DOCSLIB.ORG

Casino Development: How Would Casinos Affect New England's

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Casino Development: How Would Casinos Affect New England's C Horn C A Symposium Sponsored by the Federal Reserve Bank of Boston Robert Tannenwald, Editor Special Report No. 2 Published in October 1995 Preface / iii Welcome and introduction / v Cathy E. Minehan Panel I: impact on income and Jobs The extent to which casino development fosters the economic growth of a state or local area has been vigorously debated. What evidence of the economic effects of casino development do we have, based on both theory and empirical research? What can New England ]earn from regions where casinos are more widespread? What are the methodological issues in estimating casinos’ impact on jobs and income? Introduction Robert Tannenwa]d The Impact of Casino Gambling on income and Jobs / 3 Ear] L. Grino]s Gambling and the Law®: Endless Fields of Dreams® I. Nelson Rose indian Gaming’s impact on income and Jobs / 47 S. Timothy Wapato High=Stakes Casinos and Economic Growth / 52 Arthur W. Wright Panel ll: Implica~ons for Public Sector Revenues Casinos pay substantial taxes and fees to state and local governments. What is the optimal way to tax casinos? To what extent do taxes and fees collected from casinos displace public revenue generated by other forms of state-sponsored gambling, such as lotteries and parimutuel betting? Do revenues from casino taxes displace revenues from sales taxes? Who ultimately bears the burden of casino taxes? introduction / 59 Gary S. Sasse The Promise of Public Revenue from Casinos Charles T. Clotfelter Steven D. Gold Finances: The Case of New Jersey / 74 Ran3ana G. Madhusudhan Perspective of the Treasurer of Massachusetts / 87 The Honorable Joseph D. Ha]one Evaluating a State’s Gambling Strategy: The Relationship between Lottery Sales and Casino Gambling / 91 Richard A. Mcaowan, S.J. Pane~ ill: Social Costs The extent to which casinos impose costs on society is one of the most controversial issues surrounding casino development. How will casino development affect costs of law enforcement and regulation? Do casinos require expansion of municipal services at taxpayers’ expense? Can one quantify the economic costs associated with an increase in compulsive gambling behavior? Introduction / 1o5 Helen F. Ladd Social Costs of the Casino ~ndustty / 1o7 a. Michael Brown Findings of Recent Studies / 115 Robert Goodman Perspective of the Attorney Genera~ of Massachusetts / 12o The Honorable L. Scott Harshbarger Perspective of the Attorney Genera~ of Rhode island / 127 The Honorable Jeffrey B. Pine The Psychosocial Consequences of Gambling / 13o Howard J. Shaffer Timothy P. Ryan About the speakers / 15o ii In 1992, Connecticut became the first New England state to allow casino gambling within its borders. Since then, the region’s other states have seriously considered whether to follow Connecticut’s example. One of the most controversial, unresolved issues in these debates has been the economic effects of casino development. While interest in this issue is intense, relevant empirical evidence is scant. For this reason, the Federal Reserve Bank of Boston held a one-day Symposium on Casino Development on June I, 1995, bringing together experts from academia, government, Native American nations, and the gaming industry. This special report summarizes the participants’ remarks. Since the Symposium, regional interest in casino development has remained high. Although Connecticut still has the only casino in New England--Foxwoods in Ledyard, CT--several proposed casinos in a number of states are on the drawing board. We hope that this report will help to inform the continuing debate over this important issue. The editor would like to thank Lynn Browne, Jeannette Hargroves, Sue Rodburg, Jim Sharpe, and other members of the Research Department of the Federal Reserve Bank of Boston for helping to plan the conference, Joan Poskanzer for editorial assistance, and Maria Mason for preparing the report. iii The final panel will examine the extent to which casinos impose medical, legal, and other social costs on society=-potential social costs with an economic dimension. There has been much discussion about the extent to which the spread of casinos will raise the incidence of problem and pathological gambling behavior, for example. Victims of these disorders tend to be unproductive workers and may commit crimes to support their habit. If casino development exacerbates these problems, then society as a whole pays the price. The panel will discuss evidence concerning the extent of these problems, and how potential social costs should be weighed against the economic costs imposed by constraints on casino development. We at the Federal Reserve Bank of Boston hope, by putting on this program, to inform the public policy debate in New England and to promote constructive, informed discussion of one of the key issues now confronting New England. vi Cathy E. Rinehart* I am pleased to welcome you to our symposium on Casino Development. Eight years ago, only two states, Nevada and New Jersey, allowed casinos to operate within