A report published by the Louisiana Department of Economic Development suggests that two Bossier City-Shreveport riverboat casinos be removed from the market.
The Spectrum gaming group that has prepared this report, states in its findings that “all forms of legalized gambling in Louisiana except the Lottery has been in decline since 2008.” The Louisiana Department of Economic Development commissioned the study.
The two casinos which the study suggests to be removed are the Boomtown and Diamond Jacks casinos.
The Spectrum gaming group has advocated for changes, and the report suggests that if implemented the recommendations could lead to increased employment and revenues and therefore, more taxes and revenue for the state.
Despite being the biggest gaming and gambling market in the region, the Shreveport-Bossier City market has been consistently shrinking. Currently, it is down 21% since 2007.
The shrinking market size has been attributed to the stiff competition from the Oklahoma tribal casinos. Also, the report calls the more relaxed gaming laws in Arkansas in recent years as a reason for the decline.
Arkansas has legalized gambling and casino operations giving licenses to four venues in 2018. Also, recently sports betting has been green signalled at two racinos in Arkansas as a new bill allowed for the legalization of sports betting in the state.
The report insists that of the seven casinos in the Shreveport-Bossier market only five should be operating. It reads: “It could be argued that there are seven casinos in the Shreveport-Bossier City market in what should be a five-casino market.”
Spectrum gaming group recommends that the Boomtown and DiamondJacks casinos be removed as the two venues have posted lowest revenues and have been a consistent underperformer.
Spectrum’s study says “Our analysis shows the State could realize $14 million more in gaming taxes from these moves.”