Thursday, March 02, 2006
Gubernatorial Bungling Reaches New Highs
Because the Governor and the Legislature completely dropped the ball on the process for awarding slots licenses, Pittsburgh and Allegheny County are embroiled in a public policy debacle. Rather than auctioning the licenses to the highest bidders, thereby walking away from a couple of billion dollars that could have been used for immediate tax reductions at the state and local level, we are now witnessing an incredibly complex dance over which slots applicant will produce the most benefits for Pittsburgh.
Now comes the last minute conversion of the Chief Executive to the view that the Penguins must be kept here at all costs following years of failing to put together a plan to have a new arena built privately. He now says the other applicants must alter their proposals to put money into an arena. What a fiasco. It is little wonder that Pittsburgh and Pennsylvania lag in economic growth.
Gambling has been sold as the great solution to so many problems when in fact it will almost certainly create enormous social and economic difficulties for problem gamblers. The Penguins have virtually no impact on the economy but keeping them here is more important than the real tax reductions the City could get if one of the applicants for a license had promised to give $300 million for debt reduction in Pittsburgh as its contribution for community development.
This is what happens when good solutions and good policies are constantly foregone in favor of political expedience. The Governor, throwing propriety to the wind, is now saying he would like to see all the applicants pledge money for a new arena. What a tangled mess that could easily have been avoided if the licenses had been auctioned and the proceeds used to help places like Pittsburgh with their debt and tax problems.
Because the Governor and the Legislature completely dropped the ball on the process for awarding slots licenses, Pittsburgh and Allegheny County are embroiled in a public policy debacle. Rather than auctioning the licenses to the highest bidders, thereby walking away from a couple of billion dollars that could have been used for immediate tax reductions at the state and local level, we are now witnessing an incredibly complex dance over which slots applicant will produce the most benefits for Pittsburgh.
Now comes the last minute conversion of the Chief Executive to the view that the Penguins must be kept here at all costs following years of failing to put together a plan to have a new arena built privately. He now says the other applicants must alter their proposals to put money into an arena. What a fiasco. It is little wonder that Pittsburgh and Pennsylvania lag in economic growth.
Gambling has been sold as the great solution to so many problems when in fact it will almost certainly create enormous social and economic difficulties for problem gamblers. The Penguins have virtually no impact on the economy but keeping them here is more important than the real tax reductions the City could get if one of the applicants for a license had promised to give $300 million for debt reduction in Pittsburgh as its contribution for community development.
This is what happens when good solutions and good policies are constantly foregone in favor of political expedience. The Governor, throwing propriety to the wind, is now saying he would like to see all the applicants pledge money for a new arena. What a tangled mess that could easily have been avoided if the licenses had been auctioned and the proceeds used to help places like Pittsburgh with their debt and tax problems.
