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Maryland Question 1, Gambling Revenue Dedicated to Education Lockbox Amendment (2018)

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Maryland Question 1
Flag of Maryland.png
Election date
November 6, 2018
Topic
Education
Status
Approveda Approved
Type
Constitutional amendment		Origin
State legislature

Maryland Question 1, the Gambling Revenue Dedicated to Education Lockbox Amendment, was on the ballot in Maryland as a legislatively referred constitutional amendment on November 6, 2018. It was approved.

A "yes" vote supported amending the state constitution to dedicate certain revenue from video lotteries to education as supplementary funding.
A "no" vote opposed this amendment to the state constitution to dedicate certain revenue from video lotteries to education as supplementary funding.

Aftermath

On December 17, 2018, Maryland Governor Larry Hogan (R) announced proposed legislation to provide an additional $1.9 billion in new school construction funding over five years, called the Building Opportunity Fund. The funds would be in addition to the $1.6 billion already included in the state's five year Capital Improvement Program, boosting the total proposed funds for school construction to $3.5 billion over five years. The additional funding will come from revenue bonds funded by casino gaming revenues, stemming from the passage of Question 1.[1]

Election results

Maryland Question 1

Result Votes Percentage

Approved Yes

1,873,235 89.06%
No 230,027 10.94%
Results are officially certified.
Source

Overview

Casino revenue and education funding in Maryland

Maryland voters approved constitutional amendments allowing slots in 2008 and table games in 2012. Proponents of those measures advertised them as being able to generate more funding through casino tax revenue for the education system. Maryland created the Education Trust Fund in 2009, which tax revenue from casinos has added an estimated 1.9 billion dollars to since 2009. According to the director of the Maryland Center on Economic Policy and the Maryland State Education Association, general fund revenue that was used to fund education prior to 2009 was used for other purposes as casino tax revenue increased.[2]

Measure design

The amendment was designed to incrementally dedicate gambling revenue to education through 2023. The amendment dedicated revenue as supplemental to minimum required education funding levels. This means that casino revenue could not be counted in the minimum education spending formulas and would have to be spent on education in addition to those minimum required levels under the amendment. The following amounts of casino revenue were to be allocated as supplemental funding for public education under the measure:

  • $125 million for fiscal year 2020
  • $250 million for fiscal year 2021
  • $375 million for fiscal year 2022
  • 100% of revenues raised for fiscal year 2023 and for each fiscal year after.

The Maryland Department of Legislative Services estimated that the tax revenue of Maryland’s six casinos was projected to be $517 million.[3][4]

This supplemental funding under the measure was designed to be used to:[5]

  • Ensure access to public education "that allows children in the state to compete in the global economy of the future;"
  • Provide funding for high-quality early childhood education programs;
  • Provide opportunities for career and technical education programs that lead to a job skill or certificate;
  • Allow students to obtain college credit and degrees while in high school at no cost to the student;
  • Support advancement and professional growth of educators; and
  • Maintain, renovate, or construct public schools.

Who supported the measure?

Two committees were registered in support of Question 1: the Maryland Promise Committee and the Committee for the Lockbox Constitutional Amendment. The Maryland Promise Committee reported a total of $1.19 million in contributions. The top three donors were the Maryland State Education Association and the National Education Association, which each contributed $500,000 and the AFT Maryland Solidarity Fund, which contributed $200,000. The Maryland Promise Committee had spent $1.19 million.

The Committee for the Lockbox filed an affidavit stating that the committee did not intend to receive or expend funds exceeding $1,000, and therefore, was not required to report any campaign finance activity unless they received or expended funds exceeding $1,000, which they did not.[6][7]

Ballotpedia did not identify any committees registered in opposition to the measure.