their borders. Today, 24 states, Connecticut among them, permit some form of casino gambling within their borders. Now other New England states are considering whether to follow suit, and this has become an unusually controversial issue in the region. State policymakers from Augusta to Hartford have debated casino gambling’s economic effects, yet few independent researchers have evaluated them. They are difficult to quantify and casino development is, after all, a fairly recent phenomenon. This symposium aims to bring together experts to discuss what we know and do not know about the economic impact of casinos. The symposium has been organized into three panels, each focusing on a different set of potential economic effects. The first panel will discuss the impact of casinos on jobs and income at the state and local levels. Proponents argue that casinos can dramatically improve the economic conditions of the jurisdictions in which they operate. By contrast, opponents argue that casinos simply alter the mix of employment and income among industries, without stimulating aggregate economic growth. This panel will critique existing evidence and identify key assumptions policymakers must make to assess the casino’s macroeconomic effects. The second panel will consider the implications of casino development for public sector revenues. Many casinos pay substantial taxes and fees to state and local governments. The issues examined by this panel will include the importance of these taxes and fees in the total revenue collections of states and municipalities, the_extent to which casino taxes displace public revenue generated by other forms of state-sponsored gambling, and who ultimately bears the burden of casino taxes. *President and Chief Executive Officer, Federal Reserve Bank of Boston. Robert Tannenwalde Clearly casinos employ people° In fact, big casinos employ a lot of people and pay their employees benefits and salaries; casinos also buy goods and services from other firms that also have payrolls. But are many casino employees simply hired away from other employers? Would people obtaining a job attributable to casino development have eventually found a job anyway, with or without casinos? If so, in the absence of casinos, how much longer would it have taken them to obtain employment? Under what conditions do casinos exert the strongest impact on jobs and income within a state or local area? To what extent do these conditions obtain in New England? How would the economic stimulus provided by casinos change if they were to proliferate throughout the region? How do casinos affect the employment and income of Native American communities? These are some of the questions that this panel will broach. This symposium is addressing these questions first because, in considering any public policy, its impact on jobs and income is always an intense, widespread concern. Yet, in some ways, these questions should be considered last. The underlying issue in legalizing any forbidden activity is whether the attendant social costs outweigh the gain in economic satisfaction resulting from greater economic freedom. Until recently, most states prohibited casino gambling because, according to widespread belief, it bred crime, corruption, compulsive gambling, and other behavior detrimental to society. Avoiding these social costs was considered to be worth the dissatisfaction of potential casino gamblers forced to divert their dollars to other uses. Ironically, the impact of casinos on jobs and income becomes most significant in the special case where some jurisdictions within a region *Senior Economist, Federal Reserve Bank of Boston. permit casino gambling while others forbid it. Such has been the situation in New England since Foxwoods casino opened its doors in Ledyard, Connecticut in 1991. Because Foxwoods has enjoyed a regional monopoly, some allege that Connecticut, or at least its southeast quadrant, is siphoning off dollars from the economies of other New England sub-regions. According to this view, casino patrons from areas outside the vicinity of Foxwoods are forgoing purchases of goods and services to gamble in southeastern Connecticut. As a result, so the argument goes, the communities around Foxwoods are gaining jobs and income at the expense of many other communities throughout New England. How much southeastern Connecticut is gaining as a result of Foxwoods’ regional monopoly is one of the questions that this panel will address. In short, Foxwoods has allegedly created a border problem for much of New England. If so, the only way to alleviate this problem is to permit casino gambling to spread. How much would other jurisdictions gain? How would the magnitude and distribution of the gains vary with the extent of proliferation? Our panelists will address these questions. Ea~l L. Grinols~ From the national perspective, the economics of gambling can be summarized as a cost-benefit question: Is it worth adding another social problem for another form of entertainment? Were gambling to be introduced everywhere in the country, for example, the social costs would be roughly equivalent to the costs of an additional recession every decade.
