Springfield City Council To Review MGM Casino Deal

May 3, 2013

City councilors in Springfield Massachusetts  appear ready to act quickly on the proposed casino development agreement with MGM Resorts International.   The casino operator wants the citywide voter referendum to take place in mid-July.  Casino opponents have little time to mount an effective campaign. 

Credit MGM Springfield

       The city of Springfield has posted on its website the full text of the host community agreement between the city and MGM Resorts International which is proposing to build an $800 million resort casino in the south end of the city’s downtown.  The agreement, signed by Mayor Domenic Sarno and MGM Springfield President Bill Hornbuckle earlier this week,will be formally transmitted to the Springfield City Council on Monday.

       City Council President James Ferrera said he will schedule special meetings if necessary next week for the council to ask questions about the agreement and vote on it.

       Longtime city councilor Kateri Walsh said there is a lot of excitement  in Springfield about MGM’s proposal and the council does not want to dampen the enthusiasm by dragging its feet. She said the consensus is the mayor negotiated a good deal for the city.

       Michael  Kogut, who heads Springfield Citizens Against Casino Gaming ,is trying to convince city councilors to wait until November to hold the voter referendum.

       The casino opponents don’t have a website, or lawn signs or bumper stickers. MGM has spent millions already to promote its Springfield casino project. Part of this was to win community support in the competition with Penn National Gaming, which had proposed a resort casino in another part of downtown.

       Hornbuckle said MGM is counting  on the voter referendum to demonstrate  to the Massachusetts Gaming Commission that  there is strong community support for the project.

       MGM is expecting to compete for the lone casino license  available in western Massachusetts with projects in Palmer and in West Springfield. A voter-approved host community agreement is a prerequisite for a casino operator  to seek a license from the gaming commission.

       MGM’s Springfield project has been well received by key members of the city’s business, cultural and minority communities. Jose Claudio, of the New  North Citizens Council, had supported Penn’s rival casino project, but is  now on board with MGM

       Springfield business owner Richard Rousseau said the casino project marks a real turning point in the city’s history.

       The host community agreement commits MGM to specific building designs, employment goals, and annual payments to the city that total more than $25 million. There are other “ perks” such as a downtown skating rink, improvements to parks and golf courses, and 50 units of downtown housing.  MGM will also book a  dozen  events a year in existing entertainment venues in Springfield for the next eight years.