David Yepsen writes in his column today (a Krusty Must Read BTW) that the Lottery Scam is a done deal, and its just a matter of time before the deal is done. He points out that Iowa would be giving up 2.8 billion dollars in future revenues to receive $200 million now, and 22% of the adjusted gross profits, the same rate Iowa casinos pay.
This is outrageous.
Yepsen correctly states the following:
Take $200 million from a lottery sale, add some creative accounting by not obeying the state budgetary laws, and stir in several hundred million from Uncle Sam's coming bailout to the states and - Voila! - Iowa's budget shortfall evaporates. Culver and his pals can safely get re-elected in 2010.
This isn’t about doing what’s right for Iowa, its about slapping a band-aide on a problem in order to make sure the big lug and his lug nuts get reelected in 2010.