Text of measure

Ballot title

The ballot title for Question 1 was as follows:[8]

“

The amendment requires the Governor to include in the annual State Budget, as supplemental funding for prekindergarten through grade 12 in public schools, the revenues from video lottery operation licenses and any other commercial gaming dedicated to public education in an amount above the level of State funding for education in public schools provided by the Bridge to Excellence in Public Schools Act of 2002 (otherwise known as the Thornton legislation) in not less than the following amounts: $125 million in fiscal year 2020; $250 million in fiscal year 2021; $375 million in fiscal year 2022; and 100% of commercial gaming revenues dedicated to public education in fiscal year 2023 and each fiscal year thereafter. The amendment also requires the Governor to show in the annual budget how the revenues from video lottery operation licenses and other commercial gaming are being used in a manner that is in addition to the level of State funding for public education provided by the funding formulas established by the Bridge to Excellence in Public Schools Act. The State Constitution currently authorizes video lottery operation licenses for the primary purpose of raising money for public education.[9]

”

Constitutional changes

See also: Article XIX, Maryland Constitution

Question 1 amended and added a new sub-section to Article XIX of the state constitution. The following bolded and underlined text was added added, and [bracketed and struck-through] text was added deleted:[10] Note: Hover over the text and scroll to see the full text.

Article XIX – Video Lottery Terminals (c) (1) Except as provided in subsection (e) of this section, the State may issue up to five video lottery operation licenses throughout the State for the primary purpose of raising revenue for:

(i) Education for the children of the State in public schools, prekindergarten through grade 12; and
(ii) Public school construction and public school capital improvements[; and
(iii) Construction of capital projects at community colleges and public senior higher education institutions].

(f) (1) Subject to the requirements of paragraphs (2) and (3) of this subsection, from the revenues raised under subsection (c)(1) of this section and any other commercial gaming revenues dedicated to public education, the governor’s budget submission shall include not less than the following amounts as supplemental funding for public education:

(I) for fiscal year 2020, $125,000,000;
(ii) for fiscal year 2021, $250,000,000;
(iii) for fiscal year 2022, $375,000,000; and
(iv) for fiscal year 2023 and for each fiscal year thereafter, 100% of revenues raised for public education under subsection (c)(1) of this section and any other commercial gaming revenues dedicated to public education.

(2) The supplemental funding shall be used to:

(I) ensure access to public education that allows children in the state to compete in the global economy of the future;
(ii) provide funding for high–quality early childhood education programs;
(iii) provide opportunities for public school students to participate in career and technical education programs that lead to an identified job skill or certificate;
(iv) allow students to obtain college credit and degrees while in high school at no cost to the students;
(v) support the advancement and professionalization of educators in public schools; and
(vi) maintain, renovate, or construct public schools.

(3) (I) The supplemental funding required under paragraph (1) of this subsection shall be in addition to the state funding provided through the funding formulas established in the bridge to excellence in public schools act of 2002 for prekindergarten through grade 12 in public schools.

(ii) Beginning in fiscal year 2020 and for each fiscal year thereafter, the governor shall identify in the annual budget as introduced how the revenue required under this section is being used to supplement and not supplant spending on public education for prekindergarten through grade 12.

[(f)] (G) The General Assembly may, from time to time, enact such laws not 13 inconsistent with this section, as may be necessary and proper to carry out its provisions.[9]

Readability score

See also: Ballot measure readability scores, 2018
Using the Flesch-Kincaid Grade Level (FKGL and Flesch Reading Ease (FRE) formulas, Ballotpedia scored the readability of the ballot title and summary for this measure. Readability scores are designed to indicate the reading difficulty of text. The Flesch-Kincaid formulas account for the number of words, syllables, and sentences in a text; they do not account for the difficulty of the ideas in the text. The state legislature wrote the ballot language for this measure.


The FKGL for the ballot title is grade level 30, and the FRE is -13. The word count for the ballot title is 182, and the estimated reading time is 48 seconds.

In 2018, for the 167 statewide measures on the ballot, the average ballot title or question was written at a level appropriate for those with between 19 and 20 years of U.S. formal education (graduate school-level of education), according to the FKGL formula. Read Ballotpedia's entire 2018 ballot language readability report here.

Support

The Maryland Promise Committee was leading the campaign in support of Question 1.

