Opinion on Pennsylvania slots

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Another Day, Another Dollar
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Once again the Democratic governor and his allies in the state Legislature will attempt to push slot machines on the Pennsylvania public. Although the rallying cry is lower property taxes because of the money that will be generated, we shall see. I have some questions that I would like answered.

If the goal is to raise money for our public's schools, why are the licensing rights being sold for a relatively low flat fee? Slot machine rights are being sold for close to $500 million throughout the country, yet the proposed "no bid" process would sell them for less than one-tenth of this amount. If our schools are so desperate for revenue, why are we not having companies bid for the rights?

The horse-racing industry is said to be dying and slots are needed to save this "noble" industry. Why should the government save one industry over another? If the Pennsylvania public does not want to gamble on horse races, why should the state save it? What is the People for the Ethical Treatment of Animals' position on saving this industry? This organization was able to force Shippensburg University to cancel the donkey basketball fund-raiser by the student senate. Wouldn't PETA think it is cruelty to animals to have a 100-pound jockey beat a drug-laced horse with a whip, all for the pleasure of a few gamblers?

The gambling industry claims that slots will generate $1 billion in annual revenue with a job creation of "at least" 17,000 jobs. Of course, that is a lot of jobs just to collect money out of slot machines that are placed in already existing venues. If each job paid $25,000 per year, we would be paying out $425 million in salaries. Doesn't that lower our revenue projection to $500 million?

What will the legislature do to protect the public from supporting those who spend all their money on gambling? Just like we ban underage drinking and cigarette purchases, we need to ban subsidized gambling. I believe it is only responsible for anyone on public assistance to be banned from gambling away their taxpayer subsidies.

Anyone who would like to participate in pulling the slot arm or pushing the machine button should be required to obtain a gambling card. The card should be able to check that person's status with government records to ensure that the potential gambler is not receiving government benefits. The ban on subsidized gambling should also include those that are most vulnerable in our society, which are those individuals on a fixed income from the Social Security program. We simply can not afford for the gambling industry to prey upon the elderly of our state when they can not afford to purchase their medicine or food.

Also, shouldn't we limit the losses of an individual to $100 per week? This averages out to $5,200 per year which is more than enough for one person to lose in a year. If every gambler had a gambling card to activate the slot machine, once the person loses $100 for the week, they would be done until the following week. The card would also keep track of winning in order for the proper reporting of earnings for income tax purposes.

Finally, wouldn't it make sense to put the gambling parlors next to our neighborhood schools? This would allow students to see how their education is being funded. Also, each school district could operate their own gambling parlor. This would cut out a lot of middle men having control of the revenue and taking their slice of the pie. School districts could then put more money in their coffers and lower the property taxes based on what they collect from the machines.

These are some of my questions concerning the gambling proposals in Pennsylvania. I am sure if the gambling measure were to be passed, the revenue projections would be higher than actual, the jobs created would be lower than expected and the property tax relief would not be a real relief.

Ron Sisto II is a resident of Dover.


http://ydr.com/story/op-ed/23598/
 
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Dover?!!

Come on they go to New Jersey anyways. So you go to this PA casino, lay down 100 bucks on number 12 and 16 comes up. What are you going to do now? Drive to Atlantic City and win it back that's what (ok not ALL of the time)
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"Finally, wouldn't it make sense to put the gambling next to our neighborhood schools? This would allow students to see how their education is being funded"

OK then why not open up bunny ranches next to our schools so the kids can learn about the birds and the bees? It would save the school districts the money from having to teach that stuff in school!

Ugh.

sb
 

New member
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Billions of lost tax dollars to Delaware and New Jersey.

Do not think for a second that these ludicrous smear campaigns aren't being funded by the likes of Trump and pals,

plus have to deal with the moronic politicos like Vince Fumo looking for fees, guarantees, contracts enough graft to choke an entire stable of horses,

still it is as inevitable as the sun coming up.
The NJ casinos and Del. both investigating other forms of gambling for a reason, they say there will be more slots at Philly Park than all but one AC casino.
 

Old Fart
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I have never understood people's fasination with slots. To me it spells B O R I N G. But to each his own.
 

Another Day, Another Dollar
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OMT,

I have never gotten into casino games. Never been to vegas. Never been to a river boat. Why do I need to go? I can do sportsbetting right here in the comfort of my home.
 

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These editorial writers don't ever do any real research. They point to a casino in Chicago as their proof of demand for a license, but outside Philly Park and maybe one track in Pittsburgh, these guys are kidding themselves if they think they can take in the kind of money they wish for. If they sold off 12 licenses for the amounts proposed ($50 mil for a track, $75 mil for a non-track spot), they would yield about $650 million. If they auctioned them off they might make less. Most casino operators aren't even that thrilled with these operations because of the expectations that the tax rates will be sky high. In New York the track receives about 24% of the win on the slots. So if the machine makes abotu $200/day, which is what they are supposedly doing on a good day right now, they only get $50 for their troubles which include building the facility and staffing it.

I wrote an article about how ridiculous the expectations are and if anyone with half a brain in the newspapers or government did some real unbiased research they would see how ridiculous this debate has become. The numbers aren't real. There won't be a billion dollars a year coming out of this, they won't stop people from still going to Atlantic City, the won't save the PA Convention Center alone, and most of all they won't get anything near $500 million for any of their licenses. What slots can do is provide a decent addition to the state's general fund and help out the tracks and industry, one that is beaming with pride at the moment due to having an undefeated Kentucky Derby champion. They should use that momentum to remember that it is an industry that has potential if it is helped out a bit, but don't go crazy on it.
 

