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Biddeford Racino Facing State House Hurdle

November 07, 2011 - Biddeford – Biddeford Mayor Joanne Twomey can’t go anywhere in town these days without people asking her about the status of a $120 million development that would bring a racino to the western edge of the city.

“There’s not a place I go, even the grocery store, where people don’t ask me about it. People are very anxious to get the project going and want to know what we’re doing,” she said.

Now, the project, a joint venture between Scarborough Downs and Ocean Properties Ltd. known as Biddeford Downs, has taken another step forward with the filing of a petition calling for changes to state law that would allow new racinos in both Biddeford and on Passamaquoddy tribal land in Washington County.

In addition, the petition language would address limits on how far apart competing gaming facilities must be located, which was part of a statewide referendum, also passed in November, allowing a casino that includes table games to open in Oxford County.

The first hurdle for the creation of Biddeford Downs, a combination harness racing and slots gaming facility, was jumped in November when Biddeford residents approved the project, which is proposed for 88 acres of city-owned land off Andrews Road, in a local referendum.

In an attempt to get over the next hurdle, last week Biddeford Downs filed a petition containing the signatures of more than 76,000 residents with the Secretary of State’s Office. The petition language would change state law in order to allow the operation of both new racinos.

Twomey, as well as Crystal Canney, spokeswoman for Ocean Properties, and Ed MacColl, spokesman for Scarborough Downs, all expressed confidence this week that the Legislature would adopt the changes in state law outlined during the current session.

If not, the issue would automatically be sent to voters in a statewide referendum in November, according to Julie Flynn, the deputy secretary of state in charge of elections.

Under Maine’s constitution, Flynn said, the Legislature has only two choices, assuming her office confirms that at least 57,277 of the signatures gathered by Biddeford Downs are those of registered voters. Those choices are to either pass the proposed changes as written or allow voters to decide whether to adopt the new language.

Both Twomey and MacColl described the proposed state law changes as “tweaks” that reflect the intent of an original citizen’s referendum in 2003, which allowed the creation of Hollywood Slots in Bangor, currently the state’s only legal racino.

MacColl said that referendum would have allowed slot machines at both the Bangor Raceway and Scarborough Downs, but only if the commercial harness racing tracks could get local approval within a limited period of time.

Hollywood Slots received the approval of Bangor residents, but Scarborough Downs has struggled for the past seven years to find a community willing to host its proposed racino – until Biddeford residents approved the Biddeford Downs project this fall.

One reason voters in the city approved the project by a 59 percent to 41 percent vote is that developers said the racino could create several hundred full-time jobs and add $5 million in slot revenue and taxes annually to the city’s coffers.

That’s also why Twomey was such a vocal proponent of the racino in the lead up to November’s election.

“We really need the revenue (from the racino) for the schools and the city budget,” she reiterated this week.

Twomey said there’s been no discussion between the developers and the city since the election because nothing can happen with the Biddeford Downs project until the state law is changed.

“We could talk and talk until the cows came home, but it won’t do us any good until we get the law changed. We really can’t move forward (with anything) until the law is changed,” she said.

MacColl believes there is a strong chance that the Legislature will adopt the changes he’s proposed, in part because it’s a simple change that doesn’t seek any special rights or favors, such as tax breaks.

“I did not include anything that would be objectionable or controversial in the petition language,” he said.

MacColl added, “It’s obvious common sense to change the law, since there was no particular public policy reason why the 2003 referendum included time and distance restrictions.”

“It is particularly important that a gaming monopoly not be allowed to destroy the century-old Maine harness racing industry,” Canney said in a press release issued last week announcing the filing of the petition to change state law.

And, Tom Walsh, founder of Ocean Properties, said, “We are optimistic legislators will correct an apparent inequity … and help make Biddeford Downs a reality.”

The proposed amendments to state law are designed specifically for gaming facilities that are associated with commercial harness racing tracks, MacColl said.

As long as a racino has local approval, the proposed state law change says licenses to operate slot machines could be granted to anyone also licensed to operate a commercial track, as long as the gaming facility is located within a 25-mile radius of the track and as long as racing is held at least 25 days a year.

The amendment to state law would also change the definition of a commercial harness racing track to include one that is operated by one or more federally recognized Indian tribes located in Maine, as long as the track is within 45 miles of the tribe’s reservation and is more than 90 miles away from the nearest racino.

In addition, the petition language removes the limit on licensing racinos due to their proximity to any other gambling facility, as long as the harness racing track was operating before the other gaming location opens its doors.

Also, it would remove the limit on the total number of slot machines allowed in the state, which is currently 1,500. The state law amendment would allow up to 1,500 slot machines at each racino, as long as they were not in operation prior to Jan. 1, 2010.

In a move MacColl described as using both a belt and suspenders to ensure the Biddeford Downs project moves forward, Senate President Kevin Raye has also introduced a bill into the Legislature that would, if necessary, create a mechanism for resolving all the discrepancies in state law regarding the operation of gaming facilities.

MacColl said he and other proponents of the harness racing industry would prefer that the Legislature adopt the petition language submitted last week. However, he added, it’s good to have the insurance policy provided by Raye’s bill.

Sharon Terry, owner of Scarborough Downs, has said previously she is excited about the possible move to Biddeford because of the city’s accessibility to the Maine Turnpike and the large number of horse farms nearby.

In addition, Terry said, the racino project, which includes a 200-room hotel and entertainment complex, would bring needed jobs and revenue to the city, while also supporting conservation and agriculture.

A group opposed to the Biddeford Downs racino, called Citizens Against a Bad Deal, formed this fall to fight the local referendum question.

At several public hearings, including a meeting it called with the City Council, the group questioned the economic development value of the racino project and the number of jobs that would be created. The group also believed the racino would have a negative impact on attempts to revitalize Biddeford’s downtown.

Ericka Wainberg, the spokeswoman for Citizens Against a Bad Deal, did not return phone calls seeking comment before the Sun Chronicle’s deadline.

However, after the November election she said of the group, “We intend to provide oversight throughout this whole process. A lot of promises were made by the mayor and others and we intend to make sure they follow through.”

Kate Irish Collins, Lake Region Weekly, November 2011


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