Supporters

The following senators sponsored this amendment in the Senate:

Arguments

Proponents of Question 1 said that lawmakers had promised to use funds from gambling for education when the 2008 and 2012 measures were approved, but there was no legal requirement dictating that funds must be spent on education and that the governor and legislators had diverted the revenue to other purposes.[11]

  • Governor Larry Hogan’s deputy campaign manager, Doug Mayer said, "The education lockbox is a top priority of the governor, that’s why he proposed his own legislation that would have created one immediately, supported the ballot initiative, and was proud to sign it. Most importantly, he is willing to do whatever it takes to ensure Marylanders vote for it this fall, including using his own political and financial resources to get it done."
  • President of the Maryland State Education Association Betty Weller, a proponent of the measure, said, “We applaud the General Assembly for taking the first step in making a new Maryland Promise to every family, in every community, that the state will fund a strong public school for their children." The Maryland State Education Association also argues that since 2009 when the Education Trust Fund was created, $1.9 billion in casino revenue had been added to the Education Trust Fund, but education spending as a whole had not increased proportionally.[11]
  • Maryland Center on Economic Policy Director Benjamin Orr, said, "While gambling was sold as a way to bring in more money for education, it really hasn't been putting more money in schools. We've essentially invested the same amount of money in our schools that we would have with or without legalized gambling."[12]
  • Director of the Education Reform Project of the ACLU of Maryland, Bebe Verdery, said, "Maryland school funding falls over $1 billion short of what the education formula says students need. Casino operators are receiving higher-than-expected, record profits. In this time of fiscal distress for Baltimore and other schools, why can't part of the solution be casinos sharing more of their excess profits?"[13]

Campaign advertisements

The following video was released by Maryland Governor Larry Hogan:[14][15]

Title: "Lockbox"

Opposition

Opponents

  • The Washington Post editorial board.[16]

If you are aware of any opponents or opposing arguments, please send an email with a link to editor@ballotpedia.org.

Media editorials

If you are aware of any supporting or opposing media editorials, please send an email with a link to editor@ballotpedia.org.

Support

  • The Baltimore Sun wrote: "Quite simply, this is what many Maryland voters thought they were supporting when they approved slot machines a decade ago and table games in 2012 and were told that a majority of the money created through casino gaming would fund education. But that isn’t exactly what happened. [...] Certainly, those who have been following the budget shortfalls of the Carroll County Public School system recognize the need for additional funding from the state."[17]

Opposition

  • The Washington Post wrote: "THE MOST basic job of state elected officials is to set priorities, including budgetary ones. Yet Maryland’s state lawmakers, plus Gov. Larry Hogan, are supporting a constitutional amendment — which voters will accept or reject at the polls by Tuesday — that would strip them of that responsibility. No one would make the argument that K-12 education isn’t vital to Maryland’s future. Whether it is more important than funding hospitals, higher education, or roads and rails is a difficult question — exactly the one lawmakers are elected to grapple with. Rather than grappling with it, a “lockbox” would fix a course from which deviation would be exceptionally difficult. That’s an abdication of responsibility."[16]

Campaign finance

See also: Campaign finance requirements for Maryland ballot measures
Total campaign contributions:
Support: $1,192,520.34
Opposition: $0.00

Two committees were registered in support of Question 1: the Maryland Promise Committee and the Committee for the Lockbox Constitutional Amendment. The Maryland Promise Committee reported a total of $1.19 million in contributions. The top three donors were the Maryland State Education Association and the National Education Association, which each contributed $500,000 and the AFT Maryland Solidarity Fund, which contributed $200,000. The Maryland Promise Committee had spent $1.19 million.

The Committee for the Lockbox filed an affidavit stating that the committee did not intend to receive or expend funds exceeding $1,000, and therefore, was not required to report any campaign finance activity unless they received or expended funds exceeding $1,000, which they did not.[18][7]

Ballotpedia did not identify any committees registered in opposition to the measure.

Support

Since the Maryland Promise Committee gave $7,500 to the Yes on 2 committee, that amount has been subtracted from Maryland Promise Committee's contributions and expenditures to avoid double-counting the same funds.

Committees in support of Maryland Gambling Revenue Dedicated to Education Lockbox Amendment
Supporting committeesCash contributionsIn-kind servicesCash expenditures
Maryland Promise Committee$1,192,520.34$759.52$1,190,506.67
Total$1,192,520.34$759.52$1,190,506.67
Totals in support
Total raised:$1,193,279.86
Total spent:$1,191,266.19

Top donors

Following are all the donors to the Maryland Promise Committee.

Donor Cash In-kind Total
Maryland State Education Association $500,000.00 $0.00 $500,000.00
National Education Association $500,000.00 $0.00 $500,000.00
AFT Maryland Solidarity Fund $200,000.00 $0.00 $200,000.00
32BJ UNITED ADF $0.00 $759.52 $759.52
Go Daddy $20.34 $0.00 $20.34

Opposition

Ballotpedia did not identify any committees registered in opposition to the measure.[7]

If you are aware of a committee registered to oppose this measure, please email editor@ballotpedia.org.

