Two studies were released yesterday that are intended to be aids to policy making decisions on gaming in Ohio. The state allows betting on horse races, bingo and the state lottery but no casinos, and since 1990 Ohioans have twice rejected proposals to legalize casinos. The mayor of Cleveland is seeking to get a proposal back on the ballot in November 2006 that would leave the decision on casinos up to the cities. There last comprehensive study of gaming in the state was in 1993 and at that time only two US states allowed gambling.

The report commissioned in Cleveland studied the social costs of legalized casino gambling. It is estimated that at present around 3% of the adult population in Ohio has some level of gambling addiction, and the study shows that a 43% rise in that number could occur with casinos in the State. Ohio has been criticized for its lack of funding for problem gambling – it has been said that the current $350,000 from the Lottery Commission needs to be raised to a state allocation of $23 million to address the actual situation, and raised to $30 million if casinos are given the green light.

The second study looked into the likely impact casinos would have on the economy of Ohio. It took a hypothetical scenario of 11 casinos being built in areas where the facilities would be closer than those in neighbouring states while minimizing competition for markets, and assumed that Ohio’s seven racetracks would become racinos. The results estimated gambling revenues of over $4 billion annually and $610 million in local and state tax revenues. Temporary construction work would generate 41,000 jobs and $3.7 billion in output. Around 85,000 jobs in the gaming industry would be created.

The Eastern Shawnee Tribe has made a land claim in Ohio and wants casinos to be established but many citizens and both the State Governor and Attorney General are opposed to casinos. Business leaders are undecided but want to see the facts about gaming before making up their minds. Accusations that the two studies just released are flawed have, of course, come from each side of the gambling divide. On addiction the point has been made that the addicts are already out there with 24-hour Internet gambling and other choices. On economic impact it has been said that gambling benefits for the state have been overstated and negatives underplayed.

Ohioans presently spend $925 million at casinos in surrounding states and would probably spend nearly $3 billion in state if casinos were legalized. A further $1 billion could be expected from out-of-state visitors and as much as $8 billion should be generated by casino-related industries like hotels and restaurants. The call for gambling to be put into perspective has been made – it’s a significant issue, but deal with the facts. (E-08.25.05)

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