AMERICAN GAMING ASSOCIATION Missing the Mark 60 Minutes program off base, but there’s a lesson in there, too T


Frank J. Fahrenkopf, Jr., President and CEO American Gaming Association


hough stacks of studies and countless anecdotes have discredited claims that commercial gaming is associated with a


wide range of ills, mainstream media repeatedly report those claims as fact. Oftentimes, news stories about gaming seem to


be based more on conventional wisdom than hard data. After all, it may seem reasonable for a reporter to assume that, as casino gambling has expanded across the United States, the rate of gambling disor- ders also has grown. It may be easy for them to believe that slot machines, with their bright lights and catchy jingles, are inherently addictive. But, of course, neither assertion is true. A recent episode of the CBS newsmagazine 60


Minutesprovides yet another disturbing example of how the media frequently gets it wrong on gaming. Last month, journalist Lesley Stahl reported that newer, flashier slot machines—as well as revenue- hungry legislators who promote expanded gam- bling—encourage greater rates of gambling addic- tion.


The segment offered few facts and provided a


platform for gaming opponents to trot out well- worn, inaccurate claims about our industry. A simple check on the prevalence rate of pathological gam- bling—which, according to numerous studies, has held steady at 1 percent for more than 30 years—dis- proves the report’s entire hypothesis. But the piece itself was far less troubling than


what was excluded from it. A look at the interviews and facts posted on the show’s website—which dis- cussed how the brains of gambling addicts work and explained the odds associated with various casino games—indicate that60Minutesproducers had the makings of a far more balanced and informative story. Unfortunately, they left much of that material on the cutting-room floor. The60Minutesstory serves as an important


reminder to the American Gaming Association— and, indeed, to our entire industry—that we must continue proactively educating our customers, employees and neighbors about the benefits casinos bring. And we must remain vigilant about correcting misinformation irresponsibly reported in the media. Without question, gaming always will have vocal, passionate opponents; our best recourse is to contin-


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ue building a thorough knowledge base about our industry’s positive impact. Concrete examples of that impact were shared


last fall during a public forum in Cape Girardeau, Missouri—a town considering introducing commer- cial gaming. The event featured testimony from a collection of mayors about the effect casinos have had on their communities. Maryland Heights,Missouri,MayorMike


Moeller responded to community members’ ques- tions about casinos leading to social problems: “All these negative things, they never did come to fruition.” And Boonville,Missouri,Mayor Julie Thatcher


‘


said: “I was brought up in a Southern Baptist home. I wasn’t brought up believing in gambling. But the sec- ond time, I voted for it. It’s been a wonderful thing for our town, and we would be in a world of hurt without the gaming money coming into our town.”


We must remain vigilant about correcting misinformation


irresponsibly reported in the media.


These are real stories—endorsements from com-


munity leaders who have experienced the true reali- ties of casino gambling. They have witnessed first- hand how casinos have breathed new life into their local economies, and they acknowledge that initial fears harbored by their constituents about commer- cial gaming have proven unfounded. These are the kinds of stories our industry should share more fre- quently when reporters question its benefit. Similar anecdotes are not hard to come by.


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Hundreds of accounts from citizens living and work- ing in gaming communities across the country echo the mayors’ sentiments. Specific, local data, however, is a bit more difficult to dig up—an issue the AGA plans to remedy in 2011. While the AGA has a library of resources that


include statistics about the industry’s broad, direct economic impact, we have little recent data on the industry’s secondary and tertiary impacts in gaming


Global Gaming Business • February 2011


communities. In 2009, casinos paid their employ- ees $13.1 billion; how much of their annual pay did those employees spend with neighboring busi- nesses? And what is the ripple effect within a com- munity when a new casino increases local tourism? In addition, our industry purchases untold


millions of dollars in supplies every year—from linens to light bulbs—which fuels the economy in ways we have not yet measured. And how much do casinos contribute—in funding and volunteer hours—to charitable organizations each year? Work already is under way to get to the bot-


tom of these and many other complex questions; the AGA has commissioned an extensive research project that will be completed during the summer. Once collected, the data will inform the AGA’s renewed efforts to publicize the modern gaming industry’s crucial role in economies at the national, state and local levels. The National Center for Responsible Gaming,


the AGA’s affiliated charity, also has made public education a priority this year. The organization has expanded its efforts to inform a broader range of stakeholders about gambling disorders—from gaming regulators to college administrators to par- ents. Through events such as road tours, webinars and treatment-provider workshops, the NCRG will widely share the latest research on pathological gambling and discuss the progress made in diag- nosing, treating and preventing the condition. In 2011, our industry must collectively recom-


mit itself to sharing the true story of commercial gaming—a story that is not clouded by bias or sensationalism. And we must encourage journalists to weigh the facts—rather than rely on conven- tional wisdom—when reporting on gambling problems. Public perception about our industry must reflect reality, not the angry, unfounded rhet- oric of our opponents. During the Cape Girardeau mayors’ forum last


fall,Mayor Tom Hoechst spoke passionately about the powerful impact our industry has had on Alton, Illinois, and its citizens. “We have had a tremendous working relationship with the local casino,” he said. “They’ve been the savior of our community.” Now that’s a story I’d like to hear more about.


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