Gulfside makes new Pope County casino pitch

The Gulfside Casino Partnership is hoping its broad $405 million plan for a Pope County casino will be enough to get a resolution of support from the county’s Quorum Court. But Pope County Judge Ben Cross isn’t confident Gulfside can deliver.

Pope County Quorum Court members will hear a proposal from Gulfside on June 6. It is the latest in an almost five-year history of legal wrangling between Gulfside and a competing casino proposal from Cherokee Nation Businesses (CNB).

Amendment 100 was approved in 2018 by Arkansas voters. It established The Arkansas Casino Gaming Amendment, which requires the Racing Commission to issue licenses to Oaklawn Jockey Club in Hot Springs, Southland Racing Corporation in West Memphis, and entities in Pope County and Jefferson County. Casinos in three counties are operational: Oaklawn Racing Casino Resort in Hot Springs, Southland Casino Racing in West Memphis and Saracen Casino Resort in Pine Bluff.

The Arkansas Supreme Court ruled in October 2021 that Gulfside did not have a required official letter from an elected official during the active part of the application process, while the Cherokee Nation did. Gulfside had relied on a letter from the previous county judge, who was no longer in office when the application was submitted.

The Arkansas Supreme Court ruled Jan. 11 it would not rehear a lower court decision that blocked granting of a casino license in Pope County to CNB. The rehearing denial returned the license process back to the Arkansas Racing Commission (ARC). The application deadline for a Pope County casino is June 11.

GULFSIDE PROPOSAL
Gulfside’s plan, unveiled Wednesday (May 29), is valued at $405 million. It includes a “transformational package” that includes a $65 million payment to Pope County and a $2 million annual commitment to the county for economic development purposes. The Gulfside proposal would also provide economic development funds for Russellville, the county seat of Pope County, and other county towns.

“The unveiling of this visionary project marks a pivotal moment for Pope County and the Arkansas River Valley,” Terry Green, co-owner of Gulfside, said in a statement. “Our proposed River Valley Casino Resort will redefine regional tourism with 70,000 square feet of unparalleled gaming space, 1,500 state-of-the-art slot machines, 50 table games and a dedicated sportsbook, among other world-class amenities. This high-end destination will drive economic development in the region and be an employer of choice, fostering a thriving community for generations to come.”

According to Gulfside, the casino resort will include 300 hotel rooms, a convention center space with meeting rooms, a steakhouse restaurant, a casino lounge, a 24-hour cafe, an outdoor amphitheater, a spa and fitness center and a coffee and pastry shop.

Gulfside estimates that the 20-acre project will create 1,695 direct jobs with a projected $60.5 million annual payroll for the region. The project is also estimated to generate $29.5 million in annual tax revenue. Gulfside plans to acquire 20 lakefront acres in part of the northwest corner of Interstate 40 and Arkansas Highway 7 from the city of Russellville for at least $5 million, with another $10 million paid to the city to complete the convention center that was part of a previous tax plan by the city.

Also, as part of the proposed deal, Gulfside said it would spend nearly $15 million in five other Pope County cities, fire departments, and education-related and arts nonprofits.

“Gulfside Casino Partnership is more than just a tourist destination or local employer; it is an economic driver and philanthropic partner committed to the prosperity and vitality of our Pope County communities,” Gulfside attorney Casey Castleberry said in a statement. “As part of our commitment to the region, we are exploring an option to purchase nearly 20 acres from the City of Russellville that had previously been acquired for a convention center.”

Gulfside owns the Island View Casino Resort in Gulfport, Miss., which employs around 1,840 people in its Gulf Coast gaming and hotel operations.

CROSS COMMENTS
In an interview with Talk Business & Politics after Wednesday’s Gulfside proposal, Judge Cross said he isn’t impressed.

“Seeing is believing, and I’ve seen a lot of proposals from Gulfside, and none of them have ever panned out,” Cross said, adding that “what they propose and then what they present has always been different. … They basically just tried to one-up everything that CNB had offered.”

Cross said Gulfside needs to convince seven members of the 13-member Quorum Court on June 6 to approve a resolution supporting the Gulfside proposal so that the resolution can be part of the application to the Arkansas Racing Commission. Cross, who said he does not plan to issue a letter of support to Gulfside, declined to predict how the Quorum Court would vote. Cross did say he anticipates CNB will also make a presentation at the June 6 meeting.

“I think you’ll see CNB come in and highlight their historical data, which is all the nonprofits here they’ve supported over the years and everything else they’ve done for our communities over the years,” Cross said.

Cross also disputed the suggestion by Gulfside officials that they had options with the city of Russellville on the lakefront acres, saying Gulfside has “no contractual obligation to buy land in Pope County.”

In a statement provided to Talk Business & Politics, Casey Castleberry, Gulfside’s legal counsel, said Gulfside has enough property to build the proposed casino.

“Gulfside has enough property under option to build our lakefront casino resort, and we look forward to working with the mayor and city council members in Russellville on the sale of its property to expand our development. As evidenced by our $10 million economic development pledge, we intend to be a good partner and assist city leaders in building their long-desired convention center,” Castleberry noted.

Cherokee Nation Entertainment provided this statement from CNE President Mark Fulton: “Our more than $300 million project is not just an idea; it is a full-fledged economic development plan that has been in the works for over five years with the required support of Pope County leaders. We own more than 325 acres of land and have obtained our Large-Scale Development permit from the City of Russellville. Our shovel-ready development positions us to be open and operating more than a year ahead of any other proposals. Legends Resort & Casino is a world-class entertainment destination that will bring thousands of jobs to Pope County and provide more than $5 billion in economic impact over the first 10 years. Our next step is to submit an application for our casino resort destination before the Arkansas Racing Commission deadline on June 11.”