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Franchot: 'Deep Tax Cuts' Offset Expected Gaming Revenue

Comptroller says the November referendum will not be about legalization of slots but "will be about the type of government Marylanders want, and the kind of state we wish to leave to our kids."

 

Comptroller Peter Franchot said expanded gaming legislation scheduled to be signed into law Wednesday won't generate the revenue state officials promise.

"There never was a fiscal or an economic rationale for reconvening the Maryland General Assembly for its third special session in less than a year," said Franchot in a statement released Wednesday. "Any revenues that will be generated by a new casino in Prince George’s County will take several years to materialize and, if the past is any indication, have been drastically overestimated by gambling supporters and legislative analysts."

Gov. Martin O'Malley is expected to sign the bill into law after 10 a.m. Wednesday, just hours after the Senate passed a final version amended by the House of Delegates.

The General Assembly approved a bill that will allow voters the chance to approve table games and a possible sixth casino in Prince George's County—possibly at National Harbor.

"Furthermore, any modest revenues that will result from this new MGM casino will be offset to a large extent by the deep tax cuts that have been awarded by the legislature to MGM’s in-state competitors," said Franchot in his statement.

MGM Resorts has expressed interest in building a facility at National Harbor.

"While the events of the past few days have been extremely profitable for the national gambling industry, they have been calamitous to those who still value open, transparent and progressive government," said Franchot in his statement. "The irregular nature of this session provided no meaningful forum for members of the public to attend public hearings, express their opinions and ask hard questions. It denied citizens the chance to review real-time campaign finance reports and draw their own conclusions. The final product—tax cuts of 25 percent or more for casino operators, from the same legislature that has repeatedly raised taxes, fees and tolls on small businesses and middle class families—is the most regressive act of public policy that I have seen in 25 years in public life."

Related Topics: MGM Resorts, Martin O'Malley, Maryland General Assembly, National Harbor, Peter Franchot, and Slots

M. Sullivan

10:33 am on Wednesday, August 15, 2012

But, King O'Malley says we're "moving forward"! I'm so confused!

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Mari

12:41 pm on Wednesday, August 15, 2012

It's only confusing if you believe that anything that comes out of O'Malley's mouth isn't for his own self-aggrandizement and future political aspirations.

Joe

10:37 am on Wednesday, August 15, 2012

What a total failure of the pols in Annapolis.
We voted to allow slots under certain parameters and now we agreed they change those parameters. They LIED to the Marylanders plain and simple. THEY LIED!

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jag

11:05 am on Wednesday, August 15, 2012

"We voted to allow slots under certain parameters and now we agreed they change those parameters. They LIED to the Marylanders plain and simple. THEY LIED!"

Dude, chill. Why are your posts always over the top and psycho sounding? "General Assembly approved a bill that will allow voters the chance to approve...." It's a referendum. Vote how you want. If you lose, deal with it. No one really cares what you think about people being able to play poker in MD instead of taking their money to WVA or NJ.

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Dana Schwartz

12:44 pm on Wednesday, August 15, 2012

Please help improve the quality of Patch comments by clicking the "Flag as inappropriate" link while you are logged in.

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Joe

12:54 pm on Wednesday, August 15, 2012

People should stop personally attacking posters which seems their modus operandi. If you don;t want to debate the issues don;t attack the poster.

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Bryan P. Sears

12:55 pm on Wednesday, August 15, 2012

A comment by user "Joe" was removed because it violated Patch terms of use prohibiting abusive and misleading comments.

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Bryan P. Sears

12:56 pm on Wednesday, August 15, 2012

A comment by user "Frank" was removed because it violated Patch terms of use prohibiting abusive comments.

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Bryan P. Sears

1:06 pm on Wednesday, August 15, 2012

A comment by user "Joe" was removed because it violated Patch terms of use prohibiting abusive.

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Bryan P. Sears

1:07 pm on Wednesday, August 15, 2012

Frank: You're right. I meant to remove it that one, too. It's gone.

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Joe

1:26 pm on Wednesday, August 15, 2012

Good work Mr Sears. When attacked personally by these cyber bullies I will return the same and you will be busy deleting posts.

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Glee

1:34 pm on Wednesday, August 15, 2012

Whereas all of life is a gamble, most animals and most humans try to pursue courses of action where the actions will ensure their survival. Gambling casinos attract people who enjoy reckless risks. If we really want to increase the probability that crime will increase in Maryland, this is an excellent idea!!!

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Ronald

5:12 pm on Wednesday, August 15, 2012

Keep going Joe. You are correct. But if we allow Obama to get away with lieing about Obamacare not being a tax and then arguing that it is a tax in front of the Supreme Court why aren't you blogging about him. Annapolis is only taking Obama's lead.

Prince of Fantasia

10:43 am on Wednesday, August 15, 2012

Atlantic City on the Potomac....oh, if only Prince George's could be more beautiful!

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M. Sullivan

11:03 am on Wednesday, August 15, 2012

Have you ever been to AC? Most of it is a run-down crime-ridden dump.

Baltimore Matt

11:01 am on Wednesday, August 15, 2012

Its time to behead King O'Malley on the steps of the state house and install Peter Franchot as Governor/King/Supreme Ruler!!!

I like this guy, he may be the only straight man with an ounce of ethics and sense in Annapolis

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M. Sullivan

11:06 am on Wednesday, August 15, 2012

LOL! While I heartily agree with your first idea, I'm not sure Franchot is a good replacement.

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Skip727

6:45 am on Thursday, August 16, 2012

Baltimore Matt,
Comptroller Franchot is only doing what the MD constitution says he must do, collect taxes. His office has no say in policy issues, they are only tasked with writing the tax laws AFTER the GA has created and passed them.
Everyone thinks Mr. Franchot is a fiscal conservative but before you place the crown on his head please go back and check his record when he was a member of the General Assembly, you might change your mind.
Just saying.

