| 124th MAINE LEGISLATURE | ||||||
| LD 1808 | LR 2625(02) | |||||
| An Act To Allow a Casino in Oxford County | ||||||
| Fiscal Note for Bill as Amended by Committee Amendment " " | ||||||
| Committee: Legal and Veterans Affairs | ||||||
| Fiscal Note Required: Yes | ||||||
| Fiscal Note | ||||||
| 2009-10 | 2010-11 | Projections 2011-12 | Projections 2012-13 | |||
| Net Cost (Savings) | ||||||
| General Fund | $0 | $0 | ($6,951,565) | ($6,147,875) | ||
| Fund for a Healthy Maine | $0 | $0 | $0 | $0 | ||
| Appropriations/Allocations | ||||||
| General Fund | $0 | $0 | $2,523,571 | $2,520,773 | ||
| Fund for a Healthy Maine | $0 | $0 | $0 | $764,919 | ||
| Other Special Revenue Funds | $0 | $0 | $35,598,182 | $35,699,778 | ||
| Revenue | ||||||
| General Fund | $0 | $0 | $9,475,136 | $8,668,648 | ||
| Fund for a Healthy Maine | $0 | $0 | $0 | $764,919 | ||
| Other Special Revenue Funds | $0 | $0 | $35,598,682 | $35,699,778 | ||
| Referendum Costs | Month/Year | Election Type | Question | Length | ||
| Nov-10 | General | Initiated Bill | Standard | |||
| The Secretary of State's budget includes sufficient funds to accommodate one ballot of average length for the general election in November. If the number or size of the referendum questions requires production and delivery of a second ballot, an additional appropriation of $107,250 may be required. | ||||||
| Fiscal Detail and Notes | ||||||
| The impact of this bill as amended is contingent on approval by the voters as a competing measure to the initiated bill at the referendum in November of 2010. The bill proposes to authorize a tribal commercial track and casino in Washington County, a casino in Oxford County and table games at the existing racino in Bangor. It also changes the current tax structure from 1% of gross slot machine income and 39% of net slot machine income to 46% of net slot machine income and 16% of net table game income. If approved by statewide vote, this legislation is also contingent on subsequent approval of the voters of the local governmental bodies where the casinos are proposed. Presented below is an estimate of the potential revenues that may be generated from all three facilities and the subsequent distribution of those revenues. | ||||||
| This estimate assumes the Bangor facility would continue to operate its existing 1,000 slot machines and would install 54 table games, the Oxford County facility would operate 1,000 slot machines and 54 table games and the Washington County facility would operate 500 slot machines and 54 table games. | ||||||
| The total estimated annual increase in General Fund revenue is $9,475,136, which includes $8,329,536 from gaming activities and $1,145,600 from license fees. The estimated annual increase in Other Special Revenue Funds revenue is $35,598,682. Annual state costs associated with Inspectors, State Police Detectives, an Identification Specialist, an Auditor II, contracts for monitoring services and related costs are estimated to be $2,523,571. The timing of these impacts will depend on the timing of the local votes and the amount of time needed for construction and opening the new facilities. | ||||||
| Annual | ||||||
| Summary of Bangor Casino Revenue - Increases over March 2010 Forecast | Estimate | |||||
| Gross Slot Income (total value of money, tokens, credits, other value used to play a slot machine) | $0 | |||||
| Player Payback - Slot Income | $0 | |||||
| Gross Table Game Income (total value of money, tokens, credits, other value used to play a table game) | $209,462,565 | |||||
| Player Payback -Table Game Income (assumed at 91.55% of gross income) | $191,762,978 | |||||
| Net Slot Income (gross slot income - player payback) | $0 | |||||
| Net Table Game Income (gross table game income - player payback) | $17,699,587 | |||||
| State Share of Net Income (46% of net slot income and 16% of net table game income) | $9,544,041 | |||||
| Operator Share of Net Income (54% of net slot income and 84% of net table game income) | $15,581,945 | |||||
| Annual | ||||||
| Summary of Tribal Casino Revenue | Estimate | |||||
| Gross Slot Income (total value of money, tokens, credits, other value used to play a slot machine) | $326,700,000 | |||||
| Player Payback - Slot Income (assumed at 91.55% of gross income) | $299,093,850 | |||||
| Gross Table Game Income (total value of money, tokens, credits, other value used to play a table game) | $92,146,154 | |||||
| Player Payback -Table Game Income (assumed at 91.55% of gross income) | $84,359,804 | |||||
| Net Slot Income (gross slot income - player payback) | $27,606,150 | |||||
| Net Table Game Income (gross table game income - player payback) | $7,786,350 | |||||
| State Share of Net Income (46% of net slot income and 16% of net table game income) | $13,921,287 | |||||
| Operator Share of Net Income (54% of net slot income and 84% of net table game income) | $21,471,213 | |||||
| Annual | ||||||
| Summary of Oxford Casino Revenue | Estimate | |||||
| Gross Slot Income (total value of money, tokens, credits, other value used to play a slot machine) | $653,400,000 | |||||
| Player Payback - Slot Income (assumed at 91.55% of gross income) | $598,187,700 | |||||
| Gross Table Game Income (total value of money, tokens, credits, other value used to play a table game) | $184,292,308 | |||||
| Player Payback -Table Game Income (assumed at 91.55% of gross income) | $168,719,608 | |||||
| Net Slot Income (gross slot income - player payback) | $55,212,300 | |||||
| Net Table Game Income (gross table game income - player payback) | $15,572,700 | |||||
| State Share of Net Income (46% of net slot income and 16% of net table game income) | $27,889,290 | |||||
| Operator Share of Net Income (54% of net slot income and 84% of net table game income) | $42,895,710 | |||||
| Annual | ||||||
| State Revenues by Fund | Estimate | |||||
| General Fund | ||||||
| From Gaming* | $8,329,536 | |||||
| From Annual License Fees | $1,145,600 | |||||
| Total General Fund Revenue | $9,475,136 | |||||
| Other Special Revenue Funds | ||||||
| K-12 Essential Programs and Services | $15,360,345 | |||||
| Maine's Penobscot and Passamaquoddy Indian Tribes | $1,104,246 | |||||
| University of Maine System Scholarship Fund | $3,087,544 | |||||
| Agricultural Fair Support Fund | $1,870,702 | |||||
| Municipality in which casino is located | $1,855,227 | |||||
| Maine Community College System Scholarship Programs | $2,095,896 | |||||
| Fund to Supplement Harness Racing Purses | $4,921,900 | |||||
| Sire Stakes Fund | $1,870,702 | |||||
| Fund to Encourage Racing at Commercial Tracks | $1,732,620 | |||||
| Fund to Stabilize Off-Track Betting | $439,527 | |||||
| County in which casino is located | $707,850 | |||||
| Maine Dairy Farm Stabilization Fund | $552,123 | |||||
| Total Other Special Revenue Funds Revenue | $35,598,682 | |||||
| Total Revenue All Funds | $45,073,818 | |||||
| Summary of Expenditure Impacts to the State | ||||||
| General Fund | ||||||
| - Public Safety | $2,523,571 | |||||
| *General Fund gaming revenue of $8,329,536 was reduced by $7,426,400 by elimination of 1% of gross slot income at the Bangor facility. | ||||||