Competing Groups Chase Arkansas Casinos

Two groups in Arkansas are pursuing proposed constitutional amendments to allow casino gambling. Arkansas Wins just filed its proposed ballot language with the state attorney general's office, which recently rejected Driving Arkansas Forward's ballot language for the third time. Driving Arkansas Forward said out-of-state interests dominate Arkansas Wins in 2018.

The group Arkansas Wins in 2018 Inc. recently filed paperwork with Arkansas Attorney General Leslie Rutledge’s office to launch a campaign for a proposed constitutional amendment allowing casinos in Benton, Boone, Miller and Pulaski counties. The attorney general must approve the language of the proposed amendment before supporters can start a petition drive toward placing it on the November ballot.

Another group, Driving Arkansas Forward, recently was informed Rutledge rejected its proposed ballot language for the third time due to “ambiguities.” That group is seeking to place on the ballot an amendment to allow four casinos in Arkansas—in Jefferson and Pope counties, and at Oaklawn Park in Hot Springs and Southland Park Gaming and Racing in West Memphis where electronic games of skill are allowed.

If the attorney general approves the language of one or both proposed ballots, sponsors must submit 84,859 valid signatures of registered voters by July 6, according to the secretary of state’s office.

In October 2016, the state Supreme Court rejected the ballot title for the proposed amendment promoted by the Arkansas Wins in 2016 and Arkansas Winning Initiative ballot committees. The amendment would have authorized casinos in Boone, Miller and Washington counties.

Opponents of the current amendment backed by Arkansas Wins in 2018 said the proposal once again involves out-of-state interests. Former state Rep. Nate Steel, counsel for Driving Arkansas Forward, said, “Arkansas Wins in 2018’s proposal is an assault on Arkansas from the same out-of-state group that has tried and failed before. Just like last time, the sponsors are attempting to award themselves casino licenses by writing their own property interests into our constitution.”

On the other hand, Steel said, “The Driving Arkansas Forward amendment gives communities a real voice in the process and ensures a transparent, merit-based selection of casino operators. It also recognizes and protects two great Arkansas institutions, Oaklawn and Southland, that have created hundreds of jobs and millions of dollars in tax revenue for our state.”

An attorney for Arkansas Wins in 2018 Inc. declined to respond to Steel’s statement. “I don’t have any comment on anything that Arkansas Driving Forward has to say,” he said.

Both sides of the 2016 casino amendment issue spent more than $2 million on television ads.

The Arkansas Wins in 2018 proposal would create a 5-member commission appointed by the governor to regulate the casinos; tax net casino revenue at 20 percent annually; and direct 70 percent of the revenue to a state highway fund and 30 percent to other programs and local governments.

The Driving Arkansas Forward proposal would create an Office of Casino Gambling in the state Department of Finance and Administration to regulate casinos; tax net casino gaming receipts at 12-22.5 percent; and direct 52.5 percent of tax revenue to a state highway fund and the remainder to other programs and local governments.

Family Council Action Committee Director Jerry Cox said, “What you have is these people that want to make money off of poor people here in Arkansas dressing up their measures by claiming they’re going to be doing something benevolent for the people of Arkansas like build a road or some other things. The reality is they’re just looking at how to make money at our expense.”

Standalone casinos are illegal in Arkansas, but a state lottery, video poker, charitable bingo and racetrack wagering are allowed.