Alabama Senate Committee Clears Lottery Bill, May Reconsider Casinos

Alabama state Senator Jim McClendon (l.) has introduced a bill that authorizes a state lottery, with tickets sold at stores, kiosks and a phone app. Alabama is one of five states without a lottery.

Alabama Senate Committee Clears Lottery Bill, May Reconsider Casinos

The Alabama Senate Tourism and Marketing Committee recently approved SB 319l, sponsored by state Senator Jim McClendon, that amends the state constitution to allow lottery sales at retail locations, self-service terminals and online. The bill would also introduce a state lottery commission. Committee Chairman Del Marsh said added legislators might revive legalizing casino gambling along with the lottery debate. The committee also approved legislation that would establish a gaming commission to regulate casinos. Marsh said, “You have members who want to see a more comprehensive gaming package and those who do prefer a simple lottery. All we did today was keep both alive.”

McClendon’s bill follows the Senate defeat by two votes of Marsh’s proposal to allow a state lottery and up to 10 casinos. McClendon’s bill would authorize a lottery where tickets could be sold at stores, kiosks and through a phone app. “My goal is to allow Alabamians to play whatever games they are traveling out of state to play. The people will have the opportunity to vote on and see if they would like a plain and simple lottery. It doesn’t address slot machines. It doesn’t address church bingo,” McClendon said.

Alabama is one of five states without a state lottery. Marsh said he believes voters want the legislature to address gambling now. “The people of Alabama want to vote on something dealing with gaming, whether it is a straight lottery, whether it’s a comprehensive package,” Marsh said If McClendon’s bill is enacted, the issue also would have to pass a statewide referendum.

House Speaker Mac McCutcheon noted, “At the end of the day, it’s more complicated than just a simple lottery.” He referred to the fact that lottery bills have become caught up in the larger issue of gambling. That’s because of concerns over how state law would have to change and what how would impact operators of electronic bingo machines, which often resemble slot machines.

Marsh said he’ll present his comprehensive gaming bill when legislators return from spring break on March 30. He said one reason his earlier bill failed to reach a three-fifths majority by two votes was that he didn’t make the enabling legislation available. He said, “If you remember, the claim of the defeat was that the enabling legislation that had been introduced had not been timed for people to look into it enough to determine if they like the enabling legislation. So, now that the enabling legislation is introduced. It will have been out there a week by the time we get back. That was the issue with a couple of members, and that’s gone. So we may get back to a more comprehensive bill. But either way, I think the people of Alabama deserve something to make a decision on in November of ’22.”

Marsh continued, “The enabling legislation deals with things, for instance, like campaign contributions—what’s allowed and what’s not, how the commission works, the rules of the commission. How sports betting would work So, it’s out there. Everybody can see it. It’s on the website. You can look at it, and I look forward to hearing some feedback on that. We can make a decision, when we get back, to proceed based on what the people’s appetite is.”

Marsh stated his goal remains getting a gambling bill out of the Senate; he would leave it up to the House and the governor to determine if they agree with the Senate bill.

Marsh added he regretted not bringing the legislation to an earlier vote when he thought he had the votes to proceed. He explained, “In an attempt to satisfy as many people as I could and to get a strong bipartisan vote, it was an error on my part. I mean, the votes were there early on. I had members come to me and tell me, ‘If I could have voted two weeks before, there’s no doubt I would have supported it. I received certain pressures from home. Issues come up.’ So, that is a reality. That is a danger you run the longer you hold out on a piece of legislation.”

Marsh added, “I will tell you this: If there’s any indication that the votes are there when we return from spring break, I will move for immediate passage of whatever piece of legislation is determined can pass by the body.”

Marsh denied his bill gave the Poarch Creek Indians a “monopoly.” The tribe, which operates gaming venues in Wetumpka, Montgomery and Atmore, would have a monopoly only if it entered into a compact with the state, negotiated by the governor.

“There’s been talk about how this whole attempt has been about giving the Indians a monopoly, which couldn’t be further from the truth. Actually, if you look at the legislation I proposed, it does everything, in fact, to make sure there is not a monopoly. The governor at any time can go into a negotiation and start those negotiations with the Indians,” Marsh said.