Slides

Slide1: 

Economic Development in Massachusetts Greater Boston Chamber of Commerce Government Affairs Breakfast May 24, 2007

State of the Treasury Job Growth Task Force: 

State of the Treasury Job Growth Task Force With Bank of America, Sovereign, Citizens, TD Banknorth, Rockland Trust and United Commercial Bank, we have leveraged $1.2 billion for job growth and affordable housing This includes $230 million for Economically Targeted Investments through the state pension fund (PRIM). Results: 5000 new jobs, with the potential for 8100 additional new jobs 2194 affordable housing units in Massachusetts

State of the TreasuryMassachusetts School Building Authority: 

State of the Treasury Massachusetts School Building Authority $4.5 billion reimbursed to cities and towns for 354 projects $1.8 billion saved in avoided interest costs Over $4 billion 5-year capital plan 34,000 construction jobs estimated

State of the State: 

State of the State Net Job Growth in Massachusetts, 2001-2006

State of the Lottery: 

State of the Lottery The Massachusetts State Lottery is “the best in the nation,” but is mature and growth is slowing. The average annual growth for lotteries nationwide is 6.9% compared to 1.8% for Massachusetts.

Where Is Our Money Going?: 

Where Is Our Money Going? Massachusetts residents spent $1.1 billion at casinos in Connecticut and Rhode Island in 2006. Rhode Island Connecticut

Online Competition: 

Online Competition Worldwide: In 2005, consumers spent $12 billion worldwide on online gaming This is expected to more than double by 2010 National: Recently, Rep. Barney Frank filed a bill to overturn the ban on US online wagering This would reintroduce online gaming as competition to lotteries and casinos

Societal Shifts: 

Societal Shifts Historically: Lottery products were purchased at small neighborhood shops Players used cash Players enjoyed a game of chance Today: Most shopping is done at big box stores and malls 55% of all payments are made with credit cards Players seek skill based games with a social component Therefore, fewer people are playing the Lottery, less often.

Where Are We Now?: 

Where Are We Now? Despite our best efforts, the Lottery is not able to meet increased demand for Local Aid. Municipal Budgets (in billions) Local Aid (in billions)

Gaming in New England: 

Gaming in New England

Potential Local Aid: 

Potential Local Aid Net Massachusetts Lottery Revenue: FY04: $912 million FY05: $936 million FY06: $951 million 2006 Net Gaming Revenue in other states: Indiana: $883.7 million Illinois: $830.2 million Louisiana: $527.8 million +

Benefits of Destination Casinos: 

Benefits of Destination Casinos Revenue for state and local economy Added tax receipts Increase in long term public spending and redevelopment Employment opportunities and job growth Increased travel and tourism opportunities Significant leadership opportunities for women and minorities

Keys to Success: 

Keys to Success Full Service Destination Casinos Competitive Bidding for Licenses Control Process and Maximize Opportunity and Benefits Increased Local Aid to Cities and Towns