 Newsletter Signup
Stay informed with the
NEW Casino City Times newsletter! |
Gaming News
Desperate States Want Piece of Gambling Pie17 March 2003WISCONSIN – As reported by the Chicago Tribune: "Facing some of the worst financial conditions since World War II, Wisconsin and a growing number of states are moving to expand gambling operations as a means to help plug yawning budget holes and avoid the political hemlock of raising income taxes or sales taxes. "Overlooking many of the road-to-perdition objections that for decades have stood in loud opposition to casinos, slot machines, racetracks and other games of chance, dozens of states are considering measures to broaden legalized gambling's presence and generate hundreds of millions of dollars in tax revenue. "…The reality is that gambling is an important part of the economy, in the Midwest and nationally. The moves to expand its presence do not reflect a new political morality, but more of a sense of political and financial desperation. Having cut spending, raised cigarette taxes and taken other steps to balance their budgets last year, states are running out of palatable political options to plug what, in some states, are multibillion-dollar budget holes. "Gambling, be it American Indian tribal gaming or commercial operations, has emerged as a timely financial messiah for cash-short states. "In Wisconsin, which faces a projected $3.2 billion budget deficit, new Democratic Gov. Jim Doyle recently renegotiated a gaming contract with Indian tribes that would pump about $237 million into the state's treasury over the next two years, according to the agreement. "…In Michigan, Gov. Jennifer Granholm, another newly elected Democrat, has talked of renegotiating gambling contracts with Indian tribes. The Indiana House last month approved the creation of a new casino in French Lick, in southern Indiana. Iowa is considering the placement of three more gambling boats as well as permitting table games at racetrack casinos. Nebraska lawmakers are debating a measure asking voters to approve casino gambling. "In Texas, which faces a $9.9 billion deficit, lawmakers are considering the legalization of keno games, casino gambling and allowing Texas to participate in multistate lottery games. "…Eleven states, including Illinois, operate commercial casinos. They raised $3.6 billion in tax revenue for state and local governments in 2001. Detroit's three casinos contribute one-third of the city's annual tax revenue. Five states in the Midwest have a big stake in commercial casinos - half of the nation's casino tax revenue collected in 2001 came from Illinois, Indiana, Iowa, Michigan and Missouri…" |