Letter to the Editor

Senators: Vote no on gambling

Friday, August 20, 2004

Dear Fellow Nebraskans,

We, the undersigned State Senators, urge you to vote against ALL ballot issues to expand gambling in Nebraska.

Many proponents of expanded gambling perpetuate the myth that gambling revenues equal lower taxes. If this is true, why has Council Bluffs raised both sales and property taxes since the introduction of casinos into their community? In addition, none of the State Senators who fought for Legislative Resolution 11 argued that casino gambling would equal lower taxes. In fact, they admitted it would not. Expanded gambling will also transfer discretionary income from local businesses to casinos and slots, siphoning away profits from local businesses and tax revenues from local and state governments.

It is beyond dispute that casino-style gaming increases the level of crime within a state. Studies show increases in crime will be most pronounced in the areas of robbery, larceny, burglary, auto theft, fraud, and embezzlement. These increases can be linked to problem gamblers trying to obtain money to support their gambling addictions. Escalating crime rates will require increased revenue requests from state and locally funded law enforcement, corrections, and social services. Private businesses will also feel the effects of expanded gambling through increases in lost productivity, increased unemployment-related expenses, as well as the costs associated with embezzlement and fraud.

Even though the Legislature's proposal only provides for two casinos in Nebraska in conjunction with tight legislative control over further gambling expansion in the state, legalized casino (Class III) gambling opens the door for the Native American Nations to build casinos on reservation land. There are four federally recognized Native American reservations in Nebraska: Ponca, Santee Sioux, Winnebago, and Omaha Nations. Native American reservations are sovereign nations and not governed by the same laws as the state in which they are located. Consequently, Nebraska will have very little control or regulatory power over future Native American casino gambling located within Nebraska's borders.

Slot machines and video gaming will result in additional negative impacts on our state. If Nebraska voters approve expanded gambling in November, all 3,000 plus bars and saloons across the state will be eligible for video gaming.

The petition initiatives also permit slot machines at all horseracing facilities and within two miles of Interstate 80 and Highway 81. This puts problem gambling in every city and town in the state. All communities will be required to deal with the consequences of problem gambling. Slot machines are one of the most addictive forms of gambling and provide some of the longest odds of any form of gambling. The expense of dealing with problem gamblers in communities across Nebraska will far outweigh any perceived notion of economic gain. This expense will fall to already cash-starved local governments.

Another negative impact slot machines will have on our state will be the close proximity to all of Nebraska's major institutions of higher learning. At least one casino will be located in Omaha's riverfront development, within one mile of Creighton University. In addition, slot machines will be permitted at State Fair Park, within half a mile of the University of Nebraska-Lincoln. Do we want this to be the image of higher education in Nebraska?

Expanded gambling will cost Nebraska taxpayers more in tax dollars than it will bring in. Studies have shown that for every dollar the State of Nebraska expects to take in from gambling revenues, we will likely spend three dollars of your tax money to pay for increased social costs.

Please join us in voting NO on ALL proposed constitutional amendments regarding expanding gambling on November 2nd.

Sincerely,

State Senators:

Tom Baker,

Chair, Transportation and Telecommunications

Committee

Patrick Engel,

Chair, Executive Board Committee

Carol Hudkins,

Chair, Rules Committee

Jim Jensen,

Chair, Health & Human Services Committee

Bob Kremer,

Chair, Agriculture

Committee

David Landis,

Chair, Revenue Commitee

Ron Raikes,

Chair, Education

Committee

Elaine Stuhr,

Chair, Nebraska Retirement Systems Committee

Floyd Vrtiska,

Chair, Business and Labor Committee

Roger Wehrbein,

Chair, Appropriations Committee

Carroll Burling

Philip Erdman

Mike Foley

Jim Jones

Lowen Kruse

Marian Price

Adrian Smith

Gene Tyson

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