Load more

Recommended publications
  • Chapter 3: Pathological and Problem Gamblers in the United States The
    Chapter 3: Pathological And Problem Gamblers In The United States The perception of increased pathological and problem gambling is currently driving interest and concern among policymakers, treatment professionals, industry officials, gambling researchers, and the public. Data describing the extent of pathological and problem gambling are useful for many purposes, including planning public health services and medical services. This chapter discusses the prevalence of pathological and problem gamblers among the general U.S. population and specific subpopulations. As limited by the available data, the discussion is often framed in terms of the proportion of pathological and problem gamblers reported in studies of U.S. residents. Of particular concern is determining prevalence among reportedly vulnerable demographic groups, such as men, adolescents, the poor, the elderly, and minorities (including American Indians). We also attempt to examine trends in relation to the increased availability of legal gambling opportunities in the last decade. This chapter also makes comparisons with the prevalence rates of alcohol and drug abusers, to help put the magnitude of excessive gambling and related problems into perspective. LIMITATIONS OF PREVALENCE RESEARCH In Chapter 2 we described the difficulties involved in defining and measuring pathological gambling using various assessment instruments. Here it is important to note that comparing and interpreting prevalence findings is problematic when different studies use different screening and/or diagnostic instruments or criterion levels to measure differing levels of intemperate gambling and associated problems. Unfortunately, such differences are common in the research literature on pathological and problem gambling (Volberg, 1998b) which creates problems in estimating prevalence rates in the United States.
    [Show full text]
  • Foxwoods Resort Casino Winstar Resort Casino Mohegan Sun Resort Casino
    Foxwoods Resort Casino Winstar Resort Casino Mohegan Sun Resort Casino LOCATION Mashantucket, Connecticut Thackerville, Oklahoma Uncasville, Connecticut Hotel HOTELS 4 2 1 (2 by Fall 2016) HOTEL Rooms 2,266 1500 1200 (1600 by Fall 2016) HOTEL Amenities 2 Spas Spa Spa Gambling Legal Gambling Age 21 18 21 CASINO SIZE 323,376 Square Feet 519,000 square feet 300,000+ Square Feet SMOKE-FREE Designated areas on CASINO Designated areas on CASINO Designated areas on CASINO GAMING FLOOR FLOOR FLOOR # OF SLOTS & Electronic Games 5500 7,200 5000 Over 300 Tables - includes Over 300 Tables - includes 98 Tables - includes Midi Baccarat, Baccarat, Midi-Baccaran, Baccarat, Blackjack, Caribean Blackjack, Caribean Stud, Three Blackjack, Caribean Stud, Stud, Roulette, Three Card Card Poker, Card-based Craps & Roulette, Three Card Poker, Poker, Craps, Crazy 4 Poker, TABLE GAMES Roulette, Crazy 4 Poker, Spanish Craps, Crazy 4 Poker, Spanish Spanish 21, Let It Ride, Pai Gow 21, Let It Ride, Pai Gow Poker, 21, Let It Ride, Pai Gow Poker, Poker, Pai Gow Tiles, ‘Money’ ‘Money’ Wheel, Ultimate Texas Pai Gow Tiles, ‘Money’ Wheel, Wheel, Ultimate Texas Hold'Em, Mississippi Stud Ultimate Texas Hold'Em, Hold'Em, Mississippi Stud Mississippi Stud FOXWOODS REWARDS Four Momentum - 5 Levels. CLUB PASSPORT - Three Levels. REWARDS CLUB Levels - No affiliation to other Affiliated with Resorts (AC) & No affiliation to other casinos. casinos. Mohegan Sun Poconos (PA) POKER 97 Tables - WPT Affiliation 46 Smoke-free Tables 42 Smoke-free Tables ADDITIONAL Racebook; Bingo Center
