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Settling on slots

The state Senate votes today on a proposed 45 percent tax on slot machines; the House is proposing 55 percent. They have until Friday to reach an agreement.

A legislator who flew to Canada as the guest of a gaming company got his wings clipped Wednesday in the Florida Senate, and maybe a deal on slot machines is possible after all.

The Senate quickly distanced itself from Regulated Industries Committee Chairman Dennis Jones, R-Treasure Island, who had acted so brazenly the previous day. In plain public view Jones had carried the water for Magna Entertainment Corp., the gambling company that paid for his summer trip to their headquarters in Toronto. He pushed through an amendment in his committee to lower the proposed tax rate on Las Vegas-style slot machines authorized for a Magna-owned racetrack and other parimutuel facilities in Broward. He wanted to drop the rate from 45 to 35 percent, at least for the first $125-million in revenue. After all, what are friends for?

To his credit, Senate President Tom Lee was not nearly so eager to bow to the gaming industry. He reacted to Jones' changes by telling his colleagues the lower tax "leaves tens of millions of dollars on the table that I think is just not a good deal for Florida." Then, on the strength of amendments offered by incoming Senate President Ken Pruitt, the Ways and Means committee on Wednesday changed the rate to 45 percent.

The debate is far from over, of course, and the House is still leading the way. The House has proposed a tax rate, 55 percent, that more reasonably reflects the profitability of these new gambling monopolies. New York and Rhode Island already charge more than that, and the only argument the industry advances is that higher tax rates may produce more Spartan gaming facilities. Is it the Legislature's responsibility to assure that slot machines rest on marble floors?

The Legislature failed in the spring to meet its constitutional deadline for writing new slot-machine laws, and now the two chambers have only until Friday to reach agreement before the scheduled end of the special session. Lawmakers should not forget the issue at hand. The slots were sold to voters as a way to finance public education, which means that any money lawmakers leave on the table is money that goes to gambling investors and not schoolchildren. The right choice ought to be clear - and it's not the side that offers junkets to Canada.

[Last modified December 8, 2005, 00:50:19]