Jim McClendon to introduce Alabama Lottery bill in special session
Alabama could be getting a state lottery soon, with the money going to fund Medicaid and schools statewide. State Sen. Jim McClendon, a Springville Republican, will be sponsoring a bill for the upcoming special session of the Alabama Legislature, scheduled to meet starting Aug. 15. A study by the nonpartisan Legislative Fiscal Office says McClendon’s lottery proposal could raise as much as $427 million annually. If approved, the revenue would be used toward a projected $85 million budget shortfall for Medicaid in 2017, as well as add $100 million annually for Alabama schools. “It is time to let the people vote on a lottery,” McClendon said in a statement Tuesday. “For thousands of families and children, the Medicaid budget shortfall is a personal crisis that we must solve now. “This lottery proposal will resolve the Medicaid problem and inject $100 million annually in new funding for our classrooms.” The bill would authorize Gov. Robert Bentley to negotiate a compact with the Poarch Creek Indians, and allow electronic lottery terminals in Birmingham and Mobile, as well as Macon and Greene counties. There would also be a bond issue based on expected revenue from the lottery, estimated at $75-85 million, to help close Medicaid’s 2017 budget gap. “Every year, thousands of Alabamians drive to neighboring states to play lotteries,” McClendon added. “That is money that should stay right here in our own state, to fund Alabama’s hospitals and schools. “And let me dispel a persistent myth: creating a lottery will not open the door to casino gaming. There is not one single instance in the United States where creating a lottery opened the door to legalizing gambling.” To be included on the November ballot, a lottery bill would have to pass by Aug. 24. Final approval will then be up to voters. “We must once and for all solve problems that have held our state back for decades. The state of Alabama has not and cannot at this time pay for the most basic services we must provide to our people,” Bentley said in a video message posted on social media July 27. “I am asking that each legislator allow the people back home the right to vote on a statewide lottery. I have faith in the people of this state to make the right and the best choice. I trust the voters and our legislators must do the same.”
Robert Bentley announces date for lottery special session
Gov. Robert Bentley has announced the date for a special legislative session for Alabama lawmakers to discuss the possibility of a statewide lottery. The special session will begin Aug. 15. Wednesday, the governor announced the special session, saying it would generate $225 million a year to help pay for basic state services, but he didn’t announce the date at that time. “I will not, as your governor and as a physician, watch as our most helpless and vulnerable people go without a doctor’s care,” Bentley said in the video Friday. “I can’t bear to think of the half-million children who, through no fault of their own, are born into poverty and have no way to get basic medical treatment they need to grow healthy and strong.” Bentley hopes to have the lottery legislation on the Nov. 8 general election ballot. In order for that to happen, the Legislature would need to approve it no later than Aug. 24. Alabama is one of only six states across the country without a state lottery. Voters rejected a lottery proposal under Gov. Don Siegelman in 1999 amid heavy opposition from church groups opposed to gambling. The governor called a lottery the best option for solving the state’s ongoing budget problem, telling Alabamians “this is not just about a lottery, this is about our people.” Watch Bentley’s announcement below:
Robert Bentley says lottery best option for revenue in Alabama
Alabama Gov. Robert Bentley once said state lotteries were as outdated as leisure suits, but in throwing his support to a state lottery this week he said it was the only revenue option left in the closet. The governor, in an opinion piece submitted Wednesday to news outlets, said lawmakers have rejected the idea of tax increases while the state faces a continued revenue crisis. The governor did not name the state’s Medicaid program in the piece, but said the state’s revenue troubles could force cuts “gut-wrenching” decisions to cut programs for children, the disabled and the elderly. “I will not, as your Governor and as a physician, watch as our most helpless and vulnerable people go without a doctor’s care. I can’t bear to think of the half-million children who, through no fault of their own, are born into poverty and have no way to get basic medical treatment they need to grow healthy and strong,” Bentley wrote. The governor said, “At bare minimum, we must care for our truly vulnerable.” Bentley in the opinion piece expanded on his Wednesday announcement calling a special session for lawmakers to consider the idea of a state lottery. He acknowledged how he once likened state lotteries to leisure suits because he thought they were an outdated idea that was once the rage as state after state approved lotteries. Alabama