| Show Anti- 4A The Salt Lake Tribune 15 1990 Sunday April Pc 01 Gambling Fever Contagious But Stakes Are High By Ed Timms Dallas Morning News Writer Gambling in America is on a roll Riverboat caEinos soon will be the Mississippi River navigating from ports in at least three states The former gold rush town of Dead wood SD where Wild Bill Hickok met his violent end playing poker — has experienced an economic boom since casino gambling there became legal in November tribe and a NeThe Santee-Siouvada resort want to build a $67 million casino-hote- l complex in Council Bluffs Iowa an offer they hope local residents won't refuse Other Indian tribes may have casinos in their future A proposed constitutional amendment seeks to open casino doors in Ohio In Colorado a state Senate resolution calls for casino-stylgambling in historic towns And with varying degrees of enthusiasm civic leaders in Gary Ind Detroit and even New York have been weighing the casino pros and x e cons Money talks Communities with ailing economies see casinos as magnets that attract tourist dollars and jobs State and local governments are tantalized by casinos' potential as a revenue source Already the nation's gambling appetite has been whetted Lotteries operate in 32 states Only Utah and Hawaii lack some form of legal gambling All told legal gaming generates more than $200 billion a year in gross revenues and increasingly provides funding for state social programs and charities William Eadington a University of Nevada-Reneconomist and gambling expert identifies a close link "between the spread of lotteries and the current spread of casinos" Such gambling he said lends legitimacy to other kinds of gambling "Gambling begets gambling" said gaming expert I Nelson Rose author of "Gambling and the Law" "Once you have legalized one form of gambling the movement is always toward faster games with the illusion of player participation The move is definitely toward casinos" Yet many civic and political leaders remain deeply troubled about the surge in interest in casinos: — Casinos according to critics create an atmosphere that invites crime and corruption "There is ample evidence to support the statement that casinos are a magnet for organized crime" said Eugene M Christiansen a New York "The entire gambling consultant history of regulation in New Jersey and Nevada has been one long attempt to get the bad apples out of the business They've been impressively successful in doing that considering where they started 35 years ago but it's a problem" Colonial times when lotteries were common Scandals and a morality movement caused their demise by the 1830s The frontier movement and the devastated economy in the South after the Civil War encouraged a second wave of legal gambling By 1910 scandals and cheating again had alienated the public even Nevada outlawed casinos The Depression helped usher in a third wave as impoverished communities desperately searched for ways to raise revenue Nevada casinos and racetracks led the way That wave has yet to crest Today Las Vegas remains the most visible success story of casino gambling Since Nevada legalized gambling in 1931 casinos have Las Vetransformed gas into a glitter capital of chance where millions of visitors try their luck each year In 1989 gross revenues for the 152 large casinos in Greater Las Vegas topped S3 2 billion But that success has never really been duplicated outside Nevada Economic rejuvenation was supposed to accompany the arrival of casinos in Atlantic City NJ in 1978 It didn't Experts describe Atlantic City's beachfront casinos as ''armed for" units tresses" or that insulate patrons from the poverty unemployment and crime found only a few blocks from the Boardwalk Corruption plagues city gov- Experts co-- '7'':':"'""" - f ":' - 4 e4 :1 rt0—::-rz:vv:- "- r':'4-- : ' :- ''' - C64 '' 't Cyot v is No ou0 tetz '' L':: tt CI CI 4 Ili et 422 ewe VII - - : '1" - Iti ''' "'' - :70 z- Jill - t t Wrt1'119ss At'o' DI 0- I irLeilat PAUL 6 '' ff 0 ::i': L claimli JOAN 7- 1r°:"Nr:- ' 1 0 rir4 ' ! q '‘ -— e d 0 CAA - 0 -- 4ialkt-p i - ' 7' i 0 1 iir13:4X-- CO ktIi: --- : e'''' 4 -- "Tr ' 11 1 4 1 :' '' 't '''' 1 41 :::i --A 103e p P''f '"- - - t0“tyv4- 11 -- i ' - Irl : -' tt yPos 4c i '- 0 c‘ 7- - t1s (5 '' I Ol0 Casinos have transformed Las Vegas into a glitter capital of chance here millions of visitors try' their luck each year :'I' 1 t ile' - 1 ' lit V41 i4 i 9 ti I 4t fil 310 " '' g7r4 it2±E 1414 ateutt144 P I f: I - ' 1 - - ' 4- ' - A 0 ''''' ' ' ' 0717 t i 1 1 4‘4!'' 2 ' 14' ril'1 0 ' It 'la - ts 1 a lt ::Ii-oWiti- - "t - ' " t ii 40: !!' V itA422) - 7 ' 4 -' ' -1 KAI? c A '' ''''')'16171 Itil 121 Al' ' '' ' '' ' 'r?-:'''''- ' - Oe't ' y1':1441:1 ---F '''' ': 1 1- ' '''i ' 'VP ' 'f'' 1 :: - itt'lltAL- - ''' 6 ' ::: — tit41144"6"1"6"73A1ILiosAtwok ' t : 1'7°717:4ri 4 I is'i' '41 fl iro)if 1 - 4t 00 0" day in a health cl The pr days of d Operatio abortion More from bot began ar ning Ass Sgt Ala: clinic ne a protes year tha rests Opera' Keith sa unborn 1 It's East gious co: More horseba( gan arr am an 230 peol tody and jail on si : x u f4 t 41 anti-abo- i $ q 1 it Nip 4 ''' el '440 ll 441't ' '''' – SMIL3 - 1 iAlt)?