Utah representatives don't want aid used on casinos
Trio sign letter asking that Katrina funds go for housing, hospitals
In a letter, signed by all three of Utah's congressmen and sent from 65 representatives to President Bush, requests that no tax breaks or relief funding be used to help the gambling industry recover from Hurricane Katrina. The letter was authored by Rep. Frank Wolf, R-Va.
"With budget deficits growing to historic levels, we need to make sure tax dollars are going to those who truly need the government's help," the letter reads. "Tax breaks for the gambling industry do not make sense . . . we trust you will do the right thing and make sure federal resources go to the poor, the needy and the vulnerable and not the gambling interest who already have insurance."
Rep. Jim Matheson, D-Utah, said that he signed the letter because he worries that the casinos will siphon money away from more important infrastructure needs. Even with billions of dollars in funding which is coming from the federal government to help the Gulf Coast recover, there will probably be more needs than money.
"There ought to be priorities set about where these funds will go," Matheson said.
Rep. Rob Bishop, R-Utah, said in a statement that it is not uncommon for casinos to be excluded from federal tax breaks, so doing so now would not be breaking with tradition. Instead, the money should be used for other industries, some of which are also big employers, who provide more essential services.
"There are critical needs right now in that area, where economic development tax breaks could be very helpful," he said. "I just don't think helping casino companies qualifies as a critical need."
Charles Isom, press secretary for Rep. Chris Cannon, R-Utah, said that Cannon signed the letter because of his strong history of opposing gambling. To help the casinos, who can afford to rebuild, would not be a good use of the money.
"Representative Cannon has always been a leader in the fight against gambling, so it would make sense for him to sign this letter," Isom said.
Representatives of the gaming industry contend that they are not seeking any special tax breaks but only want to be treated "like any other other business" in the area. Frank Fahrenkopf Jr., president of the American Gaming Association, said in a statement that any assistance they receive should be given because of the more than 16,000 people they employ in the region and the millions of dollars in annual taxes they pay, not restricted because of a moral disagreement with gambling.
"If the intent of this legislation is to assist in rebuilding the Gulf Coast economy and get people back to work as quickly as possible," Fahrenkopf said, "it's counterintuitive to exclude the very industry which has revitalized the region and is its largest employer."
E-mail: jloftin@desnews.com
You can be the first to comment on this story.