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Now that the referendum’s over, tribal officials look ahead.
NORFOLK – Anytime something new comes to town, there’s bound to be folks on both sides of the fence. That’s what happened in the Norfolk area when talk of a casino whispered throughout the city two years ago.
“I think any time there’s something new, there’s people who have fear of the unknown or fear of change, and we saw a little bit of that,” said Jay Smith, a partner at Capital Results. The group handles media relations for the Pamunkey Tribe.
While some people expressed concerns about potential gambling addictions, the Election Day vote proved that more people saw the benefits of a casino in the area. Approximately two-thirds of registered voters filled out their ballot in favor of the new opportunity.
“It was widespread across the city. It wasn’t one side of the city versus another,” Smith said. “I think we won something like 45 out of the 48 precincts.”
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The city’s support will likely bring a windfall to the Norfolk area, as well as to the Pamunkey Indian Tribe, which will own and operate the casino.
Casinos in Virginia
On the statewide level, experts projected casinos will bring in $50 million every year for Virginia public schools. That’s part of a new gaming tax that benefits schools across the commonwealth.
For the City of Norfolk alone, there are tens of millions of dollars on the table.
“It’s estimated between $30 and $40 million every year for the city to use for their schools, public safety, whatever priorities they want,” Smith said. “We conservatively estimated $30 million and the city did their own economic analysis and projected around $40 million a year in revenue for the city that will be generated from it.”
The partner noted that especially with the downturn in the economy over the past eight months, localities looked for new revenue. He noted that the casino could be a way for Norfolk to bounce back financially.
Also, funds from the casino will flow into Virginia’s Problem Gaming Treatment and Support Fund.
“Money from the casinos across the state will go to that fund to make sure that those who may have that as an issue, that can be addressed,” Smith said.
Jobs coming
The new casino looks to hire 2,500 employees through an initiative called the Casino Minority Outreach and Hiring Plan. The plan focuses on hiring a local, yet diverse workforce.
“I think that what sets this project apart is the actual operator. The Tribe themselves is a minority group who has been left out of opportunities in the past. So as they look at this as an opportunity to improve the Tribe, you know, a new revenue stream for the Tribe, and also to improve the city, Norfolk, they wanted to make sure that the workforce reflected the community,” Smith said. “And so they have committed to hiring 90% of their workforce from Norfolk or the surrounding localities adjacent to Norfolk. Part of that, also, because they wanted to reflect the community, they have committed to hiring 50% of their workforce from minority communities.”
Job training
However, the tribe isn’t passing out jobs to locals like free pizza samples. The operators look to hire reliable, dedicated workers.
“Now, that’s not just going to happen by itself. We’re going to have to work hard and we’re going to not only have to provide a job opportunity, but before we even open, we’re going to have to do job training,” Smith said. “We want people to be set up for success. We don’t just want to have job offers – we want to make sure that people have the skills to successfully apply and succeed in those positions.”
Working with nonprofit workforce development organizations, local universities and community colleges, the casino will put a program together over the next year. The program will focus on readying the workforce for jobs in the casino’s restaurant and departments like housekeeping, hotel management, hospitality, internet security, accounting, marketing and information technology.
“We want to make sure that all of those skill sets, that people have those skill sets needed to succeed in those positions,” Smith said. “Our workforce will look like the community, from the staff that you see in the restaurant to the staff you see in the executive suites – we want to make sure they’re filled with people that look like the community.”
The Pamunkey Indian Tribe
Owning and operating the casino also brings the promise of an economic boost to the Pamunkey Indian Tribe.
“There will be, even after they pay their taxes and all those types of things, they will still have a profit, and that profit will go to the tribe,” Smith said.
When Casino Will Open
There’s already a few ideas in place on how to best spend some of the money, even though the first dime won’t appear for a couple of years.
“They’re trying to improve access to healthcare, job opportunities, educational opportunities for the members of their Tribe, and to create revenue for the long-term success of their tribe,” Smith said. “Their reservation doesn’t even have high-speed internet. I can’t do a Zoom call with the chief because of the lack of basic internet infrastructure there. So things like that, that they would like to do to provide better opportunities and ensure the long-term success of the tribe, will happen from revenues produced by the casino as well. So it’s a win for the tribe, but it’s also a win for the city. You know, those are the two sides of it.”
Construction concept
The casino’s exact opening date is still in question. Smith noted however that progress is underway.
“We are currently starting our architectural designs and beginning the permitting process,” Smith said. “We hope to break ground in the spring of 2021, so just several months away, with our goal of a completion date and opening by the end of 2022.”
