Private group seeks OK for 4 casino sites in Arkansas

Second committee favors separate gaming amendment

A private committee has proposed a constitutional amendment that would authorize the creation of four casinos at specific locations in Benton, Boone, Miller and Pulaski counties.

The proposal for the committee -- dubbed Arkansas Wins In 2018 Inc. -- has drawn criticism from a separate private committee -- called Driving Arkansas Forward -- that has proposed its own constitutional amendment to authorize state government to issue four casino licenses with one each for Jefferson and Pope counties, one for Oaklawn Racing and Gaming in Hot Springs and one Southland Park Gaming and Racing in West Memphis.

While existing state law doesn't allow stand-alone casinos, it permits electronic games of skills that now exist at Oaklawn and Southland Park.

The president for Arkansas Wins In 2018 Inc. is retired businessman Mark Diggs of Little Rock and its secretary/treasurer is businessman Bob Womack of Branson, Mo., according to its filing on Tuesday with the Arkansas Ethics Commission. Ron Oliver of North Little Rock, a former state Racing Commission director and chairman of the state Democratic Party, also serves on the committee that is composed of business and community leaders, said Todd Wooten, an attorney for the committee and of Dover Dixon Horne PLLC of Little Rock.

In a letter dated Tuesday, attorney Randall Bynum of the law firm asked Attorney General Leslie Rutledge to certify a proposed popular name and ballot title for the committee's proposal. The popular name briefly describes the proposal and a ballot title, which appears on ballots, is a lengthier summary.

Under state law, Rutledge's approval would clear the way for the committee to begin circulating petitions to qualify the proposal for the Nov. 6 general election ballot. A sponsor of a proposed amendment is required to turn in 84,859 valid signatures of registered voters by July 6, according to the secretary of state's office.

Arkansas Wins In 2018 Inc.'s proposed amendment would authorize a casino in about a 247-acre area in Benton County, about a 62-acre area in Boone County, about a 35-acre area in Miller County and about a 200-acre area in Pulaski County.

The proposal would allow for the creation of a five-member commission appointed by the governor to regulate the casinos; levy an annual tax of 20 percent of net receipts; and earmark 70 percent of the revenue to a state highway fund and the rest to other programs and local governments.

Nate Steel, counsel for the Driving Arkansas Forward committee, said the Arkansas Wins In 2018 Inc. committee's proposal "is an assault on Arkansas from the same out-of-state group that has tried and failed before.

"Just like last time, the sponsors are attempting to award themselves casino licenses by writing their own property interests into our Constitution," Steel said in a news release issued Tuesday night.

"The Driving Arkansas Forward amendment gives communities a real voice in the process and ensures a transparent, merit-based selection of casino operators. It also recognizes and protects two great Arkansas institutions, Oaklawn and Southland, that have created hundreds of jobs and millions of dollars in tax revenue for our State," said Steel, a former state representative.

In October 2016, the state Supreme Court ruled that the ballot title was insufficient for the proposed amendment promoted by Arkansas Wins in 2016 and Arkansas Winning Initiative ballot committees. That amendment would have authorized casinos in Boone, Miller and Washington counties. The casinos would have been controlled by three limited liability companies owned by two Missouri businessmen, Womack, of Branson, and Jim Thompson of Blue Eye. Cherokee Nation Entertainment would have been involved in the Washington County casino complex.

Wooten, who represents Arkansas Wins In 2018 Inc., declined to respond to Steel's criticism Wednesday.

"I don't have any comment on anything that Arkansas Driving Forward has to say," he said.

Wooten declined to say who owns the properties where the casinos would be located. The committee will hold a news conference to provide more details in the near future, he said.

According to property search websites of various assessors' offices, Emprise LLC of Little Rock is the owner of the property listed as the casino location in Pulaski County, while M & P Venture LLC of Bentonville is the owner of the property listed as the casino location in Benton County.

David Roethemeyer, the Wendell F. Cox Revocable Trust, and the Marine L. Cox Revocable Living Trust are owners of the property listed as the casino location in Boone County, while George C. and Nelda Lee Batte own the property listed as the casino location in Miller County, according to assessors' office websites.

Lobbyist Don Tilton of Little Rock, whose clients include the Quapaw Tribe that's interested in applying for a casino license in Jefferson County, is the temporary chairman of the Driving Arkansas Forward committee, according to Tilton. Cal Turner of Little Rock is the committee's treasurer, according to its Jan. 5 filing with the Arkansas Ethics Commission.

Driving Arkansas Forward is waiting for Rutledge to decide whether to certify the popular and ballot title for its third proposed constitutional amendment that Alex Gray of the Steel, Wright, Gray & Hutchinson law firm submitted on March 15 to Rutledge's office.

That proposal would create an Office of Casino Gambling in the state Department of Finance and Administration to regulate casinos; levy a net casino gaming receipts tax ranging from 12 percent to 22.5 percent, depending on the level of receipt; and earmark 52.5 percent of the tax revenues to a state highway fund and the rest to other programs and local governments.

Metro on 03/29/2018

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