The House Democrats in the Oklahoma legislature wanted an expansion of tribal gaming in the state to include roulette and dice games. That proposed expansion appears to have derailed budget talks among the legislature’s two houses.
The Senate Republicans wanted a new cigarette tax imposed. The local media believed the gaming expansion would be a bargaining chip for the one side, just as the cigarette tax would be a bargaining chip for the other side. Like Washington DC, the two sides seem unable to make a compromise.
Dueling Press Conferences
On Monday, the Senate Republicans and House Democrats each held press conferences where they accused the other side of stalling the talks. Democrats and Republicans were negotiating on an omnibus budget plan which would have closed an $878 million budget deficit.
Oklahoma Republicans are not used to such negotiations. The Oklahoma GOP holds supermajorities in both houses of the legislature.
Unfortunately for them, the GOP once passed a law stating they need a three-fourths majority to pass a tax increase. That means they need a few of the House’s 26 Democrats to vote for their cigarette tax.
Scott Inman on $400 Million Deal
House Democratic Minority Leader Scott Inman has withheld support for the cigarette tax, hoping to gain leverage for the tribal gaming expansion in the budget negotiations. Rep. Inman told reporters at the Democrat’s press conference, “We’ve said all along that a cigarette tax is just a Band-Aid on a bullet hole. It will not solve the state’s budget problems. You’ve got to have additional revenue.”
Scott Inman said he had a deal with Republicans on Sunday night that would have generated $400 million of the revenues needed for the budget shortfall. The deal not only included the cigarette tax, but also a cap on certain itemized tax deductions, the restoration of an earned income tax credit, and a repeal of about $50 million in subsidies for oil and gas interests in the state.
The same deal would have instituted the roulette and dice games provision for tribal casinos. If the US Congress, Department of Justice, or Supreme Court ever legalizes sports betting, the bill would have allowed for sports betting inside the state. The Republican leaders balked at all such provisions.
Mike Schulz on Tribal Gaming
Senate President Pro Tem Mike Schulz said Oklahoma’s gambling industry is massive already. Sen. Schulz said, “I think we have too much gambling going on in this state. I think it’s too accessible. I think we have people who are spending milk and bread money in a casino rather than taking care of their kids.”
Greg Treat Criticizes Inman
Senate Majority Floor Leader Greg Treat criticized the timing of Inman’s proposals. Treat noted there were three weeks left in the session, so any major new inclusions are unrealistic.
Sen. Treat said, “We’re sitting here on May 8, and this is the first we’ve heard of this deal. Leader Inman has continued to move the goal posts. We stand ready to pass the revenue to fill the hole, and we don’t need some gimmick of a last-minute gaming or gambling to get us there.“