-- ' ' :: c4 ' 0 414-- '''''''"4i:2:747': ! -- -Al ' 1 4 '' -t 040 -- cc-aw- :- ' - - Two h lommommaboilkNammsmum group — seph Fol rector 1 on sitsp Assocputed PTess Moto in the world could become a floating casino if Ohio lawmakers pass gambling bill Mississippi Queen built in 1976 and billed as the largest steamboat The seven-decke- d want to bring to the Farm Belt a $67 on the scale of million casino-hote- l those in Nevada and Atlantic City Don La Point tribal chairman of the Santee-Siousaid the tribe hopes to use casino revenue to make up for federal budget cuts that have affected its education health care and social programs The Santee-Sioutribe already operates a small medical supply manufacturing plant on its northeast Nebraska reservation but other economic opportunities are limited "If you look at a map and see where were located — were in the middle of nowhere" La Point said Opponents have argued that Council Bluffs has little to gain from the proposal — even financially To be legal the casino would have to be on tribal land which cannot be taxed by the state or local governments Harvey's Resort Hotel & Casino the Nevada firm working with the Santee-Siourejects the criticism "The intent is to put the minimum amount of acreage whatever that is into trust to accommodate the casino proper" said Chuck Scharer Harvey's vice president for finance "Or1:7 the casino portion of this facility needs to be on Indian trust land for this to be a viable project The rest of the facility — the hotel the food and beverage operation the would be on non-truparking land and therefore subject to all applicable taxes" The casino proposal has some support among elected officials in Council Bluffs and a task force formed by the city's chamber of commerce is examining the proposal But charitable organizations that rely on legal gambling oppose the plan "We think it's a disaster for us" said George S Beno director of the Bluffs Run dog track which is operated by a association created to raise money for local charities "The money would just flow right back out of this area- Several studies he said have shown that when a casino opens tracks in the area sufx rain Ohio which includes allowing the Mississippi Queen river boat to become a floating casino accuse the state's "racetrack lobby" of orchestrating its death in the Legislature last year Now Ohio officials are examining the signatures gathered during a petition drive to force a referendum on casino gambling If there are sufficient signatures the November general election ballot will include a Tr In chance" According to Rose acceptance of with games gambling often begins -such as bingo gambling that is considered harmless" "When the churches themselves are running bingo games in their basement they can't say that its a mortal sin to make a bet" he said' And when the morality argument dies away "everything becomes a Us Vote) Ohio The amendment would allow only BELL Traffic to norm ately stx a Sul analysis" cost-benef- it or( casino per city The theory Giardini said is that a "destination resort" will be a boon as a tourist at- Whether the gambling involves s parish hall bingo a lottery or casino action many experts say the downside is frequently ignored "There are serious social costs that are just not being considered in the equation" said Henry Lesieur a high-stake- without signficantly traction struct presses them into these games of constitutional amendment to authorize casino gambling in eight cities with the pilot project in Lorain "Unlike some of the areas that have taken this approach Lorain isnt what you would call a depressed But we felt Lorain needed area to diversify its economy" said Anthony B Giardini a committee member and attorney for the main group seeking casino gambling LUV (Let x Indeed some supporters of a bill to legalize casino gambling in Lo- — —Tribune File :o r fr prt 4f 4 i''' 1 t1 Atli" 't kr1 4orgttitt '4i ' laaw - - it t1t ik!flultillat 4titit - 101 :yr17r ::: 4i ? 1 144 T(stri ‘ -- k Esr' t4145- '' 0 It ? fer '' 1A6kaft 0 ' fa v: pari-mutu- C: : :tsmova1671:7 ' " - non-prof- Ct)'A)11 : awalf: '' k::''40 '''''''''4 7--0 ''f ' : -- c7oil 771A1 im altering the host community Opposition to the amendment has brought together an unlikely set of allies among them racetrack operators and Roman Catholic bishops Igni To NEW gunman two dap der on E a a the four The mained ued seal way stat The a land of Friday and sec( lion wit Sgt Nic man Kirkl men wh Thursda ed by and fill killing ( A ch believe( the atta The attl 17-ye- "When you talk about compulsive gambling you talk in terms of severe financial indebtedness financial ruin broken homes x p'ro - say that although the e ro Yzy41m'4m1f4: " 'At : market for gambling continues to grow it is not infinite — and casinos could siphon business from other legal gaming enterprises Rich Schulhoff director of the service bureau for the Thoroughbred Racing Association sees a growing number of gambling interests wanting "a slice out of the pie" "Naturally your competition is going to hurt you" he said — Casinos like other forms of legal gaming serve as further temptation for compulsive gamblers "And when you talk about compulsive gambling you talk in terms of severe financial indebtednesg financial ruin broken homes