PA Contemplates Increase in Gambling
With the declining gaming revenue in Las Vegas, casinos and resorts are exploring all options to expand gaming and generate additional revenue. Las Vegas Sands Corp. filed a formal application with Pennsylvania gaming regulators to add 80 table games to its casino in Bethlehem, Pa., by early summer of 2010. The decline in Vegas resorts is mirrored by many state budgets at the same time, and these states are exploring ways to generate revenue as well. Some are doing so with new gaming legislation. Pennsylvania lawmakers, with the support of the governor, changed state gaming laws to allow the state’s slot machine-only casinos to add table games in exchange for a tax on revenues. Pennsylvania is looking to patch a severe budget deficit. If approved, the company plans to place games such as blackjack, craps, roulette, poker, and baccarat onto the Sands Bethlehem’s casino floor. Currently the casino is home to over 3,000 slot machines.
“When the first card is dealt, Sands Bethlehem instantly becomes the most convenient gaming location for millions of New York City and northern New Jersey residents,” said casino president Robert DeSalvio. Las Vegas Sands President Michael Leven said success from table games could allow the company to move forward with other expansion initiatives at the casino, including a hotel and convention space. It seems the Sands resort and Pennsylvania state government are on the same page with respect to the issue and analysts expect an agreement will be made in the near future, assuming no other fixes to the state budget can be found. “The pending addition of table games has given us a chance to review our overall strategy as it relates to the Sands, and we are optimistic this opportunity will be a positive catalyst for both the balance sheet and the future development of the property,” Leven said.
Pennsylvania lawmakers are hoping for a sure-fire way to gain revenues for the state. All US states are looking hard for ways to overcome their deficits and bring in more money. The recession was difficult on almost every state, city and local government and finding ways of reviving their economies. Gambling is proving to be a viable option if managed properly due to the overwhelming number of tax-revenue dollars it brings to the market. In 2010, gambling is expected to be utilized more and more as the country still revives from the recent recession.
Tags: legislation, Pennsylvania, recession
