A strong possibility has emerged that the state of Florida will not renew a key provision in its gambling compact with the Seminole Tribe, allowing the state to finally update its outdated gaming laws and open new gambling options for other casino operators.
The Miami Herald reported that Florida’s lawmakers could use the positive outlook of the state’s budget as leverage to forego the estimated $116 million revenue pot it stands to get from the Seminole tribe as part of their 2010 agreement.
Proponents of destination resort casinos have often argued that the state could gain more from expanding their businesses rather than sticking to its compact and extending the tribe’s monopoly to run blackjack tables and other banked card games at five of its seven casinos.
The Seminoles have argued that they can guarantee nine-figure revenues for the state if their exclusivity over these games is extended beyond the July 31 expiration date. The tribe’s monopoly on slots outside Miami-Dade and Broward counties doesn’t expire for another 15 years.
But the eight non-tribal casinos in Miami-Dade and Broward counties are pushing lawmakers to scrap the compact altogether so they can begin offering the games that have eluded them for years.
The sole authority to negotiate the compact rests with Florida Governor Rick Scott but he also needs legislative approval to renew, revise, or drop the compact altogether. Doing so would mean getting enough votes from the legislation, which will undoubtedly open up a lobbying free-for-all from sectors tied to the gambling industry.
Some lawmakers, including Republican Bill Galvano, believe that “it’s not out of the realm of possibility that the governor and Legislature end up doing nothing on the compact.” He also admitted it may be a ploy to get the tribe and everybody else to the table. “The loss of the banked card games is enough to motivate further negotiation.”
