One of the more controversial bills in this year’s General Assembly is Senate Bill 982 carried by Senate Majority Leader Scott Surovell.
SB982 as summarized:
Adds Fairfax County to the list of localities eligible to host a casino in the Commonwealth and provides that any proposed site for a casino gaming establishment considered by Fairfax County shall be (i) located within one-quarter of a mile of an existing station on the Metro Silver Line, (ii) part of a coordinated mixed-use project development consisting of no less than 1.5 million square feet, (iii) within two miles of a regional enclosed mall containing not less than 1.5 million square feet of gross building area, and (iv) outside of the Interstate 495 Beltway.
If the bill passes it will allow, not require, Fairfax County to hold a referendum.
Click here to watch (30 min after Senate adjourns)
Monday’s Senate General Laws subcommittee saw an alliance of labor unions and a local chamber of commerce in support of the bill while a group NIMBYs came out in full force trying to stop this large economic development project (3 million square feet) which consists of a convention center, performing arts center, hotel, and, yes, a casino.
<cue gasp>
There are over 1,000 casinos operating in these States United. Virginia will have five by the end of next year. In addition, there are seven slots parlors.
So, basically twelve.
Sidebar - In Virginia, it’s easier to start a casino or slots parlor than it is to start a charter school. Virginia only has seven charter schools.
Of course, that doesn't not include smart phones on which gaming apps can be downloaded and place bets on just about any sporting event in the world.
But the NIMBYs have gone full national security alert claiming that the proximity of this proposed casino to so many people working in our national security and defense industries would endanger us all.
The logic of a problem gambler being recruited by bad foreign actors is easy to follow, but it’s also about forty years too late. (see history of Virginia gambling below).
Their argument also swings both ways as gambling problems, like all addictions, are human and borderless. Yes, we likely recruit the financially vulnerable to betray their home countries.
According to National Council on Problem Gambling:
About 85% of U.S. adults have gambled at least once in their lives, with 60% having gambled within the past year. Some form of legalized gambling is available in 48 states plus the District of Columbia. The two states without legalized gambling are Hawaii and Utah.
D.C. - that’s close to Washington, too.
Legislation authorizing a local referendum usually passes out of the General Assembly since the argument of letting the people decide for themselves is a powerful one - especially in a populist era.
Coming after a national election in which the #1 issue was the economy? That’s a tough combo to beat…
To recap - SB982 is permissive, empowers local voters to decide for themselves, and is a yuge economic development project with bigly labor union support.
NIMBY campaigns have only been effective with a sizable, organized, and well-funded opposition - like the Atlantic Coast Pipeline. #Russia$Putin
The effort thus far has been loud but comparatively small.
I don’t gamble much, but I’d bet on SB982 one passing the General Assembly.
Then it is onto the Governor whose actual back yard less is than 10 miles away from the project.
**
Courtesy of Claude AI on Virginia’s history and current gaming data:
Colonial Era (1600s-1700s):
- Gambling was widely popular among all social classes in colonial Virginia
- Horse racing was particularly prominent among the wealthy plantation owners
- Taverns commonly hosted card games and dice
- Lotteries were used to fund public works, including schools and churches
- The Virginia Company itself was partially funded through lottery proceeds in London
- George Washington operated legal lotteries to fund projects like roads and bridges
19th Century:
- After independence, Virginia continued to permit various forms of gambling
- Horse racing remained popular until the Civil War
- Public lotteries were eventually banned in 1849 due to corruption scandals
- Following the Civil War, most forms of gambling were prohibited as part of broader social reforms
Early-Mid 20th Century:
- Virginia maintained strict anti-gambling laws
- Underground gambling operations existed, particularly during Prohibition
- Horse racing and pari-mutuel betting remained illegal until 1988
- Colonial Downs racetrack opened in 1997 near New Kent
Modern Era (1988-Present):
- 1988: Virginia voters approve pari-mutuel betting
- 1989: Virginia Lottery established after voter approval
- 2003: Charitable gaming formally regulated
- 2018: Historical horse racing machines legalized
- 2020: Casino gaming legalized in select cities through referendum
- 2020: Sports betting legalized
- 2021: Online sports betting launches
- 2023: First permanent casino opens (Rivers Casino Portsmouth)
The evolution of gambling in Virginia reflects broader social and political changes, moving from widespread acceptance in colonial times, through a period of prohibition, and finally to the current regulated environment. Interestingly, Virginia has often used gambling as a revenue source for public projects, a practice that dates back to colonial times and continues today with lottery proceeds supporting public education.
Key factors that influenced these changes included:
- Religious and moral reform movements
- Need for public revenue
- Economic development goals
- Changing social attitudes
- Competition with neighboring states
Looking at this history, we can see a pattern where Virginia has generally taken a cautious, gradual approach to gambling expansion, typically requiring voter approval for major changes and implementing strict regulatory oversight.
Legal forms of gambling in Virginia include:
1. Virginia Lottery - Offers various draw games, scratch tickets, and online lottery games. In fiscal year 2023, the lottery generated approximately $4.6 billion in sales.
2. Historical Horse Racing (HHR) - These are electronic gaming machines that use historical horse race results. Bristol Casino and Rosie's Gaming Emporiums operate these machines. In 2023, HHR facilities generated over $3 billion in handle (total amount wagered).
3. Sports Betting - Legalized in 2020 and launched in January 2021. Major operators include FanDuel, DraftKings, BetMGM, and Caesars. In 2023, sports betting handle exceeded $5 billion.
4. Casino Gaming:
- Rivers Casino Portsmouth
- Hard Rock Bristol
- Caesars Virginia in Danville
- HeadWaters Resort & Casino in Norfolk
- Petersburg Live! Casino
5. Charitable Gaming - Including bingo, raffles, and pull tabs. This sector typically generates around $300-400 million annually.
The total annual gambling spend across all sectors in Virginia likely exceeds $10 billion, though exact figures can fluctuate significantly year to year.