*Please note that this post will be updated.
NEWPORT – Saying that it's time to see where the chips fall, City Council members on Wednesday unanimously voted to ask the state General Assembly to put on the November ballot a question authorizing expanded gaming facilities at Newport Grand.
The vote, which had been expected, comes on the heels of a request by Diane Hurley, the owner of the former jai alai fronton, who cited the threat posed by the the development of casinos in Massachusetts as reason for her decision to make the move toward full-scale casino gaming.
"We have examined very carefully what options may be available to Newport Grand in order to survive and continue to contribute to the City of Newport and the State of Rhode Island in this environment," Hurley wrote in a letter to city councilors earlier this month. "We have concluded that adding table games to our gaming offering presents the best possible option for Newport Grand to continue to be a significant local employer and tax revenue generator."
She reiterated that point on Wednesday before the council, saying that in order to protect its $7 million payroll and the $1 million paid to the city in property taxes and slot revenue, "it's important that we make our case to the City of Newport and the state."
Based on previous votes, that could be a hard case to make.
Under state law, the General Assembly may approve expanded gambling only if approved by a statewide referendum. Host communities would then also have to approve the expansion before a casino is built or table games added to an existing venue.
The last time Newporters had a chance to weigh in on a gambling referendum was in 2006 when a proposal was being pushed to build a Narragansett Indian-backed casino in West Warwick.
Statewide, voters soundly rejected the plan, by a vote of 63-37 percent.
However, in Newport, the margin of defeat was even greater; residents here voted 75.5-24.5 percent against the plan. If that's any measure of the city's sentiment to further embracing gaming revenue, then the proponents may have a tough battle ahead of them.
Hurley, who up until recently has eschewed from advocated for adding table games to the property, asserted in her Jan. 11 letter that "Newport Grand has always felt that our best business strategy in Newport is to complement, not compete. We are uniquely situated in a destination resort community. None of our present and potential competitors can make such a claim."


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THE END OF CIVIC VIRTUE
Posted by FRED SULLIVAN January 26, 2012 14:07:36