Politics

Crist may bet state budget on gambling

A deal with the Seminole Tribe could offer relief, he says.

By STEVE BOUSQUET, Tallahassee Bureau Chief
Published August 22, 2007

Gov. Crist's predecessor, Jeb Bush, was ardently opposed to more gambling, refusing to negotiate with the tribe, and his brother's administration in Washington did not pressure the state to do so.
	[AP photo]

ADVERTISEMENT [Las Vegas Sun (2004)] The Seminole Tribe now has Class II bingo-style machines in which gamblers compete against each other. Class III slots involve betting against the house, often with higher payouts.

TALLAHASSEE - As the political odds increasingly favor Las Vegas-style gambling on Florida tribal lands, the Seminole Tribe sees big dollar signs, and so does Gov. Charlie Crist.

Crist views state-sanctioned casino gambling on tribal lands as a timely way for the state to plug a $1.1-billion budget shortfall without cutting services or raising taxes or fees.

"There are some other opportunities we're looking toward to help us with the budget challenges we have today. We're negotiating with the tribe," Crist said Tuesday. "I want to be open-minded, and I want us to be innovative."

It was the most directly that Crist has tied more gambling to the state's fiscal salvation.

The federal government has given Florida until Sept. 11 to reach an agreement with the tribe to allow slot machines and possibly other forms of gambling at seven sites, including the Seminole Hard Rock Casino in Tampa.

Talks between Crist's office and the tribe include plans to give the tribe exclusive control over games other than slot machines, such as blackjack and roulette, in return for the state getting a share of the revenue from those games.

Barry Richard, an attorney for the tribe, said federal law requires a compact between the state and the tribe to give the tribe exclusivity - a monopoly on certain forms of gambling or territorial limits on Class III slots.

"Exclusivity could be blackjack, or roulette, and nobody else could have it," Richard said. "There is no decision on any of that."

The Seminole Tribe now has Class II bingo-style machines in which gamblers compete against each other. Class III slots involve betting against the house, often with higher payouts.

Crist said that negotiations with the tribe, while "delicate," lessen the need for the Legislature to make steep cuts in the budget next month.

Some legislators are not likely to be as eager as Crist to plug a budget shortfall with gambling money.

One gambling critic, House Speaker Marco Rubio, has asked the state attorney general if, under federal law, the state must allow games currently banned by state law.

In a July 26 article in Florida Baptist Witness, Rubio warned against relying on gambling money "to cure everything from school-funding shortfalls to rising property taxes."

Rubio called it "morally indefensible" for the state to justify expanded gambling on the grounds that by taxing it the state coffers would benefit.

As Crist sees it, the law requires him to negotiate.

Under federal law, sovereign tribes can offer the same types of gambling allowed by the state. Las Vegas-style slot machines are now legal, with voter approval, at three racetracks and a jai-alai fronton in Broward County.

Crist's predecessor, Jeb Bush, who was ardently opposed to more gambling, refused to negotiate with the tribe, and his brother's administration in Washington did not pressure the state to do so.

But since Crist took office, the Interior Department has stepped up the pressure.

Rubio had no immediate comments Tuesday. But a lawmaker viewed as a strong supporter of expanded gambling, Sen. Steve Geller, D-Hallandale Beach, praised Crist for moving toward an agreement with the Seminole Tribe.

"I agree with the governor that we have to look for new revenue, and I believe that gambling is probably one of the big sources," Geller said. "We're looking for new revenue streams."

So how much money is Crist seeking to get for the state from the tribes' gaming tables? He won't say. But it may not be nearly enough to cover the 10-figure budget gap.

"If I start throwing out numbers that don't come true, I don't want you to be disappointed," Crist said.

Steve Bousquet can be reached at bousquet@sptimes.com or 850 224-7263.

Fast Facts:

Slot machines

- Class II machines, such as the machines at Seminole Hard Rock Casino in Tampa, are electronic bingo machines made to look like true slots. Gamblers compete against one another, and the casino takes a portion of the amount wagered.

- Class III machines are the traditional Las Vegas-style slots. They pit the gambler against the casino. They are more profitable because the casino sets the payout.

Indian gaming revenue*

California $7.7-billion

Connecticut $2.5-billion

Arizona $2.1 billion

Oklahoma $2-billion

Florida $1.6-billion

*2006

[Last modified August 21, 2007, 23:16:45]