StarBulletin.com

2 gaming bills move forward in House


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POSTED: Thursday, February 11, 2010

Two gambling bills took a step toward becoming law this week as state legislators seek more revenue during the recession.

On Tuesday, a bill allowing one gaming casino on Oahu passed a second reading in the House, and a bill allowing gambling sites on Hawaiian homelands passed the House Judiciary Committee.

Both bills are headed to the Finance Committee, which must hear them by Feb. 26 to keep them alive this session.

Finance Chairman Marcus Oshiro (D, Aiea-Aiea Heights) said through an aide that he is considering hearing the gaming bills.

HB 2251, H.D.1, would establish a gaming commission that has the authority to issue one five-year license to a casino gaming operation on Oahu.

HB 2759, H.D.1, would authorize the Hawaiian Homes Commission to allow casinos on Hawaiian homelands and establish a gaming commission within the Department of Commerce and Consumer Affairs. It also calls for a wagering tax that would be split, with 80 percent of revenues going to Hawaiian Homes and 20 percent to the state general fund.

Rep. Jon Riki Karamatsu, Judiciary Committee chairman, said the goal of Bill 2759 is to generate revenue for the Department of Hawaiian Home Lands, which is expected to run out of funds by 2015.

But the department opposes the bill, citing the social costs of gambling.

Other opponents include the Department of Commerce and Consumer Affairs, the Honolulu Police Department and Honolulu's prosecutor. Some argue gambling would increase crime rates.