florida Sun Sentinel 11/3)

Related Stories:
License awarded for non-Indian gaming facility in Florida (11/1)
Bill to authorize non-Indian gaming breaks Seminole deal (10/27)