Jan. 23, 2002 – Senators were strongly divided Tuesday night over the issue of the V.I. government entering a contract to expand the number of lottery games offered in the territory, some saying they believe it will add much-needed revenue and others saying the move will bankrupt local lottery dealers.
Sen. Alicia "Chucky" Hansen, who chaired the Finance Committee hearing, vowed to fight for the lottery dealers but stopped short of saying she would challenge the contract with Caribbean Lottery Services Inc. in court.
"I have an obligation, even if I have to stand alone, because someone needs to stand up for these people," Hansen said. "There has to be a balance between the small people and all the money, and things are always falling on the side of the millionaires." She said she had called the committee meeting because she had heard so many lottery dealers saying they feared they would be put out of business.
As she did at a similar hearing on St. Croix last week, Hansen raised questions Tuesday about whether the government had the legal right to turn over some aspects of running lottery games to a private company. "It's something that may have to be decided in court," she commented, but without saying whether she herself would mount that challenge.
Non-aligned Sen. Adlah "Foncie" Donastorg also raised questions about the legality of the contract, questioning whether federal law might regulate Virgin Islanders playing lottery games along with citizens of other Caribbean nations, and whether the effect of the lottery on government revenues could mean that the contract is void without the Legislature's approval.
But Attorney General Iver Stridiron, Government House legal counsel Paul Gimenez and even the Legislature's legal counsel, Constance Krieger, all indicated they believe the contract is legal. If so, the Legislature would have no oversight authority on a contract entered into by the V.I. government.
Much of Tuesday's discussion revolved around how the contract would affect the more than 400 lottery dealers in the territory. Sens. Carlton Dowe and Donald "Ducks" Cole said they believe the deal potentially could allow the dealers to make more money by selling the new games along with the traditional V.I. Lottery tickets.
Gimenez also made a strong case for the potential benefits. He said he comes from a long line of lottery dealers — both of his grandmothers, one grandfather, some uncles and even a great-grandmother were in the business. He said he worked hard to negotiate a contract that would benefit both the dealers and the government coffers.
"I'm very optimistic that V.I. Lottery dealers will see new revenue that was not previously available to them," he said.
Even the two lottery dealers who testified disagreed on the potential impact of the new contract.
Felix Greaux, who has sold tickets since 1972, said he does not believe the V.I. Lottery will be able to compete with the new games and that he would not make as much money selling the Caribbean Lottery Services games.
But dealer Blanche Silcott testified that she thinks the new games can bring more income: "I have no problem with the Caribbean Lottery," she said. But she added that she believes the V.I. Lottery must be strengthened if it is to compete successfully with the new games. It needs better marketing and a better schedule of getting tickets out on time to attract players, she said.
Several people, including Sen. Norma Pickard-Samuel, said that regardless of their views of the new contract, they wish it had been negotiated in a more open atmosphere. The dealers should have been included in the discussions, rather than simply hearing about the contract after it was a done deal, they said.
The hearing was attended by six Finance Committee members, Sens. Douglas Canton Jr., Cole, Donastorg, Dowe, Hansen and Pickard-Samuel, along with non-committee member Sen. David Jones. Committee member Sen. Norman Jn Baptiste was absent.
