A casino in Madison could cost Dane County more than $74 million annually in direct economic losses, according to a study released Tuesday regarding the Feb. 17 referendum to expand DeJope Bingo Hall, 4002 Evan Acres Rd.
The study was conducted by University of Nevada-Las Vegas Professor William Thompson and financed by No Dane Casino, a grassroots organization which aims to convince voters to vote against expanding DeJope, run by the Ho-Chunk Nation, into a casino. It comes on the heels of a contradicting study which estimates the casino would bring the county $47 million annually in economic activity.
According to Thompson, most of the casino's visitors would be Dane County residents, who would contribute $85 million to an annual casino profit of $106.7 million. He said approximately half of the casino's revenue would leave the county in taxes, gaming supply purchases and profits to tribe members, most of whom are located in Black River Falls.
Thompson said profits to the county would not offset money lost to the casino by residents, but instead leave it with an economic loss of more than $32 million.
\Money doesn't grow on trees ... money comes from people's pockets,"" Thompson said.
The study also found social factors with an economic cost would bring an additional economic loss of more than $41 million, citing lost productivity, increased suicide rates and an increased crime rate as examples of such factors. Thompson also said the losses would be twice as much when indirect economic effects are considered.
Marilyn Townsend, a Madison attorney who contacted Thompson and requested he conduct the study, said she wanted more information about the casino's possible effects.
""I think the way it had been originally presented to voters is 'it's a no-lose situation,' and I don't think that's true based on the report of Professor Thompson,"" she said.
But the study conducted by Madison economist David Ward and financed by the Ho-Chunk Nation disputes Thompson's findings. That study, released Monday, projected the county would gain more than 1,300 jobs in addition to the economic boost.
Lisa Pugh, spokesperson for the Coalition for the Fair Indian Gaming and Revenue Sharing Agreements, said the group will have Thompson's study examined by a local economic analyst. She also questioned the credibility of a study done outside Dane County, as opposed to the one done locally. She added the benefits to Dane County will be higher than those in other communities.
