for early access to the latest igaming videos!
and get the latest igaming news first!
In Argentina’s Necochea city, there is a new plan being proposed to modify the city ordinance presently restricting gambling activity to the present Casino Complex. The proposal, made by Unión por la Patria–PJ party councilwoman Evangelina Almada, aims to recruit a new casino company and safeguard over 60 jobs that could be lost due to the present uncertainty surrounding the future of the venue.
The casino, regulated by the Buenos Aires Provincial Institute of Lottery and Casinos (IPLyC), has been facing operational and financial difficulties. The first tender for a new concession was made null and void since no investors showed interest, jeopardizing the future of the establishment and its staff.
In a radio interview with Radio Rivadavia Necochea, Almada explained her worry: “It is quite worrisome for these workers. There are more than 60 families who depend on this casino. It is key that this be resolved in a hurry.”
Economic Challenges and Investment Barriers
Almada questioned the second tender process to be launched, stating that it has “the same conditions” as the first one, which discouraged investors. The cost of financing the revamp of the casino is expensive, she said. “The amount of investment for gaming machines alone is around USD 5 million, while recovering the casino complex could double or triple the price“, she said.
With these issues in mind, Almada feels that keeping the current ordinance in place, which “anchors gaming operations to the existing complex“, is constraining. She proposed that opening the door to the potential relocation of the gaming hall of the casino would render the project more appealing to investors while providing continuity of employment for local families.
Balancing Regulation and Flexibility
The plan expects a two-step process: first, proceeding with the second call for bids in the current framework, and second, transitioning to amending the ordinance for relocation in the event the tender fails again. This adjustment would provide the possibility of situating the gaming operations within another segment of Necochea’s coastline, possibly reviving tourism and economic endeavors.
“The province must ensure investment or relocation of the gaming hall“, Almada stated, highlighting that the short-term goal is to arrive at a solution that guarantees local job opportunities.
Union Involvement and Worker Advocacy
The Necochea City Council Commission for Labor, Economic Promotion, and Local Development recently sat down with Provincial Casino Workers’ Union (AMS Casinos) representatives to try to resolve the matter. Fernando Hansen, the union leader, reiterated the need to change the ordinance to offer flexibility in the location:
“If the second tender also fails, we’ll have to seriously consider relocating the casino’s gaming room to another part of the seaside area”, Hansen said. “But for that to happen, the municipal ordinance must be amended. Otherwise, it will be extremely difficult to move forward.”
Union representatives stressed the need for job security and that granting the casino to operate in a more manageable capacity may attract investors and modernization opportunities, ones withheld from it under the current system.
Outlook and Next Steps
The proposal is symptomatic of a deeper struggle between regulatory stability and economic flexibility within the gaming industry in Argentina. While the ordinance was initially designed to preserve the integrity and exclusivity of the Casino Complex of Necochea, changing market conditions and infrastructural decline have made this model increasingly unsustainable.
In considering an amendment of the ordinance, the Necochea City Council aims to find a balance between guarding regulatory authority and enabling practical solutions to preserve job opportunities, invite investments, and boost local tourism. While the controversy continues unabated, all eyes are on the outcome of the upcoming second tender and the potential move towards a more pragmatic and fiscally responsible gaming model for Necochea.
Source: YogoNet
