The Seminole Tribe has a five-year agreement with the state of Florida to provide visitors of its casinos with blackjack as well as other table games. This agreement, however, is about to expire on July 31, 2015. By that time, the state will have been paid more than $1 billion in various fees by the Seminoles.
In return, they were provided with a gambling monopoly, which caused their competitors’ constant whining and brought up discussions suggesting that the tribe’s agreement should not be renewed.
This agreement, which is part of a 20-year compact, could easily be defined as the most controversial gambling issue the state of Florida is going to face this year.
As it was reported, the new deal is planned to be negotiated by representatives of the Seminole Tribe and Gov. Rick Scott. Then, it will be approved by the Legislature, which is expected to announce its decision during its next session on March 3.
Steve Geller, who has previously been the president of the National Council of Legislators from Gaming States as well as a state senator, pointed out that “what’s going to happen is wrong”.
According to local legislators, gambling experts and operators, the Legislature should not approve the agreement, if it does not benefit gambling venues at dog tracks, horse tracks, and the so-called jai-alai frontons. These have long been complaining about their 35% tax on slots as well as about not being able to offer blackjack at their properties.
Andy Gardiner (R-Orlando), who was elected Senate president, and other local legislators are known to be champions of an anti-gambling policy in the state. This is why they are likely to vote against any gambling-related agreement.
It was announced that if the Seminoles’ agreement is not renewed, the tribe will be given 90 days to shut down its blackjack operations.
Between 2013 and 2014, the Seminoles received the total amount of $2.1 billion out of gambling activities. Under its agreement with the state, the tribe needed to pay $130 million, in order to be able to offer blackjack and other table games. What is more, the Seminoles also paid approximately $120 million, in order to be able to operate slot machines at their venues in Immokalee, Tampa, and Brighton.
If no agreement is reached between the tribe and Florida, the state will lose that significant sum of $130 million it receives out of blackjack fees.
Isadore Havenick, vice president of Miami’s Magic City Casino, stated that if the pari-mutuels do not benefit from a new deal, they will face serious financial problems. As previously reported, Mr. Havenick and representatives of the other South Florida-based racinos discussed the matter with Gov. Scott back in January.
Last year, all eight racetrack casinos in Miami-Dade and Broward earned the total amount of $531 million out of poker and slot machines. By comparison, the Seminole Hard Rock Hollywood solely generated $528 million out of slots, table games, and poker.
