Tribal casinos aren’t just for reservations anymore and it’s becoming a coast-to-coast phenomenon. California legislators already approved one off-reservation casino, to be managed by Station Casinos. The Enterprise Rancheria of the Estom Yumeka Maidu would like to be second. They appear to have a good location but face strong opposition. Local voters don’t support the project. Also, casino opponent Cheryl Schmit has a point when she argues that the state at large, having approved on-reservation gambling, should have a say in this new, off-reservation trend. However, Schmit is also being used as a catspaw by gaming-enabled tribes. Given the somewhat higgelty-piggelty approach taken by Gov. Jerry Brown‘s administration, state Sen. Kevin De Leon (D) has it right when he says a coherent policy is needed, not a case-by-case one.
There’s an interesting, interstate skirmish being played out in North Carolina, whose government has been approached by the Catawba Indian Nation about building a casino in Cleveland County, near the historic King’s Mountain battlefield. Thing is, the Catawba reservation is in South Carolina, so the proposal would appear to fly in the face of the Indian Gaming Regulatory Act. Gov. Pat McCrory (R, left) is keeping his powder dry for the moment but GOP legislators are already vocal in their opposition. State Sen. Tom Apodaca (R) is against it on the grounds that the Catawba are interlopers, while House Speaker Pro Tempore Skip Stem sings the ‘casinos are bad’ refrain. Color this one a long shot.
Turning to our favorite gaming jurisdiction of the moment, Massachusetts, it’s imperative that Connecticut tribes essentially annex that market as an extension of their own. That’s the do-or-die message from Moody’s Investor Service, which writes, “If they are awarded licenses to operate there, their prospects will brighten considerably, but if not, both will see continuing deterioration in gaming revenue amid competition from nearby states.” There’s some cheery food for thought for Foxwoods Massachusetts and Mohegan Sun to digest over the weekend.
Pennsylvania is full. Gambling revenue dropped 2% in the Keystone State last 
month, with Sands Bethlehem and Harrah’s Philadelphia missing Deutsche Bank projections by $1 million and $4 million, respectively. Harrah’s had a particularly bad month, down -12.5%, with customers seeming fleeing to Parx Casino (up 5%) and Valley Forge Casino Resort (+50%). Sugar House was down 2%, in a month that caused one to question yet again why Pennsylvania regulators are determined foist a fifth casino upon the Philadelphia market. You’re tugging on a dry udder, boys.
Outstate, Sands Bethlehem was 1% off last year’s pace and Presque Isle Downs (-11%) continues to lose customers to the otherwise disappointing Ohio market. Penn National Gaming‘s racino fell 7% but Neil Bluhm‘s Rivers Casino in Pittsburgh gained 2%, while Mohegan Sun dropped off by 6%. That squealing sound you hear is the Pennsylvania market reaching the point of inelasticity.
“the proposal would appear to fly in the face of the Indian Gaming Regulatory Act” I think Indian gaming flew way beyond that quite a while ago, just like corporate land based casinos skirting regulations on cruising the rivers!
Penn is tapped out and I do like the little Valley Forge, so good for them.