Gaming:  A Causal Connection To Economic Development?

Because the political season is starting to ramp up, attention to gambling is coming to the forefront, and two issues will be driving the discussions.  First is the nexus of taxes and secondly will be the negative effects and thusly, the affects on differing segments of our demographics.  But as always, the storyline being pontificated must have its 'anchor'.

As to the anchoring, the new meme among Republicans will coalesce into "guns, babies and taxes".  In contrast, the new meme among Democrats will encompass "Iraq, economy, intolerance and children".  And it is from this mindset that the discussion will pivot, and in differing directions.  But at the end of the political day, traditional taxation passing through the General Fund is insufficient for our citizen-demands.  Consequently, gaming such as lotteries will come under political attack and furthered by the nexus between non-Indian gaming and Indian gaming in which the competition for the consumer dollar is indeed intense.

Because the General Fund cannot meet citizen-demands, usage-taxes such as gasoline taxes accrue to a transportation fund that ultimately is distributed between the Feds and the States to maintain our national highway system, is a legitimate use.  This tax construct is not being argued, but increasingly a small minority of voices can be heard for making the case that fuel taxes should become embedded into the General Fund and distributed according to need and not to any population ratio.

And a somewhat different variation is the smokers' tax in which the accrual is used to fund SCHIP or medical insurance for low and middle class families who are unable to afford an insurance policy to offset their medical costs. Consequently, opposition by a member of Congress representing a tobacco-producing state, is not surprising.  As such, there is no corrallary between the revenue generator and to the revenue usage. Although there are numerous examples available, gilding the lily in this instance, isn't necessary.

As in most states, lotteries have been around for over twenty years, and the monies are, generally-speaking, used to fund state educational initiatives, community arts, and in some states, are used to supplement funding of medical care for the indigent.

With respect to the competition between non-Indian gaming and Indian gaming, the political battle will be intense.  The non-Indian gaming's attack on Indian gaming has for the most part, receded into the political backround, here in the Sonoran Desert.  However, non-Indian gaming has taken to become even more highly competive amongst the high-stakes players. And in understanding this political shift, the burden to engage in the anti-gaming arguments, falls to the Native American Tribes to defend their current and future initiatives.

From my vantage point, the federal legislation that crafted Indian gaming will become the focal point and the main thrust of such opposition will cavlierly dismiss our national and historical neglect.  However, with more precision on my part, two further lines of argument will be premised on a) anti-poverty, and b) economic development.  Moreover, these two arguments will be infused with the differing perspectives, and which are a)urban/metropolitan, and b) rural.

And for ease of understanding, permit me to utilize a generic and academic case study wherein the example is the Tohono O'odom Nation.  In Arizona, there are 22 Tribes and the Tohono O'odom Nation is among the smallest, and to participate in gaming, they are working in concert with the Pasqua Yaqui located in the Tucson, Arizona geographic.  

By way of background, the Nation is bisected at the U.S./ Mexico border, and the Rez resides on both sides and within these two Republics, which puts immigration front and center for being on the table, and thusly, infuses all decision-making.

Why?

Aside from immigration, national security and defense of the United States, causes the Tribe to spend the majority of their available funds into this arena.  And yet, they receive no funds from Homeland Security since the State of Arizona retains all funds.  Of course, the alternative for the Nation is to petition and beseech the federal government, and  none has ever been forthcoming.  Consequently, law enforcement on the Rez has been diminished considerably, with this as only one of several major issues that is replete with causality.

With respect to the Nation's gaming efforts, they have joined the Pasqua Yaquis and in tandem, they have established and maintined two casinos, one primarily for table gaming and a second for machines and while at differing locations.

As to the anti-poverty argument, endemic to this argument is that tribal casinos have not met federal and state requirements to lift American Indians out of poverty and reduce their dependence on taxpayer money.  Further, the argument goes as follows..."Among Yaquis, usage of food stamps hasn't changed at 18 percent but it has fallen among the Nation but it is still at a 23 percent average."  Furthermore, "members using a health care plan for indigents are up 27 percent among young Yaquis and 13 percent among the Nation as measured over a six year period...And both tribes have an unemployment rate three to five times higher than urban Tucson."

As to the economic development argument, "survivability" is on the ascendance.  Should you bring forth the urban view, the presumption is that the social and cultural amenities remain intact.  No so for the Rez.  The primary focus on the revenue usage is for a medical construct inclusive for preventive care, modern educational facilities that are adequately staffed and with the requisite tools to include playground for kids and for the youngsters, sports equipment where soccer, basketball and other organized sports are played, and safely. Additionally, community centers and libraries are considered critical infrastructure "needs".  

Thus, an agenda of "catching-up" in which the youth can achieve a much higher degree of self-esteem beneficial to an inherent and well-developed maturity is the moving "target".  Therefore, the overall effort has been to marry existing outside aid or taxpayer money with casino revenue, and thusly, not replacing this outside aid, bedevils the Conventional Wisdom and opens the door for the traditional critique.  

And yet, one aspect that seems never to be discussed, would fall into what I call "leadership".  For example, non-existent mentoring programs now exist and underpins their overall educational efforts for matriculating at the Pima Community College level and to the University of Arizona.  Moreover, the scholarship programs are also seemingly quite sophisticated in which some of these successful college graduates are now proving themselves successful in graduate schools at such European locations as the London School of Economics and the Sorbonne in France.  Smartly, the Tribes are inculcating a cadre of leadership for the future that indeed, will be impressive, if one takes the time to hear and listen.  And equally important, is that the attention being given to immigration and the free trade constructs which represents globalization here in America, infuses their daily lives.  

Given time and perhaps another fifteen to twenty years, poverty and neglect will become indelible for the most part.