Maryland Governor Signs Measure Expanding Gambling

ANNAPOLIS, Md. (Associated Press) — Gov. Martin O'Malley has had misgivings over the years about raising money for the state of Maryland through gambling, and while he had hoped he would only need to ask voters once whether to allow an expansion, he has decided he needs to do it again.

"I don't believe that people want our state to be a casino state," O'Malley said in an interview with The Associated Press in October 2010, shortly after the state's first slot machine facility opened in Perryville following voter approval of a constitutional amendment in 2008 to help pay for education. "I believe they approved slots at five locations in order to keep some of those Maryland dollars in Maryland, and I think it's the right approach for Maryland."

On Wednesday, he signed legislation that will give voters a chance to decide whether to approve table games like blackjack and a casino in Prince George's County.

Whether they approve or not, the issue of gambling expansion in Maryland will be linked prominently to O'Malley's two terms as governor: The state now has three up-and-running slot machine facilities and could become home to some of the country's largest casinos, including one near the nation's capital.

"We've been able to come together during this second special session to create a comprehensive solution to a number of outstanding issues that were affecting Maryland's gaming industry and Maryland's ability to compete with surrounding states where gaming is concerned," the governor said Wednesday at a bill signing ceremony, where he did not linger to take questions.

Once again, the governor addressed gambling expansion in a special session, which began late last week, instead of the Legislature's annual 90-day session, opening the door to critics who say it was a rushed process that will lead to troubling flaws.

Correcting problems from a special session almost five years ago turned out to be a significant reason for calling this special session to lower the state's tax rate, allow casinos to be open 24 hours and divest the state of staggeringly expensive slot machine ownership.

O'Malley, a Democrat, had hoped the state's gambling debate would be settled after a 2007 special session, which he called to raise taxes and allow slot machine gambling to help tackle a budget deficit. Then, lawmakers decided on a 67-percent tax rate, which was been significantly lowered by varying degrees and conditions in the session that ended Wednesday. Casinos could keep about half of the proceeds now, instead of one-third.

In February, he stayed clear of backing more gambling, noting at a forum sponsored by The (Baltimore) Sun that he was "not barking up that tree," when asked about gambling proposals under consideration at the time.

O'Malley changed course about two months later when passage of a budget agreement broke down in April, practically hand in hand with a gambling bill backed by Senate President Thomas V. Mike Miller.

The embarrassing episode caused the governor to call a special session in May to fix the budget mess. He then called this special session to handle the gambling component.

"All of us know very, very well how divisive this issue has been for us in the past," O'Malley said Wednesday. "We are now able to put this issue behind us and move forward."