Though we have mixed feelings about a statewide smoking ban, we’re pleased it will be voted on by the people in South Dakota and we encourage everyone to consider a couple of major factors when deciding their votes.
Of course this is a public health issue. There’s no question that smoking and secondhand smoke is bad. Eliminating smoking from establishments would help those who don’t smoke and don’t want to be around smoke. But those people also do have choices about where to go and spend their money. If they do not want to be around smoke, they could choose to go to places that don’t allow smoking. Even locally, there are several restaurants and even a couple of bars that do not allow smoking.
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Though we recognize the importance of better health across our state, we also have reasons to oppose a smoking ban.
The first of those is the business-owner rights argument which has been raised again and again by people who do not want the government telling them how to run their businesses. We will always stand behind the freedoms deserved by U.S. citizens. These are freedoms fought for and won by people who recognized the grave need for a free nation. It seems to us the more the government becomes involved in private enterprise, the further we get from that ideal of freedom.
It’s difficult to say whether or not a business owner having the right to allow smoking infringes upon the rights of free citizens to go where they choose without being in danger. But it is easy to say those free citizens choose where they go. If there are enough people who won’t patronize an establishment because it allows smoking, we have to believe a shrewd business owner would do what he or she has to do to get those customers back.
But aside from the arguments in semantics about who is infringing upon whose rights, we think there is another big issue to consider: the potential loss of video lottery revenue from those who choose to stop going to establishments where they can’t smoke.
There have been studies and reports from across the nation about the positive and negative effects of smoking bans. A simple Internet search of the topic returns more than 10 million results, which seem to go back and forth as you scroll down the list. The problem with basing this decision on the results of bans in other states is South Dakota is unique. No one knows for sure what the outcome would be if a ban was enacted.
But we strongly believe that South Dakotans will be making up the difference in millions in taxes if places with video lottery no longer allow smoking.
According to lottery officials and state reports, in 2008, South Dakota’s video lottery net machine income — the total amount of cash put into machines after prizes have been deducted — was $224,661,209. Presently, 50 percent of that income goes to the state and 50 percent goes to private entities.
The state’s share of net machine income is currently transferred to the Property Tax Reduction Fund with a small amount kept by the Lottery for operation costs — just 0.5 percent.
Licensing fees for video lottery operators, establishments, and machine manufacturers and distributors are transferred to the state Lottery Operating Fund. The average number of active video lottery machines in 2008 was 8,952 and the average number of licensed establishments was 1,478. In 2008, that total was $1,194,150. And $45,000 in fees from machine manufacturers was put in the state’s General Fund.
Revenue from video lottery has raised more than $275 million state since video lottery’s inception in 1989.
Those are big numbers, and though we don’t know what the effect of the smoking ban would be on video lottery revenue, we do know the state will get that money from somewhere if the revenue falls. And somewhere usually means taxpayers’ pockets.


Comments
26 comment(s)Could Not Say It Better wrote on Jul 14, 2009 5:03 PM:
Non Smoker wrote on Jul 14, 2009 11:56 AM:
Waiting wrote on Jul 13, 2009 1:27 PM:
The other side wrote on Jul 13, 2009 12:50 PM:
Dave wrote on Jul 13, 2009 9:07 AM:
Non-smokers have the RIGHT to choose what businesses they go to, make this change with your cash, not with a law. Stand up for what you believe in and stop giving those that allow smoking your money.
What ever happen to people following their morals and ethics? "
We Will See wrote on Jul 13, 2009 8:53 AM:
To benefits wrote on Jul 13, 2009 6:39 AM:
Ellen Lee wrote on Jul 12, 2009 11:46 AM:
benefits wrote on Jul 10, 2009 1:09 PM:
my thoughts. wrote on Jul 9, 2009 11:39 PM:
The Name of the Game wrote on Jul 8, 2009 10:35 PM:
Mike wrote on Jul 8, 2009 8:03 AM:
curious wrote on Jul 7, 2009 5:49 PM:
To the other side wrote on Jul 7, 2009 3:49 PM:
grassy wrote on Jul 7, 2009 10:23 AM:
Everybody does NOT know the damage smoking or second hand smoke cause. European studies show no harm from second hand smoke. This is like saying global warming is killing us but if we tax it enough the problem will go away!!!!!
Those who would give away our freedom so easily should study the governments of Lenin, Stalin and Hitler. "
Other side wrote on Jul 7, 2009 7:45 AM:
Throw it out the window wrote on Jul 4, 2009 3:40 PM:
Disapointed wrote on Jul 3, 2009 10:48 AM:
Good Grief wrote on Jul 3, 2009 7:47 AM:
To Sorry wrote on Jul 2, 2009 11:39 PM:
To Sorry wrote on Jul 2, 2009 8:22 AM:
No one has to go to a bar, and if the people that didn't like smoking in the bars would STOP GOING, and inform the bar owners of their choice, you'd see more bars become non-smoking. You don't need more laws to enact change, you just have to stand up for your values. When did we lose that idea? "
well written wrote on Jun 30, 2009 11:08 PM:
well well wrote on Jun 30, 2009 2:00 PM:
This is a huge disappointment. wrote on Jun 30, 2009 1:22 PM:
Sad, sad day. "
Concerned citizen wrote on Jun 30, 2009 1:01 PM:
Sorry wrote on Jun 30, 2009 12:26 PM: