Writing Life

With the elections less than three weeks away, the debate on Question #2 is heating up. That’s the slots question, i.e. amending the state’s constitution to legalize slot machine gambling in Maryland. The normally very conservative Washington Post editorial page has come out against legalizing slots (today, p. B06). And yes, I do mean the Washington Post’s editorial page which has been drifting (and surging) further right for the last ten years. Also, the Baltimore Sun wrote today that even if Maryland allows slots, it won’t be enough to close the budget gap, something proponents have said is a major reason to support their initiative.

To quote from the Sun’s piece

A year ago, state officials hailed the closing of the so-called structural budget deficit – a persistent gap between revenue and spending of as much as $1.7 billion – after Gov. Martin O’Malley and the General Assembly approved a package that included tax increases, budget cuts and the slots proposal that goes before voters this November.

Estimates then showed that when slots revenue fully kicked in, the expected $600 million a year in new revenue would be enough to keep the budget balanced for the foreseeable future.

But in a matter of months, the structural deficit has returned, to the tune of more than $800 million annually for at least five more years, even if voters approve slots, according to projections from the nonpartisan Department of Legislative Services.

Montgomery County Executive Ike Leggett flip-flopped and now supports slots for Maryland. Last I heard, there weren’t any slots slated for his county, but I’m sure he’ll take the money from those exploited in other areas.

Then, we have cop killers. No, not people who kill cops but police who take the law into their own hands and execute suspects who are already in custody in a jail cell. In Prince Georges County, another autopsy report shows again that a suspect in a cop killing was killed in his solitary jail holding cell. Guards have kept quiet and said various things, that is when they even speak with investigators. The Feds are investigating but we’ll have to wait and see.

After a Circuit Court panel of judges ruled that adding the word “primarily” to the slots referendum language would solve all the problems of the biased language, the Maryland Court of Appeals will take up the matter next Monday. Opponents of adding gambling to Maryland’s constitution and communities have said that the change doesn’t go far enough and advocate rewriting the entire text or throwing out the question altogether.

For more on this issue, see my previous posts.

Now that the controversial wording for the slots referendum has reached a broader audience, Marylanders’ opinions are shifting away from adding gambling to the state’s constitution. Before the language written by Secretary of State John McDonough (also a former racetrack lobbyist) came out, polls showed voters supporting slots 54 to 38 percent. The newly released polled shows support dropping under the critical 50% mark, garnering only 49% support to 43% against.

The gambling parlors, where the slot machines are located, will earn between 30 and 40% of the revenue, while the remainder may be used to fund state priorities including education. Seems like quite the corporate welfare. As far as I have read, no money will be targeted at helping those addicted to (or whom become addicted to) gambling or those affected by a loved one’s addiction.

For more information, visit Marylanders United To Stop Slots.

Jay Hancock has a great piece in today’s Batlimore Sun. The money quote is right up at the top and it targets the suggested language for the November ballot referendum that would change Maryland’s Constitution in order to allow gambling in the state. The proposed langauge from the Secretary of State is clearly aimed at pushing approval of the initiative, positing that if you want to educate children, you have to vote yes.

Hancock proposes an alternative “honest version”:

This measure authorizes the state to issue up to five video lottery licenses for the purpose of raising revenue for education, bailing out an industry that can’t make it on its own and saving Annapolis pols from the hard work of governing.

I especially like that last part, as it echos my own thoughts on how the General Assembly punted on what they really should have addressed. [Also see here and here.]

There is hope, as some folks in Anne Arundel have shown, but more has to happen. Sadly, the Sun also reported on August 24th that many Howard County area Delegates and Senators are backing the slots referendum. Language like “I’m a realist” or “I prefer not to do it but I’m going to vote for it” gets us nowhere.

Secretary of State John P. McDonough released his wording for the November ballot initiative to introduce slot machine gambling into five Maryland counties. With thanks to Free State Politics and the Maryland Moment, the language is:

Authorizing video lottery terminals (slot machines) to fund education

Authorizes the state to issue up to five video lottery licenses for the purpose of raising revenue for education of children in public schools, prekindergarten through grade 12, public school construction and improvements, and construction of capital projects at community colleges and higher education institutions. No more than a total number of 15,000 video lottery terminals may be authorized in the State, and only one license may be issued for each specified location in Anne Arundel, Cecil, Worcester, and Allegany Counties and Baltimore City. Any additional forms or expansion of commercial gaming in Maryland is prohibited, unless approved by a voter referendum.

