Georgia makers have renewed push for the legalization of casino gambling after their efforts have failed to gain the necessary support for several years now.
Two separate, but identical, bills are to be introduced to the state Legislature, providing for the establishment of two resort destinations with casino gambling on offer. Sen. Brandon Beach is the legislator behind the Senate version and Rep. Ron Stephens sponsors the House version of the legislations to be proposed.
If passed into law, the bills would allow for the construction of two integrated casino resorts, one in the Atlanta metropolitan area and the other in another part of the state. The Atlanta project will have to feature a minimum investment of $2 billion. The developer behind the casino complex in “the secondary market”, as stated in the legislative pieces, will have to pledge to a $450-million minimum investment.
Both bills are expected to be submitted to the state Legislature this week. Aside from the two pieces, casino gambling proponents will later on introduce a constitutional amendment that would lift the ban on casino gambling. The casino effort will also have to be approved by residents in a 2018 statewide referendum.
Among other important provisions, the two bills also present clarifications on how the future casinos will be taxed, if such venues are eventually built in Georgia. Under the proposed legislations, the gambling establishments will be taxed at 20% on revenue from gaming operations. Previous bills had set a 12% tax on gaming revenue.
As explained by Rep. Stephens, 30% of the tax revenue contributions will go to a newly created needs-based college scholarship. The other 70% will go to the HOPE scholarship, a program created in Georgia in 1993 to reward students with financial assistance throughout the course of their college and university education. The HOPE program has so far been funded solely by the state Lottery.
Fears that casinos may harm Georgia’s lottery industry may turn into one of the main stumbling blocks to the proposed legislations. Other factors that may hamper the bills’ progress include concerns over the social ills that may arise from increased gambling in the state. Previous efforts have met staunch opposition, so it is too early to say whether the renewed push will meet success.
However, the provisions for the contribution of funds to education-related initiatives may help the bills gain the necessary momentum and support.
Gambling operator MGM Resorts International has been eyeing Georgia’s market for years now and it seems that it will once again hire lobbyists to try to help the casino legalization efforts. It is believed that other Las Vegas casino giants may also express interest in the local market.
