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Politics

Scott Lends Support to Closing Internet Cafes

January 17, 2012 - 6:00pm

Gov. Rick Scott favors closing the Internet cafes that have been springing up across the state.

The governor, who has yet to take a public stance on the destination gaming bills now before the Legislature, took a firm stand on the cafes or arcades that cater to seniors and fall short of being legally considered casinos by offering "sweepstake" prizes rather directly awarding cash.

I dont believe that the Internet locations are legal or should be legal, Scott told reporters during a media gathering in his Capitol office. Its an area that I think doesnt make sense. I dont believe in it.

Scotts comment came a day after the House Business and Consumer Affairs Committee approved by a 10-5 vote HB 3, which would prohibit the more than 1,000 cafes that have opened throughout the state.

Two other bills regarding the cafes go before the Senate Regulated Industries Committee on Thursday.

SB 428, by Sen. Steve Oelrich, R-Gainesville, would prohibit the simulated gaming devices that are used at Internet cafes.

SB 380, sponsored by Miguel Diaz de la Portilla, R-Miami, imposes regulations on the businesses.

The Senate version of the destination gaming bill, SB 714, which would establish a state gaming commission and allow three mega-casinos in South Florida, has also been amended to allow the existing Internet cafes to remain open, but prohibit any more licenses being granted.

Unlike the voter-approved Florida lottery, which the state continues to expand and Scott said he supports to pay for public education, regulating the cafes may impact the states $250 million-plus a year Seminole Indian compact which prohibits slot machines outside of Miami-Dade and Broward counties.

A typical cafe allows customers to buy time on slot machine-style games deemed sweepstakes games. The customers compete for credit, which can be redeemed for cash.

We have two options, look the other way or pass House Bill 3, said Rep. Scott Plakon, R-Longwood, who sponsored HB 3.

A number of communities have sought to impose their own regulations against the businesses. Most notably, Palm Beach County this month voted to stop issuing business-tax receipts for arcades in unincorporated areas while a one-year moratorium is put in place.

Rep. Joe Abruzzo, D-Wellington, who was among those voting against the bill, said thousands of jobs are at risk.

Laurie Lee, representing International Internet Technologies, which markets the technology used in some of the cafes, said each cafe employs from eight to 13 people.

Its punitive to those businesses that operate according to Florida law, she said. It would eliminate over 10,000 paying jobs.

The ban is supported by the Florida Sheriffs Association, Florida Chamber of Commerce and Attorney General Pam Bondi.

Reach Jim Turner at jturner@sunshinestatenews.com or at (772) 215-9889.

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