Gambling operator MGM Resorts International filed on Tuesday a lawsuit against Connecticut in an attempt to prevent a tribal casino from being built not far from the state border with Massachusetts. If launched, the venue will be a direct competition to MGM’s $800-million Springfield casino.
In its filing to the US District Court in New Haven, the gambling operator called for the gaming act that was signed late in June and that authorized Connecticut’s two federally recognized tribes – the Mashantucket Pequots and the Mohegans, to open a joint gaming facility to be ruled unconstitutional. State Governor Dannel Malloy, who actually signed the act, was named the lawsuit’s defendant.
Bill Hornbuckle, President of MGM Resorts, said in a statement that they had decided to file the lawsuit due to the preferential treatment the two tribes were offered by Connecticut. The executive also revealed that the gaming operator applied for a gambling license in the state but its application was rejected last week.
Mr. Hornbuckle noted that his company has always strived to compete “for commercial casino development opportunities” and it would like to be given such opportunities in Connecticut as well. He further commented that although MGM Resorts supports tribal gaming under the Indian Gaming Regulatory Act, it considers it unconstitutional and unfair that the two tribes were the only bidders to be allowed to negotiate with potential host communities for a third casino in Connecticut.
Currently, the Mashantucket Pequot Tribe runs Foxwoods Resort Casino and the Mohegan Tribe is in charge of Mohegan Sun. Both casinos are located on tribal land. However, the third state casino, which is to be jointly operated by the two Indian nations, would be located on government-owned land. This is why Mr. Hornbuckle believes that more bidders should be allowed to apply for this third gambling license.
As mentioned above, Gov. Malloy signed the casino bill late in June. Lawmakers, the governor included, passed the proposed legislation in an attempt to protect Connecticut’s gaming revenue and to blunt competition from neighboring states, Massachusetts in particular.
According to local media, three municipalities have already expressed interest to host the future casino – East Windsor, East Hartford, and Enfield. All three of them are located near Interstate 91.
Although planning on the new gaming facility has just started, tribes are targeting a 2017 launch. In comparison, MGM is to open doors in September 2018 due to delay in the rehabilitation of the Interstate 91 viaduct in Springfield. This means that if eventually completed, the Connecticut casino would beat in opening date its Massachusetts rival by more than a year.
