While only two operators, Enjoy and Sun Dreams, have made bids for the largest casinos, it is believed that the tender process will have a huge impact on the industry. In 2017, the municipal casinos generated revenues of US$224 million.
The technical and economic hearings for those communes affected by the new licences was held between September 25th and October 12th. Once this was over the Chilean Gaming Board (SJC) began its technical evaluation of the new casinos projects. The SJC has 120 working days to complete this stage of the process, which ends between 20th March and April 6th 2018.
The results will then be put forward to the Resolution Council, the body in charge of ratifying or requesting revisions. The Resolution Council then has forty days to review and if a revision of the scores is required, the SCJ must respond within a maximum period of five days. Once the evaluation is completed and the scores awarded, the SJC must dictate a resolution indicating the final scores for each of the applicants and call a hearing for the financial stage of the bidding process.
According to estimates released by the SJC, the new tender process could help raise tax income generated for the state by the new casinos by as much as 46% on average while gross gaming income (which will be divided equally between the municipality and the state where the casino is located) will increase by 20%.
Projects for the new municipal licences will be awarded points and judged on a wide number of different criteria by a number of different branches in the government including local and regional governments, the Tourist Board, the Ministry of Interior and Public Security and the SJC. Points will be awarded on how the casino will fit in with local communities and into regional development strategy.
The SJC will also evaluate the project on how it will impact tourism, and will take into account the location, design and the quality of the proposed facilities.
Source: GMB / G3 Newswire
