NEWS RELEASE
Media Contact for the Chamber:
Erin Murphy, 617.557.7324
March 6, 2008
Chamber Releases Casino Gaming Impact Study
After a discussion with members of our Executive Committee this morning, the Chamber this afternoon released a data and research-based report that examines the economic, fiscal, and socio-economic impacts of the casino legislation proposed by Governor Deval Patrick. This legislation, filed in October of 2007, would legalize casino gaming in the
Commonwealth
of
Massachusetts
and allow for the development of up to three large destination-style casinos in different regions of the state.
The study, entitled Casino Gaming in Massachusetts: An Economic, Fiscal, & Social Analysis and conducted by UHY Advisors FLVS, Inc., found that the creation of three destination-style resort casinos would result in $2 billion to $2.3 billion in annual gross gaming revenue (GGR) based on current conditions, netting $376 million to $429 million for general purpose funds for the Commonwealth in 2012. The study also found that 17,000 to 21,000 permanent jobs and
10,000 to 11,500 one-time construction jobs would be created. Finally, the study examined the research on potential socio-economic impacts - negative, positive, and otherwise - of casino gambling. The independent, data-based study does not take a position or make any recommendations.
The full study can be downloaded at bostonchamber.com. Key findings of the report include:
Jobs:
17,000 - 21,000 permanent jobs
10,000 - 11,500 construction jobs over a three-year period
Economic Impact:
Gross gaming revenue of $2 to $2.3 billion based on current conditions
Projected GGR of $2.7 billion in 2012
$376 - $429 million in annual net new state revenue in 2012
Societal Impact:
Potential for increased rates of problem or pathological gambling, crime, and personal bankruptcy
Potential for individuals' improved physical & mental health due to increased employment and employment-based health care
UHY Advisors FLVS, Inc. (UHY), conducted the study in three phases. First, UHY developed economic models of the demand for casino gaming and state tax revenues from ongoing casino operations, based on casino patronage and expenditure patterns in other
New England
states. Given the potential revenues from the casino developments, UHY then developed projections of job creation and annual gaming tax revenues that would accrue to the Commonwealth. Second, UHY reviewed research by academics and government concerning the socioeconomic impact of the introduction of casino gaming. Third, UHY performed field research by interviewing policymakers and stakeholders to gather additional information and perspectives on issues concerning the legalization of casino gaming.
Our intention with this report was to take a fact-based look at the economic and socio-economic impacts of casino gaming. We hope that this analysis can serve as an independent basis for further discussion of this important issue in the weeks and months ahead. As always, I welcome your feedback.