From the Delaware Liberal:
It’s not quite the Zombie Apocalpyse (Casino Edition), but Delaware’s casinos have formally asked for the state to make them healthy. Or, at least, healthier. According to this NJ article, Delaware’s casinos will be asking for givebacks to the tune of $10M on licence fees as well as for the state to reduce the taxes on the games and slots. And look why they want to reduce their contribution to the state coffers:
Sutor said the tax and licensing fee breaks are necessary to bolster Delaware’s gambling industry, which has taken a serious hit because of aggressive competition in a regional market that now features casinos in Pennsylvania, Maryland, New Jersey and West Virginia.
We knew this was coming. Just not this fast. But casinos asking for the state to make them profitable is the best reason ever for the state to not be in this business. This is a volatile industry that the government is counting on some stable revenues from, AND these captains of industry have decided that they can be profitable at the expense of taxpayers. These are the same captains of industry who are counting on the state to restrict additional competition in the form of new venues at the beach and/or in Wilmington. This is a textbook example in how governments get captured by an industry — and how an industry relies on the government for its survival, rather than on outcompeting your competitors in a free market.
More at the link.
First it was the banks, then it was the automobile manufacturers, then it was students who took on too much in student loans, then it was people who bought more house than they could afford, and now we even see a total luxury industry thinking that they, too, deserve a government bailout.
And why not? When the government bailed out General Motors and Chrysler, it wasn’t because we’d not have any new cars built if those corporations failed — Ford and the imports would still have been available — bu8t because we couldn’t stand to see all those hard-working employees lose their jobs. Well, by that logic, why aren’t we just as concerned with all of the hard-working people at the casinos?
Fortunately, it seems as though, although Governor Markell is willing to work with the casinos, he’s very leery about a large-scale bailout.