My Question to the Governor: Sports Betting

Filed in Delaware by on April 1, 2009

Yesterday at the blogger meeting with Governor Markell I asked him to justify the plan to implement sports betting with one of his stated restrictions.  Markell opened the meeting with a message that included a desire to not do long-term damage to get a quick fix to our problems.  Bringing sports gambling to Delaware seems to be a short-term fix with long-term consequences.  Whether you agree with sports betting or not, there is very little denying that it will have long-term impact.

Gov. Markells answer was that there was a decision made 15 years ago to bring gambling to Delaware, so that horse is out of the barn, so to speak.  Delaware also has a competitive advantage over other states (they cannot have sports betting) and we should exploit that advantage to benefit Delaware.  Finally, we would need to come up with that money somewhere else if we don’t have sports betting.

As I have thought about this, I think this is crap.  First, it is an acknowledgment of the slippery slope arguments’ validity.  The fact that we have slots video lottery does not directly lead to sports betting any more than Powerball led to the slots.  And if it does, then why not just go all the way and allow all sorts of gambling?

Second, we will need to plan for dealing with more people (our citizens as well as others that will come here for the betting) that have gambling problems.  We may very well have an increased crime rate and thus a higher incarceration rate.  All of that falls under the “long-term problems” heading.

Finally, the argument that the $55M $15M would need to be found somewhere else in the budget is weak.  Yes, of course it would.  So we need to find that money.  Perhaps you tax us more.  Perhaps you cut some services.  In other states that do not have the option they are finding ways to deal with this.  This seems like too much easy money and not enough of the deep diving to find savings and making the people of Delaware pay for the kind of government that they want.

If we decide to give in to the easy money with potentially long-term implications, let’s do something really radical and decriminalize marijuana possession or legalize protitution.  Both would have the effect of saving us money by reducing incarceration rates as well as generating revenue on the reverse if we can find a way to tax both “products”  We could even allow Dover Downs to administer both programs.

Or if you want to generate revenues and stimulate the economy (especially small businesses) let’s legalize same sex marriage and reap the rewards of thousands of same-sex weddings, receptions and honeymoons in Delaware as loving couples from around the country flock to Delaware.  That is thinking outside the box.

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  1. Grumbles About Gambling « kavips | April 2, 2009
  1. Geezer says:

    The money involved is not $55 million — it is $15 million. About $40 million will come from increasing the state’s take of the profits from 37 to 45 percent.

    Sports betting is the carrot to get the legislators who protect the racinos to agree to boost the state’s cut of the profits. More casinos is the stick. Neither has any real economic connection to the important chunk of money, which is the $40 million. You’re supposed to be willing to allow sports gambling in order to get your hands on the extra $40 million.

  2. JimD says:

    Good call, we cannot let something like sports gambling come to Delaware. Next thing you know, we’ll have drinking and pre-marital sex going on.

    Seriously though, why does everyone think that making vices illegal is the only way to safeguard society from crime? Has making drugs illegal made this country any safer? Hasn’t making sports betting illegal just led people to place their bets with people who don’t go after your credit score but your kneecaps?

    I’d like to hear where the line is between the state making money off of sports gambling and it making money on liquor taxes is. People are going to do bad things, should we treat them like grown ups and let them or should we baby everyone and only let them do what we think they should?

  3. Jim,

    Has making drugs illegal made this country any safer?

    have you not seen the videos from the 50’s? REEFER MADNESS! Boys will be masturbating all over the place. The ghetto’s will be riddled with poor people! ANARCHY!

  4. Unstable Isotope says:

    I guess I’m not a big fan of laws protecting us from our own vices. I think it would be cool if we became a marriage mecca.

  5. jason330 says:

    Sports betting takes a step toward Potterville and a step away from Bedford Falls.

    I think that there is a statewide quality of life issue here whether you bet or not.

    And yet, as long as we have a whole segment of society that thinks taxes are just about the worse thing since rolling around on broken glass soaked in aids – then we are going to have to contend with BS like this.

  6. Von Cracker says:

    I understand your reservations, LG, but aren’t we adults?

