Rhode Island news
Developer pitches casino plan to Johnston council
Details of what the Colorado businessman calls a "destination entertainment facility" are vague because the meeting was closed to the public.
01:00 AM EST on Friday, February 3, 2006
JOHNSTON -- A Colorado developer is considering Johnston as one of several prospective locations in New England where he and an undisclosed partner might build a casino. David H. Nunes, owner of Higher Ground Development Corporation in Colorado's Rocky Mountains, would not confirm to The Journal the nature of the business deal he discussed with the Town Council last night in closed session. An angry councilor, however, left the meeting after about an hour, before the council voted to "seal the minutes," he said. "I'm just not in favor of a casino or gambling in Johnston," Councilor Ernest F. Pitochelli said in the hallway as the meeting continued in the municipal court. Pitochelli said he was "blindsided" by the idea of a casino in town, which he learned about from seven constituents who called him. In coffee shops and over the telephone yesterday, residents and town leaders talked about how surprised they had been to field phone calls Wednesday from a polling firm seeking their opinions about building a casino at or near the state Central Landfill. State Sen. Joseph M. Polisena said yesterday that he heard from about a dozen angry people Wednesday night, some of whom had been polled that day. Polisena said he thinks a casino in Johnston would destroy the quality of life for town residents. "And as their senator, I will vehemently oppose a casino coming to Johnston," he said. "It will have a profound impact on traffic, on the values of our property and, as I said earlier, on the quality of life in general." The developer initially approached state Rep. Stephen R. Ucci, who said last night that he believed it was his responsibility as a legislator to get the information to the Town Council. "Something of this magnitude needs to have a full and open discussion to weigh the pros and cons," Ucci said. "And ultimately, if it's a good deal for the town, let the voters decide how this should go." Mayor William R. Macera, who is in Florida on vacation, said yesterday afternoon that he, too, was surprised to learn of the casino proposal. He said he first heard of the project Monday, and that the "suddenness" of it has left him confused. "It hit me like a 10-foot wave, out of the blue," he said. He said he doesn't even have an opinion yet on whether a casino would be good for Johnston. Town Council President Robert V. Russo had been tight-lipped about the business proposal prior to last night's meeting, saying an executive session to discuss a preliminary business venture is "standard procedure" for Johnston and other town councils. But after the meeting, Russo said the council could hear Pitochelli speaking out against the idea of a casino to reporters in the hallway. That sent "a very bad message" to the developer that a Johnston official can't keep a secret, Russo said. Russo said the council agreed to bring Nunes back for another meeting to discuss what the developer described as a "destination entertainment facility." Last night, Nunes told the council that a majority of people surveyed for his company said they want a casino, Russo said, adding that the plans at this point are "so preliminary." Nunes has not told the council the name of his partner, but he promised to make the CEO of the company with which he is working available to answer questions. Nunes, who described himself to The Journal as a "real-estate site specialist by trade," said his work at this point is "preliminary fact-finding and due diligence." He said he represents a partnership that is looking at several locations in two New England states. At Rhode Island Resource Recovery Corp., the quasi-public agency that owns and operates the state Central Landfill, said yesterday that they were unfamiliar with the proposed casino. "Resource Recovery has not had any conversations with any casino operators or owners. Our highest priority [for the industrial park] is to find a buyer involved in a green business that will create jobs," spokesperson Beth Bailey said. No date was set for the next council meeting, which Russo said would probably be in closed session. Russo said the council has nothing to hide and would bring the entire issue to the public before any final decision is made. "No one on the council's made up their mind at all," Russo said. "We didn't vote on anything. We just listened to the guy, to what he had to present, and it sounded good." Russo said closed meetings are "standard procedure" when a developer begins preliminary talks about bringing a business to town. Ucci agreed that it's common for large companies and developers to want confidentiality in the early stages of such a venture, for proprietary reasons. "Let the people of the town decide," Russo said. "We shouldn't be the ones to decide." With reports from Arthur Kimball-Stanley. kbramson@projo.com/ (401) 277-7470
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