Closed-End Funds a Good Investment Option

Baby boomers stand to inherit $10 trillion in the next few years and women will get the bulk of it, according to a Cornell University study, because they outlive men an average of seven years.

"Women already control 60 percent of the nation's personal wealth - they outnumber men and they are traditionally the shoppers," says financial expert Scott T. Schultz, author of Scott Schultz's Guide to Closed-End Funds (www.closedendfundguru.com).

"It's sad that, despite the fact that nearly a third make more money than their husbands and they're starting businesses at twice the rate men are, 38 percent of women ages 30 to 55 worry they'll eventually live in poverty because they can't adequately save for retirement," he says.

With the first of the boomers hitting 65 this year, the nation will see an even greater number of retirement-aged women holding the country's purse strings.

"Many will inherit money and property from their parents and/or their husbands, and many will live another 30 to 40 years," Schultz says, citing the Cornell study. "They'll need to invest their money to ensure they have enough to avoid that impoverished retirement they fear, but they - and the nation - have lost confidence in the stock market; April 2011 saw the lowest number of investors since 1999."

What brokers don't tell clients about, he says, is closed-end funds. Schultz, ranked the No. 1 Separate Account Money Manager for three consecutive years by USA Today, says he earned that national honor by relying almost solely on these limited-issue stocks. Because they're available only in finite numbers and because watchful brokers can find them "on sale," they're a better bet as an investment for those who are willing to sit on them awhile.

Why is the American public so in the dark about closed-end funds? Noting his book is the first written on the topic in more than 20 years, Schultz says there are a few reasons:

• Brokers can't generate a lot of commissions from them. Brokers move open-ended funds quickly because they earn a commission with each transaction. It's easy money for them, Schultz says. Closed-end funds require a longer term investment strategy, so brokers who want to get rich quick won't use them.

• They require more effort from the broker, who has to work to find the "sales." One advantage of closed-end funds is that they can sometimes be purchased at a discount, so the investor starts off ahead of open-end investors who are paying full price for stocks, Schultz says. Even if the fund never gets back up to its full value, any increase at all is a gain. But the broker has to be willing to work to find the good investments with good discounts. And then he or she has to be willing to sit on them.

• Closed-end funds are boring! For a lot of brokers, it's just plain fun to trade stocks in products and initiatives with an exciting ring to them, whether it's Facebook or a treasure-hunting ship. These brokers are constantly trading stocks - and generating transaction feeds, lawyer fees and underwriting fees every time - because that's what they like to do. Closed-end funds require thoughtful, sometimes tedious research before buying, and then the patience of a saint as both the broker and the investor wait for the bid price to increase.

About Scott T. Schultz

Scott T. Schultz began his career in 1983 at E.F. Hutton and was ranked the nation's No. 1 Separate Account Money Manager by USA Today for three consecutive years using GIPS verified/audited performance numbers supplied by Morningstar, Inc. Schultz was a GOP nominee for U.S. Congress in 1988, and met with Presidents Ronald Reagan and George H.W. Bush at the White House. He graduated from Michigan State University with a degree in journalism.

Washington, D.C. - Congressman Dave Loebsack today issued the following statement in response to the Department of Labor's announcement that the unemployment rate dropped slightly to 8.1 percent in April and 115,000 jobs were added.

"Unfortunately, the economy is nowhere near where it needs to be for Iowans who are out of work and still looking for a job.  To truly address this problem, Congress must put aside the games that have continually plagued any progress, and work together.

"It is frustrating when even legislation such as the Highway Bill, which has traditionally been done in a bipartisan fashion, has fallen to the Republican's political games.  This legislation would not only make our roads safer for families and more efficient for businesses and farmers, it is also an issue central to job creation and economic development in Iowa and across the country.  I have crossed party lines to try and pass this bill and I personally urged the President to become more engaged on a bipartisan basis to move forward a long-term transportation plan.

