Aldermen hear casino report

Published 12:47 am Friday, January 7, 2011

NATCHEZ — The City of Natchez Board of Aldermen had a special meeting Thursday night to discuss two items: Natchez Enterprises and a separate litigation matter.

After City Financial Advisor Demery Grubbs gave a report on Natchez Enterprises in a closed executive session, Middleton said he believed the board would make a decision at Tuesday’s regular meeting on whether to move forward or not with its relationship with Premier Gaming regarding the Roth Hill Casino project.

“What was discussed was basically what I expected,” Middleton said. “These are just tough times right now. Finding investors is kind of difficult, especially with brand new operations.”

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Alderman Dan Dillard was not as sure about what he heard after the meeting.

“What Mr. Grubbs did bring was noteworthy,” Dillard said. “But as far as the overall direction or dynamics of the developer and this project, it doesn’t give you any information as to whether it is in forward motion or not.

“We still have not answered the key question: Do you have the finances in place? It is frustrating.”

The only discussion in open session pertained to whether or not to enter executive session. City Attorney Everett Sanders recommended that both items on the agenda be discussed in executive session, however, when Mayor Jake Middleton called for a motion to proceed into executive session to hear Grubbs’ report, it fell on deaf ears.

“I know these microphones are not on, but can you hear me?” Middleton said. “Should we just adjourn?”

Dillard suggested that perhaps Grubbs could give a basic report on the status of the Roth Hill Casino that would leave out the potential litigation material, in an effort to remain open with the public.

After casino developers failed to get on the December gaming commission agenda, Dillard offered a motion at a previous meeting to have Grubbs conduct a financial report of Natchez Enterprises, the Roth Hill lessee. The aldermen suggested at a previous meeting that they would use this information in deciding how to proceed.

Sanders, however, said Grubbs could not give a basic report appropriate for open session.

“What we are looking at is the basis to continue or discontinue a relationship,” Sanders said. “If that does not result in a lawsuit, I do not know what will.”

Alderwoman Joyce Arceneaux-Mathis said she was concerned the people of Natchez would interpret this as a closed-door deal.

“We want to make sure we are not hiding anything from the public,” Arceneaux-Mathis said. “Roth Hill Road was not deeded to Joyce Arceneaux, it belongs to the city and the people, and they need to know.”

After Dillard said he agreed with Arceneaux-Mathis, Middleton asked Grubbs if he could give a report without presenting the financial assets of the group that is trying to develop the $45 million project.

“In all the years I’ve been doing this, I’ve never gone against the recommendation of the attorney,” Grubbs said. “If the attorney says this should be in executive session, then I believe it should be in executive session.”

After hearing Grubbs decline to speak in open session, Arceneaux-Mathis offered the motion to go into executive session, and the vote passed 3–2, with Aldermen Mark Fortenbery and Bob Pollard voting against it. Alderman James “Ricky” Gray was not present.

“We need Demery’s advice to decide how we are going to vote on this,” Arceneaux-Mathis said.

The vote to determine whether to talk about the litigation matter, which involved Natchez Water Works and the Adams County Water Association, in executive session also faced trouble. The vote passed 3–2, with Arceneaux-Mathis and Bob Pollard voting against it.

Attorney Walter Brown, who represents Natchez Water Works, was present for this matter.