| BOSTON, July 10
BOSTON, July 10 Mohegan Sun agreed on Thursday
to pay Boston $18 million a year to compensate the city for any
negative side effects if the Connecticut-based gambling resort
succeeds in its efforts to build a casino in neighboring Revere.
In return, Boston Mayor Marty Walsh agreed to drop his claim
that Boston residents had a right to vote on whether the casino
In Revere would be built.
The deal came a week after Massachusetts gaming regulators
rejected a request from Walsh that they wait until a November
statewide voter referendum before making a decision on awarding
a casino license near the city. The referendum would repeal the
2011 law that allows three casinos to open in the state.
In addition to 15 years of $18 million payments, Mohegan
Sun, which operates a casino in neighboring Connecticut, agreed
to make $30 million in investments in East Boston and $45
million in transportation improvements.
Mohegan Sun is owned by the Mohegan Tribe of Indians of
Connecticut, which operates one of the biggest U.S. casino
resorts on its reservation near Uncasville, Connecticut.
"This was a difficult decision, but I have a responsibility
as the mayor of Boston to protect the best interests of our
City, and of those in the neighborhood most impacted by this
proposal," Walsh said.
Mohegan Sun has also promised Revere, which is northeast of
Boston, $25 million in direct annual compensation.
That is comparable to the $25.2 million in annual payments
competing Las Vegas developer Wynn Resorts Ltd has
promised to pay Everett, if it wins the sole Boston-area casino
Casino opponents blasted the deal.
"It should come as little surprise that the city of Boston
is cutting another deal with the casino industry that is based
on dollars and cents, not what is in the clear interests of our
capital city, its people and its long-term economic future,"
said John Ribeiro chairman of Repeal the Casino Deal, a
statewide anti-casino group.
Only one of the three casino licenses created by the 2011
law has been awarded, to Las Vegas developer MGM Resorts
International, with formal licensing on hold pending the
(Editing by Scott Malone; Editing by David Gregorio)