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Miscellaneous

: The Pullins Report

Ohio Governor Likely to Implement Slots Via Executive Order

By The Pullins Group LLC

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With this statement, on top of the previous official statement released from his office, Governor Ted Strickland is signaling that he is likely to approve the implementation of Video Lottery Terminals at Ohio's horse tracks via executive order.  Top advisors to the Governor have always believed that he has the authority in the Ohio Constitution to implement VLT's as an additional lottery game.  The legislation was only added to further assure potentially skittish investors.

Ohio's constitution, approved by the people of Ohio, authorizes the Governor to conduct a statewide lottery via a state agency.  Under this legal theory, VLT's are simply another form of a lottery.  There are no other prohibitions against gaming in the constitution and the Governor's executive order, under the authority of the Ohio Constitution, would trump the Supreme Court's ruling.

Politically, Governor Strickland has to enact VLT's by executive order.  If not, he faces another bruising political fight in the Ohio General Assembly over tax increases and budget cuts as he approaches re-election.

Voters will not punish Governor Strickland for implementing slot machines at horse tracks, but they will punish him if he raises taxes in an election year.  Plus, Governor Strickland is right, raising taxes in a recession only hurts Ohio taxpayers further.

I would expect an announcement from the Governor before the end of this week.  Thank you.


Full post as published by The Pullins Report on September 21, 2009 (boomark / email).

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