Louisiana Casinos Restricted from Providing Political Contributions
Casino businesses and their top executives in Louisiana have been prohibited from donating to candidates for state office since 1996 following a law passed by the legislature. This ban on gambling corporations contributing to politicians will continue for the time being after a recent attempt to revoke the rule was withdrawn.
This week, Senator Thomas Pressly (R-Shreveport) planned to add an amendment to House Bill 906, a bill introduced to adjust Louisiana's Campaign Finance Disclosure Act and rise caps on campaign funding. However, the bill was updated on Thursday before moving to Governor Jeff Landry's desk after clearing the House of Representatives, with Pressly eliminating the casino-related addition due to backlash.
In the early 1990s, the Louisiana Legislature established the casino contribution ban after a scandal emerged regarding the growth of the riverboat gaming industry in Louisiana and New Orleans' first land-based casino license. The state's governor at the time, Edwin Edwards (D), who spent almost 16 years in office across four terms, pushed for legal gambling in the state but was convicted for extorting almost $3 million from businesses seeking a gaming license.
The ban on casino companies donating to Louisiana politicians was designed to prevent a repeat of the Edwards-era scandal. Senator Pressly thinks the ban is outdated and should be lifted.
"I believe [HB 906] is a cleaning-up bill that's dealing with allowing a corporation to give contributions that are fully disclosed," he said earlier this week. "It would simply put them in line with every other organization and entity in the state and allow them to participate in the political process by giving contributions to us."
However, Ronnie Johns, the departing head of the Louisiana Gaming Control Board, thinks the ban should stay in effect.
"We don't want to ever live through what we did with the rollout of gaming during the Edwin Edwards administration," Johns stated. "It's taken us years to get past that and improve our reputation among other gaming states and gaming companies."
In 2001, Edwards was given a 10-year prison sentence after being found guilty of racketeering charges. Following his release after eight years, he was defeated in a 2014 congressional race. He passed away in 2021 at 93 years old.
In addition, the rule applies to certain employees of casino businesses. Under this statute, a casino company's executives, directors, board members, and senior management members as well as their spouses are all forbidden from making direct contributions to politicians in Louisiana.
Senator Pressly's push to eliminate the funding restriction followed a request from Penn Entertainment, a Pennsylvania-based operator of five riverboat casinos in the state (including L'Auberge Lake Charles, Boomtown in Bossier City, Margaritaville in Bossier City, L'Auberge Baton Rouge, and Boomtown near Harvey in New Orleans).
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Source: www.casino.org