Neil B

12:02 pm on Wednesday, August 15, 2012

I doubt any taxes will be cut. I am sure they will get a pay raise though.

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Joan Wood

12:07 pm on Wednesday, August 15, 2012

Be careful who you vote for!! Franchot wants wants to be our next Governor......wanna bet if he gets elected he will change his tune??
And Baltimore Matt.........be careful about threats against our Great and Wonderful Oz.......just think.......Walter Abbott........!!!!

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Mari

12:43 pm on Wednesday, August 15, 2012

Baltimore Matt, I second what Joan said - Willy Don would have shown up at your door to argue with you but the current governor will just have his security detail take you in for questioning and then probably have charges filed against you. Just sayin'...

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Baltimore Matt

12:51 pm on Wednesday, August 15, 2012

Why should we live in fear of what we say about the tyrant and chief O'Malley?...if he were to do anything it would simply prove my point that he is a shaddy mobster that needs to be removed by any means necessary.

I am not threatening to behead him but the type of politics he plays is a slippery slope to those that have gotten political figures offed (sometimes by beheading) throughout history.

Leslie Schildgen

12:27 pm on Wednesday, August 15, 2012

I agree M. Sullivan. . . Atlantic City is a dump

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Dean Smith

12:36 pm on Wednesday, August 15, 2012

From the beginning when gambling was re-introduced by O’Malley, Franchot has been against it because like he states in this article, it won’t generate the revenue state officials promised. However, it seems that O’Malley and Co was determined to push gabling through without any real planning or structured thought!! During this whole gambling process, I have never experienced people (especially state politicians and casino heads) promising things one minute and switching to completely something else later. There has been more switching during this whole gambling process than a prostitute switching their butts at a pimp convention!! I am not a gambler and don’t intend to gamble. However, I know badly run government and this state’s handling of the gambling process has been beyond terrible!! Like what just about everyone has stated, whoever voted for this bills needs to be voted out of office.

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MikeC

8:55 am on Thursday, August 16, 2012

I strongly agree with DS.

Sean Tully

12:56 pm on Wednesday, August 15, 2012

I don't see how any self respecting Republican can be against table games. Aren't Republicans for more rights, not less? I don't gamble but I don't care if anyone else does. And as far as Franchot and his claim on how much revenue will be raised, I can only say, who cares how much is raised? Some will be raised, at the least. The point is that gambling brings in tourists (even if they are locals) spending money in the state. I wonder about Franchot. I know he is a Democrat, but he smells a little bit like a loony Tea Partier to me.

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jag

1:03 pm on Wednesday, August 15, 2012

Boo choice. Boo tourism. Boo private investment. Boo revenue. Boo jobs.

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H.R. Pufnstuf

1:48 pm on Wednesday, August 15, 2012

Why is gambling only OK if the government is so deeply involved in it? If you really support consumer choice and more rights, legalize gambling and let private companies build whatever they want to pay for themselves. Tax their profits as we would with any other company.

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Joe

3:03 pm on Wednesday, August 15, 2012

"I don't see how any self respecting Republican can be against table games."

I don't see how any self respecting person can be a democrat.

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Skip727

6:47 am on Thursday, August 16, 2012

Sean, Sean, Sean...Name calling again. TSK,TSK,TSK!

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Sean Tully

12:49 pm on Thursday, August 16, 2012

H. R., I am for that too, but we do need regulations or the corporations will run amok. That's how it is in reality.

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Sean Tully

12:51 pm on Thursday, August 16, 2012

Skip, calling the Tea Party "loony" is not name calling. It is a comment on a political movement. Name calling would be me calling you something derogatory.

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Skip727

3:38 pm on Thursday, August 16, 2012

Sean,
Semantics, Sir. But to each his/her own.

David J Iacono

1:07 pm on Wednesday, August 15, 2012

Where are the Libertarians in this discussion. They have no problem with an "anything goes" with guns. Why not gambling? Franchot is letting his religious beliefs get in the way of his rational thinking. Gambling in the state is a win-win situation for private and public sector. If the set aside an amount to address gambling addiction and rehabilitiation, what's the problem. Republicans seem to want no restrictions on some things like guns but draconian restrictions on a women's health choices. Being partially libertarian is like being partially pregnant.

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Sean Tully

1:18 pm on Wednesday, August 15, 2012

David, they are against gambling because O'Malley is for it now. Most "Libertarians" that I know are actually Republicans, or at least that is how they vote.

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JayDee

2:57 pm on Wednesday, August 15, 2012

David - I am a registered Libertarian and I feel adults should be able make their own choices, and be responsible for the consequences of just about any activity that does not harm others. This includes gambling. My problem with the nonsense in Annapolis is that the government's role in this should be to legalize it and then get the heck out of the way and let private enterprise build, own and manage it from there. The goons in Annapolis are playing the part of the mafia - getting their cut in the interest of "kids" and "jobs". Yeah, right.

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Dana Schwartz

3:23 pm on Wednesday, August 15, 2012

JayDee: You don't think gambling harms anyone?

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Joe

3:40 pm on Wednesday, August 15, 2012

"Most "Libertarians" that I know are actually Republicans"

Why are you are calling your libertarian friends liars? Is their word not good enough for you?

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H.R. Pufnstuf

3:40 pm on Wednesday, August 15, 2012

Dana- that's not what the man said.

Let me spin that around on you: do you think the government telling us all what to do doesn't harm anyone? Government's all over the world sure harmed a lot of people over the past century.

