State still rambling about gambling

Patrick adamant on casino issue

BOSTON. The financial merits and drawbacks of expanded gambling in Massachusetts drew stark debate during a Legislative hearing yesterday, as Gov. Deval Patrick pushed a plan he argued would bring in necessary revenue and jobs as the state faces a huge financial shortfall.

Patrick made his first pitch to the Legislature since his September proposal to add three resort casinos. He said the move would generate $2 billion of economic activity, creating an annual net revenue of $400 million for the state, as well as 20,000 jobs that will add between $50 million and $80 million in new tax revenue.

Lawmakers, advocacy groups, developers and casino executives participated in the all-day hearing, held by the Committee on Bonding, Capital Expenditures and State Assets. While many arrived in support of expanded gambling, some disagreed with Patrick on the number of casinos proposed and his administration’s revenue estimates.

Las Vegas Sands CEO Sheldon Adelson, who has strong ties to the Bay State and has expressed interest in bringing operations here, said building three resort casinos “is too many.”

“The more casinos you put up, the more dilution there is,” Adelson told reporters before testifying at the hearing.

Meanwhile, others drew different conclusions from Patrick on the projected revenue from casinos. Gary Loveman, chief executive of Harrah’s Entertainment Inc., reportedly called the $400 million estimate much too conservative. But Michael Widmer, the president of the Massachusetts Taxpayers Foundation, said Patrick’s net revenue figure was between $100 million and $200 million too high.

Many other questions remain about the future of expanded gaming, which will require Legislative approval. While expected casino revenue provided the bulk of the conversation yesterday, testimony often shifted to its place in Massachusetts.

Proponents argued gambling already exists in Massachusetts, which is also losing millions from people spending money at Connecticut’s two casinos. Mayor Thomas Menino also renewed his call for expanded gaming at Suffolk Downs, saying the city desperately needs the added jobs and revenue.

But Sen. Susan Tucker, D-Lawrence, said casinos would change the state’s political landscape, as well as prey on those who might fall victim to addiction.

“Why are we welcoming an industry that requires addiction counselors?” Tucker said.