Category Archives: Public Policy Radar

“Racinos” Bad Public Policy

Policy RadarIgnoring the resounding 57-43% defeat of casino gambling by the Ohio electorate last fall, Rep. Bill Seitz (R-Cincinnati) and Sen. Steve Stivers (R-Columbus) have introduced companion bills, House Bill 118 and Senate Bill 125, to bring electronic gaming devices to Ohio horse racing tracks.

Stivers and Seitz are touting the allegedly economic advantages of allowing casino-style electronic gambling. They are, however, ignoring numerous economic impact studies which indicate that the long-term economic costs exceed the short-term tax-revenue gains by several times. These studies measured the costs to society in terms of increased bankruptcy filings, divorce, business failures, crime rates and resultant incarceration costs, suicide rates, etc.

These bills are mirrors of legislation offered during the previous General Assembly session (HB158) by Rep. Seitz to expand this form of gambling in Ohio. Testimony was given during that process by one of our own board members, and, as the new proposals are virtually the same as the previous proposal, the following are the rationales for the opposition to this effort by these two elected officials. House Bill 158 was passed in committee, but failed to receive sufficient support to bring the measure to the floor of the Ohio House for a vote.

Testimony opposing “Instant Gaming” expansion at Ohio horse racing tracks:

I come before you today to express opposition to the passage of House Bill 158, sponsored by Representative Bill Seitz. Our organization strongly believes that there is a direct correlation between the expansion of gambling options in the state with increased economic and social welfare costs to society.

The proposal before the committee would allow the introduction of “instant racing” systems into the racing tracks in Ohio. Proponents have testified that this proposal would both be “just a slight modification” to the ability to wager at the tracks, to “reinventing the racetrack experience.” It is evident that the latter sentiment is closer to the truth: the experience would be reinvented to more closely mirror a casino then a horse track.

The committee was presented with photos of the proposed machines, distributed by RaceTech. From its appearance, it resembles a slot machine found in casinos. However, it is not just by appearance that that similarity is found. An Internet search revealed documentation relating to the European patent application by RaceTech for this machine. The documentation supplied for the patent application is revealing:

“Although the above described and other types of wagers commonly available
at racetracks are extremely enjoyable and entertaining, over the years,
the racing industry has seen a great increase in competition from
lotteries and casinos.

At least some patrons prefer a more immediate reward and higher frequency
wagering than customarily offered at race tracks. For example, a typical
racetrack offers one race every half hour. A casino having slot machines,
however, offers a patron the opportunity to place a wager that can be won
or lost every few seconds.

In order to remain competitive, the racing industry is in need of a gaming
system that satisfies the preferences of many different types of patrons.

Although simulcasting does enhance patron loyalty, the number of wagers a patron can place is still limited, particularly in comparison to a slot machine.

In discussing the technical aspects of this system, the patent information supplies the following:

“The gaming system also includes a video server interface for providing
high speed delivery of selected video clips from a historical database,
and a tote system interface which is coupled to a standard racetrack
totalisator system to allow the multi-function wagering terminal to
operate as a standard self-service racetrack wagering terminal. Other
interfaces to other types of wagering systems, such as a lottery, could
also be provided.

The above described gaming system can be utilized in connection with many
different types of races such as horse and dog races. In addition, the
system could be utilized in connection with other types of events. “

This would certainly seem to indicate that these particular types of machines could easily be converted to become both Video Lottery Terminals and slot-type machines. Nothing in the provisions of House Bill 158 would serve to restrict the conversion of these machines to VLT or slot-type wagering systems. This would be tantamount to allowing for the expansion to full Class III gambling in Ohio (and provide an easy inroad for the expansion of full casino gaming in this state). I would strongly urge the members of this committee to not rush to adopt this measure before a full study of the potential impacts upon our state in relation to the expansion of gambling via this proposal is conducted.

Other impacts that need to be considered are the personal and social costs associated with video gambling. Researcher Dr. Bob Breen, in the Journal of Gambling Studies, has commented that “Video gambling is the most addictive form of gambling in history. We found out that the men and women who ‘got hooked’ on video gambling became compulsive gamblers in about one year. Those who got hooked on other kinds of gambling (such as horses, sports betting, etc…) became compulsive gamblers after about 3 ½ years.”