Methodology

To read Ballotpedia's methodology for covering ballot measure campaign finance information, click here.

Background

Casino revenue and education funding in Maryland

Maryland voters approved constitutional amendments allowing slots in 2008 and table games in 2012. Advertisements by proponents of those measures made school funding a focal point of the message, saying that allowing the state to have casinos and expanding gambling would pump hundreds of millions of dollars "directly into schools."[19] In 2009, Maryland created the Education Trust Fund. Since 2009, an estimated $1.9 billion was added to the Education Trust Fund from casino tax revenue. According to Benjamin Orr, director of the Maryland Center on Economic Policy, and the Maryland State Education Association, general fund revenue that was used to fund education prior to 2009 was used for other purposes as casino tax revenue increased.[20] This amendment would stop future governors and lawmakers from using revenue from casinos on anything other than K-12 education.[11] In 2002, The Bridge to Excellence in Public Schools Act was passed. It is commonly referred to as the Thornton Funding Formula which established a state school aid formula so that schools have the necessary resources to "provide every child with an adequate and equitable education."[21]

The casino tax revenue from 2009 through 2017 and the levels of state education funding for the same time period are below. The figures used for the state education funding are the yearly appropriation totals taken from the general fund and special funds for the State Department of Education and do not include federal funds. The numbers for the casino tax revenue are taken from estimated revenue for the Education Trust Fund (ETF) each fiscal year.[22]

Casino tax revenue per month during calendar year 2018

Following is a chart showing the amount of monthly tax revenue generated by the state's six casinos for the calendar year 2018. The chart shows the amount of revenue dedicated to (1) the Education Trust Fund and (2) the state's general fund. Aside from the ETF and the general fund, casino tax revenue also goes toward other causes such as to casino operators, purse dedication, and local grants.[23]


Month Revenue Amount dedicated to ETF Amount dedicated to general fund
January 2018 $79,316,699.90 $30,490,181.08 $1,164,667.51
February 2018 $84,718,498.48 $32,525,116.02 $1,241,725.26
March 2018 $92,549,246.23 $35,646,841.39 $1,356,314.58
April 2018 $90,246,181.37 $34,672,910.35 $1,321,603.23
May 2018 $96,561,552.56 $36,946,433.54 $1,415,108.18
June 2018 $93,704,104.50 $35,864,513.38 $1,372,165.77
July 2018 95,395,316.36 $37,749,768.58 $0.00

Gambling and casino measures in Maryland

Maryland voters have decided the following statewide ballot measures related to gambling:

Referred amendments on the ballot

From 1996 through 2016, the Maryland State Legislature referred 26 constitutional amendments to the ballot. Voters approved 24 and rejected two. The amendments were all referred to the ballot during even-numbered election years. The average number of amendments appearing on the ballot during an even-numbered election year was about two. No amendments appeared on the ballot in 2004. The approval rate at the ballot box was 92.31 percent during the 20 year period from 1996 to 2016. The last time voters rejected a referred amendment was in 2000.

Legislatively-referred constitutional amendments, 1996-2017
Total number Approved Percent approved Defeated Percent defeated Even-year average Even-year median Annual minimum Annual maximum
26 24 92.31% 2 7.69% 2.36 2.00 0 6

Path to the ballot

See also: Amending the Maryland Constitution
  • This amendment was cross-filed in the House as House Bill 1697, which is identical to the original bill.[24]

To put a legislatively referred constitutional amendment before voters, a 60-percent supermajority vote is required in both the Maryland State Senate and the Maryland House of Delegates.

