Florida Court Ruling Could Open Up Slot Market

A Florida appeals court last week ordered state gaming regulators to issue a slot license to a North Florida racetrack that features rodeo style barrel racing (l.). The court said because voters in Gadsden County approved the move, regulators must issue the license. The decision could have far-reaching implications for the gambling debate in Florida.

With politicians continuing to debate the future of gambling in Florida, a state appeals court has thrown a monkey wrench into the works. Last week 1st District Court of Appeal ruled 2-1 that the a state regulator must issue a license for slot machines to Creek Entertainment Gretna, which opened a barrel-racing course in 2011. The facility offers flat track horse racing, simulcast betting and poker, as permitted by state law. But when voters in Gadsden County authorized slots, the Department of Business and Professional Regulation refused to issue a license, and Creek sued. The refusal was based on a legal opinion by Attorney General Pam Bondi that state legislators did not mean to expand slot machine gaming beyond Broward and Miami Dade counties, which were authorized to offer racetrack slots in a 2004 constitutional amendment approved by the voters.

Judge Robert Benton ruled that regulators did not base their denial on any errors or omission in the application and instead relied on Bondi’s interpretation. Gadsden County, he said, was allowed to hold the referendum under a wide-ranging law passed by legislators that authorized the current agreement with the tribe.

Judge Scott Makar, who worked for Bondi at the time of the ruling, disagreed.

“The alternative view, which would restructure the statute and change its meaning to allow slot machines to be deployed on a statewide basis without any clear authority to do so, is inconsistent with principles of statutory and constitutional construction, legislative intent, and the history of laws prohibiting slot machines in the state,” Makar wrote.

The court has asked the Florida Supreme Court to make a final decision. It’s not clear whether the Creek facility will be allowed to install slot machines while waiting for that ruling. The facility is located 25 miles west of Tallahassee.

Currently, only the Seminole and Miccosukee tribes, along with parimutuels in Broward and Miami Dade counties are permitted to offer slot machines.

A state compact that allows the Seminoles to offer table games is up for renewal this year. The tables will have to shut down at the end of the year if a new compact is not signed. Surely this decision will weigh on the minds of legislators considering the compact.