This addiction brings increased social costs to society. Researchers William Thompson, Ricardo Gazel and Dan Rickman, in the Gaming Law Review1 (1997) noted that each compulsive gambler costs society an average of $9,469 per year in economic losses, including employment losses, debts, and welfare. Professor of Commerce and Legal Policy at the University of Illinois, John Kindt, in an article in the Drake Law Review 43 (1994), estimated the social costs (which includes the purely economic factors) to the public of a compulsive gambler to be at least $45,000 per year.

Nationally recognized expert on compulsive gambling, Valerie Lorenz, in a statement to the National Coalition against Legalized Gambling, sets the range of costs to state or federal jurisdictions for the incarceration of problem gamblers who are convicted of crimes related to their gambling habits at $20,000 to $50,000 annually.

Director of the Division on addictions at Harvard Medical School, Howard J. Shaffer, also a leading researcher on gambling, has expressed that a state’s involvement in the promotion or expansion of gambling options to the public is a conflict of interest, based upon the state’s function to protect and serve the citizenry.

The National Gambling Impact Study Commission in 1999 issued recommendations on the issue of gambling. That commission called for a moratorium on the expansion of gambling in the US, particularly that of video gambling machines, which was identified as the “crack cocaine” of creating new pathological (addicted) gamblers. The Commission also noted as a recommendation that states “should refuse to allow the introduction of casino-style gambling (slots, VLT’s, etc.) into pari-mutuel facilities to financially “save” the facility, which the market has determined no longer serves the community or for the purpose of competing with other forms of gambling.

One Ohio Senator, who participated in an ad-hoc group studying a prior proposal to enact a ballot initiative to authorize VLT’s at Ohio’s horse-racing tracks, sums it up well: “The advocates for the racetracks are single-minded in their devotion to their cause….It is now clear that the focus of this group has always been to package slot machines at the race tracks under the guise of an altruistic program to provide funds (for schools, etc.). In reality it is more about private profiteering from gambling.”

We believe that, given the above referenced information regarding these machines, their easy convertibility to other forms of electronic gambling devices, and the social and economic costs that are directly associated with the “crack cocaine” of the gambling industry, House Bill 158 is much more than it is purported to be.

We would urge the members of the Ohio Legislature to not support this legislation, which may well be a “Trojan Horse” for Ohioans.

Senate Bill 7- Eminent Domain Reform

Policy RadarSenator Timothy Grendell (R)-Chesterland has introduced a bill in the Ohio Senate that fundamentally changes the procedures and processes for the seizure of private property by eminent domain in Ohio for the better.

In 2005 the US Supreme Court ruled that eminent domain could be used by federal, state and local governments to obtain property on the behalf of private developers for the purpose of revenue enhancement. They ruled in the infamous Kelo v. City of New London case that this kind of seizure constitutes a public use as allowed for in the US Constitution. Of course, this is exactly the type of seizure that the Constitutional Convention intended to prohibit by limiting them to “public use” as the constitutional debate notes clearly indicate.

Some of the major problems with the current law are-

  • The definitions of what kinds of property, the condition of the property and the locations within given areas to being condemned are VERY vague and VERY favorable to the governing bodies and developers.
  • Properties are often defined as “blighted” under bizarre and unevenly applied criteria like single bathrooms and detached garages.
  • Unlike criminal cases the burden of proof on whether the property meets the already vague definitions lies with the defendent- the property owner
  • Property owners must also prove that the value “offered” for the property is not the fair market value. Sometimes governing bodies will devalue property based on having destroyed surrounding properties.
  • Property owners cannot currently seek attorney’s fees and court costs, even if the property owner prevails in proving that the seizure was improper or an undervalue
  • Business property owners are not currently compensated for loss of business and good will when their business locations are condemned and they are forced to move.
  • The term “public use” is extremely ill-defined under current law. There have been seizures on the basis that there might be some nebulous “future unforeseen need” for a property, or to provide access to privately held areas “under development”
  • There are more than five dozen governing entities which are authorized under current law to begin property condemnation procedures. Most of these are unelected bodies which are not accountable to the voters and taxpayers.

