Cahill said he didn't know how many casinos should be allowed in the state or where they should be located. But, during a well-received speech at the Greater Boston Chamber of Commerce, Cahill said the state needs casinos because of slow growth from the state lottery - now just 1.8 percent a year.

Cahill also said he wants to capture some of the $1.1 billion that he said Massachusetts residents spend each year at two Indian-owned casinos in Connecticut and slot-machine halls in Rhode Island.

"We here in New England have always been embarrassed by our per capita spending on gaming," Cahill said. "I propose we stop apologizing and take advantage of it."

No Threat to Lottery

Sen. Stephen J. Buoniconti, D-West Springfield, said yesterday that Cahill's views are important, as he oversees the state lottery, which returns $935 million a year in state aid to cities and towns. Buoniconti said Cahill's support dampens speculation that casinos would hurt the lottery's revenues.

Sen. Buoniconti said western Massachusetts is an "ideal location" for a brand new casino, and he is co-sponsoring a bill to legalize a casino in Hampden County.

"We're in a great location to attract from so many populations," Buoniconti said. "All of New England could quickly access it."

Western Massachusetts has a long history of debating casinos, and has come close to legalizing them in the past.  

But House Speaker Salvatore F. DiMasi, D-Boston, who opposes casinos, rebuffed Cahill's proposal, saying there is no change of sentiment in the House, which has voted against casinos or slot machines at race tracks four times in the past decade.

"At first blush, I don't think the treasurer has put forward a particularly new, unique or financially sound proposal," DiMasi said.

A total of 57 percent of Palmer voters approved casinos in 1997. Warren again voted to approve casinos in 2002.

Holyoke voters have approved casinos, twice, once with 62 percent in favor in 1995 and again with 59 percent in 2002.

Springfield voters narrowly rejected casinos in 1994 and in 1995, the same year Chicopee voters opposed casinos.

Paul C. Picknelly, president of a hotel and real estate company in Springfield, believes it's "absolutely" vital that Cahill is getting behind casinos. The businessman said he would support a casino for 150 acres in Palmer owned by Northeast Realty Associates, of East Longmeadow, and located opposite the Palmer exit for the Massachusetts Turnpike.