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JayDee

3:43 pm on Wednesday, August 15, 2012

Dana Schwartz- People should be responsible for their own actions. If you gamble and lose your house - it doesn't harm me, but adults need to be responsible for their own actions. Self-inflicted wounds are the responsibility of the person who pulled the trigger, or in this case, the slot machine arm.

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Corbin Dallas Multipass

5:18 pm on Wednesday, August 15, 2012

"Dana Schwartz- People should be responsible for their own actions. If you gamble and lose your house - it doesn't harm me, but adults need to be responsible for their own actions. Self-inflicted wounds are the responsibility of the person who pulled the trigger, or in this case, the slot machine arm."

If your next door neighbor loses their house and it gets foreclosed it can affect your housing price. They could also lose their job and then not contribute to taxes, affecting what money is available for services for everyone. Those are just two ways that it would affect you.

Also, to gamble and lose your house means you have a serious problem and are in need of help. It smacks of extreme cruelty to say you're okay with that and people should just "be responsible for their own actions."

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Dana Schwartz

8:47 pm on Wednesday, August 15, 2012

JayDee: Unfortunately, we are all harmed by gambling, if as I expect you include increased costs to yourself as harm. Our insurance rates will go up due to the increase in crime, our taxes will go up to provide additional police protection, needed improvements to the transportation infrastructure, and social programs for addiction, health insurance costs will go up for treatment of addictions, and of course property values will decrease costing you resale value.

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H.R. Pufnstuf

7:55 am on Thursday, August 16, 2012

Corbin Dallas- if someone has such a gambling problem that they are on the verge of losing their home, it is the responsibility of their family, friends and associates to recognize the problem and get them help. You are extremely arrogant for wanting to curb the behavior of responsible adults.

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Dana Schwartz

8:28 am on Thursday, August 16, 2012

H.R.: Unfortunately, that's not how it usually works. Costs usually are covered by insurance or by social programs,( = taxes ). Which means it costs all of us. If their actions only affected themselves, that would be fine with me. But why should others be allowed to make choices that cost ALL of us money?

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Corbin Dallas Multipass

8:47 am on Thursday, August 16, 2012

"Corbin Dallas- if someone has such a gambling problem that they are on the verge of losing their home, it is the responsibility of their family, friends and associates to recognize the problem and get them help. You are extremely arrogant for wanting to curb the behavior of responsible adults."

Nice try, where did I say I was in favor of curbing the behavior of responsible adults?

My point was that if you are going to have gambling, you're going to have addicts or other irresponsible gamblers, and it is irresponsible on the part of others to say that the actions of addicts or other irresponsible gamblers do not affect others in any way. I already pointed out several indirect affects on others: losing their job means losing tax income, losing their house means lowering housing prices. Am I wrong about those two suggestions?

If you want to have gambling in this State, fine, but you can go about having it while not being either ignorant of its effects on the population and unsympathetic to those who might need help once its presence is broadened.

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H.R. Pufnstuf

8:56 am on Thursday, August 16, 2012

Corbin- Yes, you are wrong. I don't think a gambling addict who loses their home has an measurable effect on prices. Someone else will swoop in and purchase the home, and pay associated taxes.

Dana- you say: "why should others be allowed to make choices that cost ALL of us money?" Do you have kids in public schools? If so, you made a choice that costs all of us money.

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Dana Schwartz

9:23 am on Thursday, August 16, 2012

H.R.: Nope, no children in public schools - never have and never will. My choice. Yet I've had to pay Prince George's school taxes for over 30 years.

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H.R. Pufnstuf

10:39 am on Thursday, August 16, 2012

Dana- are you opposed to public schools on the grounds that they cost others money?

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Dana Schwartz

11:48 am on Thursday, August 16, 2012

No, just answering your question.

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H.R. Pufnstuf

12:08 pm on Thursday, August 16, 2012

Then I'm sure you see how inconsistent you reasoning is.

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Dana Schwartz

1:01 pm on Thursday, August 16, 2012

Oh, now I see your point! Since I'm against legalized gambling, I should also be against public education. I'll think about that. ;)

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H.R. Pufnstuf

1:40 pm on Thursday, August 16, 2012

You specifically stated "why should others be allowed to make choices that cost us ALL money?" If you apply that logic consisently, you should really be opposed to all government programs.

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Corbin Dallas Multipass

3:43 pm on Thursday, August 16, 2012

"I don't think a gambling addict who loses their home has an measurable effect on prices."

That's you making an assumption about every possible outcome. Perhaps some do, perhaps some don't. http://homebuying.about.com/od/4closureshortsales/qt/0507-4-closeval.htm

Saying it has no effect is still crazy.

Sean Tully

1:22 pm on Wednesday, August 15, 2012

If I were King for a Day, I would have legalized all gambling (even sports gambling, which federal law will not allow), prostitution, and pot (and yes, you could keep drinking alcohol too). But I would have kept them all to downtown Baltimore, probably along the dead zone known as Howard Street. That would focus tourism to the major city in the state (think conventions, full hotels, new construction, etc.), yet benefited the entire state's coffers.

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Sean Tully

1:23 pm on Wednesday, August 15, 2012

I probably would allow pot to be smoked state wide, by the way.

