Groups urge veto of Iowa gambling measure

At a news conference, leaders of several groups said gambling forces were able to insert loopholes in the measure that could actually allow more gambling and were able to water down restrictions on credit availability.

"The moratorium bill would open the door to more gambling and as a result more heartache for families, teenagers and individuals who become addicted," said Otto Steele Jr., a retired Methodist minister from Pella.

Tom Coates, director of a Des Moines-based financial advising company, said the measure approved by the Legislature does little to restrain gambling and could block efforts to push more significant restrictions.

"The bill provides cover for some legislators who really do not want to curtail gambling in Iowa but would like to take credit for it," Coates said. "It is my hope and prayer that next year will bring about a bill to truly limit some of the negative impacts of gambling."

Branstad has sent the strongest possible signal that he plans to veto the measure, and aides said that could come as soon as Wednesday.

The measure approved by the Legislature would place a five-year ban on new gambling licenses and also would limit the number of slot machines. However, it provides a six-month "window" that would allow existing facilities to grow.

In addition, the effort to remove bank and credit card machines from the casinos was watered down. Those machines would be required to be moved only off the casino floor and located elsewhere in the building.

Jeff Beam, head of the Iowa Family Legislative Center, labeled the measure "more symbolism than substance, a do-nothing bill that simply waved at gambling reform as it passed out the Senate doors."

The state's Racing and Gaming Commission is scheduled Thursday to enact a more strict moratorium that would ban expansion of existing facilities, as well as prohibit new licenses.

Many lawmakers are furious with that proposal, arguing that regulators are exceeding their authority and pledging to block the new restrictions.

Beam argued for rejection of a measure he said was manipulated by powerful lobbyists in the closing hours of the session and was riddled with loopholes.

"The result was that a great many legislators were duped into voting for a bill that appears to include loopholes that could actually allow expansion of gambling in Iowa, contrary to what the majority of Iowans want," Beam said.

Coates said little attention was being given to the credit issue. Restricting new licenses does not mean much because it isn't likely another casino will be proposed, he said.

The real issue, he said, is moving credit card machines away from casinos to make it more difficult for gamblers to get big cash advances.

Coates said about 15 percent of the people he counsels have big credit card debts linked to gambling.

"This debt is the result of out of control gambling on credit cards," he said.

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