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More policitical gambling bludners from Florida, where the state Supreme Court has thrown out an agreement Gov. Charlie Crist made that allowed the state to collect tons of taxes from the state’s tribal casinos. If no replacement deal is made, the federal government is likely to give the casinos slot machines tax-free. A majority of the Legislature might refuse any deal in order to take a high-profile stand against the expansion of gambling. The fear of such political posturing is why Crist tried to cut lawmakers out of the process.
His contract with the tribes was a good one but he was wrong to try to stretch his executive power. He gave the tribes the right to conduct table card games that would be illegal elsewhere in Florida. In December we urged Crist to submit his plan to the Legislature for ratification and not wait until the Florida Supreme Court ordered him to. The court was exactly right when it said last week that the governor lacks the power “to bind the state to a compact that violates Florida law.” This guy really comes across as a sleezy player.
As with most political hot issues,lawmakers failed to agree on setting a clear definition of illegal Internet gambling to go along with a ban on online betting passed in 2006. The Federal Reserve and the Treasury Department have been unable to finalize rules to implement the ban because Congress didn’t clearly define online gambling when it passed legislation less than two years ago.
The House Financial Services Committee voted Wednesday on legislation to require federal regulators to write a uniform definition of which types of gambling should and should not be allowed on the Internet, followed by new rules implementing the ban. The tie vote, 32-32, meant the legislation failed under committee rules.
Senate Republicans, pushed by then-Majority Leader Bill Frist of Tennessee, had attached the online gambling ban to an unrelated port security bill in a rush of year-end legislation in 2006. Banks and other financial institutions have complained that they are being forced into a law enforcement role because the Internet gambling ban prohibits them from accepting payments to settle online wagers without giving them a clear set of rules. I think it is just a matter of time till some smart politician (I know it is an oxymoron) figures out how to make some sweet tax dollars and the US reverses this decision.
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