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Mike McAuliffe

6:39 am on Friday, August 17, 2012

Sean, I don't agree with your opinions very often, but I like this idea. I think creating a Debauchery Zone in the city and one in each surrounding county would alleviate some of the problems that creep into residential areas. Gambling houses, saloons, brothels, bordellos, prostitution, peep shows, strip joints, glory hole houses, bath houses. hukka bars, grog houses, opium dens, pot smoking houses, crack houses, etc. Let almost any type of behavior go on in the zone. A Dodge City of sorts. But along with this must come harsh penalties for anyone or any business conducting this stuff outside of the zone. The strip joint owners on The Block asked for such a zone a dozen years ago when the City dismantled the Block, but the businesses were told that they were on their own to relocate. That's when the places like the glory hole shack on Southwestern Blvd. near the MARC station showed up throughout the counties. There will always be a certain market for this stuff and most of the patrons are willing to drive to a remote location to get their entertainment. No government is able to squash this stuff, so they should simply try to contain it.

Baltimore Matt

1:44 pm on Wednesday, August 15, 2012

The problem with gambling in MD is that we are giving it to the mob ran casino companies. If we allow for small gambling operations in bars/restaurants, and small gambling halls owned by whoever can pay a per-machine/table fee, I would not be opposed to it but the type of restrictive licensing the state is issuing does not bring the state any new wealth. With gambling we need to have a business environment that rewards and builds local companies (ones incorporated and headquarters here). Caesars, MGM National Harbor, MD Live etc. are not bringing their corporate headquarters and corporate taxes to MD. Even with the high taxes on the machines, they are not starting new companies in MD therefore they are just sucking the wealth out of this state to send elsewhere. Whether there are table games or not these casinos are not going to bring tourist or folks outside the area to gamble because the states surrounding ours are also saturated with their stale format casinos (usually owned by the same company).
Gambling was originally going to keep horseracing in MD, giving tracks an alternative form of gambling for their customers especially in the off season. Only in 1 case has that been created, Ocean Downs. Instead we've got the mob paying for TV ads and pushing around our state legislators, and they must have something on them because as last night's vote proves that they have no choice but to go along with it.

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Dean Smith

2:27 pm on Wednesday, August 15, 2012

Hey Baltimore Matt!! I agree with you 100% in that it would have been better for small gambling operations in bars/restaurants, and small gambling halls owned by whoever can pay a per-machine/table fee, Also, I agree with you 100% that large gambling corporations are not bringing their corporate headquarters and corporate taxes to Maryland. Also, there’s no doubt to me that state legislators are being pushed around by gambling reps. However, I believe they didn’t set it up that way is because they assume Maryland voters wouldn’t approve it since there is an increase chance voters feel small casinos would be too close to where they live. Maryland Live was approved basically because voters who live far away from Arundel Mills Mall voted to have it at the mall. In addition, the rules were created so Cordish have an advantage over the Jockey Club in locating a slots parlor in AA County (believe me I was involved in trying to stop slots from being located at Arundel Mills Mall and the whole process was disgusting from the switching of politicians promises to the changing and set-up of rules to Cordish advantage).

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Ronald

5:09 pm on Wednesday, August 15, 2012

It's not to bring in money from other States. It's about keeping maryland money from going to other States.

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MikeC

9:08 am on Thursday, August 16, 2012

Thank you, Matt, for injecting some sense into this comment section. Keep gambling on a small, local level and it doesn't bring the multitude of costly problems casinos will add.

Steve

2:09 pm on Wednesday, August 15, 2012

MD LIve's Headquarters are in the Power Plant at the Inner Harbor.

None of the casinos are run by the Mob. They are under incredibly tight scrutiny. Steve Wynn originally started off his empire with a bingo hall on Ritchie Highway.

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Ronald

5:08 pm on Wednesday, August 15, 2012

Who would know if they were? Can you send me a list of who is in the mob? Does anyone know what really went on in NJ and why those casino big shots withdrew their applications when questioned about ties to 'Chinese Mobsters'?

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M. Sullivan

10:10 am on Thursday, August 16, 2012

Ronald, MGM Resorts International, the people who want to build a casino in National Harbor, are in a 50-50 partnership with Pansy Ho for the MGM Macau resort and casino. Pansy Ho is the daughter of casino magnate Stanley Ho, who is rumored to have connections to the Chinese mob. MGM Resorts was also a partner of Boyd Gaming in ownership of the Borgata in Atlantic City. When the New Jersey Casino Control Commission learned of the Macau deal, they balked, due to a well-founded fear of any mob influence in AC casinos. The commission gave MGM an ultimatum; cut ties with the Ho family or sell their share of Borgata. MGM chose to go with the greatest money potential and leave AC. This is where all these "mob ties" stories come from that the casino opponents are using.

Marcus Aurelius

2:19 pm on Wednesday, August 15, 2012

Hey it is all about getting the tax dollars back that are given to people who do not deserve it in the first place, it is a shame the people still vote for democrats, this is all part of keeping them on the plantation the democrats have always keep them on. Give them welfare money they do not deserve and then give them a place to go spend it and the money comes round and round and around.

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jag

2:53 pm on Wednesday, August 15, 2012

LOL, yeah, right. Those casinos are just full of ppl on welfare.

A. you've never been to a casino, apparently.
B. how on earth would you know who's on welfare? You go around asking people? All this talk of keeping "them" on "plantation"s makes it pretty clear that you're just being a racist and assuming a black person in a casino means they're gambling a welfare check. Bravo.

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Joe

3:05 pm on Wednesday, August 15, 2012

jag Dude, chill. Why are your posts always over the top and psycho sounding?

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jag

3:43 pm on Wednesday, August 15, 2012

Joe, chill, why don't you go get another handful of comments deleted by spending your day calling everyone names?

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Ronald

5:01 pm on Wednesday, August 15, 2012

There are significantly more 'white' people on welfare and food stamps than 'black' people. The biggest losers are the blue hairs that have nothing better to do with their pension and social security checks.

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Joe

5:25 pm on Wednesday, August 15, 2012

jag, if you don't like it aimed at you, don;t aim yours at others. See how simple that is?

