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API’s Stephanie Smith: Doing the right thing – Alabama economic prosperity without gambling



Twenty-five years ago, Alabama voters were in the midst of a heated debate about the positive and negative effects of expanding gambling in the state. A constitutional amendment, the centerpiece of Don Siegelman's 1998 gubernatorial campaign, was placed on the ballot in October 1999 to create a state lottery.

Mr. Siegelman promised that the lottery would produce the following results: Minimum $150 million The new annual revenue will go toward college scholarships, state-run preschool programs, and technology improvements in schools. Some promised that expanding gambling would increase economic development opportunities in the state and boost Alabama's overall economy.

October 12, 1999 Governor Siegelman Lottery the proposal was rejected With a margin of 8.5%.

Despite the defeat, efforts to expand gambling in Alabama continue, with the latest proposal to allow not only the lottery but also Las Vegas-style casino gambling and unlimited sports betting across the state. . Many of the same arguments used in 1999 are still in use today, with proponents arguing that expanding gambling could benefit state governments more than $1 billion annually.

while it's still there numerous economic and social While there are many arguments about the dangers of gambling expansion and why Alabama should reject the latest efforts, Alabamians need only look at how much the state has improved over the past 25 years. without legalized gambling To find out why gambling and the myriad problems that come with it are unnecessary now more than ever.

Let's take population growth as an example. In 1999, the population of Alabama was 4.37 million.Currently, the state's population is 5.11 million, an increase of nearly 17%. Over the past 25 years more than 700,000 new residents have moved to Alabama. By contrast, Mississippi, which has had casino-style gambling for decades and enacted a state lottery and legalized sports betting in 2018, has seen its population grow by just 6.2% since 1999.

People moving to Alabama today find themselves in a much better situation than they were 25 years ago.

Alabama's per capita income in 1999 was $22,972. In 2023, per capita income will be $53,083. Even after adjusting for inflation, per capita income in 2023 was more than $11,200 higher than it was in 1999. As of December 2023, 2.3 million Alabamians were employed and the state's unemployment rate was 2.6%, More than 1 point below the national average. The state now has 237,000 more people working than it did in 1999, and the unemployment rate is about half what it was then.

Many of the people who have chosen to move to Alabama over the past quarter century have done so because the state offers more economic opportunities than ever before.

Alabama is currently among them. Top 5 car production state of the country. Mercedes-Benz started this trend back in 1997, but other major car companies such as Hyundai, Honda, Toyota, and Mazda have also moved to the state since then. Not to mention the industry's countless suppliers.Just last week Toyota announced completion Part of a $222 million project to build new engines at the Huntsville plant.automobile manufacturing Donated $12.6 billion The impact on Alabama's economy in 2022 was significant, with more than $900 million in tax revenue to state and local governments.

The aerospace industry has also continued to grow rapidly over the past 25 years. Alabama ranks among the top five states in the nation for aerospace engineers, with 3,900 people employed in the field.Aerospace manufacturing provides jobs for: Approximately 15,000 AlabamiansMore than 300 companies choose to do business in the state, including industry leaders such as Boeing, Airbus, and Lockheed Martin. Since arriving in Alabama, Airbus has invested more than $1 billion in mobile manufacturing facilities. Governor Ivey said: The addition of 1,000 new jobs at Airbus facilities will bring the total number of jobs there to 2,800.

The state also continues to develop its infrastructure, which has enabled the growth of some industries. For example, the Port of Mobile has invested more than $500 million in capital improvements over the past 25 years, making it easier for steel manufacturers, the aerospace industry and others to move goods and supplies in and out of the state. . The Port of Mobile has provided the following economic benefits: Over $98 billion More than $1 billion in capital projects are underway to support continued growth for Alabama's economy in 2022.

Alabama's overall industrial growth is not expected to end anytime soon. Congress has taken steps to ensure thatgame plan2023 should bring new jobs and more opportunities for Alabamians.

Governor Kay Ivey recently announced that Alabama businesses exported $27.4 billion worth of goods and services in 2023, setting a new annual record for the second year in a row and highlighting the resiliency of the state's economy. Exports last year increased 6% from the previous year's total of $25.5 billion, according to data from the Alabama Department of Commerce. Last year's record export activity was driven by increased overseas shipments of Alabama-made automobiles, aerospace parts, minerals and metals. Commercial data shown

Alabama is already an economic leader in many areas, and that progress is expected to continue for years to come. Our state is a much better place to live and work today than it was during the gambling controversy 25 years ago.

Resisting the urge to expand gambling and investing in the economy are two things Alabama did right. Alabama has thrived in ways we could never have imagined since the 1990s, when we were denied a statewide “education lottery.” Alabama is on an upward trajectory, built through smart investments, ingenuity, and hard work. The expansion of gambling conveys exactly the opposite message. Don't take the job, take advantage of the system. Instead of investing in the future, take everything you can now. Don't worry about the poor. Use their despair to your advantage. You don't have to work hard. Get rich quickly. Instead of protecting their families, they fill the nation's coffers with their losses.

Our integrity and Alabama values ​​have been rewarded with success and astronomical growth. Why now do we want to jeopardize that progress by allowing the expansion of gambling and lotteries that poison the nation? As the stars continue to fall in Alabama, let's not discount the blessings of their Creator. Stay loyal, protect Alabama families, and reject the expansion of gambling in our state.

Stephanie Holden Smith is president and CEO of the Alabama Policy Institute.

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