If You Can’t Beat ‘Em, Join ‘Em: MGM Pitches New Connecticut Casino

Despite being unable to halt the progress of a collaborative casino project between Connecticut’s two gaming tribes, the Mohegan and the Mashantucket Pequot, MGM Resorts has shifted its focus to Plan B. They are now presenting a proposal to the state of Connecticut for a $675 million casino project in Bridgeport.

Situated on the Connecticut-Massachusetts border in East Windsor, CT, the tribal casino has already obtained approval. Conveniently, it is only a short 15-minute car journey away from MGM’s highly anticipated billion-dollar casino in Springfield, MA.

It goes without saying that MGM was against the idea right from the start.

MGM trying to compete with East Windsor project

MGM, following an unsuccessful appeal to halt the construction of the tribal casino, put forth a proposal for a casino in the Steelpointe Harbor region of Bridgeport.

The proposed MGM casino, valued at $675 million, is approximately twice as large as the ongoing construction projects of the Mashantucket Pequot and Mohegan. The blueprints encompass a 300-room hotel in addition to a gaming floor equipped with 2,000 slot machines and 160 table games.

Furthermore, the economic advantages cannot be overlooked, as highlighted by Uri Clinton, the senior vice president and legal counsel at MGM Resorts International.

The straightforward observation is that Bridgeport currently has a 7.3 percent unemployment rate. Neither Bridgeport nor the state of Connecticut has attracted any private investors expressing interest in being present. Moreover, Connecticut is currently engaged in a budget conflict. In light of these challenges faced by the state, a development project like this should theoretically encounter no major obstacles.

Bridgeport Mayor Joe Ganim is currently considering a city-wide referendum following an official proposal. If the referendum receives a positive response, it would demonstrate that Bridgeport residents support the casino’s economic development prospects in the state.

Ganim explained that they have initiated discussions about it, but only if it doesn’t require any financial investment from the city and is sponsored.

MGM seems to be preparing for a referendum battle in advance.

MGM is distributing flyers throughout Bridgeport and its neighboring areas, promoting the advantageous features of the casino. These benefits encompass:

• 7,000 jobs
• The state requires a license fee of $50 million.
• Bridgeport and neighboring towns receive annual payments worth $12.5 million.

Casino would violate tribal compacts

Even though Bridgeport desires the casino, the chances of it being constructed remain slim.

The compacts between the Mohegan and the Mashantucket Pequot tribes and the state grant them the sole privilege of operating casinos, in return for a share of their slot machine earnings. Permitting MGM or any other commercial casino to establish operations would breach these agreements, consequently enabling the tribes to cease their slot revenue contributions.

Connecticut Governor Dan Malloy expressed his skepticism about the possibility of tribal nations agreeing to revise the compact on those grounds, stating, “It is difficult for me to envision any scenario where the tribal nations would be willing to open up the compact. However, there is always a chance that they might consider it.” This response came when Malloy was asked about the potential prospects of MGM’s Bridgeport casino.

The Governor emphasized that proceeding with the plan would breach our agreement with the tribal nations. This breach would have a detrimental effect on the state, amounting to nearly $500 million over the next two years.