Gizette Thomas, chairwoman of the Casino Control Commission, presented the commission’s 2010 budget request of $1 million to the Finance Committee Tuesday in Frederiksted as Senate budget hearings got under way. 
The commission has regulatory oversight over casino gambling in the territory, issuing licenses, settling disputes and enforcing regulations.
“This sum would be used exclusively to fund salaries and fringe benefits for the personnel of the commission," Thomas said of the budget request. The rest of its operating costs will come from the Casino Revolving Fund and from the Casino Revenue Fund, she said.
During fiscal 2008 the commission collected $173,000 for the casino revolving fund, which holds money the commission collects in licenses, fees, fines and penalties. As of this June 16, it has collected $39,843 in the casino revolving fund.
The Casino Revenue Fund holds gross revenue taxes collected from the territory’s one casino. In fiscal 2008, $2.7 million was collected in gross revenue taxes on the casino, and as of May 2009, $1.76 million had been collected for the current fiscal year, she said.
By law, the commission gets 10 percent of the Casino Revenue Fund for its operating expenses with the rest divided among an array of programs according to a statutory formula. The largest share, 18 percent, goes to the Education Department.
Even though it has a source of revenue, the commission feels salaries should come from the general fund for the time being.
"While the law provides for the commission to be self-reliant through funding from the proceeds of the industry," Thomas said, "to do so at this time when there is only one licensed property would contribute to a perception that the commission would be partial to the source of its excusive funding. Accordingly, the commission seeks to avoid this presumption through the funding of its personnel cost directly from the General Fund."
Gaming revenues are down nationally and locally due to the economic recession, but some sectors of the industry are doing better than others, Thomas said.
"The American Gaming Association reports that although there is an overall decline in revenues and tax contributions in the commercial casino industry, the racetrack casino sector continued to show growth in 2008," she said. "There are now 12 racino (racetrack casino) states with a total of 41 racinos in the United States."
The Casino Control Commission would be ready to regulate race course casinos if local law is changed to allow them, and potentially online gaming as well, if expected changes to federal law occur, Thomas said.
