A new study on how Bangor region restaurant and lodging sales relate to the presence of the Hollywood Slots racino points to the need for a deeper understanding of the economics of gambling here. Bangor should work toward a broad study of the demographic and economic effects of the racino across all related local industries and use that data as part of its overall development strategy.

Todd Gabe, an associate professor in the School of Economics at the University of Maine, found in his report that for every $1 in net gaming revenues to Hollywood Slots, area restaurants gain 29 cents in increased sales and hotels and motels see 12 cents in added sales. Dr. Gabe is careful to explain that this doesn’t mean the racino caused this added growth, but that it is present when other factors are accounted for.

The totals spent during the time studied – November 2005 through March 2007 – are fairly modest, and month-to-month comparison suggests the racino operation’s rate of expansion is slowing. That could, of course, change when the permanent and larger Hollywood Slots facility opens next year. For now, Bangor might look at the number in the Gabe study: $14 million in increased restaurant sales over 17 months and $6.3 million in added lodging sales over that time, and wonder what they mean for the region.

If the hotel totals are an indication, for instance, the money spent there vs. the amount of activity at the racino suggest that most gaming patrons are from fairly close by. Does this mean that they are not spending money elsewhere locally, or is it that area residents who once traveled farther away for entertainment and shopping are now staying closer because of the racino? Is Bangor attracting out-of-region visitors who once shopped elsewhere but still live close enough to go home at night? Is it simply that racino patrons’ savings accounts are lower now than they were before?

Just as the city of Bangor should want to know the details of how Maine spending patterns change in the presence of a racino, other communities anticipating racinos in their futures should be interested too. State lawmakers who spent many hours each session mulling, sometimes awkwardly, how to regard racinos should want this information also. And because visitor profiles could well change with the seasons in Maine, a study ought to include surveys conducted at several points throughout the year.

This is a large, complicated undertaking, but gambling will have a large, complicated influence on the region’s future. Bangor should have state help with carrying out a major study of the issue, but it should begin taking steps toward beginning this work soon.