xiaomo
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2011/10/10 07:34
#287739
Manne wrote:
South Jersey lawmakers, who have jealously guarded Atlantic City's hold on gambling and the millions of dollars it generates in tax revenue, now say they are willing to loosen their grip. Whether in the northern or southern part of the state, among Democrats and Republicans, there is a growing consensus that spending tens of millions of taxpayer dollars rejuvenating Atlantic City while leaving the struggling racetracks to fend for themselves is not the answer.
"We can no longer afford to keep our heads in the sand and pretend that we do not have direct competition to our Atlantic City casinos in Pennsylvania, Connecticut and New York," said Assemblyman Ralph Caputo, D-Essex, a member of the Regulatory Oversight and Gaming Committee.
5-year revenue slide
Atlantic City is caught in a five-year drop in revenue, fueled by the troubled economy and increased competition from casinos in neighboring states. Betting on horse races in the state has plummeted 74 percent, adjusted for inflation, from its peak in 1977 through 2009, according to the New Jersey Thoroughbred Horsemen's Association.
To stem the loss to the state, Governor Christie signed legislation during the summer that sets the stage for a private takeover of the Meadowlands and Monmouth racetracks.
Christie's opposition to gambling outside Atlantic City - at the Meadowlands and off-track wagering elsewhere in the state - has not stopped lawmakers from pushing for online gambling, sports wagering and video slots to respond to the challenges posed by the proliferation of legalized gambling in the other states.
Two weeks ago, the Senate State Government, Wagering, Tourism and Historic Preservation Committee heard testimony from casino and horse racing executives in support of sports betting.
And Sen. Raymond Lesniak, D-Union, recently renewed his pitch for online gambling after revising legislation vetoed by the governor.
Caputo and three Republican legislators from Monmouth County are urging Christie to reconsider his opposition to video lottery terminals outside Atlantic City. And proponents of slot machines at the Meadowlands say they can generate $500 million to $700 million in net revenue for the state.
Federal ban
As for sports betting, a federal ban imposed in 1992 must be overturned.
First, a referendum amending the state constitution is on the Nov. 8 ballot. Passage of legislation authorizing betting comes next, and the Senate committee is drafting the measure to allow betting on non-college sports teams at Atlantic City casinos and at the Meadowlands and Monmouth Park race tracks.
Once those steps are taken, supporters vow to go to court to try to overturn the federal ban.
Though Christie has opposed sports betting, citing the federal ban, he hasn't indicated what he will do if voters favor lifting it.
New Jersey could have joined Nevada, Delaware, Oregon and Montana in gaining an exemption from the 1992 ban had the state Legislature acted within a year of its passage. But the bill died in the Assembly after intense lobbying by the bill's sponsor, former U.S. Sen. Bill Bradley, and Christie Whitman, who was mounting her first campaign for governor.
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2011/10/10
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The governor remained tight-lipped about what exactly he wants from lawmakers, who approved the gambling bill at the end of May but won't send it to Quinn out of fear he'll veto it. Quinn said he plans to "lay out principles, I think, that will be good for the Legislature to listen to." Lawmakers return to Springfield at the end of the month for fall session. Sponsors have said they are willing to work on a compromise, but say that's difficult without specifics from Quinn.
As passed, the gambling bill would allow new casinos in Chicago, southern Cook County, Lake County, Rockford and Danville. It would also authorize slot machines at racetracks and nearly year-round horse racing and gambling at the state fairgrounds in Springfield. All told, the number of gambling positions in Illinois would jump from 12,000 to 39,000.
Senate President John Cullerton, D-Chicago, has said that lawmakers can reduce the number of gambling positions without eliminating any of the five new casinos.
On Wednesday, Quinn said the number of gambling spots needs to be lowered, but he also expressed concerns that increasing the overall number of casinos would cause them to draw business away from one another. Cullerton, however, has argued the locations designated in the bill were picked to stop gamblers from crossing state lines to place bets, and not compete with other Illinois casinos.
Still, Quinn said other major changes must be made to the gambling bill, including shoring up oversight and ensuring enough money is set aside for education. Quinn contends the legislation would give major tax breaks to a Chicago casino when that money should instead be funneled into schools.
"The whole idea of this gambling, whether it's the lottery or casino gambling, is to help some good cause," Quinn said. "And the cause I think all of us believe in is education, and I don't feel the bill that I read through over the last several months properly invests in education in Illinois."