Tuesday, August 28, 2012

Reuters: U.S.: Illinois governor vetoes gambling expansion bill

Reuters: U.S.
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Illinois governor vetoes gambling expansion bill
Aug 28th 2012, 15:19

CHICAGO | Tue Aug 28, 2012 11:19am EDT

CHICAGO (Reuters) - Illinois Governor Pat Quinn vetoed a bill on Tuesday that would expand gambling and the number of casinos in the state, saying the measure falls short on ethical standards and oversight.

"Illinois should never settle for a gaming bill that includes loopholes for mobsters," the Democratic governor said in his veto message to the legislature.

Quinn also blasted the bill for not banning campaign contributions from gaming licensees and casino managers, noting that several other states including Massachusetts, New Jersey, Iowa and Indiana, have such restrictions.

The bill would have increased the number of casinos in Illinois from 10 to 15, including a first one in Chicago, and would have allowed slots at race tracks.

As for a Chicago casino, Quinn said the legislation does not subject the facility to the same level of oversight by the Illinois Gaming Board as other casinos in the state.

"Permitting the Chicago casino to operate without the appropriate oversight of the gaming board is not good for Illinois," Quinn said.

The measure's sponsor has said the bill could initially raise as much as $500 million in licensing fees for the cash-strapped state.

But Quinn said the measure did not provide adequate support for education, which was cut by $210 million in the current budget. He also warned that gambling cannot fix the state's enormous fiscal problems, which include the worst-funded public pension system among states.

"Even a casino on every street corner cannot repair the state's $83 billion unfunded pension liability," he said, urging lawmakers to focus on pension reform.

Earlier this month, a one-day special session of the Democrat-controlled legislature called by Quinn was adjourned without the final passage of any pension reform measures.

(Reporting By Karen Pierog; Editing by Tim Dobbyn)

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