"It is critical to Iowa families, business and farmers that we move forward on both the Highway bill and a real jobs bill.  The games must end."

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Nearly every day, someone asks my advice on the best way to promote their business or themselves. I get the question at speaking engagements, at the office and, yes, sometimes at home. I don't mind at all, because I've always got a good answer:

Write a book.

"A book?" some say -- with obvious horror. "I've never written a book!"

Precisely my point. But let me back up a bit.

When I started EMSI 22 years ago, I soon realized the clients who got the attention of the media most quickly were those who'd written a book. Not just any book, mind you, but one that aligned with what they were promoting. The apple salesmen who wrote about apples were far more successful getting media coverage than those who wrote about oranges - and those who hadn't written anything at all.

Why? Because yesterday's business cards are today's books. They give their authors immediate credibility, establishing them as experts in their fields. Credibility opens the door to journalists, talk show hosts, bloggers and anyone else creating content for hungry audiences. Who will they turn to as an expert source of information when a mysterious apple worm is destroying orchards? Johnny Appleseed, author of Red All Over - The Core of the Apple Industry.

There are some caveats. A poorly conceived, poorly designed, poorly written or poorly promoted book is worse than no book at all. Your book must capably and professionally represent your unique message - and you.

Not a writer? Not a problem. There are thousands of talented freelance writers and editors out there - especially in the wake of all the newspaper layoffs in recent years - who can help. So don't worry about that just yet. The first step is planning, and that's up to you whether or not you will actually do the writing.

• Decide on your book's main idea. The central focus will be what drives the entire project, so it must match the message you want to convey and it must excite you. If you're bored from the get-go, you'll likely never see your project through to the end. A great way to test ideas is by running them through these five questions:

1. What message am I enthusiastic about that I want to convey?
2. Who can benefit from it?
3. How will it help them?
4. Why am I the one bringing this idea to them?
5. How can I make my points unique and different from what has already been said on the topic?

• Pay attention to your own reactions as you test-drive your ideas. Which idea makes you smile? Which excites you creatively? Which hits the essence of what you're about - what you enjoy, think about and create every day? It may be an idea you never even realized inspired such passion in you.

• Consider what you really want to achieve by promoting yourself or your business. Business owners obviously want to grow their business and see it flourish; some people want to build careers as speakers. But often, there's something deeper driving us and we may not even be aware of it. Taking the time to do some soul-searching to identify your real motivation can help you clarify your message and find your book's focus.

A real-life example: When I sat down to write Celebritize Yourself, I planned a how-to book on commonly asked publicity questions.  But, when I ran that idea through the five-question test, I had trouble with No. 5.  So, I asked myself, "What do I most enjoy about my professional life?" The answer was easy: helping people identify and value what's unique about them and their message.  In writing a book about how to get publicity, I realized I needed to explain why everyone has an expertise that should be shared.

It's never too late to write your book. I know it seems daunting, but remember, the first time you do anything, it's often a challenge. Remember how hard it was wobbling down the sidewalk on your first bicycle? You may have crashed a few times, skinned your knees and bumped your head, but you got back on and kept trying.

Call on that brave 6-year-old you and start planning your book!

About Marsha Friedman

Marsha Friedman is a 22-year veteran of the public relations industry. She is the CEO of EMSI Public Relations (www.emsincorporated.com), a national firm that provides PR strategy and publicity services to corporations, entertainers, authors and professional firms. She also co-hosts "The News and Experts Radio Show with Alex and Marsha" on Sirius/XM Channel 131 on Saturdays at 5:00 PM EST.

Expert Calls for 'Economic Disobedience'

The national mood remains anxious, worried.  We have millions of Americans out of work, many of them Baby Boomers who've seen what they worked for these past 30 years disappear:  a predictable career, financial security, home equity, retirement savings. The foundation they've worked so hard to build seems to have collapsed before their very eyes.