medical complications bankruptcies and suicides" said Dr Valerie C Lorenz executive director of the National Center for Pathological Gambling based in Baltimore relaAmerica has had a love-hattionship with legal gambling since Pari-mutue- ' - "! leaders among a 4 1 " c w-level" disaster economy — The Rev William Booth pastor of First Baptist Church in Gary has spearheaded opposition to the casino proposal He said the availability of typically jobs in a casino could hurt the city — in particular its large minority community — in the long run For Wolkins image also is an issue "We're a very conservative state" he said "We'd like to be known for cornfields basketball the Indianapolis 500 — not a casino" Even if Indiana ultimately says no casino gambling already has found a home in the Midwest and in other traditionally conservative states Texas is one of at least four states that permit casino cruise ships to opl erate offshore betting was approved by voters in 1987 and Democratic gubernatorial candidate Jim Mattox is proposing a state lottery Residents of Council Bluffs Iowa and Ohio voters are considering casino proposals Illinois and Iowa have approved riverboat gambling as has Mississippi to the south Missouri is considering opening a casino in Kansas City's Union Station and aboard a St Louis-baseriverboat The Council Bluffs proposal is one of the most unusual: A resort operator and an impoverished Indian tribe If Atlantic City hadn't been such in terms of rebuilding the city casino gambling would have spread much faster" said Rose a law professor at Whittier College in California Still for all its failings casino gambling in Atlantic City offered hope to some residents of Gary Ind a decaying industrial community with double-digi- t unemployment "There were concerns raised but there certainly were opportunities to benefit from the mistakes in Atlantic City" said state Sen Ear line Rogers who sponsored legislation calling for a casino in Gary is that "One of those mistakes fin New Jersey all of the gaming tax 7 : qP14:111111' 4! LOS A it inside" ernment a A g once-lethargi- c Although boosters tout casinos as an economic development tool critics argue that casinos are not a magic pill for economic woes In fact they say casinos could inhibit development of a healthy diversified — revenue went directly ill the state for statewide programs Our legislation called for a portion of the proceeds to remain in Gary for specific revitalization within the city" refIn November in a erendum a majority of Gary's residents supported opening a casino Rogers met with less success persuading Indiana's Legislature Her measure failed to pass last month but she vows to submit it again during the next legislative session Casino opponents found a different lesson in Atlantic City "There's no question that as an economic development tool it will create jobs and it will produce an awful lot of tax revenue" allowed state Rep David Wo lkins "It will not in fact help local businesses because the casinos are pretty much At the casinos once they get inside they're going to stay medical complications bankruptcies and suicides" said Dr Valerie C Lorenz executive director of the National Center for Pathological Gambling based in Baltimore gambling expert and sociologist at St John's University in New York "If the state advertised alcohol the way they advertise gambling people would be up in arms For some reason people just don't make the connection that gambling is potentially devastating for some people" Lorenz with the National Center for Pathological Gambling estimates that "minimally 3 percent" of the nation's adult population — about 7 million people — are compulsive gamblers and up to 5 pers cent among Older Americans she said "grew up with the idea that gambling is evil sinful immoral — or certainly it Giardini sees little merit in their arguments Racetracks are sitting there gambling like crazy on the horses" Giardini said They don't attract any tourists at all and create very few jobs And the Catholic Church of course is up to its ears in gambling because of bingo and 'Las Vegas Nights' "So the average guy on the street to says it's hypocritical for either criticize any plan like this at least on moral issues or economic issues when both of them profit from gam- activity" bling retract' teen-ager- Bishop A James Quinn a regional bishop with the Catholic Diocese of Cleveland acknowledges the danger that people playing low-stake- s was illegal" "Nowadays of chance such as bingo "will cross over" to casino gambling The Cleveland Diocese tolerates but does not encourage bingo and "Las Vegas Nights" he said and the diocese has asked its pastors to "look at other programs to promote ingames church-sponsore- f7411 d "It hear teen-ager- s 'You've got to play to win' and 'Go to the casino to have a good time' Now the racetracks are competing with the casinos and they're all competing with the state lottery" Casinos are particularly dangerous for compulsive gamblers she said because they "extend credit while many other forms of gambling do not" And the financial effect of compulsive gambling can extend far beyond the man or woman placing the bets come" "Now what happens realistically that parishes