Kentucky Attorney General Andy Beshear recently said lawmakers should consider legalizing expanded gambling to resolve the state’s pension crisis, rather than passing SB 1, the proposed pension reform bill, which he said is illegal. In a 6-page letter, Beshear recommended legislators “consider legalizing expanded gaming. By doing so, you can create a dedicated revenue stream that will begin to address the unfunded liability, and will do so without raising taxes.”
In the letter, Beshear also listed the most “serious” ways the bill violates the “inviolable contract” between the state and public employees.
Republican legislators said SB 1 will save taxpayers $4.8 billion over the next 30 years. Lawmakers worked on the bill for several months, following an original plan unveiled by Governor Matt Bevin, a fierce political rival of Beshear. Bevin has noted he would not support legalizing casino gambling or marijuana to solve the pension crisis; he said he does not believe the benefits of expanded gambling would offset “the societal costs.”
Some lawmakers, however, are considering expanded gambling as a way to bring in more revenue. House Bill 229, which would amend the state constitution to legalize casino gambling, was filed In January.
Beshear’s father, former Governor Steve Beshear, supported casino gambling and campaigned to legalize it when he ran for governor in 2007. He tried but failed to get a constitutional amendment passed allowing legalized casino gambling.