"They feel lost. They see hedge-funders and investment bankers as having hijacked the American Dream from the middle class," says Peter Weddle, former CEO of Job Bank USA, Inc., and author of A Multitude of Hope: A Novel About Rediscovering the American Dream (www.AMultitudeofHope.com).

"Boomers - and all working Americans, for that matter - feel as if all of the opportunity has been sucked out of the land of opportunity, and they don't know how or even if they can succeed in this changed world."

But America is still the leader of the global economy and its future is as bright as it ever was, Weddle says. Why? Because Americans are individually prone to innovation and creativity, and collectively, the most diverse pool of workers in the world, he says.

"For all the unresolved immigration issues we have in the United States, we still have the best workforce on the planet.  Our diversity gives us a huge advantage over the competition in the global economy," Weddle says. "We have every kind of talent the world has to offer, while other countries such as China, India and Japan have very homogenous cultures so everyone basically brings the same talent to the table."

That talent, however, is being wasted.  The U.S. workplace has become an investor-driven market, a place where workers are treated as disposable cogs who are costs to be minimized rather than capabilities to be maximized on-the-job, Weddle says. The only way out, therefore, is something he calls "economic disobedience."  If every American stands up and demands their right to be employed as a person of talent - and if they then elevate that talent and bring it to work with them - they can reclaim the American Dream, Weddle says.

He sees Baby Boomers already beginning to do this. The number of 50- to 64-year-olds enrolled in college jumped 17 percent from 2007 to 2009, according to the National Center for Education Statistics.

"These are the people who see this time as a moment of liberation - a chance to reinvigorate their talent so they can perform at their peak on-the-job," Weddle says. "And that self-reliance and individual determination is how our country will recapture its mojo."

A national human resources expert, Weddle says people don't necessarily have to go back to school or reinvent themselves. But they do need to identify their talent - their innate capacity for excellence - and take a proactive approach to integrating it into their career.

"It may be a gift for getting things organized, for resolving conflicts, for explaining complex topics in simple terms," he says. "Every single one of us has a talent and when we apply it at work, our job satisfaction - and our pay - goes up.

"Instead of work being a four-letter word, it becomes something to get excited about and to feel good about. We rekindle our self-confidence, self-respect and determination and we produce an economic revolution that restores democratic capitalism."

About Peter Weddle

Peter Weddle, a former recruiter and human resource consultant, is the CEO of the International Association of Employment Web Sites, a trade organization. He has written or edited more than two dozen non-fiction books regarding careers and employment; "A Multitude of Hope" is his first work of fiction. Weddle is the founder and former CEO of Job Bank USA, Inc., one of the largest electronic employment services companies in the United States.

Report finds poverty in rural areas higher than urban centers

 

Lyons, Nebraska - Today, the Center for Rural Affairs released a report that challenges many conventional assumptions about where poverty and food insecurity exists in the central United States. The report concludes that rural counties in the Midwest and Great Plains are experiencing higher incidence of poverty as well as greater rates of food insecurity, especially among children, than urban centers in the region. These findings challenge conventional thought and policy debates which often conclude, directly or implicitly, that poverty and food insecurity are primarily urban issues.

"Rural poverty continues to be a serious issue in many parts of the Great Plains region, affecting scores of rural households and families," said Jon Bailey, Director of Research and Analysis at the Center for Rural Affairs and co-author of the report.  "The poverty rates among rural children are most alarming, both in the immediate term and for their long-term development."

The report, Poverty on the Great Plains, is the third in a series of briefs examining data from the 2010 Census. The analysis covers a 10 state region that includes North Dakota, South Dakota, Nebraska, Kansas, Minnesota, Iowa and selected counties in Colorado, Montana, Wisconsin, and Wyoming.

A full copy of the report can be downloaded at: http://files.cfra.org/pdf/census-brief3-poverty.pdf

According to the report, 414,331 people in rural areas (or 13.3% of the regional rural population) were living in poverty in 2010. And that same year 145,065 or 16.4% of rural children in the region lived in poverty compared to 15.6% of children in micropolitan counties and 14.1% in metropolitan counties.

