THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Saturday, February 4, 1995 TAG: 9502030044
SECTION: FRONT PAGE: A12 EDITION: FINAL
TYPE: Another View
SOURCE: By JACK ROPER IV
LENGTH: Medium: 87 lines
Riverboat gaming is Virginia's best opportunity to provide thousands of jobs, attract millions of tourists to our state and generate up to $123 million annually in tax revenues.
Plus, Virginia's thousands of shipyard workers will be among the biggest winners if Virginians get the chance to vote on this waterway activity.
Thousands of Hampton Roads shipyard workers are facing possible layoffs as our state's shipyards begin the process of conversion from primarily a defense-related clientele to performing work for the private sector. These thousands of employees and their families recognize what riverboat gaming will bring to Virginia and are one of the main reasons this idea has gained so much support in the past few years.
Total shipyard employment in Virginia has plummeted from 44,574 workers in 1991 to about 33,000 currently. And this does not include the thousands of suppliers across Virginia who rely on orders from shipyards for the bulk of their business.
Plus, it is estimated that for every shipyard job lost, another job is lost elsewhere in the state as a result.
The advent of riverboat gaming provides the best opportunity for shipyards to move back into commercial shipbuilding for the first time since 1974. Riverboat gaming brings with it the opportunity for Virginia's shipyards to build up to 14 new ships just for operation in Virginia. It is estimated that each riverboat brings with it 300 jobs for shipyard welders, fitters, boilermakers, riggers, machinists, electricians, subcontractors and others involved in the construction of a ship.
That's 1,500 shipyard jobs for Virginians if our state's shipyards can build five boats at a time.
But that's not all.
U.S. Coast Guard regulations require that these floating vessels undergo repairs every two years. This continual source of work for Virginia shipyards will give the industry a consistent source of activity that we can bank on in the future as we move away from defense-related work and toward contracting with private enterprises.
And The Wall Street Journal recently estimated that 90 riverboats - each costing $10 million to $15 million - will be needed nationwide by 1995 to meet the growing demand. The opportunity for companies like Norshipco, Newport News Shipbuilding and Colonna to compete not only for Virginia ships for also for riverboat contracts nationwide cannot afford to be passed up by the legislature.
The shipyard industry needs the opportunity to expand its private-industry market. Thousands of shipyard workers and their families depend on the maritime industry for support, and Virginia's economy is tied to the success of shipyards.
Virginia's shipyard industry has supported riverboat gaming in the past because it generates jobs for thousands of shipyard workers and their families.
But riverboat gaming also adds to Virginia's tourist trade, Virginia's economic stability and provides year-round jobs for thousands of Virginians.
The facts don't lie. Those who doubt the potential brought by riverboat gaming need only look to Illinois, where, according to the Illinois Riverboat Gaming Council, nine operators generated $200 million in tax revenue for the state in fiscal 1994, 11,673 direct jobs, more than 17,000 indirect jobs and total capital investment of $496 million.
Virginia's riverboat proponents called last year for less than 10 licenses, making riverboat gaming an addition to Virginia's tourist trade, not the major component.
Riverboat gaming would be limited to two- or three-hour excursions, after which visitors would be required to disembark. They would pay a fee to get on, a portion of which would go to the state and a portion of which would go to the local government. If visitors wanted to ride again, they would have to stand in line again and pay an additional fee to reboard. This discourages compulsive behavior.
This facet of riverboat gaming also encourages visitors to go to other Virginia attractions like Colonial Williamsburg, Monticello or Kings Dominion.
Riverboat gaming will bring new visitors to our state and encourage them to visit the whole state, not just one location. Since the boat trips will be only a couple of hours long, visitors would disembark, go eat in an area restaurant and stay in an area hotel, thus making riverboat gaming but a component of Virginia's over-all tourist industry. MEMO: Mr. Roper is executive vice president of operations for Norfolk
Shipbuilding and Drydock Corp.
by CNB