For years, Sumner County and Boyd Gaming-owned The Kansas Star Casino have been engaged in what appeared to be an endless legal battle regarding how much the property is worth, and, automatically, how much the casino should be taxed. 

The repetitive yearly procedure has seen Sumner County appraising the casino at a certain amount, followed by Boyd Gaming’s significantly different appraisal and a fight in court over who is right. 

Now, the courts have decided that the operator of the casino located south of Wichita is owed over $19 million in payments over these ongoing tax disputes.

Who Is Going to Pay the Money Back?

According to the courts, the money will be paid back by Sumner County, the school district, and the City of Mulvane where the venue with over 1,300 slot machines and 40+ table games is located. 

Commenting on the decision, Mulvane’s city manager, Austin St. John, called it a “positive” thing, explaining that they can now put an end to the waiting as they now “know what we’re paying.”

St. John further added that, for the upcoming five years, the authorities will have the conviction that their valuation “is going to be correct”.

At the end of the last tax assessment performed by Sumner County, it was ruled that the casino property should be subject to tax at a value of around $190 million. Boyd Gaming filed an appeal, and the courts decided that the value was at roughly $85.5 million.

In 2022, the city of Mulvane decided to raise its mill levy by another eight mills, anticipating the settlement it would have to pay back to the operator.

Boyd Gaming Sued Kansas State in 2022

In May 2022, Boyd Gaming announced it had sued the state of Kansas on claims that, in the context of the newly introduced sports betting laws, the contract signed by the two parties had been violated. 

The contract’s terms read that provided the Sunflower State introduced slot games that resemble the ones featured by Boyd Gaming at Kansas Star Casino, it would have to pay a $25 million fee to the operator.

Besides the state, other defendants in the case included the Kansas Lottery and the Kansas Racing and Gaming Commission.

At the end of October, Boyd Gaming announced a 3% increase in total revenue for the third quarter of 2023, in the context of a slight drop in the year-over-year gaming revenue.

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Detroit casino workers are on the brink of a massive strike set to begin at noon on October 17 unless an agreement is swiftly reached between unions and the city’s three major casinos. This development marks the first time in Detroit’s history that casino workers have contemplated such a drastic measure.

Detroit Casino Unions Demand Reasonable Wages Amidst Tech Shift

The unions, including UNITE HERE Local 24, UAW, and Teamsters, have been in intense negotiations with casino management since early September, seeking fair wages, improved healthcare benefits, and job protections amid the implementation of new technologies in the gaming industry.

According to union leaders, casino workers demand wage increases in line with the soaring profits reported by the casinos in 2022 and 2023 after the pandemic-induced shutdowns, reported the Detroit Free Press. Workers argue that fair compensation is essential given the rising cost of living and inflation rates. 

Susan Gallagher, a seasoned bartender at Hollywood Casino at Greektown, conveyed her worries about the potential threat to their jobs posed by technological advancements. She mentioned that they understood they could not halt the progress of technology but emphasized the necessity to safeguard themselves.

The strike threat has shaken up Detroit’s gaming industry and raised concerns about the potential economic impact. 

Patrick Nichols, a dealer at the MGM Grand, shared his worries about the challenging economic climate pointing to the high inflation and cost of living. He noted that the negotiations are a matter of survival.

Detroit Workers Await Fair Contract Amidst Looming Strike Threat

The Detroit Casino Council’s decision to strike comes after months of fruitless negotiations. The council accused casino management of being uncooperative and failing to deliver a fair contract for the workers. While significant progress has been made, an agreement has yet to be reached, leaving casino operations in jeopardy.

Representatives from MotorCity Casino Hotel expressed their commitment to bargaining in good faith and achieving a fair contract. A representative commented that although substantial headway had been achieved, they had not finalized a deal with the Detroit Casino Council. The spokesperson emphasized their dedication to negotiating sincerely and securing a contract that treated their employees fairly while ensuring their company’s competitiveness in the industry.

As the clock ticks down to the strike deadline, the fate of Detroit’s bustling gaming industry hangs in the balance. The workers, resolute in their demands, stand united, hoping for a fair agreement that will secure their livelihoods and the future of their industry.

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