RIVERBOAT GAMBLING: TOURISM, CRIME, EDUCATION AND MORAL QUESTIONS

David Schwab represents District 158 in the Missouri legislature. He lives in Jackson.

Missouri voters face ten ballot issues in November including a vote permitting riverboat gambling. In 1991, the Missouri legislature passed a bill giving voters the opportunity to decide whether or not to authorize riverboat gambling in Missouri.

If passed, the riverboat gambling issue, also known as Proposition A, would authorize gambling excursions on the Mississippi and Missouri Rivers. These gambling excursions could only originate or dock in a city or unincorporated area where the excursions are locally approved by voters. Proceeds to the state from riverboat gambling are estimated to be about $27 million in the first year.

The case FOR

Proponents of the measure include MO-TARGET. This group states that riverboat gambling would create thousands of jobs directly and indirectly and produce additional new tax dollars. Proponents say that because Missouri voters have already earmarked proceeds to the state from gaming activities for education state revenues form riverboat gambling would be used for education. Those in favor of the issue also stated that riverboat gambling in other states has proven to be a "tie breaker" between states when groups select sights for conventions and trade shows.

The Case AGAINST

Opponents of the measure include the Coalition Against Organized Crime. This group states that this type of casino gambling would attract organized crime. According to the group, a 1990 study by Thomas Dittmeier, a former U.S. Attorney, concluded that "organized crime gets involved with and thrives on casinos." Opponents state they are concerned about its adverse affects on Missouri families, low-income Missourians, and compulsive gamblers as well as any additional government support necessary to assist them.

The regulations

The proposition, if passed, would provide for a cashless wagering system using chips or tokens. Gambling activities include baccarat, Klondike table, punchboard, faro layout, keno layout, numbers ticket, push car, jar tickets, pull tab, twenty-one, dice, poker, slot machines, video games of chance, and roulette. Gambling on sports would be prohibited. Only persons present on the excursion gambling boat would be allowed to gamble. In addition, a $500 maximum wagering loss per excursion would be instituted.

During the excursions, persons under the age of twenty-one will not be allowed to gamble or be in the gambling area. Employees eighteen years or older, however, would be allowed in the gambling area when working.

Riverboat gambling would be regulated by the Missouri Tourism Commission. An admission fee ranging from fifty cents to $1 to board the gambling boats would be used by the commission to regulate the boats' gambling activities.

The commission would investigate and issue licenses to applicants for gambling boat operations as well as adopt standards for gambling boat operations and occupations connected with these excursions. This body would also take appropriate disciplinary action for violations and regulate wagering activities.

Profits

Gambling receipts would be taxed at rates ranging from 5 percent for the first $1 million in adjusted gross receipts to 20 percent for adjusted gross receipts over $3 million. One-half of one percent of the receipts shall be paid to the city or county in which the excursion originated. The remaining tax receipts would be deposited in the state's General Revenue Fund.

I personally have a concern with the direction we seem to be going in our state. We are taking things that were illegal, making them legal, and taking them to raise revenue.