Staff Blog
The Buried Lead: table games bills would extend credit to slots
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On the face of it, the effort to introduce table games to Pennsylvania casinos didn't seem like a major expansion of gambling. Table games, after all, are expected to produce only about $200 million a year, including licensing fees, in state revenues, compared to the nearly $1 billion that came in from slots last year (with some casinso yet to open).
Table games are also less directly tied to gambling addiction and problem gambling.
But a tiny clause in table game legislaiton – one that has gone almost completely unreported – makes table games, expected to pass any day now, potentially a much bigger deal indeed: a clause that would let casinos extend credit to slots and table games players.
Why is this a big deal?
When I first began reporting on the ever-growing casino industry and its ever-growing dependence on slot machines for its profits, I encountered horror stories about what happens when casinos extend credit lines to gamblers.
Some of those stories related to Foxwoods – not the facility being built here but the one already operating in Connecticut. Foxwoods' owners, acording to work done by journalist and professor Jeff Benedict, had pursued gambling debts to the point of placing liens on the debtors' houses and appearing as creditors in foreclosure documents.
The idea that casinos – which, according to respected studies, make a disproportionately large amont of their profit from problem gamblers – would be acting as mini-banks for those very gamblers seeemed pretty disturbing.But the issue, i was told, was a red herring: because Pennsylvania doesn't allow casinos to extend credit to gamblers.
Apparntly, however, they're about to.
Both table games bills being considered – Senate bills SB711 and SB1033 – contain the following clause(1326A.b):
A certificate holder may make credit card advances and debit card withdrawals available to patrons at its licensed facility [ . . . ] A certificate holder may extend credit to patrons for the purpose of playing slot machines or table games.
This goes directly against the current law, which states, in unusually direct language, that:
Slot machine licencees may not extend credit. Slot machine licensees may not accept credit cards, charge cards or debit cards from a player for the exchange or purchase of slot machine credits or for an advance of coins or currency to be utilized by a player to play slot machine games or extend credit in any manner to a player so as to enable the player to play slot machines.
The Daily News recently called table games "a trojan horse," but mentioned the extension of credit only briefly. Other than that, this news has gone – as far as I can make out, anyway – virtually unreported.
The idea of this legislation being a trojan horse demands serious attention. Were table games really just a way to get previously-banned practices, like the extension of credit, into the slots parlors?
And why is no one talking about this? The difference between a casino that can lend money to its lots players and one that can't would seem pretty significant.
Here is what Gov. Rendell and our legislators given our casino operators to seduce their prey. 24/7 gambling, Free booze, Check cashing, Smoking areas inside, Comping that makes many justify their losses and now with table games comes interest free Credit.
Once more our House members will have another chance to save individuals and families in Pennsylvania from being destroyed by a compulsive casino addiction. All they have to do is vote YES this time for Rep. Clymer amendment on TABLE GAME legislation. His amendment will make our gaming operators, who already have in place with their REWARD/COMP CARDS a tracking system that enables them to send their patrons monthly statements showing their money and time spent gambling?
This has been the only legislation put fort in our House and Senate since gaming passed that addresses the compulsive casino gambling problem before one has the problem. What I can’t understand is why no anti-casino person or organization in Pennsylvania has yet to support me or Rep. Clymer’s efforts. Who knows how many individuals and families would be better off today if they were getting casino statements.
You can help stop the casino casualties from hitting astronomical numbers by calling your state legislators and telling them you supporting Rep. Paul Clymer legislation to send monthly statements.
To learn more about my credentials on this subject go on line and look up Bill Kearney on casino gambling or you can contact me @ billkearneycomped@hotmail.com
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