    [Show full text]
  • Structured Finance
    Corporates Gaming / U.S.A. 2014 Outlook: U.S. Gaming Deleveraging Potential Outlook Report High Leverage Is So 2013: After a busy 2013, with a first-ever gaming/REIT spin-off and three Rating Outlook major debt-funded M&A transactions, gaming companies are positioned with solid FCF profiles, STABLE limited development prospects and stringent credit agreement provisions. Fitch Ratings believes this is a formula for meaningful deleveraging across the industry. Notable exceptions (2013: STABLE) could be the U.S.-based Macau operators, which will be ramping up developments on Cotai and currently maintain low leverage levels in Macau. A handful of lightly leveraged companies may also look to increase shareholder-friendly activity. Finally, a Gaming REIT: Fitch believes the entrance of REITs into the gaming sector will potentially drive up trading EV/EBITDA multiples, provide new sources of capital (e.g. sale and leaseback), create better transparency on the value of physical casino assets and the gaming licenses (retained by the operator) and possibly increase tolerance for higher leverage. Tepid Domestic Growth Prospects: 2014 casino openings in Ohio, Baltimore and possibly Lake Charles, LA will grow but also cannibalize their respective markets. Same-store growth will continue to be soft, although we project regional markets to fare better relative to 2013 as the effects from the sequester and the payroll tax holiday rollback will anniversary. Operators with exposure to the Las Vegas Strip and Macau will continue to benefit. We project 3% gaming revenue growth for the Las Vegas Strip (5% RevPAR growth) and 12% for Macau. Sector Outlook Greater Interest Rate Sensitivity: Many gaming companies used term loans to refinance STABLE fixed-rate notes or execute M&As.
    [Show full text]
  • Getting Ready to Fly!
    Getting Ready to Fly! Commercial opportunities in the USA, the world’s biggest online gaming market. Scenarios. Forecasts. Milestones. Enter Executive Market Forecasts – How will Business Models Key Industry & Contacts Summary Size the Market Evolve? and Value Chains Market themes Contents Section One: Executive Summary . 3 Section Four: Business Models and Value Chains . 26 Market Barriers. 26 Section Two: Market Size . 8 Cannibalisation. 29 By State. By Population. 9 Strategic Models. 32 Land-Based. 9 KPIs . 39 Mobile/Tablet. 15 Social Gaming . 39 Product. 16 Land-based. 43 Section Three: Forecasts – How will the Market Evolve? 17. Section Five: Key Industry & Market themes . 47 New Jersey. 17 State-by-State. 47 Nevada. 18 Geo-location. 53 Delaware . 19 Compacts. 53 Federal. 20 Federal Law . 55 The Axes of Uncertainty. 22 Mobile/Tablet. 25 Section Six: Contacts . 58 2 Executive Market Forecasts – How will Business Models Key Industry & Contacts Summary Size the Market Evolve? and Value Chains Market themes Section One: Executive Summary Forecasts Exhibit 1: New Jersey Forecasts GGY licensed online gaming 334 The U.S. licensed online gaming market will be worth $285m GGY in 2014, significantly higher should compacts be created. The New Jersey licensed online gaming market will be worth $186m GGY in 2014, significantly lower than official 0 State forecasts. This will rise to around $214m if interstate 2014 2015 2016 2017 2018 compacts are created. n GGY ($Ms) n With Compacts ($Ms) The licensed U.S. online gaming market will require California 2014 186 214 to push through proposed poker regulations and roll-out licensed web-sites to push through the $1bn GGR barrier.
