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GUEST COLUMN: More slots won’t fix the budget

Gambling is a tax on people who refuse to understand that the odds of winning are against them

Posted: March 1, 2011 - 6:16pm

I want to share my thoughts about adding slot machines to existing racetracks in Minnesota.

On Feb. 16, the editorial board was lobbied to write an endorsement for racino gambling. We were told this would add $100 million new tax dollars to the state’s coffers, possibly solving everything from K-12 education shortfalls, building the Vikings a new stadium, filling potholes, and who knows what else.

First of all, as much as it is, $100 million is less than a drop in the $5 billion deficit. But do you see the game they are playing? If you hate the potholes — you tell you legislators yes. If you want the Vikings to stay, you say yes. If you’re in public education, you’ll take anything at this point, so you say yes.  If enough small constituencies say yes, they’ve earned their probably not small lobbyist fee, and the private, for-profit company that wants the racino bill passed is very happy.

Will all these little constituencies get what they expect? Of course not. Will the private company in Connecticut that owns the track get their take — of course. Will gambling solve Minnesota’s budget problems? Dream on.

Gambling is a very poor way to fund anything. It’s a tax on people who refuse to understand that the odds of winning are against them.  It’s an unsteady revenue stream — who knows how much will be generated a year from now. Ask any pastor or counselor in town and they will tell you the effect gambling has had on families and individuals.

The state doesn’t need to be our parent, setting the moral standard, but isn’t there something wrong with encouraging more people to “cast lots”?  A night at the casino can be fun, good food, oh well, I lost a few dollars. But making the state dependent on large numbers of people losing their money, and making it more convenient for them to do so, just seems wrong. And a lot of these same people are the ones who vote against local school referendums or fume about city budgets because they can’t afford their taxes to go up maybe three dollars a month. Think of the common good if even some of those gambling losses had gone directly into city and school budgets.

And what about the tribal issues? Another treaty broken, or at least skirted around? Existing casinos have offered opportunities for many in the tribal bands. The casinos buy goods and services in the local economies and employ a lot of people outstate who spend their incomes locally. Do we want even more money concentrated in the Twin Cities?

Shoulders are shrugged, the genie is out of the bottle. Slot machines, pull tabs, lotteries — they’re already a reality, so why not just capture another chunk? Forget the genie. To me it’s a slippery slope. Putting slots at racetracks, won’t bars be next? Maybe we should legalize marijuana and prostitution? There’s got to be tax money we’re missing out on there!

Think back 50 years.  Everyone shouldered the tax burden that educated a lot of us in great public schools, the interstate highways were built (and plowed), we even put men on the moon. It was all accomplished without legalized gambling. I urge the state politicians to not take the easy way out by undermining the tribal agreements, and to write tax laws that are adequate and fair, but maybe not popular.

JACKIE BURKEY is a north Brainerd resident and a member of the Brainerd Dispatch’s editorial board.

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Poorman
505
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Poorman 03/01/11 - 08:56 pm
1
0

Lots of slots

Slot machines should be allowed every where pull tabs or lottery tickets are sold

cyclerod48
2194
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cyclerod48 03/01/11 - 10:04 pm
1
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We need a casino or racino in

We need a casino or racino in the metro area that would actually pay their fair share of taxes to the state----unlike the casinos we are stuck with now. There will always be people who refuse to understand that the odds are stacked against them so why not let them be idiots and get something out of it. Heck- may as well puy a State regulated slot or video poker machine in every bar and gas station in Mn.

Poorman
505
Points
Poorman 03/02/11 - 07:41 am
0
1

Gambling is a tax on people

Gambling is a tax on people who refuse to understand that the odds of winning are against them
yes, we can tax s tupid

wolfg1
601
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wolfg1 03/02/11 - 07:37 am
1
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I believe it was T. Jefferson

I believe it was T. Jefferson who wanted to create a national lottery to raise funds for the federal gov't. He stated that it was a way of "taxing the willing"

Please feel free to correct my post if parts are incorrect, but the point is the same.

wolfg1
601
Points
wolfg1 03/02/11 - 07:43 am
0
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"Maybe we should legalize

"Maybe we should legalize marijuana and prostitution? There’s got to be tax money we’re missing out on there!"

