GAMING PANEL BILL PASSES IN HOUSE

JEFFERSON CITY - Control of riverboat gambling in Missouri by a special gaming commission moved closer to reality Wednesday when the Missouri House passed a measure that had earlier been approved by the Senate.

Cape Girardeau County state Reps. Mary Kasten and David Schwab said they were pleased with the bill because it will fulfill the original intent of Missouri's riverboat gambling law: to help tourism but also provide adequate safeguards to see the industry is properly regulated.

The House made several minor changes from the Senate version, and if senators accept the House changes and approve the bill, it will go to Gov. Mel Carnahan's desk for his signature.

If not, a conference committee will be called to resolve differences.

Last November, voters in Missouri approved a proposition giving cities and counties along the Mississippi and Missouri rivers the option of deciding whether to allow riverboat gambling. However, the proposition made the Missouri Tourism Commission the regulatory body and that concerned several legislators and the state's new governor.

Carnahan made formation of the gaming commission a top priority of this legislative session, and House and Senate leaders agreed to place it on a fast track. The bill contains an emergency clause, putting it into effect with the governor's signature.

Roy Temple, deputy chief of staff for Carnahan, has indicated the governor would likely have a gaming commission appointed within days of the bill's passage.

The bill was approved by a margin of 121-26. Two Southeast Missouri representatives were among the dissenters: James Graham, R-Fredericktown, and Mark Richardson, R-Poplar Bluff.

Rep. Karen McCarthy, D-Kansas City, who handled the bill, told her colleagues regardless of whether they thought riverboat gambling was a good idea, they had an opportunity to see that it was strongly regulated.

She pointed out that the gaming commission has enough authority to do its job and the bill did not alter the intent of what voters approved last year.

"Whether you support gambling or not, you can feel good that your vote today for a strong gaming commission is a sound one," said McCarthy.

Several cities have already approved gambling boats.

Voters in Cape Girardeau will decide on the issue June 8.

Kasten, R-Cape Girardeau, who voted to send riverboat gambling to Missouri voters two years ago, said she is content that the bill passed Wednesday does not significantly alter what voters approved last November.

"I don't want to see this change from what the voters did because that would be dishonest. However, I do support the gaming commission if we keep riverboat gambling in the mode of tourism.

"I have since learned there needs to be a commission that knows how to regulate and stay on top of riverboat gambling. I think this provides some safeguards for the public."

Schwab, R-Jackson, who did not vote for the original bill, said the gaming commission makes the concept of riverboat gambling better. But he expressed concerns about efforts to try and expand the space limits for gambling on the boats.

"I would hate to see us make major changes after the people voted on it in November," said Schwab. "But the gaming commission did make it better."

Kasten said the new legislation could have an influence on the vote in Cape Girardeau.

"I am glad people in our area have the chance to vote on it," she observed. "The June vote gives us a chance to take a look at these changes."

The new bill gives cities and counties where the boats dock a larger share of tax revenues, which could make the concept more attractive to local voters.

Under the first version, the city or county of the home dock received a half percent of the adjusted gross receipts. The bill nearing final approval increases that to 2 percent and also gives local governments a $1 per person tax.

The state will collect a tax of 18 percent on the adjusted gross receipts.

Rep. Herb Fallert, D-Ste. Genevieve, who sponsored the original riverboat gambling bill, expressed concern earlier in the year about taking the regulatory authority away from the tourism commission. He argued that having the tourism commission in charge insured the emphasis would be on tourism, rather than gambling.

Fallert favored establishing a gaming commission a year or two down the road.

But on Wednesday, Fallert said he is satisfied with the bill.

"I don't like some of the changes in it, but I am not opposing it," said Fallert, who chairs the House committee that deals with tourism.

Fallert was pleased that the new bill still allows people under the age of 21 on the boats. However, they are prohibited from entering the area of the boat where there is gambling.

"This puts the bill back to its original concept that a whole family could go out on the boat, have a nice dinner and take a cruise on the river," said Fallert.

The new version does, however, give local city councils or county commissions the authority to restrict admission on the boats to people 21 and over.

Some legislators had argued in favor of lifting the $500 loss limit that was in Fallert's original bill, but it remained intact.

"I don't feel like the $500 limit is a problem. Illinois has no limits, and their average loss per person is around $78," said Fallert. "If we need to change the bill later, we can consider it, but I don't think we should tinker with it until we see what happens."

The new version also prohibits convicted felons from being employed by a boat or being involved with the ownership or operations in any way.