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Seminole Gaming Under Fire

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By CATHERINE DOLINSKI

cdolinski@tampatrib.com

Published: December 17, 2008

TALLAHASSEE - South Florida race track owners stepped up their campaign Tuesday to convince state lawmakers to take away the Seminole tribe's exclusive right to offer banked card games like blackjack.

Their new ace in the hole: the state's budget woes. The racetrack owners told reporters Tuesday that "leveling the playing field' between tribe and non-tribe gambling facilities would yield the state a bigger portion of the proceeds.

Last summer, the state Supreme Court voided the Seminoles' compact that Gov. Charlie Crist negotiated with the tribe. The court found that Crist had exceeded his authority by not getting the Legislature's approval for the deal, which allows the Seminoles to offer casino-style slots and gives the tribe exclusive rights to offer banked card games in exchange for the state receiving at least $100 million per year.

That translates to a tax rate of 7 percent - and it's not enough, according to the parimutuels, who pay a tax rate of 62 percent. The industry wants "a level playing field," meaning no exclusive gaming rights and comparable tax rates. Do that, they said, and non-tribal facilities will get more business and more than double the amount of money they send the state in annual taxes, perhaps reaching $500 million annually.

Lawmakers and Crist are starting work on another compact, which could either reflect or depart from the original terms. Meanwhile, the Seminoles continue to offer the games and pay the state its share of the take, because federal rather than state law governs tribal gaming. The House's new compact committee meets for the first time Thursday; its leader, Rep. Bill Galvano, R-Bradenton, has already voiced concerns about the card games.

Creating a "level playing field" will mean the Seminoles pay nothing to the state, said Barry Richard, the tribe's attorney. Federal law gives the tribe all gaming rights held by any other facility in the state, he said. "They're paying for exclusivity."

Reporter Catherine Dolinski can be reached at (850) 222-8382.

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