THE JOURNAL & TOPICS NEWSPAPERS | WEDNESDAY, OCTOBER 1, 2008
Public Discussion On Casino Tuesday
By TODD WESSELL
Journal & Topics Editor
The path appears clear for Des Plaines aldermen to publicly discuss the latest information on one or more plans to open a casino here.
According to City Manager Jason Bajor, it looks like aldermen will meet in City Hall on Tuesday, Oct. 7 at 7 p.m. to consider changes in the city's casino agreement with Chicago billionaire Neil Bluhm and to possibly listen to a second gaming proposal. A meeting that Finance Committee chairman Ald. Don Smith said might be held on Monday, Sept. 29 did not occur.
At the Oct. 7 special City Council meeting, aldermen are expected to discuss a proposed amendment to the city's Business Development Agreement with Bluhm that affects the amount of casino revenue that will be shared with needy area communities. Also likely to be discussed is the city's incentive package with Bluhm, crafted in 2004, which allotted the real estate developer payment of $94 million in city casino money generated over a period of 10 years. Bajor said that sum probably won't change because of competitive factors, although aldermen must make the ultimate decision. Rosemont, which may be Des Plaines' biggest rival to land a casino, is expected to provide its gaming developer land and a parking garage free of charge while Des Plaines' upfront costs will be very little if anything. Because of that, should the casino be located in Des Plaines, a large chunk of the gaming revenue go ing to Des Plaines---approximately $9 million per year---would be diverted to Bluhm to help him finance land acquisition and parking needs.
As for the revenue sharing aspect, the original proposal crafted by the city and Bluhm four years ago, called for 25% of city gaming revenue to be given to 10 of the most economically needy communities in Cook County. Bajor said that sum may be lowered to 20%.
A second potential Des Plaines casino developer has not yet responded to the city's request for information on his plan. A letter was sent to a representative of Robert L. Kozonis on Sept. 16 raising several questions about his anticipated proposal and asking for input. Bajor said that as of early this week, the city had not received a response. A second letter was sent Monday.
"We need a response no later than Oct. 2," said Bajor, explaining that aldermen and the city staff needs adequate time to study the second proposal, if one is made. Kozonis has told the Journal & Topics Newspapers on two occasions that he definitely will submit details of his casino and entertainment complex proposal to the city in time for the filing of formal applications with the Illinois Gaming Board. His plan calls for the development of a casino, high-rise hotels, restaurants, and a convention facility on the O'Hare Lakes office complex property he owns at Devon Avenue and the Tri-State Tollway. That property consists of 50 acres and includes a lake which could accommodate a riverboat casino as required by law. Bluhm has an option to buy an 8.2-acre parcel on River Road north of Devon Avenue to locate a casino.
Bajor said that city officials have been advised that its agreement of exclusivity with Bluhm remains intact and if a second proposal is made, consideration will be given.
Besides Des Plaines and Rosemont, casino applications are expected to be filed for operations in Waukegan, Country Club Hills and Summit.
By conducting a special City Council meeting on Oct. 7, aldermen will have the authority to make any legal changes to agreements in time for the Oct. 14 filing with the Gaming Board.