LINCOLN – The proposed restructuring of the bankrupt Twin River gaming hall has hit a snag after lawmakers defied a Carcieri administration request to allow the venue to end its money-losing greyhound racing operation.
Twin River’s parent company, UTGR Inc., a subsidiary of BLB Investors Inc., filed for bankruptcy protection on June 23. The company had faltered under $589 million in debt taken on to purchase, renovate and expand Twin River from 2005 to 2007.
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As part of a restructuring deal agreed to by UTGR, Gov. Donald L. Carcieri and the firm’s creditors, the governor said he would push the General Assembly to allow Twin River both to remain open 24 hours a day, seven days a week and to eliminate greyhound racing at the facility. Twin River says it loses millions of dollars each year on greyhound racing.
But the Senate yesterday did exactly the opposite, with lawmakers instead voting to approve a bill that would force Twin River to increase the minimum amount of greyhound racing from 125 to 200 days a year. The House has already approved the bill, which did include the provision allowing round-the-clock gambling at Twin River that Carcieri wanted.
The legislation now goes to Carcieri, who has promised to veto it.
The Rhode Island Greyhound Owners Association praised the lawmakers’ vote, saying it would save 225 jobs. “Our legislators saw the obvious choice: protect 225 jobs and millions in revenue, or protect the interests of big banks with no interest in our state,” spokeswoman Jennifer Bramley said in a statement.
“We cannot afford to put more Rhode Islanders on unemployment and the big banks do not need any more financial assistance from taxpayers,” she added.
In a related development, executives from Harrah’s, the Las Vegas-based casino giant, visited Smith Hill to meet with House Speaker William Murphy, The Associated Press reported. Twin River’s lenders are looking for new management to take over the facility when it emerges from bankruptcy.
