Senate committee rejects slots bill
By John Cheves – jcheves@herald-leader.com
Senate Budget Committee Chairman Charlie Borders, R-Grayson
Crestfallen horse racetrack operators who never came so close to their goal before watched it slip away as the panel voted 10-5 against sending the bill to the Senate floor after hearing more than two hours of testimony and debate.
Afterward, they vowed to keep fighting for slot machines in order to compete with states that have “racinos,” a combination of horse racing and expanded gambling. But they warned that Ellis Park in Henderson and possibly Turfway Park in Florence could close by the time Kentucky finally acts.
They have lobbied the legislature for slots for more than a decade; only this session did they make it through the House.
“I’m going to bed disappointed tonight and I don’t want to sugarcoat that,” Keeneland chief executive officer Nick Nicholson said. “But I’m not giving up on this industry.”
House Bill 2 could be revived in the remaining hours of the special legislative session if 20 of the 38 senators vote to discharge it from committee, or if House and Senate leaders agree in a free conference committee to attach it to an unrelated bill that goes to the governor’s desk. Lawmakers said neither option is likely.
Senate President David Williams, R-Burkesville, who opposes slots, said he would not consider any free conference committees, which enjoy wide latitude as they negotiate compromise legislation, to ensure the slots bill doesn’t get attached to another proposal.
On the other hand, said the bill’s sponsor, House Speaker Greg Stumbo, D-Prestonsburg: “They say you never know what will happen until the General Assembly adjourns.” His Democratic-led chamber passed the bill Friday 52-45, with one vote to spare.
Democratic Gov. Steve Beshear and Senate Democrats fumed Monday night that the Republican-led Senate failed to give the bill the “full and fair hearing” it had promised by not allowing the bill to go to the Senate floor.
In response, Senate Budget Chairman Charlie Borders, R-Grayson, said he gave slots supporters and opponents an hour each for testimony and exchanges with senators. The Senate did not promise approval, Borders said. In fact, Williams last week said the bill would die at the hands of the committee if it made it that far.
The Senate committee split largely along party lines, with nine Republicans and independent Bob Leeper of Paducah voting against the bill and four Democrats and Republican Tom Buford of Nicholasville voting for it. Sen. R.J. Palmer II, D-Winchester, abstained.
Sen. Alice Forgy Kerr, R-Lexington, said it was a tough vote because she represents a community blessed with horse farms and Keeneland but also has deep concerns about the damage expanded gambling would do to “the most vulnerable people in our state.” Kerr voted against the bill.
“At the end of the day, Mr. Chairman, I have to be able to look myself in the eye,” Kerr said during the vote. “When I think about Kentuckians — very young 21-year-olds, or very old 70-, 80-, 90-year-old women — who are sitting there pulling the lever, one after another after another, for some kind of hope that this is going to be the end-all — I just don’t think that’s good policy for our people.”
In an attempt to soothe the angry horse industry, Senate Republicans noted that they passed a plan last week, sponsored by Williams, to raise $85.6 million for Kentucky racing purses and breeder incentives by taxing lottery tickets and out-of-state race betting.
Williams’ plan faces a dark future in the House, where Stumbo said he would have considered a floor vote on it if the Senate had held a floor vote on his slots bill. Instead, Stumbo released a letter from Kentucky Lottery officials who said Williams’ proposed 10-percent tax on lottery tickets would hurt sales and put the state’s lottery at a disadvantage compared to other states with no tax.
In their testimony to the Senate committee, slots supporters and opponents repeated their now-familiar arguments.
Those for slots said Kentucky’s horse industry is being left behind by a dozen states that fatten their racing purses and breeder incentives with slots revenues. They noted that Ohio’s governor — previously opposed to slots in his state — announced Friday that he has changed his mind, opening the door to seven racinos north of Kentucky.
Those against slots said expanded gambling fuels crime, poverty, suicide attempts among gambling addicts and government corruption. They said Kentuckians would have to gamble between $7 billion and $10 billion a year to generate the level of state revenue that Stumbo projected, which would start at more than $190 million a year.
Regardless of the vote, few in the Capitol believe the debate is over for good. Slots supporters cited the progress they made this session and predicted an ultimate victory, if not this year than some year soon.
“The reality is, history is on our side,” said Sen. Tim Shaughnessy, D-Louisville. “This is eventually going to happen, whether it’s done by an act of the legislature or put before the voters of Kentucky for a formal vote. It may be stopped today, but the issue isn’t if this happens, it’s when this happens.”
About the Author: John Stamper is the accountability editor for the Lexington Herald-Leader. A native of Monticello, Ky., he has been with the Herald-Leader in a variety of roles since graduating from Western Kentucky University in 2000. Reach him at jstamper@herald-leader.com
Bill Adkins | Jun 22, 2009 | Reply
Pay close attention – this might very well be the issue that pushes David Williams into the minority if he kills slots.
Say NO to Political Games | Jun 22, 2009 | Reply
How will Alice Forgy Kerr vote? She has both Keeneland and the Red Mile in her district.
PD | Jun 22, 2009 | Reply
You can actually watch this online live. http://www.ket.org/legislature/
Click on Senate.
James | Jun 22, 2009 | Reply
Kerr will no longer have my vote again if she votes against this with so many of her voters for it. I only wish lived in Williams district to vote against him.
shriner47 | Jun 22, 2009 | Reply
so let’s see if I have this right:
The Kentucky Horse Industry (mailnly breeders) is in trouble.
Playing Slot Machines (opps) Video Lottery Terminals at racetracks probably in another building on the property will build bigger crowds for racing (that people arn’t interested in now) so the track can make larger purses for the owners.
Owners might make more money if their horse wins. Track owners make Billions in slots.
Tell me again what if anything this has to do with $50,000.00 stud fees, sales at Keeneland?
And Please, someone explain how slots at racetracks keeps horse farms from being transported to other states.
I am a life long Kentuckian. Never have I witnessed a Horse farm moving to another state because the race tracks purses wern’t large enough.
The money isn’t at the track, it’s in breeding.
Put the slots in the barns so the mares owners might be morewilling to pay the $50,000.00 stud fee.
IMHO | Jun 22, 2009 | Reply
So it never made it out of committee for a full Senate vote?
Lanny Caster | Jun 22, 2009 | Reply
Does this mean Lancaster won’t get Howdy Doodie High School? Riot in the peanut gallery.
Scott Littleton | Jun 22, 2009 | Reply
I just emailed the committee and put them on notice that I am going to spend my free time to ensure that they are not re-elected in the next election due to their no-vote. Lets all use twitter, myspace, and other websites against those who killed freedom and jobs in Kentucky.
Phil | Jun 22, 2009 | Reply
“shriner47 | Jun 22, 2009 | Reply
so let’s see if I have this right:
The Kentucky Horse Industry (mailnly breeders) is in trouble.
Playing Slot Machines (opps) Video Lottery Terminals at racetracks probably in another building on the property will build bigger crowds for racing (that people arn’t interested in now) so the track can make larger purses for the owners.
Owners might make more money if their horse wins. Track owners make Billions in slots.
Tell me again what if anything this has to do with $50,000.00 stud fees, sales at Keeneland?
And Please, someone explain how slots at racetracks keeps horse farms from being transported to other states.
I am a life long Kentuckian. Never have I witnessed a Horse farm moving to another state because the race tracks purses wern’t large enough.
The money isn’t at the track, it’s in breeding.
Put the slots in the barns so the mares owners might be morewilling to pay the $50,000.00 stud fee.”
THAT’S BECAUSE THEY NEVER HAVE BEEN LARGER BEFORE YOU DOPE!!!
Now that they are, stallions ARE moving out of state.
Jennifer | Jun 22, 2009 | Reply
Well, looks like I will soon be joining the unemployment statistics, our senate didn’t even give this a fair shot!, what a sham.
Dylan Thomas | Jun 22, 2009 | Reply
Look into something called a “breeder’s incentive”. States who have slots provide breeders with more $$. So factor in increasing costs and smaller purses in KY it only makes sense that breeders/owners and farms are moving mares to other states. It’s frustrating that many in the state do not understand the horse breeding/racing industry. That’s a major obstacle – ignorance.
jerry | Jun 22, 2009 | Reply
Well…boo hoo…this just breaks my heart…well almost…sort of…aw what the heck I wasn`t going to play anyway, I learned my lesson on Wilkerson`s lottery, it`s a suckers game, if you have money you want to throw away send it to me.
KYJurisDoctor | Jun 22, 2009 | Reply
David Williams predicted the bill’s demise in the Senate. He was definitely not kidding.
pennyannie | Jun 22, 2009 | Reply
Those handful of committee members who flatly turned down this bill weren’t representing me. Let me represent myself and vote for it at the poles. If I don’t want casino gambling let me have the right to say so. Even if I lost, I would at least have had the right to cast my vote. You never know why some bills make it and some don’t when “we the people” aren’t the ones making the decisions. Half the time when we vote in a politician, about all we did was give someone we don’t know a really good paying job, with a nice office and a window to stare out of. Racino’s probably would have had some pretty nice jobs for Kentuckians, too bad these guys don’t know how to give back.
Michael | Jun 22, 2009 | Reply
I’m delighted that our senate committee put doing what is right for ALL CITIZENS vs. giving in to a small (that’s right–small!) interest group. This is not about saving the horse industry. Testimony today pointed out that Ky. tracks did indeed make more money last year than the year before. This was simply an attempt to get full Casino gambling owned by a few insiders to be approved by devious methods.
IWatcher | Jun 22, 2009 | Reply
Looks like good ole boy David Williams is intent on destroying what is left of the economy in the state. I guess the lobbiests didn’t offer him a big enough bribe. Ole Dave is against anything that doesn’t line his pockets. What a effing jerk.
Debbie | Jun 22, 2009 | Reply
David Williams needs to go….How ridiculous
agniscrazy | Jun 22, 2009 | Reply
How can All Citizens Benefit if they are not given the choice of getting to play the slots, or not?
ALL CITIZENS NEED THE OPORTUNITY TO MAKE A CHOICE
I would not play them, in all probability, but why should this committee deny me that right to make my own choice?
Neofyte | Jun 22, 2009 | Reply
I get so tired of holy roller Williams and the rest of his clan making my decisions for me! These morons need to get a life and realize it does not revolve around them. They are killing this state. Williams, wake up and realize you can’t legislate morals to people. Give us our casinos and let the adults decide if we want to go to them, not you and your clan. God please let the voters of the Commonwealth wake up and get rid of him!!
Bob | Jun 22, 2009 | Reply
I cannot believe the senators who represent horse interests who just killed two of Kentucky’s four tracks.
And in the last 100 years, I am not aware of any track ever re-opening once it closes, so it’s not like this can be brought back up.
Thank you, Republicans, for killing my family’s business, for putting a 100,000 Kentuckians out of work, and for killing the trademark industry of our state, the thoroughbred horse.
IMHO | Jun 22, 2009 | Reply
While it’s easy to spew the venom against Williams, it was defeated by a 2:1 margin in committee. Williams didn’t singly defeat the proposal.
yellowdogdem | Jun 22, 2009 | Reply
these people were sent to Frankfort to do the public’s bidding. When they cease to do as the majority of the constituents seem to want, they should then be voted out. This is NOT government by David Williams. Lets rally around the opposition at election time..
unfair | Jun 22, 2009 | Reply
They do not even have enough guts to reduce state holidays. They are just a bunch of scared, ignorant politicians. Vote them all out.
Jason | Jun 22, 2009 | Reply
How nice of Lapdog Kerr for worrying so much about my money. I don’t know how I could have been so successful with out her. I owe everything to her for looking out for my best interest and safeguarding me against spending my money where my temptations wants me to spend it.
benfolds5 | Jun 22, 2009 | Reply
I hope the republicans releize that they just screwed themselves and their districts out the federal stimulus money!
See you at election time David Williams!
Bet your lever doesnt get pulled and the slots lever does!
Kilroy D. | Jun 22, 2009 | Reply
Thank God we still have honest Senators like Williams and Kerr and most of the Republicans. They have not been bought off by the rich horse owners. I usually vote Democratic, but I will likely vote for any Republican Senator next time. But I still will never vote for McConnell.
blacksmith1972 | Jun 22, 2009 | Reply
well looks like the senate is intent on destroying the racing industry and yes shriner the money is at the races take a look at the drf and look at philadelphia park where a 5000 dollar horse runs for 21000 thanks to what slots they were sruggling to get horses a year and a half ago but when they got slots purses went up and walla horses if ohio gets them now which is a good possibility you can kiss ellis park and turfway goodbuy which buy the way turfway runs more days than any track in ky= tax dollars gone and millions if not billions gone from our economy thanks a lot senators
shriner47 | Jun 22, 2009 | Reply
All this talk about David Williams. The Problem here folks is the Constitution. There need to be several changes to the State Constitution:
1st) The people should be able to put Constitutional changes on the ballot without the approval of the Legislature.
2nd) There should be a Constitutional Amendment for term limits.
3rd) Constitutional Amendment giving the People the right to call for a recall election for ANY Political Office Holder in the state.
4th) Casino Vote
Josh | Jun 22, 2009 | Reply
This is great news. As liberal as I am, I think this is for the better. The slots at race tracks issue never was and never will be about protecting our state’s economy or even just about giving people back some of their rights (why is it illegal to gamble again?). The whole thing has been about protecting the “economy” of the rich and influential that have ties with the horse tracks.
By the way, “horse industry” is not synonymous with race tracks. Even if Churchill, Keeneland, and Ellis all closed, the “horse industry” would be fine. Ever heard of the World Equestrian Games? Yes, there are things done with horses that don’t involve gambling!
I’m glad that there are at least some smart politicians in the state that can see through all the horse manure!
Dick | Jun 22, 2009 | Reply
To Bensfolds 5: Are you in his district? If so, organize a campaign to get rid of his donkey.
To Unfair: What does state holidays have to do with this? If you want to be a state employee, then get smart enough to fill out an application.
To IMHO: Get real, Williams sent it to a committee in which he knew it would be defeated. He didn’t want a vote. He is pathetic.
Get rid of David Williams. Burkesville if you have a computer and can read this, vote the donkey out of office. He has personally set KY back 30 years with his wisdom.
kyle | Jun 22, 2009 | Reply
to all the people talking about how we can’t legislate morality, you’re absolutely right. as such, i think we should legalize marijuana, crystal meth, cocaine, heroine, and prostitution. after all, we’re all adults and can choose whether or not to do those things, right?
it’s not always black and white, people. and get off your high horse about politicians “lining their pockets”–if there were bribes on one side, you can bet there were bribes on the other. if you think everyone who voted had an easy decision to make, you’re only fooling yourselves.
Bill Adkins | Jun 22, 2009 | Reply
David Williams shot himself in the foot tonight – but Damon Thayer is on the way out the door. He betrayed the horse industry. He’s toast.
Scott L | Jun 22, 2009 | Reply
Josh,
I can tell you are a liberal as you want he government to social engineer what the government thinks is best for the people to do with their time and money. Had slot parlors been approved this would have created thousands of jobs from the construction workers that build the facilities, to the staff that manages and operates the parlor, to the outside economy of nearby restaurants and other local businesses. Instead we don’t create those jobs and end up losing the jobs that already exist at the tracks.
Also more people lose more wealth buying a brand new car with financing than the average slot player will lose in a lifetime. Should debt be made illegal as well?
Scott L | Jun 22, 2009 | Reply
I have created a Twitter page to document those who voted against this bill so that we can inform others in Ky to vote them out the next election.
kentuckyriver | Jun 22, 2009 | Reply
With this the Republican leaders killed not only slots but the military personnel kentucky tax breaks/exemption, the rebuilding of 100 old schools, and a signature horse industry.
All because they did not want slots gambling at existing gambling venues!
kentuckyriver | Jun 22, 2009 | Reply
Voting to hurt Army personnel and schools:
Sen Elizabeth Tori – Ft Knox area
Sen Gary Tapp- Shelby Co area
Sen Dan Kelly- S.central Ky.
Sen Ernie Harris-Oldham Co
Sen. Alice Kerr- Fayette Co.(unbelievable!)
Sen Robert Stivers- Eastern Ky lawyer
Sen Jack Westwood-N. Ky -where he will make new enemies.
They don’t believe Kentuckians are playing slots right now in other states! Big government strikes again!
Yin-Yang | Jun 23, 2009 | Reply
Bully Williams strikes again!!! Forcing his views on Kentucky!!! And what’s up with all the non-voting that Kerr is doing?
Why not put it too the floor, would have taken 2 seconds for EVERYONE to vote and then it would have been a done deal… But obviously this committee was scared and Williams promised them something to make sure it didn’t make it out of committee…
STOP FORCING YOUR VIEWS ON ME!!!!
Kathy | Jun 23, 2009 | Reply
let the people vote .. im tired of these so called reps doing what THEY want NOT what the people want ..
Williams and Kergy need to go ..
and probaly will when election time comes !!
lets get real there aren’t 70 80 and 90 year olds sitting around pulling levers ..
we go to indiana about every two months drop a couple hundred and have fun ..
guess indiana will get our play money instead of ky ..
heck you go to dinner and a movie you drop about the same ..so no different ..
daniel | Jun 23, 2009 | Reply
I saw one brave republican on the committee. He has my vote and that of my family and friends (most democrats). I am calling them today. Kerr gave the most pitiful explination I ever heard. She said she did not always vote for her principals. Does that mean she was for it but voted NO?? What’s with her.? Is she on some medication?
Robert | Jun 23, 2009 | Reply
Folks the new Hoolywood Casino in Indiana spent 25 Millions dollars to kept Casino’s
out of the state of Ohio.They had a ad in
Cin. newspaper stating there will never be
another Casino along the Ohio river.90% of
the cars are from Ohio and Kentucky.Both
Dec. and Rep. are lobbying for are against
this issue and getting their POCKETS FAT.
newferry | Jun 23, 2009 | Reply
You want Williams to pay for this hypocrisy? Don’t campaign against him. Focus on 7 or 8 of his low disciples who can easily be defeated. They are mindless and spineless as they collectively vote as he tells them. Focus on removing from office Tori, Tapp, Harris, Kerr, Westwood, Leeper, Smith and Thayer. Let Williams sit in the chamber without power because that would be a greater punishment.
Mike | Jun 23, 2009 | Reply
Williams and the Republicans are not going to lose anything. Esp. with Obama’s party in charge of the nation. Fact is most Kentuckians could careless about this issue and have not gave it a moment’s thought.