Casinos to be licensed.

Prime Minister Bruce Golding, said government has to decided permit licensing of casinos in Jamaica and has already approved proposals for a major new investment, reports JIS (April 24, 2008):

Golding explained that applications for casino licenses will only be considered under certain conditions. These are: a minimum investment of US$1.5 billion and construction of not less than 1,000 rooms; the casino should be no more than 20% of the total project; casino operators will be subject to approval after appropriate due diligence including fit and proper tests and evaluation of track record; and an appropriate regulatory framework with the necessary legislation and enforcement mechanism put in place;

"A team chaired by the Hon. Dennis Lalor has been established to recommend to the Government, the appropriate regulatory framework and tax regime to govern the operation of casinos. These will inform the legislation, which will be brought to Parliament for consideration and approval."

Golding said Government has approved proposals from developers of the Palmyra Resort and Spa, operating under a company known as Celebration Jamaica Ltd, for a US$1.8 billion new investment which involves development of a 65-acre property adjoining the existing Palmyra Resort at Rose Hall and consisting of 2,080 new hotel rooms;

In order for this proposal to be approved "we had to re-negotiate the terms of the agreement with the Tavistock Group in respect of Harmony Cove. This was so because under the agreement entered into with the previous administration, Harmony Cove would have enjoyed an exclusive license to operate gaming machines within a 10-mile radius of any border of Trelawny. This exclusive zone encompasses Rose Hall," Golding said;

"I am in a position to advise that based on our undertaking that it will also be allowed to operate a casino. Tavistock has agreed to restrict its exclusivity to allow for an agreement to be signed with Celebration Jamaica and by an exchange of letters the Heads of Agreement have been amended accordingly," he added;

Golding said Tavistock has agreed to increase the size of the project from 4,500 rooms to 8,500 rooms with an additional investment of between US$1 billion and US$2 billion. "These will be configured in a cluster of 9 hotels with a stupendous array of facilities and amenities. Accordingly, the Government has signed a Heads of Agreement with Celebration Jamaica Limited for the new development at Rose Hall," Golding said.

Church leaders urged legislators to reject a plan by Prime Minister Golding to boost tax revenue by licensing the island's first casinos, reports AP (May 5, 2008). Allowing casinos on the island would spread vice, threatening social values and ruining families, said Rev. Henley Bernard of the United Church in Jamaica and the Cayman Islands.