Georgia Governor Nathan Deal recently told the Atlanta Journal-Constitution he plans to actively oppose any gambling legislation. In fact, Deal said, “Don’t bet on it” when asked if he planned to continue to not take a stance on gambling despite his personal opposition.
Said Deal, “I will make my position very clear to the members of the general assembly and I would hope they would recognize that we have so many good things going for us in the state of Georgia. This is not something I view as positive. I do not think it improves the quality of life for our citizens. And in my opinion it has very little redeeming value.”
Observers said Deal’s new position may have been triggered by casino mogul Sheldon Adelson of the Las Vegas Sands Corporation, who made an unannounced visit to Georgia last month. Deal was out of town, but Adelson met with House Speaker David Ralston and Lieutenant Governor Casey Cagle. Last year Adelson met with Deal during the governor’s re-election battle, but he did not contribute to Deal’s campaign. Deal said he told Adelson he did not want casinos in the state. “And his comment back to me was that he didn’t, either, and that he would oppose any effort in our state. Obviously something has changed,” Deal said.
Deal said might change his mind regarding casinos if the gambling industry would accept a significantly higher tax rate than the currently proposed 12 percent. “If they’re willing to put anywhere from 24 to 35 percent of their gross revenue into education as the Georgia Lottery does, that will be a totally different proposition. I don’t think we’re going to see any of them take us up on the offer.” Proponents estimate the state could take in an additional $280 million annually in gaming tax revenue at the current rate.
Despite record profits from the Georgia Lottery, the state’s HOPE scholarships and pre-k programs are struggling to keep up with demand. The lottery returns about 25 percent of ticket sales to education, although state law encourages the agency to return about 35 percent.
Under the current gambling proposal, voters statewide could determine a constitutional amendment to legalize casino gambling as early as 2016. The other part of the proposal involves “enabling” legislation addressing rules and regulations.
The casino industry already has hired more than a dozen lobbyists to work the Georgia legislature. MGM Resorts International has pitched a $1 billion casino complex in downtown Atlanta, one of the largest metropolitan areas without casino gaming. President and Chief Operating Officer for MGM National Harbor in Maryland Lorenzo Creighton said the company “has the highest respect for the thoughtful process taking place in Georgia. It is ultimately a decision for Georgians.”
Meanwhile Deal’s comments are sure to have an impact. State Rep. Matt Ramsey, chairman of the House study committee reviewing gambling in the state, noted, “I don’t know that there’s ever been an issue in my nine years as a legislator that everybody didn’t pay attention to what the governor said.”