Senate Bill 7 would require the following remedies to these problems with current law-

  • Governing bodies would be required to prove that the property meets specific requirements on use of the property, the property’s condition and location of the property in order to be eligible for condemnation.
  • Specifically defines what constitutes “blight” and requires that 90% of properties in a specifically defined area meet that definition for the neighborhood to be termed “blighted.”
  • Burden of proof on property’s fair market value is shifted to the government body seeking to condemn the property
  • Property owners can seek to recover attorney’s fees and court costs if the condemning entity cannot prove its condemnation and offer are fair and proper, within specific guidelines.
  • Business property owners can seek compensation for loss of business and the good will of customers if forced to change location.
  • Defines “public use” and specifically prohibits seizure for revenue enhancement and on behalf of private developers. Condemnations for redevelopment of tightly defined “blighted areas” is still permitted.
  • This bill would severely restrict who could begin condemnation proceedings and requires that there be a formal procedure for public input on any proposed condemnation.

This bill also requires the Governor to sign off on any condemnation for Ohio’s public universities or highways.

What Can You Do?

We believe that this bill will pass the Ohio Senate fairly easily. We have reason to believe that the bill will have some trouble passing the Ohio House of Representatives in its current robust form. The Ohio House is relying on information gathered by an appointed panel on eminent domain which was appointed to study the problems caused by the Kelo decision. The panel appears to have been constituted with members who may be too friendly to the interests of the governing bodies and developers and their recommendations did not have the kind of “teeth” that appear in Senate Bill 7. We believe these teeth are completely necessary to protect the very foundation of liberty-private property rights.

Please contact Ohio House of Representatives leadership. The Speaker is Jon Hustead, the Speaker Pro Tem is Kevin DeWine, the Majority Floor Leader is Larry Flowers, the Assistant Majority Floor Leader is Jim Carmichael, the Majority Whip is Bill Seitz, the Assistant Majority Whip is Michelle Schneider, the Minority Leader is Joyce Beatty, the Assistant Minority Leader is T. Todd Book, the Minority Whip is Steven L. Driehouse, the Assistant Minority Whip is Fred Strahorn.

Please contact your own State Senator and State Representative and ask them to support SB 7, as well.

Letters are best, phone calls are next. Faxes and emails are far too easy to delete, shred or ignore. It’s hard to ignore a letter from a taxpayer.

Report From Ohio Family Lobby Day

Every year in the spring, a coalition of Christian family policy groups come together to sponsor Ohio Family Lobby Day (OFLD). This year it took place on Wednesday April 25. More than 60 people participated in this year’s event including my wife and two of my three children. Sponsoring groups included The Institute For Principled Policy, Pro-Family Network, Ohio Christian Alliance, Family First, Homemakers For America, Citizens For Community Values, Center For Bio-Ethical Reform and many others.

The purpose of OFLD is really four-fold. First, the participants get practical experience in meeting and speaking with their elected representatives. This is absolutely necessary if Christians are to have influence in making state and national policy. Second, the participants learn the best way to be persuasive in speaking with lawmakers. It is imperative that Christians develop cordial working relationships with lawmakers coming from a variety of perspectives and political parties. Third, Christians learn the details of bills which impact their families, churches, jobs and lives. Being aware of what legislators are working on is necessary for all families, if they are to have the impact on the culture that the Christian faith mandates. Fourth, important information is returned to Christian policy groups regarding where representatives stand on legislation that they believe to be crucial to their efforts.

The OFLD participants were divided into teams of four or 5 members. Several teams had whole families as members. My own team consisted of my wife and youngest daughter, two delightful pro-life Christian activists and me. I was appointed a team leader. My oldest daughter was placed on another team. The OFLD organizers made appointments for each team with legislators. Registration began at 8:00 AM and the group opened with prayer slightly behind schedule, a little after 9:00 AM. Following this was a short instruction on lobbying followed by briefings on several bills that the group would be concentrating on.

Among the bills the group was working for were SB-16, the Community Defense Act (CDA) already passed by the Ohio Senate and now pending in the Ohio House, a continuation of abstinence education which Governor Strickland has stated he will not continue; SB-20, the Adoption Tax Credit Increase already passed by the Ohio Senate and now pending in the Ohio House; continuation of the Ed Choice Scholarship program in the budget process and charter schools, which Governor Strickland wants to end or seriously curtail; HB-47 and HB-123, two bills which would end the attempts to tax churches in the Muskingum Watershed Conservancy District and prevent this from occurring in the future. The group also was instructed on opposition to HB-81, The Mandatory Gardasil Vaccination Bill, support for the Covenant Marriage Bill (not yet numbered), seeking co-sponsors for the Personhood bill and opposition to the Prevention First Act.

