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An Unprecedented Gambling Payout to a State

By James Call

http://stream.publicbroadcasting.net/production/mp3/wfsu/local-wfsu-895229.mp3

Tallahassee, FL – A gambling compact with the Florida Seminole Indian Tribe is moving through the Florida Legislature. A House panel Thursday voted to send the billion dollar deal to the House Floor.

For the past two and a half years, Representative Bill Galvano has guided the negotiations and directed the process that produced the twenty-year agreement. During the question period of the Select Committee on the Seminole Compact meeting, allies asked Galvano questions designed to take the steam out of an upcoming attack.

"So, from your mouth, we are a gaming state now, is that correct?"

Galvano replied, "Yes, we are a gaming state. We have had pari-mutuel operation in this state for many, many years. But let me make clear, this compact is not changing our status. That does not mean that these issues still don't have to be vetted."

Thursday morning's committee meeting was the public's last chance to participate in the vetting process. Lobbyists for pari-mutuels, advocates for family and religious groups warned of the pact's dark unintended consequences. They said it would kill businesses, bankrupt families, and prey on the poor and elderly to balance the state budget.

"This expanding gambling, let me tell you what it is doing. It is expanding illegal activity of gambling in this state that our own Supreme Court said was illegal, without a vote of the people."

Ken Plante represents a Tampa Bay horse racing track. Florida pari-mutuels employ about 25-thousand people.

"It will probably put pari-mutuels out of business. We cannot compete. The trivia that it puts in here that we may be able to get is only if we can come back and convince you to give it to us which we haven't been able to do since 1929. Chances of that are probably zero."

The proposal is that the Seminole tribe gets exclusive operation of black jack, baccarat and chemin de fer at five of its seven casinos and exclusive operation of Las Vegas style slot machines at four casinos outside of Miami-Dade and Broward counties. The state gets more than $1.3-billion over the next five years and about $430-million when the deal is signed, which could help close a three-billion dollar shortfall for next year's budget.

"It is irresponsible to consider balancing our state's budget by depending on gambling revenue."

Nathan Dunn represents Florida Family Action, an Orlando group that lobbies moral and cultural policy issues.

"It is morally wrong to balance the state budget on the backs of the most financially vulnerable in our state, especially the elderly."

Dunn and a spokesman for the Baptist Convention deconstructed the agreement morally, fiscally and logically. Dunn said the plan and its intent were inconsistent with the House's own guiding principles. Both lobbyists conceded they knew the panel was going to pass the measure, but wanted to go on record as opposing it. So did Representative Allan Hays, who compared the compact to a cross dressing pig.

"You can put lipstick on this pig, you can even put this pig in a tuxedo, and it is still gonna be a pig. And I think that we owe it to the people of Florida to stand up with our backbone and say yes, we are in tight financial times, but we are not going to succumb to the pressure to choose a poor source of revenue.'"

Hays was one of three no votes. There were fifteen yes votes. Afterwards, Galvano, who has been working the issue since the Governor negotiated the first compact in 2007, bristled at the criticism delivered during public testimony and pointed to a flaw in the opponent's logic.

"As I said, those games are being played right now; they are being played right now without the benefit of our citizens having our oversight, without the benefit of our citizens sharing in the revenue, without the benefit of our citizens having the protections that are built in. So, from my perspective the more, the more consistent approach for those types of organizations would be to support this compact."

Galvano called the compact a conclusion to a two decades old problem that contains an unprecedented payout to the state. Both the House and Senate appear to be moving to a final vote on the package as soon as Tuesday.