CARUTHERSVILLE DIVVIES UP THE GAMBLING JACKPOT; CITY RECIEVES $2.2 MILLION IN ANNUAL INCOME

CARUTHERSVILLE -- Gambling produces thousands of losing tosses of the dice, but cities with casinos have hit the jackpot.

Consider Caruthersville. The Mississippi River town of 7,200 residents, has 15 new city vehicles, including police cars and a dump truck.

The Pemiscot County community in Missouri's Bootheel has plans for a new police substation on the east side.

Some new dumpsters and lift stations have been added, with plans for more.

New streets and a new lighting system have been installed in the downtown area.

City Hall has a new computer system.

Plans are on the board for repairs to Carleton Avenue, one of the city's main thoroughfares.

City employees' salaries have been upgraded.

"We're also looking at the possibility of a youth league baseball and sports complex," said the city's mayor, Rick Davis.

Caruthersville's $2.2 million annual windfall, created by the opening of Aztar Casino gambling riverboat more than a year ago, is great, said Davis, "but more important to the entire area is Aztar's payroll list, which contains more than 500 names."

Davis said the city depended heavily on its Planning and Zoning Commission for ideas and suggestions on how to use funds derived by the city from the gambling riverboat operation.

Until last week, city administrator Ralph G. Hubbell II worked as a liaison between the committee and city. Hubbell resigned Oct. 21.

"This was a surprise," said Davis. "It was sudden and we have not had time to consider other options at this point."

Davis said he thinks someone should be in the city office eight hours a day.

Hubbell, who started his duties as city administrator in March, said only that he "felt it was time to explore other revenues."

Caruthersville, home to Casino Aztar since it opened in April 1995, was more fortunate than some Midwest communities that have had to deal with loss of employment when shoe factories closed.

Closing of Brown Shoe Co. factory at Caruthersville two years ago could have been devastating to the area, said Davis.

"It's devastating when a community of 7,200 residents loses 460 jobs," said Davis. "In March of 1994, Pemiscot County had an unemployment rate of 15.6 percent. Aztar picked us up."

Of the city's $2.2 million from Aztar, $850,000 is earmarked for infrastructure and $150,000 has been designated for the recreation center.

Some $250,000 has been set aside as a revolving loan fund where people can borrow money for homes and businesses, said Davis.

"We've been using some of the funds to beef up city services -- security, police, fire department -- and street improvements and wastewater needs," the mayor added.

Caruthersville, whose city services were in a deficit situation before Aztar's arrival, also wants to use some of the funds for economic development.

Although the contract expires in 1998, Davis expects Aztar to renew.

Michael J. Facenda, marketing manager for Aztar until last weekend, said Aztar was in Caruthersville to stay.

"Aztar has incorporated development plans into the next century," said Facenda. "We're looking at a facility to sponsor such events as boxing matches and rodeos."

Casino Aztar has already established itself along the Mississippi River in downtown Caruthersville with a $50 million casino complex that includes the riverboat and land-based pavilion with restaurant, snack bar, sports bar and gift shop.

Aztar is also considering a second facility on the current landing barge. The new facility will provide another 325 gambling positions on the barge that serves as a docking facility for the "City of Caruthersville," the three-deck riverboat that provides about 500 gambling positions.

Aztar officials said the new facility could bring in another 400,000 hopeful winners a year, putting the annual count of visitors at well past the million mark. The new facility will also add another 100 jobs.

Aztar employees at Caruthersville average about $17,000 a year, including tips.

With the new facility, times can be staggered, improving the waiting time. Currently, if a person "misses" the boat he has to wait an hour and 15 minutes for the next boarding time. With two casinos, the longest anyone will have to wait is 15 minutes.