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Thursday, February 7, 2008
Supreme Court to hear debate on gambling suit
By THE ASSOCIATED PRESS
TOPEKA (AP) -- The question of whether the state's gambling law is constitutional will be considered May 14 by the Kansas Supreme Court, but justices aren't likely to rule before legislators wrap up their session.
That means if the justices strike down the law, legislators might have to return to the Statehouse for a special session and try to pass another version of a bill that barely passed last year. Gov. Kathleen Sebelius' plan to include $80 million from gambling revenue in the next state budget would be in peril.
But Sebelius, who asked the attorney general's office last year to file a ''friendly lawsuit'' to get a court ruling, remains confident the law will be upheld, spokeswoman Nicole Corcoran said.
One day after Attorney General Stephen Six asked for an expedited hearing, the court announced in an order Wednesday that it plans to hear arguments. On Friday, District Judge Charles Andrews ruled the gambling law is constitutional.
Millions of dollars in profits for casino managers and tax revenues for state government are at stake. Sebelius says having the law upheld will remove any doubts developers might have about investing without a definitive ruling.
''If that bill isn't constitutional, then we can't write a constitutional bill that will pass this Legislature,'' said Sen. John Vratil, an attorney whose practice includes appellate cases.
The Leawood Republican said it's clear from the order that the court won't grant any extension of time to file briefs, which is a common request. The court gave the attorney general until Feb. 20 to file briefs and the Kansas Lottery, the defendant, 30 days to respond.
''It's on the fast track,'' Vratil said. ''To have oral arguments within four months of a district court ruling is a very fast track.''
Senate Ways and Means Chairman Dwayne Umbarger, a Republican from Thayer, is worried about including the gambling money in the budget before the court has ruled.
''I don't think it's wise to use these funds until the court makes an anticipated positive ruling,'' he said. ''We would be gambling on gaming money -- that's what the appearance would be.''
Corcoran said the amount in the governor's proposed budget came from the state's official financial forecast.
The state got into the gambling business because a 1986 constitutional amendment says the Legislature may provide for a state-owned and operated lottery. In 1994, the Supreme Court declared the term ''lottery'' was broad enough to cover slot machines and other casino games.
The attorney general says the Lottery would regulate -- not own and operate -- the casinos. The Lottery said the state has ownership and can exercise whatever control it needs.
In his ruling, Shawnee County District Judge Charles Andrews said the question isn't whether the law is allowed by the constitution, but whether it is prohibited by the limitation on gambling in the constitution -- a state-owned and operated lottery.
The law says the Lottery is the owner and operator of the gambling, even though it will pick developers that must pay for the buildings and equipment. Eleven states have nontribal resort casinos, but Kansas is the first to have state-owned and operated ones.
As the case moves through the legal system, the Lottery is negotiating with 13 prospective casino developers, as well as the owners of dog and horse tracks in Kansas City and Frontenac for the slots.
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The case is State ex rel Morrison v. Kansas Lottery and Ed Van Petten, No. 99,957.
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