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Joe

5:26 pm on Wednesday, August 15, 2012

Anf Frank, calling the kettle black are you pot?

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Joe

8:54 am on Thursday, August 16, 2012

No Frank, I do not agree. There is no way to know but the newly signed bill does prevent MD's EBT cards from being used at the casino's, so someone knew something and thought it was a issue to be dealt with.

Edward Charles

2:50 pm on Wednesday, August 15, 2012

Senate President Palpatine (StarWars!) is MOM's puppet master.

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M. Sullivan

2:51 pm on Wednesday, August 15, 2012

I am all for casinos in MD. I like to gamble. It can be a relaxing hobby if you can afford to lose. But, as I have stated before, Maryland's sorry excuse for a casino industry will never bring in out-of-state money because of the ridiculous regulations created by the menagerie in Annapolis. If Franchot had his way, we would have no casinos at all. What right does he have to dictate morality? The biggest mistake is letting MD govt. have too much control over the operations and locations of casinos. This state government can't even manage its own budget! They need to issue a limited number of licenses, have a small, independent gaming commission to ensure integrity, and let the natural economic principles of supply and demand control the location and size of the casinos. Even with a much more reasonable tax rate, we would have thriving business contributing to our tax base. If our incompetent state government tried to control all businesses they way they are controlling the casino industry the whole state would be broke.

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John Hayden

4:21 pm on Wednesday, August 15, 2012

Mr. Franchot is right. The tax cuts to the big casino operators are indefensible. They whine that they can't make a profit. Nobody forced them to open a casino in Maryland. It's true, some of them will go bankrupt because the market for gambling is finite, but the number of casinos is multiplying.

One of the worst aspects of this is provisions requiring the casinos to spend heavily on "marketing." In other words, advertise heavily to lure more citizens into addictive gambling. It's wrong.

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Ronald

5:04 pm on Wednesday, August 15, 2012

Anyone else totally disgusted with the postion taken by Senate President Mike Miller. Here is someone voted into power by A.A. County Citizens yet he, Mr. Miller, gives an interview this date saying that he is the Senate President first who happens to have been elected to represent A.A. County. What a pathetic loser and traitor this piece of crap is to all A.A. County citizens. He was elected to represent us first and appointed by his cronies in the Senate to his present position. I hope all of you out there remember this asshole come election time and put him on the unemployment line where he belongs.

Mr. Miller - you lied and misrepresented all of A.A. County and I hope you rot in hell.

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Dana Schwartz

8:50 pm on Wednesday, August 15, 2012

Agree. I never had the chance to vote for or against Mr Miller, yet he controls most aspects of my quality of life in Maryland. The only solution I can see is term limits.

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Dean Smith

8:43 am on Thursday, August 16, 2012

Hey Ronald and Dana!! I agree with the two of you!!!

elaine

5:07 pm on Wednesday, August 15, 2012

Martin O'MalLIE gets what he wants, again. The sheeple of Maryland really need to wake up and vote with their heads, not with their hands out.

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Doug Wood

9:02 am on Thursday, August 16, 2012

The problem is that so many in Maryland live their lives on the government payroll and on government assistance...so they what to keep the liar in office so they can continue to live with their hands out!!!

Eastsider

6:32 pm on Wednesday, August 15, 2012

Maybe if the idiot Democrats in Annapolis passed this years ago when Ehrlich was in office maybe just maybe this state would be better off today.

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Ron Burgundy

6:38 pm on Wednesday, August 15, 2012

They did, in 2005 the house passed a slots bill. As Yogi Berra says, "you could look it up". Robo Bob didn't like it that his backers, the racetrack gang, didn't get the slots. He took his ball and went home.

Jim Beachley

7:18 pm on Wednesday, August 15, 2012

Casino owners were also granted personal property tax exemption status for LIFE as part of this legislation. That to me is a huge story that remains mostly unreported.

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Ronald

8:24 am on Thursday, August 16, 2012

I'll bet my next paycheck that Cathy Vitalie won't comment on this issue. She never answers questions - just runs her mouth and pushes her agenda. What a pathetic excuse for a State Representative and human being.

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MikeC

9:27 am on Thursday, August 16, 2012

In the interest of gambling, I'll bet that we won't hear much about any of this in the run-up to November. I saw one anti-casino ad in the past week and many more paid for by the casino lobby (you know, those poor people burdened by over-regulation and high taxes so much so that they have to search high and low to find the $100,000's to buy ads amongst their $10,000,000's of easy money they leach off their naive customer base.)

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Cathy Vitale, Maryland House of Delegates, District 33

2:51 pm on Thursday, August 16, 2012

Jim, thanks for pointing out an important provision of the legislation that has not really been covered. Although an amendment was proposed to provide similiar types of personal property tax exemptions in other areas of business, particularly helpful to small businesses, we did not get enough votes in the house. When the issue was raised in the discussion on the Senate floor, it is my understanding that no one took up the challenge to explain why.

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Ronald

8:30 pm on Thursday, August 16, 2012

Hey Cathy V. - we're still waiting for a response on your position for taking the ability of the County Exec. to appoint the Police Chief away? Why not answer one question before you sound off about others?

John Hayden

11:35 pm on Wednesday, August 15, 2012

@ Dana: Yep, this whole gambling mess makes a strong case for term limits.

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JoAnn Nicholls

6:54 am on Thursday, August 16, 2012

Maryland taxes the gambling earning at 67%....adjoining states tax earnings at 4%....no one who gambles will be doing it in Maryland....

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Dana Schwartz

8:31 am on Thursday, August 16, 2012

Do you have a source for these figures? I'd like to know more.

