Richmond City Council Approves Second Referendum for ONE Casino+Resort and Selects RVA Entertainment Holdings as Operator

On Monday night, June 12, the Richmond City Council voted 8 to 1 in favor of re-putting the ONE Casino+Resort plan on the November ballot. The judgement allows for a second referendum, allowing voters to reconsider the $562.5 million casino and resort project in Richmond. The Council also named RVA Entertainment Holdings LLC, a partnership between Urban One Inc. and Churchill Downs Inc., as the casino operator.

Council members also voted to sign a community host agreement between the city and RVA Entertainment Holdings, as well as a community support agreement between the city, developer RVA Entertainment Holdings, and Richmond VA Management LLC, the entity responsible for operating the casino, during the meeting. These agreements guarantee a collaborative approach and clarify all parties’ obligations and benefits.

The second deal calls for the developer to pay the city $25.5 million if the referendum passes this year. Furthermore, upon completion of the resort casino funding, the developer will make a $1 million bonus payment to the city. These financial partnerships indicate RVA Entertainment Holdings’ commitment to the local community.

Previous Rejection and the Road to a Second Chance

Richmond voters rejected the ONE Casino+Resort project by a slim margin of 1,200 votes in November 2021. Recent events, however, have prepared the path for a retrial. Following the General Assembly’s decision in 2019 to allow casinos in economically depressed areas, Bristol, Danville, Norfolk, and Portsmouth successfully validated casinos through referendums in 2020. While neighboring communities worked on their casino proposals, Richmond looked for another opportunity.

A second referendum on the state’s casino legalization measure did not occur, allowing Petersburg to pursue a casino plan instead. Petersburg politicians attempted to obtain Cordish Cos.’ proposed casino for their city, with the help of State Sen. Joe Morrissey, but their efforts to pass legislation for a casino referendum in Petersburg were failed. As a result, Richmond voters will be asked to review the ONE Casino+Resort project this autumn.

The presence of Churchill Downs, which purchased Peninsula Pacific Entertainment LLC (P2E) for $2.75 billion the previous year, is an intriguing aspect of the ONE Casino+Resort project. P2E and Urban One, a media firm based in Silver Spring, Maryland that manages 55 radio stations and the cable network TV One, have joined forces.

The proposed casino and resort will have a 250-room hotel as well as studios and sound stages for radio, television, and film production. The project’s location, on a 97-acre site owned by Altria Group Inc. along Interstate 95, remains consistent with the 2021 vote. The project is estimated to create around 1,300 jobs and generate approximately $30 million in yearly local tax income, giving major economic benefits to the city of Richmond.

During a June 5 committee meeting, Urban One Inc. CEO Alfred Liggins III and Churchill Downs Chief Counsel Joseph Quinn vigorously lobbied for giving the ONE Casino+Resort proposal another opportunity. Their efforts were supported by six of the nine council members who serve as ordinance sponsors, including Mayor Levar Stoney. Katherine Jordan, a council member who previously opposed the casino in 2021, voted against the idea in both the board and full council meetings on Monday.

Several proponents of the second referendum, particularly local union members campaigning for new job prospects, spoke up during the board meeting’s public hearing phase. However, a lone opponent pointed out that voters had already voiced their opinions in the prior ballot in 2021. In response, Reva Trammell, a staunch backer of the casino, emphasized the city’s right to have another referendum.

Following Monday’s vote, the City Council intends to file a petition with the Richmond Circuit Court to have the referendum placed on the November ballot. This critical stage will allow Richmond residents to once again express their views on the ONE Casino+Resort proposal and help shape the city’s gambling scene.

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