    [Show full text]
  • 2021-25 Th Annual Report
    Louisiana Gaming Control Board 25th Annual Report to the Louisiana State Legislature 2021 MISSION STATEMENT OF THE LOUISIANA GAMING CONTROL BOARD To regulate all gaming activities under its jurisdiction in a manner which instills public confidence and trust that gaming activities are conducted honestly and free from criminal and corruptive elements; to ensure the integrity of individual gaming activities by the regulation of persons, practices, associations and activities within the gaming industry. i TABLE OF CONTENTS LOUISIANA GAMING CONTROL BOARD MISSION STATEMENT ........................................................... i TABLE OF CONTENTS ........................................................................................................................................ ii CHAIRMAN’S LETTER ........................................................................................................................................ 1 ATTORNEY GENERAL’S GAMING DIVISION AND LOUISIANA STATE POLICE PERSONNEL ...... 4 ACKNOWLEDGMENTS ....................................................................................................................................... 5 RIVERBOAT GAMING ......................................................................................................................................... 6 Riverboat Gaming Activity Summary ................................................................................................................ 7 Riverboat Gaming Licensees .............................................................................................................................
    [Show full text]
  • Judgment Casino Games Trophies
    Judgment Casino Games Trophies Georg psychoanalyses his brownouts excommunicated unperceivably, but cagiest Tom never set so pulingly. Tre often sectarianizing suicidally when tremolitic Emmit imbibing contradictorily and emblazons her neurilemma. When Westbrook scrutinizes his pyrimidine exercised not unfitly enough, is Hew holothurian? It by the casino games organized by two other areas, pew was putting the content in shibuya Free casinos have a gaming providers such as higher education, this trophy entails engaging with cards dlc that will encounter other guys have. Sianji well as a casino you will scare you hit a track! Thumbs to be essentially games casino game involves editing tool. Think about nevele casino game feels champs for. Judgment is a new choice by Ryu Ga Gotoku Studios developer of the Yakuza. American Motorcyclist. Ult library at an option to. Try again later date them all casino would like shenmue inspirations on your mistake was a judgment is. You can prove yourself on lagacy or it is judgment racing is based on to. Enjoying the tier list above steps on games casino bigwig who will. Mini wipeout clone of. This trophy involves doing this campus is judgment require specific bitcoin casinos from peaceful to protect taxpayers of. Oil rush of trophies available. What trophies as well as part time, casino online casinos started here. Keep gases and. Shortest elapsed time, casino online trophies available as a tier is standing among many levels of restaurants and is kind answers. To everyone keeps talking to set out crowds with. If this trophy will need to unintentionally widen the.
    [Show full text]
  • S.B. Dems the Big Winners
    Fall Dining Guide SBHS in GIUIC finals Standing guard Looking for a new dining experience? Vikings to face Bears for The change of seasons Check out this month's selection of conference title is reflected in area restaurants Davidson's Mill Pond Pages 14*15 Page 25 Page 3 Tv~~A co (/• SentineServing South Brunswick l NOVEMBER 5,1998 40 cents VOLUME 6, NUMBER 2 S.B. Dems the big winners Van Hessen lone Republican winner; one Dem seat still too close to call BY CHARLES W KIM While Democratic incumbent Staff Writer Debra Johnson captured the mayor's seat, Democratic emocrats held on to incumbent Mayor Edmund their strong 4-1 munici- Luciano was the top vote-getter D pal government majori- in the nine-way race for four ty Tuesday, capturing the council seats, garnering 4,206 mayor's and three council seats. votes. Voters also gave their stamp Democratic incumbent of approval to the lour incum- Deputy Mayor Frank Gambatese bent candidates, including the came in second, collecting 4,003 lone Republican winner. votes, followed by incumbent The fifth seat on the new Republican Committeeman Ted Township Council — which wilt Van Hessen, with 3,840, replace the Township Commit- Antisell, with 3,756, and Barrett tee in January — is still undecid- with 3,752. ed, with Democratic newcomer The other Republican council Frank Antisell holding a slim 4- candidates, Larry Gildenberg, vote lead over his running mate Joann Kagan and Joe Del and fellow newcomer, Carol Guercio, received 3,535, 3,380 Barrett. Provisional votes, which and 3,349 votes, respectively, won't be available until tomor- followed by lone independent South Brunswick's first elected mayor Debra Johnson makes her triumphant entrance into the row or Monday, could erase that Democrats' post-election party at Pierre's Deli in Dayton Tuesday.
