River City gambling still stirs controversy

Published 12:00 am Tuesday, September 9, 2003

Cars and people line up at the Isle of Capri on the day Vicksburg’s first casino opened in 1993.(File The Vicksburg Post)

First of five parts

[9/7/03]Casino boats set anchor in Vicksburg a decade ago amid controversy, protests and two countywide votes with a less-than-10 percent margin, but today casinos are a part of the city’s landscape with plans for future development and a possible fifth boat in the works.

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Mississippi lawmakers authorized dockside casino gambling in 1990, and today there are 29 state-regulated casinos along the Mississippi River and Gulf Coast and two owned by the Mississippi Band of Choctaw Indians. Gambling was and continues to be a moral and economic issue of conversation in Warren County.

“I know it’s done a lot for the city, but on biblical principles and my own belief, I think it’s bad for the community,” said Nellie Caldwell.

In 1990, Caldwell was the secretary to an anti-gambling group called Citizens for a Quality Community that campaigned against the local referendum that authorized gaming. Today, she continues her fight for the community through the riverfront mural project.

Two votes were held in Warren County, the first in 1990, when gaming was defeated by 958 votes out of 15,358 cast, and the second in 1992, when gaming was approved by 651 votes out of 15,270 ballots cast.

The Isle of Capri became the first casino to open 10 years ago and, within a year, was followed by Harrah’s, Ameristar and Rainbow. On that first day at the Isle, an estimated 400 people waited in line to try their luck at the slots and table games, and about 8,000 people visited during the first 22 hours.

Outside the floating casino, a half-dozen people carried signs reading “Welcome to Sin-burg” and “Gambling is Sin.” Five years later, in an interview with The Washington Post, former Vicksburg resident and former Gov. Kirk Fordice called Vicksburg “a rather tawdry little gambling town.”

Curt Follmer, general manager of Rainbow Hotel Casino and president of the Mississippi Gaming Association, says that description of Vicksburg is totally inaccurate.

“Before casinos were here this place was dying,” Follmer said.

Since the four local casinos opened, they have contributed a combined $79.4 million in tax revenue and created 2,386 jobs. The casinos also sponsor local community events such as the Fourth of July Celebration and Riverfest along with many local charities.

Speaking of fireworks on July 4th, North Ward Alderman Gertrude Young, an ordained minister, recently praised the community involvement of Ameristar Casino Hotel and its top managers.

“All we have to do is just call them, and they’re there,” Young said. “Normally, I would be against casinos but when it comes to these, that’s what it’s all about.”

“We like to set the example and get others involved in the community,” said Ray Neilsen, general manager at Ameristar.

“It’s not just about giving money. It’s about giving our time to make the community better,” said Neilsen, who is also funding one of the riverfront murals to be painted this fall.

The last casino opened in Vicksburg in 1994, but the local industry has seen many changes since then. Ameristar and the Isle of Capri have added hotels and plans have been announced for at least six other casinos.

Gold River Casino was issued a state gaming license in 1994 for a site near the confluence of the Mississippi River and the Yazoo Diversion Canal, but it abandoned those plans, citing market conditions and a lack of financing. That same year, Marquis Casino gave similar reasons for scraping plans to build south of Harrah’s on property where the Vicksburg Convention Center sits today.

Lady Luck Casino got a license in 1994 and again in 1996 and 1998, but never developed. City officials were also caught in the crossfire between the casino developer and residents along Warrenton Road over the site of the former Jett school that was selected for the boat.

The next was Horseshoe Gaming, whose attempt to develop a casino and NASCAR racetrack along Warren County’s eastern boarder along the Big Black River set off seven years of controversy and legal wranglings. The Mississippi Gaming Commission ruled that the site was not on a navigable waterway and therefore not an appropriate location.

That decision was upheld by the Supreme Court last year, and a $3.8 million jury awarded against AmSouth, Isle of Capri Casino, Harrah’s Casino and Ameristar was overturned in 2001.

Earlier this year, Jacobs Entertainment opted out of plans to build on the 500-acre site abandoned by Vicksburg Chemical. Separately, Jim Belisle of Multi-Gaming Management, one of the developers of the proposed Big Black site, and Lakes Entertainment announced plans to build on land off U.S. 61 South.

Harrah’s Entertainment Inc. of Las Vegas also announced it will sell its Vicksburg property to the Kentucky-based company that operates a casino in Greenville. The sell to Columbia Sussex of Fort Mitchell, Ky., is expected to be completed by the end of the year and is subject to regulatory approvals.

“It’s very important that everyone know that we’re here to stay,” said Janet Gillespie, director of administrations at Ameristar Casino Hotel.

“We are the community that makes Vicksburg,” she said.

Tomorrow: Revenue and taxes