Politics

Senate Rockets Internet Sweepstakes Cafes toward Close-Down

By: Nancy Smith | Posted: March 18, 2013 1:00 PM
Garret Richter

Sen. Garrett Richter, R-Naples, chairmain of the Senate Gaming Committee

Cafe operators, senior-citizen customers, veterans, even a soup-kitchen priest from Fort Lauderdale pleaded with the Senate Gaming Committee on Monday not to ban Internet cafes in Florida. But the committee voted 11-0 to advance SB 1030, a bill that changes its version of a moratorium on the gaming-arcade businesses to an out-and-out ban.

Committee Chairman Garrett Richter, R-Naples, set the pace when he began the meeting, "Internet sweepstakes have wiggled their way through loopholes long enough."

He said his interest is in "reaffirming that all gaming is illegal unless it has been legalized" -- and Internet cafe gaming has not.

The fast-moving issue comes in the wake of last week's arrest of individuals running a chain of the strip center arcades for alleged racketeering and money laundering, followed by the resignation of Lt. Gov. Jennifer Carroll.

Among those opposed to a ban who spoke before the committee:

Father Bob Caudill, priest for a Fort Lauderdale soup kitchen, who said his church operates Internet cafes that provide 30 percent of the kitchen's revenue. He reminded senators that Fort Lauderdale has a homeless population of 10,000.

Edwin Wells, Internet cafe owner: "Our people are all crying, 'what are we going to do with our time now, we have no place to go.'"

Mary Lucas, operator of Shooting Star Sweepstakes: "You will be putting 16,000 people out of work; we pay taxes, we follow the rules ... we are family to our people."

Tami Patel, Internet cafe owner, who acknowledged the few bad apples in the business's barrel. But, she said, "You're taking the people's choice away. If you have one bad hamburger at McDonald's, are you going to close down Burger King and Wendy's too?"

Two South Florida owners said, if their customers couldn't meet each other for social fun at an Internet cafe, they would be forced to drive across heavy traffic to the Hard Rock (casino).

Speaking in favor of the ban:

Adam Giery, Florida Chamber of Commerce: “Today is the first of many steps in the right direction to stop the degradation of Florida’s communities. The Florida Chamber has been a longtime supporter of prohibiting Internet cafes, and we applaud the Florida Senate for taking action to improve Florida’s quality of life.”

Brian Pitts, Justice-2-Jesus: "The reason you need to do this bill is because Internet cafes are taking advantage of people who don't know they're being taken advantage of."

Ron Book, lobbyist for Magic City Casino and Flagler Dog Track, who described the longtime "illegal" operation of maquinitas -- or "little machines" in South Florida. "I call it an ongoing criminal activity."

Sen. Lizbeth Benacquisto, R-Fort Myers, summed up the committee's point of view by saying, "I googled these places. They advertise poker and gambling ... If that's what they offer, they are illegal."

Other senators said that admitting patrons would go to the Hard Rock if they couldn't spend the day at an Internet cafe tells them all they need to know -- they are gambling.

The House Gaming Committee established its own bill banning Internet cafes on Friday.

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Video Credit: Dave Heller



Reach Nancy Smith at nsmith@sunshinestatenews.com or at (850) 727-0859. 

 

Tags: News, Politics

Comments (31)

watching you
10:10AM APR 13TH 2013
Vote for me, an “HONEST” politician.
I promise to do everything in my power to enrich myself on the backs of the taxpayers.
I promise to take money from special interest groups and allow them to influence my decisions even if it means screwing my constituents.
I promise transparency with back room deals made behind closed doors.
I promise to lead you by the hand because you’re too stupid to make your own decisions.
I promise to tell you “yes, I’ll do that for you”. Then do exactly the opposite.
I promise that if you elect me, you’ll be sorry that you did.
Thank you for your support.
Now Unemployed
10:43AM MAY 21ST 2013
HOW TRUE HOW TRUE!! we are sorry and it won't happen again.
watching you
9:34AM APR 13TH 2013
Let me get this straight.

