Town betting on casino

CARUTHERSVILLE, Mo. -- Clarence Greeno doesn't fit the Hollywood image of a casino mogul. With his close-cropped hair and gray suit, observers might peg him as an ex-cop. And they'd be right, but he's also in charge of the Casino Aztar, a Missouri gambling boat in limbo as the owners look for a buyer who can qualify for a state operating license.

A 30-year veteran of the Missouri State Highway Patrol, Greeno retired in 1999 and went to work for the Missouri Gaming Commission. As a gaming enforcement manager for the commission, he finds himself in the unusual position of being the first state-appointed casino supervisor.

Aztar Corp. learned in October that the gaming commission wouldn't license Columbia Sussex, the company paying $2.75 billion for Aztar's assets, including the Caruthersville gambling boat. With no other prospective buyer, the deal went through, but the state sent Greeno in to take charge beginning Jan. 3.

Keeping the casino open, saving the 284 jobs, $7.6 million annual payroll and $6 million annual take of taxes and fees became the commission's top priority, Greeno said. "The casino "meant a lot more to the state of Missouri and Caruthersville" than Aztar Corp., he said. "In the merger, it wasn't that critical."

Keeping the boat open, he said, will mean a better sale price when the new owner, Columbia Sussex of Fort Campbell, Ky., finds a buyer who can obtain a Missouri license. "This property is worth much more operating and open than shut down," he said.

Casino Aztar draws an average of 1,000 people per day to spin slot machines, wager on blackjack and face down opponents at the poker tables. While the number of patrons is smaller than at any of Missouri's other 10 casinos, Aztar's impact on the local economy may be larger than any other gambling boat's.

"The reason Caruthersville was selected in the early-to mid-1990s is that it is an economically depressed area, and the Brown Shoe factory had just closed," Greeno said. "The necessity of that medicine is still valid."

Most of Missouri's other casinos are in major cities or areas with greater economic opportunities than Caruthersville, the county seat of Pemiscot County deep in the Missouri Bootheel. Pemiscot County regularly records Missouri's largest portion of residents living in poverty on the U.S. Census Bureau's annual county reports.

In 2004, the latest figures available, one in four county residents lived below the poverty line.

The town had already been devastated by a major tornado in April when rumblings appeared in the fall that the proposed new owner of the casino wouldn't qualify for a state gaming license. A shutdown would have been a second catastrophe, Mayor Diane Sayre said.

"Obviously, we didn't want to have to deal with that kind of disaster," Sayre said. "We were just pleased that the gaming commission did what they did. It may have been an unpopular decision for some, but it was a blessing for us."

The Aztar casino provides about $1 million annually for the town budget, not including revenue from sales generated by patrons passing through the community and taxes paid by employees who live in town.

When the gaming commission announced its plans to supervise casino operations in November, Attorney General Jay Nixon questioned the legality of the move. The commission forged ahead anyway, citing its "dual role of enforcement and community impact."

The change has been virtually seamless, as no employees have been cut and all local managers are still on the job, said Lyle Randolph, director of casino operations. Casino jobs range in pay from minimum wage to $18 an hour for table dealers eligible for tips.

Poker dealer Mary Gilmore has worked for the casino since it opened in 1995. For her, the state's move to keep the casino open saved her job. "If it had to close, it would be another disaster for this town," she said. And for many of her coworkers, she said, closing would mean "move away or go on welfare. In this town, if you don't have land or a family business, you are on welfare or you are gone."

Gilmore's longevity at the tables is one of the casino's strengths, Randolph said. Of the 284 workers, 146 have been on the job five years or longer, and 81 have been working at Aztar for at least 10 years.

The gaming commission originally established a nine-month window for Columbia Sussex to find a new owner. Commission director Gene McNary, however, told a legislative committee last week that several companies submitted proposals by Jan. 31 and negotiations are underway. McNary wouldn't name the companies but said there are several suitable options.

New owners will find a staff eager for change, Randolph said. Many of the slot machines and other games have been in the casino since it opened in 1995. "The previous owners did not invest a lot in this casino," he said.

The new owners will find a clientele eager for something new. As he guided a visitor into the casino's main entrance, Greeno was stopped by Ed and Barb Bowman from near Clearwater, Mo., who asked a blunt question: "Do you work here? Why don't you put in some good poker machines?"

The Bowmans said they are regular visitors to the Caruth-ersville boat and have also visited Metropolis, Ill., and the St. Louis area to gamble. They run a seasonal resort and play when business is slow, they said. "We never gambled until 1992" when casinos first opened in Missouri, Barb Bowman said.

Casino Aztar has a bright future with the right new owner, Greeno said. When Herbst Gaming took over the casino in St. Joseph, Mo., the company remodeled it and saw a 20 percent growth in business in the first year. "What is going to be most important to a buyer is how it is being managed and whether there is a top management team in place," Greeno said. "I think this management team is pretty marketable."

rkeller@semissourian.com

335-6611, extension 126