Our team met with two state Senators and had appointments with three state Representatives. Due to the State of the Judiciary speech followed immediately by House session, we met mostly with aides of the lawmakers and unfortunately, one of the representative’s aides was taken ill and so our team’s appointment was canceled. Appointments lasted about 15 minutes and each team leader tried to make sure that any team member who had something to contribute to the lobbying efforts was given the opportunity to speak. I have had some limited experience and did most of the talking, but all of my team-mates also made important contributions to the effort. Only my daughter Stephanie had very little to say, she’s only 12, but she did manage to charm her way into a tour of the Capitol and she was very attentive to what was being said and done by the adults.

A fine lunch was provided as part of the cost of registration. The lobbyists-in-training were treated by a talk from Representative Bill Batchelder who asked us to not let our lobbying efforts be a once-a-year event but that we continue our work throughout the legislative session. We also were treated to a surprise speaker- former Secretary of State and gubernatorial candidate Ken Blackwell, who gave a very inspirational talk on our efforts to have an influence in policymaking.

Between meetings some team members took advantage of the opportunity to watch the legislative process in action from the galleries while others took the time to explore the Capitol’s many historical displays, or to study legislative talking points.

At the end of the day, the teams were asked to fill out a de-briefing form which asked important questions regarding how the lobbying efforts were received, what legislative efforts the lawmakers supported and which ones they opposed. Thus invaluable information was gathered about which representatives support or oppose important bills and give insight on their approachability on future efforts.

My family’s OFLD experience was very positive. As a homeschooling parent, we believe our children gained a priceless lesson on how policy-related things are done, they got to see their parents in action trying to make Ohio a better place to live and they got experience in how to do the job themselves in the future. My oldest daughter thinks she might like to work in the state legislature, something she had never thought about before. This was well worth the registration fee. Come join us next spring and bring the kids!

The Institute For Principled Policy Opposes HB 81- Mandatory Gardisil HPV Vaccination

Policy RadarThe Institute For Principled Policy is working to oppose HB 81. This bill will revise the Ohio Revised Code to require girls who will be entering the sixth grade to begin the three injection vaccination cycle with the Gardasil® vaccine against the Human Papilloma Virus (HPV). Under the bill the cycle of injections would have to be completed before girls could enter the seventh grade.

  • While the Policy Institute applauds the research efforts that make it possible to be vaccinated against the HPV virus, which is a sexually transmitted disease, we must oppose the effort to make it a mandatory injection for very young girls. There are several reasons for our opposition. Among these are;

    • In light of Governor Ted Strickland’s recent decision to halt all abstinence education funding, it makes little sense to remove a strong behavioral barrier to STD’s like HPV and replace that barrier with a porous and temporary biochemical barrier.
    • Cervical cancer and genital warts are terrible diseases but a significant portion of the former and all of the latter can be prevented by avoiding exposure to HPV through sexual abstinence until marriage by both spouses. The argument that the contraction of HPV is due to accidental contact, like polio, smallpox, measles, etc. does not stand up under scrutiny. HPV is easily preventable without vaccination, just like all other STD’s.
    • Gardasil® advertising leaves the strong impression that it is a panacea against HPV caused cancers and genital warts. But the technical literature distributed by Merck, the sole manufacturer of the vaccine, indicates that it is effective only against 4 of about 30 strains of the HPV virus seen in humans. These 4 strains account for only about 70% of virus caused uterine cancers and about 90% of virus caused genital warts.
    • The Institute For Principled Policy stands for biblical economics and therefore encourages successful businesses ventures which include a healthy profit. That being said, we believe it is unethical to structure the cost of a vaccination ($120 for each of the three injections in the series, a total of $360) which is being touted as a barrier against a potentially deadly STD so that it offsets the costs of lawsuits stemming from bad business decisions based on poorly conducted safety studies for other drugs that Merck has marketed (Vioxx®).
    • Furthermore, we believe that it is unethical for a company to mount an expensive and massive lobbying effort on a state-by-state basis designed to co-opt state legislators in an effort to create a guaranteed market through mandatory vaccination on a product which has essentially been awarded a monopoly. This strategy could mean multiple tens of billions of dollars to Merck in the first year of such a program alone.
    • We also believe that it is unethical to attempt to gain a back door indemnity for a product which has no long-term safety data but is nonetheless being touted for children as young as nine. Merck’s attempts to make the vaccination mandatory are at least partly based on federal legislation protecting corporations from damages for death or illness from mandatory vaccinations. No data exists on the long term health effects of Gardasil® so it is impossible to know how it may effect fertility, immune function, carcinogenic activity, neurological effects, et.
    • There is no data on the length of time of the effectiveness of the vaccine. It is conceivable that a child of 16 vaccinated at nine or ten years-old and deprived of an education showing abstinence as the only fool-proof method of STD prevention could become sexually active and be left without even the already incomplete protection of Gardasil®.
    • One of the serious risks of any vaccination of this type is an increased risk for Guillain-Barre syndrome. Guillain-Barre syndrome is a paralytic auto-immune disorder. It is caused by antibodies which have been tricked into recognizing nerve insulating myelin as a foreign invader, causing them to attack the myelin. Gardasil® is only different in that it may have a higher than normal incidence. According to some watchdog groups girls receiving Gardasil® have a higher than normal incidence of fainting and neurological complaints ranging from numbness and loss of sensation to Guillain-Barre syndrome.
    • While we applaud Merck’s decision to not use mercury (Thimerosal) as a preservative, we cannot do the same regarding their choice to use an amorphous aluminium phosphate adjuvant. Aluminium is an important part of the activity of many vaccinations but is also a neurotoxin and accumulates as a heavy-metal in the human body.

