| Scott A. Berg, 5th District Alderman, Brookfield, Wisconsin |
Gambling in Brookfield
Wisconsin's state budget, signed into law on July 24, 2003, transferred enforcement of the state's constitutional prohibition of video gaming machines in establishments with five or fewer machines to the Wisconsin Department of Revenue (DOR). Since the DOR is chronically understaffed, they chose to not enforce the law at all. The legislature created this loophole to allow Wisconsin taverns to compete against Indian operated casinos which are exempt from state law since, for legal purposes, they are located on Indian territory. Besides, this way state legislators can get political contributions from both sides of the issue, not just one side.Local municipalities are still allowed to pass and enforce their own city ordinance against the machines. Brookfield has had such a law on the books since 1961. Brookfield Police have been enforcing the ordinance, requiring taverns to remove the illegal machines. Neighboring cities allow the machines. Customers who want to play the machines started going to taverns in other cities, taking their business with them. The American Legion Post on 124th Street was particularly vocal in opposing this ban.
At the Common Council meeting of October 19, 2004 the Council created a new ordinance stating that enforcement of the city's anti-gambling ordinance would be moved to the DOR, prohibiting the Brookfield city police from enforcing the ordinance. This clever legal maneuver was drafted by Ald. Ponto and allows everyone to say that the city prohibits gambling while effectively legalizing it.
Mayor Speaker vetoed the new ordinance, his first use of his veto power. The Council overrode the veto at its meeting of November 2, 2004 and the illegal machines became permissible a few days later.
Note that the machines are still illegal. In fact, the Wisconsin State Constitution prohibits gambling. In addition, payouts for winning at the machine are illegal and can result in the tavern owner being arrested. Also, the cash only revenue from the machine's must be reported as taxable income.
Ald. Berg supported both the ordinance and the veto override. This is a good example of the old political saying, "Hold your nose and vote yes." Ald. Berg does not gamble and would prefer a prohibition. However, this quirk of city ordinances and state law placed Brookfield small businessman at a competitive disadvantage. Part of a local elected official's job is to level the playing field for city businesses. Ald. Berg believes that Brookfield residents want the least government regulation possible. That means allowing residents to burn leaves, smoke in restaurants or play video gambling machines.
Ald. Sutton was a particularly outspoken supporter of this change since his District 1 (northeast corner of Brookfield) has many affected taverns. Ald. Mahkorn was an outspoken critic of the change.
What is probably the most concise description of the change in state law from an official source may be found at:
MJS - Oct 21, 2004 - Aldermen firm on allowing gambling machines
MJS - Oct 19, 2004 - Brookfield eases rules against video gambling
MJS - Oct 6, 2004 - Mayor favors Brookfield's ban on gambling machines
MJS - Sep 22, 2004 - Brookfield May End Video Gaming Ban
MJS April 11, 2004 - BROOKFIELD Tavern owners ask city to lift video gaming ban
MJS - April 8, 2004 - Gaming Machine Ban Blasted
MJS - March 28, 2004 - Gaming Machines Allowed to Prosper
Wisconsin Legislative Reference Bureau - Gambling