Time to separate talks on gambling issues
Because the tribes have so much leverage due to the compact and the money that flows to the state because of it, they have little incentive to stop pursuing whatever casino plans they want.
As his administration seeks a solution to a complex web of issues surrounding the future of gambling, Gov. Ned Lamont has repeatedly stated that he is seeking an answer that will not take years for the legal system to sort out.
“As I have consistently said, our state needs to reach a global gaming resolution that will avoid years and years of complex litigation,” Lamont said last week in response to the latest wrinkle, which took the form of — you guessed it — a lawsuit, this time from MGM International challenging the federal approval of a deal that would allow Connecticut’s two Indian tribes to open a third casino in the state.
The issue has been at a stalemate for years. It dates to the 1990s when the tribes were granted exclusive rights to operate casinos in exchange for a percentage of the profits going to the state. It’s been a profitable deal for both parties, but the amount going to the state has steadily declined in recent years and other businesses — notably MGM — have asked why they can’t have a stake in the industry. The result — lawsuits.
Running on a parallel track is the debate over
sports gaming in Connecticut. With the U.S. Supreme Court last year striking down a 1992 federal law that had prohibited most states from authorizing sports betting, Connecticut has been looking to join the parade in allowing the practice. But it, too, has been bogged down in claims and counterclaims, with the tribes arguing they have sole rights in this arena, as well. Other parties claim otherwise.
The push in recent months has been some sort of grand bargain that would solve all Connecticut’s gambling issues at once — casinos, sports betting and even future economic development for places like Bridgeport and Hartford. But all those potential deals have faltered under the possibility of lawsuits from whoever doesn’t get what they want. It’s time to disentangle the issues.
Casino gambling is hopelessly entangled in the legal muck. No one except the tribes is all that excited about an East Windsor minicasino, and MGM appears hellbent on stopping that facility from ever opening. Unless the tribes abandon that plan, progress without lawsuits is impossible. But because the tribes have so much leverage due to the compact and the money that flows to the state because of it, they have little incentive to stop pursuing whatever casino plans they want.
Sports gaming also has some legal hurdles, with the tribes claiming that the compact also gives them exclusive rights in this arena. But others disagree, and the issue is not nearly as clearcut as the casino conundrum. The Connecticut Lottery, for instance, says it is ready to step in and operate sports gambling as an extension of its existing business, with all profits returned to the state.
Whatever form it takes, there is room to negotiate on sports gaming. A future for new casinos is guaranteed to see lawsuits that drag on for years. The issues need to be considered separately.