Video Gambling Under Discussion

Special Report - May 5, 2010
Despite a recent Elon University poll finding more than 48 percent of North Carolinians oppose the availability of video poker in the state, some lawmakers would like the General Assembly to consider legalizing the games in order to tax them. The poll of 607 North Carolina adults conducted April 19–22 also found that only 35 percent support “video poker being available for play throughout North Carolina.”

Since 2008, there have been various lower court rulings regarding the legality of video gambling in the state, including a new breed known as “sweepstakes,” which has been spreading quickly. Some decisions have said that the games, which provide access to computer-based online gaming with cash prizes when customers purchase Internet or phone time, are not covered by the existing bans on video gambling. A number of counties and local municipalities, including New Hanover County, Carolina Beach, Graham, Hendersonville, Kannapolis, Kinston, Knightdale, Rocky Mount, Spencer, Wilmington, Wilson, and more have either begun considering or have passed restrictions on sweepstakes parlors and cafes. Many have asked the General Assembly to address the issue when it reconvenes on May 12 for the 2010 “Short Session.”

As some of our previous stories have reported, the legislative black caucus voiced support for legalization of video gambling during the 2009 session. It is a sentiment that may be gaining ground, despite Senate President Pro-Tempore Marc Basnight’s (D–Dare) statement that video poker machines “have no place in North Carolina.” Basnight told the Associated Press, “If there is no way we can stop it by law, we then should certainly collect a very, very aggressive tax, and hopefully that would also retard its use.” Sen. David Hoyle (D–Gaston), who serves as the chair of the Senate Rules Committee also told Robertson he’d like to “look at legalizing it, possibly, and enjoying some revenue from it.” Hoyle believes there “might be a way to incorporate this under the lottery.”

For more information on the practical and legal issues surrounding these games, see attorney Chris Derrick’s feature article, “It Ain’t Over ‘Til It’s Over: Video Gambling Returns to North Carolina,” in the latest issue of Family North Carolina. Bill Brooks, president of the North Carolina Family Policy Council, also recently interviewed Derrick on “Family Policy Matters,” the Council’s weekly radio program. That interview can be heard here.

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