House Ways and Means Committee OKs Powerball; Sends Question to House Floor

Author: Pete Faroni

Recent stirrings in the Vermont Statehouse have addressed the implementation of a multistate lottery game such as Powerball or Megamillions. On Tuesday, Jan. 3, the House Ways and Means Committee approved the bill 6-3, and will now send it to the House to be voted on. The bill would direct Vermont's Lottery Commission to bring in the multistate game, which could take five months of preparation, by July 1. Governor James Douglas '72 has dedicated the expected $3.2 million yield that the Powerball will bring to the state education fund.
The Committee has spent the last few months pouring over testimony from both supporters and opponents of the lottery expansion, which would be included in the mid-year budget adjustment bill, which redirects state spending half-way through the year.
Vermont is one of only five states not included in a Powerball or Megamillions game, despite offering games such as the Tri-State Megabucks (with Maine and New Hampshire), smaller jackpot games and instant tickets.
Current lottery revenues are about $16 million a year, though sales have been declining steadily for a number of years. The decline could continue if the state refuses to include games with multimillion-dollar jackpots.
Richard Marron, R-Stowe, a major proponent of the lottery expansion, stated, "Historically, when states tried to put lotteries in place there was a moral, Protestant ethic that this was not good. I don't think that's an issue anymore. The fact is we are gambling." To further prove his point, he wrote in an e-mail statement to The Middlebury Campus, "As far as the moral dilemna, the state is already engaged in the lottery business. A referendum was held on the issue in 1976 and more than two-thirds of Vermonters supported the lottery."
On the other hand, Rep. Steve Hingtgen, D-Burlington, suggests that the new lottery will have a greater, possibly negative, effect on people of lower incomes. He cited statistics that show that those of lower incomes were more likely to gamble and that less affluent communities spent more per capita on lotteries. Hingtgen, who believes that the new bill will drain money from poorer communities, questioned, "Is it the appropriate role of the government to promote gambling rather than regulate it? Is government trying to get people to participate more?" He also mused, "Whatever happened to the government promoting hard work, education and perseverance?"
Sen. Susan Bartlett, D-Lamoille, also disagreed with the premise of the bill, but said that it brought minor changes, not major shifts in policy. She believes that changes to education funding should not have been made through this particular bill.
Many opponents of the bill criticize the increase in the number of gambling addictions that Powerball could bring. There are, however, organizations dedicated to helping problem gamblers. Executive Director of the Vermont Council on Problem Gambling Inc. Joy Mitchell said that her organization needs monetary aid--around $200,000--to help her operate the 24-hour gambling addiction help hot line. Mitchell currently answers all calls herself. The organization receives financial assistance from the Lottery Commission and the Health Department. Mitchell said she would stay out of the political entanglement over Powerball, but would like to see additional financial aid, particularly if Powerball is implemented in Vermont.
While the bill faces much opposition, this opposition is met with equally ardent support in the public, from Vermont residents such as storeowner Bill McDonald. The owner of the Waits River General Store, located 13 miles from the New Hampshire border, McDonald noted, "People who want to play Powerball will go to great lengths, whether they're a mile or 50 miles from New Hampshire." Several lawmakers agree with McDonald. Marron asked, "What's wrong with doing it here...and having that money stay here and benefit our schools instead of whatever it goes to in New Hampshire?" He noted, "It is difficult to quanitfy the exact amount of revenue lost as a result of these out-of-state parchases." Rep. Joyce Errecart, R-Shelburne, also supports the Powerball bill. She does not want to see customers of Waits River General Store pass by McDonald to buy their sandwiches at a New Hampshire shop, where they can buy a Powerball ticket. She said, "People are really hurting. We have had such an erosion of business to New Hampshire."
House Appropriations Chairman Richard Westman, R-Cambridge, gave his approval of the bill, which he sees as a promising method of helping schools pass their budgets this year. Marron noted, "Vermont has one of, if not the most progressive tax system in the United States. The lottery represents a small part of the more than $1 billion that Vermonters tax themselves and their visitors to pay for their schools. My committee is continuing to look for a better way to fund education in Vermont. There is no easy answer."
Westman hopes to have the budget adjustment bill completed early in the week.
Executive Director of the Vermont Lottery Alan Yandow, also the star of the lottery advertisements, said the theme of lottery games has always been "good, clean fun," but urges people to "play responsibly." Lottery, he added, "is an entertainment choice." What becomes of the expansion of the state lottery in the coming months remains to be seen. With groups firmly seated on both sides of the argument, however, the debate over the Powerball bill is really anyone's game.