As others have said, the language is definitely pro-slots. Who wouldn’t want to help fund education? And, the supposed limitation on other forms of gambling doesn’t give me the warm and fuzzies, especially since this very referendum is up-ending Maryland’s ban on slots. I also have to note that it doesn’t call slots gambling, but gaming. That last item may sound like semantics, but words matter and gaming isn’t as ominous sounding as gambling. And I don’t think there’s a Gaming Anonymous group that helps people who hurt themselves, their families, friends and neighbors due to their gambling addiction.

Our state elected officials abrogated their duties to resolve slots during their legislative session. Now it’s up to the voters and the push by local officials. As I mentioned before, some county council members across the state are opposing slots. I urge you to reach out to yours to see if they’ll join forces to oppose bringing the scourge of state-sponsored gambling to Maryland.

In a hopeful sign of things to come, two Anne Arundel County Council members spoke out against the introduction of slot machine gambling into Maryland, especially into their communities near the Laurel Race Track. That area is slated to receive almost 4,750 slot machines, close to one-third of the total allowed under the referendum that was kicked to the voters by the General Assembly for a November decision. The money quote from Councilman Joshua Cohen (D-Annapolis) is:

We object to plopping down these huge casino-style slot palaces right in our community, right next to residential neighborhoods. Slot machines are the crack cocaine of gambling. They are the most addictive, pernicious form of gambling. … If you bring it to people’s doorsteps, you are going to increase the addiction rates.

In addition to the moral and social justice parts, there’s also a utilitarian component. If slots are put in areas like Laurel Race Track, the traffic infrastructure will be overwhelmed. MD Routes 197, 198, 295 and 32, as well as US Route 1 can barely handle the traffic now, especially at rush hour. Can you imagine the impact slots will have from the moment the doors open until they close? And, don’t forget about BRAC’s (Base Realignment and Closing process) coming impact on roads. That hasn’t been entirely addressed yet by local and state government, so adding slots into the mix further complicates the endeavor.

What I hope happens is that other council members in all Maryland counties start thinking about what the impact of slots will be in their communities. For those who live in southern Howard County, which isn’t slated to receive any slot machines but will get some of the proceeds, it’s only about a five to ten minute drive down US 1 to get to the racetrack. I add the last not as a NIMBY comment but to show that Howard County residents should consider that slots in Anne Arundel will impact them more than simply paying for a county or state project. Be informed and be engaged.

The Gazette has a nice piece on the slots referendum and how activists opposing slots will use the February 12th primary to reach out to voters. Sadly, lobbyists on both side of the issue will be going after citizens from now until November, spending ungodly amounts of money. For this, we can thank the lackluster Maryland Assembly, which failed to fulfill their responsibilities to vote on hard issues instead of passing the buck.

The Baltimore Sun has a piece on the upcoming discussion on equal marriage rights and the small-minded groups that seek to oppose letting same-sex couples enjoy the rights and benefits of all married couples in Maryland.

Some folks are saying that come November 2008, the slots issues will finally be put to rest. [See item #4 here for that argument.] Resolved, completed, done with, party on. Well, the two sides are coming out swinging already.

If the slots referendum passes, the Baltimore Sun says that local zoning changes might be used to block slots parlors from actually opening. Some jurisdictions already have zoning laws that would block slots. But, I wouldn’t assume that old laws or future laws will definitely block slots. Money is a pretty good wedge to open up that Pandora’s Box. But, that’s at least a delaying tactic.

If the slots referendum fails, I can’t really believe that the Maryland gambling lobby will pack up their marbles and go home. They’ll come at it again, maybe going to the General Assembly again, maybe trying something else, maybe a smaller scope (10,000 slots machines instead of 15,000).

But, I really don’t believe that this issue will die without both the people AND the General Assembly standing up and saying NO to creating yet another public health crisis in this state. While I don’t agree with his hoped-for outcome (getting slots in Maryland), I did like a part of Rick Maese’s opinion piece in today’s Sun:

But upon further inspection, it appears the referendum is a landmark admission of defeat for our elected leaders.

Not a defeat on slots, mind you, but a defeat on their ability to make a decision. It was a nonpartisan agreement, everyone essentially saying, “Sorry, voters, we just can’t do it. Here, you try.”

The State Senate agreed to pass the House version of the slots legislation by a vote of 31-13. Since it’s a constitution amendment to get this on the Nov. 2008 ballot, it doesn’t need to go to Governor O’Malley for approval.

So, let me be one of the very first to say: Vote NO on the Slots Question!

Last night, the House of Delegates passed the companion bill to the referendum they already passed over the weekend. This new bill describes how slots would be implemented if they’re approved by Marylanders who vote for it on the November 2008 ballot. The Senate needs to work through any of the changes introduced in the House legislation and then it can be sent to the Governor.

The vote was close, 71-44, though the Sun went out of its way to note that the count would likely change as late votes are tabulated. Maybe some folks waited until after voting ended in order to see the outcome before they voted for or against slots? The House roll call is available. Just like in the referendum vote, my three delegates voted FOR this piece of legislation.

Sadly, the Maryland House of Delegates abrogated its responsibility and passed legislation calling on Marylanders to decide about slots. The vote was extremely close, 86-52. The Baltimore Sun has coverage. The bill, it seems, is slightly different than the Senate one, so there will have to be some negotiations to get something to the Governor to sign. But, if it passes, and the gambling lobby is desperate to create a new crop of addicts in Maryland communities, then the next battle will be for the minds of Marylanders before the vote in November 2008.

Update:The roll call is now available from the Baltimore Sun’s blog. My three delegates all voted FOR this bill. I’m saddened.

Not really tomorrow, but here’s a quote from The Baltimore Sun that I didn’t know about before regarding the Senate version of the slots legislation

The House bill would require another referendum to expand gambling in the future, but the Senate bill would allow new forms of gambling – such as table games – with a three-fifths’ vote of the legislature.

So, tables are an option. Once the door is forced open with slots, it’ll be kicked fully open for tables and then torn off its hinges for full-blown casinos?

I’m happy to see Montgomery County Delegate Luiz R.S. Simmons stand firm against a lobby onslaught of slots proponents, including the Governor.

And I’d like to note that while Republicans in the House of Delegates are mostly opposing slots, they wholeheartedly supported them under former Republican Governor Bob Ehrlich. So, don’t think for a minute that these Republicans are fighting to keep this public health threat (addictive gambling) out of our communities. They’re solely opposing slots as a partisan maneuver to embarrass Democrats and Governor O’Malley. I’m glad they’re opposing slots but I just wanted to make clear my opinion as to why they’re doing it.

[Update] The vote could be very soon. Legislature was to reconvene at 2:30 PM today, but the live feed from the state’s website isn’t available yet. For your amusement, see the google ad popup that showed up when I loaded the Baltimore Sun’s latest slots update. It’s sad and telling, don’t you think? Funny that the last ad is for Bank of America. Maybe to save time, you could just transfer your bank account to the state and the slots parlors?

Trying to push through slots legislation, the House subcommittee ditched its modified bill and substituted the Senate-passed bill. If this passes the full House of Delegates, it’ll go directly to Governor O’Malley since there won’t need to be a conference to resolve differences. This new-old bill restores Ocean Downs (near Ocean City) as a slots area and removes Frederick County from consideration. Laurel Race Track is one of the sites that this legislation could target.

Passing the buck is never a good policy, especially when you campaign for an office where you are supposed to be deciding issues. The Maryland House of Delegates seems likely to follow in the footsteps of its upper chamber colleague, the Maryland Senate. Our esteemed elected officials would rather pass the buck to the citizens of Maryland instead of voting on a divisive issue. Some realize it’s not a good idea to bring slots to Maryland. Others like slots but realize that there are problems. Rather than vote for or against them, and be held accountable by this group or that, they’re turning back to the folks who elected them just over a year ago.

Even more upsetting is a quote from one of my delegates, Frank Turner. Del. Turner chairs the Finance Resources subcommittee of the Ways and Means Committee. That is the subcommittee primarily responsible for addressing slots in Maryland. Quoted in today’s Baltimore Sun, Del. Turner had this to say: “I have never lost a vote on the floor yet, and I don’t plan to do so now. To me, it’s an easy vote. You’re asking the people do they want this or not.”

