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A constitutional amendment to allow casino gambling was dealt a losing hand yesterday when the Kentucky Senate rejected the measure 16 to 21. Senate Bill 151, chiefly sponsored by Senator Damon Thayer, a Georgetown Republican, proposed a constitutional amendment to let lawmakers approve up to seven casinos across the state.

Amid a cacophony of groans about constitutional protection for one industry – the horse industry – the bill’s language was massaged to remove the promise of guaranteeing casino licenses to five horse tracks and two casino operations at stand-alone locations. The version ultimately rejected by the Senate allowed for up to seven casinos anywhere, but casinos not located at horse-racing facilities would have needed to be at least sixty miles from a racetrack.

Governor Steve Beshear, who made expanded gaming a central plank of his 2007 bid for the state’s chief executive, pitched it at press conferences and committee hearings as an economic boon for a cash-strapped state. And he repeated the oft-touted political catchphrase latched onto the measure, “It’s time to let the people decide.”

A rare coalition of political bedfellows from the ‘R’ column appeared to have the Governor’s back on the issue – those who cheered its robust financial blessings to state coffers and to the horse industry beleaguered by competition from states cashing in on Kentuckians’ chance-taking at casino parlors across the river. Newly elected Agriculture Commissioner and former State Representative James Comer cast the expansion of gaming as a balm to an endangered horse industry that is losing its signature status, which effectively hinders the entire farm economy of Kentucky.

Key among the Governor’s legislative allies was Senator Thayer, chair of the State and Local Government Committee, which approved the bill Wednesday by a vote of 7 to 4.  But realizing the vote count in the full Senate was short the necessary 23 votes, he sought to delay the vote in order to wrangle more votes. His request was met with resistance by party leaders and the bill was called to a floor vote on Thursday. Thayer’s last pitch against forbidding odds attempted to appeal to the sensitivities of those in opposition, as he asserted “casino gambling isn’t my cup of tea.” He added, “I’m not a casino guy. I’m a horse racing guy.”

During yesterday’s floor debate, the bill’s co-sponsor, R.J. Palmer of Winchester, praised Senator Thayer for his steadfast commitment to the issue despite his party leadership’s sneers, and characterized the matters as one rectifying “the problems Kentucky gets from casino gambling while our neighbors get the benefits.”  He added that Kentucky already has gambling, with Kentucky Lottery, charitable gaming, and pari-mutuel wagering. “Kentuckians lose money to gambling already – nearly half-a-billion-dollars’ worth outside our borders,” Palmer said.

Arguments against it came from those who proclaim the immoral peril of casinos. Lexington Republican Alice Forgy Kerr said she represents folks from all walks of life in her district, including Keeneland, but “not the out-of-state casino owners get rich by preying on the poor.”

Others, like Bowling Green Republican Mike Wilson, argued that Kentucky’s constitution should not be littered with language enshrining one industry and affording it monopoly protection. Pikeville Democrat Ray Jones spoke of how gambling addiction breaks family bonds and dooms habitual gamers to insurmountable debt and other problems the state ends up subsidizing. Louisville Republican Julie Denton said Kentucky’s search for tax revenue should come by tax reform and enacting right-to-work laws.

Regardless of pleas and familiar contentions for and against the issue, it was clear that most senators’ convictions were firm and unswayable as members announced their decision to be cast by their electronic nameplate on the voting board.

Senate Bill 151 was defeated on a vote of 16 in favor and 21 against.

In a statement to the press, Governor Beshear said in part: “Obviously, I am disappointed that several of the senators who had publicly said they would support letting the people decide did not follow through on their commitment to our citizens. However, for the very first time, we were able to get this issue considered by the state Senate, and I appreciate the bipartisan cooperation of Sen. Thayer and others, which allowed that to happen. This is a good omen for the future of expanded gaming in our state, and I look forward to continuing to work with the legislature to address this issue.”

To see the debate on expanded gambling, check out recent editions of Legislative Update. Watch February 22. Watch February 23.