The state Senate unanimously approved the amendment as Senate Bill 1122 on March 17, 2018. On April 6, 2018, the state House approved the amendment 130 to 2, with 5 not voting and 4 absent.[4]

Vote in the Maryland State Senate
March 17, 2018
Requirement: Three-fifths (60 percent) vote of all members in each chamber
Number of yes votes required: 29  Approveda
YesNoNot voting
Total4700
Total percent100.00%0.00%0.00%
Democrat3300
Republican1400
Vote in the Maryland House of Delegates
April 6, 2018
Requirement: Three-fifths (60 percent) vote of all members in each chamber
Number of yes votes required: 85  Approveda
YesNoNot voting
Total13029
Total percent92.19%1.41%6.38%
Democrat8605
Republican4424


How to cast a vote

See also: Voting in Maryland

Poll times

In Maryland, all polling places are open from 7:00 a.m. to 8:00 p.m. Eastern Time. An individual who is in line at the time polls close must be allowed to vote.[25]

Registration requirements

Check your voter registration status here.

According to the Maryland State Board of Elections, to register to vote in Maryland, one must be a United States citizen and Maryland resident who is at least 16 years old. Although a 16-year-old can register to vote, he or she cannot vote in an election unless he or she will be 18 at the time of the next general election (i.e., 17-year-olds are permitted to vote in primary elections, so long as they'll be 18 by the time of the corresponding general election).[26]

Maryland allows same-day voter registration during the early voting period and on Election Day.[26]

Voters may register online, by mail, or in person at one of the following locations:[26]

  • Local board of elections
  • The State Board of Elections
  • Local Department of Health office
  • Maryland Department of Human Services local offices
  • Maryland Motor Vehicle Administration (MVA) offices
  • Local Area Agency on Aging offices
  • MTA Paratransit Certification Office
  • All public institutions of higher education
  • Recruitment offices of the U.S. Armed Forces
  • Marriage license offices
  • Offices for students with disabilities at all Maryland colleges and universities

Automatic registration

Maryland automatically registers eligible individuals to vote through the Motor Vehicle Administration.[27]

Online registration

See also: Online voter registration

Maryland has implemented an online voter registration system. Residents can register to vote by visiting this website.[27]

Same-day registration

Maryland allows same-day voter registration.[27]

Residency requirements

Maryland law requires 21 days of residency in the state before a person may vote.

Verification of citizenship

See also: Laws permitting noncitizens to vote in the United States

Mayland does not require proof of citizenship for voter registration. An individual applying to register to vote must attest that they are a U.S. citizen under penalty of perjury.

Several local jurisdictions in Maryland permit noncitizens to vote in at least some local elections. These jurisdictions maintain separate voter registration systems for noncitizen voters. See here for more information.

All 49 states with voter registration systems require applicants to declare that they are U.S. citizens in order to register to vote in state and federal elections, under penalty of perjury or other punishment.[28] Seven states — Alabama, Arizona, Georgia, Kansas, Louisiana, New Hampshire, and Wyoming — have laws requiring verification of citizenship at the time of voter registration, whether in effect or not. In three states — California, Maryland, and Vermont — at least one local jurisdiction allows noncitizens to vote in some local elections. Noncitizens registering to vote in those elections must complete a voter registration application provided by the local jurisdiction and are not eligible to register as state or federal voters.

Verifying your registration

The voter lookup page, run by the Maryland Board of Elections, allows residents to check their voter registration status online.

Voter ID requirements

Maryland does not require voters to present identification while voting, in most cases.[29]

A voter will be asked to show ID in the following circumstances:

  • The voter registered by mail and did not provide proper identification;
  • The voter’s identity is challenged; or
  • The voter registers to vote during early voting or changes his or her address during early voting.

The following list of accepted ID was current as of October 2024. Click here for the Maryland Attorney General's voting information page to ensure you have the most current information.

“
  • A Maryland Driver's License or other Motor Vehicle Administration (MVA) issued identification
  • A student ID card that contains a photo
  • An employee ID card that contains a photo
  • A passport or other government issued ID,

OR, if you do not have those forms of ID:

a utility bill, bank statement, government check or paycheck that shows your name and address and is less than 3 months old. If you are showing ID because you are voting for the first time, your name and address on the document must match the information on the voter registration roll.[9]

”