    Chronic sports gamblers know how and where to place bets today (illegally), so to take the profit from the underground to the state coffers, is exactly the justification needed to make this a reality.

    I don’t need a bunch of ‘what ifs’ and ‘think about the children’ BS from the moral legislators….it’s my money.

    FYI – I rarely bet on sports.

  7. liberalgeek says:

    Thanks Geezer. Fixed.

    This discussion is not about making things illegal, it is about not legalizing and benefiting from something that is currently illegal.

    I am not making any moral judgment about sports betting per se, I am making an argument that there are a number of quality of life issues that have not been researched and may have long-term deleterious effects on the State of Delaware.

    If we want to have a discussion on the merits of sports betting, fine. Let’s not have the discussion while we are under the gun to get the money.

  8. liberalgeek says:

    Oh, and for the record, I am not a gambler, a smoker, a toker or a john. But I am far from a saint.

  9. cassandra_m says:

    I agree with Geezer that you are watching right now cards being played, not necessarily a demand for this specific end state.

    That said, whether you are under the gun for funds or not, the arguments for and against this thing aren’t going to be much different. If you are making policy because a few people will abuse it, then you ought to be ready to ask the state to make all 3 counties dry counties and ban the selling of cigarettes in the state. I think that the question that you have to ask is if the state should protect its citizens against every possible thing that could be abused or accept that humans are built to abuse some stuff and try to deal with the few who actually have those issues.

  10. liberalgeek says:

    Cassandra, then by all means, let’s decriminalize everything. I would hate to protect everyone from the ills of heroine use just because some will become addicted.

    The issue, to me is whether or not this has been thought through or if it is being rammed down our throats so that the gambling lobby can get an east coast foothold.

  11. Steve Newton says:

    Cassandra, then by all means, let’s decriminalize everything. I would hate to protect everyone from the ills of heroine use just because some will become addicted.

    LG: Perhaps some day either read or listen to Jack Williamson’s famous short story

    “With Folded Hands”

    The radio adaptation is here

    http://ia331341.us.archive.org/2/items/OTRR_Dimension_X_Singles/Dimension_X_1950-04-15__02_WithFoldedHands.mp3

  12. liberalgeek says:

    I’ll listen to it soon, Steve.

  13. cassandra_m says:

    The gambling lobby already has an east coast foothold. It is called Atlantic City. They have multiple outlets in PA, NY, CT and DE.

    So what else is there to think through? Every argument I see about this involves protecting some group of people from gambling abuse, or protecting poor people from wasting their money. The state has crime now, and I’d bet that no one has any stats that says that crime is worse around Stanton and Dover venues. So what else is there that no one hasn’t dealt with?

    And very much like heroin, criminalizing sports betting certainly hasn’t stopped people who want to do it. And there are likely alot more people with a business relationship with a bookie than those with a drug dealer.

  14. liberalgeek says:

    They have no foothold for sports betting on the east coast. The problem with sports betting as opposed to all other forms of wagering is subject to human tampering. Dice are difficult to influence. Cards are hard to count and stack against the a wagerer.

    But for a few hundred grand, a star play can be influenced to be less than stellar. A referee can be encouraged to call fouls a little more strictly for one team over another. Sports betting is very different. It will attract a different type of gambler and it will attract a different set of problems.

  15. jason330 says:

    As I read this, I’m thinking that it was Cassandra pointing out how paternalistic my postion was that made me soften on sport betting a few months ago.

  16. cassandra_m says:

    This happens now with the illegal sports book. And this guy is one that got caught. This kind of manipulation is supposedly quite rife already in the boxing arena.

    Legalizing the sports book (which the Delaware plan wouldn’t entirely) won’t damage the illegal sports book quite as much as the lottery did to the “numbers” games. Is there a greater incidence of undermining games for bettors out west?

  17. cassandra_m says:

    And just like back in Jason’s thread some time back, I’m not really arguing for sports betting. I’m mostly agnostic on the whole thing. I just don’t much care for the arguments that call for special consideration of some harms that may occur with legal betting that are already happening for illegal betting.

