THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Sunday, April 16, 1995 TAG: 9504160055
SECTION: LOCAL PAGE: B1 EDITION: NORTH CAROLINA
SOURCE: BY BETTY MITCHELL GRAY, STAFF WRITER
DATELINE: RALEIGH LENGTH: Medium: 72 lines
Two eastern North Carolina lawmakers have proposed that a state lottery be legalized in counties that endorse the gambling game.
About 20 years ago, legislators gave each county the option of approving liquor-by-the-drink, and Rep. William T. Culpepper III, a Chowan County Democrat, hopes the General Assembly will authorize counties to decide their fates in the legalized gambling debate.
``It's the most different lottery bill that's ever been offered,'' said Culpepper from the House floor last week. ``We're looking forward to seeing what will happen to it.''
The bill, also sponsored by Rep. John M. Nichols, a Craven County Republican, would legalize a lottery in counties that approve it in a countywide referendum. A referendum could be called in a county by a vote of the county board of commissioners or by a petition signed by at least 15 percent of the county's voters in the last gubernatorial election.
If 15 of the state's 100 counties endorse the measure, a state-run lottery could begin in those counties. Other counties that endorse the lottery later would be allowed to participate.
At least 50 percent of the revenues from the lottery would be distributed as prizes and permits. But unlike other lottery bills that designate statewide programs as recipients of the net lottery revenues, Culpepper's bill specifies that proceeds remaining after prizes and permits be distributed among the counties that have approved a lottery.
A county's share of the prize money would be based on the amount of lottery ticket sales in that county and would be also shared with the incorporated towns and cities based on population or the property tax levy.
``It's better than other lottery bills because it doesn't force any county to accept a lottery within its borders if it does not want it and because the money raised from the lottery would be returned to the local governments.''
The bill was referred to the House Finance Committee.
Culpepper and Nichols are just two of several state lawmakers who have proposed lottery bills this session.
Proceeds from a state-run lottery would be used to build new schools under a bill sponsored by Democratic Sens. Frank Ballance of Warren County and J.K. Sherron of Wake County.
Their bill calls for a voter referendum on a lottery with 40 percent of the profits allocated to counties on a per capita basis for school construction and 60 percent allocated to the University of North Carolina and the Department of Community Colleges for scholarships.
That bill was referred to the Senate Finance Committee.
A third bill, sponsored by Rep. Milton F. ``Toby'' Fitch Jr., a Wilson County Democrat, would also use proceeds from the lottery to build schools.
Fitch's bill, which was referred to the House Finance Committee, earmarks $100 million of lottery proceeds for school building projects and any additional profits to be distributed to school districts as block grants.
Supporters of a North Carolina lottery say the state is losing millions of dollars each year to neighboring states that offer some form of gambling. But lottery opponents question the morality of gambling and whether the lottery will generate the monetary windfall claimed by its supporters.
While Republicans have promised that any lottery legislation proposed by House members will get a full debate, that chamber's new leaders predict the issue will fail in the House just as it has in recent years under Democratic control.
House Speaker Harold J. Brubaker, a Randolph County Republican, has repeatedly said this session that he is personally opposed to a lottery because ``it's just a poor way to do business.''
The Democratic-controlled Senate has approved lottery legislation in recent years but Senate leader Marc Basnight, a Dare County Democrat, says prospects for a lottery are no better than in past years. by CNB