Gaming board says preferences help, so do chambers of commerce.
David LeVan’s promise to give preference to Adams County businesses and residents if he’s granted a gaming resort license might make good political sense locally at a time of economic uncertainty.
It also might improve his chances with the state Gaming Control Board, which will decide if he gets a license to open a casino south of the Gettysburg battlefield.
Richard McGarvey, a spokesperson for the board, said casinos are encouraged to hire and buy locally.
In fact, McGarvey said, such plans help a casino’s chance of being approved for a license.
“Just about every casino in the state includes a similar preference,” he said.
LeVan hopes to convert the Eisenhower Hotel and Conference Center, located south of the Gettysburg battlefield on Emmitsburg Road, to a gaming resort with 600 slot machines and 50 table games. He said he will apply for the state’s last remaining Category 3 gaming license on April 7.
“If I’m successful in the pursuit of my opportunities, it will create opportunities for others,” said LeVan during a meeting with small-business owners.
And although there are similarities between what LeVan is offering and what other Pennsylvania casinos have promised their communities, there may be differences as well.
Praise of local preferences
Presidents of chambers of commerce in Washington County, Bethlehem and King of Prussia all praised the effect casinos have had upon local businesses.
“There has been an overwhelming majority of people hired from the Cumberland-Lehigh Valley region,” said Lynn Logue, the director of the Bethlehem Chamber of Commerce. “The casino has been real good about following through on what they said about hiring local.”
Al Paschall, Montgomery County chamber director, agreed.
Although the Valley Forge Convention Center casino in King of Prussia hasn’t opened yet, “They’ve been very good in using our members first,” Paschall said.
And when the Meadows Racetrack and Casino opened in April 2009, Jeff Kotula saw the benefits to Washington County.
“I have to say in the broadest overall sense we’ve seen nothing but a positive impact,” said Kotula, the president of the county’s chamber. “With the casino here, there’s a spotlight on Washington County as a place to visit and our businesses have taken advantage of that.”
Still, opponents to the Mason Dixon Resort aren’t convinced.
“The chambers of commerce do a very good job of painting a perfect picture of their communities,” said Susan Star Paddock, the head of No Casino Gettysburg.
Because the local casino would be part of a “gaming resort” limited to patrons, Paddock said area restaurants and bars would suffer. Customers would be required to spend $10 at one of the casino’s amenities before they were permitted to gamble. It’s a cost visitors of the Meadows Casino in Washington County don’t have to pay.
“Casino visitors would eat there so they can get that ticket to play,” she said, “and that’s money that would otherwise go to our businesses.”
There are currently no operating Category 3 gaming resorts in the state. The Valley Forge Convention Center has received such a license but they have yet to open.
Opponents of the Mason Dixon Resort have also said the casino would have a negative impact on Gettysburg’s heritage tourism industry.
“Our 150-year heritage tourism industry is endangered,” wrote Paddock in a response to a survey done by casino officials that found 62 percent of Adams County residents surveyed were in favor of the project. “Heritage tourists are different from recreational tourists and are repulsed by casinos, especially if located only one-half mile from the border of the national park.”
But Mike Madell, the superintendent of Vicksburg National Military Park, said the opening of the Horizons Casino Hotel didn’t cause Civil War tourism to decrease.
“The numbers have dropped off but I wouldn’t tie that to any individual circumstance,” Madell said. “I wouldn’t say the casino has had a negative impact on the park.”
Local preferences legal
Although federal law prohibits giving preference to local vendors where government funds are involved, private businesses such as the proposed Mason Dixon Resort and Casino appear to be free of such regulation, according to legal experts.
Gettysburg businessman David LeVan, who is seeking a license to open a casino resort on Emmitsburg Road south of the Gettysburg battlefield, has said he would give preference to local vendors, all other considerations being equal.
“If it’s equal quality and equal price, Adams County breaks all ties,” said LeVan to a group of small business owners during the Shop Local, Buy Local meeting held to discuss the economic impact the casino would bring.
Benjamin Bratman, a professor at the University of Pittsburgh School of Law, said he doesn’t believe LeVan’s “Buy Adams” plan is subject to the stringent regulation of state and federally funded projects.
“While the state is limited in passing certain laws that would give preference to local contractors, a private employer isn’t regulated the same way,” said Bratman.
Michael Hayes, a labor-law professor at the University of Baltimore, agreed.
“Private businesses can hire whoever they want.” he said.
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