MYTHS ABOUT CASINOS IN MASSACHUSETTS |
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MYTH #1 - Massachusetts is losing billions of dollars to Connecticut casinosSimply untrue. It's estimated that Massachusetts residents contributed approximately $93 million to the Connecticut treasury in CY 2009 as a result of gambling. This is close to the amount we would lose with an expected 10% hit to the lottery. Other costs associated with expanded gambling are seldom factored into gambling export figures. Increased crime, impacts to communities and the need for social services also greatly increase costs. Negative effects on local businesses reduce tax revenue. If tribal casinos are established, there will be further lost tax revenues as well as increased legal costs associated with Indian affairs. MYTH #2 - Casinos will provide thousands of good jobsCasinos will create temporary construction jobs, as will other industries which don't require a new bureacracy to regulate or increace crime and addiction. As for permanent jobs, the great majority of jobs at casinos can regularly be found on the Forbes list of worst paying jobs in America - including that of 'gaming dealer'. Repeal the Casino Deal supports sustainable job creation and economic development. Slot parlor and casino job numbers and incomes have been widely overstated by proponents. According to the 2007 National Compensation Survey compiled by the US Dept of Labor's Division of Labor Statistics the median hourly wage for gaming service employees is estimated at $6.34 per hour with annual median earnings of $13,179 (pg. 13.) Spectrum Gaming soundly refuted the job creation numbers projected in Governor Patrick's legislation to approve three casinos that was defeated in the Legislature in 2008. Economic development continues to be overstated by proponents who never account for jobs lost from businesses that fail due to the all-encompassing predatory nature of casino capitalism. MYTH #3 - The tax revenue from slots will balance budgets, lower taxes and send more money to cities and townsTax revenues from casinos are lower than projected just two years ago due to the global recession and market saturation. Mitigation costs continue to rise. Expansion of government to manage the corporate casino industry that has known negatives such as traffic and public safety, crime, bankruptcy, family violence and other social problems creates enormous fiscal burdens on communities and taxpayers. Massachusetts Attorney General Martha Coakley informed the legislative Committee on Economic Development and Emerging Technologies that other states with regulatory commissions on predatory gambling employ staff of over 500 people alone. Surveillance, money laundering, purchase of technology and personnel alone will consume hundreds of millions of dollars. Local impacts in the hundreds of millions of dollars will either be paid by the state of the local taxpayers. Connecticut Attorney General Blumenthal confessed at a public forum on casinos that the state of Connecticut made a huge mistake through not planning for or adequately mitigating the local impacts. Revenues from CT casinos have been dispersed throughout the state with the host regions starved of needed funds. MYTH #4 - We need to recapture the money going to out-of-state casinosA small percentage of Massachusetts residents gamble in facilities located in other states. The re-capture of these revenues that have been exaggerated to be as high as a billion dollars a year are in reality almost half that figure. The amount of gambling revenue that "goes out-of-state", would be re-captured through taxation at approximately 27% according to past and current legislative proposals. According to a Greater Boston Chamber of Commerce report commissioned in March 2008, if the lottery takes a 10% hit from the introduction of casinos and slots, as it is expected to do, state lottery transferred as state aid to towns and cities will be reduced by about $90 million. Unlike casinos and slot parlors, the lottery returns the vast amount of it's profits directly to cities and towns. Massachusetts cannot afford this hit to the Lottery. Moreover, proximity to predatory gambling increases addiction within a 50 mile radius by double. The costs of managing local increases in addicted and problem gamblers, negaitive impacts to municipalities, air and water pollution, and additional infrastructure, are just some additional reasons to keep casinos out of the Commonwealth. MYTH #5 - Gambling is just another form of entertainmentNot for those who are addicted. The casino industry depends on people "playing to extinction." This is a form of entertainment for some, and a way of life for too many. Massachusetts residents and Legislators reject predatory lending, drug and tobacco predatory marketing and product misrepresentation. Slots are designed to psychologically prey upon the user. Revenues from addicted and problem gamblers have been analyzed by national expert Professor Grinols to provide 70-80% of all revenues. Therefore, the business model is designed to receive profits from addicted users, not "entertainment". "Entertainment" is the cloak surrounding the predatory core of the slot machine product and the business model. "Gaming" became the code word for "gambling" in the industry's marketing vernacular to disguise the core of the business. Gambling by another word is still gambling. Many people signing petitions to put the Repeal qestion on the ballot cited concerns about casinos getting too close for comfort, becoming an easy temptation, for themselves or a loved one already coping with a gambling problem thanks to Connecticut or Rhode Island casinos. Of course, this is just what the gambling industry is hoping for. MYTH #6 - Any new form of revenue is good revenueRevenue is only positive revenue if it is a net profit and does not harm people and society. Predatory gambling revenues do neither. MYTH #7
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MYTH #10 - Massachusetts voters already approved casinosMassachusetts voters have never had a chance to cast their votes on whether they want casinos in our state. After thirty years of debating the issue and subsequently voting not to legalize casinos and slots parlors, the state found itself with three pro-casino advocates filling the three highest ranking seats in State Government - Governor Deval Patrick, House Speaker Bob DeLeo and and Senate President Terese Murray. All of whom, it would later be revealed, did not want a casino anywhere near them. Helping to further grease the skids, the gambling industry pumped $11.4 million into lobbying efforts on Beacon Hill in the five years leading up to the 2011 vote to legalize casinos. Since then, some cities and towns have voted to host casinos, while others have voted no. Residents of surrounding cities and towns, often closely abutting proposed casinos have had no vote whatsoever. MYTH #11 - Casinos don't increase crimeMYTH #12 - We won't able to balance this year's state budget without revenue from casinosMassachusetts budgets have survived without casinos for over 300 years. Connecticut, on the other hand, has been home to the