Gov. Blagojevich signs casino bill

There is some good news out of Illinois regarding Governor Rod Blagojevich. Monday he signed House Bill 4758 which sets aside three percent of the adjusted gross revenue from Illinois’ four most profitable riverboat casinos for the horse racing industry in the state. The bill is a three-year extension of HB1918 which was passed in 2006, but has been held up in the courts and now awaits a decision by the U.S. Supreme Court.

“We’re absolutely elated,” said Dave McCaffrey, president of the Illinois Harness Horsemen’s Association.

The bill had gone to the governor just days before he was arrested by federal agents and indicted on charges of bribery, “play to play” schemes and wire and mail fraud. The indictments even included taped conversations that sounded as if they had something to do with circumstances surrounding the bill. Suddenly, it seemed as if the bill was being pushed to the back burners.

“We were in limbo and we felt just paralyzed,” McCaffrey said. “To use a horse racing metaphor, we had felt we had prepared for the race, we ran race, we won the race, we go to the winner’s circle, we get our picture taken, we come back to the paddock and all of a sudden the inquiry sign goes up.”

Money from HB 1918 has never been distributed to the horse industry because the riverboats filed a suit, claiming the bill was unconstitutional. Their case has gone through the Illinois court system, including a 7-0 vote by the Illinois Supreme Court against the suit. The boats have taken their case to the U.S. Supreme Court where it waits to be heard.

“Every legal mind that you talk to put the chance of the Supreme Court overturning this at virtually nothing,” McCaffrey said.

In the meantime, money collected from the boats is accruing in an escrow account, ready to be paid out if the Supreme Court’s verdict favors the tracks and horsemen.  

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