It was reported that the Mohegan Tribe and the Mashantucket Pequot Tribe might work together on the construction and the launch of up to three new gambling venue on the territory of Connecticut.
They are known to be the only two federally recognized tribes in the state and have been casino rivals for quite some time. The Mohegans are currently managing the so-called Mohegan Sun Casino Resort in Uncasville. As for the Mashantucket Pequots, they operate the Foxwoods Resort Casino in Mashantucket.
Later today, a meeting will be held between Senate Democratic leaders, tribal officials, union representatives, and casino workers, and an important announcement about the future of the state’s gambling industry is expected to be made.
It was only a week ago when tribal leaders of both tribes met Senate officials to seek support for the potential expansion of the casino industry on the territory of Connecticut. Thus, the state will be able to cope with the competition that comes from its neighbors. For instance, MGM Springfield, which is set to open doors in Massachusetts sometime in 2017, is expected to pose serious risk to Connecticut’s gambling and its revenue.
According to certain sources, the two tribes have proposed to build between one and three casinos that are to be located on the state’s borders, so as to be easily reached by players from neighboring territories.
The potential construction of new casinos in Connecticut might meet strong opposition both from legislators and operators of the 15 off-track betting venues there. The first will have to cope with yet another issue during the legislative session. And the latter are afraid that the new gambling venues might have serious impact on their operations.
What is more, MGM Resorts International has also expressed interest in building a new casino in Connecticut. The company even has sent a lobbyist there.
About a week ago, the Northeastern Casino Gaming Research Project released a somewhat troubling report on the state of Connecticut’s gambling industry. According to it, both Mohegan Sun and Foxwoods have posted a 35% decrease in revenues and the number of people they employ since 2006, when the two casinos had their peak.
Their overall revenue dropped from $3.2 billion in 2006 to $1.9 billion in the end of 2014. This was attributed to the expansion of the gambling industry in the neighboring states.
Annually, the two tribal casinos contribute 25% of their slots revenue to the state’s coffers. It fell from $430 million in 2007 to $260 million, the sum projected to be generated next year. What is more, it might even drop below $200 million, once MGM Springfield opens doors in 2017.
