PLAINVILLE, Mass. Plainville officials and the owners of the Plainridge Racecourse have reached an agreement that will pay the town more than $4 million in the first year if the harness track wins the state’s sole slots parlor license.
The town Board of Selectmen approved the agreement 3-0 on Monday. The agreement will be put to a town-wide referendum in September. The Massachusetts Gaming Commission must also approve of any gambling facility.
“This process took time and was not easy but we see this agreement as a solid and fair product as a result,” Plainridge President John Grogan said in a statement.
Board members Rob Rose and Robert Fennessy called it the most important vote they would ever take.
The agreement will pay the town about $2.7 million in fees on top of $1.5 million in property taxes if the harness track wins the license.
Plainridge has agreed to pay $2.7 million in host community fees for the first five years in which the slots are fully operational. Over the following five years, the fee would be based on 1.5 percent of gross gambling revenue and would jump to 2 percent starting in year 11.
The track will pay another $1.5 million in real estate and personal property taxes on the $125 million facility that could house up to 1,250 slot machines.
Plainridge is one of four companies seeking the only slots parlor allowed under the state’s 2011 gambling law.
Raynham Park LLC wants to build at the 125-acre site of the Raynham Park simulcast facility and former dog track; Maryland-based Cordish Cos., which is now looking at Leominster following failed efforts to get the ball rolling in Boxborough and Salisbury; and Rush Street Gaming, which is searching for a site after efforts to build a slots parlor in Worcester fell through.