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    Editorials
    Sunday, May 05, 2024

    Cards are on the table, now close sports-betting deal

    It is hard to fault Gov. Ned Lamont for being transparent.

    On March 2 his office announced it had reached an agreement with the Mohegan Tribe to legalize retail and online sports wagering and online casino-style gaming. The deal cuts the Connecticut Lottery Corp. in on the action and, indirectly, Sportech Venues, which operates off-track betting sites in Connecticut.

    Glaringly missing from the deal was the state’s other tribal casino operators, the Mashantucket Pequot Tribe. Tribal Chairman Rodney Butler called the announcement “extremely disrespectful,” contending matters should have remained confidential until an agreement was reached that both tribes could accept.

    Lamont, however, concluded it was time to let the public and state lawmakers know where things stood. The Mohegans have agreed to terms, the Mashantuckets want them a bit sweeter. The governor could have slipped the news out about where negotiations stood via “sources.” It is a popular political art. Better to be open and frank.

    Of course, there is no deal until both tribes agree, a reality recognized by Paul Mounds, the governor’s chief of staff, a day later. Mounds was responding to a bipartisan letter — nine Democrats and eight Republicans — sent to the governor by Senate and House members from southeastern Connecticut, urging him to complete an agreement with both tribes.

    “The administration agrees that the Mashantucket Pequot Tribal Nation must be a party in any agreement,” Mounds wrote.

    Under the deal announced March 2, Mohegans’ online gaming revenue would be taxed at 20% while its sports-betting revenue — to be generated at Mohegan Sun and online via digital devices anywhere in the state — will be taxed at 13.75%.

    The state’s lottery corporation would be granted the right to operate 15 retail sports-betting locations and provide some online sports betting. It could sublicense some of the locations to Sportech.

    News reports place the sticking point at the 20% sports-betting tax. The Mashantuckets see 18% as the fairer number. How about, say, 19%? If things are this close there should be a way to yes.

    The tribes contribute 25% of slot-machine revenues to the state.

    Since the U.S. Supreme Court ruled unconstitutional a 1992 federal law prohibiting most sports betting, 25 states have legalized sports betting in some fashion, including neighboring Rhode Island, New York and New Jersey. It’s past time to close the deal here.

    The Day editorial board meets with political, business and community leaders to formulate editorial viewpoints. It is composed of President and Publisher Timothy Dwyer, Executive Editor Izaskun E. Larraneta, Owen Poole, copy editor, and Lisa McGinley, retired deputy managing editor. The board operates independently from The Day newsroom.

    Comment threads are monitored for 48 hours after publication and then closed.