Politics

Voter Approval for Casinos, Closure of Internet Cafes Among Revamped Resort Bill

By: Jim Turner | Posted: January 4, 2012 3:55 AM
Ellyn BogdanoffSen. Ellyn Bogdanoff | Credit: myfloridahouse.gov
County-level voters across Florida would get to decide if they want to expand gambling in their community -- from slot machines to mega-casinos -- under changes proposed to the highly watched destination gaming bill now before state legislators.

Sen. Ellyn Bogdanoff, R-Fort Lauderdale, is expected to amend her 166-page destination gaming bill by the end of the week that would:
  • Subject casinos, valued at $2 billion each, in Miami-Dade and Broward counties, to voter approval.
  • Seek to close the 1,000 Internet cafes that have opened with little regulation throughout the state by prohibiting “simulated gambling devices” and “simulated gambling displays” that are used to offer sweepstake, bingo, raffle or other prizes instead of cash.
  • Allow existing pari-mutuel facilities in Florida to offer slot machines and table games, if approved by county voters. The pari-mutuel would also have to invest at least $100 million on the facility within three years of receiving a limited gaming license.
  • Reduce the tax rate on slot machine revenue at pari-mutuels from 35 percent to 18 percent.
  • Prohibit new jai alai frontons and racetracks from opening after July 1. The state would have to buy back existing but dormant permits that have been approved.
  • Prohibit barrel racing at all but the existing Gretna Racing facility west of Tallahassee where the licensed races started in December. Even there, by July 2013 the voters of Gadsden County would have to agree to keep the races.
  • Create a seven-member Florida Gaming Commission, located in Leon County, with members paid $125,000 a year. The chair would receive $135,000. Appointed by the governor, each member would serve four-year terms. To create staggered terms, three members of the first board would receive two-year terms.
  • The changes would, by omission, maintain the Florida lottery as a separate entity. Bogdanoff had previously suggested moving the department under the umbrella of the commission.

Bogdanoff has asked members of the Senate Regulated Industries Committee to comment on the changes. The committee has held two meetings on the bill and is expected to take a vote on the proposal shortly after the regular legislative session begins on Jan. 10.

“I believe this strikes a balance,” Bogdanoff stated in the letter to the committee. “I have tried to address our existing businesses, shut down loopholes, substantially reduce the number of locations that offer gaming, and shift the type of gaming to attract international tourists and provide increased economic development through conventions, trade shows and international tourists.

“Last but not least, you will note that every form of gaming in every county will require a referendum,” she added. “Those that argue that the public does or does not want gaming ... the public will have the last word.”

Bogdanoff’s bill, SB 710, initially proposed establishing a statewide gaming commission and allowing the construction of three mega-casinos that would be required to pay 10 percent of revenue to the state.

The bill has received criticism from members of the committee for failing to tackle growing Internet cafe businesses, where “sweepstakes” are offered as substitutes for cash prizes, and complaints from existing pari-mutuel operators that pay 35 percent of their revenue to the state.

The bill, with its House companion HB 487, sponsored by Rep. Erik Fresen, R-Miami, is also opposed by large sectors of the business community, including Disney, the Florida Chamber of Commerce, and the Florida Seminoles.

The tribe has a compact with the state that limits gaming options the Seminoles can offer at casinos in Florida, while paying at least $250 million to the state  in exchange for the state limiting where slot machines and other Las Vegas-style games are allowed.


Comments (9)

Rich Franzen
1:59PM JAN 4TH 2012
You legislators gamble on our future every day we just want a piece of the action
Sgt Paine
1:55PM JAN 4TH 2012
Speaking of voter approval, if you guys don't get this done and start adding some jobs to this economy there's gonna be a lot of voter disapproval going on and you're not gonna like it
JohnnyBGood
12:57PM JAN 4TH 2012
the parimutuels should be happy getting their tax rate dropped. Its a good thing to have the gambling businesses regulated - should have been done a long time ago.
Carlos Sanchez
12:01PM JAN 4TH 2012
Good. Those are needed changes that will make it easier for the legislature to approve the gambling Bill.

If the Legislature doesn't approve florida casino's, then the people will vote for it during the next election.

The parimutuels should be happy with a decrease in their taxes. Hopefully the new changes will satisfy the detractors. I think it's a good deal for everyone.
MHammer
11:21AM JAN 4TH 2012
Tax the Seminoles and other Indian Tribes equally - they need to be regulated too. Seminoles steal from their own people as well as this state. The only people getting rich in the Indian Tribal gaming industry is the Chief and his henchmen and lobbyists. The state gets shafted!
Sasha M1968
11:18AM JAN 4TH 2012
OK enough already. Politicians need to get it straight. Voters are tired of their flip-flopping and their continuous lies just to win their next campaign. As a life-long Republican, I've lost faith in the Party and their ability to accomplish anything for their constituents. We need to pass this bill to get these destination resorts built so we can create the jobs needed, limit gambling expansion, improve infrastructure, increase tourism and just generally get the economy back on track for this state. We cannot wait another 4 years - the time is now.
Save FLA
11:10AM JAN 4TH 2012
Internet Cafes are what has created Florida into the 4th largest gambling industry in this country - they should be closed down. 2 or 3 destination resorts are not the problem with gaming expansion - it's more because of these 'cafes' and just take a look how many casinos the Seminoles seem to continuously pop up all over the state... and without any 'rules.' The state suffers with the lack of revenues from these facilities. Time for a change!
Fear Not
11:04AM JAN 4TH 2012
I'm a conservative and FLA resident for over 20 years. I support gaming in our state. However, Florida has needed gambling regulation and oversight for many years; therefore we need a bill and a government body to regulate the industry. The Seminoles are not regulated and are probably ripping-off the state in revenues every day. They too should be regulated and pay an equal amount of tax!
MHammer
11:28AM JAN 4TH 2012
I use to like former Gov. Charlie Crist until he and his side-kick Sen. George LeMieux underhandedly signed that compact with the Seminoles for exclusivity while crushing the pari-mutuels.