Northern Maine starts new pitch for racino slots

By MARK PETERS, Portland Press Herald Writer

Copyright © 2005 Blethen Maine Newspapers Inc.

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AUGUSTA — The sales pitch for a racino in Washington County has started at the State House. Supporters like Rep. Edward Dugay, D-Cherryfield, see a harness racetrack and slot-machine hall as a needed boost for the economy of the rural, coastal county he represents.

"There is overwhelming support for something like this in Calais. I'm surprised by it," said Dugay, describing his discussions with fellow lawmakers.

But the project that the Passamaquoddy Tribe is pushing will face questions as lawmakers look into it in the coming weeks.

They will ask how a racino would affect harness racing in the state, whether a new track could succeed in the rural county, and whether gambling is the right way to help Maine's tribes develop their economies.

"It should be an interesting discussion," said Rep. Patricia Blanchette, D-Bangor.

The bill that lawmakers are expecting next week would let the tribe develop a racino with as many as 1,500 slot machines. State law now allows slot machines only at Bangor Raceway.

The Passamaquoddy Tribe would share revenue from the racino with Maine's other three tribes, as well as Washington County, the state, the harness racing industry and several special funds.

Tribal Rep. Frederick J. Moore III said the legislation would allow the racino to be built on or off tribal land. The only requirement is that it must go in Washington County.

The location raised questions for Sebastian Sinclair, president of Christiansen Capital Advisors, a Maine-based gambling consulting firm. He sees Washington County's small population and isolated location as a challenge to a racino's ability to attract gamblers and racehorses.

Sinclair said racinos typically are near population centers. In Washington County, the Passamaquoddy racino would be in a far more rural region than others in United States.

"I would be hesitant to be an investor in it," Sinclair said.

But supporters like Moore say people are constantly passing through Washington County because they have no reason to stop. He expects the racino to draw heavily from both the United States and nearby Canada.

The idea has some support among members of the horse-racing industry, who see the track as an opportunity to increase the amount of racing in Maine. They say it would prevent agricultural jobs from being lost and farms from being developed.

The state's two commercial tracks, Scarborough Downs and Bangor Raceway, took no stance on the Passamaquoddy proposal Wednesday.

Edward MacColl, an attorney for Scarborough Downs, said the state has enough days of racing now. But if racing purses grow from the slot revenue from Bangor, the state could see an increase in the demand.

"We would have to look at the details and see if that makes economic sense for the harness racing community as a whole," MacColl said.

Moore and members of the harness-racing community have said the Washington County proposal is not meant to compete with the existing tracks and agricultural fairs.

Assistant House Minority Leader Joshua Tardy, R-Newport, and other lawmakers say it is too early to tell whether there is support in the Legislature.

They said that some lawmakers are strictly against any new gambling, while others want to provide the tribes and Washington County with economic opportunities. Gov. John Baldacci has already said he opposes an expansion of gambling in Maine, beyond the racino that is expected to open at Bangor Raceway next year.

Calais residents backed a proposal in the 1990s for a tribal casino in their community, but the Legislature rejected it. Mayor Vinton Cassidy said he and residents of the city are just starting to learn about the new proposal.

"I think people have heard bits and pieces," Cassidy said.

In a related matter, a legislative committee heard testimony Wednesday from the Penobscot Nation, which wants to operate slot machines at its high-stakes bingo hall. The tribe says it would support the Passamaquoddy racino, but is pushing its own proposal as well.

Staff Writer Mark Peters can be contacted at 623-1031 or at: