McHenry County Blog

Polls have shown that Illinois residents don’t want expanded gambling, yet passage of the bill being considered by legislators in Springfield would make Illinois the gambling capital of the country.

Nevada would end up in second place.

Now comes a midday email from the Chicago Tribune, an advertisement, the heading says.

It urges recipients to contact their legislators and ask them to vote against the gambling expansion bill, Senate Bill 1739.

You can see the ad from the Coalition for Responsible Gambling below:

The ad has a place to click that takes one to where one can send an email to one’s legislator.

A press release from State Senator Pam Althoff in which the subhead I like best reads,
“Permanent Spending/Temporary Revenues“:

Senate Week in Review: March 4-8, 2013

Springfield, Ill. – In his annual budget message delivered March 6, Gov. Pat Quinn laid out a $35.6 billion General Funds spending proposal for the coming year.

Once again, the Governor proposed a budget that relies on temporary revenues to fund permanent government services State Sen. Pamela Althoff (R-Crystal Lake) said, explaining that the budget builds in expenditures based on the income tax increase that is set to expire in 2015.

Permanent Spending/Temporary Revenues

The practice of building long-term spending increases into budgets using short-term revenues has been characteristic of both Quinn and his former running mate, imprisoned former Gov. Rod Blagojevich.

Although the temporary tax hike adopted by Quinn and his fellow Democrats in 2011 was sold to the public as a means of paying off the state’s backlog of bills, it has instead been used to fund ongoing state expenses, even as the bill backlog continues to climb.

Illinois owes $1.6 billion more in unpaid bills today than when the tax hike was adopted.

Education on the Chopping Block

The Governor’s budget takes deep swipes at education funding in Illinois, both at the local school level and at public universities and community colleges. By making significant reductions in a politically- and publicly-sensitive policy area like education, Althoff said the cuts were an obvious attempt to build political pressure for pension reform.

Yet, the biggest challenge to achieving pension reform in Illinois is not a lack of pressure, but instead a lack of leadership from the Governor.

While Quinn has offered vocal support for the concept of pension reform, he has neither produced his own plan nor rounded up votes for other plans.

Group: Quinn’s Job to Make Pension Reform Happen

As the non-partisan “Reboot Illinois” noted the day after the speech, “…as governor, it’s Quinn’s job to make it happen. So far, Quinn has a slim record of success in walking delicate and difficult legislation through the legislature’s political minefield.”

The Governor’s Fiscal Year 2014 (FY14) proposal for Illinois’ operating budget totals $62.4 billion. Of that amount, $31.2 billion originates from General Funds. Included in this number is a $929 million increase for the state’s pension payment.

When spending items such as debt service payments and other statutory transfers are accounted for, total FY14 General Funds spending in this plan reaches $35.6 billion. This level of General Funds spending represents an increase of $1.2 billion over FY13.

Senate Republicans Offer Detailed Analysis

To encourage public participation in the budget process, Senate Republicans have made their own detailed internal analysis available to the public on their Web site www.senategop.state.il.us.

Gambling Expansion

In the speech, Quinn also opened the door to a gambling expansion. Within hours, supporters pushed a major gambling bill through the Senate’s Executive Committee, clearing the way for a vote before the full Senate. The measure would authorize a casino in Chicago, open the state up to Internet gambling, allow slot machines at horse racing tracks and allow four new casinos or riverboats in cities outside Chicago.

Details of Proposed Gambling Expansion

The proposed gambling expansion is contained in Senate Bill 1739 and includes the following major provisions:

• Chicago Casino: Creates a “Chicago Casino Development Authority,” which would be granted a license for a 4,000-position Chicago casino. The Authority would be run by a five-member board appointed by the mayor of Chicago and vetted by the Illinois Gaming Board. The Authority would also be able to offer slot machines at O’Hare and Midway airports.
• Internet Gambling: Authorizes Internet-based gambling, including Internet poker. Internet gambling would be limited to persons older than 21 and wagers could be accepted only within Illinois.
• Slot Machines at Horse Tracks: Allows for electronic gambling, including slot machines, at the state’s six racetracks – Arlington Park, Hawthorne, Maywood, Balmoral, Fairmont and Quad City Downs.
  New Riverboats/Casinos: Authorizes four new riverboats or casinos in Rockford, Danville, Lake County and Southern Cook County. Each would be allowed up to 1,200 gambling positions.
• Campaign Contribution Ban: Prohibits gambling licensees (including terminal operators from video gambling) and their affiliated entities (includes horse racing associations) from making political contributions to officeholders and candidates for the following offices:
  • State Constitutional Officers
  • General Assembly
  • county or municipal officeholders
  • candidates where a gambling facility is located or proposed
  • county or municipal officeholders and candidates where the county or municipality receives gambling revenue

The building that looks like a glass ski slope or a huge hot dog stand located across from Chicago’s City Hall was named for Governor James R. Thompson.

People call it the Thompson Center.

Land on which it sits used to be occupied by the Civic Center Bank and the Sherman House.

Both had interesting political connections.

Civic Center Bank stock was involved in financial shenanigans (read the political names in this court motion for more about the Civic Center Bank) uncovered by the late Sherman Skolnick. What he found resulted in two Illinois Supreme Court Justices (Associate Roy J. Solfisburg, Jr. and Chief Justice Ray Klingbiel) resigning. (A third resigned for “health” reasons, as I remember.)

The Sherman House was owned by the Teamsters Pension Fund.

And the State of Illinois bought both properties.

And built a new headquarters across the street from the old State of Illinois Building.

Now comes the head of the Chicago Federation of Labor, Jorge Ramirez, agreeing to a suggestion by Chicagoland Chamber of Commerce President Jerry Roper that the Thompson Center should be turned into a casino.

A friend of mind describes government as a way those in control can reward friends and campaign contributors.

If the Thompson Center is turned into a casino, more friends and campaign contributors will be rewarded, of course, but some small number to taxpayers will become winners, too.

Unfortunately, it will not have a 20-foot sign on its facade warning, “Losers.”

The Sun-Times article notes that the building is 28-years old and needs renovating.

When it was built, a crucial element was cut to save money. The windows were supposed to be double-paned, but the second, energy-saving layer of glass was eliminated in one of the worst false economies in Illinois governmental construction history.

The money lost at casinos in Illinois has increase over 20%, but money going to State Aid to Education is up only 2.1%.

One reason is that Illinois has a graduated income tax based on calendar years.

Because Des Plaines opened in July, it’s taxable income is based on six months revenue.

The other Chicago area casinos took huge hits on their gambling revenue, so their tax rates went down.

Besides that, the General Assembly sucked money off the top from what otherwise could have gone to education:

• 15% for the Horse Racing Equity Fund
• 2% as a subsidy to Cook County government for law enforcement
• 2% to Chicago State University (thank then-Senate President Emil Jones for that atrocity)

Gambling losses went up 33% in the first nine months of Fiscal Year 2012, according to the Illinois Commission on Government Forecasting and Accountability.

But the four exiting casinos saw losers bet 12% less.  Elgin, the closest to Des Plaines, had betters lose 19% less.  That amounted to $41 million.

Indiana casinos saw betters lose 4% less or almost $40 million.

Undoubtedly because of the closeness of Des Plaines to Chicago, overall casino gambling loses were up 10.7%.

The following got coverage in the Springfield State Journal-Register today and we reprint it with the permission of its author:

Get citizens’ input on casino

Gov. Pat Quinn recently rattled his sword in support of a casino in Chicago and four other sites in Illinois.

He also touted the feds giving the OK for Illinois to begin selling lottery tickets online.

Then he cited with enthusiasm video poker would be ready to start later in 2012.

Quinn in his rush to negotiate a suitable gambling expansion bill for Illinois has now become the “gambling king” in the United States.

What Quinn has not disclosed:

In order for the state to be successful at being a gambling winner, you the citizen must be the loser.

In December, the 1.3 million customers of Illinois’ 10 casinos lost $102 for each visit.

That is an average figure, taking into account winners and across all levels of gambling amounts wagered.

Quinn used to be in favor of citizen input into public policy issues.

But not anymore.

Now Quinn consults with legislators, who receive millions of dollars in campaign contributions from gambling interests, to decide for the “little people” what is best for them.

I am not a moralist opposed to gambling.

I play a game of skill called poker with my friends.

However, I never would waste my money at a casino on slots that are programmed for the fat cat casino owners and the state through taxes to win.

Casino gambling promoted by the state is a losing proposition for the citizens of Illinois.

If Chicago, a proven place of corruption, should consider a casino, it should be through a fair referendum of its citizens.

We urge Gov. Quinn to return to his former political self and save Chicago from a fate this world-class city does not need.

— Doug Dobmeyer, The Task Force to Oppose Casino Gambling, Chicago

A press release from The Task Force to Oppose Gambling for Chicago:

Gambling Expansion, Including a Chicago Casino Threatens Families in This Recession

Task Force Appeals to Quinn to Veto SB 744 House

(Chicago, IL…) The Task Force to Oppose Gambling for Chicago while opposed to a casino for Chicago is deeply concerned with the

• proposed opening of five new casinos,
• slots at the tracks and
• expanding slots at the existing ten casinos

in the middle of a major recession.

It is not known if the newest downturn in the economy is the feared “double dip” that has been speculated about, but it is clear economic times are not good.

The Illinois General Assembly passed last spring SB 744, the latest gambling expansion bill establishing casinos in

• Chicago,
• Park City (near Waukegan,
• Danville,
• Rockford and
• an undisclosed location in South Cook County).

The proposed bill will finally go to Governor Quinn for a decision on approval or not by early September. Quinn has raised concerns over the radical expansion bite to the state…

The Governor has met with some opponents and proponents of the bill. The Task Force to Oppose Gambling for Chicago sent the following points to Governor Quinn to consider:

1. The tenth license opened in mid-July in the near by suburb of Des Plaines. This casino will remove the concern Mayor Emanuel has about Chicagoans going to Indiana to gamble, thus removing tax dollars from the state. We have no position on the existing ten casinos in Illinois;
2. We are greatly concerned about how a casino will change Chicago forever, now an international business center and world class city orientated to families. Chicago as you know is vibrant, exciting and appeals to all classes of people;
3. We are also concerned about the impact on people with gambling problems. The research published in the Journal of Studies of Alcohol, November, 2001shows 4.2 percent of Latinos, 3.7 percent of African-Americans and .5 percent of Whites have gambling problems. The math shows that minorities will be carrying the burden of gambling problems. The issue of problem gamblers was mostly ignored by legislators. Gamblers with problems, which are expected to increase, were relegated to being collateral damage, aided by a paltry amount of addiction relief money;
4. Citizens of Chicago have not been asked their view on a Chicago casino through a referendum. We know you share a concern over the lack of citizen input on major public policy decisions;
5. We share as the Chicago Crime Commission and Gaming Board chair, Aaron Jaffe has articulated concerns over crime increasing. As you know in Chicago we need to be concerned about street and individual crime as well as institutional crime in a city with a reputation for such behavior; and
6. Mayor Emanuel has made several budget adjustments since taking office that allows him to do away with furlough days. This move effectively removes the city’s argument they are in dire financial straits and thus needing a casino.

Doug Dobmeyer Task Force spokesperson said,

“We ask Governor Quinn to veto SB744 to preserve the integrity of Chicago and Illinois we know it and veto SB744 as a major mistake of state public policy. If the bill moves ahead with the governor’s approval, the nature and culture of Chicago will change forever. Citizens of this city have previously indicated they do not favor a casino. Instead a coalition of non-Chicagoan legislators provided the leadership to pass the bill. Preserve your reputation as a leader for people instead of a shill for Vegas type gambling bosses.”

The Task Force to Oppose Gambling for Chicago is a coalition of religious, civic and neighborhood organizations committed to opposing casino style gambling in Chicago formed in 1992.

An op-ed piece submitted by Doug Dobmeyer:

What a Chicago Casino Means for Faith in Government

Government now under fire from so many sectors remain a necessary part of social life in the world, this country and our city. To this point city government has historically been the protector, helpful hand and sometimes arbitrator to citizens of Chicago.

Now, Chicago city government is setting a new course by wanting to become the owner of a casino to enhance the bottom line of money for city coffers.

This move takes the city away from the traditional way of raising money through taxes and fees.

The new method puts the city into the entrepreneurial class that calls for investment and a return of profit for a product.

In this case the product is called an entertainment venue.

Since most gamblers are losers, a happy face must be created for the losers.

Currently casino customers to Illinois’ nine existing casinos lose $102 on average for each visit.

With the move by Chicago to own a casino looms an opportunity for abuse of the city’s citizens and visitors to this world class city.

One concern is the problem gamblers who inhabit the gambling paradise being created. 2001 research published in the Journal of Studies of Alcohol shows 4.2 percent of Latinos, 3.7 percent of African-Americans and .5 percent of Whites have gambling problems.

The math clearly shows that minorities will be carrying the burden of gambling problems.

Chicago’s effort to have a city owned casino is certainly provocative and in some circles considered innovative.

The decision to move ahead with the radical departure from government as it’s been know for centuries comes without an ounce of discussion by the public.

A new mayor, in office for less than a month was instrumental in achieving what the long term former mayor was unable to accomplish in 22 years.

This radical change to the political landscape would reshape Chicago forever.

This change defies the concept of democracy by consolidating power for change in the hands of a very few people with no discussion.

History has shown similar undemocratic moves have proved to be detrimental for citizens.

We know that City Hall is frustrated with property taxes that seemed to have reached a maximum of taxation. Other income streams such as parking fees may have reached their zenith too.

Chicago government has been loath, unlike New York City to consider, let alone enact a city income tax or a tax on stock trades and derivatives. Both of these options would provide sufficient funding to finance city government. The taxation would fall within the traditional format of government.

Chicago has toyed with the entrepreneurial format when it leased the Skyway Bridge and now infamous parking meter deal with mixed results. Consideration has been given to leasing operations at Midway Airport, but the trigger has not been pulled. This inaction shows that Chicago is unsure and uncomfortable about jumping into this entrepreneurial format of government.

A citizen who gets into gambling too deeply will have to rely on self-interested private sector organization as the casino manager or the city as the owner to find assistance for remedies for their gambling problems.

This does not bode well for the problem gambler.

Citizens would be better served if before Chicago enters into any uncharted waters, to have a discussion in an unbiased manner with all sides represented.

If Chicago then decided to go the route of a city owned casino the support would be stronger.

If people through a referendum decided this was not the way to move then the subject should be dropped.

= = = = =
Doug Dobmeyer is the spokesperson for The Task Force to Oppose Gambling in Chicago. The Task Force made up of civic, religious and individuals has been active in opposing a Chicago casino for the past 22 years.

Monday, the Illinois Senate passed Senate Bill 744 by a vote of 30 to 27 with two voting “Present.”

The Senate roll call follows. The roll call by state representatives and an explanation of the bill can be found here.

The Senate roll call is below:

Every legislator who lives in McHenry County voted against this massive expansion of gambling in Illinois. State Rep. Mark Beaubien, who lives in the Lake County part of Barrington Hills supported the bill. State Senator Dan Duffy, also from Southeast Lake County, voted against the bill.

When the slot machine, euphemistically call video poker machine bill was passed, not only Beaubien, but his Republican colleagues Mike Tryon and Pam Althoff voted, “Yes.”

Remember the fight at the County Board level?

Patriots United weighed in and won.

Undoubtedly Althoff and Tryon were told of the tactics used by the social conservatives to marshal support for their position against slot machines in McHenry County.

While the two bills are not the same, they both were/are intended to expand gambling a lot. It seems significant that the county’s two Republicans were not voting “Yes” this time.

Democratic Party State Rep. Jack Franks voted against both bills and explained his position to a forum on video poker run by Patriots United.

And who is that friend who voted for a casino in Chicago and many other places?

State Rep. Mark Beaubien (R-Barrington Hills).

The 65-50-2 vote roll call is below:

In McHenry County State Representatives Jack Franks and Mike Tryon voted, “No.” State Rep. Mark Beaubien voted, “Yes.”

This bill will put slot machines at O’Hare and Midway Airports, the State Fair Grounds in Springfield and Illinois racetracks. In addition there will be four new casinos:

• Chicago
• Rockford
• Danville
• Somewhere in the South Suburbs
• Park City just north of Waukegan

Here’s a summary of what is in Senate Bill 744 as it left the Illinois House for Senate concurrence votes. (The State switchboard is 217-782-2000, if you wish to weigh in to McHenry County’s two state senators, Pam Althoff and Dan Duffy.)

House Amendment 1. Replaces everything after the enacting clause. Creates the Chicago Casino Development Authority Act. Provides for the creation of the Chicago Casino Development Authority, whose duties include promotion and maintenance of a casino. Creates the Illinois State Fairgrounds Racetrack Authority Act. Creates the Illinois State Fairgrounds Racetrack Authority to promote, operate, and maintain horse racing operations through a racing contractor in the Illinois State Fairgrounds. Makes corresponding changes in the State Fair Act. Amends the State Finance Act to create the State Fairgrounds Infrastructure Improvement Fund and the Future of Agriculture Fund. Amends the Illinois Horse Racing Act of 1975 and the Riverboat Gambling Act to authorize electronic gaming at race tracks (and makes conforming changes in various Acts). Further amends the Illinois Horse Racing Act of 1975. Makes various changes concerning Board members. Contains provisions concerning testing of horses at county fairs, payments from the Horse Racing Fund, and standardbred horses. Further amends the Riverboat Gambling Act. Changes the short title to the Illinois Gambling Act. Adds additional owners licenses, one of which authorizes the conduct of riverboat or land-based gambling in the City of Chicago. Makes changes in provisions concerning the admission tax and privilege tax. Makes other changes. Makes corresponding changes in other Acts. Amends the Video Gaming Act. Provides that the Illinois Gaming Board shall issue a provisional license to an applicant for licensure as a licensed establishment, licensed truck stop establishment, licensed fraternal establishment, or licensed veterans establishment if the applicant meets certain criteria. Provides that the Board shall adopt emergency rules to administer the Act within 120 days after the effective date of the amendatory Act. Effective immediately.