Let’s address his two statements. First, this is about Maryland and the likely negative impact slot machine gambling is going to have on many communities throughout the state and even across the borders to our neighbors. The vote is not about whether Del. Turner gets to keep his vote-winning record. I’m surprised to hear something like this from a politician. His second statement sounds pretty good on the surface. It’s a good sound bite. But, what’s he really saying? He won’t make the tough decision so he’ll punt it to the voters. That’s why we elected you Del. Turner! We can make hard decisions but we elected you to make decisions like this. If you can’t, then step aside.

Not to single out Del. Turner, others in the House of Delegates seem to have a kind of reverse-NIMBY policy going on. They don’t like slots, might even have entertained voting against them, but several have come out and said that since there won’t be slots in their district, it’s not right to vote against them. Huh? We’re all Marylanders and you’re in the Maryland House of Delegates, not the District Council or local school board. Yes, you represent your constituents but your policy choices affect the entire state and every citizen within it. Several delegates in Montgomery and Prince Georges County are supporting slots since there won’t be any parlors in their neck of the woods. Mighty nice of them to make other counties shoulder the burden. Are these two counties and every other district where there won’t be slots willing to officially renounce any proceeds from slots gambling coming to their areas? If you don’t want slots in your neighborhood, you shouldn’t benefit from them being in someone else’s backyard. And, for the record, why is it that you don’t want slots in your neighborhood? They sound all neat and wonderful. Isn’t that why you’re voting to support introducing them into Maryland?

What does all this mean? Likely that the gambling lobby will pay millions of dollars to advertise and lobby the citizenry. I’m not looking forward to a year’s worth of slot ads on top of the presidential race and other races throughout the country.

Shame on Governor O’Malley, who called slots a scourge before he was Governor. Shame on the Maryland Senate and House of Delegates for not debating the issue seriously and doing what they were elected to do: address Maryland’s issues. If you can’t do it, then let’s either abolish the legislature and rule in true democratic fashion, or dissolve the Legislature and call for new elections.

I sent the following email to my state delegates:

I understand that budget shortfalls and the high quality of life Marylanders expect and deserve make slots look like a funder’s dream.  However, the consequences of slots significantly outweigh their short-term cash windfall.

One original justification for slots was the preservation of Maryland racing.  It played well, since Pimlico is one of the jewels of the Triple Crown, but from reports I’ve read, slots aren’t going to be placed there.  Maybe in Laurel, but not in Baltimore.  The tie to racing appears to be an advertising ploy to evoke thoughts of Delaware’s Dover Downs with its slots and horse racing.  Maryland seems to want to entice the slots players to stay in Maryland or to come from Delaware.  It seems to me that it’s not about playing the ponies but standing in line to meet and greet the one-armed bandit.  Maryland racing may live on or die.  Slots aren’t going to be the decider.

I think of slots as a regressive tax on the poor.  Those who have the most to lose and the least amount of resources often turn to gambling.  You might work one, two or even three jobs to try to support your family, but poor pay and benefits mean there isn’t always enough money to make ends meet.  You don’t often find CEOs or business leaders sitting in front of a slot machines, except at photo ops when a new slots parlor is introduced.  You might find some casual players who go in with $20 to kill a few hours and hang out with friends.  I’ll be honest and upfront: I’ve done that.  The state of Maryland (or New Jersey or Nevada, etc.) won’t be paying for needed health care and social programs off the $20 I, and people like me, spend about once a decade.

No, the revenue stream will come from those who are coming a lot more often and spending more than $20.  They’ll be spending their paycheck or spending money they’ve borrowed once their own funds run out.  Predatory lending will increase the debt on them and their families.  The spiral is downward.  It has to be, otherwise if playing slots meant everyone wins, there wouldn’t be a revenue stream for the state to dip into nor would the proprietors make a profit.  I don’t begrudge people earning a profit, but I don’t think it should be on the backs of the most deserving.

