Minnesota Governor Tim Pawlenty has some things to say that would be well at home in the Illinois debate over the state taking over casinos:

If the only objective is to get money, then why don't we have a government Wal-Mart or a government Target or a government Wendy's? They all would make money for the government and they would have less negative impact on people's lives.

Link to article on Minnesota gaming.

While Pawlenty is a staunch opponent of expanded gaming, he makes a good point. If Illinois Governor Blagojevich had suggested the state taking over Wal-Marts or Targets to expand tax revenue, he probably would have been instantly impeached.

The crazy thing about Illinois gaming is that the state already imposes a 50% tax on casinos -- and which Blagojevich recently proposed increasing to 70%. This is not a tax on profit -- this is a tax on all revenue above $200 million that a casino takes in (which Blagojevich wants to also lower to $100 million). So if the state thinks even that isn't enough, you know people are really getting screwed.

States think that casinos are licenses to make money. They impose ever-increasing taxes on them to make up for their poor financial planning. This causes the casinos to make the rules to their games more favorable to the house, crank down payouts on slots, raise food and drink prices, and more aggressively target new customers. And then the states complain about the huge social cost of gambling and how everyone is losing their money in casinos.

The state of Illinois has been running a numbers racket for decades.

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