Further down the slippery slope

Published May 17, 2018

By Tom Campbell

by Tom Campbell, Producer and Moderator, NC SPIN, May 17, 2018.

When the phone rings at 2 a.m. it’s a pretty safe bet there isn’t good news, as Bill found out that December in 1960. The agent on the other end said, “Dr. Friday, I need to see you right away.” No, it couldn’t wait until the next morning. UNC President Bill Friday put on a pot of coffee and awaited the lawman’s late night visit.

The Dixie Classic basketball tournament was being played in Raleigh’s Reynolds Coliseum that week. Started by legendary NC State basketball coach Everett Case, the event was sold out. Long after the game was over, as freshly showered players were leaving, a shady character sidled up to an NC State star. The Wolfpack player had been given money to throw the game so the other team would win, but he didn’t do it and the mobster pulled a gun and threatened to kill him. Fortunately, nothing serious happened.

The annual Dixie Classic had developed a following so large that it had become a major betting event in Las Vegas, with large sums wagered on game outcomes. Organized crime was involved. UNC President Bill Friday was alarmed to learn what was happening and immediately called a halt to the popular event. Fans were outraged.

I couldn’t help but remember Friday’s recounting this story as we learned the Supreme Court had ruled that states could decide whether to allow betting on sports within their borders. It was comforting to hear Senate President Pro Tem Phil Berger say our state would take its time making that call.

There are many questions raised from this ruling. What if the state of Florida, home to ACC members Florida State and Miami, decides to allow betting, but North Carolina, with Duke, Wake Forest, UNC and NC State doesn’t? Would it be illegal to bet on games involving teams from our state? And would it be illegal for North Carolinians to place their bets using Florida bookies? Will our state quite literally be forced to approve, like we faced regarding the lottery, if our neighbors approve and we don’t? What problems would result if one state approves sports betting only on pro sports, while others approve for pro and college events? We think our highest court launched an air ball.

Many states already hear the ka-ching of tax income from the betting. Some leagues are also salivating over a share, since shoe deals, TV rights, game proceeds and big donations obviously aren’t enough. The Rice Commission just recently affirmed the 1989 predictions Bill Friday and Father Ted Hesburgh made with The Knight Commission. College basketball is already corrupt enough, what with “one-and-done” revolving doors, sports agents funneling money to players and their families, colleges holding fake classes and the abuse of so-called amateur athletes. We want to extend this to every sport?

If the Dixie Classic taught us anything it was that crime always follows the easy money. It’s a pretty safe bet that North Carolina might as well hang out welcome signs to organized crime syndicates if we approve sports betting. I’m not being a prude, just a realist.

The wisdom of the ages is true: Just because we can doesn’t mean we should authorize betting on sports events in our state. Yogi would say this is dйjа vu all over again.

May 17, 2018 at 11:38 am
Norm Kelly says:

If there's one thing that's true about government, it's that it hates, and eliminates, competition. There's an awful lot of negative things to say about government, and it's lack of ability to do most things well, but for this I'll stick to the topic at hand.

When gambling in our state, such as video poker, was 'legal', our state did everything possible to shut it down at the same time they were making state-sponsored gambling legal (they call it the lottery). No gambling allowed except state-sponsored, state-benefitting gambling.

Same will hold true with sports betting, it's just a matter of time. There's already illegal sports betting in our state. The challenge for government is that they get no money from it. All the illegal sports betting that does go on happens outside the taxing authority of our state, so politicians naturally hate it and want to prevent it. Add to this that illegal gambling is handled by some very shady characters, to say the least.

So, if government authorizes sports gambling, not only will government get tax dollars but it will help eliminate illegal gambling. Allow those who choose to throw their money away on gambling, just like the lottery, and have the state tax the winnings. Government will be happy. And it could eliminate a boat-load of shady characters doing harm to our residents.

Challenge: when the state gets involved in a business, and they will get involved in sports gambling, they eliminate all other means of doing that particular business. So, sports betting parlors will not happen unless they are run by the state, with state employees, state salaries, state pensions, state health insurance, and various other benefits. Costing the state gobs of money, and offsetting the extra income to the state through taxing legal gambling. Kinda like the way all the overhead of state-sponsored lottery gambling cuts into the actual income. Allowing private business to run the sports gambling parlors creates private sector jobs, income taxes, sales taxes, and gambling income taxes, but does not create more government jobs/overhead.

Safe bet: our state will eventually allow sports betting. Our state will totally screw it up by making another poorly run government activity. Not quite a win-win.