from Gaming & Leisure Magazine
Winter 2016 / 2017
Known for it’s pristine beaches and crystal clear waters, exotic Bermuda has welcomed sun-seeking tourists for many years. Offering a welcoming, friendly culture with unsurpassed scenic appeal, the tropical island may soon be introducing casino gaming to the mix.
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| Gaming & Leisure Magazine Winter 2016-2017 |
[G&L] You've had an extensive background in gaming. Could you give us a bit on your global experiences in Casino gaming?
[RS] I started in the casino business as a college student in Reno, Nevada in the early 1970s, dealing at Harrah’s from nine at night until five in the morning. Since that beginning I have worked in gambling in Reno, Tahoe, and Las Vegas in Nevada; Mississippi, New Jersey, Minnesota, and Louisiana in the United States; and in numerous jurisdictions around the world as a consultant. On the academic side I have been lucky enough to teach Casino Management and Regulation in Macau and also in Switzerland, as well as numerous locations throughout the United States
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| Richard Schuetz Executive Director Bermuda Casino Gaming Commission |
[RS] It appears that the legalization of gambling in Bermuda has been a discussion topic for several decades. It was finally legalized in December 2014 with the Casino Gaming Act. The public policy goals of this legislation were to increase employment, investment and enhance the tourism product of the Island. I was brought on board in September 2015 to establish the regulatory framework. Since then my primary task has been to develop a series of amendments to the Act to cause it to be quicker to market, less expensive, demand fewer regulatory resources, while also making it more business friendly to the operators. Once we get these issues with the Act resolved, we will address the regulatory package, and initiate the RFP process.
[G&L] There are various national casino models that have been considered. What is the most likely model under consideration?
[RS] Bermuda’s model is for integrated resort casinos, of which up to three will be allowed. The participants can be an existing Island resort with over 200 hotel rooms, or new developments.
[G&L] The church has a strong presence in Bermuda. Has there been much interaction with the Church?
[RS] In our discussions with the different thought leaders on the Island we have made an effort to point out that there is currently a substantial amount of illegal gambling taking place on the Island, as well a great deal of gambling jobs, investment and tax revenues being exported off of the Island by way of Bermudians visiting North American and Caribbean casinos, and through the Internet.
Our position that regulated gaming is better than unregulated gaming appears to be gaining traction. Also, a substantial trial for Bermuda currently concerns unemployment, and we believe that the development of a well-regulated integrated casino resort industry, and the jobs it creates, will definitely improve the social welfare of the Island, and this benefits all Bermudians.
[G&L] Will, or should the locals be allowed to gamble?
[RS] There is nothing in the Casino Gaming Act that precludes Bermudians from gambling. Whenever I have been approached on this topic, I always ask if the individual believes that Bermudians are incapable of making a good decision regarding enjoying this form of entertainment, or whether they should not be allowed to make this decision. No one has ever answered that question. We will also offer, as a part of our regulatory regime, a robust problem gambling program to mitigate and minimize the social costs imposed by the introduction of casinos.
[G&L] How many casino properties are being considered?
[RS] The Act allows up the three integrated resort casinos.
[G&L] Where will the casinos pull most of their guests from?
[RS] The vast majority of tourists to Bermuda are from North America, and we see the introduction of the integrated resort experience enhancing their enjoyment of the Bermudian experience. We also believe that we will gain a retail component from the locals, and because Bermuda has the fourth highest per capita GDP in the world, there is also higher-end potential.
[G&L] Are Sports Books expected to be a part of the gaming mix?
[RS] I hope so. Because of our proximity to the Eastern US, I believe that sports betting could be an important revenue and marketing tool for the Island resorts. While we currently have betting shops on the Island, the regulatory and tax structure would have to be fundamentally changed, and we are currently addressing that possibility with the government.
Gaming & Leisure Magazine would like to thank Richard Schuetz for his time and contribution to this discussion on casino gaming in Bermuda.
