N.C. Senate lottery opponents worry about expanding video poker

N.C. Senate lottery opponents worry about expanding video poker By GARY D. ROBERTSON Associated Press Writer A Senate committee Wednesday began scrutinizing the lottery bill passed by the House earlier this month, with several members on the panel worried it could open the door for slot and video gambling machines and online games. "It's got an awful lot of problems," Sen. Dan Clodfelter, D-Mecklenburg, said after an hourlong hearing on the measure in the Senate Select Committee on the Lottery Bill. "It does seem to open the door to video gambling of all types." The measure, which passed the House on April 6 by a vote of 61-59, with lobbying from Gov. Mike Easley, would allow the proposed state lottery commission to promote "online games" and "games played on computer terminals or other devices." Clodfelter said the bill could allow for slot machines that dispense a ticket redeemable for cash instead of actual coins or currency. Even the panel's chairman, lottery supporter Sen. Tony Rand, D-Cumberland, acknowledged that the language gave him pause. The Senate has passed bans on video-poker machines three times this decade, though the House has yet to take up any of those bills. "I want to know, is that just another name for video poker," Rand said. "They say not, but the question they asked made it sound awfully close." Bill supporters have said the language is meant to be broad so that whoever operates a North Carolina lottery is free to offer a range of electronic games. House Speaker Jim Black, D-Mecklenburg, has said any change by the Senate to the lottery bill passed in his chamber could break the fragile coalition that got it through. Many undecided lawmakers voted yes because of specific language in the bill. Rand doesn't expect passage of an unchanged bill. "It's not likely that it will be approved in the form that it's in now," he said. The committee plans to meet again next week, Rand said, adding that he doesn't expect a vote on lottery legislation until early May. At least five of the 29 Democrats in the 50-member Senate have expressed opposition to the lottery bill as it now stands. If all 21 Republicans voted no on the bill, that could put passage of the measure in doubt. Rand said he didn't know whether the lottery bill would be bundled with the Senate version of the state budget - a maneuver that could make it harder for Democratic opponents to vote no. Rand was confident in the final outcome: "Sure we have the votes for a lottery bill, (but) which one?" The measure approved by the House would set aside half of net lottery profits to local school construction. Another 25 percent would go to need-based scholarships, with the rest placed in an "Education Enhancement Fund" controlled by the General Assembly. Bill supporters and Easley believe the lottery could generate annual net revenues of $400 million to $500 million. As the only state on the East Coast and one of nine nationwide currently without a lottery, North Carolina needs to recoup the money its citizens now spend in other states buying lottery tickets, gas and food, a co-sponsor of the House bill said. "I think a lot of us agree the state shouldn't be in the gambling business," said Rep. Bill Owens, D-Pasqoutank. "Unfortunately, what's worse than us being in the gambling business is allowing hundreds of millions of dollars to flow out of our state to educate other kids." Senate committee members asked largely technical questions about the bill. Panelists asked a committee staff member whether the bill would allow the state to join multistate lotto games like Powerball. That's unlikely, due to the bill's restrictions on lottery advertising, the staffer said. Lottery opponents argue a state-run numbers game would prey on the poor, promote gambling among young people and be an inefficient source of revenue. Bob Rosser, an anti-lottery organizer, said he hoped Wednesday's hearing would make both Senate and House members think twice about their support for a lottery. "The more light that's shed on the subject, the better," he said.