I’ve lived in Maryland since 1989 and in this district since 1991.  I grew up in Northeast Philadelphia, PA and spent several family vacations in Atlantic City, NJ.  My parents also used to go to Atlantic City when they were young.  Enjoying the beach and walking the boardwalk was a lot of fun.  Then slot machines came, followed by full-fledged gambling.  The beauty and tranquility that people expected at the beach gave way to world that mimicked the coins people endlessly fed into banks of slot machines.  One one side was unbelievable opulence.  The other side was the squalor of the streets and communities one to two blocks from the shining casino towers.  People were begging in the streets for quarters to play in the slots.  They’d been business men and women, fathers and mothers, people from all over who’d come to play.  They played and lost.  And some lost big: addictive behaviors no less harmful or compelling than alcohol, tobacco or drug addiction turned the beach streets of Atlantic City into places where hopes came to fester and die.

I’d hate to see this happen in Maryland.  Introducing slots is a slippery slope.  A new revenue stream that seems to be endless is a hard drug on which to go cold turkey.  Once slots are here, they’re here for good.  The door is open.  And when the next budget shortfall occurs or the next important program needs funding, the next phase in gambling might seem like a panacea.  But it won’t be.

To close, I know that I’ve said why I don’t want slots and why I feel they’re bad for Maryland.  To be fair, I should offer suggestions as to where needed funding is going to come from if slots aren’t introduced.  Progressive taxation is definitely one path to investigate.  Taxing luxury goods and services seems to me to be one starting point.  For example, taxing or taxing at a higher rate, gym memberships.  I know this has caused some backlash but those able to afford gym memberships, especially if they’re in this area, can afford a small additional fee.  We’re not talking thousands of dollars tacked onto memberships, but maybe a few dollars a month or year?  I know that a family pays around $72 per month to be in the Columbia Association.  These individuals aren’t going to give up their memberships if that fee went up to $74 or $75.  I’m sure there are other avenues to look at as well. 

Maryland retailers, frightened by a proposed sales tax increase, put on their NIMBYs today (Not In My Back Yard). Governor Martin O’Malley (D) is considering raising Maryland’s sales tax from 5% to 6% as part of his plan to close Maryland’s budget deficit. Legalizing slot machines is also a part of this proposal. The Maryland Retailers Association wants to scrap the tax increase and instead carry the slots concept to its conclusion: full blown casinos in the state! They don’t want just slots but tables too, so that Marylanders can play blackjack, roulette, and craps after they’ve gotten rid of their loose change in the one-armed bandits.

We really need to calm down here. The potential social ills I wrote about yesterday would be significantly magnified by the addition of table games. The opportunity to lose larger sums of money in a shorter amount of time is not something that I want to see come to my adopted state. We need to look at Maryland’s finances and budget and see what needs to be cut and what needs to be increased, for I’m sure there are both. Enforcement is also important, meaning that companies and individuals who don’t pay their taxes must be held accountable and compelled to pay.

I haven’t written about slots in my home state of Maryland before, but I thought now might be a good time. The Baltimore Sun and the Washington Post both had articles today about slots. The Sun article explains how Governor Martin O’Malley (D) is considering using slots as a revenue stream to fund Maryland programs, helping to close a $1.7 billion budget gap. Both articles note that O’Malley is using the 2005 failed slots bill as a model, one that had slots at Laurel Race Track but also at other non-horse racing locations. Maryland House of Delegates Speaker Michael Busch (D-Anne Arundel County) said “my position on gambling has not changed — I am not an advocate for slot machines.”

Some of the older reasons for brining slots to Maryland was to prop up its historic and financially poor race tracks. Putting these machines outside of race tracks seems to undermine that argument. Additionally, O’Malley used to be opposed, though not very strongly, to slots. In 2005, he called them “a pretty morally bankrupt” method to fund state initiatives.

I have played slots and enjoyed it. But, I also grew up near Atlantic City, New Jersey and watched as slots and gaming turned that city into one that brought in poor people and sent out even poorer groups. Promises of easy wins and riches were sold to the public and huge revenue streams were sold to the local and state governments. Gambling feeds on addictive personalities. Granted, not everyone fits that bill, but it’s still something to consider. Gambling is a drug, and not just to the person shaking hands with the one-armed bandit. Government is hardly going to close down gambling once it sees the stream of cash coming in that can help fund its chosen agenda. And that applies to both Democratic and Republican administrations.

So, before we open up this Pandora’s box, maybe we might want to sit back and think it through a little bit longer. Let’s see some plans, here some real debate, and then see where to go.