Problems appear to be showing up with Governor Rell's plan to expand gaming in Connecticut to help balance the budget. On June 1st, 2009, the Governor approved the idea of establishing keno all over the state to help solve the budget crisis.
Attorney General Richard Blumenthal's opinion on the matter is that the most appropriate course of action would be to ask the state's two American indian tribal casino operators so as to not jeorpadize the money paid by the tribes to Connecticut every month which is more than $400 million.
That is the state's portion from slot machine earnings at the casinos stated in the tribe's agreement with the state as "video establishments. The problem with Governor Rell's proposal is that it is not specific and it could cause problems. Right now, the only places were gamers can enjoy keno in Connecticut are at the casino facilities.
Senator Andrea Stillman of the Public Safety Committee said that they have no idea what form of keno does Governor Rell wants to offer so they have no idea what it will look like and whether it will be considered by their Native American Indian tribes as a violation of the existing gaming compact. The Mashantucket tribe said that they have not examined the proposal so they are unable to comment on either the keno proposal or Attorney General Blumenthal's statement.
The Mohegan tribe said that their legal time is currently reviewing the keno issue so they will refrain from giving comment for the time being. House Speaker Chris Donovan said that the fact that Governor Rell included keno in her budget without knowing for sure if there is substantial money involve, causes another huge problem in trying to make a final agreement on the state budget. It was actually the Democrats in who first proposed "keno" as an option to raise additional money for the state earlier this year.
Keno is expected to produce about sixty million dollars annually but the Governor's plan is to borrow against this revenue channel called securitization so as produce several hundred millions of dollars for the first few years To balance the state budget.