Nebraska Governor Pete Ricketts recently announced his opposition to three petitions that would expand gambling in the state. Ho-Chunk Inc., the economic development arm of the Winnebago Tribe and its partner, Keep the Money in Nebraska, began gathering signatures in October to place the proposals on the November ballot. Ho-Chunk wants voters to authorize casinos at licensed racetracks.
Nebraska allows keno, horse racing and a lottery, but voters have resisted casino gambling, most recently in 2004 and 2006.
One ballot proposal would amend the state constitution to let voters determine through ballot measures if casinos should be legalized. The second proposal would change state law to officially allow casinos and also establish a Nebraska Gaming and Racing Commission. Under the third proposal, casinos would pay a one-time state licensing fee of $1 million and 20 percent of gross gambling revenue, with 75 percent going to the state and 25 percent to the casino host city.
“Now the reason I’m against casino gambling here in Nebraska is quite simple: it’s bad for people. If you look at the social effects of casino gambling, you see increased child abuse, increased spouse abuse, increased embezzlement. You can’t collect enough tax dollars to make up for it,” Ricketts said.
Keep the Money in Nebraska spokesman, former state Senator Scott Lautenbaugh, said casino gambling would generate $90-$100 million a year in tax revenue for local and state governments. He noted Nebraskans spend $500 million on gambling in Colorado, Iowa, Kansas, Missouri, South Dakota and Wyoming. Lautenbaugh added the group already has more signatures on the petitions than they expected by now. Signatures for each proposal must be submitted by July 7.
Pat Loontjer, executive director of the anti-gambling group Gambling With the Good Life kicked off its campaign against the ballot measures at a news conference attended by Ricketts and former Husker football coach and U.S. Rep. Tom Osborne. “Gambling has a fallout which affects lots of people who are relatively innocent. So, if you have somebody in your family who is addicted to gambling, it affects everybody else in the family and particularly children,” Osborne said.
Loontjer noted, “So, it’s been 10 years since we’ve launched a full statewide campaign to oppose a ballot issue. But, this year we are facing a million dollar campaign funded by the Winnebago tribe to change our constitution and will allow unlimited casinos throughout the state.” She added the organization cannot afford to compete with the Ho-Chunk-financed the petition drive. She said the group will voice opposition through coalitions of religious organizations, citizens, state and business leaders.
Also at the news conference, former Congressman and Omaha Mayor Hal Daub said the petitions’ wording is intentionally confusing. “If these petitions are passed, the floodgates will be opened to unregulated, untaxed slot machine gambling, not only for Native American casino proliferation, but for out-of-state profit casino operations,” he said.
Meanwhile, state Senator Tyson Larson has sponsored LB 970, which covers fantasy sports, raffles on weather events, keno and pickle cards. O’Neill said, because of the short legislative session, “This really is in essence of time to make sure these important issues can get done.” Larson said the bill would benefit nonprofit groups that want to use lotteries as fundraisers, cities that use keno funds for park improvements and Nebraskans who already play fantasy sports games. “We don’t want to make 300,000 Nebraskans criminals,” he said.
The measure would define fantasy sports contests as legal games of skill and require fantasy sports operators to pay a $50,000 registration fee and annual $10,000 renewal fee. The bill would require fantasy sports operators to verify participants are at least 18, among other protections. The bill also would let nonprofit groups to use lotteries and raffles based on the timing of naturally occurring weather events. Also, it would allow keno players to use debit and credit cards instead of just cash for games.
State Senator Ernie Chambers said he will “run the clock” by filibustering the measure, which he called a “Christmas tree bill.” He said, “If you favor more gambling, even if you pass this bill you won’t get it, because I assure you it is unconstitutional.”
