Off-track betting operator Sportech said Tuesday that its business could be damaged if it’s not involved in the one or more new casinos state regulators might approve.
Ted Taylor, managing director of the UK online betting giant, told members of the Public Safety & Security Committee on Tuesday that the combination of a coming MGM casino in Springfield, Mass., and the possibility of a casino near the northern I-91 area that doesn’t involve Sportech would “devastate the business” because the company has OTB parlors in Hartford, Windsor Locks and New Britain.
He hopes lawmakers will steer a Hartford-area casino to Sportech’s Bradley Teletheater location in Windsor Locks, near Bradley International Airport.
Besides having rights to operate OTB parlors across the state, Sportech also provides technical services to Mohegan’s racebook, while Foxwoods uses Las Vegas Dissemination Co.
Taylor indicated that relationship isn’t enough to ensure Sportech’s involvement in any new casinos that might be approved.
He said Sportech, LVDC and the two casinos have had some discussions over the past six months.
“They’ve just been general conversations about whether we can work together so my business survives,” Taylor said.
Gaming testimony highlights jobs, social ills
Meanwhile, dozens of residents and entities submitted testimony for Tuesday’s public hearing on Senate Bill 1090.
Rodney Butler, chairman of the Mashantucket Pequot Tribal Council, submitted testimony alongside Mohegan Tribe Chairman Kevin Brown.
“If [the law is enacted] the two tribes can pool their experience and resources to construct one or more gaming facilities in locations which will best encourage gamers in Connecticut not to bring their business to Massachusetts or other states but retain it at home where it will provide Connecticut jobs and limit the erosion of amounts paid to the state … from the tribes existing facilities,” Butler’s testimony said.
The mayors of Norwich, Groton and Montville all said they supported the expansion because it would save jobs both at the casino and at the businesses that do business with them. The Connecticut AFL-CIO also said it supports the bill because of jobs, but urged for strong union agreements and a smoke-free work environment.
Anne Noble, CEO of the Connecticut Lottery Corp., said any new gaming would cannibalize lottery revenue, which totaled nearly $320 million for the state last year. That’s more than the two existing casinos combined, she noted.
To preserve lotto revenue in the face of more casinos, Noble said the legislature should approve new lottery products, such as online offerings. She also noted that in Massachusetts, the coming casinos will be required to sell state lotto products.
Sen. Tony Hwang, R-Fairfield, mounted an argument against the gaming expansion, saying the legislature should carefully study the potential economic and social impacts.
“Maybe we’re moving a little bit too quick,” Hwang said.
Rep. Stephen Dargan, D-West Haven, who chairs the committee, pushed back. He called Foxwoods and Mohegan good corporate citizens that have provided revenue for schools and municipal governments.
“I won’t beat up on what, I think, has been some of the best corporate citizens – not just in gaming – but for the whole state of Connecticut,” Dargan said.
Dargan said the legislature should consider any proposal that creates jobs and revenue.
Tamaro Petro, executive director of the Connecticut Council on Problem Gambling, also urged for a study, saying that rates of problem or pathological gambling could increase if casinos are in closer proximity.
At a press conference following the state Bond Commission’s meeting Tuesday, Gov. Dannel Malloy maintained some distance from the casino proposal.
“This was not in my budget, this is not my proposal, the legislature has to give it whatever consideration it’s going to give it,” Malloy said.
But Malloy also said that he believes the decision shouldn’t be revenue driven, because of the steady decline in gaming revenue in recent years.
