State officials for Pittsburgh and Allegheny County have a decision to make. Although it is a hard decision it is also a happy one. The state has earned $629 million from slot revenue and Pittsburgh and Allegheny County will be receiving $48.7 million from the states slot earnings. Officials must now decide what that money should go toward.

The officials have decided to pay off a few debts and also buy new things for the area. The money will go toward the debt owed on the airport and convention center. The airport will receive $19.9 million to help pay off the $42.5 million spent to build it. The convention center will receive $1.7 million for their debt and additional $1.7 for their annual shortfall.

Casinos from the state give five percent of the money earned from slots to the state. The state then puts that money into a development fund that doles out the money to eight projects in Allegheny County and the Philadelphia center. So far, this fund has earned Philadelphia and Allegheny $106 million.

Over the next twelve years, they are expected to gain at least $404 million plus $225 million over a thirty year period for the Uptown area. For building the convention center in Philadelphia, the city will earn $880 million over a thirty year period.

Frank Gamrat, a senior research associate at Allegheny Institute for Public Policy, stated: “It’s absolutely wise to start paying off debt. That’s one of the biggest problems facing the city of Pittsburg. They just have to get control over it. Using gaming money is a wise thing to do.”

Although the city will be paying off a large amount of debt, they will be making new purchases as well. $7.5 million will toward building an arena, $3.7 million will go toward a convention center hotel and $6.6 million will go toward a new infrastructure fund.


- 2008-08-29