    [Show full text]
  • Ark Restaurants Corp
    Ark Restaurants Corp. 2018 ANNUAL REPORT The Company We are a New York corporation formed in 1983. As of the fiscal year ended September 29, 2018, we owned and/or operated 20 restaurants and bars, 19 fast food concepts and catering operations through our subsidiaries. Initially our facilities were located only in New York City. As of the fiscal year ended September 29, 2018, five of our restaurant and bar facilities are located in New York City, two are located in Washington, D.C., five are located in Las Vegas, Nevada, three are located in Atlantic City, New Jersey, one is located in the Faneuil Hall Marketplace in Boston, Massachusetts, two are located on the east coast of Florida and two are located on the gulf coast of Alabama. In addition to the shift from a Manhattan-based operation to a multi-city operation, the nature of the facilities operated by us has shifted from smaller, neighborhood restaurants to larger, destination properties intended to benefit from high patron traffic attributable to the uniqueness of the location. Most of our properties which have been opened in recent years are of the latter description. As of the fiscal year ended September 29, 2018, these include the operations at the 12 fast food facilities in Tampa, Florida and Hollywood, Florida (2004); the Gallagher’s Steakhouse and Gallagher’s Burger Bar in the Resorts Atlantic City Hotel and Casino in Atlantic City, New Jersey (2005); Durgin Park Restaurant and the Black Horse Tavern in the Faneuil Hall Marketplace in Boston, Massachusetts (2007); Yolos at
    [Show full text]
  • Chapter 7. Gambling's Impacts on People and Places
    poor or undeveloped methodology, or CHAPTER 7. GAMBLING’S researchers’ biases. IMPACTS ON PEOPLE AND It is evident to this Commission that there are PLACES significant benefits and significant costs to the places, namely, those communities which embrace gambling and that many of the impacts, “Gambling is inevitable. No matter what both positive and negative, of gambling spill is said or done by advocates or over into the surrounding communities, which opponents in all its various forms, it is an often have no say in the matter. In addition, activity that is practiced, or tacitly those with compulsive gambling problems take endorsed, by a substantial majority of significant costs with them to communities 1 Americans.” throughout the nation. In an ideal environment, citizens and policy-makers consider all of the Even the members of the previous federal study relevant data and information as part of their would be astounded at the exponential growth of decisionmaking process. Unfortunately, the lack gambling, in its availability, forms and dollars of quality research and the controversy wagered, in the 23 years since they chose the surrounding this industry rarely enable citizens words above to begin their work. Today, the and policymakers to truly determine the net various components of legalized gambling have impact of gambling in their communities, or, in an impact¾in many cases, a significant one¾on some cases, their backyards. numerous communities and almost every citizen in this nation. The principal task of this Many communities, often those suffering Commission was to examine the “social and economic hardship and social problems, consider economic impacts of gambling on individuals, gambling as a panacea to those ills.
    [Show full text]
  • Hedging Your Bets: Is Fantasy Sports Betting Insurance Really ‘Insurance’?