lawmakers instead, he said, pieced together past budgets with borrowed money, slashed government services and debated tax increases, but the state still faces perpetual revenue troubles. “Well, sometimes when the leisure suit is the only thing you’ve got left hanging in the closet, you have to suck in your gut, and squeeze into that thing, no matter how ill-fitting it may be,” Bentley wrote. The governor has not announced specifics of his proposal, including such crucial details of how the money will be used. The governor is expected to announce the date of the special session later this week. Alabama legislators last year largely rejected Bentley’s attempt to raise taxes. The Republican governor and Republican-controlled Alabama Legislature also have butted heads over the state’s Medicaid budget. Lawmakers this spring overrode a Bentley veto to enact a budget that provides $700 million for the state Medicaid program in the fiscal year that begins Oct. 1. Bentley said $785 million is needed to maintain health care program for 1 million Alabamians, mostly children, the disabled and the elderly. “No, a lottery may not be the perfect way to help children who are born into poverty pay for basic medical treatment. But at this hour, exhausting all options, it’s the best leisure suit we’ve got,” he wrote. Alabama is one of six states — along with Mississippi, Utah, Alaska, Hawaii, and Nevada — without a state lottery. Alabama Gov. Don Siegelman made a state lottery to fund education the centerpiece of his 1998 gubernatorial campaign, but voters rejected it in 1999 under heavy opposition from church groups. The renewal of the lottery idea brought mixed reaction from lawmakers. “Democrats have spent two decades calling for a lottery, and I am grateful to see Gov. Bentley and some Republican Legislators taking up our cause,” said House Minority Leader Craig Ford, a longtime proponent of lottery legislation. However, Ford argued the money should be earmarked for college scholarships or it could become a slush fund for legislators. Republished with permission of the Associated Press.
Robert Bentley calls special session for Alabama lottery
Alabama Gov. Robert Bentley is calling a special session of the Alabama Legislature solely tasked with considering a state lottery. Bentley announced the plan Wednesday morning in a video posted on his website where he says he wants lawmakers to approve legislation that would allow voters to decide whether to approve a constitutional amendment to allow a lottery. “Let’s hear from the people of this great state on whether the time has come to approve a statewide lottery to help fund essential state services for our children, our elderly, those with mental illness and those who are in most need, as well as the men and women in law enforcement,” Bentley said. BREAKING: We need your help solving our funding crisis.I’m giving you the opportunity to vote on a Statewide Lottery. https://t.co/BLzE3bOXLP — Gov. Robert Bentley (@GovernorBentley) July 27, 2016 Bentley explained a lottery would raise roughly $225 million a year, revenue which could be applied to basic services. “We must once and for all solve problems that have held our state back for decades,” Bentley explained. “The time has come for us to find a permanent solution …. This solution will provide funding that we can count on for year after year without ever having to raise your taxes or put one more band-aid on our state’s money problems.” In order for a lottery proposal to make it on the general election ballot Nov. 8, the Legislature would need to approve it no later than Aug. 24. Bentley did not announce a date for the session. Watch Bentley’s announcement below:
Alabama legislative preview: March 21 – March 25, 2016
The Alabama House of Representatives will convene at 1 p.m. Tuesday, and the Senate an hour later, as state lawmakers gather for the 17th day of the regular session. This week, the Senate will take up SB89 from Sen. Arthur Orr (R-Decatur), which would require Alabama public school students to pass a civics test as a requirement for graduation. Orr’s legislation has been on the agenda for a while, but has likely been stalled due to a focus on more contentious issues. The body is also slated to take up SB148 from Sen. Jim McClendon (R-Springville), which would require all vehicle passengers to wear a safety belt, and SB114 from Sen. Paul Sanford (R-Huntsville), which would regulate fantasy contests and “exempt fantasy contests from certain criminal penalties associated with gambling activity.” The bill would increase spending by the Attorney General’s office, which would be responsible for overseeing such activities, by $1 million in the first year. Also on the Senate’s agenda this week are SB14 from Sen. Gerald Allen (R-Tuscaloosa), which would allow citizens to carry a firearm in their vehicle without a permit, and SB205 from Sanford, which would bar the Alabama Department of Human Resources from renewing health center licenses for an “abortion clinic or reproductive health center” within 2,000 feet of a school. In the House, lawmakers will take up HB46 from Rep. Alan Boothe (R-Troy), which would allow Alabama spirit makers to sell fifths for off-premise consumption. The body is also slated to debate HB13 from Rep. Alan Harper (R-Northport), which would allow citizens to vote on whether or not to allow a lottery in the state – the legislation provides no details on how proceeds from such an operation would be used, which is likely why it hasn’t been discussed thus far. HB218 from Rep. Dickie Drake (R-Leeds) is also on the agenda and would require that all elementary school students be instructed in cursive writing before the end of their third grade year. HB244 from Rep. Connie Rowe (R-Jasper) will also be taken up this week – the bill prohibits law enforcement from requiring victims of a sexual offense to take a polygraph examination. Committee hearings get underway Tuesday, though the vast majority take place on Wednesday, beginning with the Senate Judiciary Committee, which will take up SB237 from Sen. Quinton Ross (D-Montgomery). Ross’s legislation would make it unlawful for employers to request information regarding arrests and convictions on employment applications. The committee will also take up Sanford’s SB115, the Senate version of “Leni’s Law” from Rep. Mike Ball (R-Madison), which would decriminalize possession of the marijuana-based medicine cannibidiol. The Senate Committee on Constitution, Ethics and Elections will debate SB360 from Sen. Tom Whatley (R-Auburn), which would require voters to register as a Democrat or Republican before voting in a primary. Voters who do not will not be allowed to vote on party candidates, only on ballot measures and nonpartisan issues. The House Committee on Agriculture and Forestry will take up HB393 from Rep. Ken Johnson (R-Moulton), which would allow for the growing of industrial hemp in the state for use in a variety of products. The House Committee on Mobile County Legislation will mull over HB248 from Rep. Napoleon Bracy (D-Mobile), which would establish a $10.10 minimum wage in Mobile County. At the close of business this week, legislators will adjourn for spring break.
State lottery, guns, wireless data bills coming to state Legislature
With the start of Alabama’s Legislative Session less than a week away, a slew of bills have been prefiled in the House of Representatives. Alabama Rep. Craig Ford (D-Etowah) has prefiled House Bill 10, which would establish an Alabama lottery to fund scholarships, an Alabama Lottery Corp. “to implement and to regulate” a state lottery, and would prohibit the operation of casinos. Proceeds from Ford’s lottery would go into a Lottery Trust Fund and be used to give scholarships to “qualifying students” to attend two- or four-year colleges within the state. The bill specifies that qualified students are those “who are A/B Honor Roll students.” Ford’s bill would also alter part of a constitutional amendment that prohibits the state Legislature to “authorize lotteries or gift enterprises for any purpose.” Rep. Mack Butler (R-Etowah), along with a number of House colleagues, has proposed a constitutional amendment, HB12, to allow persons with a concealed pistol permit to carry weapons on the campuses of public and private universities within the state. The bill also provides for universities to establish rules regarding the storage of such weapons in dormitories or other residential areas, the carrying of weapons on campus, and to prohibit carrying weapons in some cases, though complete prohibition would not be allowed. The law further provides immunity to universities “for damages arising from action or inaction under the requirements of the amendment.” Universities would be required to submit a report each year to the Speaker of the House and the President Pro Tempore of the Senate detailing a description of the rules regarding campus carry and the rationale behind such rules. Butler noted than an additional bill, to be filed at the start of the session, will provide criminal penalties to universities that ban guns on campus. “The people overwhelmingly are embracing it,” Butler said. “It’s becoming crystal clear that the targets are these gun-free zones.” A bill prefiled by Rep. Tommy Hanes (R-Scottsboro) and others, HB2, would require wireless service providers to turn over location information to law enforcement agents in “an emergency situation involving a risk of death or serious bodily harm.” Also known as the Kelsey Smith Act, named for a woman killed in 2007 whose body was found after Verizon Wireless finally cooperated with law enforcement. The bill goes on to say that “law enforcement may monitor from any location in this State location information obtained from a wireless communications provider or device from anywhere the device is located regardless of jurisdiction.” Further, the bill states that “the Alabama Law Enforcement Agency shall obtain contact information from all wireless service providers authorized to do business in this state to facilitate a request from a law enforcement agency for call location information under this section. The bureau shall disseminate the contact information to each state and local law enforcement agency in this state.”
