Gov. Ned Lamont’s administration has reached an agreement with Connecticut’s two federally recognized Native American tribes on a comprehensive gambling expansion plan that could eventually lead to sports wagering and online gambling, the governor and tribes announced Thursday.
The Democratic governor and leaders of the Mashantucket Pequot and Mohegan tribes said the deal would modernize gambling in Connecticut, generate tens of millions of dollars in new revenue for the state and improve financial conditions for the tribes’ Eastern Connecticut casinos – Foxwoods and Mohegan Sun.
“Connecticut is on cusp of providing a modern, technologically advanced gaming experience for our residents, which will be competitive with our neighboring states,” Lamont said in a joint announcement with the tribal leaders.
The agreement would ultimately need approvals from the state General Assembly and the U.S. Interior Department.
Under the deal, the state would set an 18 percent tax rate for the first five years on new online gambling, followed by a 20 percent rate for at least the following five years. There would be a 13.75 percent state tax on sports wagering.
The Connecticut Lottery would be allowed to offer sports wagering along with the tribes, as well as operate 15 retail sports betting locations, run new retail sports betting venues in Hartford and Bridgeport and expand online lottery offerings.
Both tribes also agreed to stop development of a casino in East Windsor through the duration of the deal. The East Windsor casino was aimed at curbing competition from the MGM Springfield casino in Springfield, Massachusetts. Lamont has been unenthusiastic about the project.
Earlier this month, Lamont announced a gambling expansion agreement with Mohegan Tribal Chair James Gessner Jr., but did not mention the Mashantucket Pequots. That didn’t sit well with Mashantucket Pequot Tribal Chairman Rodney Butler, who called it disrespectful. Members of the eastern Connecticut legislative delegation said they wouldn’t accept any gambling deal that didn’t include the Mashantucket Pequots.
Both tribes and Lamont appeared unified Thursday.
“This will allow Connecticut to generate tax revenues from sports and online gaming that are competitive with other states, to the benefit of both state and local municipal budgets, as well as our tribe’s members,” Gessner said in the joint statement.
Butler called the agreement a historic moment for his tribe.
“This agreement bolsters the state’s economic development and growth, and allows us to develop a stable economic foundation for the future of our tribal community,” Butler said.
