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MARYLAND - Well known in Maryland as Question 2, the slots referendum became a hot topic the minute it was approved by the general assembly in November. The new measure would legalize slot machine gambling and is expected to generate $660 million for the state.

"This is a moderate. It is a limited. It is a state control proposal," said Maryland Governor Martin O'Malley. Md. Comptroller Peter Franchot said, "It's a bad deal for the state of Maryland."

For years, Maryland lawmakers have been going back and forth on one of the biggest issues in the state: whether or not to legalize slots. But after all the debate, voters will have the final say when they cast their ballots and vote yes or no on the slots referendum.

Gov. O'Malley is in favor of this measure and says it's the right investment during the tough times. "A larger proportion of the dollars go to state purposes than any referendum than any slots proposal that has been done here in our country."

Most of the revenue generated from slots would fund public education, about 5.5 percent would go to local governments and 7 percent to the horse racing industry, which is a business that some say has been struggling, but could be making a comeback if the state expands gambling. "I think it would enhance these areas to have more money coming into them and have more people employed in these areas," said horse trainer Tim Tullock.

If the referendum passes, it would legalize 15,000 slots at 5 slots parlors across the state. Laurel Park is one of the locations that could see slots. Some other prospects include Baltimore, Worcester, Cecil and Allegheny Counties. Proponents like Patrick Moran with pro-slots group "For Maryland, For Our Future" says having the option to gamble in Maryland would keep billions of dollars from going to neighboring states with slots. "$2 billion a year comes out of 2 counties out of the state of Maryland. Montgomery County (web | news) and Carroll County. If we can put a dent into that at all, it's going to make one big difference in terms of revenue streams for the state of Maryland," said Moran.

Scott Arceneaux, senior adviser for "Marylanders United to Stop Slots" says the measure would have the opposite affect and would do more harm than good. "UMBC recently done a study that shows that there could be as much as $620 million a year in social costs to tax payers. So we're talking about those addictions and crime, and broken families issues," said Arceneaux.

Franchot says Maryland doesn't need additional social problems and opposes any campaign that would give millions back to the gambling industry. "It's simply a windfall for out-of-state gambling companies who will benefit $3 to $4 million a year in profit that would leave Maryland's working families and go to these Las Vegas gambling companies. That's wrong."

Others like Reverend Joseph Thomas says any gambling is wrong for moral reasons. He lobbied against the lottery coming to D.C. and says it didn't solve the financial problems in the city then and doesn't see how slots could be a solution for Maryland now. "There's truly no aid for the citizens by having slots. People who gamble are the ones who can least afford it."

If approved in November, Maryland will become the 38th state to allow slots.

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