Stop Predatory Gambling

Unwieldly and unprofitable to taxpayers, the failed government program of casinos and lotteries will ultimately follow the path of OTB

by Les

The New York Times has an excellent story about one example of the failed government policy of predatory gambling – Off-Track-Betting in New York.  Here is the the key excerpt from The NYT Times story which holds true for the entire government policy of predatory gambling, including casinos and lotteries :

“The idea of channeling gambling proceeds into the city treasury — and out of the hands of illegal bookmakers — had been floated many times before the first OTB windows opened in April 1971, at Grand Central Terminal and on Queens Boulevard.

In practice, the idea proved unwieldy and, at last, unprofitable. After the New York City Off-Track Betting Corporation filed for bankruptcy protection in 2009, Mayor Michael R. Bloomberg made it clear that its days were numbered. “Only in government can you run a bookie operation and actually lose money every year,” he said last October. Two months later, after the State Senate declined to pass a rescue bill, the corporation closed its parlors and laid off about 1,000 workers.”

Casinos and lotteries are based on milking existing wealth rather than creating new wealth – a scheme that requires taxpayers to pay more in taxes for less services. In a recent glaring example, the 2010 New Hampshire Gambling Commission showed taxpayers will need to fork over an additional $68 million in taxes to cover the social costs of one proposed casino, 24% more than state government will receive in revenue.

Because the facts undeniably show predatory gambling has been a major policy failure, the time has come for government to end all aspects of its “bookie operation. ” It’s time to get back to building a nation based on real prosperity and real hope for every American.