Illinois should learn from Pennsylvania's gambling debacle

Monday, Governor Pat Quinn will sign into law HB 255, a bill that will unleash funds for long awaited infrastructure projects, with the hopes of easing some of Illinois' growing unemployment woes. Part of the funding will come from tax rate increases in tobacco, alcohol, soft drinks, tea, coffee and even candy bars. That's upset a lot of tax fighters throughout the state. But another controversy with HB 255 will be an unprecedented expansion of gambling -- not through casinos or racetracks, but through neighborhood stores and the very object with which you're reading this post. Your computer. 

With HB 255, gamblers will no longer need to go to Illinois casinos, they will have access to video poker at any alcohol-licensed establishment, including gas stations, convenience stores, restaurants and groceries. Actually, it's even easier than that. You'll not need to leave your homes or bedrooms to gamble away weekly paychecks.  with HB 255, video poker, lottery and horse racing bets will be taken over the internet. How the House voted is HERE and the Senate HERE.

Illinois will have the most gambling accessibility of any Midwestern state with the signing of HB 255.  But with the access will come problems -- big problems.  Five years ago, Pennsylvania opened the way for gambling, promising to reduce property taxes as the gambling revenue increased.  Guess what, the relief never came.  Pennsylvania's experience should concern Illinoisans.

Read more HERE about Gov Rendell's promises, how gambling has bred corruption, an ineffective State Board, more budget abuse and reduced revenue.  As Commonwealth Foundation write Natalie Rogol writes:

Gov. Rendell's much-hyped slot machine legislation has failed to deliver on his soaring promises. Gambling's first five years in Pennsylvania have been an embarrassment for residents and state officials, something lawmakers should consider before further expanding legalized gambling.

Too bad Governor Quinn didn't learn, either.

Comments

[Mark Thoman]

"Part of the funding will come from tax rate increases in tobacco, alcohol, soft drinks, tea, coffee and even candy bars. That's upset a lot of tax fighters throughout the state."

But very few R office holders, judging from the votes. Both Cross and Radogno voted for it.

[Fight for Justice]

Another big tax hike vote is pending: A buck-a-pack hike in the state excise tax on cigarettes. For a pack-a-day smoker, that means $365 more a year in taxes. For some reason, there is a lot more attention on the proposed income tax hike than to the sales and excise taxes that have been boosted by a bigger percentage than the income tax would be. The tobacco tax would rise by 102%.