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Slot machine plan vexes tribes

Wednesday, May 5, 2004 7:32 AM PDT

By Associated Press

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OLYMPIA -- Tim Eyman's enemies -- both old and new -- are lining up to oppose his latest initiative, which links his familiar theme of lowering taxes with the financial clout of the gambling industry.

A new campaign paid for by a casino-operating Indian tribe is already pouring money into an opposition campaign to Initiative 892, which would break the tribal monopoly on slot machine-like gambling machines.

Meanwhile, longtime critics of Eyman's tax-cutting initiatives are playing up the Canadian origin of much of the money fueling his latest measure, arguing that expanding such gambling would siphon money north across the border.

The initiative would allow non-tribal gambling licensees such as minicasinos, bars and bowling alleys to use the machines. The state would tax the revenue and dedicate the money to lowering property taxes. Theoretically, it could double the number of such machines in use in the state.

The Muckleshoot Tribe donated $50,000 to the No on I-892 campaign, which last week sent out fliers to 130,000 households around the state. Under a combination of federal and state law, only Indian tribes are allowed to operate such games.

"We could not allow Tim Eyman to dangle this illusionary tax cut in front of people and obscure the real fact that this is an open invitation to Las Vegas to move into your neighborhood," said Rollin Fatland, a consultant who chairs the No on I-892 committee.

Fatland said the initial mailing pretty much used up the $50,000 from the Muckleshoots, but he's expecting more support soon.

"Someone needed to take the first step," Fatland said. "There's substantial and considerable interest in this effort."

Along with the Indian tribes that have grown wealthy off machine gambling, Fatland expects to tap into the gambling opponents who helped kill proposals similar to Eyman's in the Legislature in recent years. Those opponents included King County Prosecutor Norm Maleng, former governors Mike Lowry and Booth Gardner, and Pierce County Executive John Ladenburg.

For Eyman, who typically relies on free publicity once his initiatives reach the ballot, even negative attention is good attention.

"The toughest thing in the world is just getting people's attention," said Eyman, who casts the initiative as a win-win, a tax cut without the pain of losing any government services. "I feel like these guys just gave us a $50,000 donation."

Meanwhile, both the formal No on I-892 campaign and some of Eyman's longtime critics are pointing accusatory fingers at some of the non-tribal gambling interests who are paying for I-892's signature drive.

The flier warns that passing I-892 "would mean millions of dollars for the giant foreign and out-of-state corporations who control most of Washington's minicasinos and card rooms."

David Goldstein, an Eyman critic who once sponsored an initiative to have him formally declared a horse's ass under state law, traced nearly a third of the money behind the initiative to Great Canadian Gaming Corp. of British Columbia.

According to reports filed with the Public Disclosure Commission, the campaign got $25,000 from Great American Gaming Corp. of Richmond, British Columbia, and $25,000 more from Evergreen Entertainment of Tukwila.

Great American is a wholly owned subsidiary of Great Canadian, and owns a 50 percent stake in Evergreen, according to Great Canadian's annual report. Through the two companies, Great Canadian owns some of the larger and more successful minicasinos in the state.

"Tim is trying to sell this initiative as fair treatment for struggling local businesses, but its biggest backer is really a foreign corporation that will suck profits out of our local communities and send it back north across the border," Goldstein said.

Eyman scoffed at the criticism.

"It's Canada, our 51st state," Eyman laughed. "Foreign sounds much more xenophobic."

On the Net:

Eyman: http://www.voterswantmorechoices.com

Permanent Defense: http://www.permanentdefense.org

Copyright 2004 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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