A gaming industry lobbyist, who lobbied on behalf of internet cafes, gives money to a certain senator's campaign fund (you know who you are, and so does the Miami Herald). Then the senator gives money to the lobbyist for plane travel. Then the senator submits the cost of the plane trip against his “expense” account for reimbursement. Sounds to me like the taxpayers are paying the lobbyist, not just the gaming industry. Then this senator has the audacity to say he sees nothing wrong with it.
Money is coming out of a senator’s taxpayer-funded expense account, going to a lobbyist, who then puts money into the senator’s campaign fund.
Also, I did the math. It’s about 400 miles from Southwest Florida to Tallahassee. In a car that gets 30 miles per gallon, that’s about $100.00 round trip. Now we get 4 South Florida representatives to car pool, share the driving and split the cost of gas. Comes out to $25.00 each. Round trip. So, $2500.00 for a plane owned by a lobbyist, or $100.00 split between four representatives?

Also, while I think Rick Scott should have vetoed the bill, I can see how it was easy to get caught up in the "mob mentality" of the rest of Florida's elected representatives. If the house had voted 58-56 in favor, and the senate 21-19 in favor, Scott may have simply vetoed the bill.
I urge you all to look at each of your representatives closely. Follow the money trail on political contributions they took, and see how they are ripping off the Florida taxpayer. It used to be that people got into politics to help the people. Now it seems they're only in it to enrich themselves and their cronies.
For the People
3:49PM APR 11TH 2013
This state/country is a joke. Everytime us American's find a better way to simulate the economy, increase employement, and help families provide for each other, the government has to involve and ruin it for everyone. It is like a domino effect....you attack a business, which attacks employees, which attacks the families....why not leave everything how it is...and go after people who sell drugs, prositution, or even non tax paying americans? You have no logical reasoning on why sweepstakes are banned, you just want to show us your power...and ruin everything we try to rebuild.
CHAD GRABLE
6:04AM APR 8TH 2013
the state needs money why not make internet cafe have to pay a yearly licens fee like a bar pays to get a licquar licens /// in sted of closeing them and puting 16000 people out of work and then haveing to pay them unemployment/ moor debt 4 the state / and as far as the casinos i have seen people come in an internet with 20 dollars get a lot moor then decide to go to hard rock // compatison is good 4 bueness/ thats why you see home depot and lows close to each other/ or bugreking and mcdonalds//publicks and windixy
internets and casinos can co exsit and be good for one another and with the right set up the state and local goverment can make money also
Dave Swanson
9:02AM MAR 28TH 2013
To all Florida representatives:
You do realize that Florida has more “Gentlemen’s Clubs” per capita than any other state, right? And that these places are blights on the community, are they not? And that they exploit young women, as well? And that they are a cash business with no accountability as to where the cash goes, right? As well as being havens for drug use and semi-prostitution.

Yet in your opinion, internet cafes where folks go to spend some time and money enjoying themselves, of their own free will, without exploiting anyone, ought to be banned. It's okay for a seedy strip club to exploit young women, collect thousands of dollars in cash per night and under-report their earnings. But an educated adult cannot decide for themselves where to spend their time and hard earned money?

I think you need to get your priorities straight.
Robert
8:32PM MAR 27TH 2013
I worked at an Internet Cafe for 8 months in St Lucie County. This particular cafe paid out cash winnings. No gift cards were offered. During that time working there, there were several hundred regular customers that became obssesed with gambling. That's right, the Pot of Gold, black jack, super doulble up gambling games were being played over and over again by these customers. Gambling for many of these customers became an addiction. I got to know many of these customers personally and felt sorry for them because winning more became a compulsive thirst. Like alcoholics. This place was also being run illegally. It was an internet cafe so the internet had to be up and running for the place to be legal. The manager didn't even pay the internet bill for two months. So in essence, it was illegal to play the games. There was also on one occasion, a prostitute hanging around the place looking for customers. One of the employees even paid the prostitute for her services. Even employees were having relations with each other. It was time for me to quit.
I say clearly, ban them totally. Seniors can go to the major casino's if they are so obsessed with their gambling addictions.
Now Unemployed
10:47AM MAY 21ST 2013
LOL, do you realize how you sound... did you really quit or get fired? Did none of the employees want to have a relationship with you? Pathetic
Not Yet 50
7:02PM MAR 26TH 2013
I am over 30 and not yet 50. I am tired of politicians claiming to protect "vulnerable seniors" with this legislation. First of all, they didn't care at all until they were caught with their hand in the cookie jar (campaign donations from internet cafes). Second of all, the seniors I see at my local cafe are having a good time, socializing, some come for the half decent lunch and milk out their $10 daily limit, etc. There are a few with gambling addictions but the cafe is not the problem because those same people would blow their money on the dog track or lottery tickets or what-not.

