Leggett supporting slots referendum
Gambling foes press on as racing interest ponies up $2 million
Despite suffering setbacks last week, opponents to expanded gambling in Maryland will continue their "free press strategy" to fight a Nov. 4 referendum to legalize slot machines.
Recently, Montgomery County Executive Isiah Leggett announced his support for the slots referendum, and slot machine supporters received $2 million toward the campaign.
The pro-slots money comes from Canadian-based MI Developments Inc., which authorized its subsidiary Magna Entertainment, owner of Laurel Park in Anne Arundel County and Pimlico Race Course in Baltimore, to use part of a bridge loan toward supporting the referendum's passage.
Meanwhile, the anti-slots campaign so far has been limited to news conferences, rallies and editorials in newspapers across the state.
"We can't take a much different tack because we don't have $2 million," Scott Arceneaux, a senior adviser with Marylanders United to Stop Slots, said during an interview Monday with Gazette editors and reporters in Gaithersburg.
"There's no money in being against slots," he said. "There's money in being for slots."
Leggett (D), who had long opposed slot machines, released a statement Thursday affirming his support for the slots vote.
"Due to a lack of other viable options, the certain impact of cuts on the poorest and most vulnerable in Montgomery County and throughout the state, and the need for additional resources for education, transportation, public safety and human services — reluctantly, I will cast my vote for the ballot measure," Leggett wrote.
Leggett's announcement comes after months of speculation that the executive had changed his mind. Leggett repeatedly has said the current economy has left state and county leaders with few options to balance their budgets aside from major cuts.
"… I believe such cuts would especially impact the poorest and most vulnerable in our midst," Leggett wrote. "If protecting those families requires revenue from slots — in the absence of other viable alternatives to budget cuts — then I believe a vote in favor of slots is the preferable position to take."
Of Leggett's announcement, Arceneaux said: "It's disappointing. And it'll certainly help the pro-slots side."
If approved in November, 15,000 slot machines will be located at five locations in Allegany, Anne Arundel, Cecil and Worcester counties and Baltimore city. Legislative analysts project the machines eventually could generate nearly $919 million. Of that, a projected $660.4 million would go to an "Education Trust Fund" that would pay for school projects and programs.
Much of the rest would go toward slots operators and the horse racing industry, say opponents, who dispute the revenue projections as inflated and say the long-term costs of gambling addiction and other social ills outweigh any additional revenue slots would bring.
The state would experience its first significant revenue in fiscal 2011, which begins in July 2010. Although the revenues would not be available to help plug the state's $1 billion deficit and the county's $250 million gap next year, supporters say slots could prevent these types of future shortfalls.
Referendum supporters gained the Greater Baltimore Committee, the city's chief business and civic group, as an ally last week. GBC President and CEO Donald C. Fry said the state's triple-A bond rating, which allows Maryland to borrow money at the most favorable rates, also could be jeopardized if slots revenue is not available to shore up the budget.
What the opposition group lacks in money it has in support from clergy, including from the African Methodist Episcopal, Southern Baptist and Adventist churches.
"We have as close to 100 percent as you can get with African-American churches in Prince George's County against slots," Arceneaux said.
If voter turnout is high Nov. 4, Arceneaux said he expects that it will favor Sen. Barack Obama (D). That might not necessarily favor the defeat of the slots referendum, Arceneaux said.
"I don't know if they're going to make it all the way down the ballot for us," he said.