Saturday, January 13, 2007

Proponents and opponents of gambling are preparing to square off again this
year as the new Legislature gears up to decide if slot machines should be
allowed in places other than the Hollywood Slots parlor that opened in
Bangor in 2005. Three state legislators are drafting four bills that, if
approved, would allow casino gambling in Maine, create another so-called
"racino" with slots and harness racing, and allow two of Maine's Indian
tribes -- the Penobscot Nation and the Passamaquoddy Tribe -- to install
slots on tribal lands. At the same time, Gov. John Baldacci has renewed his
opposition to more gambling in Maine, suggesting that supporters may have an
uphill fight. The flurry of legislative activity comes as supporters and
opponents of gambling continue their efforts to place citizen-initiated
referendums on the ballot to let voters decide such issues. It also follows
heated, and unsuccessful, drives in the last Legislature to either allow a
racino in Washington County or to let the voters settle that issue. Backers
of a Washington County racino hope to learn later next month if they
collected enough valid signatures to force a November vote on their plan.
Meanwhile, a referendum campaign to outlaw slot machines in Maine and a
competing referendum drive to allow a casino in Oxford County have yet to
submit their petitions to the state. Seth Carey, an organizer of the Oxford
County casino campaign, said Wednesday he has abandoned plans to get that
proposal on the ballot this year and hopes to collect enough signatures to
schedule a referendum in 2008. It was not clear Wednesday if the group that
wants voters to outlaw slot machines will meet the state's Jan. 25 deadline
for submitting petitions in time to schedule a referendum this year.
The looming legislative battle centers on bills filed by Democratic Rep.
Deborah Simpson of Auburn, Passamaquoddy Tribe Rep. Donald Soctomah and
Penobscot Nation Rep. Donna Loring. None of their bills has been drafted
yet, but interviews with all three lawmakers confirm that they hope to
expand gambling in Maine.

Simpson, who supported a failed 2003 referendum that would have allowed a
tribal casino in Maine, said Wednesday her bill would order the state to
find a developer to build, operate and own a casino somewhere in southern
Maine, possibly in cooperation with one or more Indian tribes. The host
community would have to approve the plan before a casino could be built, she
said.

A casino would be "more of a resort destination" than a slots parlor or a
racino, Simpson said, because it would include a hotel and a conference
center that would "bring people in from away." Such a facility, she said,
would create jobs, boost state revenues and help in the transition from an
economy that relied heavily on manufacturing.

Soctomah said one of his bills would serve as a backup in case the
initiative campaign for a referendum on a Washington County racino falls
short of the 50,519 voter signatures needed to force a public vote.
Soctomah's bill would have the Legislature schedule a referendum on the
issue if the initiative campaign fails.

On another front, both Soctomah and Loring have bills that would allow slot
machines on their respective tribal reservations, in conjunction with
high-stakes bingo.

Loring said the Penobscot Nation wants 400 of the 1,500 slot machines
currently allowed by state law because the Hollywood Slots parlor in Bangor
has cut into the tribe's revenues from high-stakes bingo on Indian Island.
Soctomah said the Passamaquoddy Tribe wants to install a combined total of
200 slots at its two reservations.

Hollywood Slots now has 479 slot machines in a temporary facility and plans
to have 1,000 to 1,500 slots in a permanent facility that should open in mid
2008.

"They're spending their money at Hollywood Slots rather than at our
facility," said Chief Kirk Francis of the Penobscot Nation. As a result, he
said, the tribe's bingo operation is now breaking even instead of providing
what had been "thousands of dollars" in revenue for the tribe.

Soctomah said the Passamaquoddy Tribe has not ruled out legislation
authorizing a tribal casino, but he said the bills he has introduced so far
do not seek a casino. He said the Bangor slots parlor has failed to produce
the crime and social ills that opponents predicted, so Washington County
should be allowed to expand its revenue base with a racino or slots parlors.

Baldacci spokeswoman Joy Leach said in an e-mailed response to questions
about the governor's reaction to the bills that "the governor's position on
the expansion of gambling has not changed; he continues to oppose such
expansions."

She said Baldacci "agrees with the (state) Gambling Control Board that a
moratorium should be in place until a report or review with recommendations
on gambling is completed."

"This is exactly what we worried about" when Hollywood Slots opened its
doors, said Dennis Bailey of Casinos No!, an anti-gambling group. "Once you
open the door a little bit, you're going to be in this fight year after year
after year."

Predicting that the Legislature will be "very pro slot machines," Bailey
said the outcome may hinge on whether Baldacci holds firm in his opposition.