Thursday, March 28, 2013

A Safe Bet?

To slot or not to slot, that is the question.  Well, that has been the question in Worcester over the past several weeks after it was announced that a Chicago-based gaming company has targeted Worcester for one of the coveted Slots Casinos in Massachusetts.  Does Worcester take the plunge into to this business endeavor?  I have always been a proponent of legalized gambling in Massachusetts, but I must admit this decision is not that simple.

It will be interesting to see how this plays out.  I personally feel that something needs to go into the vacant lot along Kelly Square. It has been unused, underutilized and undeveloped for way to long.  Is a Slots Casino the answer to that problem?  I don't know, I used think I did, but I really don't.  Good friend, Nick Kotsopoulos of the Worcester Telegram, recently wrote about the City Councils plan to get out and find out how Worcester residents feel about the potential of a Slots Casino in Worcester, namely the neighborhoods directly surrounding the proposed area.  That is the right approach to start but it needs to be a series of meetings.  The response from those meetings, although crucial, should not be the deciding factor, as only detractors tend to go to those meetings and could be counterproductive.

My brother-in-law lives in the proposed area and I took it upon myself to ask him his thoughts.  He is one of the most optimistic people I have ever known, so I knew I would get a no nonsense type of answer.  He told me "...hope spring eternal but I've seen studies that show good and bad. I am wondering about rents and property values."  Not a ringing endorsement but also not an opponent.  So I decided to look at the studies myself.

The Worcester Regional Research Bureau (WRRB) did two studies on the subject.  One done in 2007, when Gov. Deval Patrick initially proposed legalized gambling and one a few weeks ago, which was just a follow up to its 2007 report.  The 2007 report, in my eyes, was very thorough and definitely raises some legitimate questions to having a casino in Worcester.  The report talks about gambling itself and the addictions that it can bring to the city.  It talks about how the money the city would get would level off and eventually dry out.  The report discusses how a casino in Worcester would not solve the problem of people taking their dollars out of state to another casino.  It explains that under the state’s plan, all the casinos that would go up throughout the state, and the ones that already exist in Connecticut and Rhode Island, would all be going after the same dollar and begin to "cannibalize" each other.

The WRRB was very detailed in its research and raised some outstanding points that would make a large proponent, like me, stop and think about my support.  However, there were three points that the report showed that I am having trouble understanding.  I am not going to say I don't agree with those points, I feel that they were not comprehensively researched.
               
The first is the point that the profits will be re-invested out of state by the casino owner.  I am not saying that wouldn’t happen, but how does the WRRB declare that without knowing what deal the casino company makes with the city?  City Manager O'Brien and the city council may make certain demands based on the projections and guarantees that the developer makes, I hope that is true.  But to arbitrarily make a blanket statement like that they would not invest in Worcester would be misleading.  The city council has made it clear that this will be a two way street, and as most governments go, the city will try to protect itself.  I may be naive to think that, but the sensitive nature of this topic may make them think harder about that.

The second point I had trouble understanding is the opinion on how the surrounding businesses will lose money because the money they are generally getting will be diverted to the casino.  I'm sorry, but I'm not getting this one at all.  If that is a true statement, why do these types of organizations promote sports stadiums because it will help the surrounding businesses?  Wouldn't business be diverted into the sporting event that sells concessions and paraphernalia?   I think this falls in the same category.  Also, the casino will be drawing from surrounding areas that normally don't frequent these establishments.  I think it would be a wash at worst, because we need to keep in mind that it's not a full-fledged casino but a twelve hundred machine slots parlor.

The final point that caught my eye, and had me scratching my head, because it basically rejects casinos virtually anywhere in Massachusetts.  The WRRB maintains, from a study done by The National Impact Gambling Study Commission, that gambling addictions doubled among populations within fifty miles of a casino, fifty miles.  To put that in perspective that covers as far east as Boston, as far south as East Greenwich, R.I., as far west as Holyoke, MA and as far north as Manchester, N.H.  There isn't a proposal out there that has a casino outside of those parameters.  So it really doesn't matter where this thing goes, the WRRB is against it.

The rest of this study goes into the social implications of gambling addiction.  For every study that says these casinos cause gambling addictions to sky rocket, which are truly valid arguments, there is a study saying that it doesn't.  That is where I am down the middle; my feeling is that if you are addicted to gambling it doesn't matter where you put this thing.  But I also agree that if you put this thing here, we could see more gambling addictions, it's a classic Catch 22.

I truly don't have a dog in this fight.  If the casino is built then finally something gets developed on an unused lot that has been up for discussion anytime a new venture comes through.  If a casino is not built, then nothing changes, which in Massachusetts is very welcomed.  The city council is taking the right approach here, but they need to go in with a clear mind.  Let's not be against "just because"

For the proponents of the casino, I'm with you.  For the opponents, I am with you too.

3D
If you don't take it from me, ask my wife.

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