While portions of metropolitan areas of the region are likely to have among the highest poverty rates in the region, the data presented here is county level data that in many cases contains both high poverty and low poverty areas within a county or metropolitan area.

Additionally, Bailey points out that another sign of living in poverty is food insecurity. Food Insecurity is defined as USDA's measure of lack of access, at times, to enough food for an active, healthy life for all household members or limited or uncertain availability of nutritionally adequate foods.

Bailey's report finds that rural people who were food insecure accounted for 12.7% of the population in 2010. And rural children who were food insecure accounted for 23.8%. It is critical for the future of rural residents that the issue of food insecurity be addressed. Solving childhood poverty and food insecurity is particularly important as the physical and intellectual development of children is affected by poverty and a lack of access to healthy food.

"A food insecure household may not experience insecurity throughout the entire year," continued Bailey. "Any time one has to make a choice between adequate food and other expenses, such as medical bills, a household is considered to be food insecure."

A previous report also authored by Bailey found that although rural grocery stores play a crucial role in our rural communities, providing vital sources of nutrition, jobs and tax revenue that support the community, they are slowly disappearing across the nation. In Iowa, for example, the number of grocery stores with employees dropped by almost half from 1995 to 2005, from about 1,400 stores in 1995 to slightly over 700 just 10 years later. Meanwhile, "supercenter" grocery stores (Wal-Mart and Target, for example) increased by 175 percent in the 10-year period.

"The growing phenomena of rural 'food deserts' - the lack of outlets for purchasing food - is impacting residents in many rural areas of the nation, no matter their age or income," Bailey explained. "And combined with increased rural poverty rates, especially among rural children, food insecurity among rural families is on the rise."

"In order to reverse these trends in rural America, it is crucial for rural communities and public policy to find new, innovative ways to create rural economic opportunities and revitalize rural economies," said Bailey.

A 2007 Center for Rural Affairs analysis demonstrated that USDA and Congress have severely over-subsidized the biggest and most powerful farms while consistently under-investing in rural economic development, spending twice as much on subsidizing the 20 largest farms in each of 13 leading farm states as it invested in rural development programs to create economic opportunity for millions of people in thousands of towns in the 20 rural counties with the most out-migration in each respective state - (the full report - An Analysis of USDA Farm Program Payments and Rural Development Funding In Low Population Growth Rural Counties, a.k.a. Oversubsidizing and Underinvesting... can be viewed or downloaded at: http://www.cfra.org/node/603).

According to Bailey, federal contributions to rural development have been plummeting for years - almost one-third of the USDA Rural Development budget has been cut since 2003. And Congress is currently considering making even further cuts to already bare-boned rural development programs. For example, funds for the popular Value Added Producer Grant are in jeopardy and all the money for the Rural Microentrepreneur Assistance Program is currently on the chopping block. The USDA only uses about 1.7 percent of its budget for rural development.

"Addressing poverty and food insecurity, especially among rural children, requires setting profoundly different priorities than are evidenced in the iteration of the Farm Bill currently being debated in Congress," concluded Bailey.

Washington, D.C. - Congressmen Dave Loebsack (IA-02) and Bobby Schilling (IL-17) today called on the Members in the House and Senate who are negotiating a comprehensive Highway Bill to prioritize funding for large interstate bridge projects, such as the I-74 Bridge.  Projects like the I-74 Bridge have a national significance and need dedicated federal support to move forward.  Loebsack and Schilling have worked in a bipartisan fashion on numerous previous efforts to stress the importance of the project for local economic growth.

"Large Interstate bridge projects may be some of the most effective investments since they not only put a variety of people and skill-sets to work, but have broad public and private use and economic benefit for the long-term when completed," wrote the Congressmen. "The much-needed replacement of the I-74 Bridge would not only create construction jobs, reduce traffic backups and aid commerce in traveling to and from our communities, but would - most importantly - improve safety for Americans traveling between Iowa and Illinois.  These projects are truly an investment in America's and each of our local communities' economies both today and for the future."

