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Casinos and state lotteries are the most predatory business in America and their windfall is coming at your expense.

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A good way to wreck a local economy…bring in casinos

This column by former advisor to President George W. Bush and current Senior Editor with Atlantic Monthly, David Frum, explores the economic impact of casinos on local economies.  When the casinos move in next door, the impact on neighboring property values is “unambiguously negative.”  No one should look to casinos to revive cities “because that’s not what casinos do!”

2014 A Good Way to Wreck a Local Economy- Build Casinos

Evidence shows property tax relief for PA homeowners is a “charade”

Ten years after PA gambling proponents predicted casinos would relieve the tax burden, homeowners are underwhelmed.  “Proposal written in invisible ink”, “tax relief a charade” and “insult to every property owner in the state” were just some of the state reps comments.

2014 Slots cash a mixed bag for PA property owners

The best campaign I ever worked on…

It was a beautiful spring thaw day in February 2013, sunny with temps in the 50s, when a neighbor knocked on my door to ask me where I stood on the casino proposal in Milford. I wear my politics on my sleeve, with multiple lawn signs and bumper stickers every election cycle, and I host a local access cable TV show called “All Politics Is Local”, so I think he knew what to expect. I told him that I opposed the idea, not just in Milford but in the entire commonwealth. I also told him about ORGANIZE!, a voter organizing software package I had been working on for the past year, that it was in beta test and it would be free to use as long as people were helping me kick the tires. He told me about an upcoming meeting of activists called Casino Free Milford to be held at town hall in a few weeks.

When I attended the meeting, Milford residents John Seaver and Steve Trettel were moderating discussions and asking people to volunteer for tasks they felt capable of doing. One of those tasks involved a trip to town hall to obtain a copy of the registered voter database – I assured them that I had that covered. I recruited a sub-committee that night to assist me with the grunt work of organizing precincts into neighborhoods and doing data entry on voters. We began meeting weekly in one of the conference rooms at the Milford Library, first to train my committee members in my software and then to do updates and other organizing work.


New Jersey is chasing losses

“Chasing losses” among gamblers means trying to recover money lost gambling by more gambling in the vain hope that the next round will be different. As states have become addicted to gambling revenue, they too can chase losses by expanding gambling.  Many states have tried.  Iowa had one race track and decided to jump into riverboat casinos early on.  Several states with casinos have sought to increase revenues by adding table games.  Missouri and Colorado have increased loss limits.  The list goes on.

The most expert “chaser” has to be New Jersey. Due to competition from surrounding states New Jersey has seen casino revenue decline by 40% and four of its twelve casinos close with a fifth teetering on the edge.  It jumped in early on state approved internet gambling conducted by its casinos.  Nothing much happened.  There was no gold rush.  So the next thing to try is legal sports books.

Monmouth Park, the north Jersey race track, has built a really nice large sports bar, with lots of big TV screens, that remains mainly empty because running the book is not legal yet. The decision will come from a judge, U. S. District Judge Michael Shipp.  The expectations are marvelous!  With Manhattan just an hour away, and Philadelphia nearby, promoters suggest that the market will grow to be three times that of Nevada, producing fortunes for bar owners and an avalanche of revenue for the state.  There is no lack of interest in sports or betting on them, but is it possible that the reality is going to be less than what the promoters say, as is so often the case?  Do you think the judge is feeling any pressure?

And, what will happen when all the other nearby states jump in with their own sport books, as they did with the casinos? This will be another temporary bump in revenues for New Jersey if approved.


Tim Dahlberg, “Bookmakers poised for New Jersey game changer,”  Lexington (KY) Herald-Leader, October 10, 2014, p. B7.)  The Associated Press carried this as “Vegas ready to place a big bet on New Jersey” on October 9, 2014.

DE casinos to launch online operations

The three casinos in the state of Delaware are about to put in motion the first phase of their online gambling operations, which will be run through Facebook. The first phase will include only free games but within months, these casinos hope to have up and running full-fledged casino games online, running through Facebook. Delaware is now the first state in the nation to have legal casino games online. These two articles, from the USA Today and Delaware Online, describe this development, which will allow problem gamblers to throw their money away from the comfort of their own couch and allow America’s kids to get sucked in through Facebook.

Delaware’s 3 casinos launch free online gaming

Delaware casinos’ online gambling will be run through Facebook

Casinos get strong warning on financial crimes

According to this story from the Las Vegas Review-Journal, “Casinos have long reaped profits from what can politely be described as plausible deniability when it comes to identifying the source of their large cash customers’ income.” Jennifer Shasky Calvery, director of the Financial Crimes Enforcement Network (FinCEN), wants to put a stop to that. In a speech at the annual gambling trade show, G2E, Shaky Calvery called for a cultural change inside the casino business to root out and stop financial crimes, such as money laundering. This comes as an ominous warning for casinos, who often benefit from some shady deals.

Reluctant casinos get clear warning on money laundering

Slots used to launder money from drug sales

This article from The Topeka Capital-Journal details the arrest of five Kansas residents after they used slot machines in Kansas City, Kansas to launder $200,000 from marijuana sales. According to the article, “The office of U.S. Attorney for Kansas Barry Grissom said Wednesday that investigations showed some members of the group would deposit large sums of money in small denominations into casino slots, cash out without playing and receive a voucher for the money deposited, then cash the voucher at ATM machines throughout the casino, getting their cash back in large denominations.” These residents have been indicted on 12 counts including money laundering and conspiracy to distribute marijuana.

Feds- slots used to launder money from drug sales

New OH Lottery ad promotes the “fun” of scratch tickets

A recent $4.3 million ad campaign from the Ohio Lottery aims to show players how fun and exciting it is to play scratch tickets, even while making no implication as to whether the people in the commercial won anything. Scratch ticket sales in the US totaled $37.5 billion last year, disproportionately from poorer Americans who are playing these instant scratch tickets as a path to wealth. The fact is, even the Lottery realizes that these games are a poor and almost impossible way to achieve wealth, so these ad campaigns are looking to get players to play just for the instantaneous  “buzz” or “high” people can get from these games, which, along with their money, is gone in seconds.

Ohio Lottery Trades the Promise of Riches for the Joy of Instant Gratification

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