Gaming is shaping up to be a big player this session as lawmakers consider what would happen if they don’t renew a portion of the state’s gaming compact with the Seminole tribe.
Florida’s gaming compact gives the Seminole Indiana tribe exclusive rights to hold certain kinds of gambling including so called bank card games like black jack. In return the state collects money from the casinos through revenue sharing. George Levesque is the General Council for the Florida Senate.
“Under the current revenue sharing agreement we will take 12 percent of amounts up to the first $2 billion and as you can see that amount escalates up to 25 percent of the net win of any amounts of $4.5 billion,” Levesque says.
Inked in 2010, the compact is a 20-year agreement between the state and the Seminole Indian tribe. But the provision that deals with games like Black Jack is set to expire in August. The governor has reportedly been in talks with the tribe to negotiate a new agreement. But any decision would have to be okayed by the legislature. And Senate President Andy Gardiner says he isn’t counting on it.
“Right now in our budget and I think in the governor’s proposed budget we anticipate that revenue going away,” Gardiner says.
But Gardiner says he’s not closed off to the idea of a discussion.
“I think it’s too early to tell. I do think there are a number of members that are prepared for that revenue to go away. And I think it’s about $25 million. But we’re not even budgeting for it. So we’ll just have to see if something comes forward that everybody can agree with,” Gardiner says.
The state would also lose some funds for compulsive gambling programs. But the Senate’s lawyer, Levesque, says other than the revenue loss, failure to renegotiate the provision isn’t likely to have a major impact.
“If nothing happens and we do nothing, then I think the world spins on as it does,” Levesque says.
Leveque says the tribal casinos would have 90 days to wind down before stopping any impacted card games and would then stop paying the state through revenue sharing. But Sen.Garrett Richter (R-Naples) worries allowing the provision to expire could pave the way for other types of gaming expansions. He uses the example of several counties with racing tracks that have voted to also have slot machines.
“One of the reasons that just because they’ve voted they don’t happen to have that yet is because the compact has been in the way because of that challenge to revenue sharing that Florida has and that would have immediately violated the compact," Richter says.
But Levesque says he doesn’t think that’s the case. He says what’s likely standing in the way of slot machines at those racinos isn’t the compact, but really state law. Lawmakers also asked about how marijuana might be involved in a compact negotiation. The Associated Press reported another Indian tribe wants to expand its gaming operation across the Alabama state line and into Florida. And the group has suggested if it’s not allowed to open a gaming operation it might start growing and selling marijuana on its property instead.
