Plainridge pulling gambling money back to Mass.
Study: 58% of revenue 'recaptured,' 20% from out-of-state
NEARLY 60 PERCENT of the money collected by the Plainridge Park Casino during its first year of operation came from Massachusetts gamblers who previously would have been going out of state to place their bets.
A team of researchers from the Donahue Institute at the UMass Amherst estimated on Thursday that $100 million of the $172.5 spent at Plainridge was “recaptured revenue” – money that would have been lost to another state without the establishment of the slots parlor here. Another $36 million was spent by out-of-state residents and the remaining $36.6 million was spent by Massachusetts residents who previously had not gambled.
Officials at the Massachusetts Gaming Commission, which commissioned the research, hailed the UMass report as evidence that the state’s experiment with casino gambling is doing what it is supposed to do – bringing money that had been flowing out of state back into the state.
“Now whether or not that’s going to be true in the future years or the future casinos, we have no idea,” said Thomas Peake, a Donahue Institute analyst. “But for the first year of operations at Plainridge Park, we’re confident that most of that money would have been spent out of state.”
The spending estimates were developed using a patron survey created by the Donahue Institute specifically for this project. The data was collected by Plainridge, government agencies, and the institute.