RPM

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pa is the same as maryland. there are so many other states close by that offer slots, people play anyway. these states are just throwing money away.
 

Another Day, Another Dollar
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HARRISBURG -- Don't bet the ranch on slot machines being legalized in Pennsylvania. But the odds do seem to be improving slowly for allowing casinos at horse racing tracks, in Philadelphia and Pittsburgh, and at resorts like Nemacolin Woodlands and Seven Springs.

A key player in the debate, state Sen. Vincent Fumo, D-Philadelphia, has dropped his demand for a special gaming license for American Indians. It would have guaranteed that an unspecified tribe would run one of the 15 gambling parlors that may be created in Pennsylvania.

Fumo's stance upset Gov. Ed Rendell, a Democrat who wants to legalize slots to generate up to $1 billion for reducing school property taxes. House Republican leader Sam Smith of Punxsutawney, a slots foe, said he wouldn't let the House vote on any bill that included a provision for an Indian casino.

Fumo also had complained privately that Rendell wasn't active enough in lobbying legislators to assemble the minimum of 26 votes in the Senate and 102 votes in the House needed to enact the slots legislation.

"Sen. Fumo and the governor now appear to be working together and making progress" toward a bill, said Mike Jeannot, vice president of MEC Pennsylvania Racing, owner of The Meadows harness racing track in Washington County.

Jeannot and other track officials have urged legislators for months to legalize slots at racetracks, to increase prize money, and keep the best riders, drivers, trainers and horses in Pennsylvania.

"I'm more optimistic than I was two or three weeks ago," said Jeannot. He added that slots "are crucial for the survival of The Meadows, given the competition from West Virginia tracks over the last 10 years," which has siphoned away thousands of The Meadows' customers.

In New York City a week ago, Fumo met with gaming stock analysts, who came away with a feeling that the chances of slots in Pennsylvania had improved.

"Fumo seemed confident that there is consensus over the general framework for gaming legislation in the state and support from the governor has recently become more forthcoming," said Bear Stearns analyst Mark Abramson.

Fumo also went to Atlantic City, N.J., on Thursday to speak to a regional conference of gaming industry officials. He told them a slots bill is about "90 percent" drafted in the Legislature, but estimated the odds of passage at only "65 to 35."

"I don't want to jinx it" by being overly optimistic, he said. Rendell wants the Legislature to approve a slots bill before the June 30 start of the summer recess.

Legislators generally agree on the number of casino venues. There would be seven or eight at racetracks -- the four tracks that now exist in Washington County, near Harrisburg, north of Philadelphia and near Wilkes-Barre, and two tracks that are licensed but not yet built in Erie and Chester, plus licenses for one or two additional tracks.

One unsettled issue is whether the Pittsburgh area would get three racetrack casinos -- at the Meadows and two new tracks -- or two racetrack casinos -- at the Meadows and one new track -- plus a non-track casino, either Downtown or on the North Shore.

House Democratic Whip Mike Veon of Beaver Falls wants to see a track built in Beaver County, where Route 60 crosses the Pennsylvania Turnpike. Developer Charles Betters wants to build a new racetrack on a hillside in the Pittsburgh neighborhood of Hays. Parking magnate Merrill Stabile wants to build a non-track casino on the North Shore, across from PNC Park. There are also several other competitors for Pittsburgh-area casinos.

The bill being drafted also would permit four or five casinos at non-track locations, including two in Downtown Philadelphia and, possibly, one non-track facility in Pittsburgh.

Each casino at a track or off-track location could have up to 5,000 slot machines.

There also would be a special "resort casino'' license, for locations like Nemacolin Woodlands, Seven Springs and the Poconos. Such casinos would have no more than 500 machines each, and play would be limited to guests registered at the resort.

Decisions on who gets the valuable licenses would be made by a seven-member panel named by Rendell and legislative leaders.

But several major obstacles still stand in the way of legalizing casinos. These include:

Fierce opposition from most of the 29 Senate Republicans, many of whom come from conservative areas that oppose gambling. Sen. Robert Tomlinson, R-Bucks, the leading pro-slots Republican, is hoping to get "six or eight" votes from his caucus, joined by most or all of the 21 Senate Democrats to put slots over the top. The fact that Fumo speaks for the 21 Democrats gives him clout on this issue.

A new demand from black legislators that one of the casino licenses be guaranteed to a black-owned company. Critics say that guaranteeing a license to any particular ethnic group would violate state law.

Fumo has put "diversity'' provisions in the slots bill, requiring the new gaming board to "work to enhance the representation of diverse groups in the ownership, participation and operation" of Pennsylvania casinos. It's an effort to satisfy the black legislators, whose votes are crucial if slots are to pass.

A demand by some GOP legislators for a "back-end referendum" as part of the slots bill. This would give residents of each school district the power to vote on a school budget if it increases more than the rate of inflation. Teachers unions and school boards strongly oppose such referendums, fearing that voters won't approve enough funding for quality schools.

The amount of revenue to be given to communities where a casino is located. Tomlinson is adamant that a full 4 percent of net casino revenue be given to counties, municipalities and school districts where a casino is located; other senators say that's too much and want either 2 percent or 3 percent for the local share.

http://www.post-gazette.com/pg/04145/321246.stm
 

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