Harrah's to give West Warwick $5 million

WEST WARWICK, Rhode Island – As reported by the Providence Journal: "Harrah's Entertainment will give West Warwick one-time payments totaling $5 million plus up to 2 percent of its revenue after 10 years of operation if a casino wins voter approval, according to a 75-page development agreement released yesterday.

"The town will also receive a $300,000 non-refundable signing bonus even if the proposal fails in the Nov. 7 general election.

"The agreement also guarantees a one-time payment of $1 million to cover public-safety equipment and to offset any losses in property value experienced by nearby homeowners who sell within three years of the casino's opening.

"The casino's property taxes combined with its revenue payments are expected to bring the town about $20 million a year, according to a news release from Wolfgang Bauer, town manager.

"…Details of the new agreement establish site restrictions regarding buffers, sound barriers and setbacks, and also ensure the developer doesn't build on any land currently zoned residential. The agreement also requires that Harrah's pay for a Route 95 ramp that would be the only access to and from the casino site.

"The payment schedule established in the agreement stipulates that Harrah's will make a non-refundable payment of $300,000 to the town three days after the agreement is enacted by the Town Council. The company also agrees to pay the town $1 million within 60 days of referendum approval, and another $2 million within 18 months. An additional $2 million will be paid within 10 days of the start of construction…"