When Las Vegas-style slots and blackjack arrived at the Seminole
Tribe's Florida casinos in 2008, the tribe's successful gambling empire
was poised to become an even bigger powerhouse.
That expectation was right on the money.
Fueled by the tribe's entrance into big-time gaming, total Indian
casino revenues in Florida are estimated to have jumped by 19 percent
in 2008 -- making the Sunshine State the fifth-fastest growth area for
tribal gaming nationwide.
The Seminoles boast
seven casinos throughout the state. In addition, the Miccosukee Tribe
operates a casino in West Miami-Dade.
Hard numbers showing how much was made by Florida's two Indian tribes
are hard to come by because tribal casinos are not legally obligated to
make such numbers public.
But the widely respected Indian
Gaming Industry Report will release its annual state-by-state estimates
Thursday -- estimates that say Florida retained its title as the
fifth-busiest tribal gaming state overall, with more than $1.9 billion
in estimated revenues. The majority of that bounty is made by the
Seminoles.
The report credits the Seminoles' expanded gambling
options with being the main force behind Florida's double-digit growth.
The Miccosukees have yet to ask the state for Vegas-style slots or
other new games.
Florida is the only state in the report to
appear in both the top five in year-to-year growth as well the top five
in overall gaming revenues.
The Seminoles' flagship Hard Rock
casino near Hollywood, in fact, is featured on the cover of this year's
gaming report, which is published by Casino City Press.
``Florida's one of the states that experienced some healthy growth,
some nice strong growth in 2008,'' said the report's author, Alan
Meister.
In 2007, before the addition of new games, Florida's Indian gaming revenues grew at a much-more-modest 2 percent.
Meister arrives at his estimates by combining publicly available state
and federal studies, newspaper accounts, and other information. He also
gets confidential data from Indian tribes across the country.
Nationally, the report estimated Indian casino revenue grew even in the
face of the tattered economy. But it didn't grow by much -- only 1.5
percent. Commercial casinos -- a category that includes the rows of
larger-than-life hotel resorts that line the Vegas Strip -- saw their
revenue fall by 7 percent.
Indian casinos continue to become a
larger share of the national gaming landscape -- accounting for 43
percent of U.S. casino revenue, according to the report.
And in Florida, the Seminoles are unquestionably the titans of the gambling arena.
The Seminoles first introduced Vegas slots in January last year. Banked
card games, such as blackjack, were phased in a few months later.
Meister's report covers the entire 2008 calendar year. Because the
Seminoles did not offer their full, expanded array of games at all
locations throughout that year, Meister said additional big gains are
possible for the Seminoles in future reports.
Meister also noted
the Seminoles' plans to expand or upgrade some of their existing casino
locations, which could further boost the tribe's bottom line.
``I don't think the tribe is done,'' Meister said.
Seminole Tribe spokesman Gary Bitner echoed the report's finding that
Vegas-style slots and ``banked'' card games such as blackjack led to a
successful 2008. The tribe's desire to expand blackjack to additional
casinos -- it is only offered in Hollywood, Tampa, and Immokalee -- has
been one of the many sticking points in ongoing gaming negotiations
between the Seminoles and the state.
``The tribe's been trying
to establish a compact with the state or finalize a compact with the
state for 20 years, and it plans to keep at it,'' Bitner said.
The Seminoles and Gov. Charlie Crist agreed to a compact in 2007 that
allowed blackjack and other games in exchange for revenue-sharing with
the state. That compact was later invalidated by the courts, however,
because it lacked the Legislature's approval.
Since then, the
tribe has continued to spread blackjack games -- while sending in the
required state payments -- as the issue remains under a legal cloud.
In the latest proposed compact, the tribe has agreed to share at least
$150 million a year of its annual earnings with the state -- and more
as its revenues expand -- in exchange for the exclusive operation of
blackjack and other table games and the ability to run the only slots
outside of Miami-Dade and Broward.
Crist has signed off on the
deal and now needs legislative approval. But state lawmakers have
criticized the $150 million figure as not enough, while also voicing
objections about other parts of the agreement.
``The prospects
for that compact are not good, at least in the Florida House,'' said
Miami state Rep. Carlos Lopez-Cantera, a member of the House committee
charged with reviewing the document.
Also carefully watching the
compact talks, and working to influence the outcome, will be the
state's parimutuels -- horse tracks, dog tracks and the like. A 2004
voter referendum gave Miami-Dade and Broward parimutuels the right to
install Vegas-style slots, but operators say the state's 50 percent tax
on slots revenues is too burdensome.
The Seminoles, in addition
to other competitive advantages such as being the exclusive home of
blackjack, are not subject to the 50 percent tax rate on slots. The
Seminoles do not pay any tax to the state, though any approved compact
agreement would include revenue sharing.
``They have stuff that
we don't have,'' complained Isadore Havenick, vice president of Flagler
Dog Track, along with its new Magic City Casino. ``And they have more
money for marketing giveaways and other stuff that casino patrons want,
and parimutuels can't give.''