Page 6 - Mississippi/Louisiana Gaming News - Fall, 2021

Guest Editorial
‘Positive momentum’ describes gaming industry
By Jay McDaniel
Positive Momentum. The phrase seems appropriate to describe the current gaming industry in Mississippi, and really around the country. After a year like no
other in 2020,
we are now
seeing gaming
operators
coming back
strong in 2021.
This is due in
part to casinos
that reopened
with the goal of
maintaining the
safety of players
and staff while
also offering a quality entertainment product; and due to patrons that wish to get back to some sense of normal and enjoy all of the amenities our casino operators have to offer.
As of the end of September, Mississ- ippi’s gross gaming revenue sits at just more than $2 billion with three months to go in the calendar year. If we simply maintain the pace of the last three months of previous years, it is likely that Mississippi will finish with over $2.5 billion in gaming revenue for 2021. That is a total we have not seen since 2008.
Sports wagering is also seeing significant growth in our state. As of
the end of September, sports betting wagers total $400 million with revenue of $47 million. At this rate we have already surpassed the annual totals of 2018 and 2019, when approximately $360 million was wagered with revenue of $45 million each of those years. It will be exciting to see the final numbers for sports wagering revenue this year, as we know we finish the year during football season — easily the most popular season for wagers in the Southeast.
It is also exciting to consider what opportunities this momentum might bring to our operators and to our state. There are many issues we are always keenly aware of and monitor continuously. One of those involves what is happening from a competitive standpoint in our neighboring states. Tennessee added mobile sports
wagering last year, and Louisiana has begun retail sports wagering with mobile/online to follow shortly. Arkansas continues to add commercial casino offerings, as well. We are all attentive to see if these changes take business from our state or whether it actually brings new interest to what our operators
an accounting degree in 1997. Gaming was still a relatively young industry at the time, and the gaming commission was looking for accountants to fill compliance roles in the agency. After five years
with the agency, I left and attended law school at Mississippi College. I worked in private practice immediately after law school, but always kept my eye on the gaming industry because I had enjoyed working in it so much.
Jay McDaniel
have to offer. While Mississippi is
an attractive gaming market, new competition underscores the need to redevelop and expand opportunities for visitors wherever possible.
A second issue will be what
changes might occur here at home. Whether Mississippi chooses to expand its wagering options beyond on-site retail is something that will
be up to our Legislature to consider
in early 2022. If that is something
that happens, the Mississippi
Gaming Commission stands ready
to regulate any new options that become available. Additionally, the pandemic has renewed interest in
the possibility of cashless wagering
on gaming floors. More jurisdictions around the country are looking
to cashless options for the many benefits it creates, while studying whether those benefits outweigh potential risks. If Mississippi
operators choose to try these
types of products, the MGC will work to make sure they can succeed within our regulatory framework.
“...Mississippi’s gross gaming revenue sits at just more than $2 billion with three months to go... If we simply maintain the pace of the last three months
of previous years, it is likely Mississippi will finish with over $2.5 billion in gaming revenue for 2021. That is a total we have not seen since 2008....”
On that note, I would also use the phrase “positive momentum” to describe operations at the Mississippi Gaming Commission. I took over the role of executive director from my well-known predecessor Allen Godfrey on Sept. 1. During his tenure as director, Allen built off the strength of previous leadership
to keep this agency strong and maintain a positive reputation in the industry.
I intend to use that momentum and continue to strive for a strong regulatory culture that also maintains a healthy relationship with our licensees. Within the agency, we continue to hire qualified individuals to add to our already excellent staff. I want to be sure we identify talent that can carry this agency forward and adapt as the industry changes.
I first came to the MGC after graduating from Mississippi State with
When Allen became executive director in 2011, I approached him about filling his deputy director role and he was gracious enough to hire me. In those past 10 years I was able to build great relationships with those who play a part in this industry, which only confirmed what I already knew, that it is truly a dynamic and important industry for
our state. As I transition into this new role as executive director, I will work to make this agency even more efficient and as reputable as ever. I am honored to take on this challenge and to lead
our outstanding staff. My desire is that the Mississippi Gaming Commission continues to be just one of many factors to keep positive momentum going in the casino industry in our state.
Jay McDaniel is executive director of the Mississippi Gaming Commission, Mississippi. He can be reached at JMcDaniel@mgc.ms.gov.
6 MISSISSIPPI GAMING NEWS FALL 2021