Fort Smith preparing for possible passage of gambling initiative

"I want to stress that the board is not endorsing casino gambling," Director Ben Shipley said prior to the board's vote Tuesday to create the zones. "We are trying to be proactive in dealing with a problem before it comes up."

A proposed initiative to allow casino gaming establishments in six Arkansas counties could be on the ballot statewide.

The Arkansas Casino Corp. is backing the proposed initiative, which would allow the company to own and operate casino establishments in Sebastian, Pulaski, Garland, Miller, Crittenden and Boone counties.

The proposed initiative also would establish a state lottery and permit charitable bingo games and raffles.

Director Gary Campbell said the way the zones would be set up, there would be a public hearing for every casino application.

"In light of the situation we had a couple of years ago with a certain dance club, some felt this would be proactive," Director Cole Goodman said. "I want to dispel the rumor that the city of Fort Smith is in favor of casino gambling. That's not true."

Mayor Ray Baker asked City Administrator Bill Harding and City Attorney Jerry Canfield if they felt the ordinance could withstand constitutional challenges.

Reginas House of Dolls II filed a lawsuit against the city two years ago and U.S. District Judge Jimm Hendren ruled the city's zoning ordinance was unconstitutional. That ruling cleared the way for the topless club to open last summer.

Last month, the board approved a $340,000 settlement with Reginas.

"What it does different from Reginas is the use was proposed to the city without a place for it to go," Canfield said. "The issue was the administrative interpretation, trying to find a place for it to go. This action is taken before there is a proposal before the city. That's a significant advantage."

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