Shire not willing to gamble on casino
The success of a casino in Broome aimed at attracting high-rollers from Asia has proven too much of a gamble and is set to collapse like a house of cards.
A Shire of Broome commissioned report into the idea costing ratepayers almost $30,000 has dealt the concept a poor hand by highlighting a number of significant risks if it were to proceed.
The investigation said a gambling house would potentially play Russian Roulette with the branding of Broome, which was currently marketed on its natural beauty and as a gateway to the Kimberley.
The Paxon Consulting Group was authorised to present its findings under the council’s previous administration, led by former Shire president Graeme Campbell.
The consultants said a casino could cause community disruption and an increase in social problems, such as crime and excessive gambling.
“It may also siphon money out of some of the poorest and disadvantaged communities in the Kimberley, as seen in Alice Springs,” it stated.
The analysis questioned whether there was demand to drive a casino development in town that would need to remain independently economically viable, “given the scale of investment required to compete in the market”.
The report said there was also a risk that investors may not be attracted to Broome given its history surrounding the shelved James Price Point on-shore gas processing plant and the worldwide attention it attracted.
“The strength of community voice demonstrated in this instance, combined with the subjectivity of the approvals process, may be of concern to investors,” it stated.
Potental impacts on existing hotel operators were underlined if any potential casino development included accommodation.
Earlier this year, Tourism WA refused to back the idea but the council pushed ahead with the investigation.
The Shire’s economic development advisory committee will tomorrow consider the option of continuing negotiations or halting further investigations until the risks can be mitigated.
The matter will then go before an ordinary council meeting.
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