I am not a senior but I enjoy going to the internet cafe to unwind after work. I, like most people, set a limit and don't go crazy. I enjoy my time there and it is no different than spending the same amount going out to see a movie, a play or visit a theme park. I don't smoke, don't drink, hate bars, don't live vicariously through kids, so what is an adult in my age bracket supposed to do if they have been to the beach, don't want to be a bar fly or a gym rat and don't like wandering around in a mall? I like my internet cafe. Now, there are some bad ones and some that seem predatory and they need to be weeded out, but they could do that without killing them all. Let the good ones continue and get rid of the bad ones. Claims of blights on neighborhoods is quite bogus when my local county grants a million permits to check cashing storefronts, liquor stores and other seedy enterprises that cater to the fringe element much more so than any internet cafe.
RALPH
5:54PM MAR 23RD 2013
Thanks for addinng me and at least 2000 others to unemployment line and not to metion the tax revenue loal state and fed but im sure the gov will find a way to make it up
BOB CORNELIUS
10:52AM MAR 21ST 2013
They need to close and many posts are clueless to the damage they are causing. NO GA... they actually can cheat...they prey on the addicted gambler whom cannot control there addition. Thrust me I go and see the same faces everyday (including mine) that support these bandits. I feel bad for the workers THAT are not aware of the shut off switch on an individual account to drain their money and keep the trying to win.I could go on and on about the troubles they cause verses the relaxation for seniors,but it's not worth it. Once the doors are shut you will find out how they ALL cheated...I know,I seen,I did.....
Now Unemployed
10:50AM MAY 21ST 2013
They are predetermined Bob there is no magic button LOL Talk about what you know. You have obviously been grossly misinformed.
Now Unemployed
10:52AM MAY 21ST 2013
Or Bob, you have no self discipline and are a sore looser.
Linda Walker
2:12PM MAR 20TH 2013
Since the Florida State Represenatives proport that they want a small government and help small businesses thrive, it is very ironic that they are stiffling competition. Why is the lottery legitimized? Why is bingo allowed, raffles? How about the dog tracks and poker rooms and the casinos? I guess their lobbyist have finally ones. Why not leave it up to the voters and put it on the ballot?
anonymous
12:59PM MAR 20TH 2013
reguardless of the law there will always be people who get around it and make a semi legal version to keep going use sweepstakecafes.com to list sweepstakes you know are legal in your area and give people the information to find a place to play. Keep the shady vegas style non-compliant stores to your self but share the legal ones with everyone so people know where to go
Mike Long
12:12PM MAR 20TH 2013
Florida is going to act on the opinion of select few just like NC did.
Sweepstakes cafe's do not hurt anyone.
They are a safe meeting place for those looking for a little social entertainment.
You are going to put thousands of people out of work not to mention the economic impact they have on the area. (buildings rented, utilities, snacks they provide for customers, TAXES etc...)
Tax them more and leave them alone.
Bonnie
7:57AM MAR 20TH 2013
I think we should all have a "knee jerk" reaction and vote them all out of office. They seem to forget they are representing registered voters.
Now Unemployed
10:53AM MAY 21ST 2013
Your so right Bonnie!
Laura Berry
7:50AM MAR 20TH 2013
This is not right. You are depriving seniors of a quiet place to socialize and enjoy the games. I frequented places in Plant city.These internet cafes provide a nice quiet smoke free alternative to the stinking stench of the smokey casino's at the Hard Rock in Tampa.
joe senay
7:34PM MAR 19TH 2013
screw you narrow minded buzzards ! YOU CANT THINK ON YOUR OWN YOU NEED TO BE PROMTED ON EVERY DECISION YOU MAKE ! these 777 places are great entertainment for our elder population---a great place to relax for our working class---something to do with a chance of winning in this no win world---tax em but leave em alone---they keep lots of people working for a living !
Alberto
6:48PM MAR 19TH 2013
This is really ridiculous, considering the amount of sweepstakes that there are and this comment is really dumb

Brian Pitts, Justice-2-Jesus: "The reason you need to do this bill is because Internet cafes are taking advantage of people who don't know they're being taken advantage of."

