The Virginia General Assembly recently showed its support for a bill that sought to legalized casino gambling and the establishment of casinos in certain areas of the state. For a long time, this almost seemed impossible since Virginia was one of the states that have been holding out on the gambling industry. Thankfully, this is no longer the case and casino enthusiasts can now look forward to fun and exciting moments at the casinos in the near future.
All that remains now is for Ralph Northam, the state’s governor, to sign the bill into law – this final stage is quite crucial and if the situation over in Michigan is anything to go by, then it is going to be vital to the future of gambling in Virginia. Fortunately, Governor Northam assured the residents that he would support gambling expansion in Virginia if it is beneficial to the state. Hopefully, the proponents of the gaming expansion bill will be able to convince him that the industry has so much to offer.
The approval of the bill is the very first time that a major gambling expansion endeavor has survived the Virginia Legislature – the state’s lawmakers, in recent years, have always opposed any and all gambling legislations brought their way. SB 1126, the bill, bears several similarities with a different bill that was being championed by Senators Louise Lucas and Bill Carrico earlier this year. This bill sought to authorize referenda in Norfolk and Richmond, two locations that are being eyed for tribal casinos by the Pamunkey Indian Tribe.
The Terms
Senate Bill 1126 authorizes the establishment of casinos in Danville, Bristol, and Portsmouth. This is great news especially for some Bristol-based businessmen who recently presented a proposal to develop a $250 million casino resort at the site previously occupied by the Bristol Mall. The three cities are all potential locations for Virginian casinos because they satisfy the conditions lay about by the bill. These include:
- Having least 40 percent of the land area exempt from local real property taxation, or 24 percent provided that a Virginia Indian Tribe conducts such casino gaming.
- Having unemployment rate of at least 5 percent in November 2017 (or 4 percent if located adjacent to a state that has adopted a Border Region Retail Tourism Development District Act), a poverty rate of at least 20 percent in 2016, and a population decrease of at least 4 percent from 1990 to 2016.
- Having a population greater than 200,000, according to the 2017 population estimates.
The bill also stipulates that the Virginia Lottery Board will be charged with crafting rules and regulations for the operation of state’s casinos which will be charged a tax rate of between 13 and 15 percent on their gaming revenues. These tax rates will be determined based on a licensed casinos annual adjusted gross revenue.
