My Representative, Dave Griffith, has filed a third bill in the House that allows sports wagering. But this bill is different because it gives the legislature an important choice—it can vote for casino industry legislation that does nothing for the state or it can vote for Rep. Griffith’s bill that says sports wagering will be permitted, but only on the state’s terms.
It’s House Bill 953 if you want to look it up on the House web page.
It says sports wagering is no different from any other kind of casino gambling, despite the industry claiming that it is some kind of special system with low returns (it’s not) and will be taxed at the same rate, 21% of adjusted revenues (what’s left after all bets are paid) instead of the 10% the casinos want. Based on the fiscal note for the industry’s bill that passed the House but died in the Senate, the industry bill would let casinos keep more than $30 million in tax breaks while paying the state less than $13 million. And that’s just the first of the problematic parts of the bill.
Rep. Griffith’s bill also would force the casinos to pay for the expected tripling of problem gambling that comes with sports wagering, instead of taking money away from programs and services the state committed long ago to finance with gambling revenue.
The bill also would increase the admission fee that casinos pay to the state, set in 1993 at two dollars and unchanged since. The contemporary equivalent of two 1993 dollars is $4.10, meaning the casinos are keeping more than they are paying the state in contemporary dollars.
Fifty cents of the new admission fee will go to the casinos own host cities that have lost half of their admission fee funding as casino patronage has fallen to a decade. Fifty cents would go to the state gaming commission with the largest share of those proceeds going to alleviate some of the funding crunch at veterans nursing homes—which last year received about one-third as much as they did a decade ago. The third fifty cents will provide funding to keep the Steamboat Arabia Museum from being bought by Pennsylvania museum and moved to Pittsburgh.
The casinos can keep the remaining fifty cents.
The gaming commission will adjust the admission fees for inflation each year so that we don’t see the casinos getting richer and richer off of admission fees while host cities and counties and state programs grow poorer and poorer.
More times than I want to think of, members of the legislature have told me after discussing some of these ideas, “The casinos will never buy that.”
Indeed, they haven’t and we expect tooth-and-toenails opposition to the Griffith bill this year.
I wonder, however, if those lawmakers who have told me, “The casinos will never buy that” have ever considered how demeaning to the General Assembly that comment is, almost to the point of a self-indictment.
Who’s in charge here? The legislature or the casinos? The answer appears quite clear based on what legislation has been moved—although, thankfully, not finally passed.
What does that statement say about the integrity of the individual legislator or of the General Assembly as a whole?
And for those thinking of seeking higher office, what will sell better with the voters: letting them bet on tonight’s game, or standing with the state’s veterans, educators, and even the casinos’ host cities?
We think we know what the general public’s answers would be to these questions—and that answer does not bespeak confidence in those that public presumes will watch out for its interests. Why, then, are lawmakers who have said that willing to accept the premise? What is it that they are lacking in making that statement? And how are they fueling a political climate in which their constituents consider themselves victims of government instead of partners in it?
The casino industry has an incredible amount of influence in the capitol. One representative told me in the first year of efforts to update casino laws and to protect the museum that the industry would be interested in what was being proposed. “I’ve already gotten two checks from them this year,” he told me.
But this year’s different. The Griffith bill gives lawmakers a choice. Who’s more important: the people lawmakers know back home or the people who want something from them in the capitol hallways?
Is there a place for courage? Integrity? Service in the name of the people? Or will it be business as usual?
We’ll find out this year, maybe. And maybe voters will remember the answer in the campaign year that comes next.