Bill filed to bring state lottery to Alabama
Republican state Sen. Jim McClendon of Springville held a news conference Tuesday morning to discuss legislation that would bring the question of a state lottery before Alabama voters. The legislation was co-sponsored by McClendon and state Rep. Alan Harper, a Republican of Northport, who was unable to attend the news conference. SB 19 was filed Tuesday morning and, according to McClendon, it’s a bill that simply provides state residents with the opportunity to vote on whether to have a state lottery in Alabama. “I came forward with this bill because of my constituents,” McClendon said. “This bill will give them the chance to express themselves.” McClendon noted that, because the bill does nothing more than provide people with the opportunity to vote on a lottery, details are unavailable on how the profits from a lottery would be allocated. McClendon hopes to see his bill passed during the upcoming Legislative Session, which will give voters the opportunity to cast a yay or nay ballot in November. If Alabama voters support the formation of a lottery, McClendon aims to have the details ironed out in the 2017 Legislative Session and predicts a lottery will be in operation by the beginning of 2018. McClendon noted that polling data has been overwhelmingly favorable toward a state lottery, adding that the lowest numbers he has seen are about 70 percent. Further, McClendon claims that the gross income from a state lottery would be between $285 million to 300 million a year. Concerns have been raised that establishing a state lottery would create “back doors” to other types of gambling in the state, but McClendon flatly rejected that assertion. “This bill is a lottery bill and it is nothing else,” McClendon said. “I believe there’s no way, even if somebody takes it to court, they’ll find an opportunity in here to justify gambling by any other entity that might be interested in having gambling in Alabama.” Though McClendon believes the odds of getting the bill passed are good, even while other legislators are rumored to be drafting their own lottery and gambling bills, he knows there will be issues that arise during the session. “There’s always hiccups,” McClendon said. “That is the nature of what we do here in the Alabama Legislature.”
Sen. Phil Williams takes on blogger Bill Britt
Republican state Sen. Phil Williams of Rainbow City responded today to what his office is calling “baseless attacks on his character and law practice” by the Alabama Political Reporter, a state political blog run by Bill Britt. A Jan. 7 article by the Alabama Political Reporter contended that “high-ranking government officials” had confirmed that Williams was under investigation for “possible ethics violations and other related activities.” A news release from Williams’ office noted that the senator had ignored previous defamatory blog posts, even a Dec. 22, 2015, piece in which Britt attacked his father, but took a stand this week when the blogger accused him of being under “criminal investigation.” “Over the past few weeks, a blogger named Bill Britt has written a number of posts attacking not only my character, but also the name of my late father, a highly-decorated Army veteran and revered public servant,” Williams wrote in the news release. “Further, Britt has attacked my law firm and its clients and insinuated I have used my position as a senator for private gain.” According to Williams’ news release, a full inquiry of government and law enforcement turned up no evidence of said investigation. However, to quell such attacks, Williams took the unusual step of contacting the Alabama Ethics Commission on Friday and requested that the agency conduct a full review of his law practice. “At my own insistence they have now received all five years of my client lists and will review them under seal,” Williams stated in the release. Williams is confident that the commission’s review will prove that he has “zero clients with state interests and that his annual statements of economic interest to the Ethics Commission have fully complied with the law.” “I am taking these actions not just for myself, but also for every member of the public domain who has been assaulted by bloggers and rumor-peddlers who believe they can hide behind the false pretense that they are ‘reporting the news,’” Williams added. Britt had little to say on Williams’ decision to go on the offensive this week. “The article(s) speak for themselves,” Britt responded in an email. Here’s the audio statement from Williams:
Is 2016 the year Alabama lawmakers consider a lottery?
