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Associated Press - March 10, 2010 11:04 AM ET
SAN JOSE, Calif. (AP) - San Jose voters will decide in June whether to allow the city's two card clubs to expand and impose higher taxes on gambling revenue.
The city council voted 6-5 Tuesday to put the measure on the June ballot. Councilmembers who supported the effort said the city needs to find additional sources of revenue to help close a $116 million budget shortfall and avoid hundreds of layoffs. The higher taxes on the Bay 101 and Garden City Casino clubs are expected to bring in as much as $5.25 million in additional revenue.
City officials said the clubs need to be allowed to expand at the same time to ensure the tax increase doesn't push them to leave town.
But councilmembers who opposed the expansion said it could lead to crime and other social ills.
Information from: San Jose Mercury News, http://www.sjmercury.com
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