Today the Massachusetts Gaming Commission (MGC) announces the official release of the first application in a two-phase application process toward the award of a commercial expanded gaming license for southeastern Massachusetts (Region C). As the result of a recent Commission decision to begin the commercial gaming application process in Region C, MGC is now issuing the Phase 1 Request for Applications for Category 1 (casino) gaming licenses.  Gaming applicants will then have close to four months to complete the applications and pay a non-refundable $400,000 application fee. The deadline for submission is September 30, 2013 at 5:00 PM.

The Phase 1 application process, which will determine an applicant’s suitability in matters related to finance and integrity, requires gaming applicants, as well as key employees and investors, to complete the following forms: a Multi- Jurisdictional form, a Business Entity Disclosure form and a Massachusetts Supplementary form. MGC also provides applicants with detailed instructions as well as specimen forms to designate information deemed confidential under the governing statute and regulations.

Chairman Crosby stated, “Today’s release of Phase 1 applications for Region C further demonstrates the Commission’s steadfast commitment to ensuring statewide economic development and job creation.”

Consistent with MGC’s licensing process in Regions A (Eastern Massachusetts) and B (Western Massachusetts), MGC will conduct a bifurcated process, Phase 1 and Phase 2, to first allow for the determination of background qualifications and suitability of applicants in advance of the review of an applicant’s entire or ‘site specific’ application. MGC believes that the pre-qualification process will achieve the following: expedites the identification of applicants in the first stage of the process who do not meet the necessary integrity or financial standards; vetting out unqualified applicants, sparing host communities from extended negotiations with an applicant only to have the proponent of that project later determined to be unqualified for the required license; allow the licensing process to begin sooner with a first stage that will not require a complete project description, preparation of which would entail significantly more time and expense for all parties concerned; and save applicants, host and surrounding communities, relevant government agencies and the interested public the time and expense of reviewing complex developmental plans that may never proceed past the first stage.

Background:

In southeastern Massachusetts, possible casino gaming is complicated by Federal Indian Gaming Regulatory Act (IGRA) provisions which allow casino gaming by Indian Tribes.   The Massachusetts Gaming Act provided a window until July 31, 2012 for the Governor to negotiate and the Legislature to approve a “compact” with one or more Indian tribes for the right to operate a casino in the southeast region.

With the approval of the Legislature, the Governor signed a compact with the Mashpee Wampanoag Tribe on July 30, 2012. The Compact was returned to the Governor’s Office from the Department of Interior requiring renegotiation. The Mashpee Wampanoag Tribe has purchased land in Taunton, MA, and must have that land put into trust for gaming purposes by the federal Department of Interior before they can begin casino development.

On March 20, 2013, Governor Deval Patrick and Chairman Cedric Cromwell announced that a new gaming Compact between the Commonwealth and the Mashpee Wampanoag Tribe had been signed. The Compact has been sent to the Legislature for approval.

On April 18, 2013, the Massachusetts Gaming Commission adopted a plan to open Region C to commercial applications. Under this plan, the Commission will open Region C to commercial applications; however, the determination whether to issue a commercial license will take into account the totality of economic circumstances including status of the Tribe’s plans as they exist at the time of the licensing decision, which is anticipated to be in late 2014.