Lawmakers OK racino for Austintown

May 25, 2012 at 12:00a.m.

COLUMBUS

State lawmakers have agreed to send $2 million-plus to Austintown and other communities slated to become home to “racinos.”

The provisions were added to a larger gaming bill headed to the desk of Gov. John Kasich.

The final version of House Bill 386, negotiated in recent days by the House and Senate and finalized a couple of hours before Thursday’s sessions, passed the chambers on respective votes of 71-23 and 26-3.

The legislation passed under an emergency clause, meaning it will take effect as soon as the governor adds his signature. Rob Nichols, the governor’s spokesman, said Kasich will sign it.

The legislation outlines numerous changes to state law on Ohio’s four casinos, horse tracks, video lottery terminals and sweepstakes parlors.

“It’s going to make gaming in this state rational; it will be controlled and people will know the rules,” said Rep. Lou Blessing, a Republican from Cincinnati.

Among other provisions, the bill includes funding for gambling addiction and related services; and rules to accommodate the relocation of racetracks in Columbus and Toledo to Austintown and Dayton, respectively, with accompanying provisions allowing lottery-operated video slots at those and other permitted tracks.

Also, the bill places a moratorium on opening new Internet cafes and requires existing sweepstakes parlors to submit affidavits to the attorney general’s office within 30 days.

The House and Senate haggled in recent days over several sections of the bill, compromising at the last minute on issues related to local-government funding and charitable card rooms.

Rep. Ron Gerberry of Austintown, D-59th, and others pushed for a dedicated funding stream for police, firefighters and other services in communities with horse racing tracks and state-operated electronic slot machines.

Such funding was provided as part of the amendment approved by voters for communities that are home to the state’s four new casinos, and Gerberry and others said comparable funding should be provided to communities that will house horse tracks with video lottery terminals.

The final bill will provide an annual payment of $1 million per city or township, to be paid in December and June, and $500,000 annually thereafter, via a memorandum of understanding, to be finalized by the governor’s office, according to documents.

Half of the initial outlays will have to be used for infrastructure or capital costs, Gerberry said.

Republicans in the Senate attempted to amend the legislation to allow one charity card room with paid dealers per county statewide — a move that prompted an outcry among opponents, who viewed it as an expansion of casino-style gaming.

The language was removed from the final version of the bill after proving too contentious, though it may be revisited as part of separate legislation, Blessing said.

Rep. Ron Amstutz, a Republican from Wooster, opposed the bill. He questioned whether lawmakers could preemptively earmark lottery proceeds.

“The constitution does not provide for a revenue-sharing program for the lottery prior to its determination as to what the net profits are that have to go to schools,” Amstutz said. “So while there is a revenue-sharing program in the constitution for our schools, it is entirely to go to the schools, and to do otherwise not only invites litigation but invites us to stand in the face of the constitution today in our vote.”