In 2005, the I-74 Bridge became the most traveled bridge in the Quad Cities with an average of 77,800 vehicles crossing daily.  This is despite the fact that it was built for 48,000 such crossings.  The Bridge itself is functionally obsolete, however, and has never met Interstate standards.  The I-74 Bridge project would also spur economic growth, create construction jobs, reduce traffic backups, and improve air quality.

A copy of the letter can be seen here.

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The Illinois Revenue & Jobs Alliance released a poll earlier this week.
The results confirmed that Illinois voters strongly support a gaming solution that would generate $200 million in increased annual state revenue and create more than 20,500 jobs.

Findings included:
74% prefer finding new revenue sources to raising taxes or cutting gov. programs.
62% support the overall gaming solution laid out in SB 1849.
70% of Collar County voters support the bill.
68% of Northern Illinois voters support the bill.
61% of Southern Illinois voters support the bill.
60% of Cook County voters support the bill.
54% of Central Illinois voters support the bill.

In terms of how voters view the different components of SB 1849, the results were:
69% support increasing the number of slot machines on Illinois riverboats.
68% favor adding slots to the state's six existing racetracks.
64% support authorizing four new riverboat casinos throughout the state.
62% support a land-based casino in Chicago.

The survey of 800 likely Illinois voters was conducted April 10-12 by Public Opinion Strategies.
The Belleville News Democrat reported on the IRJA's economic impact study, focusing on Farimont Park in Collinsville, the state's only Southern-based horse-racing venue.

The Metro-East track has struggled to compete for gambling dollars as markets in St. Louis have expanded gaming options. Fairmont Park President Brian Zander said the positive economic figures in the report should serve as an incentive for Illinois to recapture those dollars during tight budget times.

"What really stands out is the number of jobs that would be created, the permanent jobs and the part-time construction jobs," Zander said. "Also, if you look through this bill that this study analyze, there are millions, hundreds of millions of up-front fees that we pay that would be an addition to ongoing revenues. Again, this is a state that really needs the money."
Money Expert Shares the Advice He Follows

Financial how-to books come and go - they're published by the hundreds every year. But Peter Grandich, dubbed "The Wall Street Whiz Kid" by Good Morning America's Steve Crowley, says the one he relies on has been around for nearly 2,000 years.

"I get my financial guidance from the Bible," says Grandich, author of Confessions of a Wall Street Whiz Kid (www.confessionsofawallstreetwhizkid.com). "Money and possessions are the second most referenced topic in the Bible - money is mentioned more than 800 times - and the message is clear: Nowhere in Scripture is debt viewed in a positive way."

Grandich, who says his years as a highly successful Wall Street stockbroker left him spiritually depleted and clinically depressed, says the Bible is an excellent financial adviser, whether or not you're religious.

"The writers of the Bible anticipated the problems we would have with money and possessions; there are more than 2,000 references," he says. "Our whole culture now is built on the premise that we have to have more money and more stuff to feel happy and secure. Public storage is the poster child for what's wrong with America. We have too much stuff because we've bought into the myth fabricated by Wall Street and Madison Avenue that more stuff equals more happiness."  He adds, "That's the total opposite of the truth, and the opposite of what it says in The Bible."

What's Grandich's No. 1 most important biblical rule of finance? "God owns everything. You may have bought that house, but He gave you the money to buy it, so it's His."

Some other lessons from the ultimate financial guide?

• Do put money aside for investing: "One of the most revealing parables is Jesus' story about a wealthy master who left three servants in charge of his financial affairs when he went away on a long journey," Grandich says. "When he returned, two of the servants had multiplied the coins for which they were responsible. The third buried his to keep it safe." That last servant ended up out on his ear. The story is a lesson: We must invest our money - and invest wisely.

