Ohio Lottery privatization critics getting louder

Jun 22, 2011, 10:57 am (6 comments)

Ohio Lottery

COLUMBUS, Ohio — A chorus of critics across the political spectrum is rising up against plans by Ohio Republicans to privatize day-to-day operations of the state lottery and expand its reach into slots-like video lottery terminals at horse tracks.

On June 17, the American Policy and Ohio Roundtables condemned an agreement between the state and Rock Ohio Caesars, the operator of planned casinos in Cleveland and Cincinnati. The conservative policy groups, which opposed the 2009 constitutional amendment that brought casinos the state, said they anticipate multiple lawsuits challenging GOP Gov. John Kasich's deal with the developer and lottery privatization.

Also this week, a union representing lottery workers said privatization would cost jobs, and a left-leaning think tank said the video slots deal would be less lucrative for the state than a similar plan under the previous governor.

American Policy Roundtable president David Zanotti said: "Of course we're going to litigate, and so are a bunch of other people. You can rest assured what they're opening up is a Pandora's box of lawsuits that is going to go on and on and on — because you can't go about trying to make fixes the wrong way. You can't do what they're trying to do."

A deal that Kasich and ROC announced June 15 in both Cleveland and Cincinnati dictates how the state's commercial activities tax will apply to casino revenues and allows the slots-style VLTs at Ohio's seven horse tracks. In exchange, the company agreed to pay an additional $110 million to the state over the next 10 years. VLT operators would pay $50 million each plus a 33.5 percent tax on revenues.

The operator of two other casinos authorized in the 2009 amendment, Penn National, has not yet signed onto the deal.

Zanotti said that because the casinos' business plan is contained in the Ohio Constitution, all changes to that plan must be there as well. He faulted Kasich for engaging in "some amazing political corruption."

"The governor's going around the state shaking hands, making statements, and claiming that conflicts that exist within Issue 3, now Article 15 of our Constitution, by simple agreements, by arrangements, by trading dollars here for exemptions there — completely outside the legislative process and outside constitutional authority," he said.

Kasich spokesman Rob Nichols defended the governor's efforts.

"We don't comment on litigation," he said. "Regardless, the governor is very pleased with the deal reached Rock, with the additional $110 million coming to the state, and with the significant number of jobs and substantial economic development provided for under the agreement."

AP

Comments

C0w Pi3

I'm all for slots at Racetracks especially in ohio since they need it badly, but I'm not for privatization of the lottery..

joshuacloak's avatarjoshuacloak

wait a sec,

union representing lottery workers

if their 1 thing i hate about govt, its Union govt workers

i say privatization it, and fire all their beeps,

privatization would save money if a union running the Show.

however, i sure think, by having a non union workforce, and hiring the right CEO , that's allowed to go All out, do whatever they want with the lottery, with mission to earn ever dollar they can

they can make More money then privatization it, and why even give someone else besides the state govt a cut of the profits!

it makes no sense!

all their saying really to the public is

we the state govt Suck at our jobs so Bad, we can't even hire a decent lottery CEO and let them run the lottery to its max profit point

in short by their priavatzation of the lottery, they admit they are unfit to be public slaves in office  and they may will, and  should all Fire them self's  as they are unfit for office of state their in.

it makes no sense what so ever, to share the profits with outsiders, aka investers who buyed the govt off

why give your profits to someone else!

thro i do admit, govt is one to Blame for limiting their profits to begin with

, a outside group who allowed to run it like they own it,would in fact,  do ever thing i think to earn a buck for their bottom line of earning profit to max possible

whole govt workers, just need to show "some" numbers proving their not killing past profits ,and they get big fat bonus for doing a half assed job

f just staying with same or little higher numbers, they act like a for profit company and do ever thing in their power to blow last years sales out of the water with more sales ever year/

o will, am hoping ever lottery that does privatization goes on to Pwn past sells, and show all the state run lottery's how it should Freaking be done in first place

the players may end up winning via privatization but the states just selling out like total whores that have No skill in running a lottery , and giving up some profits to someone else cease they Can't do a decent job of running their own lottery

rdgrnr's avatarrdgrnr

Funny how the dems ignore, disobey and trash the Constitution on a daily basis.

Until they think it suits their purpose.

Then they become strict Constitutionalists.

Williewill

Sorry to hear that Ohio is going that route I live in Illinois and a private politically connected company is now running the lottery system here with there fancy new machines and the same pick 3 numbers keep coming back in the lottery just gonna bleed the players dry....politicians play by there own rules

kenny c's avatarkenny c

Would be nice if we could all stop playing lottery in Ohio for a whole year maybe they'll stop playing dirty pool.

RJOh's avatarRJOh

Quote: Originally posted by kenny c on Jul 9, 2011

Would be nice if we could all stop playing lottery in Ohio for a whole year maybe they'll stop playing dirty pool.

Be even nicer if we could all stop smoking and drinking in Ohio for a whole year but smoking, getting drunk and playing lottery are things some people chose to do and if they can't do them in Ohio then they'll travel out of state to do them.

End of comments
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