Dear Editor:

While the American Gaming Association does not take a position regarding Maryland’s debate over gambling expansion, we do respond to inaccuracies in the media. The Sun’s Nov. 16 editorial “The smart state” made a number of accusations about gaming that are not supported by the facts.

In contrast to your claims about the overall impact of casino gaming, community leaders from gaming jurisdictions such as Alton, Elgin and Joliet, Ill.; Gary, Ind.; Bettendorf, Iowa; Bay St. Louis, Biloxi, Gulfport and Tunica, Miss., and Reno, Nev., all testified before the congressionally chartered National Gambling Impact Study Commission about how casinos have changed their towns for the better by creating jobs, promoting tourism, reducing property taxes, generating economic development and capital investment, and increasing overall tax revenue.

Research conducted for the federal commission corroborated the statements made by these community leaders. One report concluded that “…[A] new casino of even limited attractiveness, placed in a market that is not already saturated, will yield positive economic benefits on net to its host economy.” Further research found that the presence of casinos had no impact on crime and actually reduced social service demands such as welfare payments, unemployment rates and unemployment insurance.

Social service demands dropped because of the creation of casino jobs. While your editorial downplayed their significance, these new jobs mean an opportunity for advancement and benefits such as health insurance, day care and continuing education for those who are unemployed or underemployed.

Casino gambling is not expected to be an entire solution to fiscal problems, just part of a package that can help provide an economic stimulus to a community. And contrary to the demands of biotech, information technology, and other industries hotly pursued by states, the gaming industry will not demand tax breaks, subsidies or other government largesse—in fact, quite the opposite.

The federal commission found that there are considerable economic benefits from casino gaming, but those findings were not reflected in your editorial. Unfortunately, it is editorials like this that perpetuate misinformation about our industry and cause those unfamiliar with gaming to react based on stereotypes instead of reality.

Sincerely,

Frank J. Fahrenkopf, Jr.
President and Chief Executive Officer