In 1999, Alabama voted down the idea of creating a state lottery. Sixteen years later, some Alabama legislators say it’s time reconsider the idea. Rep. Alan Harper, R-Northport, said he will introduce a lottery bill in the upcoming legislative session to put the idea to a public vote again. “People have constantly asked us, ‘When are you going to let us vote on a lottery?” Harper said. “I think it’s time the people had their say.” Former Alabama Gov. Don Siegelman proposed a Georgia-style lottery to fund college scholarships and prekindergarten programs. Voters rejected the referendum. Republican legislators in 1999 brought some of the staunchest opposition to Siegelman’s lottery bill during the debate. Republicans now hold majorities in both chambers of the Alabama Legislature and have never embraced gambling as a caucus. However, some Republicans appear to be warming to the idea, particularly after GOP legislators have faced difficulties putting together a state general fund budget without tax increases. House Ways and Means General Fund Committee Chairman Steve Clouse, R-Ozark, said he favors the idea, if the money goes to the general fund. “If you are going to do it, this is the year to do it – and let people vote on it in November,” Clouse said. Harper said his bill would just put the question of creating a state lottery before voters. He said that where the money went could be decided later. Forty-four states have lotteries. Only, Alabama, Mississippi, Utah, Nevada, Hawaii and Alaska do not. Alabama Gov. Robert Bentley won’t put a lottery on his legislative agenda, but said that it could provide a solution to the state’s perpetual general fund woes. “I think that a lottery, certainly if it were a clean lottery, all designated for the general fund is something that hopefully the legislature will consider. That could be a long-term funding source for the general fund,” Bentley said this month. Not all lawmakers are convinced. Sen. Trip Pittman, chairman of the Senate general fund budget committee, said he was doubtful the idea would get serious consideration. “I’m not sure gambling is the way we go in Alabama,” said Senate Rules Chairman Jabo Waggoner, R-Vestavia Hills. Senate President Pro Tem Del Marsh said he will no longer sponsor legislation that would have called for a public vote on a lottery and full-blown casinos. “There are probably a higher percentage of people that were open to the lottery than full-blown gambling. But it was never really tested so I don’t know if there is even really support for that. But we’ll see,” Marsh, R-Anniston, said. Chip Hill, executive director of the Alabama Jobs Foundation, a group formed to support Marsh’s bill, said lawmakers should consider both. “The Alabama Jobs Foundation will not support a standalone lottery referendum because a lottery alone will not create the jobs or economic impact we need to fix our long-term budget problems,” Hill said. Republished with permission of the Associated Press.
Robert Bentley supportive of lottery plan, with a catch
Gov. Robert Bentley came out in support of a lottery plan that is circulating among Montgomery law makers – but with one condition. Bentley has said he would change his stance on the issue if the revenues flow into the state’s General Revenue fund, as opposed to being earmarked for education purposes only as one going proposal would provide. The governor has by and large been opposed to any expansion of gambling, though that has softened in recent months. If the lottery is “clean” and resultant revenues flow into GR, “I would be willing to talk about it positively, but if it’s not I will have to go the other way,” Bentley said. The stipulation that the money go into the general budged, however, will likely reduce support among many lawmakers and Alabama voters, who see a lottery as worthwhile only if goes directly to the education budget. “If we put this before a vote of the people and it fails, I don’t think it will ever pass again,” said state Rep. Craig Ford, the House’s Democratic caucus leader. “I think it is more palatable to the people of Alabama if it goes to the education trust fund,” Ford said. Asked whether Bentley’s position is designed to ensure a lottery does not pass, Ford said: “It could be.” Bentley would not be able to veto or otherwise scuttle the bill by himself since the measure would be on the ballot during 2016 General Election in November, though he could throw his weight either behind or against the bill on the stump or through an advertisement campaign.
