Bill to legalise casinos in South Carolina gets bipartisan support

Santee Development Corporation
Santee Development Corporation

There’s already a proposal for a $1bn casino resort in Santee, Orangeburg, but the Catawba Nation may oppose the move.

US.- Land-based casinos in South Carolina could become a possibility as the state House begins to consider a proposal to allow legalisation. The I-95 Economic and Education Stimulus Act (HB 4176) would exempt impoverished counties along Interstate 95 from South Carolina’s ban on casino gaming in a bid to boost their economies.

The proposal would allow land-based casinos in Orangeburg County and Marlboro and Dillon counties. A proposal for a casino in Santee, Orangeburg, is already on the table after the real estate developer and Republican donor Wallace Cheves‘s Santee Development Corporation announced a proposal for a $1bn project on an abandoned Santee Outlet Mall, which has been empty for a decade.

Lotteries remain the only form of legal gambling in South Carolina, although there is a casino boat, Big M Casino, which sails out into international waters to allow gambling on board. Legalising casinos would require a public referendum to change the state constitution. However, the bill appears to have at least some bipartisan support. It was presented by Republican representative Christopher Murphy (R) and has 12 co-sponsors, including seven Democrats.

“I’m gonna say 60/40 that it’ll pass,” Murphy said. “Just based on the fact that when people look at what’s gonna be generated and the benefits for the entire state of South Carolina, I just don’t think that that’s something you can ignore.”

He added: “For decades we’ve commissioned studies, convened task forces and made unfulfilled promises to better South Carolina’s most disadvantaged areas with few results.”

Proponents say casinos would provide a much-needed economic boost to rural and depressed areas along Interstate 95. In 2023, 41.9 per cent of children in Orangeburg County were living below the poverty line, according to Data USA.

Dillon and Marlboro counties are seen as potential prime locations since they share a border with North Carolina, which means they could benefit from cross-border traffic. Meanwhile, the Orangeburg resort would be located at approximately equal distances from the urban centres of Charleston, Augusta and Columbia.

The Santee Development Corporation’s South Carolina casino resort in Santee would include a hotel, spa, restaurants and retail spaces. It would be funded by private investment. The developer claims the project would generate 4,600 new jobs and attract more than four million visitors a year, generating more than $75m in annual tax revenue.

Santee Development Corporation
Santee Development Corporation plans for a casino in Santee, South Carolina

Potential dispute with Catawba Nation over South Carolina casino plans

However, Cheves’s proposal is a direct challenge to the Catawba Nation of South Carolina, which runs the Catawba Two Kings Casino over the border in Kings Mountain, North Carolina. Cheves has worked with the tribe in the past but they have fallen out. Chief Brian Harris has now accused Cheves of trying to “ramrod” a casino into South Carolina, ignoring the tribe’s longstanding interest in opening a casino of their own in the state.

The Catawba Nation’s temporary Kings Mountain casino opened in 2021 and the permanent $700m facility is expected to open its first phase early next year. Harris says the tribe still hopes to gain permission to run a casino in its home state.

He said: “The Catawba Nation, despite being a federally recognised Native American tribe in South Carolina, has for 30 years been prohibited from operating casino gaming on its lands. We have renewed those efforts to reverse this injustice in the state and are in the process of working toward a fairer settlement agreement that would allow us to operate casino gaming and give our people more opportunity for economic development.”

Murphy insists that his bill does not give preference to Cheves and that any operator, including the Catawba Nation, would be able to bid to build a casino in the eligible counties. The bill would establish a South Carolina gaming commission to award casino licences and oversee gaming operations.

The regulator would charge a $500,000 non-refundable application fee and a $2m licensing fee (refundable if denied). The initial licence term would be 15 years, followed by renewals every five years. Murphy has also proposed sports betting legislation.

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gambling regulation Land-based casinos