Does the legislation authorize a casino in Prince George’s County? If so, how sooncould plans for a casino move forward?
The legislation authorizes an additional site in Prince George’s County only if: (1) a majority of Maryland voters vote in favor of the question to expand gaming on the November 2012 ballot; and(2) a majority of voters in Prince George’s County approve the same question. The Commission maynot permit the operation of that facility before the earlier of July 1, 2016 or 30 months after theBaltimore City facility is open to the public.
Does it allow for a casino located somewhere else besides National Harbor?
The legislation does not specify National Harbor but allows for a competitive bidding process,contingent on local zoning approval, thereby affording competition, transparency, local control, andmaximum return to State taxpayers
Is there a provision minimizing the impact on Baltimore City and Anne ArundelCounty if a Prince George’s County casino is built?
Yes. The bill includes a “hold harmless” provision to ensure that Baltimore City and Anne ArundelCounty’s local impact grants are not reduced because of the addition of an additional site.PricewaterhouseCoopers, a gaming consultant to the State, estimated that a new Prince George’sCounty site will have an impact on facilities in Anne Arundel and Baltimore City. The magnitude of the impact would warrant an increased operator share of 6-10%. In recognition of that fact, if a videolottery facility is licensed in Prince George’s County, the Baltimore City and Anne Arundel Countyfacilities may retain an additional 5% of their video lottery proceeds for marketing, advertising,promotional costs, and/or capital improvements to their facilities. This will help them remaincompetitive in a new market, and maximize the return for the State.After thoroughly reviewing all relevant data and reporting to the Governor and General Assembly,the State Lottery and Gaming Control Commission, with legislative oversight, may also increase theBaltimore City and Anne Arundel facilities’ percentage by not more than 5% percent of the videolottery terminal proceeds. It is in the State’s interest to preserve viable facilities. Importantly, thisexpansion of sites will generate significant new revenue for the Education Trust Fund.
What about the other facilities?
The percentage of the video lottery proceeds distributed to other licensees is as follows:Rocky Gap: Current law provides that Rocky Gap will receive 50% of the video lottery proceeds for10 years and, after 10 years, 43% provided that each year 2.5% of the proceeds is used for capitalimprovements.Ocean Downs: The legislation provides that, as of July 1, 2013, Ocean Downs will receive apercentage equal to 43% of the video lottery terminal proceeds if the facility has fewer than 1,000machines and spends at least 2.5% of those proceeds annually on capital improvements.Perryville: Current law provides that the Perryville facility receive 33% of the video lottery terminalproceeds.The legislation also provides that licensees receive an additional 6% of the proceeds if they own orlease the video lottery terminal devices and associated equipment and software. This will generatesignificant savings for the State and the Education Trust Fund, as the State is currently responsible