please let me know how they are being taken advantage of, these places dont FORCE anyone to do anything, you come in you play WIN OR LOSE, you leave, Just because one place screws it up, does not mean that everywhere else the same thing is going on. The fact is, there needs to be an ongoing investigation of all the other places, you cant just shut people down for ASSUMING they are doing something illegal. You need HARD PROOF that EVERY SINGLE place is doing the same thing.
nick endrson
5:33PM MAR 19TH 2013
Befor banning internet cafe government and senetors have to look and do further investigation how many people loose their jobs and how many family loss income. also many senior citizan only come to florida because sweepstakes cybercafe now they might think in next season before go to florida it is going to hurt florida economey very badly.
Neil Lattz
3:58PM MAR 19TH 2013
Why are scratch-off lottery tickets legal there then? Because they have pre-determined wins/loses.

If I can walk into a gas station and buy $1000 in lottery tickets, it's the same thing. A predetermined win/lose that I choose to play.
Mark Venables
3:53PM MAR 19TH 2013
This is wrong on so many levels. How does a government issue licenses and collect tax from a business they deem illegal. The effects of this ban goes far beyond that of just the sweepstakes cafes themselves. They have many suppliers that will feel the effects - The food and beverage services they use, the $millions in prizes they purchase to give away (Cruises, TV's, Spa treatments etc...) The millions lost in income tax, the millions it will cost in unemployment, millions lost in tax on the profits these places show, millions lost on the rental income they produce for real-estate companies and so on.
Richard Smith
10:57AM MAR 19TH 2013
This is a total bunch of crap, why did you let the owners invest hundreds of thousands of dollars in equipment, and let them start a business,telling them in the beginning they were legal, and now you decide they were operating within a loop hole, that you gave permission too, baloney!

How much investigation has went into the Florida Lottery?
why is it every year, the schools hit the parents up to pay for band uniforms, school trips etc, if the Lottery is benefitting these schools, why are they struggling so much, who knows what they are doing with the money also, Your bill HB 155, also staes that's all electronic gambling device are illegal, that would involve Hard Rock cafe as well, seems to me your bill is full of holes, and thanks for ruining a place for the older people to socialize, and putting 13,000 people out of work, nice job our Fl senate in action, guess who's getting voted out when their time comes!
Now Unemployed
10:40AM MAY 21ST 2013
LOL Richard... I guess Internet cafes have hurt lottery sales, scratch off sales...etc.... because they not only charge school taxes to our seniors (whom no longer have school age children), But, they have taken band and art out of the schools. We are competition for Hard Rock...LOL I have a hard rock card...I get emails almost every day. 10x's the points 100x's the points free this free that Those free things are BS. And They say internet cafes have caused a reduction in their customer base. Hell they are not seeing less customers. They have the same they are not full to capacity because they keep expanding. I am sickened by the whole ordeal. And, my girls and I miss our patrons. We were like a family reunion everyday, though none of us really related.
Richard Smith
11:01AM MAR 19TH 2013
You wouldn't even consider regulating the businesses, it appears they were too uch competition for Hard Rock cafe, so you're eliminating the problem by shutting them all down, well I can tell you I will not travel 30 miles, to travel to Hard Rock just to lose, that place is a joke as well, maybe you should investigate the fingers that operate that business as well, unless you're afraid of what you will find out!
lisa lussier
8:35AM MAR 19TH 2013
i play games @ these places. I do not play to win anything...i play for my own personal enjoyment and relaxation. No different that playing Facebook games..except they serve coffee and snacks and provide a lovely atmosphere...
weesley
1:40PM MAR 26TH 2013
WHY would you play if you have never won anything?! That is absurd! If you feel so generous, please go to a homeless shelter and spend it there. Yours is the kind of mentality these places cater to. The blissfully ignorant.
Now Unemployed
10:27AM MAY 21ST 2013
She didnt say she never won. Your statement was the most ignorant one so far." Yours is the kind"... what is that like "YOU PEOPLE"? We catered to everyone...Our patrons came for us as well as computer services. You honestly sound like you have too much time on your hands. Find something you know about to comment on Weesley! weasle
Now Unemployed
10:59AM MAY 21ST 2013
And, Brian Pitts was it your intention to call people stupid? Thats what you have done. Get a life.

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