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Corbin Dallas Multipass

9:08 am on Thursday, August 16, 2012

"Maryland taxes the gambling earning at 67%....adjoining states tax earnings at 4%....no one who gambles will be doing it in Maryland...."

I'm not sure if you mean to imply that if I win at the Slots I'd have to pay 67%, but that analysis doesn't say that from a quick reading. It is saying the operator gets their earnings taxed at 67%:

"Currently in Maryland, only slot machines (VLTs) are allowed at the casinos and gross gaming (slot) revenues are taxed at a flat rate of 67%." (Page 24)

This page has information on how Maryland taxes Gambling Winnings: http://individuals.marylandtaxes.com/incometax/estimated/gambling.asp
It looks like it is simply treated as income.

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MikeC

9:53 am on Thursday, August 16, 2012

There isn't any 4% in your report. Having checked out all the tax rates and the, more accurate, effective tax rates I now see why most states are wasting resources welcoming gambling into their neighborhoods. Nevada's and New Jersey's (lowest of any state) 8% tax rate explains why both state's governments are highly corrupt, have high crime rates they cannot handle, Nevada's schools are some of the country's most wanting and New Jersey residents suffer under high property taxes.

Mississippi's low gambling tax rate (11%) explains why they still suffer high poverty, poor health care, poor schools, and a big Mississippi "etc." for so much more than that.

A few other states collect casino taxes at percentages in the teens, more than that in the twenties, and those states don't suffer as much as Mississippi, Nevada and New Jersey from poor services and high tax rates on residents to make up for the low state revenues from gambling.

Higher tax rates in other states (mid-30%'s in Indiana to 67% in NY) help residents there enjoy a little better living conditions and better services, although New York's eight casinos are a small number for a large state with a large population, so it doesn't make as much of a dent in their state budget.

Overall, I'm glad our casino tax rates are so high. I wish it were higher and there were less casinos so they don't power their way in Annapolis to lower regulations and taxes.

JoAnn the taxes.

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M. Sullivan

10:31 am on Thursday, August 16, 2012

Mike, while a high tax rate for the casinos sounds like a good thing at first glance, it will end up hurting any chance for a viable and sustainable casino industry in MD. Even if they get table games, slots are the great majority of any casinos business. Since the operators must pay such high taxes, they are setting their machines to the lowest possible payout, with the State of MD's blessing. People aren't all stupid. They eventually stop going to places where they are being robbed. This leads to situations like what Perryville is now experiencing. People are giving up and driving 20 minutes up the road to Delaware Park. See: http://www.examiner.com/article/maryland-s-hollywood-casino-is-bankruptcy-next

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MikeC

6:32 am on Friday, August 17, 2012

You know what Sully? May I call you "Sully". Sully, a viable and sustainable casino industry in MD, or anywhere for that matter, really isn't important to a viable and sustainable society, so, in that sense, No society really "needs" casinos, gaming or things like that that are low level entertainment for its residents. The only reason, and there really is only one reason, to invite casinos into your neighborhood is that their ability to scoop up people's money in a way that they believe they are having fun giving up loads of money in an incredibly willing manner to help run the government. If government could collect revenue and make it as fun as some people believe gambling is in a fair and equitable way from all its residents then we wouldn't have all that bitching about how much taxes are costing all of us so that our government could provide us with services and infrastructure we truly need as a highly civilized, functioning society. right, Sully?

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M. Sullivan

11:01 am on Monday, August 20, 2012

Mike, of course no society "needs" casinos nor do they "need" any other form of entertainment like theater, bars, bowling alleys, etc. Just because you don't think casinos are fun doesn't mean others don't. The problem in MD is our tax dollars are being wasted by our government trying to have too much control over a casino industry that is doomed to failure due to the clumsy, ignorant actions taken in Annapolis. A casino industry that is controlled by the people who know the business, that is taxed at a reasonable rate, will thrive. It will bring in out of state money, provide jobs, and pay a regular, sustainable tax base. All these stupid actions from Annapolis such as buying millions of dollars of machines with our tax money and the regulations that make any casinos in MD inferior are just wasting our money.

Joe

8:56 am on Thursday, August 16, 2012

I will be voting against this boondoggle. They screwed it up as bad as it could be screwed up and now they are making a lame attempt to fix a screwed up bill.
they want the people to feel a part of the process but we are not. They ask us to vote on A and then go to B and pass C now. I been lied to enough by these legisLOOTERS.

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Doug Wood

9:06 am on Thursday, August 16, 2012

My bet is, that if this is approved by the voters...these funds will never ever make it into schools and what ever other places the lobbists say will benefit from the new casino!!!

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Joe

9:27 am on Thursday, August 16, 2012

I can't remember the details but the original bill had something in it about 10 years when ALL the states take will go into the general fund.

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MikeC

10:11 am on Thursday, August 16, 2012

I believe history is on your side, Doug. I can't think of any place where gambling revenues have been large enough to help public education. Anyone? You'd think that with the $1 billion that the state and gambling lobby is saying they're putting toward education we would once again have the best schools in the world, $0 in-state tuition for state colleges and universities, smaller class sizes, more modern schools (with a/c), and, therein, the envy of the nation with the best equipped workers in the country.

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Joe

10:25 am on Thursday, August 16, 2012

EVERY dollar toward education is not an EXTRA dollar to education. It only replaces the money form any other source.

HappieGrannie

9:32 am on Thursday, August 16, 2012

My biggest problem with this bill is adding another casino before 4 & 5 are even up and running. Look at Perryville after the opening of Casino Live, it's revune dropped 32%. We are opening more casinos then the state can handle. The law should have put a cavet in. No 6th casino till 4 & 5 are up and running and they should allow table games in all casinos to compete with surrounding states. We are will kill the market with this many casinos lets face it MD is not big enough to support 6 casinos

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Joe

9:51 am on Thursday, August 16, 2012

It took what, 4 years to get the first on up and running so it will be another 4 years before any new ones are up and running IF approved.

