One million dollars may seem like a lot of money until you realize it’s less than 1 percent of what you could have had. It also doesn’t help to know hundreds of millions of dollars have entered a repressed county, yet very little changes have been made to the surroundings.
This was the reality facing Macon County residents when a June 30 federal court ruling revealed VictoryLand’s “sizable” gambling profits and “marginal” charitable giving.
Although county and charity leaders receiving donations from the multimillion dollar casino have continued defending its practices, some people are asking why the county has changed so little in the seven years VictoryLand has operated its slot-style gambling machines in Shorter.
For years, gambling opponents have speculated about how much money Alabama casinos generate and how much of it was being reinvested into the areas housing the casinos. But when the federal court studied financial records from the state’s largest casino, the speculators’ fears were confirmed.
“The gambling doesn’t make it (Macon County) a better place to live,” said Birmingham attorney Eric Johnston. “It gives a few jobs to a few people but takes the money to pay for those jobs out of the economy.”
In a recent Montgomery Advertiser guest opinion article, U.S. Rep. Artur Davis commented on gubernatorial candidate Ron Sparks’ plans to use legalized and expanded gambling in Alabama to create jobs and revenue and the state of Macon and Greene counties.
“Ron Sparks’ strategy is straightforward and it just isn’t good enough: he would extend the footprint that the casino operators hold in Greene and Macon counties to communities all over the state,” Davis wrote in a Montgomery Advertiser guest opinion article. “The problem is that even with the casinos, Greene and Macon are still impoverished and are centers of the worst examples of economic misery. As recent reports documented, the ‘mandatory’ charitable donations from the casinos to these counties are woefully inadequate.”
Davis’ claims are reinforced by U.S. Census Bureau statistics, which reveal a poverty rate far higher than the state’s poverty level, both before and after slot machine gambling began in both counties.
Milton McGregor, VictoryLand’s owner, maintains his business provides millions of dollars in taxes, much-needed jobs and critical services in Macon County and the state.
In a press release issued Aug. 9 when VictoryLand dodged a raid by voluntarily closing down its electronic gambling section, McGregor said the “system of government in our state has broken down.”
“To (Gov.) Bob Riley, you should be ashamed of yourself for putting Alabamians out of work in these terrible economic times and you should be ashamed of the senseless suffering and damage you are causing in Macon County,” McGregor said.
Yet actions by McGregor and Macon County Sheriff David Warren to keep another casino from opening in the county — which could have provided additional taxes and jobs — are what led to the federal case revealing VictoryLand’s donation history.
Todd Stacy, Riley’s press secretary, said, “The evidence is irrefutable. Casinos are a drain on local and state economies. They squeeze money out of communities and send it to out-of-state gambling bosses. Places that have legalized casino gambling have paid a high price. They’ve paid an economic price, losing jobs and exporting billions of dollars from local economies. They’ve paid a social price, seeing crime rates skyrocket. They’ve paid a political price, too, as powerful, organized gambling bosses have taken a stranglehold on governments. Gov. Riley doesn’t want to see any of that happen in Alabama.
“Building casinos for economic development is like someone quitting their job to play the lottery,” he said.
“You’re just going to lose.”
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People living below poverty level in Macon County:
1999 — 26.8 percent
2003 — 26 percent
2004 — 28.3 percent
2005 — 32 percent
2006 — 30.2 percent
2007 — 29.6 percent
2008 — 30.5 percent
Source: U.S. Census Bureau
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