    We urge all Ohioans to contact your state Senators and Representatives and respectfully request that they oppose mandatory administration of Gardasil®. Please see the “Contact Your Representatives” page for links to the Ohio Senate and House

  • Sign Up For Ohio Family Lobby Day!

    OHIO FAMILY LOBBY DAY

    April 25, 2007 in Columbus, Ohio

    Decisions are being made for you, on your behalf many times without your knowledge. Meet with your elected officials and or their staff face to face. Discuss issues and legislation of interest to the Christian family that are pending or proposed to the Ohio General Assembly.

    Our civic responsibility does not end with our vote on Election Day. We hired these men and women to represent our families and us now we must hold them accountable.

    Issues and Legislation before the 127th Ohio General Assembly:

      Covenant Marriage
      Adoption Reform & Foster Parenting
      Personhood Legislation
      Community Defense Act
      Abstinence Funding, School Vouchers Plus many more

    Receive training and information about the issues that concern you and your family.

    Meet like-minded concerned Christian citizens who want to make a difference for such a time as this.

    Sponsored By Pro-Family Network, Ohio Christian Alliance, Citizens for Community Values, Family First and Institute for Principled Policy, Citizen-USA Newspaper

    Printable copy of a flyer that you can distribute.

    Printable copy of the application form. Please print one out, complete it and fax it to 614-386-9804 or mail it with a check to the address indicated on the form.

    Or you can pay your registration online! Click here to go to our store “Events” category. The Ohio Family Lobby Day choices are there. You can use your Visa, Master Card, American Express, Discover Card or Pay Pal account to pay the fee. Then download a copy of the registration form and fax it to 614-386-9804. Indicate that your fees were paid online on the form. Then you’re registered. It’s easy.

    Ohio Family Lobby Day

    OHIO FAMILY LOBBY DAY
    April 25, 2007 in Columbus, Ohio

    Decisions are being made for you, on your behalf many times without your knowledge. Meet with your elected officials and or their staff face to face. Discuss issues and legislation of interest to the Christian family that are pending or proposed to the Ohio General Assembly.

    Our civic responsibility does not end with our vote on Election Day. We hired these men and women to represent our families and us now we must hold them accountable.

    Issues and Legislation before the 127th Ohio General Assembly:

      Covenant Marriage
      Banning Homosexual Adoption & Foster Parenting
      Total Abortion Ban
      Community Defense Act
      Abstinence Funding, School Vouchers Plus many more

    Receive training and information about the issues that concern you and your family.

    Meet like-minded concerned Christian citizens who want to make a difference for such a time as this.

    Sponsored By Pro-Family Network, Ohio Christian Alliance, Citizens for Community Values, Family First and Institute for Principled Policy, Citizen-USA Newspaper

    Click here to see a printable copy of a flyer that you can distribute

    Click here for a printable copy of the application form. Please print one out, complete it and fax it to 614-386-9804

    To pay your registration online click here to go to our store “Events” category. The Ohio Family Lobby Day choices are there. You can use your Visa, Master Card, American Express, Discover Card or Pay Pal account to pay the fee. Then download a copy of the registration form and fax it to 614-386-9804. Indicate that your fees were paid online on the form. Then you’re registered. It’s easy.