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MikeC

10:12 am on Thursday, August 16, 2012

The lobby wanted it, so they gave it to them.

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M. Sullivan

10:33 am on Thursday, August 16, 2012

Pennsylvania had 4 casinos open in less than 2 years.

romeo valianti

10:24 am on Thursday, August 16, 2012

Remember this all you die hard Repub;icans, Your king former Governor Robert Ehrlich was for casino gambling, the only way he did not prevail, he was defeted by Governor Martin O'Malley. Are you all still crying like the 5 Carroll County Commissioners miss fits do every time they are in session.

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Joe

11:03 am on Thursday, August 16, 2012

Do you reside in Carroll County?

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Doug Wood

11:10 am on Thursday, August 16, 2012

to Romeo....and in a true display of politicism...OWE'Malley(then mayor) and his democratic buddies were vehemently opposed to casinos in any form!!!! so what is your point??? What seems obvious to me is that the entire crew smack of hipocrasy!!! In my opinion they only wanted to wait til they could get their own hands out for a pay off....I don't trust any of the current top level folks in the stae house!!!

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Skip727

2:34 pm on Thursday, August 16, 2012

As I recall, the mayor at that time was morally opposed to gambling. Just as he was opposed to anything offered from a republican, think back to the $50mil that 'disappeared' from the Baltimore City school budget when he was mayor and he opposed the then governor's assistance in replacing those funds, providing the state had a say in how those funds were spent. Seems like our governor doesn't want to be accountable to ANYONE ( voters included) except those that can contribute to his run for higher office. Just saying.

romeo valianti

10:36 am on Thursday, August 16, 2012

especially Commissioner Rob-em Frazier.

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Voter

11:12 am on Thursday, August 16, 2012

Comptroller Peter Franchot is the most honest Public Servant I can recall in my lifetime. He ALWAYS speaks with common sense and truthfulness.

He has earned my complete respect.

If only all the other Politicians would follow his lead, we'd be so much better off.

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Joe

11:39 am on Thursday, August 16, 2012

I heartily agree. I am still skeptical of his "social" issue stands though. Being form MontCo and all. If you ever need to contact his office, which I have quite a few times, he or someone from his office responds in less than 24 hours and responds with answers not hype.

JoAnn Nicholls

11:36 am on Thursday, August 16, 2012

Peter Franchot campaigned on weeding out tax cheats....Former Majority Whip of the House, Delegate George Owings arranged a meeting between us in person, that I could share some information on an industry that indicates a massive issue with tax fraud in a specific industry...That was in March of 2010....I've yet to hear one peep from the Comptroller as to a solution....It is well known that Franchot does not like O'Malley...Neither did Delegate Owings as he was running against him in the primary for Democrat Governors race but dropped out when he took ill...my point being don't put any of these people so high up on that pedestal....I've yet to find one that
deserves my complete respect...although I do really like former Delegate George Owings....he was a good man..

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Joe

12:06 pm on Thursday, August 16, 2012

Ex Florida Congressman Robert Wexler used to live in MoCo. He sent his 3 children to MD public schools. He drove on MD roads and used MD services. He lived here for at least 10 years with no other physical residence in his Florida district. He used the address of his mother in law which was a SENIOR community and no one under 55 was allowed to live there. I filed a complaint with Franchot's office because Wexler used a false address in his district, lived here and PAID NO INCOME TAX in Maryland and NONE in Florida. He resigned form office.

"October 14, 2009 It's kind of a shocker for political groupies, news that a popular and not-in-any-way-endangered Democratic incumbent has decided to leave Congress.

Robert Wexler, a staunch liberal voice from Boca Raton, railed against Republicans who impeached President Clinton and fought for a paper-verification of all ballots after Florida's flawed (remember hanging chads?) election in 2000.
Today he announced that he's resigning after 19 years in Congress"

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Joe

12:07 pm on Thursday, August 16, 2012

"BILL O'REILLY, HOST: The top story tonight: one of the most liberal members of Congress, Robert Wexler of Florida, may not be a Floridian. Wexler represents the Palm Beach area, but has lived in Maryland since the late 1990s. He says his Florida address is a senior residence in Delray Beach. But that residence says kids can't live there for more than two months each year. Wexler has three teenagers. Producer Griff Jenkins caught up with Wexler at his Maryland home.

GRIFF JENKINS, FOX NEWS PRODUCER: Good morning. Griff Jenkins from FOX News. Just a couple quick questions for you.

REP. ROBERT WEXLER, D-FLA.: No, I'm not doing this. If you want to call my office, that's fine. I've got to drive my daughter to work.

JENKINS: Two quick questions. It came to our attention that your primary residence in your disclosure format is in Florida in Delray.

WEXLER: That's correct. That's my residence.

JENKINS: Yes?

WEXLER: Yes. I'll be happy to answer whatever question you wish…

JENKINS: It looks like you live here. And the house in Delray appears to be an active adult community, belongs to your mother-in-law? Is that true you live with your mother-in-law?

WEXLER: My in-laws own that house, that's correct. I'll be happy to...

JENKINS: So you live with your mother-in-law?

WEXLER: My in-laws own that house, yes. That's my official residence.

http://www.foxnews.com/story/0,2933,390663,00.html#ixzz23j48KVW9
"

JoAnn Nicholls

12:11 pm on Thursday, August 16, 2012

good for you Joe...It is great citizens like you who work to clean up what was once a respected position...politician...now I call them the DC'vers..

