Officials for Connecticut’s two federally recognized tribes – the Mohegans and the Mashantucket Pequots, told state legislators on Tuesday that federal officials had assured the proposed construction of a third casino would not jeopardize any gambling agreements reached between the state and the two tribes.
The Mashantucket Pequot tribe currently operates Foxwoods Resort Casino and the Mohegan tribe owns Mohegan Sun. Tribal officials provided legislators with copies from a letter sent by the current Assistant Secretary for Indian Affairs at the country’s Department of Interior – Lawrence S. Roberts.
It is said in the latter that the existing gambling compact, under the terms of which Connecticut is provided with 25% of net revenue from slot machines in return for securing the two tribes with the exclusive rights to operate gambling venues within the state’s borders, would not be affected by the opening of a third casino.
The Mohegan and the Mashantucket Pequot tribes proposed to develop jointly a third casino in Connecticut’s northern part in a bid to blunt competition coming from the $950-million MGM Springfield casino, which is set to open doors in the fall of 2018.
Mohegan Tribe Chairman Kevin Brown said on Tuesday that the two tribes are fighting together to build a gambling venue that would probably mitigate losses coming from the launch of MGM Springfield. Mr. Brown added that the Bureau of Indian Affairs’ confirmation is an extremely important step forward.
Last year, Attorney General George Jepsen said that the proposed legislation calling for amendments in state laws to allow for the establishment of a third casino would put the existing revenue-sharing compact at serious risk. He further noted that if approved, the language would make it easier for local tribes to launch casinos after winning recognition. In addition to this, the proposal would give state tribes preferential treatment as it would allow them to open gambling venues on non-tribal land.
The letter from Mr. Roberts came in response to tribal requests for technical assistance on the question whether the inclusion of the two tribe’s joint venture would affect their existing agreements with the state. Officials for the Mohegan and Mashantucket Pequot tribes said that such assistance was needed before they submit the proposed legislation that would authorize the construction of the state’s third casino to the General Assembly and Gov. Dannel Malloy.
Mr. Roberts pointed out in the letter that it should not be considered advisory opinion or a preliminary decision.
A location for the third casino has not been announced yet. What is more, the two tribes have formerly said that they would do their best to present the legislation and have the necessary changes implemented before the end of this session. However, it appears that their potential approval may happen in 2017.
