Spectrum Gaming Group’s Market Analysis
[The RP’s Provocation, Artur Davis’s Rebuttal #1; Ron Granieri’s Rebuttal #2; Natasha Dow Schüll’s Analysis]
The RP referred in his Provocation to a recent market analysis sponsored by the Kentucky Chamber of Commerce, a pro-gaming organization. Below is an excerpt from the report, as well as a link to its Executive Summary:
Based upon our assumed parameters, we developed a detailed market analysis and casino project assumptions that were based on site visits, the competitive landscape, owner interviews and our experience. Spectrum concludes that the eight Kentucky casinos as described in this report would produce the following statewide outcomes (first-year numbers are assumed to be for 2015):
• First-year full-time equivalent direct jobs of as many as 10,953, with a payroll of $289.3 million.
• First-year statewide total direct, indirect and induced jobs of 20,471 (non-farm, but inclusive of equine). This excludes any government jobs that might be created.
• The eight prospective casinos would generate first-year gross state product of $1.737 billion and first-year total personal income of $1.009 billion.
• The 30-month construction period would create 4,297 full-time-equivalent construction jobs with a total payroll of $338 million.
• First-year gross gaming revenue of $1.14 billion. • First-year gaming tax of $464.7 million, and total state tax receipts from all sources of
$541.3 million, including funds dedicated to horse-racing industry programs. • One-time license fees of $266 million. • First-year funds for horse-industry programs of $164.6 million:
o $152.5 million for thoroughbred and standardbred purses o $10.5 million for the Equine Breed Authority o $1.6 million for Quarter Horse Purse Program
• Funds dedicated to the racing industry would generate an average of 2,861 additional jobs in the equine sector each year over the first three years of casino operations, with an estimated 1,500 jobs created in the first year.
Click here to read the full Executive Summary of the report.
Leave a Reply