At this issue’s publication date, the Massachusetts Gaming Commission has been in operation for six months. We’ve held 27 open public meetings, hosted six public educational forums, participated in numerous speaking engagements, begun hiring key personnel and developed a $7.2 million budget.
A month ago, we launched the first phase of a two-phase “Request For Application” process, then held statewide public hearings on the regulations for this RFA Phase, and are now working with multiple active gaming applicants.
Now that the commission is formed and operating, and the licensing process is well under way, it is important to go back to the basics, to remember why the commonwealth is doing this, and then to set proper expectations for the public, participants, related businesses and the media.
From the moment Gov. Deval Patrick asked me to serve as chair of the new Gaming Commission, he made it very clear that the primary interest in expanding gaming in the commonwealth was economic development and the generation of good jobs, both construction and permanent. In that spirit, each of us on the commission is deeply aware of this mission, and are doing everything in our authority to move the process along as quickly as possible, while being rigorous and vigilant in adhering to best practices and due diligence.
If done properly, the development of three resort casinos and a slots parlor will probably generate about 10,000 construction jobs and perhaps as many permanent jobs, as well as annual tax revenue to the commonwealth of $300 million to $500 million. Recapturing the $900 million or so that Massachusetts residents now gamble in other states can, all by itself, create significant economic development and revenues in Massachusetts.
Committed To Transparency
There is understandable pressure to get these benefits flowing sooner than later. The commission shares this concern, and for that reason is setting an ambitious schedule for awarding gaming licenses. If everything goes like clockwork, the commission could be awarding licenses as early as next October, a mere 19 months from our first day together. But we will not sacrifice the integrity of this process for speed. Our foremost commitment to the people of Massachusetts and the participants in gaming is not speed; rather it is that this process will be transparent, participatory and fair.
Furthermore, there are any number of important contingencies that frequently arise in such a process as this that could extend this timeline. The RFA-Phase One “Suitability Vetting” process is comprehensive and detailed, with every aspect of financial, personal and corporate integrity assessed. The time it takes to complete these background checks, particularly for big international companies with multiple financing schemes, is unpredictable.
The process for issuing regulations in Massachusetts is appropriately extensive, public and beholden to specific timelines required by statute. Each applicant must negotiate comprehensive host and surrounding community agreements, which the commission must then carefully review. Any of these important steps can take longer than hoped for; but we think an ambitious deadline is important, and we will work to keep all participants in the process focused on concluding it as expeditiously as possible.
‘Integrity And Precision’
Sometime in the next 12 to 18 months, casino gambling and slots licenses will be issued in Massachusetts, the first step in launching a major new industry in Massachusetts. When completed, the single most important priority is that the public and the participants know the process was conducted with the utmost integrity and precision, and that Massachusetts has paved a future for a robust, financially stable and rigorously ethical gaming industry.
Stephen Crosby is chairman of the Massachusetts Gaming Commission.
