Fairfax Casino Bill Approved by House, Almost at Governor’s Desk

Yet another significant step was taken in the ongoing saga involving Virginia legislators and a Fairfax County casino.

Legislation to support the creation of the Commonwealth’s sixth casino was approved by the Virginia House of Delegates on Wednesday in a 64-32 vote. The proposal, Senate Bill 756, is now close to heading to Gov. Abigail Spangerberg’s (D) desk for a final review.

If the bill receives final approval, Fairfax County will become an eligible host for a casino. However, there’s no guarantee that one will eventually be constructed.

Virginia on the cusp of a Fairfax casino

Before SB 756 can go to Virginia’s Governor, it must first return to the Senate for another vote after it was amended in the House.

Senate Majority Leader Scott Surovell (D-34) sponsored the bill and is a longstanding proponent of legalizing casinos in Northern Virginia. Lawmakers have reviewed similar proposals for four straight years, and this is the most progress that they have ever made.

Just because the state Congress and Governor could legalize a casino doesn’t mean that one will come into fruition. 

Previously, the bill restricted the casino campus to the hustling and bustling area of Tysons. That was eventually stripped in early February to help the bill advance out of the Senate Finance and Appropriations Committee.

SB 756 was also amended to include a local referendum requirement, allowing Fairfax County voters and individuals in the specific municipality of the targeted location to have the final say on the casino’s eligibility.

While that is a sign of good faith, it also presents an obstacle for casino supporters. The Fairfax County Board of Supervisors last year voted to oppose any casino legislation that was presented, regardless of the details.

Will it get over the line?

Under the terms of SB 756, a casino must be part of a mixed-use development that covers at least 1.5 million square feet. Customers would be allowd to play common casino games, including live-dealer games, slot machinies, poker, and other attractions.

If approved, the preferred operator would be selected by Fairfax County, which would then trigger the referendum for local voters.

Several additions were added to Surovell’s bill in the House, including union contracts, the allocation of gaming tax revenue, and a 10x multiplier to the licensing fee, which was raised to a proposed $150 million. However, the majority of the suggestions were removed by the House Appropriations Committee in a version of the Bill that was passed last Friday.

That version still included a couple of amendments, including a requirement that agreements between the chosen casino operator and the local government be publicly available. The casino developer would also be required to agree to build or fund a new nearby public safety facility, such as a police or fire station. It also tacked on a July 1, 2029 deadline for Fairfax to hold a successful casino referendum.

“Good to see it pass along with a majority of Northern Virginia delegates,” Surovell said to FFXnow. “[I] look forward to working out our differences on conference and help diversify Fairfax County revenues and recapture hundreds of millions of dollars back from Maryland.”

Virginia stands to gain a significant amount of tax revenue with a Fairfax casino, which would rival MGM National Harbor about 20 miles away in Oxon Hill, Maryland.

A study conducted by a consultant hired by Fairfax County last year estimated that a casino development would generate $29.1 million in annual tax revenue for the county and $53 million for the state. A 2019 study commissioned by the General Assembly, meanwhile, suggested that a casino could raise $155 million in state taxes every year.

“We’re disappointed with this result, and disappointed that our representatives weren’t allowed to voice their opposition to this bill on the House floor,” Tysons Stakeholders Alliance president Paula Martino said in a statement. “We do, however, want to extend our thanks to the Fairfax County delegates who stood with their constituents today by voting against this bill.”