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romeo valianti

12:31 pm on Thursday, August 16, 2012

I read in the Carroll County Times that Senators Joseph Getty and David Brinkley were the only Carrroll County Senators voted in favor of epanding gambling in Maryland. They were the only smart ones that felt their vote was necessary for gambling to be important enough be successful, The four Delegates from Carroll County who voted against the gambling bill were only voting against Governor O'Malley and the Democratic Party. Its time for a change for Carroll County to replace these four Delegates with more common sense. Lets us Republicans, Democrats, Independents and voters with vision from Carroll County, start today by replacing these four Delegates who are only political publicity seekers . ITS TIME FOR THEM TO GO.

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Joe

12:54 pm on Thursday, August 16, 2012

Are Miller O'Malley and Busch (the MOB) and the rest NOT "political publicity seekers"? Really?

JoAnn Nicholls

12:37 pm on Thursday, August 16, 2012

since this issue must appear on the ballot I am hearing rumor that there only needs to be a majority vote against this is PG County alone for it to fail however, it would also fail if there is a majority against this statewide even if PG residents approve...anyone know if that is true?

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Tom

1:47 pm on Thursday, August 16, 2012

There are two separate resulting voting components to the referendum. One is a statewide vote to allow table games at all casinos and to create a 6th license for a PG Co site. The other is how PG Co votes for the referendum. It is possible that the referendum vote statewide could be in favor of granting table games and the 6th license while PG Co majority votes down the referendum. At that point, the 6th license is shot down, while the other casinos get table games.

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M. Sullivan

2:36 pm on Thursday, August 16, 2012

Now, honestly, what are the odds of the referendum being voted down is PG county, given the demographics?

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Dean Smith

2:46 pm on Thursday, August 16, 2012

M. Sullivan, I agree with you! By the time MGM runs commercials in Prince George’s County stating that a new casino there will generate new jobs, lower taxes, new funds for police, firefighters, teachers (for anyone in Anne Arundel County, does all of this sound familiar), there hardly will be anyone who will vote against having slots there.

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Ronald

8:28 pm on Thursday, August 16, 2012

Hopefully Baltimore City and AA County will remember the lost revenues if this bill is passed and their votes will cancel out, and outweigh, PG County. It's just a shame that the 21st Delegation that represents AA County didn't abstain and showed their true colors. Remember come election time.

JoAnn Nicholls

2:40 pm on Thursday, August 16, 2012

O'Malley is a legend in his own mind...in the Iowa straw poll he came in with just under 1% of the vote for the 2016 presidency, 3% behind the phony Cherokee Elizabeth Warren...People in this country are not stupid...We are right next door to the DC'vers who are saying how wonderful they are in job creation and Maryland is at the bottom of the list nationally...But we are in first place for foreclosures....what a complete and utter failure...

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Joe

2:52 pm on Thursday, August 16, 2012

Fauxcahontas? She did the same thing as Obama and both lied about their heritage.

romeo valianti

6:45 pm on Thursday, August 16, 2012

Is it any wonder why the Maryland House of Delegates voted against the Carroll County Non profit organizations gambling bill with Delegates like Jusin Ready, Susan Krebs, Don Elliott and Nancy Stocksdale. Its time for Term limits with Delegates like we have in Carroll County. They also cant wait until they come home so they can slam the Governor every way they can. Carroll County citizens are the only loosers with this bunch that we send down to the State Legislature year after year especially with their negative attitude towards the majority Democratic members of the General Assembly

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John T.

12:42 am on Friday, August 17, 2012

I like how they passed tax breaks for these millionaire casino owners. Tax breaks such as zero Personal Property (inventory) tax for life. While the rest of us small businesses have to shut up and pay these taxes without any tax break what so ever. How is that fair? If personal property taxes are expected from businesses, then EVERY business should have to pay them. By giving tax exemptions to selected businesses, casinos or other businesses in an attempt to lure them here, is admitting that our tax rates are are not competitive to nieghboring states, because if they were they would not have to selectively deviate from them. If a tax, such as an inventory tax, for the majority of businesses is thought to be a great thing, then it should be great for all businesses in this state!

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Skip727

2:30 pm on Friday, August 17, 2012

It would be nice if Delegate Rick Impallaria and Senator J.B. Jennings would explain the YES vote during the special session and why Delegate Kathy Szeliga DIDN'T bother to vote at all. Could it be that some campaign funding is forthcoming? Just asking.

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Joan Wood

2:57 pm on Friday, August 17, 2012

Skip727:
Delegate Szeliga was on a per-planned vaction in Colorado. Guess you need to call Delegate Impallaria and Senator Jennings and ask them your question instead of asking it here.....I know Senator Jennings will give you a straight answer.......not sure about Rick.

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Skip727

3:01 pm on Friday, August 17, 2012

I thank you for that information. I posted here because mailing my elected officials or calling them usually ends up with my messages being ignored but posting something here on Patch usually elicits a quick response.

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Skip727

3:03 pm on Friday, August 17, 2012

One other thing, if the vacation was pre-planned why does the roll call have her listed as NOT VOTING instead of ABSENT? Just asking. Thanks again for the response.

Joan Wood

3:34 pm on Friday, August 17, 2012

Skip727:
She was on vacation proir to this "not so special session". I'm sorry if I reported the incorrect information. Here is a link to her web-site with her updates on the session and a way to contact her. It clearly states she voted NO.......Delegate Kathy Szeliga [kszeliga@aol.com] call or email her. I'm sure she will answer your questions.

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Skip727

3:36 pm on Friday, August 17, 2012

Joan,

Thank you for that information. Don't apologize, happens to us all.

And you are correct in calling it a "not-so-special-session".

Have a good day.

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