Friday, June 25, 2004

Regulators to speed up on slots

Copyright © 2004 Blethen Maine Newspapers Inc.

 

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GAMBLING CONTROL BOARD

 


GAMBLING CONTROL BOARD

BOARD MEMBERS

A Gambling Control Board was established by the Legislature to oversee Maine's slot machine gambling industry. Because the board must wait until the Senate meets to consider and confirm its members, Gov. John Baldacci established the Gambling Control Advisory Council in May. The advisory council will recommend rules and procedures to the Gambling Control Board when the members are ready to assume their responsibilities.

Members of the Gambling Control Advisory Council are:

Jean Deighan, Bangor, president of an investment advisory firm

George McHale, Orrington, chairman of the Harness Racing Commission

Peter Danton, Saco, former Maine state senator and chief of staff to Gov. Joseph Brennan

Larry Hall, Dedham, formerly with the Maine State Police

Mike Peters, Dixfield, businessman

KEY EVENTS

June 10, 2003: Bangor voters approve a racino in the city.

Nov. 4: Voters approve a statewide bill for slot machines at racetracks in Scarborough and Bangor. Scarborough voters reject it in a town vote.

Dec. 30: Voters in Westbrook and Saco defeat proposals that would have allowed Scarborough Downs to operate a racino in either community.

Feb. 17, 2004: The state gives Penn National Gaming a conditional harness racing license for Bangor Raceway that may let the company install slot machines in Bangor.

April 12: A bill to regulate slot machines that Penn National Gaming hopes to install in Bangor receives preliminary approval in the House.

April 27: A bill that strengthens the state's oversight of slot machines goes to Gov. John Baldacci for his signature after its approval by the state Senate. The Senate votes 29-3, with three members absent, to create a five-member Gambling Control Board. An $8 million annual racino tax remains in the bill, despite the objections of the harness-racing industry and Penn National Gaming.

May 7: Baldacci signs the racino bill and issues an executive order creating the Gambling Control Advisory Council to get the regulatory process under way.

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BANGOR ‹ State gambling regulators said Thursday that they will put slot machines at the Bangor Raceway on a "fast track" to meet a Sept. 30 deadline for issuing a gaming license and adopting key rules.

The Gambling Control Advisory Council agreed to a three-month schedule that includes establishing regulation for Maine's first racino, hiring a state gambling control director and completing a background check of the facility's would-be operator. The state police and Attorney General's Office will provide staffing to help the council meet the schedule.

"It is the mood of this group that we get this on the fast track," said George McHale, chairman of the advisory council.

The setting of a timetable comes after Bangor residents, members of the harness racing industry and some Republican lawmakers have expressed frustration about the speed and focus of the council. A two-page timeline presented by Michael Cantara, commissioner of the Maine Department of Public Safety, eased some of those concerns.

"This is the first time we have seen something laid out like this, with specific goals," said Bill Hathaway, a Maine Harness Horseman's Association representative who attended the meeting at the Bangor Civic Center.

The timetable outlined a plan in which the council will spend July crafting gambling regulations and a request for proposals for a system that can monitor as many as 1,500 slots. In August it will focus on confirming council members as an official state board, hiring a staff and finalizing regulations. A background check of the racino operator will be completed in September, and a decision on licensing will be made.

"This is an aggressive timetable," Cantara said.

Maine voters in November approved slot machines at the state's harness-racing tracks if residents in host communities approved. Bangor voters backed slots in their city. A similar measure failed in communities surrounding Maine's other commercial harness racing track, Scarborough Downs.

Since the statewide approval of slots, a common question in Bangor and the harness racing community has been when the slots will start operating. Gov. John Baldacci signed an executive order in the spring to establish the council and ordered it to begin crafting the regulations and licensing process. However, uncertainty about the length of the process caused frustration among members of the harness racing community. "We look at today with cautious optimism," Hathaway said.

State Rep. Gary Moore, R-Standish, who accused the Baldacci administration of stalling on the racino issue, agreed that the council appears ready to meet the Sept. 30 deadline. Previously, Moore said, the council seemed inclined to invoke a clause in the racino law that allowed it to waive the deadline due to unforeseen difficulties.

"There is focus. There is direction," Moore said.

The council must write comprehensive regulations for the industry during the next two months. Cantara said the rules will address a number of subjects including security, employment and which machines can be used.

Although the council has a timetable, the actual start date for slots remains unclear. Steven T. Snyder, a senior vice president with Penn National Gaming, said licensing is just one part of the equation.

The Pennsylvania-based gaming company, which has a contract with the city of Bangor to install slots at the raceway, needs to know Maine's regulations before it can start planning a racino. Then, Penn National must seek state approval for the project and start construction, Snyder said.

"It is a very critical first step, but people need to understand it is a first step," Snyder said of Thursday's developments.

Staff Writer Mark Peters can be contacted at 791-6325 or at: mpeters@pressherald.com


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