Senate approves bill to open up gambling at racetracks

Deborah Baker

Thursday, Feb. 10, 2000 | 9:01 a.m.

SANTA FE - Racetracks could hit the jackpot with legislation the Senate approved Wednesday.

Tracks could have full-scale casinos under the bill, which passed on a vote of 20-17.

One hitch: The changes wouldn't take effect until a new track was licensed at Hobbs or Raton.

Under current law, tracks are allowed 300 slot machines. The bill would allow unlimited machines and table games.

Supporters from southeast New Mexico said the measure represents their best chance of getting a racetrack licensed in Lea County.

"We're in an economically depressed area and living off depletable resources," said the bill's sponsor, Sen. Billy McKibben, R-Hobbs. "We have tried desperately to diversify."

McKibben said Gov. Gary Johnson's opposition to the Hobbs track is based on his commitment to existing tracks not to allow any more expansion.

The prospect of full-scale casinos would encourage the other tracks to convince Johnson to support the Hobbs license, McKibben said.

Allowing table games at the four existing tracks would eliminate the obligation of Indian casinos to share their slot machine revenue with the state, under gambling agreements signed in 1997.

But the bill's supporters said the tribal payments are unreliable and shrinking, because of the dispute over their legality.

And they said it appeared unlikely that lawmakers and tribes will reach agreement soon on new compacts that could stabilize casino revenues.

McKibben said the legislation could mean an additional $18 million for the state annually.

"I think this will be a very important economic development tool for New Mexico, especially as short of money as we are," said Sen. Don Kidd, R-Carlsbad.

Backers of the bill said a casino in Lea County would draw visitors from neighboring Texas.

"We're actually trying to have a tourism industry in southeast New Mexico, something we've never had," said Sen. Carroll Leavell, R-Jal.

The bill also removes the 12-hour limit on operating slot machines at racetracks, and eliminates the requirement that The Downs at Albuquerque shut down its machines at 10 p.m.

Opponents said gambling is already causing too much havoc in the state, taking a toll on families and communities.

"Gambling has been this total catastrophe for the state of New Mexico," said Cisco McSorley, D-Albuquerque. "It hurts us, it trashes us ... and all we want is more, more, more."

With just a week to go in the 30-day session, the bill headed to the House, which historically been more reluctant than the Senate to expand gambling.