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Record Spending Drives Missouri’s Push for Sports Gambling and New Casino

As Missouri gears up for a pivotal election, record-breaking spending is fueling campaigns to legalize sports gambling and authorize a new casino at the Lake of the Ozarks. With an estimated $60 million on the line, the stakes have never been higher for both supporters and opponents of these measures.

A Financial Overview of the Campaigns

The campaign for Amendment 2, which seeks to legalize sports betting, has seen an influx of funds from online bookmakers, totaling $32 million. In response, Caesars Entertainment, a major casino operator in Missouri, has countered with $14 million to defeat the proposal. Additionally, the campaign for Amendment 5, aimed at establishing a new casino, has contributed another $9.4 million, bringing the total spending on these initiatives to over $55 million.

  • Amendment 2 Funding:
    • Support: $32 million from DraftKings and FanDuel
    • Opposition: $14 million from Caesars Entertainment
  • Amendment 5 Funding: $9.4 million

Winning for Missouri Education, the campaign backing Amendment 2, has already set a record for the most money raised for a ballot measure, surpassing the previous record of $31 million from a 2006 stem cell research proposal. Despite the financial backing, major professional sports teams have not contributed to the campaign, although they have expressed vocal support.

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Arguments for and Against the Measures

Proponents of Amendment 2 argue that legalizing sports betting will generate over $100 million for education programs in Missouri within the first five years. Campaign ads emphasize that this revenue will help increase teacher pay and support classroom funding. One ad states, “Legalizing sports betting will generate tens of millions of dollars every year for our classrooms.”

However, the opposition, funded by Caesars, challenges the credibility of these promises. They argue that the financial benefits will be minimal due to potential write-offs and other financial carve-outs. Their campaign likens the situation to “Lottery 2.0,” suggesting that the initial promises of the lottery to fund education were not fulfilled.

The Casino Campaign and Its Educational Focus

The campaign for Amendment 5, which seeks to authorize a new casino at the Lake of the Ozarks, is also emphasizing educational benefits. The proposal includes provisions directing tax revenue to early childhood literacy programs in public schools. The campaign claims that the new casino could generate $14.3 million, which they argue would provide a 53% increase in funding for childhood literacy without raising taxes.

Ed Rhode, a consultant for the YesOn5 committee, stated, “For us, without any organized opposition that we’re aware of, it’s simply a matter of educating the voters about what our amendment does.” He believes that as voters become more informed, their support for the initiative will grow.

The Broader Context of Gambling in Missouri

As the election approaches, the campaigns are increasingly focusing on the argument that sports betting is already happening in Missouri, with many residents using online platforms based in neighboring states. This reality has led to a growing sentiment that Missouri should capture its share of the revenue generated by sports gambling.

Political science professor Terry Smith noted, “The argument that is less explicitly made, but I’ve heard from a lot of people, is that people are going to gamble on sports, and right now Kansas and states that we border are making all the money. Why shouldn’t we get our share?” This perspective highlights the urgency for Missouri to act on these measures to ensure that it does not miss out on potential revenue.

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