Daniel Sutter: Gambling is about freedom, not government revenue
The Alabama legislature considered a lottery and expansion of casino gambling this year to generate new revenues for the state. Freedom, not state government finances, is the reason we should expand gambling. The legal status of gambling reflects the character of our society and government. Do we want to be a nation where people try to force their life choices on others, or one where we accept our differences and cooperate when possible? Libertarian political theory applies the non-initiation of force principle to guide our actions toward others. We can use force to protect ourselves against others, but not initiate its use. The core function of government is to protect our rights against criminals or foreign invaders. Gamblers do not use force against others when they buy lottery tickets or play blackjack, so I start with a strong presumption that gambling should be legal. Can a good argument other than protection against force be made to restrict a consensual activity like gambling? Sadly many Americans with gambling problems have brought ruin upon themselves and their families. Societal self-constraint to reduce the harm caused by problem gambling represents the strongest argument for government restriction of gambling. Of course Alabama can’t prevent other states from having legal gambling. But if Alabamians must travel to Biloxi or Las Vegas to gamble or Florida or Georgia to buy lottery tickets, perhaps problem gamblers will not ruin themselves before they can get help. We do not, however, prohibit all activities and products, which can cause harm. For example, even though 38,000 Americans died from accidental poisonings and 3,000 died from unintentional drowning in 2013, and we do not ban keeping cleaners or chemicals in our homes or outlaw swimming pools. We do not ban credit cards because some people run up excessive debts or ban cars because they can be used as get away vehicles in robberies. Furthermore, prohibiting an activity does not prevent it from occurring. Efforts to enforce the law are costly, and the costs of enforcement must be factored into the equation. Problem gamblers may harm themselves worse when betting illegally than in a casino. Prohibition as societal self-constraint must balance the harm avoided against the costs imposed, including the restriction of freedom for responsible gamblers. Ideally we should combine freedom with increasingly rigorous restrictions on those exhibiting signs of problem gambling. I believe that legal gambling is more likely to achieve this than prohibition. Some gambling foes point to allegedly higher rates of crime in places where gambling is legal as grounds for prohibition. But any such association is irrelevant because people can, and millions of Americans do, gamble without stealing or committing assaults. We do not close parks or other places where crimes often occur, but instead employ police and punish the criminals. Prohibition based on some peoples’ dislike for gambling, I think, is a poor argument. Why should one group of citizens be allowed to impose their preferences on how to live life on others? When government is allowed to ban consensual activities, ultimately any activities lawmakers decide are sufficiently disliked can be banned. Why should we set up a political process in which our own favorite leisure activities can be banned if they fall into disfavor? Furthermore, politicizing consensual activities unnecessarily creates conflict. Alabamians would not be required to buy lottery tickets or visit casinos, so non-gamblers can still live as they wish with expanded gambling. The Golden Rule provides wise counsel that we shouldn’t go down this conflict-filled path at all. Does gambling provide a good revenue source for state governments? Because people largely pay gambling taxes voluntarily, the economic costs of collecting a gambling tax will be small, which is a factor in favor of taxation. A gambling tax is disproportionately paid by lower income households, and so is what is known as a relatively regressive tax. But legal gambling does not have to be heavily taxed, and the argument for legalization is based on freedom, not a relatively small amount of revenue. Gambling would only saddle low income households with a heavy tax burden if we chose to tax gambling heavily. Daniel Sutter is the Charles G. Koch Professor of Economics with the Manuel H. Johnson Center for Political Economy at Troy University and host of Econversations on TrojanVision
Pat Dye: Lottery alone won’t fill state budget gaps
Former Auburn head football coach Pat Dye, now President of the Alabama Jobs Foundation, issued a statement Thursday that despite his strong support for a state lottery, that alone is not enough to heal Alabama’s ongoing budget woes. “We need real long-term solutions for our budget crisis, not short term fixes, cuts to essential state services and hundreds of millions in new taxes that the people of Alabama cannot afford,” said Dye on Thursday. “The real solution is right before our eyes and yet the Alabama Legislature refuses to see: a vote on gaming and a lottery. It is wrong to raises taxes before we give the people of Alabama the right to vote on gaming and a lottery.” The solution Dye refers to is Sen. Del Marsh‘s gaming plan, which is more thoroughgoing than lottery-only proposals now circulating in the Legislature. Marsh’s plan would not only reverse Alabama’s position as one of just a few states in that nation with no state lottery, it would eliminate current anti-gambling prohibitions to create a handful of state-sanctioned casinos around the state. Dye went so far as to say that without more expansive provisions, the AJF – a coalition of leading state industrial and business interests – would withhold its support for a referendum to enact a lottery. “A lottery and gaming will create $400 million in new revenue, $1.2 billion in economic impact, and create more than 11,000 new jobs, a job total equal to the Alabama auto industry. Job creation is the key to Alabama’s economic future. The Alabama Jobs Foundation will not support a lottery referendum because a lottery alone will not create the jobs or economic impact we need to fix our long term budget problems,” said Dye. Dye had previously called for a vote on a referendum on a more expansive gaming program, citing a poll which indicated high levels of support among Alabama voters.