Good point.

Poorman
505
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Poorman 03/02/11 - 07:47 am
0
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It doesn't have to be

It doesn't have to be legalized to tax it

dean1961
1043
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dean1961 03/02/11 - 08:07 am
1
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Hidden agenda?

What exactly is Jackie Burkey's connection to Grand Casino?

walleyeguy99
57
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walleyeguy99 03/02/11 - 08:07 am
1
0

taxes

If people would fill out their tax forms correctly, you are suppose to include all income without respect to whether it is a legal form of income or not. But it is hard for the IRS to audit what they don't know about.

dean1961
1043
Points
dean1961 03/02/11 - 08:26 am
0
0

Good point walleyeguy

The IRS sent Al Capone to prison!

Poorman
505
Points
Poorman 03/02/11 - 08:35 am
0
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tax stamps

Make them buy tax stamps and permits

claire lundgren
0
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claire lundgren 03/04/11 - 03:19 pm
1
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Racinos should be of interest to all taxpayers

Racinos are not being proposed as a way to finance the state and eliminate the budget mess. The idea behind racinos is to save a large part (@ $2 billion) of Minnesota's economy. That important segment is the equine industry and the horse breeding farms are not located in the Twin Cites.
The racing industry is spread all over the state and affects the livelihood of thousands of taxpaying residents of the state.
Not just the owners but the communities where they live will be affected if they leave. Without racinos the racing industry will move to other states (there are currently 11) that have casinos to support a higher purse structure than Minnesota. Currently, the industry is dependent on the income made by racing horses and by sales of horses produced by the breeders. Because our purses can't compete, our state bred horses are losing value as far as breeders fund returns and therefore, are becoming less attractive to buyers. The purses are so low that the tracks can't attract the best horses, which then go to more lucrative tracks for racing. In the end, the Minnesota tracks will fail and close. The industry will leave the state to cut its loses. The farms and owners will leave, the vets and equine clinics will close, farms will suffer loss of sales of hay and grain, communities will lose tax revenue and schools and services will suffer and it will spiral down hill. There are thousands of jobs that will be adversely affected if not lost entirely. Meanwhile, the indian gaming will continue to expand and not contribute to the states infrastructure, we will still be paying out welfare to the northern tribes that do not share the wealth with the tribes having casinos, and the Minnesota taxpayers will still be providing health care and education services to all. Casinos will still be using state roads to reach their venues and still won't be contibuting to the upkeep. The Indian Compacts NEVER promised the Indian Casinos gambling exclusivity. They have the current monopoly strictly at the behest of the State Legislature. No one is trying to take anything away from the tribes. The racing industry, that was here before the bingo parlors were built 7 miles down the road from Canterbury and used the track's parking lots as a pickup place for their shuttles, is not asking for a bailout from the taxpayers. The racing industry is seeking a level playing ground in order save itself. Can the State afford to lose an entire contributing industry and displace that many taxpaying citizens? It wouldn't make sense.

claire lundgren
0
Points
claire lundgren 03/28/12 - 02:53 pm
0
0

Legislators Accountability

Nearly 80% of Minnesotans are in favor of Racinos. Why do our legislators continue to follow their own agendas and vote against Racinos, thousands of jobs, and education? Why do they continue to tell adults how to spend their own money ( except for taxes) and choose their own entertainment? In the case of Racino, this is not a moral decision but an economic mandate! Perhaps Ms. Burkey should investigate how many equine facilities are based in her area of readership. There are 150,000 horses in Minnesota and they are not all in the Twin Cities Metro.

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