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Tuesday, February 12, 2002

Group opposes gambling bill


Family Foundation will battle casino-style video at tracks

By Patrick Crowley
The Cincinnati Enquirer

        FLORENCE — A Lexington-based conservative organization has launched an anti-gambling lobbying effort, even as the final compromise over a gaming bill is being hashed out in Frankfort.

        The move is another sign that the battle over legalized gambling in Kentucky, debated mainly in the media and behind closed doors, is about to be fought in the open.

        The Family Foundation, a group active in politics and policy that bills itself as “a nonprofit educational organization dealing with issues affecting Kentucky families,” will focus on defeating gambling legislation.

        The bill in question is expected to be filed within a week and would legalize casino-style video gambling in Kentucky.

        The effort will be led by former Republican state Rep. Stan Cave of Lexington, a lawyer who left the General Assembly in 2000 after serving four terms in the House.

        The Family Foundation is also stepping up its lobbying efforts in Frankfort, hiring a second lobbyist to work with Martin Cothran, the foundation's senior policy analyst and longtime legislative lobbyist.

        “I think Kentuckians have an instinctive understanding that the decision to expand gambling will change the very culture of this state, and will have deeply negative economic and social consequences,” Mr. Cave said.

        The Family Foundation joins the Kentucky Council of Churches in opposing the effort to expand gambling.

        “We're working with legislators to craft the final bill,” said Bob Elliston, president of Turfway Park in Florence. “There will be a lot of people (sponsoring) the bill, with supporters from both” the House and the Senate.

        The thoroughbred racing industry wants the legislature to allow the installation of video slots known as Video Lottery Terminals, or VLTs. The electronic machines replicate poker, blackjack, bingo, keno and other games of chance.

        The industry says it needs gambling to compete against riverboat casinos in Indiana and Illinois and against racetracks in West Virginia, Delaware and other states that offer VLTs and other forms of gambling.

        Kentucky tracks including Turfway and Churchill Downs in Louisville have seen wagering and attendance fall by nearly half since riverboat casinos began opening in Indiana in 1996.

        Mr. Elliston and other racing industry representatives met Friday with a group of lawmakers that included House Floor Leader Greg Stumbo, D-Prestonsburg.

        Mr. Stumbo has previously talked about sponsoring a bill that would not only allow for video slots at tracks but also land-based casinos.

        Mr. Elliston, however, said he does not anticipate casinos as part of the final legislation.

        “This whole effort is to restore the prominence of Kentucky's signature industry,” Mr. Elliston said. “It's not just about gambling.”

        Proponents of gambling have picked up an advocate. The Kentucky League of Cities, which has about 350 member cities across the state, has endorsed video slots at racetracks.

        The thoroughbred industry is counting on the dismal state of Kentucky's budget — shortfalls are predicted for at least the next four years — to help convince lawmakers to consider a new form of revenue.

        Projections from PricewaterhouseCoopers, hired by the racing industry to analyze the financial impact of gaming on Kentucky, indicate video slots at the state's eight horse tracks would generate about $919 million a year, Mr. Elliston said.

        About $300 million a year could be returned to the state.

        Mr. Cave said he believes a majority of Kentucky residents don't want gambling no matter how much money it generates or where the money goes.

        “Nothing could be more disruptive to the commonwealth that the introduction of casino-style gambling, whether it is limited to the horse tracks or not,” he said.

       



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