County leaders favor taxes over slot machines at rally
But without slots, cuts loom, gambling supporters say
Laurie Dewitt/The Gazette
College students from Baltimore hold a pro-slots sign during an anti-slots rally Monday in Rockville.
|
County Councilman George L. Leventhal (D-At large) of Takoma Park led a group of four council members and a number of state senators and delegates in denouncing the state-sponsored gambling and the slots referendum set for the Nov. 4 ballot.
Reading from a 2005 report from then Attorney General J. Joseph Curran Jr., Leventhal cited the negative aspects of gambling listed in the report, including increased crime rates, domestic violence, child abuse and addiction.
"I am against any strategy and economy where you've got winners and losers," said State Sen. Jamie B. Raskin (D-Dist. 20) of Takoma Park. "[Slots] can produce real devastating consequences for families … We'd be sending a poor message to our children."
Monday's anti-slots announcement continues the tradition of many county leaders and residents who have long opposed slot machine gambling.
Their objection this week adds to the heated debate over the slot machine referendum. Voters will decide whether to allow 15,000 slot machines at five locations in Allegany, Anne Arundel, Cecil and Worcester counties and Baltimore City.
"Slot machines are the crack cocaine of gambling. For every dollar earned, a $3 cost is linked to it," said Rebecca B. Wagner, executive director of Interfaith Works, a collection of faith groups that perform charity and advocacy work for needy county residents.
The machines are expected to generate about $700 million a year in revenue for the state, money which slots supporters — including Gov. Martin O'Malley — say will help erase the state's future deficits, pay for citizen services and continue paying for counties' teacher pension costs. If approved in November, the state is expected to experience its first significant revenue in fiscal 2011, which begins July 2010. Although the revenues would not be available to help plug the state's $1 billion deficit and $250 million gap next year, supporters say slots could prevent these types of future shortfalls.
"The promise of easy money is a false promise," Senate Judicial Proceedings Committee Chairman Brian E. Frosh said.
State revenue would be diminished by $100 million, which would go to the horse racing industry, said Frosh (D-Dist. 16) of Bethesda.
Instead of throwing money at a plan "unworthy of the Democratic Party" state leaders should work on a plan of tax increases to generate additional money for the state, County Councilman Marc Elrich said.
Among the list of alternative money-making taxing options, Elrich supports enforcing a 1 percent tax on services such as legal and consulting services. With such a small tax, backlash from companies — similar to the outcry over an overturned computer services tax this year — should not occur, he said.
A report is expected soon from state lawmakers assigned to study several of the tax increases mentioned at Monday's announcement.
But the tax increases are not acceptable alternatives and will be challenged, said Steve Kearney, a slots advocate.
Kearney, former spokesman for O'Malley, attended Monday's announcement with a handful of slots supporters, including one supporter holding a sign telling reporters to "Ask [the lawmakers] what they will cut? Education? Healthcare?"
"If not slots, where do you cut?" Kearney asked. "They are already talking about cutting bus routes and furlough days [in the county]. How are they going to pay for everything?"
The nine-member County Council has not taken a vote or position on slots or the referendum. Takoma Park and Rockville City councilmen said their council's would probably vote on the issue within the next few weeks.