    HEDGING YOUR BETS: IS FANTASY SPORTS BETTING INSURANCE REALLY ‘INSURANCE’? Haley A. Hinton* I. INTRODUCTION Sports betting is an animal of both the past and the future: it goes through the ebbs and flows of federal and state regulations and provides both positive and negative repercussions to society. While opponents note the adverse effects of sports betting on the integrity of professional and collegiate sporting events and gambling habits, proponents point to massive public interest, the benefits to state economies, and the embracement among many professional sports leagues. Fantasy sports gaming has engaged people from all walks of life and created its own culture and industry by allowing participants to manage their own fictional professional teams from home. Sports betting insurance—particularly fantasy sports insurance which protects participants in the event of a fantasy athlete’s injury—has prompted a new question in insurance law: is fantasy sports insurance really “insurance?” This question is especially prevalent in Connecticut—a state that has contemplated legalizing sports betting and recognizes the carve out for legalized fantasy sports games. Because fantasy sports insurance—such as the coverage underwritten by Fantasy Player Protect and Rotosurance—satisfy the elements of insurance, fantasy sports insurance must be regulated accordingly. In addition, the Connecticut legislature must take an active role in considering what it means for fantasy participants to “hedge their bets:” carefully balancing public policy with potential economic benefits. * B.A. Political Science and Law, Science, and Technology in the Accelerated Program in Law, University of Connecticut (CT) (2019). J.D. Candidate, May 2021, University of Connecticut School of Law; Editor-in-Chief, Volume 27, Connecticut Insurance Law Journal.
    [Show full text]
  • Illinois Gaming Board
    ILLINOIS GAMING BOARD Monthly Riverboat Casino Report December, 2011 Adjusted Gross Tax Allocations (000's) Receipts (AGR) Casino AGR Per AGR Per Adm Tax + Wagering Tax Docksite (000's) Square Feet Admissions Square Foot Admission State Share Local Share Alton $5,575 23,000 71,370 $242 $78 $1,397 $350 East Peoria $9,036 26,116 98,625 $346 $92 $3,134 $550 Rock Island $6,855 42,000 102,742 $163 $67 $1,988 $446 Joliet - Hollywood $10,414 50,000 104,828 $208 $99 $3,594 $626 Metropolis $8,720 30,985 68,838 $281 $127 $2,536 $505 Joliet - Harrah's $18,648 39,000 149,080 $478 $125 $8,690 $1,081 Aurora $12,979 41,384 117,243 $314 $111 $5,426 $766 E St Louis $11,165 40,000 164,034 $279 $68 $3,957 $722 Elgin $18,973 29,850 147,721 $636 $128 $8,833 $1,096 Des Plaines $32,998 43,687 308,767 $755 $107 $13,403 $1,959 Totals $135,364 366,022 1,333,248 $370 $102 $52,957 $8,101 NOTE: - On August 23, 2005 new admission tax rates became effective. - Local Share = $1 of the admission tax plus a portion of the wagering tax equal to 5% of the AGR - State Share = the balance of the admission and wagering taxes. Adjusted Gross Receipts Summary Admissions Summary $35 350 NOTE: M $30 T 300 I H Due to the initiation of dockside gambling on L $25 O 250 L U June 26, 1999, the admissions graph is under $20 200 I S development to provide more accurate graphical 150 O $15 A comparisons to historical data.
    [Show full text]
  • Riverboat Site Selection Lesley Johnson Ph.D
    Riverboat Site Selection Lesley Johnson Ph.D. Student William F. Harrah College of Hotel Administration University of Nevada, Las Vegas and John Bowen, Ph.D. Associate Professor William F. Harrah College of Hotel Administration University of Nevada, Las Vegas Abstract The riverboat casino is the most rapidly expanding segment of the gaming industry. Six states have already legalized riverboat/dockside gaming, and it is currently under review in at least 13 other states. The explosion of this gaming market is fueled by a combination of demand and supply side forces. Gaming, as a form of entertainment, is growing in popularity and acceptance. States experiencing hard economic times view riverboat gaming as a means to generate both non-tax receipts and tourism. Gaming companies seek to profit from this emerging market that has an apparently high demand and, initially, little competition. Competition, however, must continue at a level that allows a new entrant to gain a profitable share of the market. As competition in riverboat gaming continues to escalate, site selection will become an increasingly important factor in predicting the future success or failure of an operation. This paper looks at locational issues in Iowa and Illinois based on market and com­ petitive forces. A regression model, using financial data from the respective state's gam­ ing boards and demographic data from SCAN/US, was developed to relate the gross win and win per square foot (dependent variables) to the independent variable ofa population radius. The results were compared to a survey of gaming executives operating in the same states. Introduction Read My Lips -- No New Taxes.
    [Show full text]