with schools find it very very difficult to continue to increase teacher salaries to meet the increasing costs of insurance" Quinn said "As the cost of education the need for more money goes up is 1 11 Gaming Explodes on Reservations : Indians Bet Casinos Will Increase Finances liy Ed Timms Dallas Morning News Writer From the deserts of Arizona to the lakes of Wisconsin Indians are betting that legal gambling will solve their financial woes "Gaming generally is exploding on the Indian reservation' said Joel Starr a gaming expert with the Intehor Department's Bureau of Indian Affairs -- It's becoming one of the primary sources of generating revenues for tribes to achieve economic 1987 gaming sponsored by 113 tribes generated about $260 million In 1989 Starr in gross revenues said "we have about 10 more tribes on line and the revenues have al most doubled to about $400 million Tribes have invested heavily in bingo parlors Some have tried their luck with racing Arid reflecting a national trend tribes are thinking about put ling their money on casinos ux ha e Nebraska's Santee-joined with a Nevada resort to propose a $67 million casino in Council Bluffs Iowa The Lac du Flambeau Chippewa of Wisconsin began operating a small casino last year but voluntarily' shut it down recently after the states attorney general threatened a raid Tribes in Nevada are discussing building casinos over the In high-stake- s pari-mutue- l objections of state gaming officials Tribal interest in gambling to some extern !erects the lack of economic opportunities for a lot of Indian tribes" said William Eadington a University of Nevada-Reneconomist and gambling expert A case in point the Santee-Siouone of the partners behind the Council Bluffs proposal "We don't happen to be one of the fortunate tribes that they took and put out on the desert where there happens to be oil or minerals" said tribal Chairman Don La Point The tribe's reservation is almost 200 miles from Council Bluffs in rural Nebraska are testing the The Santee-Sioulimits of the Indian Gaming Regulatory Act passed by Congress in 1988 in response to the growth in Indian gaming and concerns about the potential for corruption Since 101k3 recently approved casino gambling on riverboats the Sioux argue that by law Indian tribes liae the right to op rate cat& x Santee-- c 110s For the casino to be legal the must take the land on huh it would be situated into tribal trust " That status also would ex erupt it from state arid local taxes The gaming act also requires that the tribe and the state enter into a Santee-- Sioux k regulatory "compact" Experts say the state could torpedo the proposal but must negotiate in good faith or end up in federal court Some tribes opposed the act because of the regulatory power it grants states in some circumstances The Lac du Flambeau Chippewa already are in court After the tribe spent about $135000 to transform a grocery store on its northern Wisconsin reservation into a casino state officials threatened to raid it Because casino gambling is illegal in Wisconsin state officials argue it shouldn't be permitted on the reservation Tribal Chairman Michael Allen said the casino had none of the negatives associated with some industries We have a lot of lakes a lot of water here- - he said -- We want to protect thatIndian gaming exploded in the 1980s after Florida challenged the right of the Seminole Indians to operate a bingo parlor and a federal appeals court ruled ia 1981 that the tribe could operate any form of gambling legal under state law The U S Supreme Court let that ruling stand and in 1987 also held that tribes v ere not subject to controls imposed by state laws such as limits on gaming prizes The 1988 congrissional art opened the flood gates further Some experts worry that tribes are relying too heavily on gambling — especially with the proliferation of legal gambling across the nation that could draw customers away K Kirke Kickingbird director of the Native American Legal Resource Center at Oklahoma City University said competition among the bingo parlors operated by more than 20 tribes is "cutthroat" They have to have high payout because of the competition" he said And its really difficult for some of the tribes to maintain a profit" Alternately tribes are not bound by prize limits so they in turn threats en charity gaming The tribes that will benefit most in the long run said Kickingbird are using gambling revenues to diversi- 0 1 Eric Eberhard minority counsel for the Senate Select Committee on Indian Affairs said -- Virtually every member of the committee wishes that it was not necessary to engage in gaming in order to obtain revenue And I think most members of the committee take the position that had the federal government over the years done a better job of promoting ether opportunities the tribes would not have had to turn to gambling " '' 04— 11:21113 ''' - 1 ItE 11011441411104 (:''7'' 4- ' 9 :iiii ' 0'- - 4- : -- ii t '1? rt t 44 4:1 2 - A ftrts ' - - we DU " - ' 6a0611110 - -: 14- 1)0-05:att- 7-1- 4- yr:::to: a 011 : --- ' - 41A16 '' "- - 00 At 4 WAWA ': f' 0 — --- ''''' - 4" : 4gd 40 40 04v Amt- f - ft 011401061601 v': '''' ' 410? 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