world's two largest casinos for over 20 years and still has trouble balancing it's budget. And, for what it's worth, the city of Detroit, with large three casinos of it's own, managed to go bankrupt. Furthermore, the anticipated $73 million in casino revenue works out to only 0.2 percent of the total State budget. According to Andrew Bagley, director of research and public affairs at the Massachusetts Taxpayers Foundation, the included gaming money is “minimal,” and will have virtually no impact on the budget. “It’s perfectly manageable should those revenues not be available,” Bagley said. “It’s not going to be a problem to balance the [2015 fiscal year budget].” Even Governor Patrick is unconcerned that a Repeal of the casino law could result in less money in the budget. "it's not such a big number that we can't cope with it if things go in the opposite direction," he stated. The inability to balance a state budget without casino revenue is a delibrate invention promulgated by legislators either too lazy or intellectually ill-equipped to seek and implement revenue sources that don't cause harm the citizens and businesses of Massachusetts. Expanded gambling is a gimmick more and more lawmakers across the country are using to fill in budget gaps without making hard choices, justifing regressive taxation (a tax that takes a larger percentage from low-income people than from high-income people) under the guise of harmless entertainment. By creating a dependency on casino revenue, our state becomes a stakeholder in the gambling industry itself, obligated by necessity and self-interest to ensure and maintain casino profits above a certain threshold. In fact, in Delaware, New Jersey and Rhode Island, early adopters of expanded gambling, the tables have turned, and now instead of providing unlimited revenue, casinos have received taxpayer breaks, bailouts, and concessions to stay afloat. MYTH #13 - We already have gambling in the form of the lotteryThe Mass State Lottery was created in 1971. It began with one daily drawing, 6 days a week. It is now the most successful lottery in the United States. In Fiscal Year 2012, the Lottery returned over $983 million in net profit to the Commonwealth, of which over $883.7 million in unrestricted direct local aid was distributed to the 351 cities and towns. That is more than twice the amount of money that the two Connecticut casinos, combined, returned in revenue to the state. According to a Greater Boston Chamber of Commerce report commissioned in March 2008, if the lottery takes a 10% hit from the introduction of casinos and slots, as it is expected to do, state lottery transferred as state aid to towns and cities will be reduced by about $90 million. Most of the money spent in casinos goes into the pockets of billionaire casino investors. Most of the money spent on the Mass State Lottery goes directly back to the citizens of Massachusetts in the form of prizes and local aid. MYTH #14 - People in Massachusetts should be free to gamble as long as it's regulated, just like with alcohol and cigarettes.First, people are free to gamble. A southerly drive to Connecticut will take you to two of the world's biggest casinos. If that's too far, there are two more casinos in Rhode Island. And frankly, they could use your business. Market saturation is driving down revenue and causing layoffs. But, unlike Massachusetts, Connecticut and Rhode Island are already completely dependent on casino revenue. Second, gambling is not the same as alcohol or cigarettes. In the case of cigarettes, the government recognizes the health risks to non-smokers and has heavily taxed the product while severely prohibting where smoking is permitted. But in the case of casino gambling, despite a wealth of evidence and expert testimony, and the fact that none of our top elected officals want one near them, Massachusetts gone out of it's way to maximize the availability of gambling outlets. And, if we are to follow in the footsteps of other gambling states, whenever the casino revenue stream is threatened, government will loosen previous regulation in an effort to increase it. The failure Prohibition is often used to rationalize expanding government’s partnership with gambling. But while the prohibition of alcohol may have been a failed policy, commercial gambling was successfully criminalized nearly everywhere in the United States for most of the 20th century. And while citizens have every right to engage in a destructive obsessions, the government has no business encouraging them for profit. In the case of expanded casino gambling, the state is not merely permitting private, consensual behavior - it is granting monopolies and awarding regulatory advantages to favored firms. MYTH #15 - Slots will save the State's racetracksThe people of Massachusetts voted overwhelmingly to close the dog racing tracks by ballot initiative. The Commonwealth provided for tax-funded job re-training for employees of the tracks to off-set any losses to their employment. In neighboring Rhode Island, slots were supposed to save the track, but racing remained a revenue loser, and when the casino filed for bankruptcy, the racing component was quickly jettisoned as unprofitable. Similar scenarios are unfolding around the country. Propping up the racing industry has become a conveinent excuse for casino investors to justify the legalization of slots parlors. What other failing industries in the Commonwealth have received similar legislative salvation? MYTH #16 - Slot parlors are better than casinos, and will produce almost instant revenueActually, slot parlors are worse. 10% of the players account for 90% of the profit, and in this economy, that 10% are those already suffering. This is simply regressive in nature and little job development is created. Money is sucked from the local and regional economies with small businesses and municipalities negatively fiscally impacted. MYTH #17 - The people promoting the repeal of the casino law are religious nanny-state zealots who want to take our freedoms away!The people who are promoting the repeal of the casino law range from religious to atheist. They are conservative, liberal and moderate. They are Democrat, Republican and Independent. They are poor, affluent and middle class. Blue collar and white collar. Some gamble. Some don't. They have been called everything from elitists to simpletons and a lot of stuff in between. And while many of them have always opposed gambling as economic policy, many others became active in the anti-casino movement as a result of watching the dark comedy that is gambling expansion play out in their own communities over the last decade. But mostly they are people with high expectations for the Commonwealth. They care deeply for Massachusetts, enough to fight a long, uphill battle against deep-pocketed billionaires, regularly pushed aside by revenue-focused politicians and ignored by the media. They have volunteered many thousands of hours against all these odds to educate their neigbors and policy makers. That's who they are. And they greatly appreciate the fact that you took the time to visit this web site for more information on this very important issue. |