MGM, Hard Rock casinos to duke it out
Date: 7/19/2013
By G. Michael Dobbs
news@thereminder.comSPRINGFIELD – While the victory at the polls means the MGM casino proposal will move on to the State Gaming Commission (SGC) for consideration, that doesn’t mean the next few months, will be quiet.
The group opposing the MGM proposal still intends to fight the downtown casino and the contest between MGM and Hard Rock International’s proposal in West Springfield will heat up.
The day after the vote, MGM officials said they are taking their message that MGM is the best choice for the region to other communities.
“MGM executives were already on the phones with mayors, town managers and heads of regional organizations in the surrounding communities, Bill Hornbuckle, MGM Resorts and MGM Springfield president, said. “We are eager to continue this and connect personally with surrounding community leaders who will play an important role in the selection process. We have taken a comprehensive approach to the design and overall development of this project. And have always had regional partnerships and opportunities in mind.”
Hornbuckle also said of the vote, “MGM is grateful to the voters of Springfield for their engagement and participation and for enthusiastically saying yes to jobs, yes to downtown revitalization and yes to more opportunity and hope.
“During a midsummer heat wave Springfield residents came out and voted in strong numbers in this election. Leaving no doubt that this citizenry will not let anything get in their way of a brighter future for them and their children.”
The agreement between Hard Rock New England and the city of West Springfield was announced last week and was promptly passed by the City Council. A referendum date of Sept. 10 has to be approved by the council.
While the margin of 57 percent in favor and 42 percent opposed was a definitive win, it was a not a landslide and Michael Kogut of Citizens Against Casino Gaming said, “We continue to feel strongly that an urban casino in Springfield is not appropriate.”
He added the group plans to meet soon to organize a presentation they hope to make to the SGC. Kogut thanked the support the group received from Dr. Mark Mullan, the Episcopal Diocese, the Council of Churches and many churches and pastors in the Latino community.
Political consultant Anthony Cignoli, who is a former partner with Hard Rock in its bid to buy Tower Square for a Springfield casino site, explained to Reminder Publications that while MGM’s victory is significant, the SCG might compare the percentage of voters who participated in the election – nearly 25 percent – with the amount that MGM spent so far in its quest for a license. Another comparison might be made between competing communities: how many people will vote in West Springfield and Palmer for their developments.
“All 64 precincts [in Springfield] voted yes,” Cignoli said. “When was the last time all 64 precincts agreed?”
Cignoli said that MGM had spent $10.3 million prior to the election and reported another $1 million spent on the election campaign. He believes the next report will show MGM spent an additional $1 million. If that proves true and the total sum is $12 million to date, MGM ultimately spent $858.80 on each voter who approved the development.
There are bigger issues though besides the vote, he noted. The casino legislation emphasized three qualifications: which developer will pay the most state taxes, which will pay the most in local taxes and which will have the least negative impact on the community.
The election was just “the first hurdle,” Cignoli said.
Jim Allen, Hard Rock International CEO, has been framing the contest as a fight between MGM and Hard Rock, Cignoli said. Differences between MGM and Hard Rock in the amount of mitigation funds to abutting communities may prove to be a large issue, he added.
If Hard Rock proves successful in its bid and wins the lone license for Western Massachusetts, state officials may have concerns about the future of the MassMutual Center. James Rooney, executive director of the Massachusetts Convention Center Authority, came out endorsing the MGM plan, Cignoli noted.
There are many political heavy hitters involved behind the scenes in this struggle and Cignoli noted that one of the Hard Rock’s partners is Suffolk Construction headed by John Fish, whom he described as “one of the most powerful men” in the state.
“This is a political scientist and political consultant’s dream to watch,” Cignoli said.