House Amendment 2. In the Riverboat Gambling Act, provides that beginning on the effective date of the amendatory Act and ending July 1, 2014, from the tax revenue deposited in the State Gaming Fund, $2,000,000 shall be deposited annually into the Foreclosure Prevention Program Fund.

House Amendment 3. Removes new provisions from the Illinois Horse Racing Act of 1975 concerning labor peace agreements.

House Amendment 4. In the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois, makes changes to provisions concerning the Depressed Communities Economic Development Board.

House Amendment 5. In the Illinois Horse Racing Act of 1975, provides that upon application the Board may issue a license to the Illinois State Fairgrounds Racetrack Authority authorizing the pari-mutuel system of wagering on live harness races, inter-track wagering, and simulcast wagering through a racing contractor, as that term is defined in the Illinois State Fairgrounds Racetrack Authority Act, at the Illinois State Fairgrounds in Sangamon County. In a provision providing that organization licensees awarded standardbred dates shall run at least 3,500 races in total during that calendar year, provides that standardbred racing conducted in Sangamon County shall not be counted towards the total number of races. Provides that annually, from the purse account of an organization licensee racing at the Illinois State Fairgrounds, an amount equal to 14.33% shall be transferred to the thoroughbred purse accounts of each of the following: Arlington Park Racetrack, Hawthorne Racecourse, and Fairmount Park Racetrack. Provides that beginning on January 1, 2013, from the purse account of an organization licensee racing at the Illinois State Fairgrounds, an amount equal to $100,000 shall be transferred into the Illinois Racing Quarterhorse Breeders Fund. Makes other changes.

If you would like to read the entire bill with all the amendments in the right order, you can do it here.

Here’s a press release distributed by the Task Force to Oppose Gambling for Chicago:

House Passes Expansion, Including a Chicago Casino 65-50-2 House

(Chicago, IL…) The Illinois House passed SB744, the gambling expansion bill establishing casinos in Chicago, Park City (near Waukegan, Danville, Rockford and an undisclosed location in South Cook County).

The bill now returns to the Senate for concurrence.

If the Senate concurs, it will go to Governor Quinn for a decision on approval or not.

Quinn has indicated the expansion is too large.

Task Force to Oppose Gambling for Chicago issued the following statement:

“We believe the passage of SB744 is a major mistake. If the bill moves ahead with Senate and Gubernatorial approvals, the nature and culture of Chicago will change forever.

“Citizens of this city have indicated they do not favor a casino. Instead a coalition of non-Chicagoans provided the leadership to pass the bill. It is a very sad day for Chicago that the coming years will prove what a mistake this bill is for Chicago and Illinois.”

When we went west two years ago, I insisted we at least drive by the Corn Palace.

My family had toured it over 50 years ago and it certainly was worth a look.

I had just done a year or two before before when I went with Penny Pullen to a Pro-Life referendum committee meeting at Chamberlain.

Neither time did we go inside.

Time was the factor earlier this decade.  So we just did a drive-by in Mitchell, South Dakota.

My cheapness and mid-1950′s memory of there being not much worth seeing inside was the reason during our 2009 trip.

But when I was reading the December 3, 2010, article about the Corn Palace in the Chicago Tribune, I discovered there is no entrance fee.

Attendance is down from 500,000 twenty years ago to 279,000 in 2009.

In 2010, it was up to 311,000.

So, what has the city council done?

Besides making the price right, it still has a corn museum and a gift shop, but they’re trying to make it more of a destination.

The next time we go west, it will be through S.D. and we’ll again take the highway exit from Interstate 94 at Mitchell.

And, my wife and son will go inside and look around while I take pictures, rather than their waiting for me in the car in a spot within eyesight of the Corn Palace.

And, you know I look for things political everywhere I go.

What I found in the local newspaper, the Daily Republic, was an article that, knowing George McGovern was born in Mitchell, North Dakota, might make perfect sense.

Good Samaritan Becky Handrahan was giving rides to people the way FISH of Crystal Lake did back in the 1970′s.

She was accepting tips to help pay for the gas.

The Mitchell City Council decided she needed a license like a taxi.

Read it for  yourself.

If it moves, regulate it, I guess.  Then, tax it.