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Gambling Wins Again At The Polls - Part I

25 November 2002

Now there are only two: On November 5, 2002, voters in Tennessee amended the State Constitution to create a state lottery, leaving Hawaii and Utah as the only states without some form of legal gambling.

Across the nation, the election showed voters are becoming more comfortable with legal gambling. More pro-gambling candidates for major office won than at any other time in history, and proposals to renew or bring in gaming triumphed. Look for major expansions of racinos and tribal casinos.

Federal: Republicans took over the U.S. Senate, which will make Trent Lott (R.-Miss.) the new Majority Leader, replacing Tom Daschle (D.-S.D.). This is good news for casinos. Both South Dakota and Mississippi have casinos, including Indian casinos, but they have become a major financial and political power in Lott's state. On the other hand, Nevada Democrat Harry Reid will be replaced by Kentucky Republican Mitch McConnell as assistant majority leader. This obviously helps horseracing while hurting casinos. Neither Mississippi nor Kentucky has a state lottery. John McCain (Az.-R) will become chairman of the Senate Commerce Committee, which is bad news for legal sports betting. Indian gaming lost a friend with the departure of Daniel Inouye (Hi.-D) as Chairman of the Indian Affairs Committee, but gained an even bigger supporter in Ben Nighthorse Campbell (Co.-R), the only Native American member of the U.S. Senate. Overall, casinos and state lotteries will probably lose a little influence in Washington, D.C., while horseracing will gain a lot.

Legal gambling is normally a state, not federal, issue. Governors almost always have the political power to block any expansion, and usually can swing the state legislature in favor of expansion.

Alabama: Gov. Don Siegelman (D.) either won or lost reelection by a squeaker. He wants a special session of the State Legislature to create a state lottery for education; his opponent, Bob Riley (R.), a staunch conservative, opposes legal gambling. Four years ago Siegelman ousted incumbent Gov. Fob James Jr. (R.) on the lottery issue, but conservative religious groups from all over the country converged on Alabama and defeated the proposed constitutional amendment in Oct. 1999. The floundering dog tracks gained simulcasting through the State Legislature, but will now never get slot machines.

Arizona: Prop. 202, sponsored by Gov. Jane Hull and 17 gaming tribes, won 51.6% to 48.2%; competing proposals from the tracks and the Colorado River Indian Tribes in the most expensive campaign in the state's history were soundly defeated. Janet Napolitan (D.), who supported Prop. 202, will be governor, defeating anti-gambling Matt Salmon (R.). Lawsuits, will, of course, continue, but the tracks have lost some political influence. Arizona's casino gaming will look much like today's, only bigger: up to 29 casinos, 998 slot machines per tribe with a statewide cap of 15,675, 100 blackjack and poker tables per casino, $25 slots, $500 blackjack, $75/$150 poker, non-gaming tribes may transfer their slot allotments. Voters approved extending the state lottery, again.

Arkansas: Staunch anti-gambling Gov. Mike Huckabee (R.) was reelected, 52%-48%.

I. Nelson Rose

Professor I. Nelson Rose is an internationally known scholar, public speaker and writer and is recognized as one of the world's leading authorities on gambling law. A 1979 graduate of Harvard Law School, he is a tenured full Professor at Whittier Law School in Costa Mesa, California, where he teaches one of the first law school classes on gaming law.

Professor Rose is the author of more than 300 books, articles, book chapters columns. He is best known for his internationally syndicated column, "Gambling and the Law ®," and his landmark 1986 book by the same name. His most recent book is a collection of columns and analysis, co-authored with Bob Loeb, on Blackjack and the Law.

A consultant to governments and industry, Professor Rose has testified as an expert witness in administrative, civil and criminal cases in the U.S., Australia and New Zealand, and has acted as a consultant to major law firms, international corporations, licensed casinos, players, Indian tribes, and local, state and national governments, including Arizona, California, Florida, Illinois, Michigan, New Jersey, Texas and the federal governments of Canada and the United States.

With the rising interest in gambling throughout the world, Professor Rose has spoken before such diverse groups as the F.B.I., National Conference of State Legislatures, Congress of State Lotteries of Europe, United States Conference of Mayors, and the National Academy of Sciences. He has presented scholarly papers on gambling in Nevada, New Jersey, Puerto Rico, England, Australia, Antigua, Portugal, Italy, Argentina and the Czech Republic.

He is the author of Internet Gaming Law (1st & 2nd editions), Blackjack and the Law and Gaming Law: Cases and Materials.

I. Nelson Rose Websites:

www.gamblingandthelaw.com

Books by I. Nelson Rose:

Compulsive Gambling and the Law

> More Books By I. Nelson Rose

I. Nelson Rose
Professor I. Nelson Rose is an internationally known scholar, public speaker and writer and is recognized as one of the world's leading authorities on gambling law. A 1979 graduate of Harvard Law School, he is a tenured full Professor at Whittier Law School in Costa Mesa, California, where he teaches one of the first law school classes on gaming law.

Professor Rose is the author of more than 300 books, articles, book chapters columns. He is best known for his internationally syndicated column, "Gambling and the Law ®," and his landmark 1986 book by the same name. His most recent book is a collection of columns and analysis, co-authored with Bob Loeb, on Blackjack and the Law.

A consultant to governments and industry, Professor Rose has testified as an expert witness in administrative, civil and criminal cases in the U.S., Australia and New Zealand, and has acted as a consultant to major law firms, international corporations, licensed casinos, players, Indian tribes, and local, state and national governments, including Arizona, California, Florida, Illinois, Michigan, New Jersey, Texas and the federal governments of Canada and the United States.

With the rising interest in gambling throughout the world, Professor Rose has spoken before such diverse groups as the F.B.I., National Conference of State Legislatures, Congress of State Lotteries of Europe, United States Conference of Mayors, and the National Academy of Sciences. He has presented scholarly papers on gambling in Nevada, New Jersey, Puerto Rico, England, Australia, Antigua, Portugal, Italy, Argentina and the Czech Republic.

He is the author of Internet Gaming Law (1st & 2nd editions), Blackjack and the Law and Gaming Law: Cases and Materials.

I. Nelson Rose Websites:

www.gamblingandthelaw.com

Books by I. Nelson Rose:

Compulsive Gambling and the Law

> More Books By I. Nelson Rose