• Debt's not prohibited, but it should be avoided: The Bible clearly warns that the borrower will be a servant to the lender, but it also instructs us to lend money. That suggests that there are times when it's OK to borrow, but it should not become a way of life. The Bible also instructs us to repay what we've borrowed.

• The more you make, the more you should give. This is a hard one for people caught up in buying bigger and better things, but there are numerous references to charitable giving. The Bible says that it's quite all right to buy the bigger house - but the more you make and spend on yourself, the more you need to give to others. That doesn't include tithing, another very clear demand: God expects you to give 10 percent of your wealth to your place of worship.

• Don't focus on acquiring possessions. There are many, many warnings that accumulating stuff is dangerous. Material things are fleeting and they'll do you no good in the long run. What you put your effort into, that's where your heart will be, Grandich says.

About Peter Grandich

Peter Grandich became renowned in the financial industry when he predicted market crashes and rebounds in The Grandich Letter, a newsletter he created in 1984. It's currently a blog featuring his commentary on the world's economies and financial markets as well as social and political topics. Grandich is co-founder, with former New York Giants player Lee Rouson, of Trinity Financial Sports & Entertainment Management Co., a firm that specializes in offering guidance from a Christian perspective to professional athletes and celebrities.

Determining the right price an increasing challenge for retailers

Port Washington, NY, April 24, 2012 – Price trumps sales and special deals, customer service, and convenience as a factor in deciding where to shop for the majority of U.S. consumers, according to The NPD Group, a leading market research company. NPD's The Economy Tracker*, a monthly monitor of consumer sentiment about the economy and spending, finds that in the most recent survey (March 12) 85 percent of U.S. consumers say that price will be an extremely important/important factor in deciding where to shop in the near future, ten percent more than those who feel sales and special deals are extremely important/important.

How important do you expect that each of the following factors

will be in where you decide to shop in the next 3 months or so?

Expected Consumer Requirements of Purchase

 

Source: The NPD Group/The Economy Tracker, March 2012

By income, 87 percent of those in the household income bracket of $25 to 50,000 selecting price as extremely important/important, 85 percent in the $50,000 to $100,000 income bracket, and 82 percent in the $100,000 plus bracket, according the The Economy Tracker. Seventy-nine percent of young adults, 18 to 34, 86 percent of 35 to 44 year-olds, 88 percent of 45 to 54 year-olds, 89 percent of 55 to 64 year-olds and 86 percent of 65 and older said that price was extremely important/important.

"Shoppers are now savvier when spending money. They have new ways of gauging the marketplace - they can compare prices on the Web while at home or while standing in a brick-and-mortar store with their smartphones," says John Deputato, senior vice president, advanced analytics at NPD. "We certainly have moved to a time of calculated consumption for shoppers... and price has come to the forefront of the purchase decision."

Deputato points out that the sophistication of consumers when it comes to price, changes to shopping habits, and the soft U.S. economy has made the decision to set retail prices not only more difficult but more strategically critical for both retailers and manufacturers.

"Manufacturers and retailers recognize that setting the right pricing strategy is a competitive advantage in the marketplace, but pricing is more difficult today than it was prior to the recession," says Deputato. "We've been working with the top retailers and manufacturers conducting price elasticity research to understand the wide range of potential impact on profits depending on the possible pricing decisions. Prices can't arbitrarily be set, it takes information and a thorough thought process to come up with the right price."

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*The Economy Tracker Methodology:

The Economy Tracker is based on online surveys completed by approximately 1,500 members of NPD's online consumer panel in each month. The sample is fielded to a U.S. representative sample; the completed responses are weighted and balanced back to U.S. Census targets. The survey has a margin of error of +/- 2 percentage points overall.

