New Hampshire Senate Passes Casino Bill
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By Lynne Snierson
The New Hampshire Senate narrowly passed a bill 13-11 late in the evening March 12 that would allow the development of two casinos in the state.
The measure faces an uncertain future in the House of Representatives, which has killed every piece of expanded gambling legislation brought to the floor in modern times.
Senate Bill 113, which is very similar to a version that cleared the Senate 18-6 last year, calls for the development of one large casino with 3,500 slot machines and 160 table games along the state's southern border, and a smaller casino with 1,500 slots and 80 table games to be located in another region.
The two casinos would have license fees of $80 million and $40 million, respectively, and the state coffers would receive 35% of the gross slots revenue and 18% of the combined table game profits. This year's version of SB 113 includes $50 million in revenue-sharing with local communities.
The House voted down last year's Senate bill by a single vote in March. With about 100 new representatives in the 400-member lower chamber, supporters and opponents say they are unable to count votes reliably at this juncture and cannot predict the outcome.
"We are cautiously optimistic that House members will embrace this proposal. There is growing support for SB 113 in both sides of the aisle," said Scott Spradling, a spokesperson for Millennium Gaming of Las Vegas, which since 2007 has held the option to purchase Rockingham Park should casino gambling become legal in New Hampshire.
If the favorable legislation is enacted and Millennium Gaming wins the competitive bidding process for the large casino, officials have stated that the return of live Thoroughbred racing at Rockingham Park will be part of the revitalization plans for the 109-year-old racetrack.
Rockingham Park has not hosted a live Thoroughbred meet since 2002 and Standardbred racing came to an end at the completion of the 2009 season. Rockingham's current owners recently closed on the deal to sell 50 acres located in what was the stable area to a local real estate developer.
There are no provisions to mandate, fund, or regulate live racing in the bill.
While expanded gambling opponents steadfastly cite increased addiction, crime, bankruptcy, and other social problems as reasons not to pass the bill, supporters tout its multimillion dollar economic benefits. Job creation and boosts to state and local revenue are positive aspects cited, in the face of increased competition from three resort casinos that are in the planning stages in Massachusetts.
The single Massachusetts slots parlor at Penn National Gaming Inc.'s new $225 million Plainridge Park Casino is set to open in June and includes a harness racing track.
"We are grateful to the New Hampshire Senate for embracing a casino plan that has broad bipartisan and popular support in our state," Spralding said. "Senate Bill 113 has tough regulations to ensure fairness and it is crafted to ensure that our state's casinos can successfully compete against Massachusetts casinos."
The New Hampshire House Ways and Means Committee is expected to hold a hearing on SB 113 later this month. It remains uncertain if Democratic Gov. Maggie Hassan, who has called for a single destination casino in the state, will sign the bill should it pass the House. Her office has refused comment.
In related news, the Massachusetts House of Representatives passed a supplemental budget bill Mar. 12 that paves the way for the two-year agreement between Suffolk Downs and the New England Horsemen's Benevolent and Protective Association, for the horsemen to lease the racetrack and operate a live meet.
The language in the bill would authorize from one to 50 days of live racing. A critical component of the bill allows the New England HBPA to utilize a portion of the monies allocated for purses in the new Race Horse Development Fund to partially cover the operating and administrative costs of the meet.
Another critical component of the Massachusetts bill repeals the onerous tax on gambling winnings of $600 and raises the threshold of $1,200 to fall in line with federal law. The state tax, instituted in 2013, contributed to the steep decline in wagering on live and simulcast wagering.
Suffolk Downs chief operating officer Chip Tuttle and New England HBPA officials were unavailable for comment.
The Massachusetts Senate is supposed to take action on the bill next week.