The effects of casinos on local land use are complex. While the industry can provide some positive advantages to the area, it also has some negative repercussions.
Casinos can generate local retail sales, generate income for state and local governments and attract tourists to the region. Unlike lottery sales which rely solely on chance, gambling venues employ people and pay them well.
Entertainment
Entertainment, such as storytelling, music, dance and other forms of performance, has a long-standing tradition. It has become an integral part of many cultures around the world and now provides employment for thousands.
Additionally, it can strengthen family ties and promote friendships. Furthermore, it boosts communication abilities as well as self-assurance levels.
Consequently, the entertainment industry has become an integral part of many communities and created new jobs not traditionally associated with it. Examples include gaffer or special effects supervisor positions in filmmaking and attendant jobs at amusement parks.
The establishment of casinos can have both positive and negative effects on local land use. For instance, they could affect retail sales, tax collections and more; however, how much impact a casino has depends on how many local residents gamble there. If most gambling takes place outside the community then any effect from having a casino would be felt negatively by local merchants.
Employment
The impact of casinos on local land use is an important issue, as it directly affects a community’s economic and social standing. It has the potential to affect employment, housing, tourism, agriculture, open space, traffic patterns, recreation facilities, cultural resources as well as the environment.
Casinos have a positive effect on the economy through employment opportunities and income generation. This could potentially lead to an increase in local retail sales and services if tourists from outside the area spend money at these establishments for gambling, restaurants and hotels.
Taxes
The most notable effect of casinos on local land use is an increase in property tax revenues. Casino advocates and state and local governments often tout this additional income as “new money,” which helps pay for programs benefitting all citizens.
Contrary to popular belief, increased tax revenues are actually a transfer of income from casino owners to program recipients.
Furthermore, taxes paid by casino owners and investors are not new money; rather, they cover the expenses of setting up and running a casino. This acts as an expenditure substitution that reduces gambling’s overall economic impact (Ricardo, 1998).
Another major form of local government taxation on state or federal property involves the application of property tax law to property deemed to benefit from public improvements made within its jurisdiction. This practice is widespread, and many states have implemented formula-based compensation programs for such taxable assets.
Tourism
Tourism’s impact on local land use is a complex issue. It can include diversion of agricultural land to tourist-related activities, including development of resorts and hotels. Furthermore, it may encroach into protected areas like wildlife habitats or mangrove forests for piers, golf courses, and other infrastructure needs.
Casinos and gambling can have a major effect on the environment if they’re poorly managed or planned. Gambling causes pollution that affects air, water, soil, and other natural resources.
Another potential drawback of tourism is that it often acculturates locals by exposing them to practices and world views which are unfamiliar. This can have a major effect on social structures and value systems, leading either to cultural adaptation or innovation diffusion.
Tourism can be made more sustainable by including local residents in the decision-making process about a destination’s development. This strategy, known as the behavior model, is an integral component of sustainable tourism development.