About The NPD Group, Inc.
The NPD Group is the leading provider of reliable and comprehensive consumer and retail information for a wide range of industries. Today, more than 2,000 manufacturers, retailers, and service companies rely on NPD to help them drive critical business decisions at the global, national, and local market levels. NPD helps our clients to identify new business opportunities and guide product development, marketing, sales, merchandising, and other functions. Information is available for the following industry sectors: automotive, beauty, entertainment, fashion, food, home and office, sports, technology, toys, video games, and wireless. For more information, contact us, visit http://www.npd.com/, or follow us on Twitter at https://twitter.com/npdgroup.
New poll: Illinoisans overwhelmingly support gaming solution
Residents ready for economic benefits, jobs new legislation will bring

More than 60 percent of Illinois residents support a gaming solution that includes more casinos and the addition of slot machines at racetracks as a solution to create more than 20,000 jobs and generate nearly $200 million annually for the state, a newly released poll reveals.

The Alexandria, Virginia-based Public Opinion Strategies poll of 800 likely Illinois voters conducted April 10-12 shows that Illinois residents overwhelmingly back legislation to expand gaming to help generate new revenue.

When asked if they would "support or oppose a proposal to generate revenues to state and local governments by increasing the number of slot machines allowed at riverboats, allowing slot machines at racetracks, and by adding a land-based Chicago casino and four additional riverboat casinos," 62 percent of voters responded that they supported it, compared to 33 percent who opposed it.

"Illinoisans are sending a loud and clear message that they strongly support gaming legislation that will bring sorely needed economic benefits throughout the state during these challenging budget times," said Illinois Revenue & Jobs Alliance Chairman Bill Black. "They have no appetite for lawmakers raising taxes or cutting essential programs like education, health care and safety net services that impact our most vulnerable residents. This legislation is an attractive solution that comes at absolutely no cost to taxpayers."

The poll was commissioned and issued by the newly formed Illinois Revenue & Jobs Alliance (IRJA), a growing statewide consortium of more than 70 labor organizations, business groups, farming and agribusiness interests, racetracks and horsemen associations, and local municipalities, all committed to the creation of new jobs and state revenue that expanded gambling would bring.

Those surveyed overwhelmingly oppose the alternative proposal discussed by some lawmakers to subsidize racetracks in lieu of permitting slot machines at those venues. According to the poll, 76 percent of respondents favor slot machines at racetracks, compared to just 16 percent who favor an annual subsidy.

"It's clear that Illinois residents favor initiatives aimed at creating jobs and increasing revenue," Black said. "It's a no-brainer compared to a subsidy that would cost the state money."

Last week, the IRJA issued an independent study by the Spectrum Group showing that that pending legislation in Springfield would generate nearly $200 million in additional state tax revenue and admission fees each year along with $377 million in initial licensing fees while creating nearly 20,500 jobs throughout Illinois. The study also revealed that there is room to accommodate expansion without reaching a saturation point.

According to the poll, broad support exists throughout the state for Senate Bill 1849, which calls for new casinos in Chicago, Lake County, south suburban Chicago, Rockford and Danville; additional slot machines at existing casinos and the addition of slot machines at the state's six horseracing tracks.

Support for SB 1849 is highest in the Collar Counties where 70 percent of respondents favor the proposal, but support is strong throughout Illinois: 68 percent in favor in Northern Illinois; 61 percent in favor in Southern Illinois; 60 percent in favor in Cook County; and 54 percent in favor in Central Illinois.

"It's very telling that the areas of the state that support gaming the most are the very same areas that already have casinos," Black said.  "This shows that these communities have experienced no grave social costs from their proximity to legalized gaming, and also that there is a substantial market demand for more of it."

The most popular components of SB 1849 were increasing the number of slot machines at existing riverboats (69 percent) and allowing slot machines at the state's six horse racing tracks (68 percent). Meanwhile, 64 percent favor authorizing four new casinos in Danville, Lake County, Rockford and the south suburbs and 62 percent support authorizing a land-based casino in Chicago.

According to the poll, 55 percent added that they would be more likely to vote for a state legislator who supported gaming expansion in the next election, compared to 30 percent who would be less likely to vote for a lawmaker who opposed it.

