Economic and Social Impacts of Casinos Challenged in Orangeburg Legislative Discussion

Concerns over the potential negative impacts of casino and sports gambling legislation dominated the South Carolina House Ways and Means Committee meeting on April 22, 2025. Lawmakers voiced strong reservations about the economic and social consequences of proposed bills H.3625, H.4129, and H.4176, which aim to expand gambling in the state.

One key speaker highlighted the troubling association between casinos and increased rates of bankruptcy and suicide, urging the committee to consider the broader implications of gambling on community health. The speaker pointed to research from the Federal Reserve Bank, indicating that while casinos may promise economic growth, they often lead to economic displacement, with high-paying jobs going to out-of-state workers while locals are left with lower-paying positions. “The profits from that don’t stay here to help our people,” the speaker emphasized, raising concerns about the outflow of revenue from local economies.

The discussion also touched on the adverse effects of casinos on local businesses, noting that money spent in casinos often detracts from local spending, leading to a decline in overall economic activity. The speaker warned that introducing casinos could strain public services, particularly in areas already grappling with crime and health issues linked to gambling.

Turning to sports betting, the committee heard alarming statistics about its mental health impacts, particularly among young men. Citing studies from the National Institutes of Health and Penn State, the speaker noted a 10% increase in mental health issues associated with legalized sports gambling, including impulsivity and substance use disorders. The financial repercussions were also highlighted, with evidence showing that states allowing online sports betting experience increased credit card debt and reduced household savings.

The meeting underscored the need for careful consideration of the potential consequences of expanding gambling in South Carolina. As lawmakers weigh the benefits against the risks, the discussions reflect a growing awareness of the complex interplay between gambling, public health, and local economies. The committee's next steps remain to be seen as they deliberate on these significant issues.