LINCOLN, R.I. -- The struggling Twin River gambling parlor and dog track will suspend greyhound racing for the rest of the year as it deals with deep financial problems that threaten the balance sheet of a state government already in a budget crisis.
The suspension will begin May 31, once the racetrack has conducted its legally mandated 125 races for the year, Craig Eaton, Twin River's senior vice president and general counsel, wrote in a letter Tuesday to state authorities.
Ending racing is prelude to a possible bankruptcy filing, but there is no timetable for if and when that might happen, said Lincoln Park spokeswoman Patti Doyle. About 40 workers would lose their jobs once racing stops.
Dog racing represents a small slice of income for the state, but the Lincoln track also operates thousands of video lottery terminals. The Rhode Island Lottery projects the terminals will raise almost $247 million during the financial year ending in June, or about 8 percent of expected state revenue.
If the gambling parlor were to close, it could require Gov. Don Carcieri and lawmakers to make even deeper spending cuts to balance a state budget already strained by one of the worst recessions in
more than 30 years.
Carcieri's office earlier broke off talks with Twin River about a possible state takeover after deciding that it was unwise to take on the facility's debt.
Fearing a loss in gambling revenue, Senate lawmakers will debate a bill Wednesday by Sen. John Tassoni Jr., a Smithfield Democrat, that would allow voters to decide whether they want Twin River and
Newport Grand to offer table games. No vote is expected.
In 2006, Rhode Island voters rejected a state constitutional amendment that would have allowed the Narragansett Indian Tribe to open a casino in West Warwick.
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