Why Senate Bill 1849?
Creating More Jobs
Illinois will realize economic benefits through the expansion outlined in SB 1849, the Spectrum study indicated. The legislation would create 20,451 new jobs and more than $1.5 billion in personal income, including 9,800 full-time direct jobs with $323 million in annual wages as well as more than 4,500 construction-related jobs, translating into nearly $475 million in wages, benefits and taxes. The expansion allowing for slots at horseracing venues would create 2,723 full-time jobs at racetracks and 1,038 full-time construction-related jobs at those venues. Additionally, SB 1849 would provide a stable foundation for the preservation of nearly 37,000 agribusiness jobs.

Generating More Revenue
According to the Spectrum report, projected gross gaming revenue in Illinois would reach $3.28 billion annually by 2016 if SB 1849 were enacted - a 75 percent increase over the $1.87 billion projected if no expansion occurred. SB 1849 would translate into a total of $809.2 million per year in taxes and admission fees for the state, or an increase of $195.3 million, the study found. In addition, the state would receive an additional reconciliation payment of $1.17 billion and $377 million in initial licensing fees.

About the Illinois Revenue & Jobs Alliance
The Illinois Revenue & Jobs Alliance is a growing statewide consortium of labor organizations, business groups, farming and agribusiness interests, racetracks and horsemen associations, and local municipalities committed to the passage of SB 1849 which calls for the expansion of gaming in Illinois, including slot machines at racetracks. The Illinois Revenue & Jobs Alliance is committed to creating new jobs, protecting existing jobs spurring new economic development and generating more revenue for the state. For more information, visit www.IllinoisJobsAlliance.org.

IRJA Members Include:

Arlington Heights Chamber of Commerce
Arlington Park Racecourse
Association of IL Soil and Water Conservation Districts
Balmoral Park Racetrack
Chicago and Downstate Roofing Contractors
Chicago Barn to Wire
Chicago Rockford International Airport
City of Danville
City of Loves Park
City of Rockford
City of South Beloit
Collinsville Chamber of Commmerce
Comcast
Coronado Performing Arts Center
Cumulus Media
Discovery Center Museum
Fairmount Park Racetrack
Greater O'Hare Regional Business Association
Greater Woodfield Chicago Northwest Convention Bureau
Hawthorne Racecourse
Illinois AFL-CIO
Illinois Association of Agricultural Affairs
Illinois Chapter of the National Fire Sprinkler Contractors Association
Illinois Horsemen's Benevolent Protective Association, Inc.
Illinois Hotel and Lodging Association
Illinois Quarter Horse Association
Illinois Thoroughbred Breeders and Owners Foundation
Ironworkers Local #498
Laborers Local 44
Laborers' Local #32
Maywood Park Ractrack
Next Rockford
Northern Illinois Building Contractors Association (NIBCA)
Northern Illinois Electrical Contractors Association
Northwestern Illinois Building and Construction Trades Council
Painters District Council
Palatine Chamber of Commerce
Park City City Hall
Quad City Downs Racecourse
RAVE
Rockford Area Arts Council
Rockford Area Convention & Visitors Bureau
Rockford Area Economic Development Council
Rockford Area Hotel Motel Association
Rockford Art Museum
Rockford Chamber of Commerce
Rockford Dance Company
Rockford Metropolitan Agency for Planning
Rockford Park District
Rockford Register Star
Rockford Symphony Orchestra
Rolling Meadows Chamber of Commerce
Service Employees International Union Local 1
Sheet Metal Workers Local #219
Teamsters Joint Council 25
The National Independent Concessionaires Association
The Outdoor Amusement Business Association
United Way of the Rock River Valley
UniteHere! Local 1
UniteHere! Local 450
Village of Machesney Park
Village of Pecatonica
Village of Rockton
Village of Roscoe
Village of Stickney
Village of Winnebago
WIFR
Winnebago County
Winnebago County Fair Association
Winnebago County Soil & Water Conservation District
WREX
WTVO

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