Is Gambling the best bet for New Hampshire?

Issue Facts
By: Scott Spradling, Fix It Now member and Jim Rubens, Granite State Coalition Against Expanded Gambling
Some forms of gambling have been permitted in New Hampshire since 1933, when pari-mutuel betting began, followed by the opening of the Rockingham Park horse track and later the Seabrook dog track.
We were the first state to have a lottery, which was established in 1964, and in 2009 it generated net revenue of $68 million.
State revenue for gambling goes towards education programs, and since our official lottery began over $1.3 billion has been generated for this purpose.
New Hampshire also permits several other forms of gambling, such as bingo and poker, with a portion of proceeds benefitting charities. An undetermined number of residents also gamble online on illegal gambling websites that are not state regulated.
To deal with the state’s budgetary stresses, worsened by the recent recession, several bills were introduced in the Legislature during the 2009 session to legalize video slot machines at race tracks (racinos), certain hotels and resorts, or at state-owned facilities. None of the bills passed in the Legislature, but the issue is still hotly debated because of continuing state budget problems and as a result of Gov. John Lynch’s decision to form a commission to examine the ramifications of expanded gambling. After a series of hearings, the Governor’s commission issued its final report in late May.
Two bills proposing expanded gaming were introduced in the Legislature in 2010. A more expansive bill - SB 489 - was passed by the Senate in March but defeated by the House in April.
A second proposal was initiated in May. It calls for:
- up to 10,000 slot machines at four facilities across the state
- two facilities could have up to 3,500 slots, with a licensing fee of $50 million
- one location could have 2,000 machines, with a licensing fee of $30 million; and one could have 1,000 machines, with a licensing fee of $15 million.
- all facilities open to competitive bidding
Each gambling facility would need charitable gaming (scratch tickets, Bingo) on site. Any city/town hosting a facility would need approval by public vote.
The Lottery Commission would be in charge of regulation with the Attorney General's office responsible for background checks of facility operators. The bill would also authorize a commission to study gaming regulatory oversight.
Here's a breakdown of the revenue:
- 30-percent of income generated from the slots would be distributed to the state
- 9-percent would be divided between host municipalities and adjacent cities/towns, county property taxes, the Department of Health and Human Services, the Department of Resources and Economic Development, and police and fire services.
The bill would establish a program to treat gambling addiction.
The proposal would also establish a permit process for table gaming (poker, roulette or blackjack) with a $10 million licensing fee.
The bill passed the Senate (14-9), but failed in the House (191-141) during a special legislative session on June 9.