See also

External links

Footnotes

  1. ↑ Office of Governor Larry Hogan, "Governor Larry Hogan Announces Over $3.5 Billion “Building Opportunity Fund” School Construction Initiative," accessed December 17, 2018
  2. ↑ Fox Baltimore, "Maryland comptroller: Casino money for schools was a 'lie'," accessed April 9, 2018
  3. ↑ Maryland Department of Legislative Services, "Fiscal and Policy Note," accessed April 9, 2018
  4. ↑ 4.0 4.1 Maryland State Legislature, "Senate Bill 1122 - Overview," accessed March 22, 2018
  5. ↑ Maryland Legislature, "Senate Bill 1122 full text," accessed April 9, 2018
  6. ↑ Maryland Election Law Section 13-305 states "a campaign finance entity that is a personal treasurer is not required to file the campaign finance reports ... if the responsible officers file an affidavit on or before the day when the first campaign finance report is due... stating that the personal treasurer does not intend either to raise contributions in the cumulative amount of $1,000 or more or, exclusive of the filing fee, make expenditures in the cumulative amount of $1,000 or more."
  7. ↑ 7.0 7.1 7.2 Maryland State Board of Elections, "Maryland Campaign Reporting Information Systems," accessed August 28, 2018
  8. ↑ Maryland Board of Elections, "2018 Ballot Question," accessed August 29, 2018
  9. ↑ 9.0 9.1 9.2 Note: This text is quoted verbatim from the original source. Any inconsistencies are attributable to the original source. Cite error: Invalid <ref> tag; name "quotedisclaimer" defined multiple times with different content Cite error: Invalid <ref> tag; name "quotedisclaimer" defined multiple times with different content
  10. ↑ Maryland Legislature, "Senate Bill 1122," accessed March 22, 2018
  11. ↑ 11.0 11.1 11.2 Baltimore Sun, "Maryland voters to decide on plan to reserve casino revenue for improving education," accessed April 9, 2018
  12. ↑ Baltimore Sun, "Maryland casinos are pumping out billions for education. So why are there school budget deficits?" accessed April 9, 2018
  13. ↑ Baltimore Sun, "Maryland casinos are pumping out billions for education. So why are there school budget deficits?" accessed April 9, 2018
  14. ↑ WAMU, "Fact Check: With ‘Hogan’s Lockbox,’ Maryland Governor Takes A Little Too Much Credit For School Funding," accessed August 29, 2018
  15. ↑ YouTube, "Larry Hogan: Lockbox," accessed August 29, 2018
  16. ↑ 16.0 16.1 The Washington Post, "Vote ‘no’ on Maryland’s Question 1," October 30, 2018
  17. ↑ The Baltimore Sun, "Editorial: On Maryland ballot questions, yes on casino revenues for education, no on same-day voter registration," October 30, 2018
  18. ↑ Maryland Election Law Section 13-305 states "a campaign finance entity that is a personal treasurer is not required to file the campaign finance reports ... if the responsible officers file an affidavit on or before the day when the first campaign finance report is due... stating that the personal treasurer does not intend either to raise contributions in the cumulative amount of $1,000 or more or, exclusive of the filing fee, make expenditures in the cumulative amount of $1,000 or more."
  19. ↑ Baltimore Sun, "Maryland casinos are pumping out billions for education. So why are there school budget deficits?" accessed April 9, 2018
  20. ↑ Fox Baltimore, "Maryland comptroller: Casino money for schools was a 'lie'," accessed April 9, 2018
  21. ↑ Maryland Educators, "Thornton Plan," accessed April 13, 2018
  22. ↑ Maryland Department of Budget and Management, "Historical Operating Budget Documents," accessed April 12, 2018
  23. ↑ Maryland Gaming Resources and Information, "Financial reporting," accessed August 23, 2018
  24. ↑ General Assembly of Maryland, "House Bill 1697," accessed April 10, 2018
  25. ↑ Maryland State Board of Elections, "Rules and Information for Voters," accessed April 18, 2023
  26. ↑ 26.0 26.1 26.2 Maryland State Board of Elections, "Introduction," accessed April 18, 2023
  27. ↑ 27.0 27.1 27.2 NCSL, "State Profiles: Elections," accessed August 25, 2024
  28. ↑ Under federal law, the national mail voter registration application (a version of which is in use in all states with voter registration systems) requires applicants to indicate that they are U.S. citizens in order to complete an application to vote in state or federal elections, but does not require voters to provide documentary proof of citizenship. According to the U.S. Department of Justice, the application "may require only the minimum amount of information necessary to prevent duplicate voter registrations and permit State officials both to determine the eligibility of the applicant to vote and to administer the voting process."
  29. ↑ Maryland Attorney General, "Voting FAQ," accessed April 13, 2023
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