Opinion: Poarch Creek gaming deal won't help state's economy

From the beginning of the Great Recession in 2008 to 2012, the typical lottery state saw the amount of lottery-generated revenues transferred to the state decline for an average of two years, with sixteen states reporting declines for three or more years. Similar losses in gambling-related tax revenue occurred in the same five-year period in the twenty states with either land-based, riverboat, or racetrack casinos, with seven states having yet to recover to their 2008 tax revenue levels. Moreover, because Alabama’s per-capita income is lower than the national average, fewer dollars could be expected to be played at gambling venues.

Even the Poarch Creeks admit they cannot expect to live off of gambling revenues forever. In the words of Tim Martin, the President/CEO of the Creek Indian Enterprises Development Authority, “We work with the philosophy that gaming is going away–a little bit every day.” If the most adamant supporters of casino gambling in Alabama are diversifying in anticipation of the day that gambling revenue will end, why should the Legislature believe that legalized gambling will provide a steady source of income?

Finally, the market for large-scale gambling in the United States is already swamped. With 95% of Americans already living in lottery states, and most living within a few hours’ drive of one or more of the 979 casinos scattered across the country, there is no reason tourists would come to Alabama to gamble. Only local income will be captured. Moreover, if casinos or a lottery were legalized to prevent Alabamians from gambling at venues in neighboring states, it would be an admission that it is Alabamians the gambling interests want to prey upon.