Columnist Jeff German: Gaming’s actions resonate more than its words

Friday, May 6, 2005 | 5:22 a.m.

Jeff German's column appears Tuesdays, Wednesdays, Fridays and Sundays in the Sun. Reach him at german@lasvegassun.com or (702) 259-4067.

WEEKEND EDITION

May 7 - 8, 2005

Life has never been better within America's ever-expanding casino industry.

That's what the industry, with its usual public relations flair, told us last week.

In its annual "State of the States" report, the American Gaming Association, the industry's lobbying arm in Washington, said casinos are generating record revenues across the country, and gambling is considered acceptable as a form of entertainment among 80 percent of Americans.

What the AGA was most proud of, however, was the result of a first-time survey of public officials in gaming communities. The survey, the AGA said, found that nearly 80 percent of those officials believe casinos have had a positive impact on their communities.

AGA President Frank Fahrenkopf said the survey is proof that gambling's economic benefits outweigh its social costs.

His conclusion is not shared by casino industry critics, who charge the industry is creating an artificially rosy picture that is misleading the public.

"There is no groundswell of opinion in America for the expansion of gambling," said UNLV professor Bill Thompson, a gambling expert. "It's being driven by the politicians who see it as an immediate revenue source to solve this year's budget. They don't see the long-range situation that leads to social problems."

The Rev. Tom Grey, executive director of the National Coalition Against Legalized Gambling, agrees, saying politicians have become "addicted" to gambling's revenue stream.

"If gambling is such a great thing, then it ought to be expanding naturally, and it isn't," he said.

Grey, who has been spearheading a low-budget grassroots fight against gambling for more than a decade, said his group helped defeat five of seven gambling referendums last year. Ballot initiatives in Washington, California, Missouri, Nebraska and Michigan were rejected by voters.

Politicians may want the economic relief gambling brings, Grey said, but the public remains skeptical of entrenching it in society.

"If this were a poker game, we'd hold the winning hand," he said. "Our best days are ahead of us."

Casino industry leaders try to marginalize Grey and his followers, but his results don't lie.

And it's the industry, itself, that provides him with most of his ammunition.

Fahrenkopf acknowledged that gaming needs to do much more to address the negatives it brings to a community.

"The general public is pleased with what we, as an industry, have done with regards to programs on pathological gambling," he said. "But we've got to do a better job."

There's certainly plenty of room for improvement in Nevada, gambling's oldest and most lucrative market.

In the 74 years that gambling has been legal here, the 2005 Legislature is the first to give serious consideration to providing assistance to problem gamblers.

This is only happening because the industry stopped neglecting the problem and threw its political muscle behind an effort to fix it.

So Senate Bill 357, which would create a state-funded program to treat gambling addicts, stands a good chance of passing both houses in a couple of weeks.

The measure would create a treatment fund from $2.5 million in slot machine taxes over two years and allow the industry to make up for lost time with future private cash donations.

If the bill becomes law, it will give the casino industry far more positive publicity than anything it could ever conjure up with an artificial survey.