As the plans become more concrete, excitement buzzes in the Norfolk area.
“I think what the tribe is most hopeful for, is that this will truly be something that can be a catalyst for Norfolk and that area. The site that they’re building is a vacant, abandoned site along the Elizabeth River. It’s something that the city has wanted to develop, it just hasn’t had the right project,” Smith said. “And so we’re hopeful that not only – we know that we’re going to build a beautiful facility there – but our hope is that it will encourage other economic development and other growth around it.”
A vision becoming reality
On paper, it appears that the new casino could bring opportunities galore to both the Pamunkey Indian Tribe and the Norfolk area as a whole.
“One of the reasons that local businesses in the area were excited about this project is because they know that if we’re bringing in 6 million visitors every year, that more people will be coming to Norfolk. They’re going to bring their family and they’re going to spend some time at the casino, but at night, they may take their kids out to go get ice cream downtown or check out the beaches of Norfolk. They’re going to enjoy the other restaurants that are in town. It’s going to bring more economic activity,” Smith said. “So this is really an economic catalyst, not just for our project, but for the businesses in Norfolk. I think that’s what people, 10 years from now, [when they] look back at how it has changed, they’re going to see what it has done in terms of economic development in Norfolk.”
Amie Knowles reports for The Dogwood. She can be reached at amie@couriernewsroom.com
There have long been rumours and concerns about the fate of one of the region’s largest employers, but Casino Rama isn’t going anywhere, says Chippewas of Rama First Nation Chief Ted Williams.
“That’s not going to happen,” he said in response to concerns about the casino closing permanently.
The casino closed in March because of the COVID-19 pandemic and, despite the province giving casinos the go-ahead to reopen last month, Rama’s remains closed.
“The casino business kind of goes with the flow as far as the economics of the day,” Williams said, noting the pandemic has affected all businesses in some way.
Casino Rama generates $200 million to $300 million per year, and Williams said it would be “foolhardy for us to think that it wasn’t going to rebound and come back.” There might be some changes, he added, “but it’s still a viable business.”
Rama First Nation is not involved in the day-to-day operations of the casino, but band officials “are providing strong leadership to assist Gateway (the casino operator) to meet the demands of business” and ensure employment opportunities are available for residents of Rama and surrounding areas.
“The employment levels of First Nation individuals was and has been a concern for 24 years,” acknowledged Williams, who was elected as chief in a band election in August.
He estimated the casino employs 30 to 40 Rama band members. That number was about 140 when the casino opened in 1996, but Williams noted many have gained experience at the local facility before moving on to other career opportunities elsewhere. Some have even gravitated to the Rama band office.
That’s another reason Williams is confident a casino can continue to operate in Rama. The band has “casino experts” on staff, he said. It also has Rama Gaming House operations (smaller casinos) in Mississauga and Scarborough and used to be a partner in a casino in Cranbrook, B.C. Rama sold its portion of that casino a few years ago.
Rama has always wanted to gain ownership of Casino Rama at some point, and that’s still the goal.
“I’d be lying to you if I said it wasn’t. That remains the objective,” Williams said, noting the question is “how and when that will take place.”
Casino Will Close Again
For now, the focus is getting Casino Rama back up and running and ensuring it thrives. Williams — one of the key players in bringing the casino to the First Nation, and who served as a vice-president in its early days — is optimistic that will happen, despite changes that have been made since Gateway took over operations.
They include the closure of some restaurants, changes to the popular players card program, cancelling buses that brought visitors from local hotels and ceasing promotion of bus tours from the Greater Toronto Area.
Sometimes, major changes are necessary, Williams said.
“What Gateway has done is respond to the market and the competition. We have stiff competition to the south of us,” he said. “There is a need to respond accordingly to the business levels. I could second-guess Gateway until the cows come home, but we’re working with them … to ensure the longevity and our fair share of the market.”
Rama First Nation has continued to receive its share of revenues during the casino shutdown, he noted.
Rama is “always looking at diversification opportunities,” he said, but added that is not in response to fears about the casino’s future.
“We’re always open to ideas to assist and complement the casino or the community,” he said, noting a retail cannabis store slated to open in February is an example of that type of diversification.
New Casino Will Opening In 2020
Williams said he understands the importance of Casino Rama to not only the First Nation, but also surrounding communities.
Casino Will Seeds
“To the local community, the townships, the cities, the businesses: I know that they’re looking for strong leadership. You have strong leadership here,” he said. “We have a great team and we’re doing everything we can to make sure everyone’s safe and healthy.”
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