    To me, the real fight is one for a policy that doesn’t count on gambling revenue as a reliable source. That just lets governments of the hook…

  18. Joanne Christian says:

    LG-I’m with ya on all of this, and DO NOT want to see any more revenue stream DEPENDENT on increasing our gambling options. Just check out the state of Florida and how they are scrambling now in education because of shortfalls of the expected income from gambling. No social commentary from me, because I don’t care what you do with your own money–but ANY revenue from these programs should be allocated to “special/ wish list, or rainy day funds”, and not designated to the backbone funding source for ANY vulnerable population group a state is RESPONSIBLE to–whether it be senior citizens, or public education. Consider long and hard how much that dollar is costing you, in repositioning of a whole bunch of unintended burden. If Las Vegas the gambling mecca is falling on exceptionally hard times , and at least has decent weather 9 months a year, who on earth would think Delaware is going to re-invent a destination or gambling venue/system to undercut any SUSTAINED appreciable benefit. The last corner of that take was the Indian sites. Don’t be fooled with this one. Just say no to this boondoggle–and get crackin’ with some real brainpower solutions of entrepenurial excellence that this state should be a haven for. I’d rather gamble on that.

    And LG–if you’re not a smoker, or a toker, are you the midnight joker? Help me out here Pandora/Nemski with the tunes….

  19. Von Cracker says:

    LG’s real name is Maurice!

    sorry..had to.. 😉

  20. liberalgeek says:

    Always with the outing behavior. 🙂

  21. Joanne Christian says:

    Thank you Pandora! No “midnight toker”–I guess LG is the space cowboy–unless he wants to be Maurice. But I digress.

    All social ill argument and costs aside. I want no main revenue source dependent upon what is generally allocated to discretionary income of an individual’s budget. How’s that for you in a nutshell Jason, Cass, and Geek to assuage guilt of being accused of saving people from themselves?
    I can’t rely on discretionary, I need more real funds!

  22. JimD says:

    I agree with Joanne but I think its a lost cause trying to get governments to not count chickens, like property tax revenue or gambling revenue, before they’re hatched. Hell, New Castle County doubled down on (gambling pun reference intended) property values to continue to go up forever. I hear the budget shortfall has gotten so bad that Mr. Coons is going to announce later today that he’s hiring the cast of the show Reno 911 to replace the NCCPD. I think Governor Markell is trying very hard to get Delaware out of a very bad position in a very bad time. Also, LG, I’ve got no issues legalizing heroin. I’ve always felt that everyone who does heroin is going to do it, illegal or legal.

  23. Another Mike says:

    Sorry Geek, you pompatus of love, we’re going to have to agree to disagree on this one. The money is being gambled already. through some guy at a bar, a student in the next dorm, or over the phone. Why not get a piece of the show?

    Does the state have any means already in place to make sure gamblers at the three racinos and those buying powerball tickets are not spending over their heads? Why should sports betting be held to a different standard? We already sanction gambling in Delaware; this is a logical extension.

    What’s the difference between a sports parlay and playing the ponies at Delaware Park? Maybe we should close the tracks as well.

    BTW, how many of you are involved with college basketball pools this weekend? I’d bet (pun intended) that some of them involve money.

    The casinos in Nevada, New Jersey, Connecticut, New York and elsewhere have highly trained professionals to deal with the kind of issues you bring up. We’re not reinventing the wheel here. These kinds of concerns can be addressed, and have been in many other locations.

  24. cassandra_m says:

    If there is real data that shows the saturation of betting in the Northeast, I’d like to see that.

    It makes sense to me that there is a limited amount of money that is available to gambling. I don’t know if that limit is yet known. Certainly lotteries are not as robust as they used to be, I think. Which is why I really would not want to see gambling revenue treated as a fixed source. Put it into rainy day or other cushion funds and then send residents a surplus check every year. Knowing that in bad years the amount of money distributed gets smaller. Or hand out the money as scholarships.

  25. Mark H says:

    “Certainly lotteries are not as robust as they used to be, I think”
    You’re right!
    Delaware’s has not done so well since Pennsylvania started selling Powerball tickets.

    “Which is why I really would not want to see gambling revenue treated as a fixed source.”
    Good Luck on that one 🙂